Showing posts with label Huawei. Show all posts
Showing posts with label Huawei. Show all posts

2019-07-06

Tech Review 1) Why Jony Ive Chose To Leave Apple, 2) Big Tech & Profits

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Tech Review (TR 2019-07-06)--Domain Mondo's weekly review of tech investing news: Features • 1) Why Jony Ive Chose To Leave Apple, 2) Big Tech: Do Profits Really Matter? 3) Investing: The Week & Investor NotesChina & Huawei, Eurozone Japanification, US Pension Crisis & Federal Debt, 4) ICYMI Tech News: WTF Apple? Amazon, Broadcom, Antitrust, Google, and more.
UPDATE Deutsche Bank (NYSE: DBbites the bulletradical transformationnew leadershipcuts 18,000 jobs. 
1) Why Jony Ive Chose To Leave Apple

Jony Ive will leave Apple later this year to start a new venture of his own, called LoveFrom, with Apple as his first client. No one will be taking Jony Ive's title, Chief Design Officer, a position at the center of 20 years of product development at Apple, when he leaves, says the FT.com's technology correspondent Tim Bradshaw, who talks about his exclusive interview with Jony Ive in the video above published June 28, 2019.
"To create something that's genuinely new, you have to start again and I think with great intent, you disconnect from the past."--Jony Ive
Editor's note:  Why did Jony Ive choose to leave Apple? He simply wanted to do something new.

See also: Apple Chief Executive Tim Cook on Monday fiercely disputed a WSJ report about the departure of Jony Ive and the company's ability to uphold its commitment to innovative design.

2) Big Tech: do profits really matter?

Why are loss-making tech companies still attracting investors who are willing to wait for companies to turn a profit? FT.com video published July 1, 2019.

Note also re: fracking technology: “I'm not aware of another case of a disruptive technological change that has done so much harm to the industry that created the change ... While hundreds of billions of dollars of benefits have accrued to hundreds of millions of people, the amount of shareholder value destruction registers in the hundreds of billions of dollars ... The industry is self-destructive.”--Steve Schlotterbeck, former chief executive of EQT, a shale gas giant, at a petrochemicals conference in Pittsburgh. Editor's note: and this doesn't even begin to address  fracking's health and environmental issues.

3) Investing
graphic: "INVESTING"  ©2017 DomainMondo.com
The Week: NASDAQ Composite +1.9% | S&P 500 Index +1.7% | DJIA +1.2%
Stocks finished slightly lower on Friday, backing away from all-time highs hit earlier this week, after a better-than-expected employment report in June partially rolled back investors' expectations for multiple rate cuts this year.
I Just Hope the Fed Doesn’t See This Jobs Report--wolfstreet.com. U.S. nonfarm payrolls rose 224,000 in June, well above market expectations of 165,000, according to the Labor Department. The unemployment rate edged higher to 3.7% (300,000 people entered the labor force looking for work and therefore counted as unemployed), but was still near 50-year lows. Wage growth was 3.1% year over year.
Goldman Sachs' explanation on why there is now a "bull market in almost everything"--"monetary policy" remains the main driver of risk appetite and expectations are now very bullish.

Global hedge fund liquidations exceeded launches for the third consecutive quarter as managers faced a tough capital-raising environment. About 213 funds closed in the first three months of this year, compared with 136 that opened--bloomberg.com. Editor's note: why pay the high fees?
Investor Notes: 
China: "The Huawei battle reflects a fundamental geostrategic shift in Washington. For decades, the U.S. foreign policy establishment assumed Beijing would evolve into a cooperative partner in the rules-based, American-led international order that did so much to foster China's boom. That hope has evaporated. Now, the United States sees China as an adversary determined to challenge American leadership in technology and innovation. President Donald Trump has launched a trade war against Beijing and is boosting defense spending. Huawei is cast as a Chinese standard-bearer in that struggle."--Special Report | reuters.com See also:

