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Does Qualcomm Need Apple?

June 30, 2016 by  
Filed under Computing, Smartphones

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The fanboys aka the Apple Press has been running down Qualcomm since its favourite company announced it was buying chips from Intel, but there are good reasons why the American chipmaker should not care that much.

As we have been saying for ages, Jobs’ Mob is no longer exclusively going with Qualcomm to provide modem chips for the upcoming iPhone 7. The deal, while large, is tailored for some of Apple’s partnerships. Intel gets AT&T phones and Qualcomm remains the supplier for Verizon network phones and for China.

The press has been claiming that it is terrible news for Qualcomm. But it appears Qualcomm knew it was coming and had already factored in the loss of the business into its results. The reason Qualcomm is not losing any sleep over the deal is because the most Intel is going to get is a third of the iPhone modems. This is what in financial terms is considered a “pisser” but hardly a reason to jump off any buildings over.

Other good things are happening to Qualcomm which more than balance out what has been lost to Intel. Firstly its latest Snapdragons are selling extremely well and secondly the shine is starting to go off its number one rival MediaTek.

For a while, naysayers have been predicting that MediaTek was going to sink Qualcomm. In fact there was even a suggestion that Qualcomm should get out of chipmaking and become a patent troll.

MediaTek had been luring away Qualcomm customers with cheaper chips, which combined with Apple, Samsung and Huawei making their own chips was creating a perfect storm of doom.

Now there is a suggestion that MediaTek’s growth wagon might have stalled. MediaTek’s sales fell 9.4 per cent annually last quarter to $1.7 billion. Its operating margin halved from 16 per cent last year to eight per cent. The reason was due to higher expenses across the board. This meant that its net income fell to $136 million. MediaTek is still more profitable than Qualcomm’s chipmaking division has a wafer thin 5 per cent last quarter.

Analysts expect MediaTek to post double-digit sales growth fuelled by rising demand for 4G smartphone chips in China. But its margins are also expected to keep contracting due to tough competition from Qualcomm and Spreadtrum.

Another risk for MediaTek is its dependence on China. Taiwan just got rid of the pro-unification KMT party, which controlled the presidency for the past eight years, in favour of the pro-independence DPP party.

MediaTek needs direct investments from mainland China to fight off Qualcomm, but it is finding that the Taiwanese government is blocking that sort of investment cash.

All this is giving Qualcomm a fighting chance in the area where it makes a lot of its cash. Sure its margins might be lower, but it still making more money. Enough so that it does not have to worry about losing a small about of dosh to Intel.

Courtesy-Fud

Sprint Confirms Jobs To Be Cut 

November 17, 2015 by  
Filed under Around The Net

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Sprint Chairman and SoftBank CEO Masayoshi Son has confirmed that job cuts at Sprint will be “in the thousands” as part of a restructuring plan.

His comments came as SoftBank, which owns more than 70% of Sprint, reported its quarterly earnings.

“Sprint is now in the position to increase the pace of user acquisition while cutting costs,” Son said, according to Bloomberg and other news sources. “We will also cut staff. The cuts will be in the thousands.”

Son’s comments are not out of line with things Sprint CEO Marcelo Claure has been telling Sprint workers for months.

On Tuesday, Sprint’s stock price sagged downward after an earnings report included a statement saying that the carrier plans to cut $2 billion or more in operating expenses for its 2016 fiscal year, which begins in April.

Son also said the $2 billion is a “minimum target” and should be the amount slashed annually, according to a report by The Wall Street Journal. The company now has more than $25 billion in annual costs.

Sprint has been investing in attracting new customers — an effort that has been costly but effective. On Tuesday, Sprint reported it gained 237,000 postpaid phone customers in its second fiscal quarter, which ended Sept. 30. It was the first time the company had showed gains on that measure in two years. It also reported its lowest customer cancellation rate in company history.

In November 2014, Sprint had said it would cut 2,000 jobs as part of $1.5 billion in cost reductions. That announcement came after Sprint had cut 5,000 jobs from January through September 2014. The company had 31,000 workers at the start of its current fiscal year on April 1.

Source- http://www.thegurureview.net/mobile-category/sprint-confirms-thousands-of-jobs-to-be-cut.html

Apple TV Service Delayed Again

August 26, 2015 by  
Filed under Consumer Electronics

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Apple Inc will push back rolling out its live TV service to at least next year, Bloomberg reported, citing people familiar with the iPhone maker’s plans.

The company had planned to introduce the service, which is delivered over the Internet, this year.

