Amazon broke previous records with its Q4 sales, and shares skyrocketed 10 percent in after-hours trading, adding $100 billion to its market value. Profits rose 8 percent to $3.3 billion during the holiday quarter, after suffering a 25 percent decline in Q3 due to the expenses of one-day shipping for Prime members. Q4 revenue rose 21 percent to $87.4 billion from the same period a year earlier.  A FactSet survey showed that earnings per share were $6.47 whereas analysts had predicted $4.04. Continue reading Amazon Reports Booming Sales, Profits, and Share Prices

After missing estimates for quarterly profit and full-year earnings predicted to be short of expectations, Nintendo shares fell as much as 4.7 percent, the biggest intraday drop since April 26. Nintendo reported disappointing operating income for the quarter ending in December: 168.7 billion yen ($1.5 billion) versus the 175.4 billion yen average projection. Wall Street has also projected slowed growth for major video game publishers that are holding back on new releases until new consoles have debuted. Continue reading Nintendo Shares Fall, Game Publishers Stall on New Titles

Microsoft’s gross margins for its commercial cloud business (including Azure and Office 365) grew to 67 percent, driving the company’s robust fiscal Q2 earnings on record sales. Microsoft chief executive Satya Nadella revealed that revenue from this sector grew 39 percent to $12.5 billion. Company executives told analysts that the gross margins percentage will increase this year while margins rose for the fourth consecutive quarter, noting that this reflects the “huge opportunity” selling cloud products and infrastructure. Continue reading Microsoft Commercial Cloud Business Drives Record Sales

At the World Economic Forum in Davos, major tech players such as Alphabet, Apple, Facebook and Microsoft asked lawmakers for regulations they once fought. Facing antitrust probes and pushback on AI, privacy and encryption among other issues, these companies believe laws are inevitable and want to have a role in creating them. They also fear a patchwork quilt of global laws. Most recently, the Justice Department sparred with Apple over its request for help to unlock the iPhones of the Saudi Arabian naval trainee who killed three people in Florida. Continue reading Big Tech Firms Call For Regulation, Lobby Specific Policies

Starting in Q4 2019, chipmakers — including Intel and Taiwan Semiconductor Manufacturing — began enjoying an upswing in demand that led to better sales and earnings. Data centers and personal computers appear to be fueling the increased demand. Intel, for example, reported that “adjusted earnings per share in [that] quarter rose to $1.52 from $1.28 in the year-prior period.” FactSet analysts predicted only $1.25 per share on an adjusted basis and $19.23 billion in sales. In fact, sales rose 8 percent to $20.21 billion. Continue reading Intel Earnings Rise with Increased Data Center, PC Demand

Big Tech is now one of the biggest lobbying groups in Washington, D.C. Facebook posted the greatest increase in spending last year, followed by Amazon, Apple and Microsoft. By increasing spending in lobbying, the companies hope to influence privacy legislation, pursue government contracts and rebut charges of unfair competition. Alphabet is the only Big Tech company to reduce its spending for lobbying in 2019, by 44 percent to $11.8 million. It also ended its relationship with lobbyists at six outside firms. Continue reading Big Tech Firms Increase Spending to Influence Lawmakers

Although many observers would name Microsoft’s Xbox as the tech company’s biggest hardware business, chief executive Satya Nadella instead points to the company’s cloud. In fact, Microsoft is building an entire cloud infrastructure from data centers to servers and network stack. Nadella said that he doesn’t want the company to be defined “by what we achieved.” He pointed to the Internet of Things about to emerge. “We look at if there’s going to be 50 billion endpoints,” he said. “Let’s go … and define a strategy for that.” Continue reading Microsoft Bets on Internet of Things, Ends Xbox TV Feature

