Two years ago VMware president Carl Eschenbach snidely suggested that he found it “really hard to believe that we cannot … beat a company that sells books.” Two years later, the truth has become blindingly clear: He can’t. In fact, two years later and an amazing quarter later, it’s equally clear that Amazon is increasingly “a computing company with books,” as Quentin Hardy tweeted:Operating income at AWS is > all that retail stuff combined, w/ net sales growing almost 3x faster. It’s a computing company w/ books.— Quentin Hardy (@qhardy) October 22, 2015What’s less obvious is just how big Amazon Web Services has become, in terms of overall value of the business. Logging $2.09 billion in its latest quarter, AWS is on a $8 billion run-rate, booming 78% year over year. So, if AWS were a standalone company, what would it be worth? Roughly $70 billion.$70 Billion Might Be The Conservative EstimateThat number comes from The Wall Street Journal’s financial editor, Dennis Berman:If you valued Amazon Web Services’ $8 billion in revenue at prevailing multiples, you’d have a $70 billion standalone company. $AMZN— Dennis K. Berman (@dkberman) October 22, 2015But, it’s worth noting, it could be much, much higher. As EchoSign co-founder Jason Lemkin notes, Buddy Media, a cloudy SaaS (“software as a service”) company growing at roughly the same pace as Amazon (albeit on much lower revenues), was acquired at a 20X valuation multiple. That would put AWS’ valuation at $160 billion. Pretty heady stuff.Closer to earth, SAP acquired SaaS company Successfactors at a roughly 10X valuation multiple. That would put AWS at $80 billion. See also: Amazon To Everyone: You’re Toast If we leave the enterprise software (SaaS or otherwise) world behind, and focus on companies that get a big multiple based on their potential to grow fast and completely change industries and the world, we get companies like Facebook (24X, putting AWS at $192 billion) and Twitter (14X, or $114 billion in AWS valuation terms).The actual valuation for Amazon doesn’t matter that much. What’s much more interesting is how much value Amazon is giving its customers. Why Amazon Is WinningTwo years ago VMware CEO Pat Gelsinger declared, “We all lose if they end up in these commodity public clouds.” But it’s clear the only losers are the companies that persist in trying to “extend our franchise from the private cloud into the public cloud and uniquely enable our customers with the benefits of both,” as Gelsinger went on to say. Those companies include Oracle, IBM, and other legacy heavyweights with mountains of cash to fund a shift to cloud, yet with very little to show for their investments. They blame currency fluctuations and other “headwinds,” but Amazon deals with those same headwinds and has grown at a torrid pace. It would be easy to lamely say, as these companies have, that “change is hard!” But Microsoft, with tens of billions of cash at stake in its legacy businesses, is seeing soaring demand for its Azure public cloud, which saw Azure revenue and compute usage double year over year. Because, you know, Microsoft isn’t just trying to stick a cloud label on its legacy business. It’s actually building a serious rival to AWS, and in the process has more than doubled the cloud platform progress of Oracle, SAP, HP, and IBM. It’s All Public CloudLet me make this clear: Public cloud is winning, and in a massive way. Only AWS and Microsoft Azure are credible contenders today, because they’re the only two building serious public clouds designed for developer productivity rather than ways to keep customers tied to their outdated and outmoded products. Today AWS is worth close to half the value of IBM’s ($141 billion) or Oracle’s ($161 billion) entire businesses, will shortly displace SAP ($92 billion), and already exceeds that of HP ($53 billion). It’s only going to get worse for these titans, because AWS promises a different, better way to think about enterprise software. But for customers and developers, things are just going to keep getting better. Lead photo by Steve Jurvetson Related Posts Matt Asay How Intelligent Data Addresses the Chasm in Cloud Serverless Backups: Viable Data Protection for … Cloud Hosting for WordPress: Why Everyone is Mo… Tags:#Amazon#Amazon cloud#Amazon Web Services#AWS#HP#IBM#Microsoft Azure#Oracle#public cloud Top Reasons to Go With Managed WordPress Hosting
