Another reprieve in name only. Allowing Huawei to buy non-5G components offers very little reprieve for either the infrastructure business or the handset business and from a security perspective makes no sense. It appears that vendors who are not selling components that are related to 5G will soon be able to resume shipments to Huawei as they now expect to...
Facebook gaming lays bare another dispute with Apple. Facebook has launched its gaming service and by going last it is avoiding the blunders of its rival Google, but Facebook fell short when it came to Apple’s restrictive policies. Facebook has launched its streaming service which will be free to play (at least initially) and it is very different from all...
Finally, the cupboard is bare. Huawei reported a difficult Q3 2020 results as management has finally run out of countermeasures and must now face the hit that the US sanctions are having on its business. 9-month 2020 revenues were RMB671.3bn up 9.9% YoY but when one strips out H1 2020, revenues in Q3 2020 grew by just 3.7% which could...
The foundation shakes Intel followed IBM in reporting weakness in the cloud which was more than offset by the PC market, but this was not enough to calm the market which fears a weakening of Intel’s foundations as well as a resurgent AMD. Intel Q3 revenues / EPS were $18.3bn / $1.02 broadly in line with consensus at $18.3bn /...
Removing the safety driver can lead to a misinterpretation of reality. Cruise has received permission to run its vehicles without safety drivers being present which may say more about the quality of its remote pilot system rather than the autonomous solution itself. Cruise does not have a bad solution for autonomous driving (although it is way behind on its initial...
$1.4bn goes up in smoke. Quibi has bowed to the inevitable and decided to close its doors which should serve as a warning to investors who seem willing to pour endless amounts of money into a market that has little hope of offering them a good return. Quibi will be ceasing operations and selling off the assets that it has...
Now its Google’s turn. Its Google’s turn to be on the end of a lawsuit brought by the US Department of Justice alleging abusive monopolistic practices that harm competitors and could result in the break-up of the company. I think that a break-up is a pretty unlikely scenario, but I can see a huge fine (the US treasury badly needs...
TSMC points to more strength in the cloud. TSMC reported excellent Q3 2020 results and guidance but refused to be drawn on how much of this was increasing inventory building driven by fears of instability in the supply chain. TSMC Q3 2020 revenues / EPS were $12.41bn / $0.90 ahead of estimates at $11.93 / $0.81. It also raised its...
Zoom goes from app to platform. Zoom is moving to offer more functionality on its service with the aim of becoming a platform and maintaining and growing the huge user base that it attracted during the pandemic-related lockdown. While I have great admiration for this management team that has done an excellent job at dealing with adversity, the shares remain...
Richard is founder, owner of research company, Radio Free Mobile. He has 16 years of experience working in sell side equity research. During his 11 year tenure at Nomura Securities, he focused on the equity coverage of the Global Technology sector.
Big Tech Q3 2020 – Pandemic powered.
Big tech is being driven by deficit spending. Big Tech continued to benefit from the huge increases in government spending during Q3 2020 but the fact that bail-outs can’t go on forever while the pandemic grinds on, caused them to sound a note of caution on the Q4 2020 and FY 2021 outlook. Apple FQ4 2020 Apple reported good results...