EU: The Eurozone’s Japanification--with the eurozone economy stuck in a low growth, low inflation and low rates environment, it's really hard not to make 'Japanification' comparisons. If we're honest, the eurozone is probably already in the thick of it, which means rates are likely to remain lower for longer and every new crisis or recession will bring the bloc closer to more Japanification--ing.com. See also French Bond Yields Slide Below Zero, Hit All Time Record Lows and Deutsche Bank's Restructuring Plan To Cost Staggering €5 Billion--zerohedge.com; German prosecutors are escalating a money laundering inquiry involving Deutsche Bank, including planned raids on wealthy former clients, a person with direct knowledge of the matter told reuters.com.
There is the ongoing economic misery across Europe. Most of the economy remains stalled – and there are signs it could get worse ...  I am not anti-European, but I think it’s about to go through a slow implosion. There is an increasing likelihood Europe becomes largely detached and delinked from the US and other Occidental economies, and irrelevant to the growth economies of the Orient. From a trade perspective, I suspect we’d [UK] be better off outside [the European Union]--Bill Blain.
See also  How Does the European Union Work? The EU’s authority has steadily expanded as its members have passed more and more decision-making power to the union--cfr.org. New leaders of the EU / ECB (nominees still need to be debated and ratified by the European Parliament):
  • Ursula von der Leyen, 60, Germany: European Commission President;
  • Charles Michel, 43, Belgium: President of the European Council;
  • Josep Borrell, 72, Spain: EU High Representative (foreign policy);
  • Christine Lagarde, 63, France: European Central Bank President.

U.S. Under the Radar: Pension Crisis Deepens in U.S. as strategies shift, outlooks dim--bloomberg.com. "I can only repeat again and again: There is no solution to the woefully underfunded pensions in Chicago and in Illinois that does not involve benefit cuts subsequent to a 2020 constitutional amendment or municipal bankruptcy.  And the sooner Pritzker and Lightfoot figure that out, the better off we’ll all be."--wirepoints.orgNote alsosoaring federal debt "poses substantial risks for the nation" warns Congressional Budget Office (CBO).

4) ICYMI Tech News:
graphic: "ICYMI Tech News" ©2017 DomainMondo.com
WTF Apple? Apple Moves Mac Pro Production to China--the $6,000 desktop computer had been the company’s only major device assembled in the U.S.--wsj.com. See also Electronics exodus from China--HP and Dell plan to shift up to 30% of notebook production out of China; Microsoft, Google, Amazon, Sony, Nintendo also want to move some production--nikkei.com.

Airbnb is among IPOs investors are anticipating in the second half of 2019--CNBC (video).

Broadcom In Advanced Talks to Acquire Symantec--another software acquisition by CEO Tan?

Antitrust: Retail Industry Leaders Association (RILA) representing Walmart, Target, Best Buy, others writes to FTC (pdf) about tech giant dominance, offering help with antitrust probes, and calls out Amazon and Google. 

Amazon & Product Liability: 3rd U.S. Circuit Court of Appeals (2-1) rules customers can sue Amazon when they buy defective products from its platform, even if Amazon did not make those products.

What's left to monetize? It appears the answer is "very little."--blogspot.com--"Advertising has always monetized consumers' time and attention, what we call engagement today. Big Tech has generated billions of dollars by monetizing other forms of engagement and privately owned capital/assets. Google has monetized web search ... AirBNB has monetized privately owned or leased homes and flats ..."

Early front-runners to regulate Libra are FINMA (Switzerland) and BOE (UK): "The long-run success of Libra critically depends on finding a nation with financial gravitas willing to provide Libra-friendly rules."--seekingalpha.com.

Ireland-based cryptocurrency exchange Bitsane has apparently vanished, taking as many as 246,000 users’ crypto deposits with it.--zerohedge.com.

Personal Tech: Surviving a SIM swap attack | zdnet.com--"Turns out, the attack was likely driven by a Coinbase account I experimented with in early 2018 that was never closed." See also The Motherboard Guide to Not Getting Hacked.

-- John Poole, EditorDomain Mondo

feedback & comments via twitter @DomainMondo


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2019-06-22

Tech Review 1) Big Tech & Antitrust, 2) World's Most Valuable Brands 2019

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Tech Review (TR 2019-06-22)--Domain Mondo's weekly review of tech investing news: Features • 1) Big Tech & Antitrust, 2) World's Most Valuable Brands 2019, Huawei? 3) Investing: The Week & Investor Notes: Where the 'Ready' Users of Libra & Calibra Are, 4)ICYMI Tech News: Unicorns, 5G, Nvidia & ARM, Google, Walmart, Slack, and more.

