India’s tech poolside is running out of sunbeds 10 Apr 2017 Tencent, eBay, and Microsoft are piling into Indian e-commerce with a $1.4 bln investment in Flipkart. Japan’s SoftBank already backs local rival Snapdeal. Attractive as India is, having so many global tech groups rubbing shoulders ensures not everyone will get what they want.
Bezos’ rocketing wealth fuels space ambitions 6 Apr 2017 The Amazon founder is selling $1 bln of stock a year to finance his dream of colonizing space. Both he and his company can afford it. The firm’s dominance in cloud computing has added $25 bln to his worth in the past year. With a trajectory like that, the sky is not the limit.
Asos takes costly fashion cues from Amazon 4 Apr 2017 The UK online clothes retailer has raised sales forecasts on international demand. But Asos is becoming pricier to run: six-month costs rose 38 pct, more than the group's top line. Asos is investing prudently, but a rich valuation leaves it exposed to web-based competition.
Dubai mall owner throws sand in Amazon’s face 27 Mar 2017 Emaar Malls has challenged the U.S. retailer with an $800 mln counterbid for Souq.com. Amazon has technical expertise and deep pockets. But the owner of Dubai’s largest retail park has local knowledge, powerful allies and, most importantly, an existing business model to defend.
SoftBank and Alibaba have Indian tangle to unpick 22 Mar 2017 A potential merger between Snapdeal and Paytm would take Masayoshi Son and Jack Ma off the warpath in India, where their flagship companies, SoftBank and Alibaba, have invested in the rival e-commerce unicorns. Such a truce would save investors money in the long run.
Jack Ma casts a shadow over JD’s fintech spinoff 7 Mar 2017 Boss Richard Liu is separating the finance business valued at $7 bln out of the e-commerce group and taking a direct stake for himself. It is less controversial than when Alibaba did the same in 2011. But there are enough similarities with this cosy deal to sound an alarm.
India becomes front in global e-commerce proxy war 5 Mar 2017 Alibaba is leading a $200 mln investment into Paytm’s marketplace, creating a new Indian unicorn. That confirms the Chinese juggernaut's decision to take on Amazon, which is investing $5 bln in India. As homegrown rivals flail, tech's big boys will duke it out. Only one will win.
Amazon outage triggers internet alarm 1 Mar 2017 Websites, apps, connected cameras and the like went dark on Tuesday after a breakdown of the online giant's cloud service. Amazon's dominance, Silicon Valley's self-confidence and users’ reluctance to pay extra for backup all add up to rising risk for the internet of things.
How much could Yahoo gain from tax cuts? 23 Jan 2017 Breakingviews calculates Altaba, the Asian investment rump, could surge in value.
Yahoo may get good Alibaba news without searching 23 Jan 2017 Even as its Verizon deal hangs in the balance, U.S. corporate tax rates could be cut. That would eliminate the main reason CEO Marissa Mayer dithered over a $37 bln stake in the Chinese e-commerce site. Breakingviews calculates a potential 20 pct uplift in Yahoo's stock value.
Amazon repackages order for 1600 Pennsylvania Ave. 12 Jan 2017 The man moving in wants delivery of jobs and the e-commerce titan says it can supply 100,000 of them by mid-2018. That sounds impressive, but also tracks Amazon's workforce growth of late. It's just the sort of box with a bow, however, that seems to satisfy the intended recipient.
Alibaba’s new brick-and-mortar bet looks pricey 10 Jan 2017 The Chinese e-commerce giant thinks it can save physical retail. It's offering to take Intime, a struggling operator of mainland malls and department stores, private for $2.6 bln. This is a pricey experiment trying to solve China's traditional shopping woes with tech.
Lucky unicorn cashes in on India’s money madness 21 Dec 2016 Usage of Paytm, a mobile wallet, has soared among a nationwide cash crunch. The challenge will be to keep up the momentum. India is pushing digital payments hard but a government-backed rival looms. And having Alibaba as a backer could eventually backfire.
Black Friday 2016 will be blacker for UK shops 25 Nov 2016 Retailers dislike today's orgy of spending, even though it could generate 2.9 bln pounds of sales. The effect could be exacerbated this year if consumers fear Brexit-related inflation in 2016. Amazon will be a big winner; other retailers will be left nursing lower margins.
Amazon lends Morrisons scale, at a price 16 Nov 2016 The UK supermarket is extending its tie-up with Amazon, boosting its online sales. The deal isn't without risk for the grocer: Amazon is much bigger than it, and will have discretion over pricing. That's the price Morrisons pays for being slower than rivals to move online.
JD’s $7 bln spinoff keeps investors in the dark 16 Nov 2016 The Chinese web retailer plans to sell its finance arm to a group of local investors including JD CEO Richard Liu. Offloading the loss-making subsidiary will help margins, but absent more detail on the unit's performance, shareholders can't tell if they will get a good deal.
Quest for Arabian tech unicorn could end in mirage 14 Nov 2016 Dubai's Mohamed Alabbar is hoping to create a Middle Eastern rival to Amazon. The real estate mogul and Saudi's sovereign fund are leading a $1-billion investment in a new online retailer. But the region's limited number of well-off web shoppers may limit the new venture's scale.
Alibaba digs itself deeper into a data hole 11 Nov 2016 The Chinese group wants the market to focus less on the sales handled by its websites and more on actual revenue. But it also boasts about doing $5 bln of business in the first hour of Singles' Day, the Chinese answer to Black Friday. The mixed message is confusing for investors.
Dutch food IPO has a German fly in the soup 27 Sep 2016 Meal delivery website Takeaway.com is seeking 350 million euros in an IPO. Revenue is growing rapidly, but so too are losses. Investor appetite for a sales valuation in line with profitable Just Eat rests on whether it can dominate the tough German market.
Indonesia’s e-commerce riches will be elusive 22 Sep 2016 Capital is pouring into Southeast Asia's most promising e-commerce market. Alibaba's $1 bln stake in Lazada gives it a head start. But competition is fierce. Issues like logistics and payments will make it costly to replicate the dominance the Chinese group enjoys at home.