Social Media

Kakao has plenty more data fires to put out

20 Oct 2022

The $16 bln South Korean superapp owner's co-CEO has stepped down following a massive outage. Given how dependent the country is on the company's online services, that's unlikely to quell a rising public backlash. The costs of added rules and regulatory scrutiny will add up.

Elon Musk’s second run at his $44 bln Twitter deal

13 Oct 2022

A judge in Delaware has given the Tesla CEO until the end of the month to make good on his vow to buy the social media giant. In this Viewsroom podcast, Breakingviews columnists delve into the many twists of this M&A saga, Musk’s options, and what’s likely to happen next.

Capital Calls: U.S. jobs

7 Oct 2022

Concise views on global finance: Employment numbers reported Friday show a robust market. But just like a sudden glut of inventory inflicting major retailers, businesses could find themselves overflowing with employees, too.

Twitter’s future isn’t just Elon Musk’s problem

6 Oct 2022

The Tesla boss may soon own an influential social network that, days ago, he didn’t even want. Maybe he’ll drain Twitter’s swamp, or let inhabitants run amok. Since internet regulation is in the stone age, the deal will test what happens when capitalism and libertarianism meet.

Musk’s Twitter capitulation will be painful

4 Oct 2022

The billionaire’s retreat – offering to honor his $44 bln buyout deal after trying to nix it – is a big win for the social network’s investors. But if it sticks, banks must pony up $13 bln amid a crashing market, while Twitter will have an owner who spent months trashing it.

Amazon is already valued like a monopoly

19 Sep 2022

The $1.3 trln retailer is facing its biggest legal challenge yet after California sued it for antitrust violations. The company said the suit had it “exactly backwards." Investors – who value Amazon as if it is capturing a huge part of U.S. e-commerce– seem to think otherwise.

Musk can only wish Twitter was an Aussie company

19 Sep 2022

The Tesla CEO has to go to court to try and worm his way out of buying the microblogging site. Acquirers Down Under are allowed to revise their agreed price even after the target’s board approves a sale. Link Administration’s troubled $1.3 bln takeover saga is a case in point.

Capital Calls: Ralph Lauren

19 Sep 2022

Concise views on global finance: The $6 bln retailer known for its iconic Polo shirts is cheaply valued compared to European counterparts.

Disney doesn’t need Loeb to kick ESPN out the door

12 Sep 2022

The activist has backed away from a demand for the $210 bln media firm to sell its sports network. But it’s not a bad idea. Sports rights are pricey, and Disney could use the cash. Plus, interested buyers could pay as much as $40 bln. That offer may not always be around.

Trump SPAC vote is common problem writ bigly

6 Sep 2022

Retail shareholders rarely cast ballots, even when it’s in their interest. Take the merger of Donald Trump’s media firm with a listed shell company: Investors are opting, by inaction, to swap stock trading at $25 for $10 in cash. The effects of inertia reach beyond Mar-a-Lago.

Musk blasts tech bro club at his own risk

30 Aug 2022

The Tesla boss has enlisted a whistleblower complaint in a new effort to ditch his $44 bln deal with Twitter. That complicates matters for the social network. But by dragging Silicon Valley buds into the mess, he puts future funding on the line.

TikTok wannabes dance out of step

26 Aug 2022

Amazon is joining the race to copy the app’s popular short-video format. Influencer Kim Kardashian gave Instagram’s effort a thumbs-down. Acquisitions work best when chasing new audiences, but trustbusters have narrowed that option. Wooing users with aped features is far harder.

Tencent is running in two different directions

17 Aug 2022

The Chinese video game giant suffered a 43% plunge in operating profit from falling markets and a weak economy. Boss Pony Ma is cutting costs and promising buybacks, but he also is pushing on overseas expansion and new businesses like cloud. The message on discipline is garbled.

Twitter investors may yet boot Elon Musk and win

11 Aug 2022

The entrepreneur has sold more Tesla stock in the “hopefully unlikely” event his $44 bln offer for the social network closes. Letting its flaky, unwilling buyer walk would free Twitter up to find a more reliable owner. The break fee might even cover any discount to Musk’s bid.

ByteDance relapses to unhealthy tech deal habit

10 Aug 2022

TikTok's Chinese parent has taken over a hospital chain for $1.5 bln. Peers like Alibaba have made similar forays into healthcare, with underwhelming results. Amid falling valuations and Beijing crackdowns, such off-piste bets look even more ill-advised.

It’s not so bad being a bubble stock after all

3 Aug 2022

GameStop, Microstrategy, AMC, and even Robinhood all attracted irrationally exuberant investors. Now an obscure Hong Kong company has caught a similar wind. Sure, the air has come out of most of the hype. But companies have ended up better off than they would have been otherwise.

Antitrust watchdogs go big on drama, light on plot

1 Aug 2022

Penguin’s merger with fellow publisher Simon & Schuster is going to trial; Facebook owner Meta faces a battle over its deal with a virtual fitness firm. Both cases test out new storylines crafted by the U.S. competition watchdogs. But by getting creative they risk missing meatier targets.

Hard tech fad leaves Chinese apps out in the cold

26 Jul 2022

Tencent-backed Soulgate is among the country's startups rushing to list in Hong Kong as investors pile into chips and robotics. Ballooning losses at the $2 bln social network will be a tough sell. For larger peers like TikTok-owner ByteDance, the clock to go public is ticking.

Tech investors may be overvaluing moats

25 Jul 2022

Meta and Netflix valuations have been pounded, but Microsoft and Apple are holding up, relatively speaking, partly because they are less vulnerable to competitors. The trouble is the latter two are now premium compared to historical prices, and their buffers aren’t unassailable.

Twitter-Musk divorce court favors the kids

19 Jul 2022

A Delaware judge set a speedier October trial for the deal fight with Tesla’s boss. That leans towards Twitter’s wishes, but only because Musk was asking for the house, the dog, and his in-law’s silver. A quick resolution is in everyone’s interest, but mostly shareholders’.