1) Big Tech & Antitrust
Antitrust expert Doug Melamed on the new probes into Big Tech

Doug Melamed, Stanford law professor, joins CNBC's "Squawk Alley" to discuss how the Microsoft antitrust case he helped bring to court might affect the new probes into major tech companies. CNBC Television video above published Jun 13, 2019.

2) World's Most Valuable Brands 2019
World's Most Valuable Brands 2019 | statista.com
Amazon, Apple, Google, Microsoft, Visa, Facebook, Alibaba, Tencent, McDonald's, AT&T.
For more: Top 100 Most Valuable Global Brands 2019 (published June 2019).

Editor's note: Huawei? 
#47. Where will Huawei be next year? Huawei says U.S. ban hurting more than expected, to wipe $30 billion off revenue and Bloomberg.com: Huawei Braces for Phone Sales Drop of Up to 60 Million Overseas.
"The most ambitious start-ups attempted to transcend their region of origin to become seen as global brands."--brandz.com
Chinese Cash In Silicon Valley Is Suddenly Toxic: as U.S. startups reject their money, Chinese venture-capital firms in U.S. are structuring deals to avoid regulators or shutting down. See also:  World’s Top Bicycle Maker Says the Era of ‘Made in China’ Is Over and Apple Explores Moving Some Production Out of China--Trade tensions prompt iPhone maker to consider diversifying supply chain. On Friday the U.S. Department of Commerce expanded its national security “entity list” to bar Chinese supercomputer firms from buying U.S. parts and components without U.S. government approval.

3) Investing
graphic: "INVESTING"  ©2017 DomainMondo.com
The Week--NASDAQ Composite +3.0% | S&P 500 Index +2.2% | DJIA +2.4%--for the week all three major U.S. stock indexes gained at least 2.2%, with the S&P 500 hitting its first record close since April. 
The Backstory: U.S. stocks ended slightly lower Friday, but locked in strong weekly gains after the Federal Reserve indicated on Wednesday it could carry out rate cuts later this year if economic conditions decline, with investors eyeing a slowdown in the global economy, and the G20 meeting in Osaka, Japan, 28-29 June 2019, where a widely anticipated meeting between Chinese President Xi Jinping and U.S. President Donald Trump may take place.
Investor Notes--where the 'ready' users of Libra & Calibra already are:
source: statista.com
Background:
  • Fed Chair LIVE Jun 19, 2:30pm EDT, ECB Draghi Chaos, Facebook Calibra & Libra"The first product Calibra will introduce is a digital wallet for Libra, a new global currency powered by blockchain technology."
  • In an opinion piece in the Financial Times on Friday, Facebook Inc’s co-founder Chris Hughes said the Libra cryptocurrency would hand over much of the control of monetary policy from central banks to private companies: “If global regulators don’t act now, it could very soon be too late,” wrote Hughes, who also said the corporations that would oversee the new currency would put their private interests - profits and influence - ahead of public ones. Editor's note: what Hughes describes is exactly how ICANN has been corrupted.   
  • The international Financial Action Task Force (FATF) has issued updated guidance concerning regulation of cryptocurrency and virtual assets at its meeting in Orlando, Florida.
  • European central bankers claim oversight over Facebook’s cryptocurrency--reuters.com. Reuters also reported that France is creating a G7 task force to study how central banks ensure cryptocurrencies like Facebook’s Libra are governed by regulations ranging from money-laundering laws to consumer-protection rules.

4) ICYMI Tech News:
graphic: "ICYMI Tech News" ©2017 DomainMondo.com
"Unicorns are amazingly deflationary vehicles. They're deflating rents, they're deflating driver salaries, they're deflating all kinds of things"--renown short-seller Jim Chanos explaining how Silicon Valley unicorns have pushed prices lower and why central banks are to blame.

According to latest estimates by Ericsson, 5G won’t really take off until 2021/2022. See also Crown Castle International: a play on the coming of 5G and the expansion of IoT--SeekingAlpha.com.

Nvidia says its accelerator chips will work with ARM processors by end of this year.

Google will eventually provide RCS Chat (replacement for SMS texting) directly to any Android user. Note also Google cancels plans for future tablets, focusing instead on Pixel phones and Pixelbooks (chromebooks).

Urban Mobility: Getting Beyond Gridlock--by 2030 robo-taxis, autonomous shuttles, and trains, will provide most urban mobility with private cars only a very small share, and buses almost non-existent.

