Tag: Equifax

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Supplier Report: 8/16/2019


Photo by Kong Jun on Unsplash

As the summer comes to a close, we are starting to see M&A activity ramp up. Several companies announced acquisitions over the last two weeks showing that there is money to burn for the right investments.

Meanwhile, Equifax seems to be burning money on settlements, but do they have enough cash to give every American $125? They do not. And critics are not happy.

Finally… Are Uber and Lyft ruing metropolitan traffic patterns? Maybe.

Acquisitions/Investments

  • Broadcom Makes $10.7 Billion Deal to Buy Symantec’s Corporate-Focused Security Business

    The part of Symantec, best known for its antivirus software, that Broadcom is buying focuses on sales to companies. That part contributes about half of Symantec’s $5 billion in annual revenue. The consumer segment accounts for the rest of the 37-year-old company’s revenue.

    Broadcom Chief Executive Hock Tan has been focused on diversifying beyond the company’s core chip business and pushing into the lucrative software arena. Last year, he struck a roughly $19 billion deal to buy software firm CA Technologies, formerly Computer Associates.

    The Symantec business will add an expected $2 billion to Broadcom’s annual revenue going forward, Broadcom said, and would generate savings of more than $1 billion by eliminating cost overlaps in the year after the deal closed.

    https://www.wsj.com/articles/broadcom-makes-10-7-billion-deal-to-buy-symantecs-corporate-focused-security-business-11565298059

  • Salesforce to Buy Workforce Management Software Firm

    Salesforce Inc. said Wednesday it struck a $1.35 billion deal to buy ClickSoftware Technologies Ltd., as the company aims to bolster the services it offers to customers.

    ClickSoftware is used by companies to schedule field service work and develops workplace management software. Private-equity firm Francisco Partners Management L.P. bought the company in 2015 for $438 million.

    “Our acquisition of ClickSoftware will not only accelerate the growth of Service Cloud, but drive further innovation with Field Service Lightning to better meet the needs of our customers,” Bill Patterson, general manager of the Salesforce Service Cloud unit, said in a statement.

    https://www.wsj.com/articles/salesforce-to-buy-workforce-management-software-firm-11565215962

  • Amazon acquires flash-based cloud storage startup E8 Storage

    E8 Storage’s particular focus was on building storage hardware that employs flash-based memory to deliver faster performance than competing offerings, according to its own claims. How exactly AWS intends to use the company’s talent or assets isn’t yet known, but it clearly lines up with their primary business.

    AWS acquisitions this year include TSO Logic, a Vancouver-based startup that optimizes data center workload operating efficiency, and Israel-based CloudEndure, which provides data recovery services in the event of a disaster.

    https://techcrunch.com/2019/07/31/amazon-acquires-flash-based-cloud-storage-startup-e8-storage/

  • Cisco scoops up Voicea to infuse more AI into its collaboration products

    Voicea, incorporated as Rizio Inc., has raised $20 million in funding since hitting the scene three years ago. Cisco’s venture capital arm contributed to the startup’s Series A round in 2017. Salesforce.com Inc., Alphabet Inc.’s GV fund and Battery Ventures were among the other high-profile investors that backed Voicea.

    The Mountain View, California-based startup has developed an artificial intelligence called Eva that can join conference calls to take notes. The assistant transcribes the conversation and enables participants to organize key highlights into an easily browsable list for future reference. Users can instruct Eva to mark an item as important with their voice, which removes the need to scribble notes while a call is ongoing.

    Cisco will bake Voicea’s technology into its Webex family of cloud-based collaboration services. The flagship product of the lineup is the Webex Meetings video conferencing tool, which competes with applications such as Microsoft Corp.’s Skype for Business. Cisco also offers versions of the tool for team collaboration, customer support and webinars along with a line of conference call equipment.

    https://siliconangle.com/2019/08/06/cisco-scoops-voicea-infuse-ai-collaboration-products/

  • Microsoft acquires data privacy and governance service BlueTalon

    Microsoft today announced that it has acquired BlueTalon, a data privacy and governance service that helps enterprises set policies for how their employees can access their data. The service then enforces those policies across most popular data environments and provides tools for auditing policies and access, too.

    Neither Microsoft nor BlueTalon disclosed the financial details of the transaction. Ahead of today’s acquisition, BlueTalon had raised about $27.4 million, according to Crunchbase. Investors include Bloomberg Beta, Maverick Ventures, Signia Venture Partners and Stanford’s StartX fund.

    https://techcrunch.com/2019/07/29/microsoft-acquires-data-privacy-and-governance-service-bluetalon/

  • Salesforce closes $15.7B Tableau deal

    In an amazingly quick turnaround for a deal of this scope, Salesforce announced today that it has closed the $15.7 billion Tableau deal announced in June. The deal is by far the biggest acquisition in Salesforce history, a company known for being highly acquisitive.

    A deal of this size usually faces a high level of regulatory scrutiny and can take six months or longer to close, but this one breezed through the process and closed in less than two months.

    With Tableau and MuleSoft (a company it bought last year for $6.5 billion) in the fold, Salesforce has a much broader view of the enterprise than it could as a pure cloud company. It has access to data wherever it lives, whether on premises or in the cloud, and with Tableau, it enables customers to bring that data to life by visualizing it.

    https://techcrunch.com/2019/08/01/salesforce-closes-15-7b-tableau-deal/

Cloud

  • JEDI Cloud-Computing Contract Award to Be Delayed Weeks

    Mr. Esper said Aug. 1 he would be reviewing the program known as the Joint Enterprise Defense Infrastructure, or JEDI. He didn’t give a timeline for a review at the time. The Pentagon had previously signaled it could award the potentially $10 billion contract by the end of August, with Amazon.com Inc. and Microsoft Corp. as finalists.

    Mr. Deasy said it would take “a number of weeks” to brief Mr. Esper and that the contract isn’t likely to be awarded in August. He said he is planning a number of sessions to explain to Mr. Esper the need for a Pentagon-wide cloud-computing capability, the benefits it would have on the battlefield, and how officials have designed the contract.

    He stressed the program was for a minimum of $1 million over 2 years, and would only reach its $10 billion maximum value over a decade if the Pentagon exercises several options.

    https://www.wsj.com/articles/jedi-cloud-computing-contract-award-to-be-delayed-weeks-11565361020

Security/Privacy

  • Capital One breach also hit other major companies, say researchers

    The data breach at Capital One may be the “tip of the iceberg” and may affect other major companies, according to security researchers.

