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Articles about Margins

Crap turnover, sucky margins: TV is a 'terrible business' – Steve Jobs

Fanbois hoping to upgrade their Apple streaming set-top box to a fully fledged Apple TV set will have been disheartened by revelations in a new book claiming Steve Jobs did not support building an iTelly. According to former WSJ journo Yukari Iwatani Kane's book Haunted Empire: Apple After Steve Jobs, the fruity führer …
Jasper Hamill, 17 Mar 2014

Apple beats revenue estimates but margins are falling

Apple has beaten some of the gloomier analyst expectations in its second quarter's results filing, with revenues of $43.6bn for the quarter generating $9.5bn in profits. But margins are falling and the company warned that next quarter it may clear only $33.5bn to $35.5bn in revenues – its biggest fall in a decade. The company …
Iain Thomson, 23 Apr 2013
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Bytes' NHS deal loss hits revs – but biz margins rise

Bytes Technology Group's (BTG) top line took a hammering in fiscal 2012 ended February from the loss of a Microsoft Enterprise Agreement with the NHS – but efforts to push up gross margins boosted the bottom line. The Surrey-based reseller saw sales fall 16 per cent to £125m for the 12 months as two NHS true-ups in the previous …
Paul Kunert, 16 Apr 2012
channel

Ultrabook prices to fall as manufacturers slash margins

Manufacturers are cutting their margins to the bone, and getting a subsidy from Intel, in an effort to make ultrabooks more affordable. Acer, Asustek Computer and Toshiba may be able to put out hardware below the critical $1,000 mark, unnamed sources told DigiTimes, and by 2012 prices could drop by up to 10 per cent. Intel is …
Iain Thomson, 30 Nov 2011
Cat yawning

Bankers don't just blow cash on bonuses, they also spaff ££££s on IT

The banking industry - on average - coughed the highest margins for technology in 2013, doubtless indicating that champagne-guzzling fatcats drunk on bonuses were the ones in charge of purchasing. A survey of 200 procurement and ICT managers in 12 sectors with annual budgets over £50k and based on some 150,000 products showed …
Paul Kunert, 28 Apr 2014
management consumerisation

Ingram UK basks in rosy glow of ... successful cost-cutting

Throwing costs overboard, smaller interest repayments and walking away from lower-margin business beautified Ingram Micro UK’s bottom line in calendar ’13, as its latest Companies House filing reveals. The Milton Keynes-based biz reported turnover of £968.5m, up 2.15 per cent, or 1.4 per cent when inter-group trade (£36.7m) was …
Paul Kunert, 14 Oct 2014
management cloud8

Amazon joins Dropbox clones, hints at cloud storage margins

Amazon.com has become the latest outfit to decide copying Dropbox is a fine idea, further cloudifying its Cloud Drive with a desktop client that does the usual store 'n' synch between multiple devices while also offering some interesting insights into cloud economics. The nominally-profitable online retailer has operated Cloud …
Simon Sharwood, 02 Apr 2013

Huawei's turnover rockets upwards. Suck on that, US government

Execs at Chinese hardware maker Huawei are laughing all the way to the bank after reporting a healthy bounce in revenues and margins, despite being effectively blockaded by some governments in the West. The maker of telco kit, smartphones and enterprise networking gear today said that turnover for the first half of calendar '14 …
Paul Kunert, 21 Jul 2014
The Register breaking news

Fat margins squeeze Apple against Android

There are a million ways to over-analyse iOS versus Android market share, but one thing is often overlooked: Apple's high-margin strategy depends upon buying customers through subsidies, and may not be able to keep pace with Android's low-cost model over time. Google's Android growth - 250 per cent in 2011 - is particularly …
Matt Asay, 28 Feb 2012
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EU probe into Apple's taxes: It's NOT to do with double-Dutch-Irish anything sandwiches

As already reported here at El Reg, Apple is being investigated by the EU over its tax “deal” in Ireland. The interesting part of the whole story is that it has pretty much nothing at all to do with all of the things that people normally complain about concerning Apple's taxes. It isn't, for example, about the way that the …
Tim Worstall, 12 Jun 2014

