NexOptic Technology Corp (TSXV: NXO)
You’ll Never See The World The Same Way Again
On the hunt for a new TikTok? Facebook (NASDAQ:FB) and Snap (NYSE:SNAP) have recently held talks to buy lip-sync video app Dubsmash, a quickly rising rival to ByteDance’s music-centric short-video phenomenon, The Information reports.
Those talks went far enough to center on a price tag in the hundreds of millions of dollars, according to the report.
Dubsmash joins apps like Triller and Byte amid a rush to capitalize on TikTok’s popularity, particularly as the Chinese app faces a U.S. ban spurred by the Trump administration (or a potential sale to Microsoft (NASDAQ:MSFT)).
In an interview with MSNBC, Uber’s (NYSE:UBER) Dara Khosrowshahi says the app might temporarily shutter in California if the company doesn’t win its appeal of the preliminary injunction.
“If the court doesn’t reconsider, then in California, it’s hard to believe we’ll be able to switch our model to full-time employment quickly,” says Khosrowshahi.
On Monday, a California judge granted an injunction barring Uber and competitor Lyft from classifying drivers as independent contractors. The companies were given 10 days to file appeals, which are already in motion.
If Uber loses the appeal, the company will have to bet on California voters approving Proposition 22, which would exempt drivers from being considered employees.
AT&T (T -0.2%) is seeking $1.5B to sell its anime streaming service Crunchyroll to Sony (SNE +2%), The Information reports.
It’s a deal that could shore up Sony’s position in anime, adding Crunchyroll to its own Funimation service, but Sony is balking at the high price, according to the report.
AT&T took over Crunchyroll via a joint venture with Chernin Group in Otter Media.
Cisco Systems (NASDAQ:CSCO) is 5% lower after it topped expectations with its fiscal Q4 earnings but issued downbeat guidance for the current quarter, the start of its new fiscal year.
Revenues fell 9% to $12.2B, with declines across all regions, and non-GAAP EPS fell 4% to $0.80.
Security was again a bright spot for revenues (with a 10% gain) but its core infrastructure platforms business dipped by double digits.
The company’s achieved its goal of drawing more than half its revenue from software and services, it says.
“We executed well in Q4, delivering strong margins despite the very challenging environment,” says CFO Kelly Kramer. “Software subscriptions now make up 78% of our software revenue and remaining performance obligations continued to grow strongly in the quarter, reflecting the strength of our portfolio of software and services.”
Revenue by geo: Americas, $7.19B (down 12%); EMEA, $3.11B (down 6%); APJC, $1.86B (down 7%).
Revenue by type: Infrastructure Platforms, $6.63B (down 16%); Applications, $1.36B (down 9%); Security, $814M (up 10%); Other products, $35M (down 17%); Services, $3.32B.
For fiscal Q1 2021, it’s guiding to a revenue decline of 9-11% year-over-year, with gross margin of 64-65%, operating margin of 30-31%, and EPS of $0.69-$0.71 (below consensus for $0.76).
That revenue guidance points to $11.71B-$11.98B, below consensus for $12.29B.
Conference call to come at 4:30 p.m. ET.
Microsoft’s (NASDAQ:MSFT) dual-screen Surface Duo will launch on September 10 with a $1,399 price tag.
The Android phone has two 5.6-inch OLED displays that can either run two apps side-by-side or function as a single device with a 8.1-inch workspace.
The Surface Duo only has one camera, which can be used for photos or video calls.
The device supports any Android app, and Microsoft has adjusted its productivity products to work across both screens.
Preorders start today at AT&T, Best Buy, and Microsoft’s online store.
Microsoft first announced the Surface Duo last October.
“Microsoft has had its fair share of product launch failures in the past,” Lukas Wolgram wrote on Seeking Alpha at the time. “That said, with Satya Nadella at the helm along with his previous strong track record on Surface products, I think Microsoft stands a real chance at gaining some market share in the phone space with the Duo.”