Philly, get to know Brianna Cash. This Philly-based singer/songwriter has been generating plenty of buzz in the local music scene. So, it’s definitely time for her to shine on the Philly 360° playlist. Cash just released her EP The Journey After June to much acclaim from music makers and fans alike. This week, we’re spotlighting her single, “Kisses in the Rain.” The heavy, warm, guitar-driven track automatically makes you reminisce about summertime in the city. Cash’s raspy voice sings of the complexity of love—when you’re all in but the other person doesn’t quite get it. The production on the track is light and leaves plenty of space to get into the lyrics and the song’s laid back vibe. Also, who isn’t a sucker for a well-played guitar solo? The Journey After June was written, composed and produced by Cash. When explaining her relationship with the music from the EP, Cash explains “Each song has gotten me through a lot in my life, and I feel like they can help others as well. I love to share good music.” As a young artist, Cash already has a distinctive sound that sets her apart from others. Originally from Philadelphia, this up-and-coming singer/songwriter been working hard on the the locallive scene circuit—performing with recognizable Philly talent like Chill Moody, GoGo Morrow and Roc Nation’s Bridget Kelly. Also, just last week, Starr Island Group announced Brianna Cash as one of the performers for next week’s The Winner Circle II music showcase at Underground Arts, along with MPrynt, Jeremy Isaac & Hangover and Good Girl. At just 21, Brianna Cash has a voice and musical sensibility that are well beyond her age, yet her music remains fresh, current and relatable to today’s audiences. She’s definitey the epitome of Philly music, and the perfect representation of the heartfelt sound that has always come from our town. Make sure you catch Brianna Cash at her upcoming show and download The Journey After June now. You’ll definitely be pleased. Brianna Cash – Journey After June(Courtesy of Brianna Cash)
A $30 million building for the MU Sinclair School of Nursing has been approved by the UM System Board of Curators on Thursday.According to the University, the current building will be replaced with a new facility to focus on increasing enrollment in the school by 2020.About $12 million will come from the nursing school’s reserves. The rest of the money will come from private gifts, land sales at Sinclair Farm, and MU Health Care Contributions.(This story was last updated at 5:47 a.m. Friday.)
Facing demands for his dismissal, Indian Army Chief General V.K. Singh on Thursday said the leak of his letter to Prime Minister Manmohan Singh presenting a grim picture of the force’s defence preparedness should be treated as “high treason” and the source of leakage dealt with “ruthlessly”.The assertion by the General to trace the source of the leak came even as Defence sources said that Intelligence Bureau has been asked to inquire into leakage of the letter to the media.As tensions between him and the government escalated over the leak of his official letter to Prime Minister Manmohan Singh, Gen Singh hit back saying a “cynical approach” to tarnish his reputation should stop.In a brief statement released by Army Headquarters, Gen Singh, who is currently in Jammu and Kashmir, further said his official communication with the Prime Minister and Defence Minister A.K. Antony is “privileged” communication.”The leakage of the letter should be treated as high treason. Cynical approach to tarnish my reputation should stop. Sources of the leakage should be found and dealt with ruthlessly,” said Singh, who is due to retire on May 31.Singh’s leaked letter led to demands by political parties — Samajwadi Party, Janata Dal (United) and Rashtriya Janata Dal (RJD) — for his dismissal on Wednesday even as government and Opposition were agreed his concerns should not have come out in the open.There was a strong demand to launch a probe how the letter was leaked to the media. It was also felt that the Army chief should have first raised his concerns on the risk to the country’s security directly with the Defence Minister. The General was also accused of breach of discipline.The media leak of the letter came on top of an acrimony between the Army chief and the government since early this week over his media interview in which he had claimed that he was offered a bribe of Rs 14 crore by a retired Lt Gen for swinging a sub-standard defence deal.”I have made serious note of the observations. After consulting the prime minister and colleagues, we will take appropriate action,” Antony said in Rajya Sabha on Wednesday after members expressed serious concerns over issues of national security.advertisement