SHOCK and AWS: The fall of Amazon's deflationary cloud

It's tough being a victim of your own business strategy, especially if you're Amazon founder and CEO Jeff Bezos. After spending twenty years applying a combination of price cuts, smart logistics, and ruthless efficiency to the publishing and music industries, Bezos' Amazon has grown into a vast company. But now the company's …
Jack Clark, 26 Jul 2014

RM: Killing our PC unit hit our top line, but our bottom line is pert

Murdering the PC building biz was always going to result in some top-line slippage for Brit specialist education tech supplier RM, but the move to shutter the production line hasn't hurt profits, quite the opposite. The Oxford-based biz today reported half-year numbers to 31 May with sales down more than 22 per cent to £92.1m …
Paul Kunert, 07 Jul 2014
Angry woman on mobile

Quit drooling, fanbois - haven't you SEEN what the iPhone 6 costs?

Given that I'm writing this before the great unveil and you'll be reading it afterwards, there's much that could go wrong with my prognostications. Tim Cook could stand up this afternoon and announce the iBurger and claim that the days of Maccy D's are over. True, that's unlikely, but in an infinite universe everything will …
Tim Worstall, 10 Sep 2014
Sad cloud

China, clouds, to kill data centre tech market growth

China's data centre kit-providers will take two per cent of the global market from current suppliers, according to newly-released Gartner research titled “Four Highly Disruptive Factors Will Challenge the Survival of Incumbent Data Center Market Vendors.” Gartner says China will advance because it is “buoyed by deep resources” …
Simon Sharwood, 15 Sep 2014

CenturyLink said to have pondered Rackspace buy

US telco CenturyLink is said to be considering an attempt to acquire Rackspace, according to Bloomberg. The newswire's report is sparse: nobody is saying anything concrete and folks familiar with the situation are the source. Let's try to guess what's afoot here. CenturyLink already operates a 57-strong global bit barn network …
Simon Sharwood, 08 Sep 2014
Microsoft campus

Microsoft beats cloud drum as revenues remain solid but flat

Microsoft reported flat revenues and shrinking profits for the third quarter of its fiscal 2014, but that was still better news than the analysts were expecting to hear. On average, the Wall Street wizards polled by Yahoo! Finance were betting Redmond would take in revenues of $20.39bn for the three months ending March 31, with …
Neil McAllister, 24 Apr 2014
arrow pointing up

Lenovo posts an INCREASE in desktop PC and notebook sales

Lenovo, the world’s largest maker of PCs, saw its profits leap 24 per cent this spring. The China-based manufacturer reported first-quarter profits of $211m, compared to $170m for the year before. That was from revenue that jumped 18 per cent to £10.39bn. Earnings per share for the giant were up, from $1.65 to $2.03 for the …
Gavin Clarke, 14 Aug 2014

VMware's high-wire balancing act: EVO might drag us ALL down

In the battle for the software-defined data centre, one of VMware's challenges is how to deliver software-defined/controlled storage without screwing up parent EMC's hardware-based storage revenues. VMware is an overall EMC Federation member along with Pivotal and the EMC Information Infrastructure (EMC II) unit. The three are …
Chris Mellor, 26 Aug 2014
box_shifting_channel

Guess who SAP's picked for UK boss? Yep, it's a distie man

Distribution isn’t typically the first port of call for enterprise software vendors looking to recruit execs, but SAP has broken the mould by tapping up the chief operations man at DCC Exertis to head up its UK and Ireland biz. Cormac Watter, COO at the tech arm of Irish conglomerate DCC — which owns Exertis (formerly trading as …
Paul Kunert, 08 Oct 2014
Atlantis on the launch pad. Pic: NASA

Death of a Salesman: Enough with the marketing already

Reflecting recently on the changes that I have seen in the enterprise IT market, more specifically the enterprise storage market, I have come to the conclusion that over the past five years or so, the changes have not been technological but rather having to do with everything around the technology and its packaging. There …
StorageBod, 09 Sep 2014
HTC

