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Samsung is betting big (really big) on new tech

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Samsung is betting big (really big) on new tech

How big, you ask… how about ‘$22 billion big’ and that money is going straight into emerging technologies. Their bets will be on things like artificial intelligence and 5G. And even more specifically, their efforts will focus on automotive electronics and biopharmaceuticals.

They will start by… hiring about 1,000 artificial intelligence researches around the world and trying to fit in with Verizon, AT&T, and the other “cool kids” of 5G. Both technologies are critical to the future of autonomous driving vehicles, according to Samsung.

There is hope… for a company that has had lackluster sales and slowing demand for their memory chips. Ideally, the $22 billion put into emerging tech will be enough to drive growth in areas the company is not all too familiar with. With the money Samsung makes, they will blow away their competition and cause people to forget about recent scandals – or at least that is the plan, right?

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Why Gillette should “fear the beard”

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Why Gillette should “fear the beard”

Full beards, goatees, and stubble… are not only fashionable, but they are acceptable just about everywhere. This is a societal shift we are seeing because it’s not 1960 anymore – you can have stubble and go out in public without being judged. The average number of shaves per week has gone from 3.7 to 3.2 over the last ten years (because that is something people keep track of).

And I know what you’re thinking… “3.7 or 3.2 – who cares?” Gillette cares because they have seen razor sales drop each of the last three years. And there are billions of men taking up space on this Earth (and shaving), so it does add up. Other than changing a fashion trend, what is Gillette to do?

There is also plenty of competition… especially from Dollar Shave Club, a company who seems to understand that you can’t expect people to pay an arm and a leg for “the best shave ever.” But Gillette is determined to follow the new trends and create products that are suitable for all types of facial hair. Proctor and Gamble (Gillette’s parent company) acquired The Art of Shaving in 2009 which offers products ideal for the likes of Grizzly Adams all the way down to Howie Mandel.

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Uber’s “other” biggest competitor is moving in

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Uber’s “other” biggest competitor is moving in

We all know Lyft as Uber’s most prominent competitor here in the United States, but Ola is Uber’s biggest competitor in India. So now, Ola may become a formidable ride-hailing firm in the United Kingdom, as well. The company has obtained licenses in Manchester and South Wales and plans to have people to ‘Ola-ing’ nationwide by the end of 2018.

London is where it’s at… and this is an area where Uber has struggled to maintain their license to continue operations. However, with 3.5 million riders and 45,000 drivers in the market, it is indeed worth fighting for. As it stands, London has declined to renew Uber’s license due to policy concerns.

And look out… because Ola is stepping outside of India to challenge Uber for the second time. The Indian ride-hailing firm moved into Australia last February and now has 40,000 drivers in seven cities there. Is it only a matter of time before we can call for an ‘Ola’ in North America? Uber hopes that isn’t the case – they have enough fires to put out, currently.

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Elon Musk CAN’T possibly be serious – can he?

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Elon Musk CAN’T possibly be serious – can he?

If anyone could use less attention… it would be Elon Musk and Tesla. And yes – he is dead serious about taking Tesla private as many of you have probably heard. Every other day we hear about the company spending too much cash and failing to meet production targets. With such news, shares rise and plummet drastically, often on the same day. Tesla is also one of the most heavily shorted companies there is (i.e., everyone wants them to fail).

It is up to the investors… who need to vote on this matter for it to come true. There are also funding considerations – it would cost about $71 billion to go private. However, Musk is claiming to have financing secured for the deal (but no one knows who will be doing the financing).

You will still be able to invest… if the company does go private. Tesla would set up a special purpose fund to keep you invested. There is just one caveat – you can only buy and sell shares once every six months. With share prices that have swung from $244 in April to $390 in September, who knows what your investment will be worth over the course of six months. Stay tuned because this is one story that we will be watching very closely…

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Apparently, nobody watches their weight anymore

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For that reason… Weight Watchers was down close to 15% on Tuesday. However, is this something investors should worry about? Probably not. Moreover, we have seen this scenario play out since the dawn of time – people make New Year’s resolutions to be healthier, and people abruptly dump said resolutions within a few weeks. Investors should expect a dip in subscribers between the first and second quarter every year, without exception.

Here is what matters… and that is the actual money, otherwise known as profit. Weight Watchers beat forecasts and raised their expectation to make even more this year. Even with the drop on Tuesday, shares of the company are up 80% for the year. And they are up 1,000% since Oprah invested $43 million.