Walmart: U.S. eCommerce Strategy and the Role of Jet.com. Walmart is the fourth largest online retailer in the US in 2019, according to eMarketer estimates, behind only Amazon, eBay, and Apple. See also: Apple says iPhones can now be fixed at all U.S. Best Buy stores, and Brick-and-Mortar Meltdown Gets Costly for Big Retailers--wolfstreet.com.

Slack closed at $38.62, June 20, 2019, up 48.5% from its $26 reference price, on its first day of trading as a direct listing, valuing the company at about $20B. Domain: slack.com. Investor relations: https://investor.slackhq.com/home/default.aspx.

UK: likely next Prime Minister, Boris Johnson, pledges to 'end the digital divide' by 2025, via a full rollout of fiber broadband.

Personal Tech: most U.S. mobile banking apps have security and privacy flaws, researchers say.

-- John Poole, Editor, Domain Mondo  

feedback & comments via twitter @DomainMondo


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2019-06-15

Tech Review | Entrepreneurs' Top Tips for Startups Raising Money (video)

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Tech Review (TR 2019-06-15)--Domain Mondo's weekly review of tech investing news: Features • 1) Entrepreneurs' Top Tips for Startups Raising Money, 2) Google and Facebook vs. Journalism & Democracy, 3) Investing: The Week & Investor Notes: Why Trump Will Win The Trade Wars, 4) ICYMI Tech News: Huawei, AT&T, Verizon, Amazon, Apple, Microsoft, Salesforce, and more.

1) Entrepreneurs' Top Tips for Startups Raising Money

Top entrepreneurs offer advice on how to raise money and spend it wisely. Financial Times (ft.com) video above published Jun 7, 2019.

2) Google and Facebook vs. Journalism & Democracy 

Facebook and Google control 60% of the online ad market, and why that's bad for journalism and democracy, according to this CNN Business video published Jun 7, 2019.

3) Investing
graphic: "INVESTING"  ©2017 DomainMondo.com
The Week: NASDAQ Composite +0.7% | S&P 500 Index +0.5% | DJIA +0.4%  *The major indexes are still showing strong gains for June — the Dow is up 5.1% and the S&P 500 is up 4.9%. 
Digital Trump  ©2016 DomainMondo.com
Investor Notes: Why Trump Will Win The Trade Wars
US: U.S. Stocks Still Look Better Than Anywhere Else | bloomberg.com--"while American outperformance continues to defy history, the rest of the world remains trapped in a bear market."

Editor's noteWhy Trump Will Win The Trade Wars: US exports make up only 12% of the US economy, of which nearly third go to Canada and Mexico, with which Trump has already made  trade deals (USMCA). In addition, many of the most valuable US exports are 'must-have' items such as Qualcomm chips. In short, Trump is playing with a much stronger hand (and he knows it), than China or Germany, the world's two largest exporters, both of which are heavy net exporters to the U.S., and upon which their economies are more dependent. Trump doesn't need to bluff, 'everyone in the game' knows he is holding the better hand (unless they are delusional or in a state of denial). China may still be trying to adjust to the culture shock of Trump's 'negotiating style' but the 'cold hard truth' is China’s Likely to Lose a Tech Cold War--bloomberg.com.

Germany, the world's second largest exporter, and dominant member of the EU, is actually a more complicated situation than China, with Brexit still an "uncertainty"--see UK Parliament Rejects Move To Block No-Deal Brexit--but if I were advising Germany, I would be worried. Germany will likely have to adjust to a new level playing field with the U.S. in trade, something long overdue, and which Germany has never had to face in the post-World War II era (now going on for almost seventy-five years), during which the U.S. generated big trade deficits with Germany as one way to stabilize and strengthen Europe to counter the Soviet Union. See Germany Struggles to Figure Out How to Get Trump to Back Off--bloomberg.com.
"If President Trump has a poker style it is almost certainly loose aggressive. It is the most challenging style to play well and the most difficult to play against. It is very hard to read a loose aggressive player, to know what they might do next. Such players are constantly taking the initiative, dominating the game. They are predictable only in their unpredictability. Sometimes they go down in flames but usually it is the loose aggressive players that win the money. Loose aggressive stands against tight weak. President Carter would probably play tight weak as would [UK Prime Minister] Mrs. May, although it is hard to imagine either at a poker table."--Arthur Goodhart 

• U.S. Mobility: 38 percent of US respondents say they are mobile with the resources, ability, and inclination to make a move. In fact, 5 percent of respondents say there is a 100 percent chance of their moving. The mobile are most likely to live in cities, though the income and educational background of "the mobile" and "the rooted" are similar.

