Articles about Margins

America helps ease Ericsson's pain

Ericsson boss Hans Vestberg is breathing a sigh of relief, with America's demand for mobile broadband stabilising enough to help it beat forecasts for the second quarter. The company announced on Friday that the North American territory had finally stabilised after declining for three quarters, helping both sales and profit …
management governance3

Acer still rumbling along toward end of runway - but no sign of liftoff

Acer sales have slumped to a nine-year low, prompting senior industry figures to question if the once high-flying notebook maker is running out of runway. The Taiwanese firm has reported a 26.6 per cent year-on-year revenue decline for Q2 to NT$60.1bn (£1.24bn, $1.93bn), the lowest quarterly sales since 2006 when Acer was …
Paul Kunert, 14 Jul 2015

Bank of England CIO: ‘Beware of the cloud, beware of vendors’

The Bank of England is loosening up on IT delivery and recruitment, but not its resistance to public cloud. John Finch, CIO of the UK's central bank since September 2013, Wednesday ruled out the use of any public cloud by the bank for the foreseeable future. Cloud has however crept into the Bank’s IT margins, where it’s been …
Gavin Clarke, 25 Jun 2015

IT security spending to hit $75.4bn in 2015 despite currency issues, says Gartner

Worldwide spending on information security will reach $75.4bn in 2015 – an increase of 4.7 per cent over 2014 – despite a currency-driven price hike causing some customers to delay purchases until next year. Government initiatives, increased legislation and high-profile data breaches are the hot topics shaping the latest …
John Leyden, 23 Sep 2015
Rows of Gummi Bears in military formation. Author: Institute for Web Science and Technologies, University of Koblenz-Landau. Licensed under CC 3.0

The tyranny of choice: Why enterprise tech buyers are confused

Canalys Channels Forum The tech industry has left users punch-drunk with choice with the ever-increasing complexity of the technology offering being one reason for the recent sluggish IT market. This has exacerbated the impact of a strengthening dollar which has been behind an unprecedented rise in the price tags of tech products, Canalys boss Steve …
Joe Fay, 07 Oct 2015

Heigh ho, oh no! Politically correct panto dumps Snow White’s dwarfs

Culturally sensitive audience members attending this year's Christmas panto at Leicester's De Montfort Hall will be pleased to find that Snow White's seven dwarfs have been cut in favour of a septet of "friends". According to the Leicester Mercury*, a spokeswoman for the theatre explained that the term "dwarf" is "generally …
Lester Haines, 09 Sep 2015
Chart

Blighty's oldest tech distie feels a little punchy again

Death, taxes and Northamber’s continued sales slide once seemed three certainties in life, but no more – the UK’s oldest tech distie has grown for the first time in years and isn't losing nearly as much cash. It could well be that the new management strategy, led by commercial director Alex Phillips, son of chairman David, is …
Paul Kunert, 12 Mar 2015
Champagne Not Included

Capita cracks open the bubbly after 10 per cent sales jump

This year's huge Capita spending spree boosted the company's sales by 10 per cent to £2.28bn, according to the outsourcing giant's first-half results for 2015. During that period, the outsourcer splashed a total of £279m on 11 businesses, most recently snapping up Scottish business intel outfit Barrachd. Profits before tax …
Kat Hall, 29 Jul 2015
storage arrays superimposed on cloudy sky

Seagate scoops Dot Hill for US$694 million

Seagate has announced it will acquire storage outfit Dot Hill for US$694 million. The canned statement announcing the deal says “Dot Hill’s external storage array-based systems and software products will complement and expand Seagate’s storage systems offerings and be offered as part of Seagate’s Cloud Systems and Electronics …
Simon Sharwood, 19 Aug 2015
AMD CEO Lisa Su speaking at the firm's 2015 financial analyst day

Rip up your AMD obits: Gaming, VR, embedded chips to lift biz out of the red by 2016, allegedly

