Tag: Microsoft

Posted on

Supplier Report: 4/3/2020


Photo by Sydney Sims on Unsplash

Having done this blog for the last 7 years, I tend to notice patterns with the technology press.

Since the start of the coronavirus pandemic, articles mentioning artificial intelligence technology and automation have completely dropped off. Unfortunately, this makes sense as the global workforce is scared, and any talk of job-eliminating technology will add to our collective anxiety.

Only 25% of all Americans have the ability to work remotely. As shops close down and reduce their output, many are questioning how long some businesses can survive. It is getting to the point where certain IT firms (like Saleforce) are pledging not to make “substantial job eliminations” for the next 90 days – which is so classy considering Saleforce is a company that could operate almost entirely online and still produce products and sales with limited impact.

Meanwhile, Microsoft is quietly upping their game with more Azure capacity, pushing their Team’s software, and still making acquisitions.

Acquisitions/Investments

  • Microsoft acquires 5G specialist Affirmed Networks

    With its focus on 5G and edge computing, Affirmed looks like the ideal acquisition target for a large cloud provider looking to get deeper into the telco business. According to Crunchbase, Affirmed raised a total of $155 million before this acquisition, and the company’s more than 100 enterprise customers include the likes of AT&T, Orange, Vodafone, Telus, Turkcell and STC.

    https://techcrunch.com/2020/03/26/microsoft-acquires-5g-specialist-affirmed-networks/

  • Deloitte acquires Microsoft, IBM partner Bistech

    Bistech will join Deloitte’s data analytics team in Brisbane, with Bistech co-owners Shane Morgan, Justin Hoareau and Brad Culbert in leadership roles. All 17 consultants will also join Deloitte.

    “We’re incredibly excited and pleased to be joining Deloitte’s Analytics & Cognitive team, which shares the same people values and customer focus we’ve built over the last 19 years in business,” Bistech founder Shane Morgan said in a statement.

    Founded in 2000, Bistech provides data analytics, data science, data management and financial performance management services in the form of consulting, technical implementation, support and training.

    https://www.crn.com.au/news/deloitte-acquires-microsoft-ibm-partner-bistech-539759

Cloud

  • Microsoft reveals 775 percent Azure surge, quotas on some resources and ‘significant new capacity’ coming ASAP

    “We are expediting the addition of significant new capacity that will be available in the weeks ahead,” the post continues. “Concurrently, we monitor support requests and, if needed, encourage customers to consider alternative regions or alternative resource types, depending on their timeline and requirements. If the implementation of these efforts to alleviate demand is not sufficient, customers may experience intermittent deployment related issues. When this does happen, impacted customers will be informed via Azure Service Health.”

    The post seems very much designed to reassure customers that Microsoft is not going to run out of cloud anytime soon, but also reveals “a few temporary restrictions designed to balance the best possible experience for all of our customers.”

    https://www.theregister.co.uk/2020/03/29/microsoft_reveals_775_percent_azure_usage_surge_in_coronavirus_lockdown_zones/
    Microsoft needs to invest heavily in its own infrastructure now if it wants to keep up with the popularity of its remote work tools, analyst warns

    A survey of chief information officers, human resources professionals and others this week suggested Microsoft could weather the crisis because of its cloud and collaboration software products including Skype for Business and the Microsoft Teams chat app.

    The survey, conducted by RBC Capital Markets, suggested companies are likely to accelerate moves from on-premises computing resources into the public and private cloud – benefiting cloud providers like Microsoft Azure and Amazon Web Services – and increase budgets for Microsoft collaboration products.

    https://www.businessinsider.com/microsoft-coronavirus-crisis-new-customers-2020-3

Security/Privacy

  • Google’s security measures failed to find Android malware in Play Store

    The malware, named “Tekya”, imitated the user’s actions in order to click ads and banners from agencies suh as AdMob, AppLovin’, Facebook and Unity. The affected apps included utility apps such as cooking apps and calculators, and apps aimed at kids, such as puzzles and racing games.

    Tekya was able to go undetected for so long because it hid in Android’s native code — code that’s designed to run only on Android processors. As such, the malware avoided detection by Google Play Protect, the system designed to keep Android safe. The malware was removed by Google in early March, after Check Point disclosed its findings to the company.

    Considering the Play Store is home to more than two million apps, 56 being affected in this way represents a very small sample. However, it does demonstrate that Google’s security efforts aren’t fool-proof.

    https://www.engadget.com/2020-03-24-google-security-android-malware-play-store.html

  • What Is the Most Secure Video Conferencing Software?

    While Zoom offers end-to-end encrypted chat—meaning only the participants in the exchange have access to the contents of the messages—its video calls are not encrypted in the same way by default. Hosts, however, can enable end-to-end encryption in video calls too, according to the company.

    The app has a troubled record when it comes to security and privacy. Thanks to a creepy feature, hosts can track whether you are paying attention to the meeting, and the company’s privacy policy allows it to collect all sorts of personal data.

    https://www.vice.com/en_us/article/m7qwgx/what-is-the-most-secure-video-conferencing-software
    So they are not even going to mention Cisco’s Webex?

Software/SaaS

  • Slack working on Microsoft Teams “calling features” integrations via Public APIs, what does that mean?

