|Day's Range||14.34 - 14.75|
There's a call to regulate Amazon but it's unclear to what extent and whether it will stunt the company.
Amid bipartisan backlash against Libra, some House Republicans are urging Congress to keep an open mind about emerging technologies. Yahoo Finance's Jessica Smith breaks down the details on "YFi PM."
Adam Shapiro highlights today's top trending stories on Yahoo Finance.
In celebration of "World Emoji Day", Apple and Google are previewing a new collection of emojis coming this fall. Melissa Thermidor, who was instrumental in creating the "Blood Drop" and "Interracial Couple" emojis, joins CBSN's Tanya Rivero to discuss the creation process.
Apple Inc. was upgraded to outperform from market perform by Raymond James, which says it has greater confidence on next year's 5G iPhone cycle. Raymond James also upgraded Skyworks to outperform, since it's a chip supplier. "Our more recent checks suggest that Apple plans to bring 5G to a wider range of iPhone models, which is different from their plan when they had intended to use Intel's modem. We feel that offering 5G at lower price points will drive a stronger product cycle, and early production plans tend to confirm that view," said the analysts.
It was just a year ago that the debate about trillion-dollar market caps focused on Apple Inc. and Amazon.com Inc., but Microsoft has held that title to itself for more than a month.
(Bloomberg) -- Qualcomm Inc. was fined 242 million euros ($272 million) by European Union antitrust regulators for deliberately pricing some chips so low they could eliminate a smaller rival.The penalty comes a year after Qualcomm was ordered to pay 997 million euros for thwarting rival suppliers to Apple Inc. The EU said Thursday’s fine was 1.27% of Qualcomm’s revenue last year and "aimed at deterring market players" from trying the same thing.The Qualcomm investigation targeted 3G chips for internet mobile dongles sold between 2009 and 2011. Regulators said these were sold below cost to Huawei Technologies Co. and ZTE Corp., "two strategically important customers," in order to push Icera, now owned by Nvidia Corp., out of the market."Icera was becoming a viable supplier of UMTS chipsets providing high data rate performance, thus posing a growing threat to Qualcomm’s chipset business," the EU said.Companies have complained about the slow pace of EU antitrust enforcement in fast-moving technology markets. Icera sought to draw in the EU by filing a complaint in 2010. It was sold to Nvidia a year later in 2011. The EU opened an investigation four years after that.Qualcomm said in a statement it will appeal and “expose the meritless nature of this decision.” It said it plans to provide a financial guarantee instead of paying the fine, until the courts have ruled.“The commission’s decision is based on a novel theory of alleged below-cost pricing over a very short time period and for a very small volume of chips,” Qualcomm’s general counsel Don Rosenberg said in the statement. “Contrary to the commission’s findings, Qualcomm’s alleged conduct did not cause anti-competitive harm to Icera.”Nvidia didn’t immediately respond to a request for comment.Apple ChipsLast year Qualcomm was handed the EU’s fifth-largest antitrust penalty over payments to Apple that the EU said were an illegal ploy to ensure only its chips were used in iPhones and iPads. San Diego-based Qualcomm is challenging the fine at the EU courts.Qualcomm, the largest maker of chips for mobile phones, is unique among semiconductor makers in that it gets most of its profit from licensing patents. Makers of handsets pay the company royalties, whether or not they use its chips. That lucrative profit pool has come under attack as governments around the world scrutinized Qualcomm’s business practices.(Updates with Qualcomm response in sixth, seventh paragraphs.)\--With assistance from Stephanie Bodoni.To contact the reporter on this story: Aoife White in Brussels at email@example.comTo contact the editors responsible for this story: Anthony Aarons at firstname.lastname@example.org, Peter Chapman, Christopher ElserFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Taiwan's TSMC forecast that robust demand for 5G chips will drive a stronger second-half even as it anticipates a dispute between Japan and South Korea involving chip-making materials to be a big source of uncertainty. Taiwan Semiconductor Manufacturing Co Ltd (TSMC) forecast third-quarter revenue to rise as much as 8.4% from a year earlier in U.S. dollar terms. TSMC, which makes modem chips for U.S. chipmaker Qualcomm Inc, is expected to see early gains from the shift to 5G as smartphone makers including Samsung Electronics Co Ltd and Huawei race to develop phones enabled with that technology.
FaceApp has gone viral again with a feature that makes users look elderly, but experts say it may pose security concerns.
