Sandhya Gupta

Will X’s Addition of Audio and Video Calling Create Stickiness in the App?

Leave a Comment / News, Tech News, twitter / By Sandhya Gupta

Elon Musk’s recent announcement regarding the introduction of audio and video calling features on X, formerly known as Twitter, has sparked curiosity and speculation among users and tech enthusiasts. This move aligns with Musk’s ambitious plan to transform X into an “everything app” that encompasses a wide range of services, from online payments to news and even food delivery.

While the new feature has generated excitement, not all X users currently have access to it, and the company hasn’t provided a clear timeline for a widespread rollout. Additionally, there’s been speculation, based on code discovered by tech veteran Chris Messina, that these audio and video calls may be reserved for subscribers, indicating a potential premium feature.

The introduction of premium features is not surprising in the tech world, but it raises questions about how these services will be managed. Some early users have reported that they can screen calls by specifying criteria such as verified users, people they follow, and contacts in their address book. This suggests that X aims to provide a level of control and privacy for its users.

However, X’s recent silence on the matter, responding to inquiries with automated messages after Musk’s takeover, leaves many wondering about the reasoning behind this new feature. Elon Musk has been vocal about his desire to transform X into a platform akin to China’s WeChat, a super-app that facilitates everything from shopping to communication. Yet, his initial vision for X.com, dating back to 1999, was primarily a financial services app, encompassing banking, digital transactions, and more.

The introduction of audio and video calling may appear incongruent with X’s financial services aspirations, raising concerns about potential disruptions to the user experience. Getting a phone call on a social media platform primarily designed for consuming information is an unexpected twist, particularly if it’s from an unfamiliar verified X user.

Nonetheless, Musk’s strategy might be to emulate companies like Uber and Amazon, creating stickiness within the X app by offering an expanding array of services. Uber evolved from a ride-hailing service to providing food delivery, boat charters, and more. Amazon used products like Alexa to drive additional revenue to its core business.

The big question is whether this approach will succeed for X. Users might initially be drawn to X for its signature content like live Spaces and entertaining posts. Still, they could stay for the convenience of internet-enabled phone calls, long-form content, and high-yield savings accounts, especially if these features are limited to subscribers. This approach could potentially become a revenue driver for X.

Also Read: Alphabet Shares Fall After Cloud Unit Misses Estimates

However, there’s a significant caveat to this strategy. Musk’s success in executing his grand vision hinges on both technical challenges and the regulatory environment. Unlike China, the U.S. maintains a close watch on tech companies to prevent monopolistic practices and protect competition.

In conclusion, while the addition of audio and video calling to X might seem unexpected in light of its financial services focus, it could potentially serve as a strategy to create user “stickiness” within the app. The ultimate success of this move will depend on how well Musk can execute his broader plans while navigating regulatory scrutiny. X users will have to wait and see how this ambitious transformation unfolds.

Sandhya Gupta

I am a law graduate from NLU Lucknow. I have a flair for creative writing and hence in my free time work as a freelance content writer.

Alphabet Shares Fall After Cloud Unit Misses Estimates

Leave a Comment / Google, News, Tech News / By Sandhya Gupta

Alphabet Inc. faced a significant blow as its shares plummeted by the most in a year on Wednesday following the release of its quarterly earnings report, which revealed weaker-than-expected profit in its cloud computing unit. This has raised concerns about Alphabet’s competitive standing in the cloud computing market, which is considered pivotal to its future success.

As Google’s flagship search business matures, investors have been looking to the cloud unit to spearhead growth. However, the cloud unit reported operating income of $266 million, falling significantly short of the estimated $434 million, igniting worries about Alphabet’s ability to catch up with cloud computing giants such as Amazon.com Inc. and Microsoft Corp.

Max Willens, an analyst with Insider Intelligence, emphasized the unpredictable nature of the cloud computing business, stating, “Cloud computing is a much lumpier business than advertising and one where Google is facing stiff competition. While the traction it has among AI startups may bear fruit in the long run, it is not currently helping Google Cloud enough to satisfy investors.”

