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1 | In 2020, because many employees shifted to working from home, the demand for electronics spiked, and the world experienced a chip shortage.
To combat that problem, manufacturers such as Samsung ramped up
production, but as employees have been returning to the office, demand
has cooled, leading to an oversupply. Consequently, Samsung's operating profit fell by more than 95% in Q1 2023, leading the company to cut memory chip production. Q:
Besides cutting production, what other business strategy do you think
Samsung could implement to address the issue it is facing? Drop your
thoughts on Inside.com. | |
2 | Speculations
that Apple could make a major acquisition have been looming as the
company has not made a significant purchase since it bought Beats Music and Beats Electronics in 2014 for $3B. The company's cash, cash equivalents, and marketable securities balances totaled $129B at
the end of December 2022, positioning it to quickly seize virtually any
acquisition opportunity that should it present itself; however, one
portfolio manager classified a major acquisition as a "low-probability bet"
for the company. Until a major opportunity is identified, the company
will likely continue to direct most of its cash toward purchasing
marketable securities such as treasuries, CDs, non-U.S. government
securities, and corporate debt securities.  | |
3 | Seven months ago, Vedanta Resources Ltd. announced a partnership with Taiwan’s Hon Hai Precision Industry Co. to build a $19.5B chipmaking plant in India; however, the company's founder has been unable to secure either
a fabrication unit operator or license manufacturing-grade technology.
India has provided financial incentives to entities seeking to enter the
chip-making industry, but Vedanta's obstacles have made the venture
more complex than initially anticipated. Q: What impact do you think Vedanta's new plant would have on the industry? Share your thoughts on Inside.com. | |
4 | SenseTime, a Hong Kong-headquartered artificial intelligence company, is rumored to be developing a large-scale AI model
to be revealed soon. The company's potential in the space is believed
to be restricted by the U.S. Treasury and Commerce Department sanctions it is under, which restrict access to American technological components. | |
5 | On March 24, U.K.'s Competition and Markets Authority (CMA) put out a press release
stating its conclusion that Microsoft's acquisition of Activision
Blizzard would "not result in a substantial lessening of competition."
In response to that conclusion, Sony retorted, stating that Microsoft would degrade the versions it releases for PlayStation consoles, but Microsoft noted that it had no such intention. | |
6 | Hon Hai Precision Industry Co., also known as Foxconn, experienced a slowdown in revenue growth as its sales increased by only 3.9% year-over-year in Q1 2023, compared to 4.5%
over the same period last year. As companies such as Apple continue to
look for ways to exit China, the Taiwanese company plans to establish a
new $700M plant in India to diversify its operations. | |
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