By: Economic & Finance Report
The popular mobile video streaming app shuttered its doors on October 21, 2020 Wednesday, after receiving $1.75 billion dollars in VC (venture capital). The executives at Quibi sent a letter to its employees; that they were shutting down after exhausting all options to keep the company afloat.
Quibi’s investors included WarnerMedia, AT&T, Comcast/NBCUniversal, Alibaba, ViacomCBS, Disney, Sony and MGM. They incurred various partnerships with mobile telecommunications companies, for ex. T-Mobile was a provider. The company also had a large celebrity network promoting their mobile app as well. -SB
Image Credit: The Verge
1) Avia Capital Services, a Russian aircraft leasing company, has filed a law suit against Boeing aircraft to cancel an order for 35 737 MAX jets. The law suit alleges that Boeing failed to disclose safety issues and therefore knowingly sold defective products. The company seeks $115 million dollars in compensation damages. Boeing had a $2.9 billion dollar loss for its second quarter, the biggest loss ever for Boeing.
2) An Oklahoma lawsuit against Johnson & Johnson for $572 million dollars over its marketing of opioid drugs will spur further trials and legal settlements. This ruling will shape negotiations with about 1,500 similar lawsuits across the country. Plaintiffs content that Johnson & Johnson failed to market the drugs responsibly and failed to stop suspicious orders from shipping.
3) Telecommunications provider Sprint announced the next phase of its 5G rollout adding the big cities of New York City, Phoenix and Washington DC to launch service starting 27 August. Atlanta, Chicago, Dallas, Houston and Kansas City already have Sprint’s 5G service, with Sprint saying they now have 2,100 square miles of 5G.
4) Stock market closings for – 27 AUG 19:
Dow 25,777.90 down 120.93
Nasdaq ,826.95 down 26.79
S&P 500 2,869.16 down 9.22
10 Year Yield: down at 1.49%
Oil: up at $55.69
1) Chinese economic growth has slowed to its lowest level in twenty-seven years, a result of the prolong trade war. Additionally, global growth has slowed, coupled with external uncertainties increasing. China is reporting a fall in both exports and imports for the first six months of this year. The Chinese are working on more stimulus measures to stabilize growth such as boosting infrastructure spending and interest rates cut, while also seeking loans from abroad.
2) Just like all youth, the millennials and generation-Z, have aspirations for their lives and the direction they want to go. Presently, these two groups comprise 40% of the American population, but like previous generations they disdain much about the older generation’s lives such as cars, big houses and material wealth. They want careers that make a difference even if not paying much, where they can provide some greater good to society. The fly in the ointment is their exploding student loan debt coupled with the growing obsolescence of American workers, in particular the younger ones.
3) Huawei, the Chinese telecommunications giant recently in the news so much, plans hundreds of layoffs in the near future. These layoffs are expected to be in Huawei’s U.S. development subsidiary Futurewei, a technology development center, which employs 850 people across several states. Blacklisted by the American government because of security risk issues, the company expects to lose $30 billion dollars in sales over the next two years.
4) Stock market closings for – 15 JUL 19: All three markets set new record highs.
Dow 27,359.16 up 27.13
Nasdaq 8,258.18 up 14.04
S&P 500 3,014.30 up 0.53
10 Year Yield: down at 2.09%
Oil: down at $59.30
On Monday, January 28, 2019, the United States Attorney General Department, indicted Hauwei Technologies with 13 counts of banking fraud, wire transfer fraud, and violating Iranian sanctions imposed by the United States.
Hauwei Technologies Ltd. (the biggest global telecom equipment maker and provider) have been accused of misleading authorities of its relationship with subsidiary banks that had connections with Iran, as well as stealing technology trade secrets for USA companies, such as T-Mobile. The charges were filed in the state of Washington.
US authorities have accused the CFO of Hauwei, Weng Wanzhau as being the mastermind of the schemes that have played out in the federal indictment charges.
Weng & Hauwei Technologies Ltd deny the charges put forth by the US. -SB
By: Economic & Finance Report
Google seems to beating Apple, as far as market share is concerned in the cellular mobile phone industry. Google Android in the 3rd quarter; controlled over 85% of the mobile phone market share world wide. Apple’s position decline significantly according to Strategy Analytics.
The 3rd quarter showed Apple Iphone faltering compared to the record reached by the Google Android. Google’s Android reached newer heights in the 3rd quarter; beating past quarters with capturing the market share of new Android buyers. -SB