Displaying items by tag: investment

Taiwanese electronic colossus Foxconn has now admitted that it is currently reassessing its plans to invest in a new $10bn factory in Wisconsin.

When first announced it was hailed as a significant win for US President Donald Trump who had promised rust-belt states that he would breathe new life into the manufacturing sector and create millions of jobs.

However, that deal now may be dead in the water due to the ongoing dispute between Beijing and Washington that is becoming increasingly toxic. 

Foxconn manufactures devices and components for a host of the world’s leading technology leaders including Apple, and had previously unveiled its plans to build the $10 billion plant to make LCD flat screen televisions which would also in turn create around 13,000 new jobs.

The investment was vetoed by $4bn in controversial tax concessions which were embraced by Trump who said the deal was another illustration of his campaign promise which was to put America ‘first’ again. Trump has also tried to strong arm other tech giants like Apple offering them tax breaks if they move manufacturing back to the United States.

Trump appeared with Foxconn CEO Terry Gou at a groundbreaking ceremony proclaiming and stated that, "This is just the beginning. This is one of the largest plants in the world."

However, the global economic climate roiled by Trump's trade war with China where Foxconn has most of its assembly lines -- has led officials at the Taiwanese company to look again at the plans.

"The global market environment that existed when the project was first announced has changed. As our plans are driven by those of our customers, this has necessitated the adjustment of plans for all projects, including Wisconsin," Foxconn said in a statement Thursday.

However, Foxconn has moved swiftly to deny it’s pulling out of the proposed investment and released an official statement saying it is remained committed to building its science park in Wisconsin and wants to help create 13,000 jobs". 

Woo told Bloomberg, "We’re not scrapping our plans at all. However, given the global economic conditions and the trade tensions between China and the US, its’ impossible to say that we can always stay committed to our original plan without any change."

Published in Government

Oracle, in collaboration with Redington, a leading distributor and an Oracle PartnerNetwork (OPN) partner operating across Middle East and Africa launched a dedicated Cloud Centre of Excellence (CCoE) in Dubai to enable knowledge share and ready availability of Oracle Cloud to help Oracle PartnerNetwork (OPN)members develop and implement transformative cloud projects across the Middle East.

Europe’s largest telecommunications operator Deutsche Telekom has warned that if governments across the continent decide to implement a ban on Chinese vendor Huawei, then the rollout of 5G networks could be delayed by at least two years.

Published in Telecom Operators

Sparke, the International Services arm of the TIM Group and among the top ten global operators, announces the expansion of its South American backbone with a new Point of Presence in Cartagena, Colombia.

The new PoP responds to the fast growing demand for capacity services in Colombia, providing local and international network providers, ISPs, Content Players and OTTs with transport solutions up to 100 GB through Sparkle’s City2City service 

Thanks to the interconnection with the PCCS and SAm-1 cables, Sparkle will provide its customers with advanced connectivity solutions from Colombia and other Latin American countries up to the United States.

The combination of Sparkle’s terrestrial and submarine networks in the Americas, enriched by the new generation Seabras-1 cable, ensures complete redundancy and a top quality data experience.

In the next few months Sparkle will further expand its presence in Colombia, with the opening of a new PoP in Bogotá that will enhance the performance of Sparkle’s global Tier-1 IP transit service Seabone with lower latency and improved traffic routing capabilities.

The new PoPs in Cartagena and Bogotá confirm Sparkle’s positioning as one of the main providers in the Americas and as first Tier-1 backbone in Latam.

Published in Telecom Operators

US tech giant signs content agreement with Samsung

Written on Tuesday, 08 January 2019 09:22

US technology behemoth Apple has signed a new agreement with Samsung in relation to its streaming and content services in an effort to offset a decline in iPhone sales. The deal brokered between Apple and the South Korean conglomerate will enable the use of iTunes streaming services on Samsung smart TVs.

Published in Telecom Vendors

Tech giant to invest further $1 billion for NYC campus

Written on Thursday, 20 December 2018 09:01

Alphabet Inc. has announced it will invest more than $1 billion to build a new campus in New York.

The parent company of Google plans to make the Hudson Square site its primary global business hub; with new office space in Lower Manhattan, and new property at 550 Washington Street.

The 1.7 million square-foot campus is set to double its staff numbers within a decade.

Earlier this year, the tech giant spent $2.4 billion buying New York City’s historic Chelsea Market, with plans to add a community space, winter garden and a public water taxi landing. It closely resides to their 111 Eighth Avenue headquarters, which they purchased in 2010.