HTC looks to cheaper phones as revenues wane

HTC said that it will pull away from the premium smartphone market and focus its efforts on lower-cost handsets. The company said in its latest quarterly report, published on Monday, that the move would help the company improve its margins as HTC struggles to cope with plummeting revenues. The firm reported 42.9bn NT$ (New …
Shaun Nichols, 10 Feb 2014

The Schmidt hits the brand: Apple's iPhone 6 is a year late, scoffs smug search supremo

With Apple under fire for its bendy, broken iPhone 6es, Eric Schmidt at arch-rival Google is only too happy to put his boot in Cupertino. In an interview with Bloomberg TV, the Google chairman and former CEO needled his competitor down the peninsula. When asked what he thought about the hyped up iPhone 6 and iPhone 6 Plus, …
Shaun Nichols, 25 Sep 2014
Poster for Portsmouth Historic Dockyard

Waterfront flats plan for IBM's UK HQ as housing market goes bananas

Office space leased by IBM at its UK headquarters could become waterfront apartments – if a planning application submitted to Portsmouth City Council is approved. The North Harbour Unit Trust, which filed the paperwork, wants a ”partial change of use to 108 residential units" at Big Blue's base in the Lakeside development on …
Simon Sharwood, 21 May 2014
HTC Anatomy of an Android Update

iPhone 6: The final straw for Android makers eaten alive by the data parasite?

Today's long overdue update to Apple's iPhone line - which had been moribund for years - look set to squeeze some rival manufacturers to death. New iPhones at last means that Android, Google's smartphone middleware, will soon look attractive only for budget vendors selling into fast-growing emerging markets. The problem, in a …
Andrew Orlowski, 19 Sep 2014
SanDisk Extreme 120GB SDSSDX-120G-G25

Will SanDisk move into enterprise kit after its Fusion-io slurp?

Can SanDisk make a go of moving into the enterprise with its $1.1bn purchase of Fusion-io? It is a very different market to the consumer space and although the margins are considerably higher, it brings with it many challenges. I think it’ll depend on the go-to-market strategy that SanDisk take and I fully expect them to carry …
StorageBod, 18 Jun 2014
parallels logo schematics

Parallels to line up with Linux containers

Parallels is working to bring its automation, security and management wares to the burgeoning world of Linux containerisation. The junior virtualiser finds itself in an interesting position vis a vis Linux containers and Docker, because it has long described its own Virtuozzo product as offering containers. But Virtuozzo is …
Simon Sharwood, 03 Sep 2014
management strategy3

Arrow steers boss of enterprise wing towards ops control room

A bit of top-level reshuffling at global distie Arrow has led to the recreation of a COO position. The slot will be filled by current president of the enterprise computing wing, Andy Bryant. The last person to sit in the chief operations role was current CEO Michael Long, and the appointment should free up the big boss to tinker …
Paul Kunert, 21 May 2014

My TIGHT PANTS made my HUGE iPHONE go all BENDY!

Apple's new embiggened iPhone 6 Plus has been snapped up by buyers for, among other things, its thin case and its 5.5-inch touchscreen. But Apple didn't mention that it also appears to be the company's most flexible handset – whether you like it or not. A handful of early adopters have reported that after carrying the phablet …
Shaun Nichols, 23 Sep 2014

RM to schools: You can have third-party kit, just not from us

Education supplier RM has told customers they can buy discounted third-party hardware from Misco after finally shuttering its own reselling operation and closing the PC production order book. A hardware referral agreement was always on the cards, as revealed by CEO David Brookes last month and Misco has beaten rivals to what was …
Paul Kunert, 03 Dec 2013

HP's axe swings AGAIN: 5,000 more staffers for the chop

Shape-shifting HP is to throw thousands more workers on the employment bonfire to free up cash for R&D and sales investments, the company confirmed as it provided more background on the pending corporate dissection. The Palo Alto titan yesterday went public over plans to divide the business in two, with the PC and printer …
Paul Kunert, 07 Oct 2014
Huawei E586

