U.S. electronics chain RadioShack filed for bankruptcy on Wednesday for the second time in a little over two years, faced with a challenging retail environment and an unsatisfying partnership with wireless provider Sprint Corp. The Chapter 11 filing comes after RadioShack, owned by General Wireless Operations, tried to revitalize its business by co-branding stores with the wireless carrier in an effort to compete against their largest rivals. General Wireless, which acquired the RadioShack brand in 2015, listed assets and liabilities in the range of $100 million to $500 million in the U.S. bankruptcy court for the Delaware district.
Category: IT Services
Analysts’ Actions — Chevron, ConocoPhillips, Urban, Crown Castle and More
Here are Wednesday’s top research calls, including upgrades for Crown Castle and ConocoPhillips, and a downgrade for Urban Outfitters. Earnings estimates were raised for Chevron.
FCC Will Return to – Light-Touch’ Regulation, Chairman Says
The Federal Communications Commission will return to “light-touch” regulation to maximize investments in broadband, Chairman Ajit Pai said at the Mobile World Congress in Barcelona. “Our approach will be not zero regulation but light-touch regulation,” Pai said onstage Tuesday at the annual industry event.
Verizon Doesn’t Need to Own “Traditional Linear TV Content,” Says CFO
“It’s important to us that we have mobile digital rights to some of the content that we think will be important in a mobile bundle,” Matt Ellis tells an investor conference. While telecom giant AT&T has agreed to acquire Time Warner for $85.4 billion, rival Verizon continues to feel it doesn’t need to buy a big entertainment company, Verizon CFO Matt Ellis told an investor conference Tuesday.
Ericsson CEO Says Cloud Capability Key to Capturing 5G Market
Ericsson AB is betting on cloud technology to capture as much as possible of the $1.2 trillion market it expects fifth-generation mobile broadband services to spur, Chief Executive Officer Borje Ekholm said. “5G is really starting to happen,” Ekholm said in an interview with Bloomberg TV at the Mobile World Congress in Barcelona.
FCC chair to block stricter broadband data privacy rules
The U.S. Federal Communications Commission will block some Obama administration rules that subject broadband providers to stricter scrutiny than websites, a spokesman said on Friday, in a victory for internet providers such as AT&T Inc, Comcast Corp and Verizon Communications Inc. Federal Communications Commission Commissioner Ajit Pai and FCC Chairman Tom Wheeler testify at a House Appropriations Financial Services and General Government Subcommittee hearing on the FCC’s FY2016 budget, on Capitol Hill in Washington March 24, 2015.
Yahoo salvages Verizon deal with $350M US discount
A pair of hacking bombshells that exposed personal information stored in more than 1 billion Yahoo user accounts, disclosed after Verizon and Yahoo had agreed on takeover deal, represent the two biggest security breaches in internet history. a Yahoo is taking a $350 million US hit on its previously announced $4.8 billion US sale to Verizon in a concession for security lapses that exposed personal information stored in more than 1 billion Yahoo user accounts.
Verizon Said to Reach Deal for Lowered Yahoo Price After Hacks
Verizon Communications Inc. reached a renegotiated deal for Yahoo! Inc.’s internet properties that will reduce the price of the $4.8 billion agreement by $350 million after the revelation of security breaches at the web company, according to a person familiar with the matter. In addition to the discount, Verizon and the entity that remains of Yahoo after the deal, to be renamed Altaba Inc., will share any ongoing legal responsibilities related to the breaches, said the person, who asked not to be identified discussing private information.
Computer Task Group posts 4Q profit
For the year, the company reported a loss of $34.6 million, or $2.22 per share, swinging to a loss in the period. Revenue was reported as $324.9 million.
Which U.S. Wireless Carrier Has the Best Network?
Sprint even hired the former Verizon pitchman, who for years asked, “Can you hear me now?” in ads touting Verizon’s network quality. In his Sprint ads, Marcarell attempts to make the point that having a better network means less now.
Dish Network put on clock to activate unused spectrum
Dish Network Corp. spent more than $3 billion five years ago on a trove of radio frequencies to exploit the mobile video revolution that’s vanquishing traditional media services such as the company’s namesake satellite-TV product. But the radio waves sit idle, and the company led by its founder, billionaire Charlie Ergen, is running into government demands that it utilize the spectrum.
Why DigitalGlobe, Inc. Stock Popped Today
According to a report from The Wall Street Journal this afternoon, which cited “people familiar with the matter,” DigitalGlobe has fielded interest from a “number of possible buyers.” But now, the sources say, the company is in “advanced talks” to sell itself to Canadian satellite company MacDonald Dettwiler & Associates.
Exclusive: SoftBank willing to cede control of Sprint to entice T-Mobile – sources
Japan’s SoftBank Group Corp is prepared to give up control of Sprint Corp to Deutsche Telekom AG’s T-Mobile US Inc to clinch a merger of the two U.S. wireless carriers, according to people familiar with the matter. The logo of U.S. mobile network operator Sprint Corp is seen at a Sprint store in San Marcos, California August 3, 2015.
