PACIFIC for April 23: Google's Facebook turn

What's Next: Robots: Amazon is ramping up development on Vesta, an in-home robot that moves around the house...

Posted: Apr 23, 2018 6:06 PM
Updated: Apr 23, 2018 6:06 PM

What's Next: Robots: Amazon is ramping up development on Vesta, an in-home robot that moves around the house and provides Alexa-like features, per Bloomberg. Vesta is named after the Roman goddess of the hearth, home and family, and could be in your home by 2019. Amazon says it won't comment on "rumors and speculation."

---

Today's PACIFIC

Good morning. Welcome to Earnings Week. Monday: Alphabet ... Tuesday: Verizon ... Wednesday: Facebook, Twitter, AT&T, Comcast, Viacom, Qualcomm ... Thursday: Amazon, Microsoft, Intel, Baidu, Starbucks.

What else:

- DOJ vs. AT&T: Justice Dept. calls rebuttal witnesses; closing arguments by the end of the month. Our colleague Hadas Gold is in the courtroom.

- Cambridge Analytica: Whistleblower Christopher Wylie testifies before the House; Facebook CTO Mike Schroepfer appears before British parliament.

- White House Correspondents' Dinner weekend: We'll be in Washington for the parties, brunches, gossip, scuttlebutt, etc.

Sign up for PACIFIC: The new CNNMoney newsletter about the center of change and innovation

---

Alphabet Soup: Google: The New Facebook

What's Next: Alphabet under the klieg lights. The Google parent company collects a huge amount of user data and, like Facebook, hosts a lot of controversial content, yet it has largely escaped scrutiny while Mark Zuckerberg gets put through the ringer.

The mounting scrutiny on Alphabet and Google could force Larry Page et al to face the music.

"Google gathers more personal data than Facebook does, by almost every measure-so why aren't we talking about it?" by WSJ's Christopher Mims:

- "Google Analytics is far and away the web's most dominant analytics platform. ... Google Analytics tracks you whether or not you are logged in."

- "Google also is the biggest enabler of data harvesting, through the world's two billion active Android mobile devices."

"YouTube ran ads from hundreds of brands on extremist channels" by CNN's Paul P. Murphy, Kaya Yurieff and Gianluca Mezzofiore:

- CNN's investigation found that ads from over 300 major brands and five US government agencies ran on YouTube channels promoting Nazism, white nationalists, pedophilia, North Korean propaganda and more.

- Yurieff emails: "Major brands - such as Amazon, Hilton, Hershey, Netflix and Under Armour -- told us they have guardrails and filters in place to prevent their ads from appearing against content that doesn't align with their values. But it happened anyway."

- Will it come up on the earnings call?: Yurieff notes Google CEO Sundar Pichai said on the last earnings call that YouTube was working to stop abuse on its platform after criticism from advertisers, content creators and users.

Meanwhile ... Pichai is set to cash in $380 million this week when the shares he received before a 2014 promotion vest on Wednesday.

---

The old Facebook

Facebook spent more on lobbying in Q1 2018 than ever before, per Recode's Kurt Wagner:

- Facebook "forked over $3.3 million to steer lawmakers on privacy, security, online advertising, and transparency efforts, among other issues."

Facebook ads VP Rob Goldman has a new post explaining what data advertisers have on you:

- Goldman argues that users are not the product, seeking to rebut the favored narrative of Facebook's critics and competitors.

---

What SFO-JFK is reading

NYT's Nellie Bowles on Facebook's Campbell Brown: "Since joining [Facebook] in 2017 to repair its frayed relationship with the news media, many have considered the former CNN and NBC anchor as as little more than window dressing. Others see her as a more insidious figure - a telegenic personality with close ties to conservative figures who can offer Facebook's outreach the veneer of journalistic credibility. ... But a year and a half into her tenure, Ms. Brown ... is emerging as a fiery negotiator for her vision of Facebook as a publishing platform."

Sign up for PACIFIC: The new CNNMoney newsletter about the center of change and innovation

---

Going Public: Tencent: $25 billion IPO?

What's Next on Wall Street: "Tencent Music Entertainment Group, China's largest music-streaming company, is preparing what would be one of the biggest technology IPOs ever," by WSJ's Maureen Farrell and Julie Steinberg:

- "The initial public offering, potentially coming in the second half of 2018, would be one of the largest deals of the year and ... could value the business in excess of $25 billion."