    There is no simple open signalling standard/API for another system to directly call a Microsoft Teams user.

    Microsoft enables 1:1 calling between Skype for Business (Server and Online) and Microsoft Teams, so in theory, Slack could route calls via the own run Skype for Business Server infrastructure or emulate a Skype for Business Federation. This would allow 1:1 voice, video and chat if all the right codecs and signalling were supported. In Microsoft language, this is called “federation”.

    Microsoft is also rolling out Teams to Skype consumer connectivity, again 1:1, user to user, so Slack could emulate this to do peer to peer calling, video and chat.

    Note these are direct private chat, not team chat in a multi-person team workspace in either product.

    https://tomtalks.blog/2020/03/slack-working-on-microsoft-teams-calling-features-integrations-via-public-apis-what-does-that-mean/

Other

  • Apple’s Siri voice assistant now provides coronavirus advice

    When you first ask Siri about the virus, the voice assistant will ask whether you are experiencing related symptoms, which include a fever, dry cough, or shortness of breath. People with extreme or life-threatening illnesses are advised to call 911, while anyone who’s not sure is informed of the diseases symptoms and told to self-isolate if they appear. Links to telehealth apps on the App Store are provided for anyone who can’t currently reach a healthcare provider.

    https://www.theverge.com/2020/3/23/21190600/apple-siri-coronavirus-covid-19-symptoms-healthcare-advice-information

  • Salesforce’s Benioff pledges no ‘significant’ layoffs for 90 days

    It sounds like Benioff’s second tweet, which also asked employees to consider paying their own hourly workers like housekeepers and dog walkers throughout the layoff period, whether they were working or not, was designed to give the CEO some wiggle room for at least some layoffs.

    Salesforce has almost 50,000 employees worldwide. Even if the company were to lay off just 1% of employees it would equal 500 people without jobs, though it’s not clear if that would count as “significant.” Perhaps more likely, the company might make some cuts to staff for performance or HR-related reasons, but not broad cuts, and thus make both of its CEO’s claims essentially true.

    https://techcrunch.com/2020/03/26/salesforces-benioff-pledges-no-significant-layoffs-for-90s-days/

Posted on

Supplier Report: 2/7/2020

It is the end of an era with IBM’s announcement that CEO Virginia Rometty is retiring. Rometty assumed the role in 2012 and has been attempting to transform the company into a cloud and AI powerhouse. This transformation has been bumpy with IBM losing 22% value during her tenure.

But her acquisitions and steady hand may position IBM for a Microsoft-like resurgence (or she may have led the company to its final stand).

Acquisitions/Investments

  • LSI acquires S2P Solutions to solidify its SAP portfolio

    The public services transformation company LSI announced today that it will acquire S2P Solutions Ariba Cloud-based business commerce business unit on February 3rd, pending shareholder approval. With the addition of S2P, LSI will continue its leadership in delivering full ERP Cloud solutions to Regulated Industries. The focus of S2P’s business is in procurement, spend management and supplier discovery, and it is considered a leading service provider for Ariba services.

    “S2P is a champion in the procurement services market – and they have been instrumental in our strategy to deliver Ariba solutions to our SAP client base”, explained Steve Roach – CEO & President of LSI. “The ERP market is moving to the Cloud and SAP continues to lead the charge. By weaving Ariba (procurement), SuccessFactors (human resources) to the S/4H (digital core) together we are able to meet the needs of State, Local Government, Education, Utilities, Non-for-profits and Healthcare institutions. This acquisition is the next step in our journey to build out the Intelligent Public Enterprise”.

    https://www.einnews.com/pr_news/508559866/lsi-acquires-s2p-solutions-to-solidify-its-sap-portfolio

Cloud

  • Microsoft Profit, Sales Beat as Cloud Demand Persists

    Revenue in the period ended Dec. 31 rose 14% to $36.9 billion, marking the software maker’s 10th straight quarter of double-digit sales growth. Analysts on average had predicted $35.7 billion. Fiscal second-quarter profit was $11.6 billion, or $1.51 a share, Microsoft said Wednesday in a statement. That compared with the $1.32 per-share estimate of analysts polled by Bloomberg. Shares rose 4% in late trading.

    Chief Executive Officer Satya Nadella has been trying to narrow the gap in cloud infrastructure with market leader Amazon.com Inc., in both technical capabilities and the caliber of customer it can attract for its Azure products and services. Microsoft’s recent wins include a massive contract with the Pentagon, for which it beat out front-runner Amazon, and a cloud deal with accounting giant KPMG LLP. Microsoft is also pulling in more revenue from Office 365, with companies such as KPMG and Ikea upgrading to the internet-based productivity software. Azure revenue in the recent period rose 62% and Office 365 sales to businesses increased 27%.

    https://www.bloomberg.com/news/articles/2020-01-29/microsoft-profit-sales-beat-as-cloud-demand-persists

Security/Privacy

  • FCC: Wireless carriers violated federal law by selling location data

    Back in 2018, it came to light that carriers sell their customers’ real-time location data to aggregators, which then resold it to other companies or even gave it away. Last year, a Motherboard report also revealed that bail bond companies and bounty hunters have been buying people’s location data for years, allowing them to use that information to track their targets.