    Israeli security firm CyberInt said Vodafone, Ford, Michigan State University and the Ohio Department of Transportation may have also fallen victim to the same data breach that saw more than 106 million credit applications and files copied from a cloud server run by Capital One by an alleged hacker, Paige Thompson, a Seattle resident, who was taken into FBI custody earlier this week.

    It follows earlier reports from Forbes and security reporter Brian Krebs indicating that Capital One may not have been the only company affected, pointing to “one of the world’s biggest telecom providers, an Ohio government body, and a major U.S. university,” according to Slack messages sent by the alleged hacker.

    https://techcrunch.com/2019/07/31/capital-one-breach-vodafone-ford-researchers/

  • The Equifax Settlement Is a Cruel Joke

    As part of the $575 million settlement, up to $425 million was set aside to compensate those who could clearly prove they were victims of identity theft as a result of the breach.

    For those unable to prove clear financial harm (most of us), the settlement offered users either free credit reporting for ten years, or a $125 one time cash payout. But because the FTC only set aside $31 million to pay for these payouts, it quickly ran out of cash and is now falsely telling consumers the free credit reporting is a “much better value.”

    But because free credit reporting is routinely doled out as compensation for a steady parade of privacy breaches, it’s effectively worthless to most consumers. Many of these services also include terms of service restrictions that erode your legal rights.

    https://www.vice.com/en_us/article/d3agv7/the-equifax-settlement-is-a-cruel-joke

Infrastructure/Hardware

  • Cisco to Pay $8.6 Million to Settle Government Claims of Flawed Tech

    Cisco will pay civil damages in connection with software that it sold to various government agencies, including Homeland Security, the Secret Service, the Army, the Navy, the Marines, the Air Force and the Federal Emergency Management Agency, according to a government complaint unsealed on Wednesday.

    The government said the video surveillance software it bought from Cisco was “of no value” because it did not “meet its primary purpose: enhancing the security of the agencies that purchase it.” In many cases, the Cisco software actually reduced the protection provided by other security systems, the complaint said.

    https://www.nytimes.com/2019/07/31/technology/cisco-tech-flaw-sales.html

  • Apple Reports Declining Profits and Stagnant Growth, Again

    On Tuesday, the Silicon Valley behemoth said that its net income had fallen 13 percent and that its revenue rose 1 percent in the latest quarter, with iPhone sales continuing to decline and gains in the company’s services and wearables business failing to make up the difference.

    The results showed persistent signs of weakness for one of the world’s financial standouts. Apple built its enormous business on the iPhone, but sales of the device have slipped for three straight quarters in a saturated market for smartphones.

    Yet the results also suggested that the company could be starting to halt declines in those sales and other key areas, including revenue from the Chinese market. Over the previous two quarters, Apple’s profits and revenue had fallen over all.

    https://www.nytimes.com/2019/07/30/technology/apple-earnings-iphone.html
    Shameless Plug: I did an entire podcast about Apple’s shrinking consumer base.

Other

  • Uber and Lyft finally admit they’re making traffic congestion worse in cities

    These figures suggest that Uber and Lyft are hitting some cities harder than previously thought. An independent study commissioned by the San Francisco County Transportation Authority looked at 2017 traffic patterns in the county and concluded that TNCs generated about 6.5 percent of the total VMT on weekdays, and 10 percent on weekends. (TNC, which stands for transportation network company, is an industry term used to describe ride-hailing apps like Uber and Lyft.)

    The findings from Fehr & Peers show totals “nearly twice that previous estimate,” said Gregory Erhardt, a professor of civil engineering at the University of Kentucky who has researched Uber and Lyft’s effects on public transit ridership. “This difference may be due to the continued increase in TNC use over the intervening two years.”

    But some cities aren’t as hard hit as others. Uber and Lyft represent lower percentages of total VMTs in Chicago, LA, and Seattle. And New York City, the largest market for both companies in the US, was left out of the analysis altogether, likely because of the city’s low rate of car ownership and extensive public transportation network.

    https://www.theverge.com/2019/8/6/20756945/uber-lyft-tnc-vmt-traffic-congestion-study-fehr-peers

  • Elizabeth Warren Promises to Kill State Laws That Ban Locally-Owned ISPs

    Warren’s proposal, outlined in a Medium post as part of a broader plan for rural America, includes doling out $85 billion to help fund broadband deployment to underserved areas. FCC data suggests that 39 percent of rural Americans still lack access to broadband.

    But the plan also does something notable: it takes aim at the growing roster of protectionist state laws telecom lobbyists have used to crush competition across the country.

    “Many small towns and rural areas have turned to municipal networks to provide broadband access in places that the private market has failed to serve—but today, as many as 26 states have passed laws hindering or banning municipalities from building their own broadband infrastructure to protect the interests of giant telecom companies,” Warren said.

    https://www.vice.com/en_us/article/mbmjja/elizabeth-warren-promises-to-kill-state-laws-that-ban-locally-owned-isps

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Supplier Report: 8/2/2019


Photo by Roberto Nickson on Unsplash

Microsoft continues to make strides in the cloud space inching closer to Amazon’s crown (but not that close…yet). The company is also betting on massive AI investments to continue their success in the future.

Meanwhile, T-Mobile and Sprint are finally allowed to merge and Dish will officially become a telecom company.

Acquisitions/Investments

  • T-Mobile and Sprint get DOJ approval for $26 billion merger deal

    The U.S. Department of Justice this morning gave the green light to T-Mobile US and Sprint for their proposed $26 billion merger. The deal, which would combine the nation’s third and fourth largest carriers (by subscriber number) has been green lit on the condition that Sprint sell its prepaid assets (including Boost Mobile) to Dish Network.

    As part of the deal, some nine million prepaid subscribers will move over to Dish, which will also have access to T-Mobile/Sprint’s network for a period of seven years.

    https://techcrunch.com/2019/07/26/t-mobile-and-sprint-get-doj-approval-for-26-billion-merger-deal/

    Experts Say the DOJ Justification for T-Mobile/Sprint Merger Approval Is a Joke

    “Today’s settlement will provide Dish with the assets and transitional services required to become a facilities-based mobile network operator that can provide a full range of mobile wireless services nationwide,” DOJ Assistant Attorney General Makan Delrahim said of the deal.

    But experts consulted by Motherboard say the proposal isn’t likely to work, and the end result of the merger will still very likely be higher prices and worse service for all.