Alphabet’s shares took a hit, dropping as much as 8.9% to $126.40 in New York, marking the most substantial decline since October 2022. This downturn follows a promising year, during which the shares had gained 57% up to the previous day’s close.

Ruth Porat, Alphabet’s President who is currently serving as the company’s acting Chief Financial Officer, attributed the cloud unit’s disappointing performance to some customers’ cost-cutting measures.

Nevertheless, Alphabet’s overall earnings report for the third quarter was generally strong. The company reported sales of $64 billion, surpassing the analysts’ consensus of $63 billion. The net income amounted to $1.55 per share, surpassing Wall Street’s estimate of $1.45 per share.

The search advertising business, where Google holds a dominant position, reported revenue of $44 billion, exceeding the average analyst projection of $43.2 billion. However, Google’s leadership must contend with challenges stemming from the rise of generative AI chatbots that offer more conversational responses to user queries.

Despite the cloud unit’s struggles, Alphabet’s leadership has affirmed their commitment to operating more efficiently and investing in emerging opportunities such as artificial intelligence. CEO Sundar Pichai stated, “We’ll do everything that is needed to make sure we have the leading AI models and infrastructure in the world, bar none.”

Additionally, Alphabet’s ongoing legal battle with the U.S. Department of Justice, concerning allegations of search market power abuse, has contributed to the uncertainty surrounding the company’s future. Analyst Evelyn Mitchell-Wolf from Insider Intelligence noted that the outcome of the trial could influence investor confidence in the sustainability of Google’s business model.

Also Read: Snap Returns to Revenue Growth on Improved Ad Business

On a more positive note, YouTube reported $8 billion in revenue, surpassing the average estimate of $7.8 billion. This indicates that the video-sharing platform is benefiting from the rebound in digital advertising spending.

Alphabet’s Other Bets, which encompass moonshot projects like Waymo (self-driving cars) and Verily (life sciences), generated $297 million in revenue but incurred a $1.2 billion loss, in line with analysts’ projections. Despite the headwinds facing its cloud unit, Alphabet continues to explore new avenues for growth and innovation beyond its core businesses.

Sandhya Gupta

I am a law graduate from NLU Lucknow. I have a flair for creative writing and hence in my free time work as a freelance content writer.

iPhone Assembler Hon Hai Dives After China Starts Probes

Leave a Comment / apple, News, Tech News / By Sandhya Gupta

Hon Hai Precision Industry Co., the Taiwanese company widely known as Foxconn and a key assembler for Apple Inc., has witnessed a significant stock tumble, marking its most substantial decline in over three months. This drop came in response to a series of investigations initiated by the Chinese government into Foxconn’s operations within the country. The probes target one of China’s largest employers and a crucial contributor to Apple’s production chain.

In early trading on Monday, Hon Hai shares plummeted by 3.4%, reflecting the uncertainty and concerns surrounding these investigations. The company, renowned for manufacturing a substantial portion of the world’s iPhones, operates multiple factories in central and southern China.

The focal point of this investigation revolves around Foxconn’s sprawling complex located in Zhengzhou, famously referred to as “iPhone City.” Chinese tax authorities are now engaged in detailed examinations of Foxconn’s subsidiaries located in Guangdong and Jiangsu provinces, as reported by China’s state-run media outlet, the Global Times, citing anonymous sources familiar with the matter. Simultaneously, natural resources officials are delving into the company’s land usage practices in Henan and Hubei provinces. However, the specifics of these investigations remain shrouded in mystery, as no further details have been disclosed.

Foxconn’s response to these inquiries has been measured. The company has announced its commitment to cooperate fully with the Chinese authorities throughout the investigations. Nevertheless, the filing submitted by Hon Hai Precision Industry Co. to Taiwan’s stock exchange refrains from divulging specific strategies or approaches the company intends to take in response to the probes.