• Borrowing costs are now lower than at any time since the founding of the US Federal Reserve in 1913 (or in the UK, since the Bank of England was established in 1694).
                        
EU: Foreign investment into Europe falls for first time in 7 years--CNBC International video  interview of  Andy Baldwin, EMEIA managing partner at EY, discusses the management consultancy's 2019 European Attractiveness report: "appetite to invest in Europe" has dropped to a seven-year low.

• Financial Stability, Or Lack Thereof, Drives The Eurozone Agenda | SeekingAlpha.com.

• IMF to warn Italy's debt poses major risk to euro zone economy. See also: Italy Poised to Launch Euro Parallel Currency | moneymaven.io.

• European banks? "They are burdened with an overbanked market, aging systems, a lack of resources to digitise and re-invent their services, and there are still no signs of any European banks emerging as cross border champions. European banking union is another EU initiative that seems to have drowned in the sea of bureaucracy that sinks everything. Governments still see their duty as protecting national banking champions. There is repeated regulatory failure; Danske Bank in terms of money laundering and the collapse of Spanish and Italian banks doesn’t help. No European banks are expanding, building market share. Instead they are all, and have been, retrenching. If I could think  of something positive to say about Europe ... But I really can’t"--Bill Blain Jun 4, 2019.
                        
China: the International Monetary Fund expects Chinese growth to slow to 6.2% this year and to 6% in 2020, the weakest since 1990, but many analysts believe real growth has already dipped below those levels, confirming a grim outlook for the world economy. See also The Countries with the Most Monstrous Corporate Debt Pileups.

Hong Kong: after seven hours of marching, organizers estimated 1,030,000 people took part in the protest opposing the proposed China extradition law.
                        
Not All That Glitters: the Couple Who Scammed Warren Buffett out of over $300 Million.

4) ICYMI Tech News:
graphic: "ICYMI Tech News" ©2017 DomainMondo.com
January 2019: the US Justice Department unseals Huawei indictments including 23 counts (here and here) pertaining to the alleged theft of intellectual property, obstruction of justice, and fraud related to its alleged evasion of US sanctions against Iran.
June 2019: 'Dead Man Walking' Huawei, applies to trademark its “Hongmeng” operating system (OS) in at least nine countries and Europe, deploying a back-up plan in key markets as U.S. sanctions threaten its business model. However, China's industry insiders are less optimistic that Chinese chip makers can quickly meet the challenge of supplying all the needs of Huawei and other domestic technology firms. Prospectuses of Chinese chip companies preparing to list on a new tech-focused stock exchange in China are even more blunt, characterizing China's domestic chip industry as “relatively backward,” lacking in talent, and requiring “a long time to catch up.” 
See also:
  • Huawei indefinitely postpones the announcement of a new Windows laptop, originally scheduled for June, 2019, due to ongoing US trade sanctions.
  • Google Is Moving More Hardware Production Out of China--Trump’s tariffs push tech giant to boost Taiwan manufacturing, while companies, both foreign and domestic, increasingly seek to pivot production away from China due to U.S. President Donald Trump’s efforts to reset the  parameters for global trade and manufacturing. Foxconn says it can assemble Apple iPhones outside China.

AT&T: Dish Network Corp is open to merging its satellite television business with AT&T Inc.’s pay TV service, DirecTV, since both Dish and DirecTV are hemorrhaging subscribers as viewers continue to shift to cheaper online streaming services such as Netflix Inc and Amazon.com Inc.’s Prime video service. Unfortunately, AT&T's problems don't end there as AT&T appears to have no viable plan for its WarnerMedia streaming service a year after the Time Warner merger closed.

Verizon: 7 Reasons To Turn Bearish--upcoming Wi-Fi 6 and Wi-Fi 7 technology may disrupt the wireless mobile industry by making free or low-cost city-wide Wi-Fi a reality.

Amazon is Betting Big On Satellite Internet. See alsoAmazon is offering flight booking on its platform in India, and it wants to build a one-stop app to offer customers a wide range of services which will attract users to Amazon Pay in the crowded digital wallet industry.