    For one thing, Dish has been promising to build a wireless network for the better part of the last decade with little to show for it. The company has routinely been accused of “spectrum squatting,” or buying spectrum it doesn’t use in a bid to turn around and sell it later when it’s more valuable. Even T-Mobile made this complaint when Dish initially criticized the merger.

    https://www.vice.com/en_us/article/wjvw55/t-mobile-sprint-merger-is-a-joke

Artificial Intelligence

  • Microsoft to Invest $1 Billion in Artificial-Intelligence Startup

    “This is a big investment for Microsoft, even at their size,” said Stifel analyst Brad Reback. “They’ll do scores of acquisitions annually but most of them tend to be smaller technology tuck-ins.”

    OpenAI was launched in 2015 as a nonprofit with a goal of leading efforts to develop artificial general intelligence. It competes with Alphabet Inc. ’s DeepMind Technologies and others. OpenAI is led by CEO Sam Altman, a former president of startup accelerator Y Combinator.

    The Microsoft investment signals a vote of confidence in OpenAI’s recent transformation into a private company from a nonprofit. In March, OpenAI revamped its legal structure to raise more money and gain scale, which enabled it to accept the investment from Microsoft.

    https://www.wsj.com/articles/microsoft-to-invest-1-billion-in-artificial-intelligence-startup-11563813648

Cloud

  • Google Cloud’s run rate is now over $8B

    Google CEO Sundar Pichai, who recently installed former Oracle exec Thomas Kurian as the new head of Google Cloud, announced that this business unit now has an $8 billion annual revenue run rate. That’s up from the $4 billion the company reported in early 2018.

    While Google often felt like an also-ran in the cloud wars, it’s clearly starting to make up some ground. “Other cloud providers would have you believe that no one is using Google, which is not true,” Kurian told me when I talked to him earlier this year. Now he can put some numbers behind this claim.

    To put that into perspective, AWS’s run rate topped $30 billion last quarter while Microsoft Azure is somewhere around $11 billion, though concrete numbers are hard to come by.

    https://techcrunch.com/2019/07/25/google-clouds-run-rate-is-now-over-8b/

  • The cloud computing market is closing in on a $100 billion milestone, but half of it is going to either Amazon or Microsoft, according to an analyst report

    The cloud market, which covers web-based services for infrastructure, platform and hosted private clouds, totaled about $23 billion in the second quarter, according to Synergy Research Group. That’s up 39% from the year-ago period and $1.6 billion from the previous quarter.

    Amazon owned 33% of that market, bigger than the combined share of its four closest rivals: Microsoft, which had 16%, Google, 8%, Alibaba and Tencent. The report also mentioned other key players in the cloud market — IBM, Salesforce, Oracle and Rackspace — which posted lower growth rates and “are more niche-oriented.”

    https://www.businessinsider.com/amazon-microsoft-cloud-gap-narrowing-2019-7

  • Microsoft, AT&T sign cloud deal worth more than $2 billion

    Under the deal, Microsoft and AT&T will also work together on so-called edge computing, which will see Microsoft technology deployed alongside AT&T’s coming 5G network for applications that need extremely small delays in passing data back and forth, such as air traffic control systems for drones. The multi-year deal is worth more than $2 billion, according to a person familiar with the matter.

    The agreement is a major win for Microsoft, which will become AT&T’s “preferred” cloud vendor and is fighting to gain market share from Amazon.com Inc’s Amazon Web Services, the biggest provider of public cloud services. Cloud service customers run their software applications in data centers managed by the cloud provider.

    https://www.reuters.com/article/us-microsoft-at-t-cloud/microsoft-att-sign-cloud-deal-worth-more-than-2-billion-idUSKCN1UC1KK?il=0
    IBM Lands AT&T as Client in Cloud Deal

    The partnership builds on IBM’s $34 billion acquisition of open-source software firm Red Hat, which closed last week. Buying Red Hat strengthened IBM’s standing in the hybrid cloud market. Companies use the hybrid cloud to manage software and other systems across different cloud services and their own data centers.

    IBM said that Red Hat’s open-source software will give AT&T Business the flexibility to move data and applications among various clouds and data centers. AT&T Business until now has worked with multiple cloud vendors.

    https://www.wsj.com/articles/ibm-lands-at-t-as-client-in-cloud-deal-11563317480

Security/Privacy

  • An Equifax hack settlement promises a $125 payout. The truth is more complicated.

    First, if your information (most importantly, your social security number) was part of the hack, then you should assume it’s out there forever. Even if someone hasn’t stolen your identity yet, it could still happen.

    Second, even if you file for reimbursement, there’s a good chance you won’t actually get the full $125 that Equifax and the FTC are talking about. Things are worded carefully in the agreement, but the bottom line is there’s a limited amount of money in the payout pool, and it won’t cover $125 checks for 147 million people.

    Given all that, the biggest loophole you should be aware of is that if you do nothing, you will automatically waive your right to take legal action against Equifax in the future.

    https://www.washingtonpost.com/business/2019/07/27/equifax-settlement-guide-how-get-money-what-you-need-know/?utm_term=.ae82df97b9e0

Infrastructure/Hardware

  • Apple’s and Intel’s No-Brainer Deal

    The Wall Street Journal reported Monday that the two are in “advanced talks.” A deal would purportedly involve both the intellectual property and staff related to Intel’s effort to design and build the crucial smartphone component that ultimately landed only Apple as a customer. The reported purchase price under discussion is about $1 billion.

    That is less than a week’s worth of free cash flow for Apple. It also is about what Intel has been losing annually on modems. Despite landing the sizable iPhone business, Intel’s modem-chip operation never achieved the necessary scale to compete profitably with market leader Qualcomm . QCOM -0.17% Meanwhile, Apple was effectively locked into the Intel modem during its bruising legal tussle with Qualcomm. The latter’s advancements in 5G technology ultimately spurred a settlement of that dispute, but it is an uneasy peace. Intel now has a modem operation with no customer following this year’s iPhone model, and Apple is back to depending on a supplier with whom it now has a rather tortured history.

    https://www.wsj.com/articles/apples-and-intels-no-brainer-deal-11563900798

  • Sony’s wearable AC will arrive too late to save you from this year’s heatwave

    Sony has announced the Reon Pocket, a small cooling device that you can wear like a portable air conditioner. It’s currently live on Sony’s crowdfunding website, where prices start at ¥12,760 (about $117). SlashGear notes that as well as cooling you during hot days, the device, which slots into the back pocket of a specially designed T-shirt, can also warm you up during the winter.

    https://www.theverge.com/circuitbreaker/2019/7/27/8931701/sony-reon-pocket-portable-wearable-air-conditioner-heater-heatwave-t-shirt

    I need this thing now. Right Now.