    All four major US carriers promised to stop selling customer location data to aggregators after the information first came out. The companies made good on their word, though it took them a year to do so: They informed FCC Commissioner Jessica Rosenworcel that they had already halted sales to aggregators after she requested for an update in 2019.

    https://www.engadget.com/2020/01/31/fcc-carriers-violated-federal-law-selling-location-data/

  • Hackers are selling card info stolen in last year’s Wawa breach

    If you purchased anything at the East Coast gas station and convenience store chain Wawa between March and December last year, there’s a chance your credit and debit card info is being sold on the dark web. Earlier this week, fraud intelligence company Gemini Advisory discovered stolen payment card data being uploaded to Joker’s Stash, an online cybercrime marketplace. It seems the data was obtained during the Wawa breach discovered in December.

    As you may remember, last month, Wawa revealed that malware had been swiping customers’ payment card info, possibly since March. It’s believed that 850 stores may have been hit, exposing 30 million sets of payment records, making it one of the largest payment breaches of all time. Cardholders in the US, several Asian countries, Europe and Latin America may have had their data stolen.

    https://www.engadget.com/2020/01/30/wawa-breach-stolen-data-sold-online/

  • Antivirus company shuts down its data-harvesting arm after getting caught red-handed

    The reports, which were the result of a joint investigation between Motherboard and PCMag, detailed how Avast was collecting user browsing data via its antivirus software. This data included Google searches, location lookups, visited URLs along with precise time stamps, and in some cases even specific searches made on porn websites. Although Avast claimed that individual users could not be identified from this data, Motherboard spoke to experts who said that this could be possible in some cases.

    Jumpshot claimed to have data from as many as 100 million devices, and it listed some of the world’s largest companies among its clients, including Google, Yelp, Microsoft, and Pepsi. Jumpshot would package this data up into different products, one of which was its “All Click Feed,” which would allow its clients to see all user clicks on individual domains (such as Amazon.com). These clients reportedly paid millions of dollars for Jumpshot’s products, which often included precise browsing data.

    https://www.theverge.com/2020/1/30/21115326/avast-jumpshot-subsidiary-suspended-data-collection-selling-ceo-blog-post

Other

  • IBM CEO Virginia Rometty is retiring

    IBM CEO Virginia Rometty, one of the most prominent female leaders in tech, is stepping down on April 6th, 2020. She will still serve as Executive Chairman of the Board through the end of the year, but she’s retiring completely after that. Rometty will be replaced as CEO by Arvind Krishna, who currently runs the company’s cloud business and who was a key figure in IBM’s Red Hat acquisition. She called Krishna “the right CEO for the next era at IBM.”

    https://www.engadget.com/2020/01/30/ibm-ceo-virginia-rometty-is-retiring/

  • WeWork Names Veteran Real Estate Executive as New Chief

    The naming of an experienced real estate executive is a clear indication that WeWork is moving on from Mr. Neumann’s strategy of building a sprawling company with lofty aims that included transforming how people work and live together. He had promoted WeWork as if it were a groundbreaking technology company set on upending its industry. The firm had also branched out well beyond office space, establishing sleek dormitories for working professionals and even a private school in Manhattan.

    https://www.nytimes.com/2020/02/01/business/wework-chief-executive.html

  • Apple is closing all mainland China stores due to coronavirus outbreak

    The coronavirus outbreak is having a tangible impact on the tech world, and Apple is serving as a textbook example of its effect. The company is closing all its retail stores and corporate offices in mainland China through February 9th out of an “abundance of caution” and in consultation from experts. Apple had initially closed three stores, but this shuts down a full 42 locations across the country.

    Key suppliers like Foxconn have said they don’t expect problems meeting production goals for companies like Apple. Caution is still the order of the day, however. Apple chief Tim Cook said that expectations for the start of the calendar year were unusually vague due to virus-related uncertainty. Sales at stores had dropped across China in recent days, even outside of the coronavirus epicenter of Wuhan.

    https://www.engadget.com/2020/02/01/apple-closes-china-stores-due-to-coronavirus/

Posted on

Supplier Report: 1/3/2020


Photo by Annie Spratt on Unsplash

Big Tech is trying to make good on promises like leaving acquisitions alone and not using your personal data for evil things. But when the pressure to earn rises to unbearable levels, will those words still hold true?

California is trying to hold these companies responsible and give consumers more control over the data collected about them, but will these laws help or confuse an already complicated situation?

Finally, since we are on the topic of privacy, you might want to think twice before sending your cheek swab to one of those DNA companies… there isn’t much governance on what they are (and what the authorities) are doing with that data.

Acquisitions/Investments

  • LinkedIn CEO Jeff Weiner: ‘Satya Has Made Good’ On Microsoft’s Acquisition Agreement

    One of the biggest reasons why Microsoft is taking its time on pushing integrations is to avoid making mistakes. LinkedIn is Microsoft’s largest acquisition to date so it has to move with caution.

    Microsoft wants to avoid making integration mistakes that it made in the past. In 2012, Microsoft had written off the $6.2 billion acquisition of digital ad company aQuantive. And Microsoft also saw a quarterly loss in 2015 due to $8.3 billion in charges related to the restructuring of its phone hardware operations following the $9.5 billion acquisition of the Nokia Devices and Services business.