Photo by Tristan Tamayo/ INQUIRER.net(5) Kent Salado – G, Arellano Chiefs16 points, 11 assists, 1 rebound, 1 steal, 1 blockLast Week: N/AKent Salado just brought Arellano out of the depths of elimination, doing it all in the team’s 95-65 beatdown of College of St. Benilde.Fighting for survival, the speedy playmaker’s double-double night against the Blazers kept the Chiefs’ flailing hopes alive as they seek to make a late rally to the Final Four.But the job won’t be easy, as Arellano will have no other choice but to win its next games, starting on Tuesday against San Sebastian.Photo by Tristan Tamayo/ INQUIRER.net(6) Michael Calisaan – F, San Sebastian Golden Stags15 points, 13 rebounds, 1 blockLast Week: N/AAnother solid showing went down the drain for Michael Calisaan as San Sebastian suffered another loss to drop to 7-8. Ethel Booba on hotel’s clarification that ‘kikiam’ is ‘chicken sausage’: ‘Kung di pa pansinin, baka isipin nila ok lang’ Ginebra ousts TNT, faces Meralco in PBA Finals rematch It’s not for the lack of effort, though, as the Golden Stags lost a heartbreaking 60-58 thriller to JRU on Friday.With three games left in its schedule, San Sebastian should have the heightened sense of urgency in the coming weeks if they want to advance to the big dance.Photo by Tristan Tamayo/ INQUIRER.net(7) Rey Nambatac – G, Letran Knights12 points, 15 rebounds, 1 assist, 1 steal, 1 blockLast Week: N/AAlso on the losing end this week was Rey Nambatac.The senior guard tried his hardest to help Letran dent Lyceum’s armor, but in the end, the Pirates were just too much as the Knights fell, 81-69.Though defeated, Letran’s showing was respectable to say the least, with Nambatac being the engine that keeps the team going.But the 23-year-old vowed to not just churn out solid numbers, but also deliver victories, especially with games against San Beda and St. Benilde next in the Knights’ schedule. Argentine bishop appears at court hearing on abuse charges Robredo: True leaders perform well despite having ‘uninspiring’ boss PLAY LIST 02:49Robredo: True leaders perform well despite having ‘uninspiring’ boss02:42PH underwater hockey team aims to make waves in SEA Games01:44Philippines marks anniversary of massacre with calls for justice01:19Fire erupts in Barangay Tatalon in Quezon City01:07Trump talks impeachment while meeting NCAA athletes02:49World-class track facilities installed at NCC for SEA Games LATEST STORIES For the complete collegiate sports coverage including scores, schedules and stories, visit Inquirer Varsity. Winter storm threatens to scramble Thanksgiving travel plans Jordan delivers on promise: 2 Cobra choppers now in PH Finally, we get some sense of clarity two weeks away from the end of the eliminations.Lyceum and San Beda have already punched their tickets to the playoffs and JRU seems to be following suit after moving a win away from nabbing the third spot.FEATURED STORIESSPORTSSEA Games: Biñan football stadium stands out in preparedness, completionSPORTSPrivate companies step in to help SEA Games hostingSPORTSBoxers Pacquiao, Petecio torchbearers for SEA Games openingThree more teams are duking it out for the last Final Four spot, making every game for Letran, San Sebastian, and Arellano do-or-die duels.Individually, players are also doing last-ditch efforts on not just helping their respective teams progress, but also put themselves in the conversation for the end of season awards. Don’t miss out on the latest news and information. Trump to designate Mexican drug cartels as terrorist groups Sports Related Videospowered by AdSparcRead Next MOST READ View comments Last Week: N/AHope may be lost, but that won’t stop Andoy Estrella from giving Mapua its first winning streak of the season.The senior guard was clutch once again as he lifted the Cardinals to a gutsy 76-71 win over Perpetual on Thursday.Mapua may already be out of the running for the Final Four, but that doesn’t mean that Estrella couldn’t get the graceful exit he’s pining for.Photo by Tristan Tamayo/ INQUIRER.net(4) AC Soberano – G, San Beda Red Lions13 points (7-12 3PT), 2.5 reboundsLast Week: N/AAnother