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Debra KaufmanMarch 15, 2019
After announcing its purchase of Eero last month, Amazon said the deal with the company, which makes easy-to-use Internet routers, just closed. According to Amazon senior vice president of devices and services David Limp, Eero will continue to be its own entity within Amazon, similar to Ring and Blink. Eero sells a package of one second-generation hub and two beacons for $400, which was discounted by $100 on the first day of the announcement. The package is enough to connect hardware in an apartment or small home. Continue reading Amazon, Eero Stress Privacy Policies Will Remain the Same
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Debra KaufmanMarch 14, 2019
The U.K. government released a 150-page report stressing that the country needs to update its antitrust policies to deal with big technology companies. The report, which was ordered by the U.K.’s top treasury official, Exchequer chancellor Philip Hammond, states that the U.K. should implement tighter rules on acquisition in the tech sector to make it easier for new competitors to arise. The European Union and U.S. presidential hopefuls Senator Elizabeth Warren and Senator Amy Klobuchar have expressed similar points of view. Continue reading U.K. Considers Big Tech Regulation in Preparation for Brexit
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Debra KaufmanMarch 14, 2019
Magic Leap and Apple are the two technology companies currently at the forefront of augmented reality, but, behind the scenes, Microsoft has also been working on AR for years. It’s easy to discount Microsoft, since its HoloLens AR headset is squarely aimed at the enterprise sector. But the company also has its sights set on the consumer market. In addition, Microsoft has started to leak details about its upcoming Project xCloud cloud-based game streaming system. Project xCloud will enter beta testing this year. Continue reading Microsoft Closer to Consumer AR, Streaming Games Service
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Debra KaufmanMarch 13, 2019
Four years after launching its program to allow outside developers to write apps for Alexa, Amazon’s voice system has some 80,000 “skills” — but no huge hit. In fact, most people with Alexa-enabled smart speakers still use them only to listen to music or make simple requests. That compares to Apple’s App Store and the Google Play Store, each of which are home to over 550,000 apps, many of which have been huge successes for developers. But voice-centric apps are challenging to build and don’t appear to attract consumers. Continue reading Developers Are Struggling to Create Alexa-Centric Killer App
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Debra KaufmanMarch 12, 2019
Senator Elizabeth Warren (D-Massachusetts) aims to be the Democratic Party’s candidate for the 2020 U.S. presidential election, but she just alienated Silicon Valley when she proposed to break up tech companies that generate more than $25 billion in online revenue. Her rationale is that companies such as Amazon, Facebook and Google have become too big and too powerful, squashing small businesses and innovation, and more focused on their financial well-being than “the broader interests of the American people.” Continue reading Elizabeth Warren Looks to Break Up Major Tech Companies
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Debra KaufmanMarch 11, 2019
The French government introduced a three percent tax on the revenue of technology companies such as Google and Amazon that offer e-commerce or targeted advertising in France. Experts estimate that the tax could reap “billions of dollars” from Silicon Valley companies. The tax is also likely to come up as a topic of conversation in U.S. and European talks, convened by the Organization for Economic Cooperation and Development (OECD), about corporate taxes in the digital age. Europe is pushing to tax Silicon Valley companies on profits made there. Continue reading France Slated to Impose Tax on Digital Companies’ Revenue
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Debra KaufmanMarch 11, 2019
Spotify, Google, Pandora and Amazon have joined forces to appeal a decision of the U.S. Copyright Royalty Board (CRB) they believe “harms both music licensees and copyright owners.” In separate filings, the companies are asking the U.S. Court of Appeals for the D.C. Circuit to review the decision regarding “recently issued … U.S. mechanical statutory rates” that they said “raises serious procedural and substantive concerns.” With the rule as it stands, songwriters would receive a 44 percent increase in payments. Proponents suggest the rule is necessary for songwriters in a digital age. Continue reading Tech Companies Appeal an Increase in Songwriter Royalties
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Rob ScottMarch 8, 2019
Senator Elizabeth Warren (D-Massachusetts) is proposing “a regulatory plan aimed at breaking up some of America’s largest tech companies, including Amazon, Google and Facebook,” according to The New York Times. “The proposal … calls for the appointment of regulators who would ‘unwind tech mergers that illegally undermine competition,’ as well as legislation that would prohibit platforms from both offering a marketplace for commerce and participating in that marketplace.” The plan would also call for the rollback of tech acquisitions, “including Facebook’s deals for WhatsApp and Instagram, Amazon’s addition of Whole Foods, and Google’s purchase of Waze.” Continue reading Elizabeth Warren Introducing Plan to Break Up Tech Giants
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Debra KaufmanMarch 5, 2019
Amazon plans to open dozens of grocery stores — distinct from Whole Foods — starting with Los Angeles and then in San Francisco, Seattle, Chicago, Washington DC, and Philadelphia among other cities, said sources. The L.A. store is expected to open as early as the end of 2019, with others scheduled for early 2020. The name of the stores hasn’t yet been disclosed. The move is part of Amazon’s more recent focus on physical retail, especially grocery stores. Now traditional grocers will have yet more competition from Amazon. Continue reading Amazon to Launch Another Grocery Store Brand in the U.S.
