Monthly Archives: July 2016

Oracle announces to acquire Netsuite for $ 9.3 billion

The ERP provider Netsuite, who specializes mainly in cloud business, was reported to be acquired by Oracle for $ 9.3 billion, with $109 per share.

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Mark Hurd, Oracle co-CEO, claimed Netsuite and Oracle business will make complementary on cloud service. Oracle plans to invest a great amount of sum on product design and sales & distribution divisions.

Oracle has been in an affinity with Netsuite since 90s. It was then Zach Nelson, Netsuite CEO, worked as Oracle CMO as well. In addition, Larry Ellison, founder of Oracle, is the most important shareholder of Netsuite. These two companies both specialize in ERP business.

In fact, Netsuite is a real cloud enterprise, while Oracle suffered some difficulties during cloud business transition. Oracle regards cloud business as important, that is why it acquired Netsuite. Netsuite will also benefit from the global scale of Oracle’after the acquisition is done.

Though the acquisition needs to be approved by supervision department and investors, Oracle still hopes this plan will be done by the end of 2016. This acquisition is definitely the biggest project that Oracle made this year. In May, Oracle acquired Textura for $ 663 million.

With a week when it announced to acquire Textura, Oracle acquired a software provider Opower for $532 million. To acquire these two companies, Oracle invested $ 1.2 billion in three working days.

Apple announced global accumulative sales of iPhone is over 1 billion units

Apple held the staff meeting at its headquarter on Wednesday. It announced that the global accumulative sales of iPhone was over 1 billion units since it was released in 2007.

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It just announced the shipping decline of iPhone on Tuesday but performed better than Q1. Tim Cook claimed its global accumulative sales of iPhone was over 1 billion units. He said:” iPhone has become one of the most important and successful products in our history. It is not only a lifelong partner, but also an indispensable part of our life.”

“We aim to product the best product that makes great impact on our life. We appreciate for your hard working to change the world in Apple,” said Cook.

iPhone, as the landmark device of Apple, was released in 2007. It changed the patterns of global smartphone market and has stimulated the prosperous development of mobile apps in recent years. Apple releases a new iPhone each year since it is being introduced to the public.

As the most valuable listed company, Apple claimed it sold 40.4 million iPhones in Q3, declining by 15% yoy. With the influence of iPhone shipping decline in Q2, its revenue in Q3 decreased by 14.6%.

The net profit and revenue of Apple in Q3 performed better than marketing expectation. It released iPhone SE in March which worked a bit. Its reasonable price stimulated the sales increase of iPhone.

Cook claimed that he was satisfied with iPhone’s shipping quantity in last quarter when he was interviewed by CNBC. Apple plans to debut a new generation of iPhone this September. Piper Jeffray, analyst of Gene Munster, assumed the shipping quantity of iPhone in Q4 would be increased, with a growth rate between 4% and 7%.

5 Tips to improve Apple Watch performance

IDC statistics showed global smart watch sales volume declined by 32% in Q2 yoy. One of the reasons is the sales of Apple Watch 1 did not meet its expectation.

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Jitesh Ubrani, senior mobile device tracking analysis of IDC, stated in an announcement that watch OS 3 will improve the sales of Apple Watch as it optimize user experience. However, Apple still needs to update the following aspects of Apple Watch to increase sales.

Getting rid of the dependence of iPhone

Users need to connect with iPhone to apply Apple Watch when it was debuted. With watchOS 3, Apple Watch not only run locate apps , but also improve its booting speed. If Apple adds independent WiFi or Cellular data connect feature on Apple Watch 2, it could enhance the independence of Apple Watch.

Increasing Battery life

To smart watch, battery life is an important factor. The Apple Watch 1 is said to run 18 hours, but it could not meet the demands of consumers. The improvement of battery life could be an attraction to Apple Watch 2.

Accessing apps easier

The usability is an issue all that smart watches meet as all the information will be displaying on that screen. To Apple Watch, it takes time to find the wanted app from dozens of apps.

WatchOS 3 modified this issue a bit. It lets users custom some frequently-used apps via Dock interface. It will be great if Apple upgrades the display interface of Apple Watch in the near future.

Improving camera function

It is reported that Apple will feature with Facetime camera for Apple Watch 2 so that users could make video call on wrist. If so, this feature might attract more users to buy Apple Watch 2.

Extending fitness function

Fitness tracking function is also an important factor why consumers choose Apple Watch besides its brand attraction and novelist design of Apple Watch. If Apple extends its fitness function based on its existing fitness tracking function, Apple Watch would be more than a cool technical tool.

Twitter cooperates with 17 first-class chefs for operation strategy

Web celebrities are important elements for social networking apps now. Some social netowrking apps invite them to attract more users. Facebook just invited some web celebrities to promote its Facebook Live. Now, Twitter carried out the similar policy, inviting the first-class chefs to attract more users.

TubularInsights reported a survey based on Facebook, Tasty, a public webpage by posting cooking or delicious food content obtained the first place of video views in past 6 months.

The two promotion accounts concern the delicious food ranked top 10, their popularity is just after news and entertainments.