Struggling chipmaker AMD hosted an all-day meeting in New York City on Wednesday to reassure financial analysts that its product portfolio is strong and it plans to return to growth this year. During the meeting – AMD's first in three years – CEO Lisa Su said she plans to return the company to profitability in the second half …
Neil McAllister, 06 May 2015

Let's check out Dell, doom and the competition

Sysadmin blog In case you missed it: pretty much the entire IT industry's margins are collapsing. It is hitting all sectors from smartphones to desktops to servers, storage and even networking. Tech has reached "good enough" for most, and now price rules. This is Dell's world, and now it's packing EMC ammunition. Software-defined-whatsits …
Trevor Pott, 15 Oct 2015

What? EMEA PC sales dropped by HOW much?

With tech distributors and retailers suffering PC inventory indigestion in EMEA, shipments into the region during Q2 were always likely to be bad, and they didn’t disappoint. Some 18.6 million desktops, notebooks and premium ultra mobiles found their way into outlets in the three months, that is down 15.7 per cent, or 3.47 …
Paul Kunert, 10 Jul 2015
VW Scirocco logo

Exposed Volkswagen 'n' pals get 2 more YEARS to sort out emissions

Despite the Volkswagen emissions cheating scandal and a pledge as far back as 2010, the European Commission will not impose real world emissions limits on car makers until 2017. The Commish has said for years that it wants to crack down on deadly nitrogen oxide (NOx) emissions, but the exposure by the US Environmental …
Jennifer Baker, 08 Oct 2015
sheep_herwick_648

Make room, Cisco's punters flocking to ACI ... yep, all 150 of them

Canalys Channels Forum One hundred and fifty customers across the globe have taken a seat on Cisco's Application-Centric Infrastructure bandwagon that started rolling 15 months ago, we can reveal. ACI – Cisco's answer to software-defined networking – is a programmable Ethernet Fabric that couples software and hardware. The product was initially …
Paul Kunert, 28 Oct 2015

Insight becomes latest victim of global currency conundrum

Not a month passes without US-based tech suppliers bemoaning the ruinous impact of unfavourable for-ex rates on their financial well-being, and Insight Enterprises is the latest to do so. The Microsoft enterprise licensing house reported sales of $1.42bn for Q2 that were marginally up year-on-year but would have risen seven …
Paul Kunert, 04 Aug 2015
brontosaurus

Buy a Tesla for the good of Australia, say country's dino-burners

Australia's energy industry, overwhelmingly dominated by the burning of dinosaurs, has decided the country needs more electric vehicles (EVs). Facing something of a crisis in demand, with renewables (particularly solar power) severely denting the lavish margins wholesalers formerly expected during daytime peaks, the Energy …

BT bemoans 'misconceived' SUPERFAST broadband regs

Ofcom is attempting to clip BT’s financial wings by proposing to regulate the margins it banks from superfast broadband sales to consumers, essentially to prevent the firm from future profiteering and elbowing rivals out of the market. The Brit telco monopoly is the largest provider of fibre broadband services over its network …
Paul Kunert, 15 Jan 2015
Two_MQs

All Dell breaks loose in latest Gartner disk array magic quadrant

Dell has become a top-four player in disk arrays, as IBM and NetApp are left behind in Gartner's 2015 Magic Quadrant for general purpose disk arrays. Two_MQs Gartner Magic Quadrants for general purpose disk arrays – 2014 (left) and 2015 (right) ... Click to enlarge Nimble Storage enters the leaders' quadrant for the first …
Chris Mellor, 22 Oct 2015

AT&T: Sorry vendors, SDN is eating your lunch

In news that will chill purveyors of big networking iron, AT&T last week told its earnings call it reckons its software-defined network (SDN) rollout will cut its capital expenditure. While reports last week focussed on the company's revenue (US$33 billion for the second quarter), margins (36.3 per cent), and operating income …
NetSuite CEO Zach Nelson

