Category Archives: IT News

Google plans to set up new headquarter in London to seek more opportunities

Google announced it plans to set up a new headquarter in London. BBC reported that this plan may help UK create over 3,000 job opportunities by 2020.
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Sundar Pichai, CEO of Google, expressed the company predicted that UK market has more opportunities. Though UK citizens made referendum in June for Brexit,leading to many of big enterprises to move their headquarters to other European countries from London. However, Google made a different decision. It announced to make more investments as UK market has great potential opportunities.

Pichai said:” UK has been always a huge market for us. We found great opportunities here. We gathered a group of world-class talents in British market who can launch excellent products that we live on there.”

Pichai claimed that they took Brexit into consideration when they made this decision. Though Google felt positive towards its future business in UK, Brexit may bring some complicated influences in a long-term view. Pichai did not describe specifically how these influences affect.

It’s reported that Google will set up its new London headquarter in King’s Cross campus. It will consist of three buildings, two of them are rented. The whole campus takes up 650,000 square feet and can hold 7,000 employees. At present, Google hired about 4,000 employees in UK.

The new building will be built in the land which belongs to Google’s. BIG and Heatherwick Studio are responsible for designing. BBC predicted that the cost of building and labor will be over £1 billion.

Sadiq Khan, London Mayor,made press statement :” This decision showed Google has great confidence in London. They will offer London with high tech jobs to support our development. Enterprises, investments and talents are from all over the world are welcomed to London.”

Started from June, Google employees began to move in the first building among three in King’s Cross campus. It has 11-stories and provides free food,massage and cooking lessons. It even built a 90-metre track for exercise.

Google is fixing another leasehold building now. It will be come into service in 2018.

eBay obtained $418 million net profit in Q3, declined by 23% yoy

US e-commerce giant eBay announced its Q 2016 earnings by September 30 today. The report showed that eBay obtained $2.217 billion in net revenue in Q3, increased by 6% yoy. Net profit from continuing operating was $418 million, declined by 23% yoy.

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eBay predicted its net revenue in Q4 will be ranging from $2.36 billion to $2.41 billion. The net profit for continuing operation business based on non-GAAP will be ranging from $ 0.52 to $ 0.54 which is under analyst’s prediction.

FactSet investigation showed eBay share profit was adjusted to $0.54 after analyst prediction for Q4, and revenue is predicted to be $ 2.4 billion.

eBay share declined by 6% after trading hours on the same day when the prediction released. Here comes with some detailed information of eBay earnings.

The GMV of Q3 was $20.1 billion. Its growth rate was 5% based on FX neutral basis, while was 3% based on the calculation of reporting basis. Its net revenue in Q3 was $2.217 billion, increased by 8% in accordance with FX neutral basis and 6% based on its report records.

eBay net profit from continuing operating business was $418 million on the basis of measurement of GAAP, which was a 23% decline of $545 million yoy. The profit of each share was $0.36 and with a decline of 20% from $0.45 yoy.

The GMV on Marketplace was $19 billion in Q3, among $1.8 billion was its revenue, with an increase of 5% of FX neutral basis. Its revenue in Classifieds was $197 million and with a 14% increase of FX neutral basis.

eBay effective tax rate for continuing operating business in Q3 was 21.6%, while it was 18.0% in the same period last year. In addition, its non-GAAP effective tax rate was 22.2% in Q3 and 20.2% in last Q3.

The cash flow and free cash flow from continuing operation business in Q3 respectively were $ 802 million and $ 617 million. In addition, eBay encountered purchase with a value $ 500 million general shares in Q3, up to 16.5 million shares. By September 30, 2016, eBay was approved to encounter purchase of shares at the value of $ 2.3 billion.

eBay share increased by $0.88 in NASDAQ trading hours, closing at $32.52 on Wednesday. However, its share suffered decline after trading hours, locate time at 16: 49.

Twitter stock share increased by 4.5% contributed to acquisition rumor

Twitter puts itself on the spot as its poor products performance and fewer users among the social networking apps. Its user group receives little growth though its management modified the products.

Ev-Williams

One of its co-founder implied the company should considering the management measures included transfer during the interview which led to an increase of Twitter stock share.

Twitter stock share increased by 4.5% on Wednesday. Such an increase was uncommon to Twitter. Twitter capitalization value reached $14 billion when the stock market closed on Wednesday.

EV Williams, one of Twitter co-founders, talked about the transfer issue when he was interviewed by Bloomberg on Wednesday.

As is known to all, the transfer of Twitter becomes an old topic in Wall Street. Twitter is deemed to be sold to a big scale tech company in the eyes of Wall Street analysts and tech media. WhatsApp, Instagram and Snapchat are the star products in mobile social networking market. Twitter is past its prime.

When Bloomberg reporter asked Williams whether Twitter would be an acquired target, he was unwilling to talk about this topic at first. He claimed then Twitter should consider the options include acquisition and merging.

Microsoft ex-CEO Steve Ballmer and A Saudi Arabia Prince show willingness to acquire Twitter in accordance with the news reported lately.

Silicon Valley analysts claimed Twitter is worthy to acquire. It still has attractions to obtain some more resources. The monthly active users of Twitter had 313 million in June. Its increase rate was under 1% compared with the growth in March. Instagram now obtains more users than Twitter.

Besides user growth difficulty, Twitter faces the problem of how to turn its users resource into income and profit. Rob Enderle assumed Twitter is still a valuable company whose value reflects in users growth instead of its revenue models.