- "It would be the fourth-biggest U.S.-listed tech IPO on record ..."

- "Investors are excited about Tencent Music because of its connection to Tencent Holdings ... as well as its position in the marketplace."

The Big Picture: Chinese companies' power on Wall Street is driven in large part by the sheer enormity of the Chinese population.

- Tencent Music has 700 million monthly active users.

And you thought Amazon surpassing 100 million Prime members was impressive. Meanwhile, Spotify has around 71 million subscribers while Apple Music has just over 40 million.

---

Fallen Apple: HomePod orders halved

My colleague Jordan Valinsky emails:

Apple is cutting orders of its HomePod speaker from half a million per month to 200,000 amid disappointing sales, per DigiTimes.

By that measure, Apple will only sell around 2 to 2.5 million HomePods in its first 12 months of availability.

Why isn't HomePod selling? Our best guesses:

- It's more expensive than other home assistants ($349).

- It has far fewer features than other home assistants.

Sign up for PACIFIC: The new CNNMoney newsletter about the center of change and innovation

---

What Elon Musk is reading

@KanyeWest: "I really love my Tesla. I'm in the future. Thank you Elon."

Flashback: Musk at SXSW, when asked who inspires him: "Kanye West, obviously."

---

Going Vertical: How DOJ vs. AT&T ends

My colleague Hadas Gold explains how Judge Richard Leon can rule in the DOJ-AT&T case, which will hear closing arguments at the end of the month:

- "Leon has more than a binary option ... [he] can essentially force a third option, where he tells AT&T and Time Warner he'd allow the merger to proceed but only if they made certain changes to the transaction."

- "One possibility ... could be an adjustment to the arbitration offer that ... guarantees Turner will arbitrate any contract disputes with distributors, like a cable company or a new streaming service, and guarantees against blackouts in which distributors lose access to certain channels during an impasse in negotiations."

- "Earlier this month, Leon asked one witness ... whether he'd be open to an arbitration offer that was not as 'blind' and 'mutually beneficial, mutually fair.' That led many observers to wonder if Leon was leaning toward approving the merger, but with an altered arbitration agreement."

The Big Picture: The hold up on AT&T-Time Warner is a hold up on all media M&A. What Judge Leon decides will set the terms for consolidation strategies for years to come, including media acquisitions by big tech.

Sign up for PACIFIC: The new CNNMoney newsletter about the center of change and innovation

---

Talk of Tinseltown: What Netflix execs make

- CEO Reed Hastings: $24.4 million in 2017, up 5% from 2016.

- CCO Ted Sarandos: $22.4 million in 2017, up 18.5% from 2016.

- Reminder: Netflix says it will spend up to $8 billion on original and licensed content in 2018 and has an estimated $20+ billion in debt.

---

What Next: "Letter from Tokyo: Japan's Rent-a-Family Industry," by The New Yorker's Elif Batuman: "People who are short on relatives can hire a husband, a mother, a grandson. The resulting relationships can be more real than you'd expect."

See you tomorrow.

Want this in your inbox every morning? Sign up for PACIFIC: The new CNNMoney newsletter about the center of change and innovation

Terre Haute
Few Clouds
79° wxIcon
Hi: 83° Lo: 55°
Feels Like: 80°
Robinson
Clear
78° wxIcon
Hi: 83° Lo: 53°
Feels Like: 79°
Indianapolis
Broken Clouds
75° wxIcon
Hi: 80° Lo: 60°
Feels Like: 75°
Rockville
Few Clouds
79° wxIcon
Hi: 81° Lo: 54°
Feels Like: 80°
Casey
Clear
79° wxIcon
Hi: 80° Lo: 53°
Feels Like: 81°
Brazil
Few Clouds
79° wxIcon
Hi: 81° Lo: 56°
Feels Like: 80°
Marshall
Few Clouds
79° wxIcon
Hi: 83° Lo: 53°
Feels Like: 80°
Rain showers expected overnight
WTHI Planner
WTHI Temps
WTHI Radar