This situation has sparked concerns within the tech industry and global financial markets. The fallout from any adverse outcomes of these investigations could potentially ripple through the supply chain, affecting not only Foxconn but also Apple Inc. and its vast network of suppliers. The supply chain disruptions or legal consequences could impact the production of Apple’s popular devices, including the iPhone, potentially leading to shortages and delays that could have a global impact.

Also Read: Software Firm Okta Falls on News That Hackers Viewed Some Customer Files

These investigations come amidst China’s broader push to scrutinize foreign companies and enforce stricter regulations within its borders. For companies like Foxconn, which have a significant presence in China, navigating these regulatory challenges becomes paramount to maintaining their operations and their standing as key players in the global tech industry.

The coming weeks will likely see investors, industry analysts, and Apple aficionados closely monitoring developments in this case, as the outcome could have far-reaching implications for one of the world’s most prominent technology companies and its intricate web of international suppliers.

Sandhya Gupta

I am a law graduate from NLU Lucknow. I have a flair for creative writing and hence in my free time work as a freelance content writer.

YouTube Working on Tool That Lets Creators Sing Like Drake

Leave a Comment / News, Tech News / By Sandhya Gupta

In a bold move at the intersection of technology, artificial intelligence, and the music industry, YouTube is reportedly working on a revolutionary tool that would enable content creators to record audio using the voices of famous musicians. This groundbreaking initiative could transform the way users engage with content on the video-sharing platform.

According to individuals familiar with the matter who requested anonymity due to the confidential nature of the discussions, YouTube has initiated talks with major music companies to obtain the necessary rights to train this AI-powered tool. While negotiations are ongoing, no formal agreements have been reached with record labels. These discussions are expected to shape the future of content creation on the platform.

YouTube recently unveiled a suite of AI-based tools, marking its continued commitment to harnessing artificial intelligence for content creation. These tools, introduced just last month, encompass features like background creation for videos and automatic dubbing into different languages. However, the much-anticipated music tool was not released as planned due to the rights-related complexities.

The legal landscape concerning the use of artificial intelligence in conjunction with the names, images, and likenesses of public figures, including musicians, is still evolving and has already sparked legal disputes. YouTube faces the challenge of navigating this intricate path to ensure the technology’s legal and ethical use. Although YouTube has had a tumultuous relationship with the music industry in the past, the company has made significant strides in recent years by increasing royalty payments to artists and labels.

When contacted for comment, a company spokesperson declined to provide any additional information, maintaining a shroud of secrecy around this ambitious project.

YouTube, owned by tech giant Alphabet Inc., is no stranger to the world of artificial intelligence and machine learning. Alphabet has been at the forefront of developing cutting-edge AI products for several years, and YouTube’s latest venture is part of the race among tech companies, including Microsoft, to lead the charge into what many consider the next frontier in technology.

Also Read: Chip Stocks Shed $73 Billion After US Curbs Nvidia Sales to China

With Alphabet’s substantial investment in AI, YouTube has been pushed to explore innovative solutions and tools that could transform the way content is created and shared on its platform. This development aligns with Alphabet’s broader vision to harness AI’s potential and offers creators a chance to explore new horizons in content creation by singing like their favorite artists.

As discussions between YouTube and major music companies progress, the future of content creation on the platform remains a tantalizing prospect. This tool, if successfully developed and implemented, could usher in a new era of content creation, where creators can truly embrace the voices of their musical idols to captivate audiences in ways previously unimaginable.

Sandhya Gupta

I am a law graduate from NLU Lucknow. I have a flair for creative writing and hence in my free time work as a freelance content writer.

Chip Stocks Shed $73 Billion After US Curbs Nvidia Sales to China

Leave a Comment / News, Tech News / By Sandhya Gupta

In a significant blow to the semiconductor industry, chip stocks experienced a sharp decline on Tuesday following the United States’ announcement of sweeping updates to export curbs aimed at restricting China’s access to advanced computer chips. The PHLX Semiconductor Sector index, a key indicator comprising 30 chip stocks, was poised to wipe out approximately $73 billion in combined market value.