Three daddy Hutch has no interest in O2

Three network owner Hutchison Whampoa has ruled out making a bid for O2 in the UK. Hutchison agreed to take O2 Ireland off Telefonica's hands last year. The €850m deal is currently pending a final session of horse-trading before approval at the EU level. In an interview with the Telegraph, Three UK's CEO Dave Dyson said "We don …
Andrew Orlowski, 01 Apr 2014
Microsoft's Sharks Cove

Microsoft bakes a bigger Pi to cook Windows slabs

Microsoft is looking for a footprint in the mini-single-board-computer market dominated by the Raspberry Pi, with the launch of the Intel Atom-based 'Sharks Cove' machine it hopes will attract developers with an interest in tablets. That's an interesting move: the tablet market is hotly contested, with vendors entering and …

Experts gathered round corpse of PC market: It's ALIVE! Alive, we tell you

The XP replacement bonanza reviving the PC market isn't yet over, with estimates suggesting that one in five biz machines out in the wilds is still running the thirteen year-old OS, an HP exec has told The Channel. After eight consecutive quarters of declining sales, the commercial PC market returned to life in the first quarter …
Paul Kunert, 22 Jul 2014
Shane Robison

Flashy Fusion-io pleads the fifth – the fifth loss-making quarter, that is

Despite revenues rising steadily, Fusion-io cannot stem its cash bleed: it lost $30.7m in the third quarter of fiscal 2014, a 54 per cent increase on the loss it recorded in the same period a year ago. Revenues from the just-ended quarter were $100.5m, 15 per cent up on the year and six per cent more than the second quarter; …
Chris Mellor, 24 Apr 2014
A boat full of Fail

Stock and awe: Top City biz takes £32m hit after software upgrade axed

A leading City firm has halted the roll-out of software that was supposed to streamline its business but became more trouble than it was worth. Specifically, £32m of trouble. Brewin Dolphin, in Smithfield St, London, alleged to investors it encountered “issues” with the "robustness" of a specialist financial application. It …
Gavin Clarke, 19 May 2014

HTC warns of likely loss next quarter

Taiwanese mobile-maker HTC has warned that it may have its first ever operating loss in the third quarter, sending its shares sliding nearly seven per cent. HTC said in a statement announcing its Q2 results that its margins had been hit by "the relatively higher cost structure, lack of economy of scale and certain provisions …
Brazil flag

Logicalis: World Cup and IBM kit drop-off hit us hard in H1

Excitable Brazilian firms initiated a network spending freeze during the World that led to a $50m drop-off in kit sales for Logicalis, the integrator’s parent company Datatec said today. Turnover for the first half of fiscal 15 ended August came in seven per cent below the same period a year ago at $714.4m, which when coupled …
Paul Kunert, 15 Oct 2014
Fight sticker

Toys fly from prams as HP rivals stoke FUD fires on its split

It's handbags at dawn in the PC market as rivals round on HP in a bid to sow the seeds of fear, uncertainty and doubt regarding the corporation’s plan to split the business in two. As world + dog knows, the Palo Alto titan is to create HP Inc to house its computer and printing businesses, and Hewlett Packard Enterprise to sell …
Paul Kunert, 09 Oct 2014
The Register breaking news

Google Wallet left on margins by ISIS tap-pay hookup

Visa, MasterCard, Discover and American Express have all signed onto US operator consortium Isis, leaving Google Wallet with just MasterCard as a payment partner. The US operator consortium – set up by AT&T, T-Mobile USA and Verizon – has announced that the four biggest payment processors will create mobile payment applications …
Bill Ray, 20 Jul 2011

How's VMware doing? Like a bull in a China shop, boasts virty beast

VMware revenues have risen 17 per cent on the back of the company signing several lucrative multi-year licensing agreements. The virtualization giant reported its second quarter of 2014 financials [PDF] on Tuesday, with revenues of $1.46bn and earnings-per-share of $0.81 both beating analyst expectations of $1.44bn and $0.79 …
Jack Clark, 22 Jul 2014
hands waving dollar bills in the air

