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Foxconn within a few years could be a completely different company, with unnamed sources talking to The Wall Street Journal saying that Foxconn is "is moving aggressively to add new clients and is looking at ways to diversify beyond contract manufacturing".
This move also includes "reviewing plans to sell its own brand of electronics accessories to improve profit margins". We don't know if the Foxconn made devices would compete with the likes of Samsung Apple, but this would definitely be an avenue I'm sure they're looking at right now.
Samsung have reached the top dog spot for China's smartphone sales for Q1 2013, selling a record 12.5 million smartphones in the three-month period according to Strategy Analytics.
This is the first time the South Korean company has sold over 10 million units in a single quarter, and when compared to their main rival, Apple, they beat them by a long shot. Apple sold just 6.1 million iPhone's in the three-month period, allowing Samsung to secure the number one smartphone vendor in China award for the fifth quarter in a row.
Apple is reportedly being investigated by the European Union over anti-competitive practices in relation to its iPhone range of devices. According to the Financial Times, The European Commission has sent out a nine-page questionnaire to various telecommunications firms in Europe and has begun the preliminary proceedings of the investigation.
The telecommunications companies must return the questionnaire by June 17. Their answers will be used to decide whether a full investigation is warranted. If the companies admit that Apple was favored over rivals, Apple could face significant fines.
Apple could also be in trouble if they disable features of the product within the EU area because this breaches EU law. Such issues include blocking access to 4G networks in Europe.
Apple maintains that it has done nothing wrong.
spent invested $25 million to start a US-based display patent firm. The firm was quietly launched in March in Washington D.C. and will help Samsung protect its patents in the United States. According to the Korea Times, the new firm is known as Intellectual Keystone Technology (IKT).
The company will allow Samsung to better protect its intellectual property, something we've seen Apple doing in the Apple v Samsung lawsuit. Samsung's screens are seen on a wide variety of devices, so its important that Samsung not lose its patents or have them infringed upon as it would be a major hit to the business.
A Samsung Display spokesperson said, "Samsung recently established IKT. Patents are a good source of innovation and we also need to protect our intellectual property by strengthening our patent-related business."
Should we expect to see an uptick in patent litigation? It's certainly possible, though for right now it appears Samsung is just working on amassing patents.
The problem with being one of the biggest companies in the world is you can't catch a break. Just after an antitrust investigation into Google was completed, reports of a new investigation over different allegations have emerged. Google is reportedly being investigated by the FTC over allegations of using its online display-advertising market to curb competition.
The inquiry is just beginning and may not expand into a full-fledged investigation. Center to the probe is whether Google is using its large adverting network to push companies to use other services the company offers. This can prove illegal under antitrust laws if not done properly.
A large portion of Google's advertising tools and network came from the acquisition of DoubleClick in 2007. At the time, the FTC said, "We will closely watch these markets and, should Google engage in unlawful tying or other anticompetitive conduct, the commission intends to act quickly." It looks like the commission now feels the company is being anticompetitive.
TweakTown will follow this and keep our readers up on the latest.
Samsung has been on a roll lately with new product launches and this coming June 20th should be no exception. The company will hold a launch event at London's Earls Court 2 in which we can expect to see "several" Galaxy and ATIV devices unveiled.
The Galaxy brand of products needs no introduction, but many of our readers may not have heard of the ATIV brand, which is Samsung's Windows Phone line of smartphones and tablets. While not much info is available on what we might see added to the ATIV line, we most likely will see the Galaxy S4 Mini, Galaxy Active and a new Galaxy Tablet unveiled at the event.
This event comes at the end of what is shaping up to be a very busy month in the tech industry. With Computex 2013 taking place between June 4th and 8th, E3 happening on June 11th until June 13, and Apple's WWDC taking place on June 10th till 14th, the tech media world is going to be in a frenzy with all of the news stories being released.
As always, TweakTown will be on top of everything, with journalists on the ground at Computex and E3, as well as live blogs taking place for these events. So, keep your browsers open to TweakTown for up to the minute coverage of everything happening in June.
Rumors have made the rounds that Facebook is interested in the social mapping service. According to a Bloomberg report, Google may also be considering a Waze buyout. This is good news for Waze as the two companies would likely enter into a bidding war; it's not such great news for the companies themselves as the price will go up.
The report states that Google and others have approached Waze since the news of Facebook's talks were made public. Waze is reportedly seeking in excess of $1 billion, so it's very possible that talks fall through and Waze remains an independent company. Greg Sterlin, an analyst at Opus Research, suggests that Google may acquire Waze to prevent competition or add social features to its own Maps product:
If they put a lot of effort behind it and really try to develop a social mapping product, it could be something significantly differentiated from what Google is offering and could grow into a competitor for Google Maps.
We're still a good distance away from Waze being acquired as the acquisition would likely undergo scrutiny from the FTC and other government groups. If Waze does enter into an acquisition deal, you'll be able to read about it here on TweakTown.
According to several reports around the Internet, Hulu has received bids from four different companies seeking to acquire the next-day TV streaming service. Reports from The Los Angeles Times and Reuters state that the Chernin Group and Guggenheim Digital Media have both placed bids for Hulu.
DirecTV and Time Warner Cable are also said to have put in bids for the company. Hulu, despite companies looking to acquire it, continues to do well, turning $695 million in revenue for last year. Bloomberg adds that KKR and Silver Lake have both entered into the bidding, bringing up the total bids to six.
Nomura Equity Research's Stuart Jeffrey believes that Apple, Nokia, and BlackBerry will suffer at the hands of Android devices that are good enough. Jeffrey believes these lower cost devices will provide attractive options for emerging markets, making it tougher for the aforementioned companies to enter.
The drivers of our higher growth estimates are ones to which Apple appears to have no exposure, at least not currently. These drivers include: We see APAC driving 70-79% of growth; Apple's 1Q13 APAC share was 13%; "Good enough" Android phones priced at $100 and below are driving most of the growth; Apple has no exposure to this segment; 5" screen sizes are driving the higher-priced market segments, a segment where Apple has no exposure; Local application development in APAC is focused on Android, giving Android a big competitive advantage over Apple.
Jeffrey maintains a Neutral rating on Apple, with a price target of $420. He has, however, lowered his estimates for Nokia to $25.22 billion in revenue and a 1-cent-per-share net loss. BlackBerry's estimates have also been cut to $13.31 billion in revenue and 31 cents per share.
Microsoft's customer satisfaction rating has plummeted to levels it hasn't seen since Windows Vista was the current operating system. Most attribute this fall of satisfaction to Microsoft's new Windows 8 operating system, which has been received by consumers with much discontent.
Windows 8.1 should hopefully help customer satisfaction recover as its rumored the much-loved Start button will be making a return along with an option to boot straight to the desktop mode. Microsoft's ACSI report has consumer satisfaction at 74 out of 100. Shortly after Vista launched, it was just 73 out of 100. In 2011, Microsoft's ACSI was at 78 out of 100 and it quickly dropped to 75 after Windows 8 launched.
David VanAmburg, director of ACSI:
It seems clear that the release of Windows 8 did not give Microsoft a significant bump, as the release of Windows 7 did, nor did it dramatically lower customer satisfaction in a rather short time frame, as the release of Vista did.
One of the issues with PC software appears to be that there is less of it out there now. While productivity software remains in demand -- Office, TurboTax, Acrobat -- with so many households that own PCs relying more and more on their tablets, smartphones and gaming systems for entertainment and recreation, the range of PC software may be shrinking, not a welcome sign for diehards [who are] still very loyal to the traditional PC.