Regulation

Tech will struggle to evade U.S. antitrust octopus

20 August 2019

Facebook and Apple may soon face state-level probes into their business practices, as well as two by federal agencies. America’s multi-tentacled approach to antitrust is a tangled mess, but a strangely efficient one. It may also favor a tougher end result.

Britain’s blackout whodunnit has multiple suspects

20 August 2019

An initial report sheds inconclusive light on a major recent power cut. Wind and gas-fired generators, network distributors, and National Grid may all have goofed. One thing is clear: the UK needs to go big on battery storage to accompany its commendable rush to renewables.

U.S.-China trade war hinges on farmers, not Apple

13 August 2019

The Trump administration is delaying import tariffs on some electronics, giving the iPhone maker and the S&P 500 a boost. That’s down to business lobbying and a little pragmatism. But the president wants to boost American agriculture. Until China helps, investors can’t rest easy.

Three ways Walmart could help on U.S. gun violence

5 August 2019

The giant U.S. retailer had already tightened its rules on gun sales before a mass shooting in one of its stores. Ditching all firearms may be too bold a step, but there are other steps it could take, from banning open carry to pledging to stock safer, tech-enabled alternatives.

Undoing Trump’s tax cuts harder than it looks

30 July 2019

Democratic presidential contenders want to scrap the White House’s signature legislative win. The measure helped companies and the wealthy but also provided some breaks for the middle class, making it tricky to roll back. And a corporate tax hike could trigger a market downturn.

Viewsroom: UK’s new PM looks for the exit

25 July 2019

Boris Johnson helped persuade Britons to vote to leave the EU. London’s former mayor now leads the country – and may find his pledge to quit the European bloc hard to keep. Meanwhile, U.S. watchdogs are circling Amazon, Alphabet, Apple and Facebook. Plus: Protests rock Hong Kong.

Weak Facebook penalty mirrors weak U.S. watchdog

23 July 2019

The social network will pay a $5 bln fine and must form a privacy oversight panel after accusations it mishandled user data. The Federal Trade Commission doesn’t have enough powers or staff to punch harder. Unless Congress acts, Big Tech can expect more slaps on the wrist.

UK’s Huawei review amounts to an endorsement

23 July 2019

The outgoing government ducked making a call on whether the Chinese telecom supplier can build 5G networks. But its report makes a stronger case for Huawei than against. Probable next Prime Minister Boris Johnson will either have to ignore the findings or irk American hawks.

ByteDance charts a global path for China tech

23 July 2019

The $75 bln outfit behind video app TikTok is mending relations with Indian officials to avoid a ban. Even so, boss Zhang Yiming has outshone peers like Tencent's Pony Ma abroad, growing fast in the U.S. and beyond. Deep pockets and bold ambition could deliver a big payback.

China’s new tech bourse too much of a good thing

22 July 2019

Shares of all 25 firms on China’s answer to the NASDAQ at least doubled on their debut. Dig beneath the speculative mania, though, and there is a lot to like about the new board. Letting more companies list, and sticking to reforms, may be the best way to tame the price swings.

Yes Bank’s cash call will be high-wire act

19 July 2019

The Indian lender’s bad debt spiked in the June quarter and it needs more than $1 bln in fresh capital, over a third of its market value. To avoid a more radical rescue, boss Ravneet Gill must convince private equity investors that a recovery in a handful of accounts will spread.

Lufax sounds Beijing death knell for peer lenders

18 July 2019

China’s top peer-to-peer lender plans to exit the sector, the most telling sign yet that a regulatory crackdown could kill the industry. The Ping An unit and one-time IPO candidate can fall back on money management and other forms of lending. Rivals may be less lucky.

Fresh attack on China’s zombies can bury some

18 July 2019

Beijing officials are on a campaign to kill off moribund companies. Past versions of this familiar horror flick have ended with local authorities keeping state-owned groups staggering along anyway. But a healthier economy and big ambitions make this sequel worth watching.

EU Amazon case pushes tech towards utility status

17 July 2019

Antitrust tsar Margrethe Vestager may probe the $990 billion group’s use of merchants’ data. That would fit with a wider European drive to stop technology companies’ platforms from favouring their own services. Tighter rules will, however, cement bigger players’ dominance.

SoftBank’s robotics IPO faces a reality check

17 July 2019

China’s CloudMinds, 35% owned by Masayoshi Son’s Vision Fund, is seeking $500 mln in a U.S. float. The loss-making robot startup reckons AI-powered androids are tomorrow’s cleaners. It’s a tough sell in the real world, where most Chinese tech floats this year are now underwater.

Asia’s online gambling jackpot proves hard to win

12 July 2019

Web-based betting shops have been booming in the Philippines since local rules were reworked. Despite a glut of punters in the broader region, a market estimated at some $11 bln, seasoned operators have been hesitant to place wagers. For now, the regulatory odds remain too long.

BoE raises tricky liquidity bar for asset managers

11 July 2019

Governor Mark Carney cited $30 trillion of easy-access funds which invest in longer-dated assets worldwide as a “medium-term” financial risk. Recent problems for UK stock-picker Neil Woodford and Natixis require a response. Savers could face a longer wait to get their money out.

Reckitt’s new boss gets a $1.4 bln painkiller

11 July 2019

The Nurofen-maker paid three times more than it had put aside to settle allegations over its selling of opioid drugs. The payment preserves Reckitt’s access to the U.S. baby-food market. Incoming CEO Laxman Narasimhan can focus on bigger problems, like reviving its health unit.

Indian learning startup is envy of its class

11 July 2019

Byju’s fundraise values it at $5.7 bln, a 50% jump in seven months. A sturdy business model is why new backers include A-grade investors like Qatar. U.S. and British parents may spend proportionately less on education but that need not slow growth as the group expands overseas.

British Airways hacking fine is painful precedent

8 July 2019

The UK data commissioner wants to fine the airline 183 mln pounds after customer information was stolen last year. Even though that is at the lower end of the possible penalties, it dwarfs what Facebook had to pay under old rules and sets a higher bar for such security breaches.