Sorry about that profit, says NetSuite, our costs should be higher

NetSuite CEO Zach Nelson has attributed last week's estimates-busting results are partly due to enthusiasm for cloudy software, but also partly due to difficulties finding people to hire. The company hauled in US$143.7 million for the quarter, a small matter of 34 per cent more than the corresponding quarter in 2013. But the …
Simon Sharwood, 28 Oct 2014
Microsoft Lumia 640 Windows Phone

SatNad failure as Lumia income drops over 50% at Microsoft

Analysis Despite focusing exclusively on budget phones in 2015, Microsoft's Lumia revenues fell ... a lot. Year-on-year revenue declined 54 per cent in full year Q1 2015. We have to extrapolate the volumes from revenue, but assuming the Average Selling Prices (ASP) and the profit margin remained the same, that translates as shipments …
Andrew Orlowski, 26 Oct 2015
Exit sign. Pic:  Lukas Kästner

Cisco exits set-top box biz, sheds US$1.8bn of revenue

Cisco's Connected Devices Division, a purveyor of set top boxen for service providers, is off to Europe having been acquired for €550 million / US$600 million by Technicolor. The French company, formerly Thomson (as most of its customer premises equipment/set-top boxes are branded), will take on the division first created by …

How do you sell fewer hard drives but make more profit? Let's ask ... Western Digital

Western Digital's third quarter of fiscal 2015, ended April 3, raked in sales of US$3.55bn – that's 4.1 per cent down on the year-ago quarter, and 8.7 per cent less than the previous quarter. It banked a profit of US$384m; that figure was US$375m a year ago, so that's a 2.4 per cent gain. WD recorded a profit of US$460m in the …
Chris Mellor, 29 Apr 2015
The Register breaking news

Fat margins squeeze Apple against Android

Open ... and Shut 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
BBC Testcard

Vodafone Pay TV launch rumoured for November

Vodafone is gearing up to offer a pay TV service, the latest global telco to move into the four-play arena, and the scuttlebutt is that consumer offerings will go on sale in November. Vodafone has offered broadband before but sold the business to BT’s Plusnet in 2007. The mobile phone giant announced that it would re-enter the …
Simon Rockman, 16 Mar 2015
sap security vulnerabilities

Cloud-engorged SAP's profits nosedive by a QUARTER

Profit plunged by 23 per cent to €413m (£296m) at Teutonic wannabe cloud-purveyor SAP for its first quarter as the company attempts to move away from its traditional on-premise software products. Revenue increased 22 per cent to €4.5bn (£3.2bn), compared with the same period last year. Cloud subscriptions and support revenue …
Kat Hall, 21 Apr 2015
Huawei HQ

Huawei bellows big revenue jump thanks to brisk 2014 phone sales

Huawei – which was backed by Britain last week despite repeated claims that the Chinese company's network kit could endanger national security – saw a 33 per cent leap in net profit for 2014. The privately held, employee-owned telecoms giant reported its full-year results this morning, when the firm's rotating CEO Ken Hu …
Kelly Fiveash, 31 Mar 2015
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
Nvidia GeForce

Pray harder for AMD

Graphics and mobile chip kingpin Nvidia posted unexpectedly solid results for the second quarter of its fiscal 2016 on Thursday and said it projected next quarter's numbers to be strong, as well. Total revenue for the three months ending on July 26 was $1.15bn, which trounced even Wall Street's most optimistic expectations. …
Neil McAllister, 06 Aug 2015
shutterstock_213172012

Visa mobilises its money out of mobile money firm Monitise

Once a stock market darling, mobile money expert Monitise is to lose Visa Europe as a major shareholder. The finance multinational has announced that it will “reduce its shareholding over time”. Visa Europe has steadily bought into Monitise, spending £2.1m in August 2012 when shares were around 30p, £15.6m in August 2013 when …
Simon Rockman, 08 Jul 2015