Artificial intelligence and its potential to harm consumers has been much in the spotlight — now, more than ever, in Europe. Several Big Tech executives are in Europe, prior to heading to Davos for the annual World Economic Forum, and some, such as Microsoft president Brad Smith, are meeting with the European Union’s new competition chief Margrethe Vestager. Under the European Commission’s new president Ursula von der Leyen, new rules regulating free flow of data and competition are under consideration. Continue reading AI Regulation’s First Testing Ground Is the European Union

During CES 2020 in Las Vegas this month, IBM announced its continued efforts to develop practical applications using quantum computing. The company emphasized the expansion of IBM Q Network, which now includes more than 100 organizations across industries such as air travel, automotive, banking, electronics, energy, health and insurance. IBM announced new collaborations with Anthem, Delta Air Lines, Georgia Tech, Goldman Sachs, Los Alamos National Laboratory, Stanford University, Wells Fargo and Woodside Energy, in addition to a number of government research labs and startups. Continue reading IBM Expands Partnerships to Advance Quantum Computing

The National Security Agency (NSA) discovered a vulnerability in versions of Windows and, instead of retaining it, reported it to Microsoft, which is now patching the flaw in its handling of certificate and cryptographic messaging functions. The vulnerability could have enabled attackers to use malicious code that would pretend to be legitimate software. Microsoft also warned all current users of Windows 7 Home Basic, Home Premium, Professional or Ultimate to upgrade immediately. Continue reading NSA Discovers Windows Vulnerability — and Tells Microsoft

The U.S. House Committee on Oversight and Reform held its third hearing in less than a year on facial recognition, planning to introduce legislation to regulate its use by the federal government, law enforcement and the private sector. Committee chair Carolyn Maloney (D-New York) stated the draft legislation will appear in the “very near future” and noted the need to “explore” the privacy protections already in place. Facial recognition is already in use with smartphones, job interviews and in airports. Continue reading Bipartisan Law Regulating Facial Recognition Being Planned

In the aftermath of a deadly shooting at a Naval air station in Pensacola, Florida that was later declared an act of terrorism, Attorney General William Barr requested that Apple provide access to the two iPhones used by the killer. He later complained that Apple has thus far provided no “substantive assistance.” The Saudi Arabian assassin, Second Lt. Mohammed Saeed Alshamrani, was training with the U.S. military but had earlier posted anti-American, anti-Israeli and jihadist screeds on social media. Continue reading Terrorist Act Revives Clash Between Government and Apple

During CES in Las Vegas last week, companies unveiled prototypes of foldable tablets. Among them, Lenovo launched its ready-to-ship ThinkPad X1 Fold, with pricing, specifications and accessories. Dell, Intel and TCL showed prototypes of a foldable screen, the first two of which run Windows 10 as a stand-in for Microsoft’s dual-screen Windows 10X; TCL’s prototype was shown as an Android device. Lenovo’s laptop will ship before this software launches. Software that takes the best advantage of two screens is the challenge for these device makers. Continue reading Laptop Manufacturers Debut Foldable Tablets at CES 2020

In a CES SuperSession led by Marketplace Tech senior editor Molly Wood, Qualcomm president Cristiano Amon talked about the 5G rollout and some of the less-discussed topics such as esoteric use cases. “We have a mature mobile landscape today,” he said. “We stream music rather than carry CDs around. Going forward, video will be mainly distributed on 5G. We’ll be able to distribute news and sports, and finally deliver on user-generated content. Everyone will become a broadcaster because you’ll have the speed.” Continue reading CES 2020: Qualcomm’s Amon Talks 5G Rollout, Use Cases

Experts have made it clear that artificial intelligence will soon impact all industries, and at a CES panel on “AI — All Industry Integration,” moderated by Future PLC global editor-in-chief Bill Gannon, three experts teased out what that means for chatbots, computers, smartphones and automotive. All three noted some of the common challenges, including the need to change current business models, proactively provide mechanisms for users to guard their data and find ways to cope with the unforeseen going forward. Continue reading CES Panel Discusses the Industries That Are Integrating AI