Huawei is in talks to sell part of its Honor smartphone unit

honor 30 pro plus review rear in hand

  • Huawei is reportedly in talks to sell off parts of its Honor unit.
  • It’s believed that Digital China, TCL, and Xiaomi are interested in the deal.

US sanctions against Huawei mean that the company’s smartphone business has suffered in a big way. Between its crippled in-house chipset division and the lack of Google support, it’s becoming increasingly tough for the firm to keep producing phones.

These troubles extend to its Honor sub-brand too, but Reuters now reports that Huawei is in talks to sell off parts of the Honor business in a deal potentially worth up to 25 billion yuan (~$3.7 billion).

The report, citing “people with knowledge of the matter,” alleges that Honor’s brand, research and development infrastructure, and associated supply chain management business could be sold under the deal. However, the newswire’s sources caution that this hasn’t been finalized yet.

It’s believed that Huawei will focus on higher-end phones due to the US sanctions. Honor has traditionally been focused on young and/or budget-conscious consumers.

Who would do Huawei the honor, then?

Reuters reports that Honor phone distributor Digital China is considered a front-runner for the deal. However, the newswire adds that TCL and Xiaomi are also in the running.

Selling part of Honor to another business theoretically means that US sanctions wouldn’t apply to Honor-branded devices produced as part of this arrangement. It isn’t immediately clear what this would mean for Honor devices released prior to a sale though.

Please wait..Loading poll

Furthermore, there’s no guarantee that the US government wouldn’t simply play whack-a-mole and apply sanctions to any company that acquires part of Honor. Huawei and Honor are intertwined in several ways, particularly when it comes to components used and research and development. So extricating large chunks of the sub-brand from its parent company will likely be a

NBCU ad boss adds local ads, Symphony, and new data unit to purview

NBCUniversal ad boss Linda Yaccarino is taking on a larger role within the media conglomerate as global chairman of advertising and partnerships, the company announced on Monday.

The promotion, effective immediately, positions Yaccarino, who has been spearheading an initiative to create a single ad-buying system that spans TV and digital, to unite more parts of NBCU’s ad business.

Yaccarino previously was chairman of advertising and partnerships, managing the media company’s portfolio of linear networks like NBC, digital platforms like Peacock, distribution partnerships, and client relationships.

In her new role, she adds to her purview NBCU’s local ads, company-wide marketing strategies, and a new data-strategy team that she’s charged with building. She continues to report to CEO Jeff Shell.

As part of the change: 

  • Local ads will be added to One Platform, NBCU’s all-in-one ad-buying system, which Yaccarino leads. The team that sells ads across NBCU’s local-TV stations and regional-sports networks, run by local-sales revenue chief Frank Comerford, will report into Yaccarino.
  • Yaccarino will oversee NBCU’s strategic initiatives, led by SVP Kathy Kelly-Brown. That includes NBCU’s Symphony marketing campaigns that rally the company around moments, like Peacock’s debut or the Olympic Games. Under Yaccarino’s oversight, the team will start talks with major advertisers about opening up Symphony, similar to the way it works with a “council” of Peacock sponsors to test ad formats for the streaming service. 
  • Yaccarino is building a data-strategy unit charged with bringing together research from across the organization to grow the company’s revenue. The team, which will be led by a data chief who has not yet been named, will work on creating unified anonymous identifies for NBCU audiences, using data to scale NBCU’s new shoppable ads, and using research to inform that ad experience, like reimagining what ads look like in movies on Peacock versus TV

Amazon India’s payments unit gets $95.5 million from parent ahead of festive season

FILE PHOTO: The logo of Amazon is pictured inside the company’s office in Bengaluru, India, April 20, 2018. REUTERS/Abhishek N. Chinnappa

BENGALURU (Reuters) – Amazon.com Inc AMZN.O has invested 7 billion rupees ($95.51 million) in its Indian payments unit, ahead of the festive season, data from business intelligence firm Tofler showed.

Amazon will begin its festive season sales on Oct. 17, and has been trying to encourage payments through Amazon Pay with cashbacks and other rewards.

Both Amazon and Flipkart offer deep discounts on everything from clothes, smartphones to home appliances ahead of key Hindu festivals Dussehra and Diwali.