(Bloomberg) -- Netflix Inc. shocked investors by reporting a drop in U.S. customers and much slower growth overseas, raising fears that the streaming giant is losing momentum just as competitors prepare to pounce.The shares plunged 11% to about $323 in pre-market U.S. trading after Netflix reported the loss of 130,000 customers in the U.S. -- the result of higher prices and a weak slate of TV shows. It signed up 2.8 million subscribers internationally in the period, roughly half what the company predicted.“Netflix has a difficult road ahead, with looming competition and the removal of popular content,” said EMarketer Inc. analyst Eric Haggstrom. But a stronger lineup of new shows in the current quarter could help attract former subscribers, he said.The quarter represents the biggest black eye for Netflix since 2011, when the company split its DVD-by-mail business from its streaming business. That move raised prices for its customers, and resulted in the loss of more than 800,000 subscribers in the U.S. The company had planned to call the DVD service Qwikster, but it backpedaled on the plan after investors and customers scoffed at the idea.Netflix said the miss is a one-time blip rather than a long-term problem. The second quarter has typically been its weakest time of year: The company missed its forecast during the period in three of the past four years.Netflix looks to add 7 million subscribers in the current quarter, thanks in part to the return of top shows “Stranger Things” and “Orange Is the New Black.”“Our position is excellent,” Chief Executive Officer Reed Hastings said during a videoconference call Wednesday. “We’re building amazing capacity for content. Our product has never been in better shape.”Heavy SpendingFor now, the second-quarter shortfall is renewing investor concern about the company’s heavy program spending and low profitability. Netflix shelled out more than $3 billion on programming in the quarter and another $600 million to market its shows. The company spent $594 million more than it took in and will need to raise money to fund programming.Investors had been forgiving about the spending and the debt -- so long as customers grew at record rates. But the loss of subscribers in the U.S. was the first since the Qwikster debacle, and it suggests Netflix may be running into price resistance or the limits of the addressable domestic market. The company has forecast it can reach as much as 90 million customers in the U.S., compared with 60.1 million currently.Overseas SlowdownInternational results flagged too, with the company missing its own forecast of 4.7 million new subscribers. Europe, Latin America and Asia have been the primary drivers of Netflix’s customer acquisition in recent years, and growth must be sustained if the company is to justify its high valuation.Netflix is introducing a cheaper, mobile-only package in India to attract customers in a big market with price-sensitive customers.Analysts expect the company to have a blockbuster second half because of a heavy release schedule that includes a new season of “The Crown” and movies by directors Martin Scorsese and Michael Bay. Even after the slowdown last quarter, Netflix still thinks it can have its best year of customer growth in 2019.But competition is coming. Walt Disney Co. and Apple Inc. plan to introduce streaming services this year, while offerings from Comcast Corp. and AT&T Inc. arrive in 2020. Those services may not steal users from Netflix, but they will make future growth harder, according to Michael Pachter, an analyst with Wedbush Securities.Just a Preview?“We saw a preview of next year with this quarter,” Pachter said in an interview with Bloomberg Television. “Next year, they’ll have a couple quarters where they’ll lose subscribers.”Another challenge: Competitors are taking back rights to programs that have been popular on Netflix, including “Friends” and “The Office,” to use for their own services. That will force Netflix to rely even more on its original productions.Those efforts have largely been successful. Its shows just earned 117 nominations for the 2019 Emmy awards. But reruns of old shows still constitute the majority of viewing.The slowdown in users overshadowed the company’s quarterly financial results. Earnings for the second quarter fell to 60 cents a share, but beat analysts’ estimates of 56 cents. Sales grew 26% to $4.92 billion, compared with projections of $4.93 billion.The stock had been up 35% for the year at the close of regular trading, nearly double the gain of the S&P 500. The decline spread to related stocks such as Roku Inc., which makes set-top boxes that deliver the streaming service. Its shares fell as much as 3.6% after hours.(Updates with pre-market U.S. trading in second paragraph.)To contact the reporter on this story: Lucas Shaw in Los Angeles at email@example.comTo contact the editors responsible for this story: Nick Turner at firstname.lastname@example.org, Rob GolumFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- Taiwan Semiconductor Manufacturing Co. projected current-quarter revenue ahead of estimates, as the Apple Inc. supplier shrugs off a smartphone slump and U.S. sanctions on Huawei Technologies Co. to ride demand for cutting-edge chips.The world’s largest contract chipmaker expects sales of $9.1 billion to $9.2 billion in the September quarter, ahead of average projections for about $8.9 billion. The Taiwanese company earlier reported a fall in June-quarter net income to NT$66.8 billion ($2.1 billion), surpassing the NT$65.7 billion estimated.TSMC’s solid outlook may allay fears of a persistent global chip downturn as Washington and Beijing clash. Its technological edge in chipmaking may help it grab an outsized portion of demand for advanced high-performance semiconductors, particularly as countries roll out ultra-fast fifth generation wireless networks. TSMC’s business has bottomed and should begin to rebound, Chief Executive Officer C. C. Wei said.“We have passed the bottom of the cycle of our business, and should see our demand increase,” he told reporters in Taipei Thursday. “We see very, very strong demand” in the second half of 2019.Click here to read a liveblog of TSMC’s post-announcement briefingOrders for crypto-mining gear are expected to help TSMC’s third-quarter sales, according to Morgan Stanley, which recently lifted its target price on the stock by 9%. The typical year-end ramp up of iPhone manufacturing and a new chip-product cycle from Advanced Micro Devices Inc. could also buoy the top line.