Breakingviews

Twitter’s mealy-mouthed strategy is hard to follow

July 29, 2015

Interim boss Jack Dorsey said the micro-blogging site isn’t satisfied with just a 66 pct increase in Q2 revenue. His prescription for what ails Twitter, however, is cryptic. Companies that can’t express goals clearly, especially ones seeking a CEO, reduce chances for success.

Apple has time on its side

July 21, 2015

The iPhone’s frenetic Chinese growth powered a 33 pct rise in revenue. Marginally softened forecasts for the next few months nevertheless knocked $50 bln off Apple’s value. Minimal information about Watch sales also disappointed. A little patience, however, will go a long way.

Breakdown: What’s driving China’s latest web boom?

July 20, 2015

The newest buzzword is O2O, or “online to offline”. Baidu, Alibaba and Tencent are racing to connect half a billion smartphone users to local services, from taxis to takeaways. There’s huge growth – but this is an expensive battle. Breakingviews offers a download.

Micron would be a less-than-fab deal for China

July 14, 2015

A state-backed group is reportedly eyeing a record $23 bln bid for the U.S. memory-chip maker. Beijing is already building a standalone semiconductor industry via smaller takeovers. But completing this deal, and getting the most out of the acquired business, will be much harder.

NYSE, United give glimpse of connectivity’s future

July 8, 2015

Tech woes grounded Big Board trading and the airline’s planes for a few hours. Chance, not a zombie apocalypse, explains these snafus and a Wall Street Journal glitch the same day. But as computers drive more businesses, occasional multiple outages may be common – and related.

Microsoft gets $7.6 billion wakeup call from Nokia

July 8, 2015

The U.S. software goliath is writing off most of what it paid for the Finnish business in 2014. Microsoft’s M&A-related writedowns tally $14 bln over the past three years. CEO Satya Nadella, who has already splurged on Minecraft and eyed Salesforce, should be taking the hint.

Ousted CEO shows risks of SoftBank startup splurge

July 2, 2015

Indian property site Housing.com has fired founder Rahul Yadav six months after the Japanese conglomerate became its largest shareholder. The 26 year-old was a liability and had to go. Still, it’s a reminder of the perils of listed companies making venture capital investments.

Rob Cox: Uber gets a pass on its Wall Street habit

June 30, 2015

Big banks break rules and pay fines. Traditionally it’s just a cost of doing business. Uber, meanwhile, pays fines when drivers violate regulations that stand in the way of its business model. Nowadays banks attract outrage, but Uber is often forgiven in the name of disruption.

WeWork stretches sharing-economy valuations

June 26, 2015

The groovy provider of office space - and beer - to millennial workers is now worth $10 bln after its latest funding round, doubling in just six months. WeWork is growing fast, but based on established rivals’ metrics earnings would need to jump 15-fold to justify that price tag.

Return to China tough for American orphan stocks

June 12, 2015

Soaring home markets are prompting Chinese companies to delist from U.S. exchanges. The likes of social network Renren and data centre group 21Vianet may hope for higher valuations in China. But rigid rules make mainland listings harder. Only the unloved will attempt the journey.