Zuk it and see: China’s stealth seduction of Western phone buyers

It sounds like a Facebook tribute, but “Zuk” is one of the more significant smartphone ventures to launch this year. It's another sign that Chinese manufacturers are threatening to leave high-priced big-brand flagships stranded. Given that the mighty Lenovo is behind Zuk, it’s one should probably be on your radar. What the …
Andrew Orlowski, 26 Oct 2015

Computacenter warns of squeaky bum time for Brit services contracts

It is edge of the seat time for Computacenter UK’s services peeps - they are preparing to bid on a ream of contracts that will “determine” if the recent good times keep on rolling. The services-based reseller issued a trading update this morn, giving an account of the good, the less good and the ugly for Q3; it was talking …
Paul Kunert, 21 Oct 2015
Motorola Moto G 4G

Vodafone UK rocks the bloat with demands for vanilla Android

Vodafone UK wants to sell Android phones which are as close to stock (as Google intended) as possible, and the red company's favourite device for this is the Moto G. Writing on the Vodafone company blog, Motorola senior marketing director Marcus Frost unsurprisingly extoled the virtues of the new phone – but he's not just …
Simon Rockman, 25 Aug 2015

Citrix CEO retires as activist investor Elliott snatches the wheel

Citrix chief exec Mark Templeton has said he will retire, as activist investor Elliott Management takes a larger role in the company. Templeton joined Citrix in 1995 and has served as its CEO since 2001. But hedge fund Elliott has been among the most vocal in calling for change following what it describes as years of …
Neil McAllister, 29 Jul 2015

Northamber: Windows 10 killed our sales momentum

It is an end of an era for the tech channel as Northamber chairman David Philips – the godfather of distribution – confirmed he is stepping back from operations and is seeking a new leader of the company. The colourful veteran confirmed today he is “closing in on the age of 71, so it is clearly time I commence the process to …
Paul Kunert, 23 Oct 2015
Plug, image via Shutterstock

Dell CEO: Very few will survive the PC bloodbath

Texan Mick, founder and CEO at Dell – the PC company which took his surname – reckons in five to seven years it will be game over for most of the stragglers currently selling computers. The three biggest shifters of such tin – Lenovo, HP and Dell – already account for more than 50 per cent of shipments globally, but that will …
Paul Kunert, 08 Sep 2015
IMation_Q3fy2014

Scalable storage outfit Imation SLIDES BACK after recovery

Analysis Formidably troubled storage outfit Imation, the company dragged down by delayed exits from the tape and optical media markets, has recorded a third quarter loss 76 per cent worse than last year on revenues just nine per cent down on the year. The third 2014 quarter saw revenues of $175m, compared to $178.6m a quarter ago and $ …
Chris Mellor, 04 Nov 2014

PeopleSoft p0wnage possible with a day of GPU brute-forcing

ERPScan researcher Alexey Tuyrin says hundreds of Oracle PeopleSoft users, including banks, are running publicly-exposed services that are open to a token-plundering vulnerability. The penetration tester says a breach could be worse than that of the Office of Personnel Management which recently lost millions of records in a hack …
Darren Pauli, 02 Jul 2015
paper cut-out men holding hands in linked semi-circle

Legal biz Irwin Mitchell outsources majority of IT to Esteem

Law firm Irwin Mitchell is to outsource IT operations to Esteem from Monday, with the “majority” of staff expected to be TUPEd across, although some are refusing to relocate 200 miles to the Woking call centre The desktop support function was already contracted to Esteem at the end of 2012 for £1.7m with 15 people joining the …
Paul Kunert, 13 Apr 2015

Seagate belches, chomps down another greenback burger

Seagate’s second quarter revenues for 2015 rose 4.8 per cent over the year to $3.7bn while profits more than doubled to $933m, up from $428m a year ago. Last quarter’s revenues were higher, at $3.8bn, yet profits were $381m. This meant they made up just 10.1 per cent of its revenues compared to 25.2 per cent profit in the latest …
Chris Mellor, 26 Jan 2015