Wireless Subscriber Growth Should No Longer Be the Focus for Verizon
The report card for America’s largest cell service provider demonstrates that the mobile business is getting mature. While this will continue to be Verizon’s bread-and-butter, it’s time for investors to focus on the other irons the company has in the fire.
SoftBank quarterly profit soars on investment empire
Japanese telecommunications, internet and solar company SoftBank Group Corp. reported Wednesday that its October-December profit soared to about 40 times what it was a year ago. Tokyo-based SoftBank’s fiscal third quarter profit totaled 91.2 billion yen up dramatically from 2.3 billion yen in 2015.
Orbital ATK sues Pentagon over plans to award a space robots contract to a Canadian-owned firm
Orbital ATK, a Dulles-based aerospace manufacturer, is suing the Defense Advanced Research Projects Agency over plans to award a Canadian firm a $15 million contract to build a fleet of space-faring robots capable of repairing government and commercial satellites. Orbital argues the federal program, called the Robotic Servicing of Geosynchronous Satellites, would unfairly compete with its own privately funded effort, a system called the Mission Extension Vehicle 1, backed by at least $200 million from investors.
FCC Stops 9 Companies From Providing Poor Federally Subsidized Internet
United Press International is reporting that the Federal Communications Commission on Friday removed nine recently added companies from a federally subsidized program dubbed Lifeline, which was established to provide Internet service to the poor. In doing so, FCC Chairman Ajit Pai reversed a decision by Tom Wheeler, his Democratic predecessor who resigned after Donald Trump was elected president.
Vanity Fair, New Yorker Bail on White House Correspondents’ Dinner Events
Less than a month after the president met with Conde Nast top editors at their Manhattan headquarters, two of the magazine company’s flagship titles – The New Yorker and Vanity Fair – are dropping White House Correspondents’ Dinner-themed events. The New Yorker canceled plans to host an event at the W Hotel, located a block from the White House, as it has in previous years, a magazine spokesperson confirmed.
India Tech Titans to Plead Visas Case Before Trump Officials
India’s largest technology companies plan a trip to Washington this month to argue against President Donald Trump’s envisioned tightening of visa programs that Silicon Valley and their own industry rely on to attract talent. The chief executives of the country’s biggest IT services companies will meet with administration officials and lawmakers from Feb. 20 to try and dissuade Trump’s team from raising requirements under the H-1B visa program, said R Chandrashekhar, the president of industry group Nasscom.
Sprint Proves Critical Customer Growth Ahead of Possible Deal
Sprint Corp. garnered more wireless customers and revenue than expected last quarter, showing progress in its turnaround ahead of an expected consolidation of the industry under President Donald Trump. Sprint completed its second straight year of subscriber growth after signing up 405,000 new users in the all-important holiday shopping season, more than the 389,778 analysts were expecting.
Wal-Mart Takes Latest Shot at Amazon
Wal-Mart Stores will offer U.S. shoppers free two-day shipping on a minimum order of $35 starting Tuesday, its latest attempt to compete with rival Amazon.com popular Prime shipping program. Free shipping will replace ‘Shipping Pass’, Wal-Mart’s existing two-day shipping program that charges shoppers an annual membership fee of $49.
Trump ponders new rules for H1-B visa that brings in tech workers
Employees of Tata Consultancy Services work inside the company headquarters in Mumbai. Outsourcing companies like Tata get the bulk of the H1-B visas in the U.S., a work visa program that may soon be changed by the Trump administration.
Here’s Why You Must Sell These 5 Toxic Dogs Now
We’re finally at Dow 20,000. All of the big market indices are hitting new all-time highs this week – in short, you could have the worst market timing in the world and still be sitting on gains in 2017.
Speculation Builds on a Verizon-Charter Tie-up, No Offer Made
U.S. cable company Charter Communication Inc shares rose as much as 10 percent on Thursday after the Wall Street Journal reported a preliminary approach by Verizon Communications Inc about a tie-up, but Reuters sources said no proposal was made. Speculation over a combination of the two companies has been building steadily since last month, when Verizon Chief Executive Officer Lowell McAdam told Wall Street analysts that such a deal would make “industrial sense.”
Trade These 3 Volatility Breakout Stocks
These three stocks have been undergoing a squeeze, or a period of price compression that is usually resolved by a volatile move. The technical indicators suggest they will rise.
Craig Forman new CEO of McClatchy Co.
Former Yahoo! and Earthlink executive Craig I. Forman has been named president and chief executive officer of the McClatchy Co. as the newspaper publishing giant struggles to make money in the digital age.