sharp-shooter enters this week’s list as AC Soberano unfurled a pair of standout outings in a 2-0 week for San Beda.Already considered as one of the deadliest snipers in the amateurs, the stocky guard showed how lethal he could be as he fired 5-of-7 threes to pour in 17 points in the Red Lions’ 88-51 rout of EAC.That’s exactly the performance coach Boyet Fernandez was looking for as San Beda gears towards its final elimination game against league-leader Lyceum. Hotel says PH coach apologized for ‘kikiam for breakfast’ claim For the second straight week, and fourth time overall, the energetic Lyceum forward tops this week’s rankings.Though the Pirates are facing what could be their toughest stretch yet, Perez is still keeping his numbers up as he leads his team’s bid to sweep the elimination round.Photo by Tristan Tamayo/ INQUIRER.net(2) Jed Mendoza – G, JRU Heavy Bombers16.5 points (4/10 3PT), 5.0 rebounds, 3.0 assistsLast Week: N/AChurning out consistent numbers in JRU’s Final Four drive, Jed Mendoza takes the cake in the team’s 2-0 week.The playmaker’s poise, coupled with his stupendous sniping from downtown was really a big shot in the arm for the Heavy Bombers as they move a win away from clinching a seat in the Final Four.Mendoza has shown that he can be the perfect compliment to Tey Teodoro all season long, but his biggest test will be in its next two games as JRU seeks to formalize its entry to the postseason.Photo by Tristan Tamayo/ INQUIRER.net(3) Andoy Estrella – G, Mapua Cardinals22 points (2-4 3PT), 4 rebounds, 4 assists, 1 steal With the collegiate season in full swing, INQUIRER lists the week’s top seven performers in the ongoing NCAA Season 93 men’s basketball tournament. From their game statistics to their overall impact in the outcomes, everything is weighed to come up with the best players from the week that was.ADVERTISEMENT But as for this past three game days, here are the week’s best performers.Photo by Tristan Tamayo/ INQUIRER.net(1) CJ Perez – F, Lyceum Pirates24 points, 3 rebounds, 3 assists, 3 stealsLast Week: 1CJ Perez continues to prove that he is one of the best, if not the best collegiate player in the country today.ADVERTISEMENT ‘A complete lie:’ Drilon refutes ‘blabbermouth’ Salo’s claims No more menthol cigarettes: New ban on tobacco, vape flavors
India in their first innings managed to score 465.Hello and welcome to the coverage from day four of the third Test between Australia and India in Melbourne.ScorecardAustralia (2nd innings):Stumps: Australia are leading by 326 runs at the end of day four’s play. Shaun Marsh’s unbeaten 62 really held the hosts’ innings together with the tailenders digging in. Will Australia declare at their overnight score? This Test also heading towards a interesting finish.71.6 overs: Maiden over from Umesh Yadav but Australia surely have put themselves in safe zone by taking a lead of 322 runs. Thanks to Shaun Marsh, who held Australia’s innings together. 68.1 overs: Six. Shaun Marsh goes after Ashwin and hits straight down the ground to bring up his half-century. Australia’s lead now past 300. Moreover, to make up for the lost time due to rain, play has been extended by 30 minutes.65.1 overs: Four. Johnson nails it straight down the ground. Touch short from Shami and Marsh slaps it straight. 61.2 overs: Four. Big inside edge runs down to fine leg. Marsh goes for the cut shot off Ishant but was lucky the ball missed the stumps. Australia lead by 285 runs.59.6 overs: Ishant Sharma has run in hard and bending his back, more importantly bowling in the right channel. Australia lead by 280 runs. 55.2 overs: Out. The ploy of bowling down the leg has worked for India as Umesh gets his second wicket by dismissing Brad Haddin for 13. The ball was sliding down the leg and Haddin flicks to get an edge to Dhoni. Australia six down. Snicko picked up some noise as the ball passed the bat, but nothing on HotSpot.advertisement53.5 overs: Four. Bad bowling from Umesh, full and wide. Marsh takes no half-measures and slashes hard. Australia lead by 262 runs.53.3 overs: Four. Full delivery from Umesh and Marsh drives it through extra-cover. Australia’s lead now past 250 with Shaun Marsh and Brad Haddin at the crease. Australia 189 for 5. Cloud cover now over MCG with India gunning to close out Australia at the earliest. Presently, Shaun Marsh and Brad Haddin at the crease. 