Other

  • Tesla’s longtime CTO is stepping down

    Longtime Tesla executive JB Straubel is leaving his post as chief technology officer after some 15 years, CEO Elon Musk announced Wednesday evening. Straubel will transition to a “senior advisor” role, according to Musk, and is not fully leaving the company. The news comes as Tesla announced a $408 million loss for the second quarter of 2019.

    “I’m not disappearing, and I just wanted to make sure that people understand that this was not some, you know, lack of confidence in the company, or the team, or anything like that,” Straubel said on the call.

    Straubel is the second C-suite executive to announce a change in his role on one of Tesla’s earnings calls in the last six months. Longtime chief financial officer Deepak Ahuja announced he was retiring on a call in January. Tesla also has a well-documented revolving door when it comes to lower-level executives.

    https://www.theverge.com/2019/7/24/20726728/tesla-jb-straubel-cto-is-stepping-down

Posted on

Supplier Report: 7/26/2019


Photo by Chris Hall on Unsplash

Microsoft has been performing very well in the cloud space, beating expectations and increasing profits. Other companies like IBM… not so much. In fact IBM’s performance (while growing) is causing some analysts to call Big Blue a “zombie company”.

The drama between the Pentagon, Amazon, and Oracle may not be over. The suppliers that were down-selected (Oracle and IBM) likely complained directly to President Trump (he is friendly with Safra Catz) and he has vowed to “look into it”.

And it looks like Broadcom isn’t so interested in buying Symantec. That deal is said to be dead.

Acquisitions/Investments

  • VMware acquires ML acceleration startup Bitfusion

    VMware today announced that it has acquired Bitfusion, a former participant in our Startup Battlefield competition. Bitfusion was one of the earliest companies to help businesses accelerate their complex computing workloads on GPUs, FPGAs and ASICs. In its earliest iteration, over four years ago, the company’s focus was less on AI and machine learning and more on other areas of high-performance computing, but, unsurprisingly, that shifted as the interested in AI and ML increased in recent years.

    VMware will use Bitfusion’s technology, which is vendor- and hardware-agnostic, to bring similar capabilities to its customers. Specifically, it plans to integrate Bitfusion into its vSphere platform.

    https://techcrunch.com/2019/07/18/vmware-acquires-ml-acceleration-startup-bitfusion/

  • Symantec and Broadcom cease deal negotiations: Sources

    People familiar with the matter added that Broadcom indicated in early conversations that it would be willing to pay $28.25 per share for Symantec, but that following due diligence knocked that figure down below $28.

    Symantec had surged earlier this month after it was revealed that Broadcom was in advanced talks to acquire the security software vendor. Faber had reported the two sides were negotiating a price and had seen possible synergies of $1.5 billion.

    Symantec shares dropped 12.8% to $22.30 on Monday.

    https://www.cnbc.com/2019/07/15/symantec-and-broadcom-cease-deal-negotiations-sources.html

Cloud

  • Microsoft’s Cloud Business Drives Record Sales

    Revenue rose 12% to $33.72 billion from the year-earlier period, the company said Thursday, beating Wall Street estimates. Profit also topped expectations.

    The results for Microsoft’s fiscal fourth quarter ended in June reflected continued strength in corporate spending on the cloud services that have revolutionized business computing over the past decade. Companies increasingly are paying subscriptions for software and renting computer power, rather than buying applications that run on their own servers.

    https://www.wsj.com/articles/microsofts-cloud-business-drives-record-sales-11563481232

  • IBM Revenue Lags as Cloud Pivot Remains a Challenge

    Revenue fell 4.2% from a year earlier to $19.16 billion. Profit rose 3.9% to $2.5 billion, as the company worked to scale back its exposure to businesses with smaller profit margins.

    IBM has trailed Microsoft Corp. and Amazon.com Inc. as customers race to do more of their computing in the cloud—online services that free companies from the need to buy and maintain their own systems. As competitors report consistently strong revenue growth, buoyed by sales of their cloud services, IBM has absorbed a string of declines.

    https://www.wsj.com/articles/ibm-revenue-lags-as-cloud-pivot-remains-a-challenge-11563395020

  • Trump says he’s looking into a Pentagon cloud contract for Amazon or Microsoft because ‘we’re getting tremendous complaints’

    “We’re getting tremendous complaints from other companies,” Trump said in a press pool at the White House during a meeting with the prime minister of The Netherlands. “Some of the greatest companies in the world are complaining about it.” He named Microsoft, Oracle and IBM.

    Since April, Microsoft and Amazon have been the only remaining competitors for the contract after IBM and Oracle were ruled out by the Defense Department. The contract, known as JEDI, is viewed as a marquee deal for the company that ultimately wins it, particularly as Microsoft and Amazon are aggressively pursuing government work for their expanding cloud units.

    https://www.cnbc.com/2019/07/18/trump-says-seriously-looking-into-amazons-pentagon-contract.html

    House Republicans to Trump: Stay Out of Pentagon Cloud Acquisition

    “We believe that it is essential for our national security to move forward as quickly as possible with the award and implementation of this contract,” said the Republican lawmakers, who sit on one of the two Congressional committees with Pentagon oversight responsibilities. “It meets only a portion of DOD’s needs for cloud, but it is an important first step. Moving to the cloud will help DOD operate faster, more efficiently and compete with adversaries, like China.

    “Our committee has conducted oversight of this contract from the beginning. As you know, the courts have upheld DOD’s handling of this competition. While it is understandable that some of the companies competing for the contract are disappointed at not being selected as one of the finalists, further unnecessary delays will only damage our security and increase the costs of the contract.”

    https://www.nextgov.com/it-modernization/2019/07/house-republicans-trump-stay-out-pentagon-cloud-acquisition/158557/

  • Google officially closes ‘Dragonfly,’ its controversial Chinese search project

    Google’s controversial Project Dragonfly has officially been shelved. At a Senate Judiciary Committee hearing this week, Google’s vice president of public policy, Karan Bhatia, said that work on its censored Chinese search engine had been “terminated.” A spokesperson later confirmed that Google has no plans to launch Search in China, and that there is no work being undertaken on such a project.

    https://www.engadget.com/2019/07/17/google-officially-closes-dragonfly-chinese-search/

Security/Privacy

  • Equifax to Pay Around $700 Million to Resolve Data-Breach Probes

    Under the agreement, the credit-reporting firm would pay around $700 million to settle with the Federal Trade Commission, the Consumer Financial Protection Bureau and most state attorneys general, according to people familiar with the matter. The deal would also resolve a nationwide consumer class-action lawsuit, they said.