The newly imposed restrictions specifically target Nvidia Corp., a major player in the semiconductor market. The affected chips include Nvidia’s A800 and H800 models, which were designed for the Chinese market. The updated rules mandate that companies notify the US government before selling chips that fall below the controlled threshold, a move intended to tighten control over the export of advanced semiconductor technology.

A senior US official highlighted the significance of these curbs, emphasizing the potential risks associated with even slightly inferior chips that could be employed in artificial intelligence (AI) and supercomputing applications. The latest measures reflect a broader effort by the US to maintain control over the export of technologies with dual-use capabilities.

Nvidia responded to the development, with a company spokesperson stating that they are committed to complying with all applicable regulations while serving their customers. Despite the challenges posed by the new restrictions, Nvidia remains confident due to the robust global demand for its products and anticipates minimal impact on its overall results.

Also Read: Baidu Says Its AI as Good as ChatGPT in Big Claim for China

However, industry analysts suggest a more cautious outlook. Kunjan Sobhani, an analyst for Bloomberg Intelligence, noted that while the immediate impact on Nvidia’s estimates might not be substantial, the long-term prospects of the company could be at risk. Sobhani highlighted the possibility of a decline in Nvidia’s future sales, indicating that a recent surge in orders from large Chinese customers might have been driven by stockpiling of 800-series chips in anticipation of such restrictions.

Investors responded swiftly to the news, causing Nvidia shares to plummet by as much as 7.8% on Tuesday. This marked the most significant intraday fall for the company since December, reflecting the market’s concern over the potential ramifications of the tightened export controls on Nvidia’s business operations.

Sandhya Gupta

I am a law graduate from NLU Lucknow. I have a flair for creative writing and hence in my free time work as a freelance content writer.

LinkedIn Cuts 668 Jobs in Second Round of Layoffs This Year

Leave a Comment / Tech News / By Sandhya Gupta

In a move reflective of broader trends in the tech industry, Microsoft’s professional networking platform, LinkedIn, has announced the second round of layoffs in 2023.

The company disclosed on Monday that 668 employees from its engineering, talent, and finance teams would be affected by the restructuring, constituting over 3% of its 20,000-strong workforce. This decision comes in the wake of slowing revenue growth for the social media network for professionals.

The tech sector, which has been grappling with an uncertain economic outlook, has witnessed a significant spike in job losses this year. According to employment firm Challenger, Gray & Christmas, 141,516 employees have been laid off in the first half of the year, a stark contrast to the approximately 6,000 job losses recorded during the same period the previous year.

In response to the layoffs, LinkedIn emphasized its commitment to adapting organizational structures and streamlining decision-making processes. The company also stressed its ongoing investment in strategic priorities to ensure the delivery of value for its members and customers. The layoffs are seen as part of a broader trend in the industry to align workforce size with changing market dynamics.

LinkedIn’s revenue model relies on advertising sales and subscription fees charged to recruiting and sales professionals utilizing the platform for talent acquisition. Despite boasting a community of 950 million members, the company’s revenue growth has been sluggish. In the fourth quarter of its fiscal year 2023, LinkedIn reported a 5% increase in revenue year-on-year, a drop from the 10% growth observed in the previous quarter.

Also Read: South Korea’s Nand Flash Memory Chip Exports Return to Growth

Microsoft attributes the challenges faced by LinkedIn to a slowdown in hiring and a decline in advertising spending. The company, however, remains optimistic about the future and continues to welcome new members into its professional community. Earlier this year, in May, LinkedIn took a proactive step to streamline operations, announcing the layoff of 716 employees across sales, operations, and support teams to foster quicker decision-making processes.

As the tech industry navigates evolving economic conditions, these layoffs at LinkedIn underscore the ongoing challenges faced by companies in aligning their operations with market demands. The ripple effects of these decisions are not only felt within the organization but also contribute to the broader narrative of a transforming employment landscape in the technology sector.

Sandhya Gupta

I am a law graduate from NLU Lucknow. I have a flair for creative writing and hence in my free time work as a freelance content writer.

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