A $6 Billion Record Fine may be coming next year against Apple--see Spotify's complaint against Apple filed with the European Commission--timetoplayfair.com.

Why Sell Microsoft--new tax law ramifications .. cloud computing has no moat ... Windows 10 has continuing quality and performance issues [Editor's notemost people would be better off to forget about Win10 and just get a Chromebook] ... Microsoft behind in artificial intelligence (AI).

Salesforce: $CRM all-stock deal valued at $15.7B, for data visualization company Tableau (NYSE: DATA).

Instagram, a fashionista favorite, helped unknown labels find an audience but now "big bucks are changing the game" as cash rich luxury goods groups such as LVMH and Kering use increased social media budgets to drown out rivals on platforms once seen as a leveler for brands big and small.

IPO: Pet care company Chewy Inc. (NYSE: CHWY) (domain: chewy.com), closed up 59% at $34.99 after its debut IPO on the New York Stock Exchange, Friday, June 14.

A Bad Use of Technology: "Illegal robocalls are not just a drain on individual households' peace of mind, they are also a drain on our economy," FCC Chief Economist Babette Boliek and Chief Technology Officer Eric Burger wrote in a blog post, before the FCC voted unanimously to let carriers block robocalls by default.

Personal Tech: Google’s Login Chief Would Rather You Use Apple’s Sign-In Button Than Keep Using Passwords--‘I honestly do think this technology will be better for the internet.’

-- John Poole, Editor, Domain Mondo  

feedback & comments via twitter @DomainMondo


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2019-06-08

Tech Review | Tech Fade? Apple, Google, Facebook, Amazon

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Tech Review (TR 2019-06-08)--Domain Mondo's weekly review of tech investing news: Features • 1) Tech Fade? Apple,Google, Facebook, Amazon, 2) Antitrust & $AAPL, $GOOGL, $FB, $AMZN, 3) Investing: The Week & Investor Notes,  4)ICYMI Tech News: Huawei, Amazon, PlanetScale, #FoodDelivery, and more.

1) Tech Fade? Apple, Google, Facebook, Amazon
Tech Fade: "We just don’t get as excited about tech as we used to"--enthusiasm about startups and embracing new things has been replaced by cynicism.

WWDC19 Keynote June 3, 2019, at 10 a.m. PDT Streamed LIVE:
source: statista.com
Did The Tech Bubble Just Pop: Investors Balk At SoftBank's Attempt To Raise $100 Billion"Something is not quite right with SoftBank."

2) Antitrust & $AAPL, $GOOGL, $FB, $AMZN

CNBC Television video above published Jun 5, 2019: discussion on antitrust and U.S. tech companies with CNBC's Josh Lipton and Joe Kernen, and the Fast Money traders, Pete Najarian, Tim Seymour, Karen Finerman and Guy Adami, and Antitrust Lawyer Gary Reback, Carr & Ferrell, on the government's antitrust case against Google.
  • Google, Amazon, Facebook and Apple, worth nearly $3 trillion combined, reportedly under federal investigation.
  • Google Should Be Afraid. Very Afraid--a new round of antitrust questions can’t go well for the company. The culture has turned against tech since Google skated free in 2013--bloomberg.com.
  • Google has few political allies and a history of complaints, so an antitrust case may move quickly, say experts.
  • FTC and DOJ agree on antitrust oversight of Google and Amazon, putting Amazon under FTC and Google under DOJ.
  • The House Judiciary Committee is launching a bipartisan investigation into whether large tech companies such as Facebook, Google and Amazon are using their vast market power to suppress competition.
  • A possible Apple probe is reportedly linked to the Google probe, and stems from meetings between the DOJ and the FTC.

3) Investing
graphic: "INVESTING"  ©2017 DomainMondo.com
The Week: NASDAQ Composite +3.9%| S&P 500 Index +4.4% | DJIA +4.7%  
U.S. markets' best week of the year--Trump was right about the Fed.
Investor Notes: in the U.S. Q1 turned out much better than what many pundits predicted:
and Despite Tariff Concerns, Analysts Making Smaller Cuts Than Average To EPS Estimates For Q2 | FactSet.com. Also: History Points To A Recovery in US Stocks--DatatrekResearch.com May 31, 2019--"data shows upside ahead despite a rocky May."