    The settlement could be announced as soon as Monday, the people said. The amount Equifax ultimately pays could shift based on the number of consumer claims that are eventually filed, they added.

    https://www.wsj.com/articles/equifax-to-pay-around-700-million-to-resolve-data-breach-probes-11563577702

  • Hackers breach 62 US colleges by exploiting ERP vulnerability

    The vulnerability is in Ellucian Banner Web Tailor, a module of the Ellucian Banner ERP that lets universities customize their front-facing web applications. The vulnerability also impacts Ellucian Banner Enterprise Identity Services, a module for managing user accounts.

    Earlier this year, a security researcher named Joshua Mulliken discovered a vulnerability in the authentication mechanism used by the two modules that can allow remote attackers to hijack victims’ web sessions and gain access to their accounts.

    https://www.zdnet.com/article/hackers-breach-62-us-colleges-by-exploiting-erp-vulnerability/

  • Florida DMV sells your personal information to private companies, marketing firms

    The Florida Department of Highway Safety and Motor Vehicles told the I-Team under the law, it must provide driver information but said federal privacy laws and its own rules limit how outside companies can access Floridian’s personal information.

    One of the data brokers accessing Florida DMV information is Arkansas-based marketing firm Acxiom, which has an agreement with the state to buy driver and ID cardholder data for a penny a record.

    On its website, Acxiom claims it has collected information from almost every adult in the United States.

    https://www.abcactionnews.com/news/local-news/i-team-investigates/i-team-florida-dmv-sells-your-personal-information-to-private-companies-marketing-firms

Software/SaaS

  • IBM is a ‘zombie company’: Analyst

    Yes, IBM’s cloud business is growing, but it pales in comparison to the competition. Its second-quarter cloud revenue climbed 5%. Microsoft’s Azure enjoyed revenue growth of 64% in the company’s fourth quarter of its fiscal year, while AWS jumped more than 41% in its first quarter.

    Just this week AT&T inked a reported $2 billion deal with Microsoft to move most of its internal business applications used by its largest unit to Microsoft’s Azure cloud. As part of the agreement, AT&T’s (T) employees will use Azure’s productivity tools and services.

    The deal came one day after IBM said that AT&T would move internal applications used by its business services unit to IBM’s Cloud. The exact terms of the agreement were not disclosed, but an IBM spokesperson describes it as a “multi-billion dollar deal.”

    https://finance.yahoo.com/news/ibm-is-a-zombie-company-analyst-122944734.html

Other

  • EU opens Amazon antitrust investigation

    The EU’s Competition Commission has opened a formal antitrust investigation into Amazon to investigate whether the company is using sales data to gain an unfair advantage over smaller sellers on the Marketplace platform. The Commission says it will look into Amazon’s agreements with marketplace sellers, as well as how Amazon uses data to choose which retailer to link to using the “Buy Box” on its site. The announcement comes on the same day that Amazon announced changes to its third-party seller service agreement in response to a separate antitrust investigation by German regulators.

    https://www.theverge.com/2019/7/17/20696214/amazon-european-union-antitrust-investigation-third-party-seller-marketplace

Posted on

Supplier Report: 7/5/2019


Photo by Trent Yarnell on Unsplash

Former Equifax CIO Jun Ying is going to prison for insider trading.  He sold off stock prior to the breach announcement (but he was well aware of) avoiding over $100K in loses… finally someone is getting held accountable.

Google’s peers are petitioning the US Government to hold the company accountable for anti-trust behavior. It is one thing for the government to investigate but I do find it troubling when other companies start pointing the government at one of their competitors. I certainly don’t think they have end user’s best interests at heart.

Finally the EU, who collectively are very sensitive to monopoly behavior, are allowing IBM to move forward with their acquisition of Red Hat.

Acquisitions/Investments

  • EU Gives Unconditional Green Light to IBM’s $34B Purchase of Red Hat

    The Commission said the acquisition would not create any competition problems in relevant markets.

    In its investigation, the commission looked at the impact the transaction would have on the markets for middleware and system infrastructure software. Middleware is software used for making and operating enterprise application software, such as online payment processing. System infrastructure software allows companies to control hardware resources, such as servers, across enterprise application software.

    The commission found that the merged company would continue to face significant competition from other players in all potential markets.

    https://www.law.com/2019/06/27/eu-gives-unconditional-green-light-to-ibms-34b-purchase-of-red-hat-292-48931/?slreturn=20190530072301

Artificial Intelligence

  • Google will now tell you how crowded your bus or train is likely to be

    Google is basing these details on past rides. For months, Google has been asking some people who use Google Maps to provide additional details about the level of crowdedness of their transit trips. After completing their trips, riders were given four options: many empty seats, few empty seats, standing room only, or cramped standing room only.

    Now, the company has collected enough data that it can begin offering predictions to customers who use Google Maps to plan their daily commute. The new feature is available starting today in 200 cities around the globe. (About one-quarter of cities are in the US, according to The Wall Street Journal.)

    https://www.theverge.com/2019/6/27/18761187/google-maps-transit-crowded-delays-predictions-train-bus-subway

  • Amazon’s Facial Analysis Program Is Building A Dystopic Future For Trans And Nonbinary People

    As Os Keyes, a PhD student at the University of Washington, writes in their 2018 study of the subject:

    If systems are not designed to include trans people, inclusion becomes an active struggle: individuals must actively fight to be included in things as basic as medical systems, legal systems or even bathrooms. This creates space for widespread explicit discrimination, which has (in, for example, the United States) resulted in widespread employment, housing and criminal justice inequalities , increased vulnerability to intimate partner abuse and[35], particularly for trans people of colour, increased vulnerability to potentially fatal state violence.

    https://jezebel.com/amazons-facial-analysis-program-is-building-a-dystopic-1835075450

Cloud

  • The Real Cloud Wars: The $6 Billion Battle Over The Future Of Weather Forecasting

    For decades, private weather forecasting has been a cozy industry, dominated in the U.S. by AccuWeather, The Weather Company (founded as The Weather Channel in 1982 and bought by IBM for $2.3 billion in 2016) and DTN, which focuses on industrial concerns and was purchased by a Swiss holding company for $900 million in 2017.

    But now a perfect storm of macro-trends—ever cheaper processing power, cloud computing, vastly improved AI and a proliferation of low-cost sensors—has opened up the field to a fresh crop of ambitious startups. In aggregate, they have raised hundreds of millions of dollars from investors, who think the incumbents look vulnerable to creative new business models.

    https://www.forbes.com/sites/susanadams/2019/06/24/the-real-cloud-wars-the-6-billion-battle-over-the-future-of-weather-forecasting/#1dcd097d298f

Security/Privacy

  • U.S. May Outlaw Messaging Encryption Used By WhatsApp, iMessage And Others, Report

    Politico cited several unnamed sources in reporting that “the encryption challenge, which the government calls ‘going dark,’ was the focus of a National Security Council meeting Wednesday morning that included the No. 2 officials from several key agencies.” The discussion focused on the lockdown of messaging apps, billed as “a privacy and security feature,” which “frustrates authorities investigating terrorism, drug trafficking and child pornography.”