Twitter plans to stimulate the activeness of users by digging the devotion of delicious food.

Mashable reported that Twitter just cooperated with 17 first-class chefs who will post photos, Vine videos and even Periscope original content concerning food.

In addition, Twitter will add a Food Flock theme to discuss about food. It encourages the foodies who are from all over the world to share their food photos and videos.

Twitter might not be able to deal with the food topic in a long term as its rivals have superiorities. Facebook has more social acquaintance. It is more natural to share food topics. Instragram, the most popular photo sharing app, has well-known filtering effects.

FoodFlock theme is just a new operating strategy for Twitter to attract more users. It involves in news, sports and politics. It aims to obtain more users by featuring more content.

According to the data from official Twitter, the user growth of 2015 went flat and even declined in the last quarter. Its users increased a bit in Q1 of 2016, up to 310 million.

There were only 303 million Tweets posted on Twitter worldwide in January. Its glorious days were in August, 2014, obtaining 661 million Tweets then.

Facebook invites web celebrities to popularize Facebook Live

To develop its Facebook Live business, Facebook spent millions of dollars inviting web celebrity to apply this feature.

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Jon Paul Piques became a web celebrity by posting 6 seconds indecent video through Vine. Yet he used Facebook to live broadcast behind-the-scenes footage of Playboy in January.

According to the confirmed document that Wall Street Journal got, he is one of web celebrities that Facebook paid to use its Facebook Live service.

Wall Street Journal reported last month that Facebook agreed to pay $ 50 million to 140 medium, stars and other experts in order to attract them to
edit Facebook Live video, including Antonia Brown, Michael Phelps and Goerge Takei. But most of fundings goes to BuzzFeed and New York Times.

15% of those celebrities got famous and keep active on YouTube, Vine, WhatsApp and Instagram. Among the budget of $50 million, Facebook admited paying 2.2 million to video editors in past few months.

Justin Osofsky, vice president of Facebook global operation and media cooperation, claimed this deal is not for obtaining celebrities from Vine and YouTube, but encourage them to try Facebook Live.

Ray William Johnson, who was famous for Equals Three Show made by YouTube, got the highest pay. In accordance with the document obtained by Wall Street Journal, Johnson got $224,000 in past five and a half months.

Those celebrities have few fans than BuzzFeed but they are younger and willing to share and comment as likes. Captive8 data showed Instagram spent $150,000 to pay each promotion.

Facebook Live was released early this year. What the content creators concerned is Facebook has 1.65 billion users. Facebook developed live video service when some celebrities obtained few attention on Vine. Though, Facebook Live obtained fewer views than other video content on Facebook, it still attracted more comments due to the real-time interaction.

Inviting web celebrities to edit attractive videos on Facebook is a good idea to increase its traffic.However, they need to make sure the content quality instead of quantity.

Netflix releases Flixtape to edit playlist

Netflix announced to release a new tool: Flixtape. With Flixtape, users can make a Playlist of their favored movies or shows to share with families and friends.

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“Flixtape looks like a mixtape. In fact, Flixtape is a collection of Netflix programmes,” said Netflix spokesman. Users can apply this new tool to create a playlist based on some school or theme before they share programmes with families or friends through text messages, emails, Facebook or Twitter.

However, Netflix decided to limit the programmes of playlist that users created with Flixtape. Flixtape editor will show three recommended programmes which are able to be deleted, and add new programmes not more than 6.

Netflix has been displaying the trends for users and showing them what their friends’ favorites. However, it failed to provide a simple way how users share their favorite programmes with friends. Flixtape is the one to solve such problem. It works similar with Mixtape. Flixtape aims at helping users to build the personal playlist.

If users have no idea to add which programmes to collection, Flixtape website offers several prefabricated playists for their reference, such as ” The Family Reunion Flixtape” or “The Besties or Frenemies Flixtape.” Users can select a theme and click” Next” button, then Flixtape displays the recommended playlists.

So far, Flixtape function runs independently and hasn’t integrated into Nexflix application yet.

To improve content service, Netflix has been releasing several new tools in past few months. It introduced speed test tool Fast.com in May.

Samsung Pay becomes exclusive mobile payment during 2016 Olympic Games in Brazil

Samsung Pay had been introduced to Brazil days ago. Samsung aims at popularize this mobile payment in Latin-American market with the help of 2016 summer Olympic Games.

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Samsung electronics released Samsung Pay service in South Korea last August and introduced it to America in September.Haley Kim, vice-president of Samsung mobile payment department, claimed Samsung Pay will be the only mobile payment service on smartphones during 2016 Rio de Janeiro Olympic Games.

As the most valuable South Korean enterprise, Samsung Electronics compete with Google, Apple and other startups to obtain more market share of mobile payment service. Forrester Research predicted that the mobile payment scale will be increased to $142 billion by 2019. Mobile payment service is also an attraction of mobile devices no matter Android, iPhone or Galaxy series.

At present, the amount of activated mobile is over its total population. Garnter provided the statistics that Samsung Electronics obtained 42% of Brazilian mobile market share. Though Brazil has been struggling in the biggest economic recession, Samsung still wants to attract more consumers with Samsung Pay.