Discussions with broadcasters such as CBS Corp and Twenty-First Century Fox Inc to license programming are progressing slowly, and lack of content has led Apple to scrap plans to announce the service at a Sept. 9 event, Bloomberg said.

Apple also lacked the computer network capacity to ensure a good viewing experience, Bloomberg said.

The company still plans to introduce a more powerful version of its Apple TV set-top box at the event, which will be held in San Francisco.

Apple was aiming to price the new service at about $30 to $40 a month, media reports have said.

Source

Is Qualcomm Overheating?

February 2, 2015 by  
Filed under Computing

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South Korean smartphone maker LG Electronics Inc said on Thursday that it has not experienced any overheating problems with Qualcomm Inc’s new Snapdragon processor that is powering a curved-screen device going on sale later this month.

“I am very much aware of the various concerns in the market about the (Snapdragon) 810, but the chip’s performance is quite satisfactory,” Woo Ram-chan, LG vice president for mobile product planning, told reporters at a press event for the company’s G Flex2 smartphone.

The comment came after Bloomberg reported a day earlier that Samsung Electronics Co Ltd, the world’s top smartphone maker, decided not to use the new Qualcomm processor for the next flagship Galaxy S smartphone after the chip overheated during testing. Samsung and Qualcomm have declined to comment on the report, which cited unidentified sources.

Samsung is widely expected to unveil the new Galaxy S smartphone in early March, and Bloomberg reported that the Korean firm will use its own processors instead.

But LG’s Woo said on Thursday that internal tests for the G Flex2, powered by the new Qualcomm processor, show that the new product emits less heat than other existing devices. The new phone is scheduled to start selling in South Korea on Jan. 30.

“I don’t understand why there is a issue over heat,” he said.

Source

Will Sprint Acquisition Efforts Succeed

May 19, 2014 by  
Filed under Smartphones

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Sprint Corp is meeting with banks to devise a funding plan for its bid for smaller rival T-Mobile US Inc, a source familiar with the situation said, as the mobile carrier works to ease regulatory concerns that the deal would hurt competition.

The source said that Sprint, which is owned by Japan’s SoftBank Corp, is looking to fund the bulk of T-Mobile’s estimated $50 billion price tag with corporate bonds and cover the rest with syndicated loans and convertible bonds.

Sprint is currently having discussions with at least five banks, the source told Reuters, including JP Morgan, Goldman Sachs and Deutsche Bank.

Bloomberg, which first reported that Sprint was in talks with banks on Thursday morning in Asia, said the carrier was also talking to Mizuho Financial Group Ltd and Citibank. Softbank is expected to make a formal offer in June or July, Bloomberg added.

Sprint spokeswoman Roni Singleton told Reuters the company does not comment on rumors and speculation. T-Mobile and SoftBank both declined to comment on the Bloomberg report.

Sprint is facing a battle ahead with U.S. regulators who oppose consolidation in the wireless market on the basis it would inhibit competition. The company is aware it may have to give up some of its spectrum holdings to win over critics, the source said.

Two of the most vocal opponents to the deal are Federal Communications Commission Chairman Tom Wheeler and U.S. antitrust chief William Baer, who have pointed to T-Mobile’s success since U.S. authorities rejected a 2011 merger between AT&T Inc and T-Mobile on the grounds the market needs at least four major players to be competitive.

The failure of that deal cost AT&T a $6 billion break-up fee, a penalty Sprint feels confident it can avoid, the source said, adding that it is leaning towards having Deutsche Telekom, which currently owns 67 percent of T-Mobile, retain part of that stake.

Source

Banks Join Instant Chat

October 16, 2013 by  
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Goldman Sachs Group Inc, JPMorgan Chase & Co and six other financial institutions have agreed to join a new instant messaging network from Markit and Thomson Reuters Corp to connect disparate messaging systems.

The network, called Markit Collaboration Services, launched on Monday and allows members to chat with one another regardless of the proprietary messaging technology that each firm uses.

This open platform differs Bloomberg LP’s messaging system, which is a closed network only for users of Bloomberg terminals.

Bloomberg messaging is the most popular form of chat on Wall Street, and often cited as one of the reasons banks are willing to pay around $20,000 a year for a subscription to a Bloomberg terminal.

Markit and Thomson Reuters said they hoped their open messaging network will attract banks that want to chat with their clients or other financial institutions but cannot currently do so because they are on different messaging systems.

The other banks that have joined the new network are Deutsche Bank, Bank of America Merrill Lynch, Barclays, Citigroup, Credit Suisse and Morgan Stanley, according to a statement from Markit.