“New York City continues to be a great source of diverse, world-class talent—that’s what brought Google to the city in 2000 and that’s what keeps us here,” Says Ruth Porat, SVP and CFO of Google and Alphabet, on a blog post.

"It's now home to more than 7,000 employees, speaking 50 languages, working on a broad range of teams including Search, Ads, Maps, YouTube, Cloud, Technical Infrastructure, Sales, Partnerships and Research."

Fellow tech titan Amazon Inc. is also set to invest $5 billion in real estate across two new headquarters for their HQ2 project. It hopes its Long Island City site will create a further 25,000 new jobs in New York and North Virginia.

Published in Apps

Nokia and China Mobile Research Institute today launched the industry's first hybrid indoor radio solution with location services to meet 5G connectivity demands inside busy large buildings such as business campuses and shopping malls. The jointly developed 5G hybrid distributed indoor system is aimed at lowering operators' deployment costs.

Published in Telecom Operators

TELUS reports strong financial results for Q3

Written on Sunday, 11 November 2018 09:00

TELUS Corporation today released its unaudited results for the third quarter of 2018. For the quarter, the operator consolidated operating revenue of $3.8 billion increased by 11 per cent over the same period a year ago.

This growth was driven by higher wireless network and equipment revenues, wireline services revenue growth and higher other operating income resulting from our share of the non-recurring equity income related to real estate joint ventures of $171 million arising from the sale of TELUS Garden. Excluding this equity income consolidated operating revenue increased by 5.8 per cent.

Earnings before interest, income taxes, depreciation and amortization (EBITDA) increased by 8.2 per cent to $1.3 billion due to higher revenue growth as referenced above and improved wireless equipment margins.

This growth was partly offset by incremental employee benefits expense due to recent business acquisitions and increased costs to support our growing customer base. Adjusted EBITDA was up 6.4 per cent when excluding the net gain from the sale of TELUS Garden, as well as restructuring and other costs, which included our committed donation of $118 million to the TELUS Friendly Future Foundation.

“TELUS reported strong operational and financial results for the third quarter, including robust customer growth across both the wireless and wireline segments of our business. This was buttressed by a continued excellent performance in wireless and wireline customer loyalty and lifetime revenue,” said Darren Entwistle, President and CEO. “Importantly, the TELUS team continues to achieve industry-leading postpaid wireless churn, and realized record third quarter high-speed Internet and TV retention levels. This performance was driven by our team’s relentless focus on providing exceptional customer experiences, and was anchored by the ongoing generational investments we are making in our leading broadband wireline and wireless networks, both of which are hallmarks of TELUS’ successful, long-term growth strategy.”

Mr. Entwistle added, “The efficacy of our broadband technology investments is reflected in TELUS, once again, being named as having the fastest mobile network in Canada by PCMag. This repeat acknowledgement builds on our outstanding record of achievement with respect to network excellence, having already earned the top spot in all major mobile networks reporting this year, including Ookla, J.D. Power and OpenSignal. These leading network rankings, each received consecutively for two or more years, reinforce the consistent superiority of TELUS’ broadband networks available to citizens across the country.

Mr. Entwistle further commented, “Our dividend increase announced today, on the back of our 41 per cent free cash flow growth, reflects the sixteenth increase since 2011, and is the fourth in our most recent three-year dividend growth program, targeting annual growth between seven and 10 per cent through 2019. This builds on our proven track record of providing investors with the industry’s best multi-year dividend growth program, which continues to generate significant value for our shareholders. Notably, TELUS has now returned $16 billion to shareholders, including $10.8 billion in dividends, representing $27 per share since 2004. We look forward to updating investors on the progression of this program at our 2019 annual general meeting.”

Doug French, Executive Vice-president and CFO said, “For the third quarter of 2018, TELUS delivered positive operational and financial results, reflecting the strength of our multiple product and valued service offerings, our commitment to customer service excellence and our network superiority. Our strategic capital investments are clearly paying off, as evidenced by our strong subscriber and loyalty results, and position us to maintain our network leadership as we progressively move towards the arrival of 5G.”

Mr. French added, “As we head into the seasonally important final quarter of 2018, we remain focused on executing against our strategy, amplifying our efforts on cost efficiency, focusing on margin accretive customer growth and investing to support our growth strategy. Today we are raising our full year 2018 assumption for restructuring and other costs, including an additional $50 million targeted towards further streamlining our business and enhancing our effectiveness in serving our growing customer base. This additional investment in restructuring, to be recorded in the fourth quarter of 2018, is expected to deliver annual cost savings of more than $50 million beginning next year. Meanwhile, our net debt to EBITDA leverage ratio continues to improve, putting us in good position for 2019.”