“The Brazilian consumers who purchased or used Samsung devices are focus on high-end clients, to whom impacts less from the economic crisis,”said Haley Kim.

Samsung, as one of the 2016 Olympic Games sponsors, sells Limited Edition Galaxy Edge S7 with Olympic Rings symbol. Haley Kim suggested Samsung Pay is available on S7, A5 and A7 series.

It will team up with Banco do Brasil, Banco Santander Brasil SA and its local credit card issuers to promote Samsung Pay.

Samsung Pay has already obtained 5 million registered users in America and South Korea. The sum of business transactions in South Korea is over $ 1 billion.

Nintendo receives 62.1 billion RMB increase in value for Pokémon Go in three days

Pokémon Go has been seeking after by investors since its release. Nintendo received share price increased by over50% in three trading days since this game was released.

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The share of Nintendo at Tokyo stock market increased by 12% on Tuesday. On the third day when Pokémon Go was released, its share price increased by 53%, which led to 62.1 billion RMB appreciation. Pokémon Go was an update of Pokémon which was released on 7th of July. Pokémon Go is a mobile game.

Nintendo teamed up with Pokémon compnay and Niantic to launch Pokémon Go, whose share of Pokémon company accounted for 33%. While Pokémon company has the franchise rights of Pokémon games. Pokémon company is also a shareholder of Nitantic, while Niantic is responsible for the launch of Pokémon Go.

This game is free. Its selling point is Pokéball and other app features to attract players to consume.

So far, Pokémon Go is only available in USA, Australia and New Zealand. It will be taken the crown among the free games in America. It enjoys a great popularity.

This game have been downloaded over 5 million times on Android devices and its active users exceeded Tinder’s. On Android devices, Pokémon Go’s daily active users are getting close to Twitter’s. The servers face much pressure. The introduction of this game to UK and other countries might be put off.

One of Nintendo famous games includes Super Mario Bros. To protect is game console business, Nintendo delayed the shift of games to mobile devices. It promised that it will be launching 4 smart games by the end of next March.

Amazon receives a sharp increase in Market Value

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Amazon’s market value reached $350 billion last week. It was close to the market value of Berkshire Hathaway Inc., the American Top 5 listed company.

American Top 4 listed companies in market value come with Apple($525.5 billion), Alphabet($481.5 billion), Microsoft($ 403.9 billion), and Exxon Mobil Corp($385 billion).

The public reflected that the market value of Amazon will be exceeded Berkshire’s based on its developing tendency.

As is known, Amazon had taken 20 years to make profit by the end of 2015. Its net profit in 2015 fiscal year was $596 million, while Berkshire received $24 billion in profit in 2015. The public gave Amazon such a high valuation was due to its promising.

Rob Sanderson, analyst of MKM Partners, claimed that Amazon had much room to grow than any other company. He suggested Amazon have potential to be the most valuable enterprise by 2020.

Doug Anmuth, analyst of JPMorgan pointed out in May that Amazon accounted for 35% to 40% in American online retail module. He predicted that the market share will be increased to 50% by the year of 2018. So far, the online retail, which excludes oil, food and vehicles, accounts for only 11% to 12% in American retail industry. It will possibly reach to 14% by the year of 2018 and might be exceed 30%. In other words, Amazon is in a position where it has a promising module in the retail industry.

Sanderson assumed Amazon Web Services is a promising profitable business. AWS revenue increased by 64% yoy in Q1. Its net profit doubled as well.

The upcoming July 12 will be the Prime Day shopping festival for Amazon. Many analysts included MKM Partners’ predicted the sales value on Prime Day will be double yoy.

Google acquires Anvato to upgrade cloud business

Google announced it acquired Anvato company earlier this morning. Anvato was established in 2007 where its headquarters locates in Mountain View. Anvato has a great number of tools concerning transfer, editing and creating OTT videos.

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Anvato is able to transfer online video streaming shows and on-demand network shows from cable STB. In the meanwhile, Anvato has been teaming up with several channels for this business.

Blewadi Srikanth, Senior Product Manager of Google Cloud Platform, claimed in his blog that with the quick development of OTT, Google Cloud Platform and Anvato team will work together to release better Cloud Solutions in order that it helps medium and entertaining enterprises, strengthens their video infrastructure and provides users with high quality live videos and on-demand content.

In a short term, this acquisition will provide backup for Google’s competitiveness against its rivals. In fact, Google’s rivals have been carrying out actions for a while.

The acquisition of Anvato is an advantage for Google catches up with its rivals. Its competitive rivals are AWS and IBM in Cloud Infrastructure business. Amazon acquired Elemental Technologies and IBM acquired Ustream. The biggest rival of Anvato is Brightcove, and the second is Ooyala. Ooyala was acquired by Australian Telstra.

It seems that Anvato would help Google develops more business as there is no incompatibility between these two companies’ business.

Google might develop well in video streaming field, such as it will offer service through Android TV and Google Fiber TV.

The investor of Anvato includes Oxantium Ventures, while its clients include E!, E.W., Scripps, Food Network, Fox, Fusion, NBC Universal, Style and Telemundo.