Twitter suffered $400 million loss in the second half of last year and the first half of this year. Its total revenue just reached $2.5 billion.

Though the analysts and tech media assumed Twitter is in a dilemma, Williams has faith in Twitter’s development. He implied there is no app like Twitter that tweets such a great amount of messages each day.

In the past year, Jack Dorsey made many modifications for Twitter products which turned out to be flat. Recently, Twitter has been focusing on the development of online videos. It bought live broadcasting copy right of some sports events from NBA. It is about to make breakthrough in online videos.

 

Instagram released new tool for Advertisers to promote ads

Instagram updated three new features for enterprise users to attract more advertisers.

Instagram obtained 2 billion advertisers which means it has great attraction for its clients. To attract more advertisers, Instagram must offer satisfied service for its users. The key is to search new business mode to help its advertisers to communicate with its 400 million individual users.

Enterprise users can set a “Contact” button on their profiles and choose any means to obtain contact information, including phone, text information and email. Users could also obtain the enterprises’ navigation route.

Instragram only allowed enterprises to learn its popularity by clicking likes and making comments before it updated the service. Since last Tuesday, Enterprise users could access further data analysis even though they just posted ordinary messages instead of advertising content.

For instance, enterprise users could learn how many people view their messages and how many traffics they delivered to the official website and how the performance they made in compared to other messages.

If enterprises wish to turn a message into an advertisement, Instagram could be a smart choice for them. With the new tools, enterprise users could turn the posted messages into advertisements and aim at the targeting clients.

James Quarles, Instagram brand development director, claimed that it is the first time that enterprise users could create ads directly on the application. Its parent firm Facebook offered this feature already.

Instagram has advantage as it shares the same brochure with Facebook’s. The brochure business made $ 5.2billion in revenue for Facebook in Q1 2016.

Facebook did not reveal Instagram’s advertising revenue yet. Credit Suisse predicted that it has potential to receive $3.2 billion in revenue this year as its revenue reached $730 million in Q4 2015.

Apple Watch is hard to universalize as it charges much

Apple Watch is confirmed to be popular, however, its price is still a obstacle for some consumers to get over.

According to a newest survey did by Fluent, the wearable function and convenience are the major selling points for Apple Watch in US. However, its high-end price is still a problem to popularize this device.

The statistics showed among the 2,500 interviewees of this questionnaire survey, 59% of them claimed they might not or certainly will not purchase Apple Watch next year. Only 8% of them surely claimed to purchase one.

The survey also investigated how Apple Watch users to operate it. To starters, 79% of interviewees claimed to mainly use its health and fitness feature and among 56% of them buy Apple Watch mainly for this feature.

Most of them would like to connect Apple Watch with iPhone to access its notifications. Only 2 % of interviewees considered this feature as Apple Watch’ highlight one.

What’s more, 34% of them claimed not to purchase Apple Watch any more because of its expensive price. 31% of them felt Apple Watch is not much use and denied to buy another one.

According to this survey, the healthcare industry is the best field to popularize wearable devices. The developing trends cater to health technology development. It draws much attention from the public to wearable devices.

BI Intelligence analyst Will McKitterick wrote The Wearable in the Healthcare Sector Report. It investigated the application of wearable devices in the Healthcare sector, including users health data collected from wearable devices and healthcare service suppliers and insurance company.

Wearable devices market is still in early stage of development though there are more and more people using them. Its sales volume will reach the compound growth rate at 24.8% in five years. Such device will mainly be produced for ordinary consumers and healthcare sector in the future.

5 reasons that Apple Watch might fail

Techradar website recently published an article with the author’s name “Chris Slate”, analyzing the prospect of Apple Watch. Seen from the the present, at the beginning of its launch, there could be great sales volume, however, there are Five reasons shows it is likely to fail.

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AI helps Hawking talking, but he said AI would be the end of mankind

Recently, the famous British theoretical physicist Stephen Hawking in an interview with the British Broadcasting Corporation (BBC) said, “making a machine which can think is undoubtedly a huge threat to human existence itself. When artificial intelligence fully developed, that day will be the end of mankind. ” Continue reading

Forbes: iPhone is the achilles heel of Apple Watch

Apparently Apple has high hopes in its new product – Apple Watch, which is also the beginning that it exploits a new area. It makes strategic sense that Apple Watch will become the core strategy of “post-iPhone era”, and a magic weapon which keeps great profits in the gradually saturated market. Seen from the product form, Apple Watch is defined as iPhone’s best partner, but on the flip side of the coin, iPhone could be Apple Watch biggest weakness.

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Microsoft’s official description: Win10 officially announced

October 1st morning, Microsoft released a technical preview version of Win10 in San Francisco, introducing some new features of Windows10. Now Terry Myerson, executive vice president of Microsoft’s operating system business wrote a article about the officially announcing of Win10, with the release of Win10, Microsoft also will enter a new stage. The following is the article: Continue reading

NASA teamed Boeing and SpaceX to develop “space taxi”

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NASA selected Boeing and SpaceX Technologies to jointly develop “space taxi” for astronauts to and from the International Space Station.

The value of contracts signed by NASA, Boeing and SpaceX is about $ 6.8 billion, the two companies will received contract revenue of about $ 4.2 billion and $ 2.6 billion. NASA said that before manned flight, the aircraft of two companies must pass safety test. After flight certification, each company will bear 2 to 6 times the transportation task that manned flight to the International Space Station. Continue reading