Yahoo’s 4Q shows modest strides amid security breach fallout
Yahoo’s financial performance improved slightly during the fourth quarter while the company dealt with the fallout from massive security breaches that have jeopardized the $4.8 billion sale of its internet operations to Verizon Communications. The fourth-quarter report released Monday provided the latest snapshot of a shrinking company that has been steadily losing ground in the digital advertising market that generates most of its revenue.
Apple, Inc. Had to Get In Bed With Qualcomm Because of Verizon
The original iPhone launched as an AT&T exclusive, and AT&T’s 3G network is built on GSM. The Mac maker was still paying licensing fees to Qualcomm But things got a lot more complicated in 2011, which is when Apple and Qualcomm really took their relationship to the next level.
Yahoo Says Sale to Verizon Delayed Until Second Quarter
Yahoo! Inc. said the sale of its main web operations to Verizon Communications Inc. has been delayed until next quarter to meet closing conditions while the company recovers from the disclosure of massive hacks to its user accounts. The company said Monday it’s “working expeditiously” to finish the deal as soon as practical.
Verizon Stock Downgraded: What You Need to Know
Since the 2016 election, Verizon stock has gained 10% versus an S&P 500 gain of just 5%. Unfortunately for investors, while Verizon has outperformed so far, analysts at Wells Fargo see the stock underperforming in 2016, and gaining almost no value at all over the next 12 months.
Verizon Is Finally Paying Attention to This Valuable Market
One area where AT&T has been able to stymie its losses is in prepaid customers. Unlike postpaid customers, prepaid customers pay for services before they receive them.
Windstream’s $1.1B EarthLink marriage gets FCC’s blessing
Windstream Holdings Inc. of Little Rock and EarthLink Holdings Corp. have been granted approval by the Federal Communications Commission to move forward with a planned $1.1 billion merger. The companies announced the deal in November.
5 Reasons T-Mobile Will Continue Outpacing the Competition’s Revenue Growth
“We’re looking at another year of very significant value creation,” CFO Braxton Carter said at a recent investors conference hosted by Citi. Carter expects T-Mobile’s service revenue — the money customers pay for their plans — to grow in the double digits, yet again, in 2017, which will ultimately translate into a sustainable ramp up in cash flow.
Yahoo Plans to Shrink Board, Change Name After Verizon Deal
Yahoo! Inc. Chief Executive Officer Marissa Mayer is among six directors who plan to leave the board of the investment company that will be left after the closing of the proposed sale of Yahoo’s main internet properties to Verizon Communications Inc. The new company, a shareholder in Alibaba Group Holding Inc. and Yahoo! Japan, will change its name to Altaba Inc. and reduce its board to five members as it looks ahead to its next chapter with fewer ties to the iconic brand, according to a filing Monday. Yahoo agreed to sell its web properties to Verizon in a deal valued at about $4.8 billion, though questions have come up after Yahoo revealed two separate hacks of user data.
Better Buy: Altria Group Inc vs. Verizon Communications Inc.
Let’s not beat around the bush: on the surface, this seems like a very odd pairing. Usually, in these “Better Buy” articles, we pit two companies against each other that are in the same field.
Infosys, Wipro Leaders Warn of Challenging Times for Indian IT
The leaders of two of India’s largest technology services companies, Infosys Ltd. and Wipro Ltd., have warned employees that their industry faced a grave threat from rising political and economic conflict around the world. Employees need to innovate and bring out their best to survive, Infosys Chief Executive Officer Vishal Sikka said in a year-end note to staff.
Best Cable Stocks of 2016
Cord-cutting grew worse in 2016 as an estimated more than 750,000 customers left pay-TV for other options over the last four quarters.Few operators bucked the trend this year, but there were still a handful of standout performers in the industry. Here are three of the best cable stocks from 2016.
Stock Face-Off: Verizon Communications Inc. vs. Sprint Corp.
In an industry where economies of scale play a deciding role, this is a massive business advantage for Big Red. The company can strike billion-dollar deals without breaking a sweat, take large business risks without betting the farm, and negotiate from a position of cash-backed strength.
Trump touts thousands of new jobs in deal with SoftBank CEO
President-elect Donald Trump says wireless carrier Sprint Corp will bring 5,000 jobs back to the United States. President-elect Donald Trump announced Wednesday that he has reached a deal with SoftBank chief executive Masayoshi Son that would generate thousands of jobs in the United States, the latest in a string of unusually direct negotiations between Trump and corporate America.
UPDATE 1-Mobile phone company to pay $30 million in U.S. fraud case
A KDDI Corp mobile phone unit has agreed to pay $30 million to resolve U.S. government claims that it defrauded a low-income subsidy program by seeking reimbursement for ineligible consumers, prosecutors said on Thursday. Total Call Mobile LLC agreed to no longer participate in the Lifeline subsidy program or reimburse tens of thousands of ineligible consumers who had enrolled, Manhattan U.S. Attorney Preet Bharara said in a statement.