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Nokia has suggested that they will struggle financially next year as they increase investment in research and development initiatives.
Nokia has fallen behind Huawei and Ericsson in terms of 5G innovation. In order to catch up with these companies 5G technology they need to invest a lot of money.
Their new chief exec has split Nokia into four new focused business groups that will each be accountable for their own profit and loses. The four are: mobile networks, IP and fixed networks, cloud and network services and technology focused on patent portfolio. This move is too “shorten the distance between the customer and R&D” according to Pekka Lundmark, the chief exec of Nokia.
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Ericsson has signed a contract with BT to provide 5G radio equipment in major UK cities such as London and Belfast.
This movement comes as the UK government ban Huawei 5G Technology until 2027.
Ericsson will work with BT to improve their existing 2G and 4G radio networks alongside overseeing 50% of their 5G network traffic.
BT has also recently signed a contract with Nokia to provide 5G radio equipment in the UK.
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As COVID-19 has shifted people to work from home the demand for Microsoft cloud services and Teams software has increased.
Microsoft's profits were 30% higher than expected due to the increase in demand for cloud services and the sale of lucrative software such as Dynamics 365.
However, they have suggested that profit margins will come under more strain early next year as they invest more into expanding its cloud business. They are also predicting to experience falling demand for high-margin sales of Windows operating systems in computers.
Apple could experience a decline in the use of their services as the Justice Department case against Google's anticompetitive practices starts.
The case is looking at the deal between Google and Apple to set Google as the default search engine on Apple goods.
Toni Sacconaghi, an analyst for Bernstein reckons that Apple’s share prices could fall as much as 20% if the case determines that Google can no longer be a default setting on Apple devices.
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Ant Group to close institutional order books from the Hong Kong collection as they reach record-setting dual IPO due to high demand.
The $17.2 billion Hong Kong institutional book has closed early due to the high demand. The book became oversubscribed one hour after it launched.
The Ant Group operate Alipay and is an affiliate of Alibaba E-commerce Group.
Facebook is launching into cloud-based gaming in order to position themselves in the gaming industry.
Facebook website and Android app users will be able to play games without having to download them from app stores.
Previously, Facebook has offered simple mini games through the app. Now they expect to offer more sophistication, free to play games such as puzzles and racing games.
SAP, a software company has announced that they are going to transfer to Cloud Computing as they desert potential medium-term profit targets.
Their move comes as demand has increased for could services in the pandemic.
Many are cautious about this move as business may take longer to recover under the current climate. There are also concerns that they will lose out to more innovative competitors. This uncertainty pushed shares down by nearly 20%.
Oracle are setting up two new cloud datacentres in London and Wales for disaster recovery purposes. This comes as they recently announced their commitment to expand their global datacenter presence.
The setup is billed by Oracle as dual-region government cloud, allowing them to have two separate sites that are connected with Oracles network. This is already in place and being used by public sector firms.
This move is aimed to reflect their commitment to the UK government.
Huawei are experiencing a slowdown in revenue in the third quarter as the US enforce new restrictions.
New regulation by the US has meant that companies have to obtain licenses in order to sell tech made by Huawei.
Currently, Intel is the only firm known to have a license.
This comes as Huawei releases their new smartphone which could be its last as they are experiencing shortages in sourcing chips required to manufacture goods.
UK outsourcing contracts across Europe and the EMEA have increased by 60% in the third quarter of 2020 in comparison with 2019 according to the ISG index.
ISG said that the UK and Ireland pharmaceuticals, tech and utilities sectors are continuing to invest in developing innovation such as AI, cloud and other digital capabilities.