Technology

Emerson ratchets up heat on Rockwell – and itself

16 Nov 2017

The U.S. industrial group raised its bid for the automation specialist to $29 bln. A near-30 pct premium puts pressure on Rockwell’s long-serving leadership to come to the table. In pursuing a long-term logical tie-up, though, Rockwell looks to be punishing its own shareholders.

Indian stock chats have a hot tip about Facebook

16 Nov 2017

As the $520 bln social network tries to contain Russian propaganda fallout, a Reuters report says users on WhatsApp are sharing prophetic financial figures. It could attract the eye of securities regulators, and adds to Facebook's woes in its biggest messaging market and beyond.

Asian private-equity forum taken over by tech

16 Nov 2017

Dealmakers gathered at the Four Seasons in Hong Kong have been chattering mostly about one industry. Some buyouts are threatened by the likes of Airbnb while other firms make bank on startups such as China Literature. Given valuations, the obsession is a tell-tale sign of risk.

The Exchange: Mike Novogratz

15 Nov 2017

From Goldman Sachs partner to Fortress founder and now bitcoin trader, the chief executive of Galaxy Investment Partners has something of a Midas touch. He swings by Times Square to talk about how he's making a killing with a new hedge fund betting on crypto-currencies.

Tencent’s overseas strategy is name of the game

15 Nov 2017

Big hits like "Honour of Kings" helped power quarterly sales up 61 pct, to $10 bln. The pace of Chinese gaming growth is likely to slow, however, and quickly. Tencent's investments abroad have been a mess so far. It'll take sharper plans to justify trading at 40 times earnings.

Apple’s iPhone factory placed briefly on hold

15 Nov 2017

Foxconn, maker of the 10th anniversary X model, reported a 39 pct slide in quarterly profit and lower margins amid production snags. The setbacks should be temporary. As iPhone orders roll in and production picks up, the Taiwanese manufacturer's fortunes will turn around quickly.

Uber and Geely perform flying-car stunts

15 Nov 2017

Both the U.S. ride-sharing company and the Chinese automaker have bet on Jetsons-like transport. The deals may generate some helpful buzz, but driverless vehicles are a more immediate prize. And as drone makers also have found, regulation is a bigger problem than innovation.

Qualcomm jockeying is all about 5G chip race

14 Nov 2017

It’s no coincidence Broadcom made its $105 bln bid as operators start testing next-generation phone technology. Qualcomm’s heavy investment gives it an edge, and stands to reap rich rewards in a few years. That should stiffen its defense - and raise the odds of a higher offer.

Private equity deserves U.S. tax hit, not startups

14 Nov 2017

Tech firms are understandably upset over a Senate plan to tax stock options when vested. It would raise $13 bln over 10 years. Ending a loophole on investment profit for buyout barons would bring in more. It’s a better target for Republicans already accused of favoring the rich.

Vodafone is doing just fine without Liberty

14 Nov 2017

The mobile operator upped its forecast for organic EBITDA growth to 10 pct this financial year. Vodafone is cutting costs, raising prices and adding customers. Fibre-broadband growth plans in Germany and Britain, meanwhile, make a deal with John Malone or anyone else less urgent.

Amazon surrenders cheapest bit of Chinese cloud

14 Nov 2017

A local partner will buy the hardware associated with the U.S. web giant’s cloud-services business. Onerous new security rules – or, for critics, Beijing’s protectionist tendencies – are behind the sale. Amazon and other Western tech firms may yet have to give up more.

Qualcomm’s rebuff only fuels deal hype

13 Nov 2017

The chipmaker says Broadcom’s unsolicited $105 bln offer “dramatically” undervalues it. It’s part of the M&A ritual. Sure, Broadcom might struggle to lift its price much, and there are antitrust risks. But the pressure’s on Qualcomm to sort out its own issues.

China’s JD-Alibaba rivalry enters new phase

13 Nov 2017

A jump in third-quarter sales and a surprise net profit show the $57 bln JD.com is reining in costs while keeping up with its larger e-commerce rival. But Alibaba is muscling in on key JD.com domains like logistics and food. This will add volatility to already thin margins.

Britain brings the gloom to global defence party

13 Nov 2017

Shares in Ultra Electronics fell by almost a fifth after a profit warning due to UK project cancellations and delays. It is a rare sour spot in a sector that has rallied this year. With UK spending tight, mid-market defence groups might face foreign invasions of their own.

Viewsroom: Broadcom $130 bln bid signals market top

10 Nov 2017

The chipmaker’s hostile tilt at Qualcomm is a rare aggressive move in the sector. Qualcomm has its own issues, awaiting approval for its NXP deal and fighting Apple in court. It all suggests the tech sector is too frothy. Plus: Is Hong Kong losing its moxie as a financial center?

Lip-syncing M&A mostly in tune with the times

10 Nov 2017

The company behind richly valued news aggregator Toutiao is buying Musical.ly for at least $800 mln. Bytedance joins other Chinese tech titans in a quest to tap American consumers. Only the decision to sell is out of step. Hot startups typically aim for dominance on their own.

China Literature must summon army of Harry Potters

10 Nov 2017

Tencent’s online publishing arm has 6 mln writers peddling pulp. To justify a $12 bln valuation after a first-day pop, it has to find lots of J.K. Rowlings among their ranks, then conjure value by transmuting their tales into hit films and games. That reads like fantasy fiction.

Singles’ Day is shop window for Alibaba’s new toys

10 Nov 2017

Jack Ma's $480 bln behemoth is set for its annual shopping festival. That means lots of free PR and huge transaction volumes. Ma’s stunts will also show how supermarkets, augmented reality and mobile payments fit together. That will help sell his "new retail" idea to investors.

SoftBank turning deals into mind-bending sudoku

10 Nov 2017

Masayoshi Son’s sprawling group has ploughed $4 bln or so into a separate pot to wall off some taxi-app investments. It also may be angling to treble firepower in the Vision Fund and beyond to an incredible $300 bln. The complexity and potential conflicts are piling up.

Apple has deciding vote in Broadcom-Qualcomm deal

9 Nov 2017

A dispute over iPhone royalties left U.S. chipmaker Qualcomm vulnerable to rival Broadcom’s opportunistic $105 bln bid. Settling could preserve its independence. The question is whether Apple thinks a bigger Broadcom would be slavishly devoted, or even surlier.