    Microsoft CFO Amy Hood pointed out that one of the goals of the LinkedIn acquisition was to accelerate the growth of the professional social network along with Office 365 and Dynamics 365.

    https://pulse2.com/linkedin-satya-has-made-good-on-acquisition/

  • Remembering the startups we lost in 2019

    A cursory look at this year’s batch of companies doesn’t find any story quite as spectacular as last year’s big Theranos flameout, which gave us a best-selling book, documentary, podcast series and upcoming Adam McKay/Jennifer Lawrence film. Some, like MoviePass, however, may have come close.

    And for every Theranos, there are dozens of stories of hardworking founders with promising products that simply couldn’t make it to the finish line. There’s also room for debate about what is and isn’t a startup. For our purposes, we’re focusing here on independent startups, not digital initiatives from larger companies — though in at least one case, the startup was acquired by a larger company before shutting down.

    https://techcrunch.com/2019/12/26/startups-lost-in-2019/

Security/Privacy

  • GDPR was just a warmup. CCPA will arrive with a bang.

    “We’ve already talked to some companies who either have decided or are considering to pull their marketing programs from California. So there may be some fallout. It might just be a temporary thing for them to see where the cards fall,” said Rachel Glasser, global chief privacy officer at Wunderman Thompson.

    Even if only temporarily, advertiser pullback would put publishers’ and ad tech companies’ businesses in a bind. But those companies are also facing more permanent predicaments.

    Any company that sells California residents’ personal information under the law’s broad definition of sale is required to put a “clear and conspicuous” link on its homepage titled “Do Not Sell My Personal Information” for people to request the company to stop selling their information.

    https://digiday.com/marketing/gdpr-just-warmup-ccpa-will-arrive-bang/
    What Does California’s New Data Privacy Law Mean? Nobody Agrees

    “Companies have different interpretations, and depending on which lawyer they are using, they’re going to get different advice,” said Kabir Barday, the chief executive of OneTrust, a privacy management software service that has worked with more than 4,000 companies to prepare for the law. “I’ll call it a religious war.”

    The new law has national implications because many companies, like Microsoft, say they will apply their changes to all users in the United States rather than give Californians special treatment. Federal privacy bills that could override the state’s law are stalled in Congress.

    The California privacy law applies to businesses that operate in the state, collect personal data for commercial purposes and meet other criteria like generating annual revenue above $25 million. It gives Californians the right to see, delete and stop the sale of the personal details that all kinds of companies — app developers, retailers, restaurant chains — have on them.

    https://www.nytimes.com/2019/12/29/technology/california-privacy-law.html

  • What You’re Unwrapping When You Get a DNA Test for Christmas

    But is using one of these kits also opening the door to letting the police use your DNA to arrest your cousin? The answer in this rapidly evolving realm depends largely on which sites you join and the boxes you check off when you do. And even if you never join any of these sites, their policies could affect you so long as one of your 800 closest relatives has.
    **
    To identify a suspect’s blood, for example, investigators do not need to find the person who cut his hand smashing through a window. They just need to match to a couple of his second or third cousins in a DNA database. From there, a genetic genealogist can puzzle out how these cousins are related to one another and the suspect by building out a series of family trees. Often this leads to an arrest.

    https://www.nytimes.com/2019/12/22/science/dna-testing-kit-present.html

Infrastructure/Hardware

  • IBM’s Seawater Battery Making Waves

    IBM is essentially announcing a potential alternative to lithium-ion batteries – and not just an alternative to some of the main ingredients. What’s more, IBM states the batteries perform even better than current lithium-ion batteries. Citing greater efficiency, faster charging, as well as higher power and energy density. These batteries are not just environmentally sound, but are also more capable in general. Further adding to their appeal, IBM states they are cheaper to produce thanks to their lack of heavy metals.

    The issue is that they are currently far from being in a finished state. IBM’s announcement does not even suggest the company intends to build the batteries itself. Instead, the collaboration with the other vested companies is intended to flesh out the technology and create an environment where it becomes easier for other companies to produce the seawater-sourced batteries in the future.

    https://screenrant.com/ibm-seawater-battery-tech/

  • Huawei reportedly got by with a lot of help from the Chinese government

    Huawei reportedly had “access to as much as $75 billion in state support,” according to a piece published by The Wall Street Journal on Christmas Day.

    That massive figure is culled from poring over various forms, including grants and tax breaks. Huawei, for its part, isn’t denying any government support, but said in response that what it received was “small and non-material,” in line with the usual variety of grants awarded to tech startups and companies.

    Per WSJ’s accounting of public records, Huawei got around $46 billion in loans and other support, coupled with $25 billion in tax cuts used to accelerate tech advances.

    https://techcrunch.com/2019/12/26/huawei-reportedly-got-by-with-a-lot-of-help-from-the-chinese-government/

Other

  • Accenture: Remaining Bullish And Raising Target Price Post Earnings

    Per our industry-wide analysis and Accenture’s favorable fundamentals, and given the company’s strong top-line growth, we believe that ACN shares merit ~29x P/E multiple on 2019 earnings. When we apply it to our 2019 EPS estimate of $8.65 (up from $8.49), we get the target price of $251 (up from $245). We note that this P/E multiple is contingent on the S&P multiple of ~18x, and may expand/contract together with the multiple.