“The guidance shows that management is confident on the recovery of demand in 2H, possibly boosted by new orders from AMD,” Bloomberg Intelligence Charles Shum said. “And, we expect the gross margin can return to 50%” by the fourth quarter.TSMC and its industry peers are grappling with a plateauing smartphone market, efforts by top customer Apple to move beyond hardware, and U.S. tech-export curbs that have hammered No. 2 customer Huawei. It previously reported a 4.5% slide in first-half revenue -- its worst January-to-June performance since 2011.While top executives expressed confidence that things are turning around, they warned of uncertainty springing from global trade tensions. Japan’s curbs on the export to South Korea of certain vital chipmaking materials could hammer industry players like Samsung Electronics Co., and further depress global smartphone demand.“The recent Japan-Korea dispute is probably the most uncertain” factor for TSMC’s fourth quarter, Chairman Mark Liu said.As the world’s largest player in the business of made-to-order chips, TSMC is a barometer for the broader industry as well as Apple, which accounts for about a fifth of its revenue. While uncertainty remains, its better-than-projected outlook underscores expectations the industry is bottoming out after a dismal few years, when consumers took longer to replace their smartphones and Bitcoin prices collapsed.The company on Thursday signaled its intention to invest for the future, saying its spending on capacity and upgrades could exceed $11 billion this year.TSMC’s shares stood largely unchanged before the announcement and have gained more than 12% this year.(Updates with commentary around Japan and Korea from the 7th paragraph.)\--With assistance from Cindy Wang, Gao Yuan, Sheryl Tian Tong Lee and Adela Lin.To contact the reporter on this story: Debby Wu in Taipei at email@example.comTo contact the editors responsible for this story: Edwin Chan at firstname.lastname@example.org, Colum MurphyFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Investing.com - U.S. futures fell on Thursday, under the dual impact of a disappointing quarterly update from Netflix and revived concerns about U.S.-China trade.
Jennifer — not her real name — is one of the many victims of stalking who was helped by Operation Safe Escape, a US-based security group that works with victims of domestic violence, to identify and deal with powerful tracking software installed secretly on her phone. Apps used for stalking and covert surveillance, which tread a fine legal line when it comes to data privacy, are hiding on thousands of phones, despite being banned by major app stores. Apps such as mSpy, TheTruthSpy and FlexiSpy allow users to monitor someone else’s phone activity, including their call logs, the contents of text and chat messages, GPS data and photos.
(Bloomberg) -- All eyes will be on Taiwan Semiconductor Manufacturing Co.’s outlook after the world’s largest contract chip manufacturer suffered its worst sales drop in nearly eight years.Analysts expect the company’s third-quarter estimates -- due today after the close of trading -- to point to a revival after it took a hit from slowing demand amid U.S.-China trade tensions. At stake is the stock’s $35 billion rebound in market value since a January low.Apple Inc.’s ramp up of iPhone manufacturing and a new product cycle from Advanced Micro Devices Inc. are seen by Bank of America Merrill Lynch analysts to lift sales, which would also be boosted if President Donald Trump loosens trade restrictions on key customer Huawei Technologies Co.TSMC’s Sales May Swing Back to Growth on Huawei Orders: ReactAnalysts have forecast sales in the period to grow 15% from a quarter earlier, according to the average of 22 estimates compiled by Bloomberg. The company’s shares are up 12% this year, despite being whipsawed as the trade war escalated. They edged 0.6% higher Thursday morning.“The company’s second-half outlook looks to be improving, and third-quarter guidance will probably be strong given that some of the lingering uncertainty has started to fade,” said John Tsai, portfolio manager at Eastspring Investments Ltd. in Singapore. The trade spat between Japan and South Korea may also help TSMC, as Samsung Electronics Co. customers such as Qualcomm Inc. may seek to diversify, he added.TSMC saw sales drop 4.5% year-on-year in the first half, its worst performance since 2011. The company was grappling with the impact of a slowing global smartphone market and efforts by its biggest customer Apple to move beyond hardware. Then the trade war escalated into the U.S. blacklisting Huawei, TSMC’s second-largest customer.Yet its leading position in advanced technology, especially in 5G and artificial intelligence, helped it secure revenue. Chip orders for crypto mining are also expected to help TSMC’s third-quarter sales, according to Morgan Stanley, which recently lifted its target price on the stock by 9%.TSMC investors will also receive a NT$207 billion ($6.7 billion) dividend payout Thursday, according to stock exchange and company statements. The company is aiming for a dividend per share of at least NT$10 to lure value investors, something Bank of America Merrill Lynch analysts Robin Cheng and Mike Yang see as possible in 2020. They argue that rising free cash flow justifies a re-rating of the stock.Here are some highlights of 3Q 2019 estimates:Gross margin: 48.3% (19 estimates)Revenue: NT$276.6b (22 estimates)Net income (GAAP): NT$96.04b (20 estimates)Operating profit: NT$103.5b (15 estimates)Timing: release after market July 18(Updates prices.)To contact the reporters on this story: Cindy Wang in Taipei at email@example.com;Debby Wu in Taipei at firstname.lastname@example.orgTo contact the editors responsible for this story: Sofia Horta e Costa at email@example.com, David Watkins, Philip GlamannFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Advocates and opponents of breaking up Facebook, Google and other technology giants are falling prey to some serious misconceptions.