    The challenge for governments, the U.S. included, is that the privacy of messaging has become a central theme in the ongoing debate around privacy, data security and information integrity. People around the world are shifting from public social media posting to closed groups, and messaging platforms have been a major driver of that. Even Facebook has put messaging security and privacy at the center of its new strategy.

    https://www.forbes.com/sites/zakdoffman/2019/06/29/u-s-may-outlaw-uncrackable-end-to-end-encrypted-messaging-report-claims/#2fb8053c6c87

Software/SaaS

  • Oracle Hot Takes: Workday “Not Competitive,” SAP a Time Bomb, Microsoft Valued Partner

    Here’s Hurd’s reply about a competitor that’s growing faster than Oracle in the cloud:

    “I think Workday does – again, my sense of Workday is they do a decent job in upmarket HCM where they can divorce the HCM buyer from the ERP buyer. When the ERP buyer and the HCM buyer are aligned and combined, they’re really in a position with no chance because they don’t have much of a financials product,” Hurd said.

    **

    “What that means is, they have to roll up a big new build to move to this thing Larry called earlier, HANA. It’s a big damn build and so the poor CIO or CFO or whoever this guy is, has to show up to the board, and says to the board of directors, ‘We’ve got a $500-million build to move to HANA.’”

    Hurd continued: “So yeah, I mean, I think it’s an incredibly interesting strategy on their part to put all their customers at play. Do we get calls from customers that we haven’t been called or talked to in 20 years? The answer is yes, and is it because – and remember… that when we sold to customers 15 years ago, they never really talked to SAP after that and vice versa, because you’re expected to stay with these ERP systems forever.

    https://cloudwars.co/oracle-workday-not-competitive-sap-time-bomb/

  • Bill Gates accidentally makes the case to regulate the hell out of platform companies

    The important thing to know is that it’s well-established that the network effect enables the winning platforms to achieve massive scale and preclude competition. It’s a devastating combination that Gates calls “complete doom.” There’s a reason so many tech markets tend toward monopoly or duopoly, like Android and iOS, or Google search, or Facebook, or Uber and Lyft — the network effect makes it basically impossible to build a competitor because you can’t populate the network. And you can’t buy your way out of this problem: Microsoft famously paid app developers to write Windows Phone apps when there weren’t enough users to otherwise draw developer attention, and… it didn’t work.

    Gates might be saying this to describe why Windows Phone didn’t succeed — it didn’t have the app ecosystem to compete with Apple and Android — but what he is describing is the exact reason regulating tech platforms is the subject of so much conversation around the world: you can’t count on competition to keep these companies in line, because it’s virtually impossible to build a competitor. Even Microsoft couldn’t do it!

    https://www.theverge.com/2019/6/24/18715702/bill-gates-regulate-platforms-network-effect-android-mistake-microsoft

    Don’t buy Bill Gates’ outrageous claim that Microsoft just missed out on dominating the smartphone market

    But his comments this week were a bit self-serving. And I almost choked when he said: “We knew the mobile phone would be very popular so we were doing what was called Windows Mobile. We missed being the dominant mobile operating system by a very tiny amount.”

    And things became laughable when he went on to claim: “We were distracted during our antitrust trial. We didn’t assign the best people to do the work. So it’s the biggest mistake I made in terms of something that was clearly within our skill set. We were clearly the company that should have achieved that – and we didn’t.”

    Utter rubbish.

    https://www.stuff.co.nz/business/opinion-analysis/113849252/dont-buy-bill-gates-outrageous-claim-that-microsoft-just-missed-out-on-dominating-the-smartphone-market

Infrastructure/Hardware

  • Apple will reportedly manufacture its $6,000 Mac Pro in China

    According to Wall Street Journal sources, Apple will work with Quanta Computer Inc., out of a factory near Shanghai. That facility is close to other Apple suppliers, which could help the company lower its shipping costs, and manufacturing labor costs in China are still much lower than those in the US. Apple has a long-standing relationship with Quanta, which makes MacBooks and Apple smartwatches at its other facilities.

    The decision to move Mac Pro production to China comes even as trade tensions between the Trump administration and China escalate. The proposed 25 percent tariffs on imports from China would affect all of Apple’s major devices. The company has asked suppliers to study shifting assembly of some products out of China, and Foxconn said it could produce US-bound iPhones outside of China if necessary.

    https://www.engadget.com/2019/06/28/apple-manufacture-mac-pro-china/

  • Huawei can buy from US suppliers again — but things will never be the same

    All told, Huawei founder and chief executive Ren Zhengfei said recently that the ban would cost the Chinese tech firm — the world’s third-larger seller of smartphones — some $30 billion in lost revenue of the next two years.

    Now, however, the Trump administration has provided a reprieve, at least based on the President’s comments following a meeting with Chinese premier Xi Jinping at the G20 summit this weekend.

    “US companies can sell their equipment to Huawei. We’re talking about equipment where there’s no great national security problem with it,” the U.S. President said.

    https://techcrunch.com/2019/06/29/huawei-us-supplier-ban-lifted/

Other

  • Former Equifax executive sentenced to prison for insider trading prior to data breach

    The Justice Department announced this week that former Equifax CIO Jun Ying has been sentenced to four months in prison for insider trading. He pled guilty earlier this year for for selling his stock in the company prior to the announcement that it had been hit with a massive data breach in 2017.

    The Security and Exchanges Commission charged Ying with insider trading last year. The Department of Justice says that in August 2017, after learning about the breach, he began researching the impact that a similar breach had on another company’s stock price. Later that morning, he promptly exercised and sold all of his stock options, earning nearly a million dollars from the sale. In doing so, he avoided a loss of $117,000 that he otherwise would have incurred when the company’s stock price dropped after the disclosure. More than 150 million people had their personal information leaked in the incident.

    https://www.theverge.com/2019/6/29/20056655/jun-ying-equifax-breach-jail-time-insider-trading-department-of-justice

  • Google’s Enemies Gear Up to Make Antitrust Case

    The stable of Google critics includes TripAdvisor Inc. and Yelp Inc., which accuse the search giant of unfairly favoring its own content.