    Risks:

    While Accenture strives to make the pricing structure attractive to its core clients and, henceforth, attract greater business, we see a number of Indian players, such as Infosys, Tata Consultancy, and Wipro, potentially lowering prices in the foreseeable future. In addition, there are smaller players that are threatening Accenture in Europe, such as Epam and Luxoft.

    The company heavily relies on H1-B and L-1 visas; over the last several years Congress attempts to heavily regulate the number of visa works each company can hire. Should the H1-B and L-1 visas become even more limited, there could be a 40-60 bps negative impact to Accenture’s margin.

    https://seekingalpha.com/article/4314133-accenture-remaining-bullish-and-raising-target-price-post-earnings

  • Uber Co-Founder Travis Kalanick Departs Board, Sells All His Shares

    The exit punctuates a decade in which Silicon Valley investors pumped startups with extraordinary sums of money and granted their founders vast power and a mandate to grow at breakneck speeds.

    Uber and Mr. Kalanick were the archetype of this model, as Mr. Kalanick raised over $14 billion in equity and debt from outside investors who bought into his expansive vision and energetic approach. At its peak, Uber was the most valuable startup in the U.S., with a valuation of about $68 billion.

    The move by Mr. Kalanick to sell his shares was set in place multiple months ago, said people familiar with the matter, and called for him to sell shares daily until his holdings wound down to zero.

    https://www.wsj.com/articles/uber-co-founder-travis-kalanick-to-depart-companys-board-11577196747

Posted on

Supplier Report: 12/20/2019


Photo by Jose Rago on Unsplash

Oracle has been having an interesting year.  Between trying to sue the Government over the JEDI cloud contract procurement process and losing one of their CEOs, it is not the most stellar time for the company.

Normally Oracle has less press than their peers but this week they kept showing up in articles. From a financial perspective, the company published mixed Q2 results. Sole CEO Safra Catz stated she expects much better performance next quarter (but how?).

Oracle also made headlines due to a former employee saying the company is cheating their customers by selling software that does not do what it claims to do. This does link up with stories about Oracle’s early days in the book Softwar.

Finally Oracle is moving their big annual conference “OpenWorld” from San Francisco to Las Vegas. This move is costing San Fran over $60M annual, but that city is too damn expensive.

Artificial Intelligence

Cloud

  • Oracle Posts Mixed 2nd-Quarter Results

    The database giant registered second-quarter earnings per share of 90 cents, up 12% year-over-year. Wall Street had projected earnings of 88 cents per share. Revenue during the same period stood at $9.61 billion. Revenue grew 1% year-over-year but did not live up to Wall Street’s expectation of $9.65 billion. Reflecting on the quarter’s performance, Oracle’s CEO Safra Catz commented:

    “We had another strong quarter in our Fusion and NetSuite cloud applications businesses with Fusion ERP revenues growing 37% and NetSuite ERP revenues growing 29%. This consistent rapid growth in the now multibillion dollar ERP segment of our cloud applications business has enabled Oracle to deliver a double-digit EPS growth rate year-after-year. I fully expect we will do that again this year.”

    https://finance.yahoo.com/news/oracle-posts-mixed-2nd-quarter-161331753.html

Security/Privacy

  • New Orleans declares state of emergency following cyberattack

    Officials are running many services on pen and paper until it’s deemed safe for computers to come back online, although the Orleans Parish Communication District (which handles both 311 and 991 lines) and courts weren’t affected. The city added that emergency services’ communications were still active, and that it could still obtain footage from public safety cameras if there was an incident.

    It’s unclear when computers will go back online, when the state of emergency will be lifted, or who the culprits were. City-scale ransomware attacks like those using SamSam have frequently been the work of extortionists hoping only for a windfall profit, although there are concerns hostile countries might use malware to bankroll programs. Louisiana’s government faced its own ransomware attack in November and had to shut its Office of Motor Vehicles for days, although the state got back online without caving in to the attackers’ demands.

    https://www.engadget.com/2019/12/14/new-orleans-cyberattack/

  • Microsoft details the most clever phishing techniques it saw in 2019

    Microsoft said that phishing attempts grew from under 0.2% in January 2018 to around 0.6% in October 2019, where 0.6% represented the percentage of phishing emails detected out of the total volume of emails the company analyzed.

    While phishing attacks increased, the number of ransomware, crypto-mining, and other malware infections went down, the company said at the time.

    https://www.zdnet.com/article/microsoft-details-the-most-clever-phishing-techniques-it-saw-in-2019/

  • FBI secretly demands a ton of consumer data from credit agencies. Now lawmakers want answers

    The FBI regularly uses these legal powers — known as national security letters — to compel credit giants to turn over non-content information, such as records of purchases and locations, that the agency deems necessary in national security investigations. But these letters have no judicial oversight and are typically filed with a gag order, preventing the recipient from disclosing the demand to anyone else — including the target of the letter.

    Only a few tech companies, including Facebook, Google, and Microsoft, have disclosed that they have ever received one or more national security letters. Since the law changed in 2015 in the wake of the Edward Snowden disclosures that revealed the scope of the U.S. government’s surveillance operations, recipients have been allowed to petition the FBI to be cut loose from the gag provisions and publish the letters with redactions.

    https://techcrunch.com/2019/12/14/fbi-national-security-letter-credit-agencies/

Software/SaaS

  • A former employee is suing Oracle, alleging the company sold customers phantom products and forced him out when he complained

    A former Oracle product manager has sued the tech giant, claiming it sold phantom or broken products as part of a cloud service geared to universities.