45.3 overs: Out. Bad shot selection from Burns, chasing an away going delivery from Ishant Sharma. Burns goes for the cut and gets an outside edge to Dhoni behind the stumps. Ishant Sharma bowls yet another no ball as the third and final session gets underway. Tea: Australia reach 174 for 4 leading by 239 runs with Shaun Marsh and Joe Burns at the crease. India have managed to pick up wickets, but Australia have put up a decent lead on the board. Stay tuned for the final session action. 40.3 overs: Out. Chris Rogers gets played on while playing a defensive shot to Ashwin. The ball takes the inside edge and then pads before crashing to the stumps. Australia 165 for 4.Rogers slams back-to-back boundaries off Ishant Sharma and both lovely driven through the ground. Rogers on 68 with Australia leading by 228 runs.Indian bowlers are bowling to a leg stump line, especially to Chris Rogers. But Dhoni also needs giving away easy runs, meanwhile R Ashwin introduced into the attack.Chris Rogers gets a lucky reprieve as the edge falls short of Dhoni behind the stumps. Replays showed that the ball bounced short of Dhoni. India going for the kill. Shaun Marsh joins Chris Rogers at the crease as Australia’s lead go past 200. 33.3 overs: Out. The plan of placing a leg slip has worked for Dhoni. The ball bowled on the pads by Umesh Yadav and Smith falls in the trap by playing to leg slip where Rahane dives to complete a low catch. 31.5 overs: Four. Another similar kind of delivery, which meets the same result. This time Smith places it to deep square leg. 31.4 overs: Four. Poor delivery from Umesh Yadav, short and down the leg. Steve Smith pulls it to a vacant fine leg boundary. 30 overs: Steve Smith has been sedate so far for his 15-ball three runs, but has the ability to accelerate once he gets his eye in. Australia 117 for 2.Dhoni and India should be looking for wickets and can’t afford to let Australia off the hook. However, the hosts would be looking to score quickly and put in India with a target. 27.4 overs: Four. Chris Rogers reaches to his fifty in style with a boundary to the sweeper cover. This was his fourth half-century in a row. Australia now lead by 178 runs. Chris Rogers gets two boundaries off Shami – one off the outside edge to the third man and second driven through the covers. Australia 108 for 2 and lead by 173 runs. advertisement24.1 overs: Out. Ishant Sharma strikes after the extended rain delay by getting Shane Watson caught behind for 17. Length ball from Ishant and Watson going for a defensive shot gets an edge to Dhoni behind the wickets.22.2 overs: Dropped. Dhawan drops Chris Rogers at second slip off Ishant Sharma’s bowling.Rain update: Hold on guys, not so soon for the start as rain comes back again but looks like a passing shower. The Indian bowlers are warming up on the sidelines under the watchful eyes of bowling coach Bharat Arun.Good news from Melbourne, rain seems to have stopped and also the covers are coming off. The rain had stopped briefly but once again light drizzle has started with the covers coming back.Now the drizzle has picked up to proper rain in Melbourne.There has been a delay to the start of post-lunch session as drizzle stops play with the covers on. Lunch: India were all out for 465 and then Australian openers gave their team a good start before David Warner fell for 40. At lunch Australia were 90 for 1 and leading by 155 runs with Chris Rogers (33*) and Shane Watson (15*) at the crease.Day 3 round-up: Australia’s Nathan Lyon and Ryan Harris each claimed twovital late wickets to leave India on 462 for 8 at stumps on day three of the third Test, after Virat Kohli and Ajinkya Rahane shared a 262-runpartnership.India trailed Australia’sfirst-innings 530 by 68 runs after starting the day on 103 for 1. Kohliand Rahane made the most of a placed pitch at the Melbourne CricketGround to put together a fluent partnership that looked like turning the Test in India’s favour. They brought up India’s first fourth-wicketcentury partnership at the MCG off 138 balls and went on to build theIndia’s highest partnership outside Asia in 10 years.Lyon (2 for 108) ended the long partnership when he trapped Rahane lbwattempting a sweep on 147. The offspinner then dismissed Lokesh Rahul,caught at deep backward square off a top-edged sweep, dismissing him ondebut for 3. Rahul’s wicket came much to the relief of substitute fieldPeter Siddle, who dropped Rahul at midwicket two balls earlier.