Published in Telecom Operators

The Next Generation Mobile Networks (NGMN) Alliance - which drives and guides the development of all future mobile broadband technology with a focus on 5G - has published its three deliverables on 5G Extreme Requirements entitled “Operators’ views on fundamental trade-offs”, “RAN Solutions”, and “End-to-End considerations”, respectively.

Compiled by the Alliance’s 5G Extreme Requirements task force, the papers aim to highlight what implications and trade-offs related to the delivery of new 5G services are relevant for mobile network operators.

Ilaria Thibault, task force lead and Principal Researcher at Vodafone commented: “We are very excited to reveal the findings of the outcome of the Extreme Requirements task force, which was to really strike at the heart of what needs to be assessed before the world embarks on advanced 5G services.

This work quantifies and analyses the coverage impact of delivering new extreme 5G services (Ultra-reliable and Low-latency – URLLC) for the radio access network with a theoretical analysis, system-level simulations, and field trials. End-to-end deployment guidelines for meeting extreme requirements at a service level are also provided. Among these guidelines, techniques such as path redundancy and new transport-layer protocols are discussed to improve end-to-end latency and reliability.

For latency-critical services, interworking between the Non-3GPP processing delays and 3GPP processing delays has been assessed.”

CEO of the NGMN Alliance Peter Meissner added: “Our task force has highlighted several key challenges that are crucial to the future of 5G’s connectivity path - and how the industry needs to adequately deal with these. Consequently, this year’s NGMN Conference & Exhibition will see us run a special session where operators are set to share results from their 5G tests, trials and first user experience. Our aim is to uncover the new use cases of 5G and how they will be leveraged in the next few years.”

Published in Infrastructure

To support the accelerated build out of 5G in the United States, European telecommunications vendor Ericsson will increase its investment in the market. This series of strategic initiatives will allow Ericsson to operate even closer to its customers, meeting the growing demand for 5G globally and in the region.

The investments will fall into two categories: 1) increase research and development work done close to customers in the US and 2) increase flexibility to shorten the timeline for new product introduction and product delivery to customers. This will enable Ericsson to recruit new expertise from the US, complementing the company’s existing highly-skilled employees in the region.

Börje Ekholm, President and CEO of Ericsson, says: “The United States is our largest market, accounting for a quarter of Ericsson’s business over the last seven years. To serve the demand of these fast-moving service providers, we are strengthening our investment in the US to be even closer to our customers and meet their accelerated 5G deployment plans.”

Ericsson predicts that 5G subscriptions will reach the 150 million-mark, accounting for 48 percent of all mobile subscriptions in North America by the end of 2023.

Increase R&D in the US:

In late 2017, Ericsson opened the Austin ASIC Design Center in Austin, Texas, to focus on core microelectronics of 5G radio base stations to accelerate the path to 5G commercialization. The 1,400-square-meter facility (15,000-square-feet) will have 80 employees once fully staffed.

Ericsson will also open a new software development center with baseband focus in 2018, employing more than 200 software engineers once fully operational. This facility and its employees will further strengthen Ericsson’s 5G software development. Baseband provides intelligence to the radio access network. It is also the interface between the core network and radio units, processing and forwarding voice calls and internet data to end users.

Beginning in 2019, both of these facilities will introduce 5G products and software features into the Ericsson portfolio, and will be available for customers globally, including in the US.

Additionally, Ericsson will increase its investment in Artificial Intelligence (AI) and automation, employing around 100 specialists in North America by the end of 2018. This team will work on utilizing AI technologies to accelerate automation, examine product road maps and explore new business opportunities. They will focus on boosting the company’s current portfolio, strengthening customer engagements and promote innovation of new disruptive business opportunities.

New product introduction and manufacturing in the US:

To increase flexibility in bringing new products into the market, Ericsson will recruit a dedicated team to work specifically on introducing products for the US market, conducting production engineering, testing/integration and supply preparations on early prototypes. This will be done in close collaboration with US-based R&D resources.

To make 5G products available to customers as fast as possible, Ericsson will also begin manufacturing in the US in the fourth quarter of 2018. This will enable Ericsson to operate closer to customers -- providing volume production of next-generation radios and the fast introduction of new products into the US market. Initially, Ericsson will work with a production partner and the first radios for the US will be produced before the end of 2018.

Published in Telecom Vendors
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