    Tayo Daramola said the company retaliated against him “reporting what was in fact a pattern of criminal acts,” the suit said.

    He said he resisted participating in what he described as “misrepresentation and likely fraud,” and subsequently filed a report with the Securities and Exchange Commission, the suit said.

    https://www.businessinsider.com/oracle-manager-lawsuit-university-education-practices-2019-12

Other

  • How consulting companies like McKinsey optimized American inequality

    Broadly speaking, management consulting firms advise other organizations how to do their jobs better. They are hired, as CNBC’s Abigail Hess notes, “to assess and address problems, such as downsizing, acquisition or restructuring.”

    The key to management consulting firms’ function is in the word management. Management consultants work for a company’s executives, not its employees, and the hiring of one is often a sign that layoffs are imminent. Wendell Potter, a former vice president at a health insurer, says “it was clear that when [a management consulting firm] was brought in there would be layoffs. In my own department, there were times when I had to lay people off because off because of McKinsey’s work.”

    As Duff McDonald, author of “The Firm: The Story of McKinsey and Its Secret Influence on American Business,” once put it: “McKinsey might be the single greatest legitimizer of mass layoffs in history.”

    https://www.washingtonpost.com/business/2019/12/13/how-consulting-companies-like-mckinsey-optimized-american-inequality/

  • Oracle Won’t Return to Dual-CEO Structure

    Oracle Corp. ORCL -3.47% said it won’t replace its late co-CEO, Mark Hurd, leaving Safra Catz as the sole top executive leading the software giant after years of operating with an unusual, two-chief structure.

    In the company’s first earnings report since Mr. Hurd’s death in October, Oracle founder and Chairman Larry Ellison said it is working to strengthen its management team, to develop a group of executives who are “potential CEOs when both Safra and I retire, which is not anytime soon.” But he described the two-CEO setup as unusual and not something Oracle is looking to repeat.

    Ms. Catz now leads Oracle as sole CEO. Mr. Ellison, who ceded the CEO post to Mr. Hurd and Ms. Catz in 2014, remains active as chairman and chief technology officer.

    https://www.wsj.com/articles/oracle-reports-higher-profit-11576186408

  • Salesforce promotes Bret Taylor to president and COO

    Salesforce announced today that it has named Bret Taylor as president and chief operating officer of the company. Prior to today’s promotion, Taylor held the position of president and chief product officer.

    In his new position, Taylor will be responsible for a number of activities, including leading Salesforce’s global product vision, engineering, security, marketing and communications. That’s a big job, and as such he will report directly to chairman Marc Benioff.

    https://techcrunch.com/2019/12/12/salesforce-promotes-bret-taylor-to-president-and-coo/

  • SoftBank’s China strategy wobbles as key bets disappoint

    In fairness to SoftBank, many China IPOs have stumbled, hurt by a sharp slowdown in economic growth and trade tensions with the United States.

    But investors and some bankers looking at China-related deals say SoftBank’s involvement, once a sign of promising prospects, was now viewed as a red flag that a company was likely overvalued.

    “SoftBank has become a signal that the market has peaked,” said one person involved in the OneConnect IPO.

    https://www.reuters.com/article/us-softbank-group-china-analysis/softbanks-china-strategy-wobbles-as-key-bets-disappoint-idUSKBN1YH28R

  • The Money Men Who Enabled Adam Neumann and the WeWork Debacle

    Little of WeWork’s trajectory would have been possible were it not for the collection of veteran executives and financiers from the upper echelons of Wall Street and Silicon Valley who enabled Mr. Neumann, a charismatic 40-year-old with little prior business experience.

    Mr. Neumann mesmerized them with his pitch, which offered a vision for the property-leasing company as a tech startup with limitless potential to transform how people work and live.

    Investors poured capital onto Mr. Neumann’s business bonfire and ceded control, rarely pushing back with any force despite mounting problems and year after year of missed projections.

    Masayoshi Son, the CEO of SoftBank Group Corp., who helped inflate WeWork’s valuation to $47 billion, pushed an already wild-spending Mr. Neumann to act bigger and crazier. JPMorgan Chase & Co. CEO James Dimon and other bankers, instead of injecting a dose of reality, spent years championing Mr. Neumann and the company as they battled for the coveted IPO assignment.

    https://www.wsj.com/articles/the-money-men-who-enabled-adam-neumann-and-the-wework-debacle-11576299616

  • For Tech Jobs, the Rich Cities Are Getting Richer

    Researchers from the Brookings Institution and the Information Technology and Innovation Foundation, a tech-industry-backed think tank, arrived at their conclusion by looking at a fairly narrow slice of jobs—13 industries that involve the highest rate of research and development spending and STEM degrees per worker. That includes much of the software industry, as well as jobs in areas like pharmaceuticals and aerospace. The researchers found that, between 2005 and 2017, five metro areas—San Jose, San Francisco, Seattle, San Diego, and Boston— not only added lots of jobs, they were also becoming more dominant in those industries overall.

    https://www.wired.com/story/tech-jobs-rich-cities-getting-richer/

  • Oracle will move its annual OpenWorld conference to Las Vegas because San Francisco is too expensive

    According to an email that the San Francisco Travel Association (SFTA) sent to its members on Monday, Oracle has signed a three-year agreement to bring its flagship event to the Caesars Forum in Las Vegas.