EU: The eurozone economy is stumbling and risks to financial stability are rising, says the European Central Bank (ECB). Italy Is Threatening to Repeat the Greek Debt Crisis—But With Higher Stakes | Fortune.comItaly's GDP per capita remains stagnant at the same level as 18 years ago--Is The Sinking Italian Economy Just The Tip Of The Iceberg?--SeekingAlpha.com.

China: Chinese Bank With $105 BN In Assets On Verge Of Collapse. China’s stock market hit by the biggest outflow of foreign capital on record in April and May as trade war with the US and worry about the stability of the RMB weighed on investors, reported the Financial Times. China services PMI Plunges As Output Expectations Hit 7 Year Lows--zerohedge.comAlsoPentagon report slams China for “eroding the values and principles of the rules-based order”--bloomberg.com.

4) ICYMI Tech News:
graphic: "ICYMI Tech News" ©2017 DomainMondo.com
Huawei is selling off its undersea telecom cable business, its first major asset sale since the U.S. Government's accusations against the company. Facebook suspends app pre-installs on Huawei phones.

Amazon says 10 million items are now available for one-day shipping; while Walmart's recently launched 'next-day shipping' has only about 200,000 items available.

Amazon said it would open pop-up shops in the UK to give more than 100 small online businesses an opportunity to sell on the 'high street' for the first time. “Clicks and Mortar” stores will sell homeware, health and beauty, food and drink, and electronics.

Food-Delivery Rivals DoorDash, Grubhub, Uber Eats and Postmates Risk Capital Destruction--a problem in the 'valuations.'

Boeing 737 Max: fatal flaws can be traced to a breakdown late in the plane’s development, when test pilots, engineers and regulators were left in the dark about a change that would ultimately play a role in two crashes--NYTimes.com.

IBM: 5% Yield And Nearing Dividend Aristocrat Status?

Google To Buy Data Analytics Startup Looker for $2.6B.

Personal tech: FCC votes unanimously (pdf) to let carriers block robocalls by default and advances proposed rule for carriers to adopt SHAKEN/STIR caller ID system.

-- John Poole, Editor, Domain Mondo  

feedback & comments via twitter @DomainMondo


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2019-06-01

Tech Review | Kiss Your Car Goodbye, Mobility As A Service (video)

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Tech Review (TR 2019-06-01)--Domain Mondo's weekly review of tech investing news: Features • 1) Kiss Your Car Goodbye, Mobility As A Service, 2) The World's Largest Car Manufacturers, 3) Investing: The Week & Investor Notes, 4)ICYMI Tech News: Facebook, IBM, Google, Microsoft, Nvidia, Huawei, and more.

1) Kiss Your Car Goodbye, Mobility As A Service

Drivers are already ditching their cars because of apps like Uber. Imagine what happens when driverless cars hit the roads. Bloomberg QuickTake explains the idea known as “mobility as a service.” Bloomberg.com video above published May 28, 2019. Note also: a generational wave, "millennials show little interest in car ownership."

2) The World's Largest Car Manufacturers May 27, 2019:
source: statista.com
Editor's note: How Many Will Still Exist in 2030? 

Fiat Chrysler Automobiles (FCA) has made an offer (pdf) for a merger with the Renault Group that would create the third largest automobile manufacturer in the world. According to the proposal, the newly formed group would be co-owned by FCA and Renault shareholders at a 50-50 split with a balanced number of seats on the Board of Directors.

3) Investing
graphic: "INVESTING"  ©2017 DomainMondo.com
The Week: NASDAQ Composite -3% | S&P 500 Index -3% | DJIA -3%
Investor Notes:

US: the earnings yield on US stocks as an asset class has further widened its gap to bond yields. If today's low inflation is not transitory, the U.S. stock market multiples may be way too low. "What can drive [bond] yields higher? Inflation, which nobody in the investing universe believes is an actual ‘thing’ anymore," Nomura’s Charlie McElligott wrote last week.

China: US-Traded Chinese Stocks & ADRs Totally Crushed--many by 50% or 60% or more. See also Which Chinese Banks Will Fail Next?

Eurozone: haggling over who will succeed Mario Draghi begins--the process to replace ECB president comes under scrutiny as region faces economic and political turmoil. German Unemployment Explodes Most Since Financial Crisis, Sending Bund Yields Near Record Lows.