    Oracle Corp. , which has a long-pending copyright case against Google, has briefed European antitrust regulators about Google’s use of data to target ads and was part of a successful coalition of plaintiffs against Google’s alleged anticompetitive behavior in its Android operating system for smartphones, which led to a record fine issued by the European Commission last year, of €4.3 billion.

    News Corp , which owns The Wall Street Journal, and other publishers say Google and other tech platforms siphon ad revenue from content creators.

    All these companies say they would welcome further antitrust scrutiny. They and others are expected to seek out Justice Department officials as they prepare a Google probe, according to industry executives and antitrust lawyers.

    https://www.wsj.com/articles/googles-enemies-gear-up-to-make-antitrust-case-11561368601

  • Jony Ive leaving Apple after nearly 30 years to start new design firm

    Apple’s chief design officer Jonathan Ive will depart the company later this year, bringing an end to a tenure spent crafting some of technology’s most influential products, including the iPhone. Ive, who has led Apple’s design team since 1996, is leaving “to form an independent design company which will count Apple among its primary clients.” The company is called LoveFrom, and Ive will be joined by famed designer Marc Newson on the new venture. Despite stepping down from his executive position, Ive and Apple both claim he will still work “on a range of projects with Apple.”

    https://www.theverge.com/2019/6/27/18761736/jony-ive-apple-leave-iphone-chief-design-officer-lovefrom-company-quit
    History Will Not Be Kind to Jony Ive

    Ive’s Apple has been one in which consumers have been endlessly encouraged to buy new stuff and get rid of the old. The loser is the environment, and the winner is Apple’s bottom line. Apple has become famous for its design, and Ive has become famous, too. Let’s hope the next great consumer electronics designer is nothing like him.

    https://www.vice.com/en_us/article/ywyjmw/history-will-not-be-kind-to-jony-ive

Posted on

Supplier Report: 12/21/2018

Verizon is taking a $4.6B write down of their AOL and Yahoo acquisitions, discovering what most people said at the time of their Yahoo purchase – they made a bad decision.

The company also announce over 10,000 Verizon employees will be volunteering to leave their positions.

Oracle continues to struggle with their cloud position in the wake of Thomas Kurian leaving for Google. The company continues to protest and take legal action against the DoD over the way they conducted the JEDI RFP… because that’s how you endear yourself to someone you want to do business with later.

Acquisitions

  • Intel and TPG in talks to sell McAfee to Thoma Bravo for significantly more than $4.2 billion

    Private equity firm Thoma Bravo is in early discussions to acquire security software company McAfee from TPG and Intel for a significant premium over the company’s 2016 $4.2 billion valuation, according to people familiar with the matter.

    Talks may still fall apart and a deal announcement isn’t expected soon, said the people, who asked not to be named because the discussions are private.

    https://www.cnbc.com/2018/12/14/intel-tpg-in-talks-to-sell-mcafee-to-thoma-bravo.html

  • SoftBank invests in parking startup ParkJockey pushing valuation to $1 billion

    Along with the SoftBank investment news, ParkJockey also announced that it was acquiring two of the largest parking operators in North America. The startup, with help from Abu Dhabi-based Mubadala Capital and debt financing from Owl Rock, said it had reached an agreement to acquire Imperial Parking Corporation, a North American-based parking management company often referred to as Impark. The agreement follows ParkJockey’s acquisition of parking management operator Citizens Parking Inc.

    The investment puts the ParkJockey valuation to more than $1 billion, reported Miami Herald.

    https://techcrunch.com/2018/12/10/softbank-invests-in-parking-startup-parkjockey-pushing-valuation-to-1-billion/

  • GE Announces New Industrial IoT Software Business

    In establishing GE Digital as a separate, wholly owned subsidiary, GE CEO Larry Culp is giving GE Digital perhaps its best chance of survival. He’s also creating an opportunity for GE shareholders to leverage any success down the road. But can GE Digital be successful as a standalone company?

    The opportunity before a new GE Digital is to capitalize on the reputation of Predix as a solid platform for industrial IoT. Unencumbered by having to supply IT services to the various GE industrial divisions, the new GE Digital should be more nimble and responsive to market opportunities.

    https://www.forbes.com/sites/forrester/2018/12/14/ge-announces-new-industrial-iot-software-business/#fc03cc94b1ce

  • Trello acquires Butler to add power of automation

    What Butler brings to Trello  is the power of automation, stringing together a bunch of commands to make something complex happen automatically. As Trello’s Michael Pryor pointed out in a blog post announcing the acquisition, we are used to tools like IFTTT, Zapier and Apple Shortcuts, and this will bring a similar type of functionality directly into Trello.

    https://techcrunch.com/2018/12/10/trello-acquires-butler-to-add-power-of-automation/

Artificial Intelligence

  • The Deadly Recklessness of the Self-Driving Car Industry

    The newest and most glaring example of just how reckless corporations in the autonomous vehicle space can be involves the now-infamous fatal crash in Tempe, Arizona, where one of Uber’s cars struck and killed a 49-year-old pedestrian. The Information obtained an email reportedly sent by Robbie Miller, a former manager in the testing-operations group, to seven Uber executives, including the head of the company’s autonomous vehicle unit, warning that the software powering the taxis was faulty and that the backup drivers weren’t adequately trained.

    “The cars are routinely in accidents resulting in damage,” Miller wrote. “This is usually the result of poor behavior of the operator or the AV technology. A car was damaged nearly every other day in February. We shouldn’t be hitting things every 15,000 miles. Repeated infractions for poor driving rarely results in termination. Several of the drivers appear to not have been properly vetted or trained.”

    https://gizmodo.com/the-deadly-recklessness-of-the-self-driving-car-industr-1831027948

Cloud

  • Oracle earnings: Chronic cloud concerns create crisis of confidence

    In a quarterly survey of 36 Oracle partners, J.P. Morgan analyst Mark Murphy found most results to be “underwhelming.”

    “In the aftermath of former President Thomas Kurian’s departure to Google, metrics are listless and dull for Pace of Business, Revenue Expectation, and Oracle’s Momentum / Technology Vision,” Murphy wrote. “‘Failure to innovate’ is being mentioned.”

    “Amazon, Microsoft MSFT SAP SAP and Google are most frequently mentioned as becoming more competitive with Oracle,” the J.P. Morgan analyst said. “Partners view Oracle as being ‘way back in the cloud arms race’ and ‘not sure they can catch up at this point.’”

    https://www.marketwatch.com/amp/story/guid/1FF18130-FD69-11E8-95C1-5E5DFA743B98

  • Amazon Intervenes in Oracle’s JEDI Lawsuit

    In addition to the alleged conflicts of interest, Oracle’s lawsuit takes issue with the Pentagon’s decision to award the contract to a single company, similar to arguments it made in a bid protest the Government Accountability Office denied in November.