    “Oracle stated that their attendee feedback was that San Francisco hotel rates are too high,” the email, which was viewed by CNBC, said. “Poor street conditions was another reason why they made this difficult decision.”

    https://www.cnbc.com/2019/12/10/oracle-moving-openworld-from-san-francisco-to-las-vegas-caesars-forum.html

    Oracle is right to move the conference away from San Fran (although I do not like Las Vegas). San Francisco needs to change.

Posted on

Supplier Report: 11/29/2019


Photo by freestocks.org on Unsplash

Black Friday is upon us and consumers are not the only ones out shopping. Several acquisitions were announced this month such as Google buying yet another cloud company and PayPal snapping up Honey.

But just like Thanksgiving, families come together to celebrate (SalesForce and AWS are forming a tighter partnership) and they also fight (Google vs. their own employees).

As we start to wrap up 2019 and start to look towards the future, will 2020 be a boom year or will we see cuts and decline (WeWork announced 2,400 job cuts)?

Acquisitions/Investments

  • Google buys a small cloud partner to make it easier for customers to use VMware on its cloud

    Google has bought yet another small business to build its cloud-computing unit: CloudSimple, whose software enables companies to run computing workloads that are based on VMware’s widely used server virtualization technology. Terms were not disclosed.

    The deal follows the buys of data integration company Alooma, storage company Elastifile and cloud migration company Velostrata. Kurian’s biggest deal to date has been the $2.6 billion acquisition of privately held data analytics company Looker, which, like CloudSimple, had been a partner prior to the deal. The Looker deal hasn’t closed yet, however, and the U.S. Justice Department’s antitrust division moved to seek information from the two companies as part of a review, Bloomberg reported last month.

    https://www.cnbc.com/2019/11/18/google-buys-cloudsimple-which-helps-run-vmware-workloads.html

  • PayPal to acquire shopping and rewards platform Honey for $4B

    PayPal announced today it has agreed to acquire Honey Science Corporation, the makers of a deal-finding browser add-on and mobile application, for $4 billion, mostly cash. The acquisition, which is PayPal’s largest to date, will give the payments giant a foothold earlier in the customer’s shopping journey. Instead of only competing on the checkout page against credit cards or Apple Pay, for example, PayPal will leap ahead to become a part of the deal discovery process, as well.

    Currently, Honey’s 17 million monthly active users take advantage of its suite of money-saving tools to track prices, get alerts, make lists, browse offers and participate in an Ebates-like rewards program called Honey Gold. Its users tend to be younger, millennial shoppers, both male and female.

    https://techcrunch.com/2019/11/20/paypal-to-acquire-shopping-and-rewards-platform-honey-for-4-billion/

  • HP Rejects Xerox Offer but Remains Open to a Deal

    HP Inc. rejected a $33 billion takeover offer from Xerox Holdings Corp. as too low, but the PC and printer maker made clear it is interested in discussing a deal to combine with its smaller rival.

    Xerox’s unsolicited offer of $22 a share significantly undervalues the company, HP’s board said in a public letter to Xerox Chief Executive John Visentin on Sunday. It also voiced concern about the debt a transaction would put on the combined company and said it needs more information about Xerox’s business, known as due diligence.

    Still, HP said it recognizes the benefits of consolidation and is “open to exploring a potential combination with Xerox.”

    https://www.wsj.com/articles/hp-rejects-xerox-offer-but-remains-open-to-a-deal-11574027722

  • Celonis, a leader in big data process mining for enterprises, nabs $290M on a $2.5B valuation

    Celonis was founded in 2011 in Munich — an industrial and economic center in Germany that you could say is a veritable Petri dish when it comes to large business in need of digital transformation — and has been cash-flow positive from the start. In fact, Celonis waited until it was nearly six years old to take its first outside funding (prior to this Series C it had picked up less than $80 million, see here and here).

    The size and timing of this latest equity injection is due to seizing the moment, and tapping networks of people to do so. It has already been growing at a triple-digit rate, with customers like Siemens, Cisco, L’Oréal, Deutsche Telekom and Vodafone among them.

    https://techcrunch.com/2019/11/21/celonis-a-leader-in-big-data-process-mining-for-enterprises-nabs-290m-on-a-2-5b-valuation/

  • Report: Charles Schwab in talks to buy TD Ameritrade

    Brokerage firm Charles Schwab is in talks to buy rival TD Ameritrade, reports CNBC. The organization cites a source who said the deal could be announced today. The two brokerage firms are the largest publicly traded houses, with Charles Schwab having a market cap of $57.5 billion and TD Ameritrade at $22.4 billion.

    The retail brokerage industry has gone through upheaval in recent months as all of the major brokers have moved, or are moving, to commission-free trades in order to lure customers. CNBC says Charles Schwab was the first to do so, followed by TD Ameritrade.

    https://www.fastcompany.com/90434433/report-charles-schwab-in-talks-to-buy-td-ameritrade

Cloud

Security/Privacy

  • Facebook and Google’s pervasive surveillance poses an unprecedented danger to human rights

    “The internet is vital for people to enjoy many of their rights, yet billions of people have no meaningful choice but to access this public space on terms dictated by Facebook and Google,” said Kumi Naidoo.