In July, Jeff Bezos-led Amazon.com had invested 23.10 billion rupees in Amazon Seller Services and early this year announced a $1 billion investment to bring more than 10 million small businesses online in India by 2025.

Amazon, billionaire Mukesh Ambani-led Reliance Industries RELI.NS and Walmart Inc’s WMT.N Flipkart are in a race to gain market share in India’s fast-growing online market for food and groceries.

Oil-to-telecom conglomerate Reliance is also expanding its new commerce venture and has raised 377.19 billion rupees ($5.14 billion) in a month by selling stakes in its retail unit to investors including KKR & Co, private equity firm Silver Lake and Abu Dhabi state fund Mubadala Investment Co.

Meanwhile, this week, Amazon.com Inc sent a legal notice to Future Group, alleging the retailer’s $3.38 billion asset sale to Reliance breached an agreement with the e-commerce giant.

Reporting by Nallur Sethuraman in Bengaluru; Editing by Vinay Dwivedi

Source Article

NTT to Take Mobile Unit Docomo Private for $38 Billion

(Bloomberg) — Nippon Telegraph & Telephone Corp. plans to turn its wireless carrier unit NTT Docomo Inc. into a wholly owned subsidiary, a move that may help Prime Minister Yoshihide Suga’s policy push to lower phone tariffs.



a group of people standing next to a sign: Pedestrians cross a road in front of an NTT Docomo Inc. store in Tokyo, Japan, on Wednesday, April 24, 2019. Docomo this month cut prices on its mobile phone data plans, some by as much as 40 percent, responding to government pressure to reduce prices that it says are among the world's highest.


© Bloomberg
Pedestrians cross a road in front of an NTT Docomo Inc. store in Tokyo, Japan, on Wednesday, April 24, 2019. Docomo this month cut prices on its mobile phone data plans, some by as much as 40 percent, responding to government pressure to reduce prices that it says are among the world’s highest.

NTT will pay 3,900 yen a share to acquire the shares it doesn’t already hold, the companies said in a statement. The buyout is worth around 4.25 trillion yen ($40 billion), a more than 40% premium to Monday’s closing price in Tokyo. Given that parent NTT already controls 66% of the wireless carrier, any proposal is all but guaranteed to pass.

Loading...

Load Error

Docomo’s board said it’s in favor of the takeover by its parent, which will fund the purchase through borrowings. The tender offer, the largest for a Japanese company in history, is scheduled to start Sept. 30 and will be completed in the fiscal year ending March 31. When NTT spun out Docomo in 1998, it was also the biggest-ever initial public offering at the time.

The proposal to combine the former national companies comes just 15 days after Suga succeeded Shinzo Abe as the nation’s prime minister. With government documents showing data-heavy users in Tokyo pay more than three times for a monthly contract than users in Paris, Suga has made reducing phone bills charged by Docomo and Japan’s other major carriers a priority to score a quick policy win and avoid being seen as a caretaker leader, market watchers have said.

“In order to

Japan’s NTT to take full control of wireless unit Docomo for $38 billion: Nikkei

TOKYO (Reuters) – Japanese telecoms group Nippon Telegraph and Telephone <9432.T> will take full control of its wireless carrier business NTT Docomo Inc <9437.T> for about 4 trillion yen ($37.89 billion), the Nikkei business daily reported on Tuesday.

The move comes as Japan’s new prime minister Yoshihide Suga has criticised Japan’s top three mobile phone carriers including NTT Docomo, saying he wants more competition and lower rates.

NTT will seek to buy the remaining 34% of NTT Docomo and delist the business from the Tokyo stock exchange, the Nikkei said.

The move is intended to allow NTT Docomo to better respond to pressure from the government to cut mobile fees, according to the report.

Drastic fee cuts will temporarily take a toll on NTT Docomo’s earnings, but having NTT as the sole shareholder will help mitigate the negative impact, the Nikkei report said.

An NTT spokesman said the report was not based on what the company has announced. Representatives of NTT Docomo were not immediately available for comment.

NTT Docomo is Japan’s largest wireless carrier, followed by KDDI Corp <9433.T> and SoftBank Corp <9434.T>.

($1 = 105.5700 yen)

(Reporting by Makiko Yamazaki. Editing by Jane Merriman)

Source Article