    In its motion to intervene, AWS called Oracle’s allegations “meritless” and contended it has “direct and substantial economic interests at stake” in the lawsuit; the granted motion gives AWS the legal right to defend its proprietary, financial and reputational interests that could arise in the case.

    https://www.nextgov.com/cio-briefing/2018/12/amazon-intervenes-oracles-jedi-lawsuit/153559/

  • Verizon Admits Defeat With $4.6 Billion AOL-Yahoo Writedown

    The wireless carrier slashed the value of its AOL and Yahoo acquisitions by $4.6 billion, an acknowledgment that tough competition for digital advertising is leading to shortfalls in revenue and profit.

    The move will erase almost half the value of the division it had been calling Oath, which houses AOL, Yahoo and other businesses like the Huffington Post.

    https://www.bloomberg.com/news/articles/2018-12-11/verizon-writes-down-4-6-billion-of-value-of-aol-yahoo-business

Security

  • Chinese Hackers Breach U.S. Navy Contractors

    The data allegedly stolen from Navy contractors and subcontractors often is highly sensitive, classified information about advanced military technology, according to U.S. officials and security researchers. The victims have included large contractors as well as small ones, some of which are seen as lacking the resources to invest in securing their networks.

    One major breach of a Navy contractor, reported in June, involved the theft of secret plans to build a supersonic anti-ship missile planned for use by American submarines, according to officials. The hackers targeted an unidentified company under contract with the Navy’s Naval Undersea Warfare Center in Newport, R.I.

    https://www.wsj.com/articles/u-s-navy-is-struggling-to-fend-off-chinese-hackers-officials-say-11544783401

  • Equifax breach was ‘entirely preventable’ had it used basic security measures, says House report

    The report confirmed most of what was already known, but added new color and insights that were previously unreported. The credit agency failed to patch a disclosed vulnerability in Apache Struts, a common open source web server, which Homeland Security had issued a warning about some months before. The unpatched Apache Struts server was powering its five-decades-old(!) web-facing system that allowed consumers to check their credit rating from the company’s website. The attackers used the vulnerability to pop a web shell on the server weeks later, and managed to retain access for more than two months, the House panel found, and were able to pivot through the company’s various systems by obtaining an unencrypted file of passwords on one server, letting the hackers access more than 48 databases containing unencrypted consumer credit data.

    https://techcrunch.com/2018/12/10/equifax-breach-preventable-house-oversight-report/

    The people at Equifax want you to forget about this, we have to keep reminding ourselves that this was not acceptable and ensure other companies with this data are held to higher standards.

Software/SaaS

  • IBM Hopes To Strengthen ‘Do Not Call’ Registries With Blockchain

    The Telecom Regulatory Authority of India is hoping that by using blockchain to keep tabs on the system, it will make it easier to figure out who is abusing the system and how. The proposed platform would record who made a “Do Not Call” request, the telephone numbers accused of violating the request, and mobile telephone portability data. By having this information on a shared ledger, it will theoretically be easier to identify fraud quickly.

    https://www.ethnews.com/ibm-hopes-to-strengthen-do-not-call-registries-with-blockchain

Other

  • Verizon announces 10,400 employees will voluntarily leave the company

    Verizon today announced 10,400 employees are taking buyouts to leave the company. That’s about 7 percent of the company’s worldwide workforce. This is part of an effort to trim the telecom giant’s workforce ahead of its push toward 5G.

    https://techcrunch.com/2018/12/10/verizon-announces-10400-employees-will-voluntarily-leave-the-company/

  • Why Apple Chose Austin, Seattle and Culver City for Its New Jobs Push

    Each location where it announced expansion plans Thursday reflects a different facet of Apple’s evolving model. Culver City gives Apple a Hollywood homebase as it pushes into video programming. Seattle is a machine-learning hub where it can develop algorithms that personalize streaming-music playlists and improve Siri. San Diego and Austin offer semiconductor engineers who can advance the customized-chip efforts that help Apple wring more money out of its iPhones, iPads and Macs.

    https://www.wsj.com/articles/apples-new-job-push-reflects-shifting-strategy-and-changing-identity-11544792403

  • Why the Amazon Invasion in New York and Virginia Will Be Slow

    Before workers can move in, Amazon needs to remodel temporary offices it is leasing in Long Island City and Crystal City, which will take several months. Amazon already has plenty of office space in both metro areas, so it won’t need to rush construction, these people said. It could take roughly two years before Amazon is able to break ground on its new New York campus, and potentially a little sooner for Northern Virginia, due to various needed site approvals and other preconstruction

    https://www.wsj.com/articles/why-the-amazon-invasion-in-new-york-and-virginia-will-be-slow-11544697000

  • Huawei CFO freed on bail ahead of extradition

    A British Columbia Supreme Court justice has granted Meng bail after her attorney and family made a case for her conditional release. She’s paying $10 million CAD ($7 million of it in cash) and must stay in the province, report to a supervisor, agree to around-the-clock surveillance, pay for security, live in a Vancouver area house owned by her husband (Liu Xiaozong) and remain home between 11PM and 6AM.

    Liu also promised both $1 million in cash as well as the $14 million value of two Vancouver homes.

    https://www.engadget.com/2018/12/11/huawei-cfo-freed-on-bail/

    Inside Huawei’s Secret HQ, China Is Shaping the Future

    In the past two years, the largest internet companies formed semiconductor units to improve their cloud offerings and AI applications, such as image recognition and voice assistance. Huawei’s chip design unit, HiSilicon, has been around since 2004. It started working on customized chips to handle complex algorithms on hardware before the cloud companies did. Research firm Alliance Bernstein estimates that HiSilicon is on pace for $7.6 billion in sales this year, more than doubling its size since 2015.

    “Huawei was way ahead of the curve,” said Richard, the analyst.

    Yet in terms of sales and operations, Huawei’s cloud business is meager next to its larger rivals. The company spent about $13 billion on research and development in 2017, up more than 17 percent from the previous year. Its rivals in the cloud market have cut similarly sized checks. “Huawei has concluded that if it does not offer future solutions via the cloud, where its customers are migrating, someone else will,” said Siow Meng Soh, a research manager for GlobalData Plc.

    https://www.bloomberg.com/news/articles/2018-12-12/huawei-furthers-china-s-grand-tech-ambitions-amid-meng-detention

Photo by Lubo Minar on Unsplash