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Rob ScottMarch 5, 2019
Amazon announced that it would stop selling its Dash buttons, small devices for the connected home that were designed to help consumers easily update orders of needed household items. Usefulness and interest in the Dash buttons has slowed, so the company has decided to halt global sales. However, Amazon explained that it plans to continue support for new orders through existing Dash buttons as long as consumers use them. The company claims that more options in the connected home helped to cause the device’s demise. Continue reading Amazon Says It Will Support But Stop Selling Dash Buttons
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Debra KaufmanMarch 4, 2019
In the fight against counterfeiting, Amazon has introduced Project Zero, which allows brand owners to delete listings they deem to be fake. This is the first time that Amazon has shared responsibility for policing counterfeiting, reasoning that it is more efficient for brands than navigating the company’s reporting process. After testing Project Zero with 15 brands for several months, Amazon will begin to select and invite additional brands, with the goal of making it available to all brand owners at some unspecified future date. Continue reading Amazon’s Project Zero Lets Brands Delist Counterfeit Goods
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Debra KaufmanFebruary 28, 2019
The Federal Trade Commission (FTC) will create a task force to take a broad look at potential antitrust violations in the tech industry, including re-examining already-approved mergers — possibly undoing deals deemed to have an anti-competitive impact today. At the same time, the FTC brought its first case against using fake ads to sell online products, settling with the New York City-based Cure Encapsulations and its owner for paying for fake ads about a weight loss product to be posted as Amazon reviews. Continue reading FTC Targets Anti-Competitive Violations, Fake Amazon Posts
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Rob ScottFebruary 28, 2019
A study by CordCutting.com suggests that up to 20 percent of consumers are using another person’s account information to stream video from Netflix, Hulu or Amazon. “Netflix tends to be pirated for the longest period — 26 months, compared with 16 months for Amazon Prime Video or 11 months for Hulu,” reports TechCrunch. “That could be because Netflix freeloaders often mooch off their family instead of a friend — 48 percent use their parents’ login, while another 14 percent use their sister or brother’s credentials.” The reports estimates monthly revenue losses at $192 million for Netflix, $45 million for Amazon, and $40 million for Hulu. Continue reading Study Indicates Streaming Services Losing Revenue to Piracy
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Rob ScottFebruary 21, 2019
New estimates from eMarketer indicate that advertisers in the U.S. will spend more on digital advertising through the likes of Facebook and Google in 2019 than traditional media such as television, radio and newspapers. Advertisers are expected to spend in excess of $129 billion on digital advertising this year as compared to the more than $109 billion they will spend on traditional advertising. The shift would mark the first time in history that digital advertising would comprise more than half of the U.S. ad market. Continue reading Advertisers to Spend More on Digital Than Traditional Media
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Debra KaufmanFebruary 20, 2019
Amazon hasn’t had a good year in the film business since 2017 when it moved away from its Hollywood distribution partners into self-distribution. Since then, the company released six flops in a row, including director Woody Allen’s “Wonder Wheel,” which cost $25 million and only earned $14 million in North America, and “Beautiful Boy,” which cost $23 million and made a mere $7.6 million. Amazon Studios head Jennifer Salke surmised that the company put “too much focus on a narrow prestige lane.” Continue reading Amazon Aims for Quality, Not Quantity with 30 Films per Year