UpdateThe board of directors of Mindtree have recommended bonus shares in the ratio of 1:1, subject to requisite approvals from regulatory authorities and shareholders.This will be the second bonus issue in two years.However, the stock ended with a loss of 4.51% on Monday at Rs 1,469.60 on the BSE. The directors at their meeting on 18 January to review the third quarter results, also recommended an interim dividend of 40% for the quarter ended 31 December, 2015.Mindtree reported a 2.3% growth in its dollar revenues on a sequential basis at $184.4 million for the third quarter ended December 2015. However, net profit declined 3% q-o-q to $22.8 million, the company said in a regulatory filing on Monday.The company said it has acquired Magnet 360, a salesforce platinum consulting partner, to increase its presence in the cloud-based services market.The company also announced changes at the top. The current CEO & MD Krishnakumar Natarajan has been elevated to the post of Executive Chairman to replace Subroto Bagchi, who has stepped down from his position.Rostow Ravanan will be the new MD& CEO.”This is the culmination of a year-long succession planning exercise that the Board had undertaken after carefully considering several candidates. All the changes announced today will be effective April 1, 2016,” said Apurva Purohit, independent director and chairperson of the nomination and remuneration committee of the company’s board of directors.Original storyThe shares of mid-category IT services company Mindtree were trading with a loss of 2% on Monday afternoon, ahead of the company’s board deciding on a bonus issue of shares along with its third quarter results.On 13 January, the company had informed the BSE that it will be considering a bonus issue on 18 January. The company’s previous bonus issue was in June 2014 in the ratio of 1:1.The stock was trading at Rs 1504.90 at about 1 pm, down 2.22%.For the quarter ended 30 September, 2015, Mindtree had reported revenues of $180 million, 22.6% growth on year-on-year (YoY) basis and net profit of $24.3 million, up 6.8% YoY.For the second quarter, Mindtree had declared an interim dividend of 40% or Rs 4 per share.Earlier in the day, Wipro declared its third quarter results, missing its IT revenue guidance marginally. The revenues were $1,838.1 million, as against the guidance of $1,841 million to $1,878 million. For the fourth quarter, the Bangalore-based company issued a guidance range of $1,875 million to $1,912 million, an increase of 2 to 4% over its third quarter IT revenues.The S&P BSE Sensex was trading with a loss of 100 points at 24,355. BHEL, Tata Steel, Axis Bank and GAIL (India) were gaining, while Bajaj Auto, Bharti Airtel, ONGC and Reliance Industries were dragging the Sensex down.
Close During his two-day visit, Modi will also meet his French counterpart Edouard Philippe and interact with the Indian community.IANSFrench President Emmanuel Macron on Thursday said that India and Pakistan should resolve the Kashmir issue bilaterally and that no third party should interfere or incite violence there, after Prime Minister Narendra Modi explained to him about the changes brought about in Kashmir and that it is part of India’s sovereignty.After their 90-minute long one-on-one meeting at Chateau de Chantilly, a prime French cultural heritage spot, Macron addressing the media said that: “PM Modi told me about Jammu and Kashmir, and I said that Pakistan and India should resolve the situation, and we do not want that a third party should step in or spoil the situation or incite violence.”PM Modi explained what are the developments and changes he has brought there in Kashmir, and that it is part of India’s sovereignty, and it important that there is calm, and we should take steps to ensure the situation is not allowed to turn violent.”Macron said he would speak to Pakistan Prime Minister Imran Khan on the issue and tell him that the talks should be held bilaterally.He also said that France will deliver the first of the 36 Rafale fighter jets to India next month.Modi, in his speech, congratulated France for hosting the G7 summit in Biarritz. He said in the field of India’s development, for France has a golden opportunity to participate in the areas of skill development, civil aviation, IT, space and many other spheres. “Defence cooperation is a major area of our collaboration.”Modi said the first of 36 Rafale jets will be delivered to India next month.”In technology and coproduction we will increase our cooperation,” said Modi, adding that both sides have agreed to speed up the Jaitapr civil nuclear project.”We have asked our companies to speed up the Jaitapur project and keep in mind the cost of electricity,” he added.Without mentioning Kashmir, Modi said: “For two decades we have been taking strides on the path of our strategic partnership. We are dependable partners, and during tough times have understood each others’ points of view and also backed it. President Macron and I discussed all aspects of our relationship,” he said.Earlier, Prime Minister Modi was accorded a red carpet welcome at the airport where he was received by Foreign Minister Jean-Yves Le Drian.”India and France enjoy extremely friendly ties and have been working together bilaterally and multilaterally for years,” Modi tweeted.During his two-day visit, Modi will also meet his French counterpart Edouard Philippe and interact with the Indian community. UN chief urges India & Pakistan to exercise ‘maximum restraint’ on Kashmir, recalls Simla agreement