Latest Video

Image

Sunday Morning Forecast Update

Image

Saturday Evening Forecast

Image

Saturday Morning Forecast Update

Image

Barr-Reeve vs Loogootee 9-25-20 ITZ

Image

Harrison vs Vin Lin ITZ 9-25-20

Image

West Washington vs North Central ITZ 9-25-20

Image

Riverton Parke vs Cloverdale ITZ 9-25-20

Image

Linton vs North Daviess ITZ 9-25-20

Image

Indy Lutheran vs Northview ITZ 9-25-20

Image

OV vs Sullivan ITZ 9-25-20

WTHI Events

 

Illinois Coronavirus Cases

(Widget updates once daily at 7 p.m. CT)

Confirmed Cases: 288773

Reported Deaths: 8832
CountyConfirmedDeaths
Cook1430845203
DuPage17393560
Lake16794487
Will13917378
Kane13065326
St. Clair6574190
Winnebago5848149
Madison5666136
Champaign464520
McHenry4567118
Peoria345949
McLean326023
Rock Island297176
Kankakee273177
Unassigned2538244
Sangamon240145
Kendall199725
Tazewell174923
LaSalle170157
DeKalb156738
Macon150344
Coles145030
Williamson139045
Jackson125924
Clinton115320
Boone111323
Adams111210
Randolph93711
Effingham8653
Vermilion7454
Whiteside73820
Ogle6956
Monroe67315
Grundy6675
Henry6645
Morgan65523
Knox6483
Bureau63711
Jefferson60038
Marion5480
Macoupin5407
Christian53711
Franklin5303
Stephenson5176
Union51424
McDonough48015
Logan4611
Crawford4403
Woodford4206
Fayette4063
Cass39511
Jersey39015
Livingston3886
Shelby3854
Montgomery37113
Lee3681
Iroquois36419
Perry34715
Saline3344
Warren3302
Bond3225
Douglas3087
Wayne2785
Jo Daviess2592
Lawrence2542
Carroll2274
Greene22611
Cumberland2155
Hancock2153
Moultrie2143
Jasper2119
Washington2101
Richland2055
Fulton1740
Pulaski1741
Clark1722
White1670
Johnson1530
Clay1510
Wabash1513
Mason1451
Mercer1375
Piatt1370
Pike1271
Menard1251
De Witt1161
Edgar1138
Massac1092
Ford1045
Marshall1010
Alexander801
Scott780
Gallatin722
Hamilton681
Henderson660
Edwards630
Brown590
Calhoun590
Putnam570
Stark552
Schuyler490
Hardin390
Pope291
Out of IL30

Indiana Coronavirus Cases

(Widget updates once daily at 8 p.m. ET)

Confirmed Cases: 116549

Reported Deaths: 3577
CountyConfirmedDeaths
Marion21322766
Lake10566323
Elkhart6623111
St. Joseph6488109
Allen6244203
Hamilton4893109
Vanderburgh365231
Hendricks2741123
Monroe259836
Tippecanoe248313
Johnson2328124
Clark222757
Porter215447
Delaware196062
Cass19509
Vigo183527
Madison167075
LaPorte144440
Floyd137063
Warrick133039
Howard131363
Kosciusko121817
Bartholomew117057
Marshall100724
Boone98146
Dubois97919
Hancock93043
Grant92534
Noble91532
Henry80326
Wayne76114
Jackson7589
Morgan72438
Shelby67429
Daviess67228
Dearborn66428
LaGrange63811
Clinton60214
Harrison58224
Putnam57912
Gibson5225
Knox5179
Lawrence51229
Montgomery51121
White48614
DeKalb48311
Decatur45839
Miami4363
Greene42635
Fayette42213
Jasper3962
Steuben3857
Scott37711
Sullivan33712
Posey3350
Jennings31412
Franklin30925
Clay3015
Ripley2988
Orange28824
Whitley2766
Carroll27513
Wabash2688
Adams2663
Washington2661
Starke2647
Wells2634
Jefferson2483
Spencer2463
Fulton2412
Huntington2363
Tipton22722
Perry21913
Randolph2167
Jay1850
Newton17311
Owen1691
Martin1660
Rush1554
Pike1511
Vermillion1300
Fountain1272
Blackford1193
Pulaski1131
Crawford1070
Brown1043
Parke1002
Benton870
Union790
Ohio787
Switzerland690
Warren401
Unassigned0226