Superfish: Lenovo ditches adware, but that doesn't fix SSL megavuln – researcher

Lenovo is attempting to defuse controversy over its pre-installed Superfish crapware – which appears to have run man-in-the-middle attacks against consumers in order to sling ads – by saying it has discontinued use of the visual-recognition technology on new laptops and promising to review outstanding concerns. Superfish …
John Leyden, 19 Feb 2015
Uber launch party by https://www.flickr.com/photos/5chw4r7z/ CC2.0 sharelalike attribution https://creativecommons.org/licenses/by-sa/2.0/

Why does Uber keep its drivers' pay so low? Ex-CFO: 'Cos we can'

In an interview on Sunday's episode of Wall Street Week, Mike Novogratz, principal and director of investment firm Fortress Investments, who was speaking about corporate greed and income inequality, explained his thoughts with an anecdote about former Uber CFO Brent Callinicos. Callinicos, who had previously been a bean- …

Yahoo! boss! Mayer! promises! shake-up! in! bid! to! save! her! job!

The latest effort to turn around internet stalwart Yahoo! appears to have stalled again with a disappointing earnings report. Shares dropped 2 per cent on the news that the company had missed its third-quarter targets with 15 cents a share in income and $1.23bn in revenue. The markets were expecting 17 cents and $1.26bn. …
Kieren McCarthy, 20 Oct 2015

Hyper-convergence? I believe – just not like this

There's a horrible, horrible thing I get asked at least three times a week: "What is hyper-convergence?" This is like an icepick into my soul, because I consult with almost all of the current hyper-convergence vendors in one form or another and the truth is, “hyper-convergence” is a meaningless marketing term as wishy-washy and …
Trevor Pott, 04 May 2015
Graph of US dollar going up CC 2.0 https://www.flickr.com/photos/68751915@N05/ 401kcalculator.org.

Surging US dollar curbs global IT budgets

Global IT spending is projected to fall 5.5 per cent to total $3.5tn in 2015 - but only because of the strong US dollar. Translated into constant currency, the worldwide IT market will grow 2.5 per cent compared with 2014, according to Gartner’s latest IT spending projections. So will US vendors raise prices outside their own …
Drew Cullen, 30 Jun 2015
Smartphones

Secretive Chinese smartphone maker Xiaomi gets TALKY over HUGE sales

Chinese tech giant Xiaomi racked up 74.3bn yuan ($11.97bn) in pre-tax revenue last year, the company's president Bin Lin said today. The vendor apparently had a mega 135 per cent growth spurt in 2014, after it sold more than 61 million smartphones during the 12-month period. Xiaomi's co-founder didn't offer any details on …
Team Register, 04 Jan 2015
New World Computing Inc, King's Bounty

Alternative Networks: CEO retiring, long live...

Alternative Networks will wave goodbye to long-serving CEO Ed Spurrier at the end of this fiscal year in September, with current chief operations man Mark Quartermaine waiting in the wings for the top job. The LSE-listed comms and tech outfit confirmed the succession plans today as it outlined half-year numbers for fiscal 2015, …
Paul Kunert, 03 Jun 2015
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
Firefox developer edition

All hail Firefox Dev Edition 44 – animations, memory and all

Review When Mozilla released the first Firefox Developer Edition there wasn't much difference from the regular Firefox release, but all that changed recently. Firefox DE 44, delivered in early November, packs in a wealth of new features and improvements, particularly for anyone working with HTML5 and CSS3 animation. The Developer …
LG G4

LG glances at red-stained bank account, crosses fingers for G4

South Korean electronics giant LG is putting on its best face after its bottom line plunged by two thirds. LG said that the drop in currencies was the main reason its net income for the first quarter of 2015, ended March 31 [PDF], stood at 38bn Korean Won (US$35m) compared to 98bn (US$91.5m) from the year-ago period – a 61 per …
Shaun Nichols, 29 Apr 2015