The banks collectively employ more than 1 million people worldwide, though it was not immediately clear how many individuals will use the new Markit service.

David Craig, president of Thomson Reuters’ Financial & Risk division, said one of the challenges facing banks is that their messaging systems do not always talk to one another. “That creates costs and complexity,” he said.

Markit and Thomson Reuters said the messages on the new network are encrypted, and the system does not store them.

Representatives from Bank of America, Deutsche Bank, Goldman Sachs and Morgan Stanley were not immediately available to comment on the new messaging system. Representatives from Barclays, Citi, Credit Suisse and JPMorgan also declined to comment.

Source

Is nVidia Working On A Tablet?

August 12, 2013 by  
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According to a report over at Tabtech.de that managed to spot an unknown device in the result page of the GFXBench, Nvidia might be gearing up to release a phablet or tablet.

The device is listed as Nvidia Tegra Note Premium and scores just slightly lower than the Nvidia Shield in GFXBench. It feature Tegra 4 clocked at 1.8GHz and has a resolution of 1280×800 which probably points out to a tablet rather than phablet but everything is possible. It was running Android 4.2.2 Jelly Bean when it was tested.

At Computex 2013 back in June, Nvidia showcased a rather unique device that was used to demonstrate pressure-sensitive functions of a stylus and which might be the device that showed up in the GFXBench results. The 1280×800 resolution is not impressive and far off from what the competition currently has to offer, but then again Nvidia might want a cheaper tablet or phablet on the market.

In any case we will surely keep an eye out for Nvidia’s Tegra Note Premium, whatever it turns out to be.

Source

Intel Invests In Tablet Business

July 5, 2013 by  
Filed under Computing

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Intel has invested in E La Carte, a firm that designs tablets for restaurants.

Intel Capital, the chipmaker’s investment arm, has bought into in all sorts of companies outside of semiconductors in a bid to diversify the firm’s income. Now the chipmaker has invested in E La Carte, a firm that designs tablets for use in restaurants.

E La Carte raised a total of $13.5m in second round funding for its niche tablet business, with Intel Capital leading the investment. The firm said it would use the capital injection to grow the firm and to try to increase the number of restaurants that use its tablets.

Christine Herron, director of Intel Capital said, “E La Carte offers the most innovative and reliable guest tablet solution in the industry. We’re thrilled to further accelerate the company’s growth with not only capital, but also our significant resources and expertise in manufacturing, operations, and media.

“As E La Carte transforms the dining experience, we are creating a new market for both restaurant and guest services.”

E La Carte claims to have sold thousands of tablets to restaurants and cites a month on month growth rate of 35 percent. For Intel it is one way of getting a foothold in the tablet market, even if its Clovertrail+ tablets have yet to take the market by storm.

Rajat Suri, CEO of E La Carte said, “We are excited to work with Intel to grow our footprint to more restaurants across the country. With more than 200,000 casual-dining restaurants in the US, we see an enormous opportunity to make full service and fast casual restaurant experiences more enjoyable for guests, and more profitable for restaurant operators.”

Aside from the cash, Intel Capital will also provide advice in manufacturing, operations and media to E La Carte, presumably with the hope of taking the firm public in the future.

Source

Toshiba Cancels Windows Tablet

August 22, 2012 by  
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Toshiba on Tuesday officially confirmed what Microsoft recently hinted at: It won’t be delivering a Windows RT-based tablet anytime soon.

“Toshiba has decided not to introduce Windows RT models due to delayed components that would make a timely launch impossible,” the Japanese electronics company said in a statement to Bloomberg earlier today. “For the time being, Toshiba will focus on bringing Windows 8 products to market. We will continue to look into the possibility of Windows RT products in the future while monitoring market conditions.”

Last June, Toshiba showed two Windows RT-based concepts — a tablet with a docking station and a “clamshell” design that resembled a keyboard-equipped ultralight notebook — at Computex. The devices were not operational, however.

Based on those concept devices, most had included Toshiba in the slowly-growing list of OEMs (original equipment manufacturers) that were believed to be preparing Windows RT hardware for launch this year or early next.

Source…

An Apple/Hulu Hookup In The Works?

July 28, 2011 by  
Filed under Internet

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Apple Inc is in very preliminary talks to join the bidding for Hulu, the online video site that Walt Disney Co, News Corp and its other owners have put up for sale, Bloomberg cited two anonymous sources as saying.

Apple has begun initial discussions that may eventually lead to an acquisition, Bloomberg reported without providing any more details.

An Apple spokesman declined to comment on the rumor.

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