Security

China surveillance upstarts are better off at home

10 Oct 2019

Goldman Sachs is reviewing its role on Megvii’s Hong Kong IPO after the United States put the Alibaba-backed company on a human rights blacklist. Even if banks don’t cut ties, global funds may steer clear. Domestic markets will be more welcoming to the AI outfit, and its peers.

Defence deal puts post-Brexit UK in crosshairs

18 Sep 2019

The government is reviewing the $5 bln acquisition of Cobham by U.S. buyout group Advent. The aviation contractor’s investors already approved it, and national security concerns are spurious. Blocking the sale would imply Britain’s post-Brexit future is more closed than open.

G4S carve-out lacks compelling valuation bump

9 Aug 2019

The British security firm is spinning off its cash-handling unit, a no-brainer given the shift to digital money. That allows more focus on its core business of guarding people and businesses. But a share price bump requires investors to place a high value on the latter.

UK’s Huawei review amounts to an endorsement

23 Jul 2019

The outgoing government ducked making a call on whether the Chinese telecom supplier can build 5G networks. But its report makes a stronger case for Huawei than against. Probable next Prime Minister Boris Johnson will either have to ignore the findings or irk American hawks.

Canadian raid may unlock value for G4S investors

11 Apr 2019

Garda World is considering a bid for the UK prisons manager. The 5 billion pound price tag, including debt, looks a stretch for the private Canadian group. But the sale of G4S’s cash management business might still give its long-suffering shareholders a get-out-of-jail-free card.

Huawei will survive in Europe, but not thrive

28 Mar 2019

The Chinese telecom-kit maker avoided an EU-wide ban, despite U.S. pressure for one. Yet a UK security report has found serious flaws in its gear. The slapdown means higher costs for Huawei, and could put off clients who will worry about future government censure.

The Exchange: Huawei’s U.S. security chief

11 Feb 2019

Andy Purdy, who previously worked in academia and for the U.S. government, talks about the geopolitical edge to allegations about Beijing’s influence at Chinese tech group Huawei, and how communications equipment needs global standards and better testing across the board.

Review: The attack of the killer fridges has begun

14 Dec 2018

The world is ever more connected via the internet, from cars and power grids to home appliances and toys. That means ever more things are dangerously hackable, security expert Bruce Schneier writes in “Click Here to Kill Everybody.” His title isn’t as hyperbolic as it may sound.

Viewsroom: Turkey’s financial crisis may spread

16 Aug 2018

The feud between President Tayyip Erdogan and U.S. President Donald Trump over steel tariffs threatens to turn other emerging markets cold. Breakingviews columnists discuss the global impact of Turkey’s currency meltdown. Plus: A bad bank in China gets whacked by political risk.

Rules of the road crystallizing for Chinese M&A

9 Jul 2018

Trade tensions and nationalism have tripped up transactions involving chipmakers Broadcom, Qualcomm and NXP, among others. Even as Beijing and Washington spar, though, dealmakers are adapting by scanning different regions or accepting smaller stakes and tougher conditions.

Softer U.S. China plan is no comfort for investors

27 Jun 2018

President Donald Trump rationally chose to use national-security deal reviews to restrict Chinese investment. It’s a win for his Treasury secretary over trade hardliners. But the review body is opaque, mixed messages have confused markets, and Trump still wants auto tariffs.

Viewsroom: Facebook’s multiplying problems

29 Mar 2018

The social network founded by Mark Zuckerberg is reeling from a data harvest on some 50 million users. It will take time for the $440 billion firm to feel the impact but people are starting to slowly unplug. Plus, the world’s largest consumer-drone maker may go public.

Facebook’s size is its other looming problem

28 Mar 2018

The social network – like Google – collects massive amounts of intel on users to sell advertising. The more Google knows, the better its search results get. But adding ever more data risks making Facebook less entertaining – and its users more wary of compromising their privacy.

Holding: Courts may toss investors a crypto-curve

16 Mar 2018

To hear U.S. regulators tell it, initial offerings of many crypto-currencies are actually securities, and subject to strict rules. That’s far from clear, though, judging from cases moving through the legal system. With the jury still out, Congress needs to step in.

China techie’s $47 bln trade leaves arbs in shade

2 Mar 2018

Zhou Hongyi led a $9 bln buyout of his U.S.-listed antivirus firm in 2016. Now its successor is trading in China at $56 bln. That far outstrips what most hedge funds or commodity traders achieve in years of arbitraging price gaps. Alas for copycats, this is not easy to follow.

Amazon rings up answer to last-foot problem

28 Feb 2018

Tech giants are racing to own the “smart home,” but opaque consumer benefits and long product cycles mean most residences are dumb. Amazon’s need to master fast shipping and thwart package thieves make it different - and explain why its smart-doorbell deal may ring up success.

A 400 pct Chinese broker premium begs explanation

4 Jan 2018

Fog is thickening around a missing tycoon’s embattled empire. One holding of Xiao Jianhua’s Tomorrow Holdings, Hengtou Securities, said nine owners will sell a stake to CITIC Guoan for $1.4 bln, or five times the market price. Such mysteries undermine Hong Kong's investor appeal.

Qatar jet deal a win for BAE but a loss for London

18 Sep 2017

A deal to buy Typhoon fighter jets will secure thousands of UK manufacturing jobs. But building stronger defence ties with the sheikhdom is a risk when its squabble with Saudi Arabia is unresolved. That could backfire if the kingdom reacts by vetoing a London listing for Aramco.

Barcelona attack targets Spain’s strongest spot

18 Aug 2017

Tourism is a pillar of the recovering Spanish economy, making the deadly assault on Las Ramblas a strike on prosperity as well as people. But previous attacks elsewhere in Europe show confidence bounces back, and the domestic economy is more resilient than it has been for years.

Tencent is biggest target in China cyber crackdown

16 Aug 2017

As Beijing's campaign to control content gathers pace, gaming giant Tencent, which delivered another set of strong quarterly results, is an easy target for censors. Its soaring market value, however, suggests investors have yet to factor in the risk to earnings.