It’s all about wellness… and not how much weight you lose (but really, everyone is in it for the weight-loss). In addition to Oprah, other “weight watchers” that serve as ambassadors include Kevin Smith, DJ Khaled, and Eric Greenspan. Here is to hoping that pounds are the only thing lost with Weight Watchers going forward…

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The “new-and-improved” Snapchat results are in…

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The “new-and-improved” Snapchat results are in…

Snapchat daily users were down… for the first time, but the company still saw a 44% increase in revenue compared to this time last year. This is mixed news for the company because the app still lost about 3 million daily users. Those users represent a 2% drop in daily users compared to the first quarter. The company’s 188 million daily users also came in at 5 million short of Wall Street’s expectation.

Snap is blaming it on… the app redesign. The redesign may have contributed, but let’s be real – more and more people are using Instagram for the same purpose. In fact, 400 million people use IG’s Story feature, which more than doubles Snapchat users. However, hopefully, the redesign will be worth it because Snap’s future depends on it.

On the bright side… old(er) people enjoyed the redesigned app. Snap reported that new user retention for people over 35 had grown more than 8% since the overhaul. Overall, it looks like the second quarter was filled with frustration and some optimism thrown in for Snapchat. The company was trading at around $13 per share ahead of the earnings report – a far cry from the $21 they were once going for.

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MoviePass has some good news and some bad news…

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MoviePass has some good news and some bad news…

It seems that every day… MoviePass makes their offerings less attractive, and now subscribers are allowed just three movies per month. Fewer monthly films mark the latest move by the cash-strapped company to spend less, and the change will take effect on August 15. According to the company, 85% of users see less than three movies per month.

The good news… is that MoviePass will put up to $5 toward your ticket if you must see more than three movies per month. Additionally, they have decided to keep subscription prices at $9.99 rather than the proposed $5 increase we heard about last week. Surge pricing will also be suspended.

So, it is mostly good news… for subscribers because only 15% will be impacted by this change. Although that 15% may be the company’s biggest advocates (seriously, who goes to the movies that often!?). As for everyone else, they can carry on as usual without the increased fees. The stock was up a whopping two cents per share after this announcement. Oh, MoviePass – you never cease to entertain us…

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Here’s how Avis can now give you a ‘Lyft’

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Here’s how Avis can now give you a ‘Lyft’

We talked about… how Avis has been adapting to remain relevant in an industry that could be in jeopardy. Well, the company took another step to keep up with the times with its partnership with the ride-sharing service we know as Lyft. Lyft drivers will soon be able to reserve a car from Avis in the Lyft app.

Lyft is the… exact type of business that Avis should be worried about. However, the company is finding a way to coexist with them by reaching the so-called “gig economy.” Avis already has a stake in the ride-sharing business with their acquisition of Zipcar and partnership with Waymo.

Lyft will benefit, too… because now drivers can have better options when choosing a vehicle to work with. The rental car options should lower any barriers to entry that may have existed for drivers that could not afford a car to provide the service. Shares of Avis Budget Group are down 20% on the year, but they certainly aren’t taking it quietly.

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Mobile phone voting – what could go wrong?

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Blame West Virginia… if this idea does go horrifically wrong because they are the ones introducing it. However, you cannot fault them for trying, and it is for a good cause. That cause is giving West Virginians serving overseas an easier time voting. And if anyone deserves to vote it is those guys (and gals).

Secretary of State… Mac Warner and Voatz, the company behind the voting app, are insisting that everything will be just fine. To use the app, users must register with a photo of their government-issued ID and a selfie-style video of their face. Once approved, voters can do what they do best – and that is to vote, of course. The ballots will also be anonymous and recorded using, what else, but blockchain technology.

But not everyone is on board… and Joseph Lorenzo Hall, the chief technologist at the Center for Democracy and Technology went as far as to call it “a horrific idea.” And even if the app is secure, there are many risks added to a process that hasn’t been very secure in recent memory. Nevertheless, if West Virginia wants to be our guinea pig for mobile voting, I say let them have at it – and let everyone know how it goes.

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No amount of water could ‘douse’ SeaWorld shares

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No amount of water could ‘douse’ SeaWorld shares

People are finally coming back… to SeaWorld five years following the release of “Blackfish” in 2013. The documentary called into question the company’s treatment of animals and related deaths of trainers. So what brought these people back? It could be the strategic pricing strategy, new marketing initiatives, new rides, or perhaps many have forgotten why they stopped going back in 2013.

At any rate… the company was delighted by the increase in attendance, up 4.8% compared to last year. Unsurprisingly, shares of the company were up 16.9% after the company reported increased second-quarter revenue of 4.9% compared to the same time the previous year. The stock is up more than 80% this year alone.

To keep it going… SeaWorld is planning promotions for Halloween and Christmas. The company has also agreed to stop breeding killer whales and using them in shows in San Diego…but they continue to do so elsewhere. But love ‘em or hate ‘em – SeaWorld made a big splash in the markets today!

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