Facebook haters, look away now: BABY SNAP site's profit is up 138%

Facebook shares have rocketed after the social network biz reported record-setting growth, revenue and margins as it wrung cash from hundreds of millions of mobile users. The Menlo Park ads website reported second-quarter revenues of $2.910bn on Wednesday, beating the $2.81bn Wall Street analysts had been expecting, and up 61 …
Jack Clark, 23 Jul 2014

Northamber grabs ladder, claims PC market burning

Northamber's colourful chairman is forecasting a "more worthwhile future" - one that is less dependent on tech hardware - but the latest financials still bear the scorch-marks of attempts put out its burning PC biz. The UK's oldest tech wholesaler has been rather more quiet since listing on AIM, which means the company no longer …
Paul Kunert, 07 Mar 2014

How Google's Android Silver could become 'Wintel for phones'

In the 1990s, Intel and Microsoft dominated the "open" PC standard – and it appears that Google now wants to do the same for its Android system, via its Silver programme. Silver has yet to be announced, but industry sources have confirmed the details to us. While the comparison between Google today and Wintel then isn’t …
Andrew Orlowski, 07 May 2014
grab_that_cash

Cisco Gold partner Cisilion boosts fiscal 2012 profits

Bottom-line boosting IT services worked well for Cisco Gold house Cisilion in its last fiscal year while hardware and software licensing margins tightened. Results just filed at Companies House show that in the year to 31 May 2012, sales at the Surrey-based network integrator grew 10 per cent to £26m, in line with management …
Paul Kunert, 08 Mar 2013
box_shifting_channel

Sales dive at UK's oldest tech wholesaler: PC crash splashes Northamber in red

UK wholesaler Northamber swung to a dramatic loss in fiscal '13 caused by a costly restructure, sliding commodity product sales and eroding margins. The Surrey-based distie – Blighty's oldest tech wholesaler – today reported an operating loss of £1.15m for the year to 30 June, compared to a profit of £97,000 in the previous 12 …
Paul Kunert, 08 Oct 2013
Apple iMac

Want a cheap iMac? TOO BAD. But you can have a slow one for $1,099

Apple is adding a lower price point to its iMac line with the introduction of a $1,099 (£899) model, which drops the entry level on the all-in-one line by $200. The company said that the new model would sport the same 21.5-inch display as the other iMac configurations while being equipped with cheaper internal hardware. Where …
Shaun Nichols, 18 Jun 2014
HP cloud

HP rides data center growth out of sludgy IT market

HP has reported better than expected financial results on the back of strong server sales and – unexpectedly – good performance in the struggling PC market. The IT company reported an earnings-per-share of $0.90 and a net revenue of $28.2 billion on Thursday for its first fiscal quarter results, beating analyst expectations of $ …
Jack Clark, 20 Feb 2014

Germany may have won the World Cup... but it dropped the ball for Computacenter

The German nation lifted the World Cup last weekend but those working for Computacenter will not have cheered the local team's performance this morning – when calendar Q2 financials were released to the City. A nasty crash in product sales across CC Germany unpicked momentum in Blighty and progress made in the French arm, …
Paul Kunert, 17 Jul 2014

Vodafone, Moneygram hook up to create mobe money MONSTER

A deal struck between Vodafone and Moneygram has added 334,000 international agents from whom you can send money to Vodafone's M-Pesa. This will allow migrant workers in around 200 countries to send funds home to the Democratic Republic of Congo, Egypt, Fiji, India, Kenya, Lesotho, Mozambique, South Africa and Tanzania. There …
Simon Rockman, 12 Feb 2014
JassyAWs

Amazon HALVES cloud storage prices after Google's shock slash

Amazon has cut its cloud prices – but not far enough to bring the cost of using its online services entirely below that of rival Google. Prices for Amazon Web Services' mainstay S3 storage will fall by about 51 per cent, said the company's senior vice president Andy Jassy at the Amazon Web Services summit in San Francisco on …
Jack Clark, 26 Mar 2014