    “To make it worse this isn’t the internet people signed up for when these platforms started out. Google and Facebook chipped away at our privacy over time. We are now trapped. Either we must submit to this pervasive surveillance machinery – where our data is easily weaponized to manipulate and influence us – or forego the benefits of the digital world. This can never be a legitimate choice. We must reclaim this essential public square, so we can participate without having our rights abused.”

    This extraction and analysis of people’s personal data on such an unprecedented scale is incompatible with every element of the right to privacy, including the freedom from intrusion into our private lives, the right to control information about ourselves, and the right to a space in which we can freely express our identities.

    https://www.amnesty.org/en/latest/news/2019/11/google-facebook-surveillance-privacy/

Infrastructure/Hardware

  • HPE Dumps Recent Acquisitions Into Its Container Platform

    The turnkey platform taps into HPE’s acquisition of artificial intelligence (AI) and big data software vendor BlueData last year and MapR in August.

    BlueData makes a software platform that uses Docker containers to make it easier for companies to deploy large-scale machine learning and big data analytics environments. MapR, which HPE “rescued” from the brink of collapse, provides enterprise-grade file system and cloud-native storage services.

    HPE’s Container Platform uses BlueData software as the control plane for container management and the MapR distributed file system and object store for persistent data with containers. It then uses Kubernetes for container orchestration. This package supports the containerization of cloud-native, microservices-architected applications and on-premises applications with persistent data.

    https://www.sdxcentral.com/articles/news/hpe-dumps-recent-acquisitions-into-its-container-platform/2019/11/

Other

  • Google Workers Protest Company’s ‘Brute Force Intimidation’

    Roughly 200 workers gathered about 11 a.m. local time Friday outside a Google office overlooking San Francisco bay.

    “Over the past two years, many of my coworkers have asked the company to take meaningful action to curtail sexual harassment and systemic racism, improve the working conditions of temps, vendors and contractors, and divest from harmful tech,” said Zora Tung, a Google software engineer. “Instead of listening to us, the company has chosen to silence us.”

    The Google workers who protested also said the company had unjustly put Laurence Berland and Rebecca Rivers on indefinite administrative leave without warning. They demanded that Google bring the employees back to work immediately.

    https://www.bloomberg.com/news/articles/2019-11-22/google-workers-protest-company-s-brute-force-intimidation

  • WeWork lays off 2,400 employees

    In a statement, a WeWork spokesperson said the cuts were being made as part of the company’s efforts to “create a more efficient organization” and refocus on the core office-sharing business. The job reductions represent 19% of WeWork’s total workforce, which amounted to 12,500 employees as of June 30, according to an SEC filing.

    “The process began weeks ago in regions around the world and continued this week in the U.S.,” the spokesperson said. “This workforce reduction affects approximately 2,400 employees globally, who will receive severance, continued benefits, and other forms of assistance to aid in their career transition. These are incredibly talented professionals and we are grateful for the important roles they have played in building WeWork over the last decade.”

    https://www.cnbc.com/2019/11/21/wework-lays-off-2400-employees.html

  • When John Legere Leaves, Say Goodbye to the Old T-Mobile

    Make no mistake, the CEO transition will usher in a new T-Mobile. That’s not because the visions of the two men are so different — they aren’t, and Legere has been grooming Sievert, 50, for quite some time. But T-Mobile is no longer the industry upstart, and Legere’s departure suggests that he feels his work there is almost done. The last step is to complete the acquisition of Sprint Corp., which is being held up by a group of state attorneys general rightly concerned about the potential harm the transaction may cause consumers.

    Legere, 61, made clear that he isn’t retiring — nor is he turning his “Slow Cooker Sunday” Facebook Live series into a full-time gig. While he said the rumors of him joining WeWork aren’t true, he has fielded a “tremendous amount” of interest from companies seeking the expertise he’s demonstrated at turning around a troubled business and generating broad enthusiasm for a brand. “I’ve got 30 or 40 years and five or six good acts left in me,” Legere, the class clown of corporate events, said on Monday’s call.

    https://www.washingtonpost.com/business/when-john-legere-leaves-say-goodbye-to-the-old-t-mobile/2019/11/18/a1a595ea-0a33-11ea-8054-289aef6e38a3_story.html

  • Amazon Is America’s CEO Factory

    There’s one element some ex-Amazonians are leaving behind: the harsher parts of Amazon’s culture, such as hiring practices that favor skills over collegiality.

    Amazon is known for disregarding social cohesion in interviewing candidates, former employees said, elevating other traits over an ability to work well with colleagues. Mr. Gordon of Latchel originally embraced that tenet.

    “We approached hiring this way and it was a big, big mistake,” he said. He had to fire one employee he had hired who was capable but couldn’t get along with the team. “We need social cohesion and to like each other because we have to put in lots of additional hours and time because it’s a startup,” Mr. Gordon said.

    https://www.msn.com/en-us/money/companies/amazon-is-americas-ceo-factory/ar-BBX3hhE?li=BBnb7Kz