GundlachDeutsche Bank "price action looking pretty scary"and Soc Gen "heading straight south yet again"--
UK: May Ends In June--UK Prime Minister Theresa May has been a dismal failure--"She's no Lady Thatcher." Boris Johnson, Conservative Party MP, former UK Secretary of State, and former Mayor of London (2008-2016), likely to succeed Theresa May as Prime Minister.

The Brexit Party's rising star is Annunziata Rees-Mogg, newly elected MEP:
4) ICYMI Tech News:
graphic: "ICYMI Tech News" ©2017 DomainMondo.com
Facebook expects to launch cryptocurrency ‘GlobalCoin’ in Q1 2020, as a stablecoin pegged to a basket of fiat currencies, and is spending significant time with officials from both the US Treasury and the Bank of England. Facebook is also talking with money transfer firms including Western Union, clearly intending to compete with Paypal’s Venmo and Square’s CashApp, and become one of the world’s leading digital wallets.--Ark-Invest.com.

Quantum computing could help companies address problems as huge as supply chains and climate change. IBM, Google, Microsoft, and others are racing to bring the tech from theory to practice.

Nvidia bringing pro-level Quadro RTX GPUs to laptops--the Quadro RTX 5000 series is now available in mobile form. See also: Nvidia unveils its first AI platform for edge devices--Nvidia EGX, compatible with AWS and Azure IoT offerings; launch partners include Cisco, HPE, and Lenovo.

For Uber, autonomous vehicles can't come soon enough--Uber loses $1 billion in quarter as costs grow for drivers, food delivery.

Huawei: court documents, government and industry sources detail decades of Huawei's alleged IP theft, from the science behind 5G to phone accessory designs--channelnews.com.au. The fallout of the US Commerce Department adding Huawei to its “Entity List,” could be profound. President Trump's offhand remarks that Huawei was banned because it is a security threat yet the ban could be lifted as part of a trade deal, makes no sense except as a taunting negotiating ploy. Huawei smartphones rely on ARM-based CPUs and Google’s Android operating system. An export ban on these technologies effectively freezes Huawei’s product roadmap. Huawei will have to find alternatives to ARM-based mobile chips and a non-Google version of Android, a nearly impossible task. Likewise, Huawei’s 5G equipment requires components and intellectual property (IP) from US companies such as Qualcomm, Broadcom, Texas Instruments, and others. Building a full 5G product stack, without access to US tech, is likely impossible.

Rare Earths: China supplies around 80% of world's rare earths, crucial for electronics, but not  effective for retaliation over the Huawei ban--despite the name, rare earths just aren't that rare.

Malinvestment: Tech Unicorns Are Just Like China's "Ghost Cities."

Congratulations to companies in South Korea, Japan, Taiwan, Vietnam and other Southeast Asia countries--"You did nothing, but you are all winners. Don't forget to send a thank you note to Mr. Trump, for all the new jobs he's about to create in your countries."--Likely Winners In The U.S.-China Trade War.

Google to invest 600 million euros in Finland data center. Note also: concerns rise about Google's ~121K temporary and contract workers globally, compared with just ~102K full-time staff.

Japan to limit foreign ownership of firms in its IT, telecom sectors,

Alibaba plans second listing in Hong Kong to raise $20 billion. China's Semiconductor Manufacturing International (SMIC), delists from the NYSE.

IKEA to revamp app--the world’s biggest furniture retailer is shifting its business model away from brick-and-mortar suburban stores towards making shopping easier online.

Disruptive Innovation (smartphones): Digital Camera Sales Dropped 84% Since 2010.

Crypto: up to 86% of total reported cryptocurrency trading volume is likely fake, according to analysis of exchange website visits--theblockcrypto.com,

Amazon interested in buying Boost from T-Mobile, Sprint.

AT&T: CEO Randall Stephenson is "taking on Netflix and Comcast simultaneously. It won't be easy."--a look at AT&T's "grand vision" of transforming into a “modern media” company spanning multiple content networks, distribution channels, and customer data streams--fortune.com. Editor's note: my gut feel is that "it will all end badly." AT&T can't compete with Netflix, Amazon, Disney, et al. Who are they ($T management) kidding?
$T
Apparently, Wall Street is not impressed! The only thing AT&T has is a sweet dividend (for now).

-- John Poole, Editor, Domain Mondo  

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