On Monday’s Houston Matters: Tomorrow is Election Day in the Texas primary races, and there are an unusually large number of open U.S. Congressional seats this year. News 88.7’s Andrew Schneider explains why. Then, energy leaders from around the world are in Houston this week. We talk with Rice University’s Chuck McConnell about CERAWeek.Also this hour: We learn about a gathering in Houston of researchers and educators to discuss Braille, the writing system that allows people who are blind to read by touch. Despite so many technological advances, Braille is far from obsolete.Plus, we hear from Houston deli icon Ziggy Gruber of Kenny & Ziggy’s New York Delicatessen. He’s one of the subjects of the documentary Deli Man. And Jeff Balke joins us to talk Houston sports.WATCH: Today’s Houston Matters 360-Degree Facebook Live VideoWe offer a free daily, downloadable podcast here, on iTunes, Stitcher and various other podcasting apps. This article is part of the Houston Matters podcast Share
Verizon’s rollup strategy combining Yahoo and AOL hasn’t panned out the way it expected.The telco spent around $10 billion to acquire Yahoo and AOL, merging them under the Oath operating division. But the internet-media business isn’t performing as well as Verizon originally expected — and on Tuesday, Verizon said it expects to record a non-cash goodwill impairment charge of approximately $4.6 billion (pre-tax) in the fourth quarter of 2018.That write-down represents the elimination of nearly the entire goodwill balance of $4.8 billion that Verizon was carrying on its balance sheet for the Oath acquisitions. In accounting, goodwill reflects the value of intangible assets of an acquired entity.“Verizon’s Media business, branded Oath, has experienced increased competitive and market pressures throughout 2018 that have resulted in lower than expected revenues and earnings,” the company said in an SEC filing. “These pressures are expected to continue and have resulted in a loss of market positioning to our competitors in the digital advertising business.” Oath also has “achieved lower-than-expected benefits from the integration of the Yahoo Inc. and AOL Inc. businesses,” Verizon said.The Oath strategy was engineered under a previous leadership regime, including Verizon CEO Lowell McAdam, former AOL CEO Tim Armstrong and Marni Walden, EVP and president of global media. McAdam is retiring, Armstrong exited Oath this fall and Walden stepped down at the end of 2017.K. Guru Gowrappan (pictured above), formerly an executive at China’s Alibaba Group, took over the reins as Oath CEO effective Oct. 1, reporting to Verizon CEO Hans Vestberg, who stepped into the job in August. In the SEC filing, Verizon said the new leadership team — including Gowrappan and Vestberg — completed a five-year strategic planning review of Oath’s business prospects, which resulted in the downward revision for Oath’s financial projections.Oath has been losing share in the digital-ad space since 2017, as other players including Amazon have made gains. Last year, Oath represented 4.1% of U.S. digital ad revenue (around $3.6 billion); its market share is projected to decline to 3.3% in 2018 (roughly $3.7 billion), according to research firm eMarketer.Also in Tuesday’s filing, Verizon said it will take a charge of $1.8 billion-$2.1 billion in the fourth quarter of 2018 for severance costs, after around 10,400 employees accepted the company’s voluntary buyout offer initiated in September. Nearly half of those employees will exit in December, with rest to leave by June 2019.In addition, Verizon disclosed that it expects to complete a reorganization of “legal entities associated with its wireless business” in December 2018. That will result in a one-time deferred tax benefit of around $2.1 billion in Q4 of 2018, the telco said. Popular on Variety ×Actors Reveal Their Favorite Disney PrincessesSeveral actors, like Daisy Ridley, Awkwafina, Jeff Goldblum and Gina Rodriguez, reveal their favorite Disney princesses. Rapunzel, Mulan, Ariel,Tiana, Sleeping Beauty and Jasmine all got some love from the Disney stars.More VideosVolume 0%Press shift question mark to access a list of keyboard shortcutsKeyboard Shortcutsplay/pauseincrease volumedecrease volumeseek forwardsseek backwardstoggle captionstoggle fullscreenmute/unmuteseek to %SPACE↑↓→←cfm0-9Next UpJennifer Lopez Shares How She Became a Mogul04:350.5x1x1.25×1.5x2xLive00:0002:1502:15