The tech business week: IoT growing 30pc annually, ‘digital deal’ for Europe

17 Nov 2014

A digest of the top business technology news stories from the past week, beginning with the news the internet of things is growing 30pc annually, IT research firm Gartner has reported.

Internet of things growing 30pc annually, disruptive impact to increase – Gartner

Some 4.9bn connected things will be in use in 2015, up 30pc from 2014, and will reach 25bn by 2020, IT research firm Gartner predicts.

The internet of things (IoT) has become a powerful force for business transformation in numerous industries, and its disruptive impact will be felt across many more, as well as all areas of society. 

This predicted growth of IoT means more and more revenue opportunities will emerge, with many of today’s businesses not currently involved in IoT under pressure to conform.

Alcatel-Lucent CEO seeks ‘new digital deal’ for Europe

Alcatel-Lucent CEO Michel Combes has called on the European Commission to come up with a digital ‘new deal’ for Europe that addresses a Single European Market for skills, e-commerce and infrastructure.

Combes, who was speaking to journalists at the Alcatel-Lucent Technology Symposium in Basking Ridge, New Jersey, last week, said he has written to the European Commission and intends to fight hard to ensure Europe doesn’t miss out on the opportunities of the digital economy worldwide.

“It is crazy that we are not yet a single digital market,” he said.

Yahoo! buys BrightRoll for US$640m

Internet giant Yahoo! has announced an agreement to buy BrightRoll, a leading programmatic video advertising platform, for US$640m in cash.

BrightRoll powers digital video advertising for the world’s largest brands, including 87 of the top 100 US advertisers and 18 of the top 20 advertising technology companies.

“Video, along with mobile, social, and native, is driving a surge in digital advertising. Here at Yahoo!, video is one of the largest growth opportunities, and BrightRoll is a terrific, strategic and financially compelling fit for our video-advertising business,” said Marissa Mayer, Yahoo! CEO.

Google subsidiary signs lease with NASA for historic Hangar One

Internet search giant Google – through its subsidiary Planetary Ventures – has signed a lease to manage US space agency NASA’s Moffett Federal Airfield in California and rehabilitate its historic Hangar One.

NASA is looking to move away from infrastructure it doesn’t currently use.

The agency claims the initial 60-year lease will save it more than US$6m a year in maintenance costs and provide US$1.16bn in rent over the lifetime of the agreement.

Cisco reports record Q1 revenue

Cisco is hopeful of a return to growth following its strongest first quarter ever in terms of revenue, non-GAAP operating income and non-GAAP earnings per share.

The IT giant’s first-quarter earnings for 2015 (period ending 25 October 2014) cite revenue of US$12.2bn, a year-on-year increase of 1.3pc and just above analysts’ predictions.

Cisco generated US$2.5bn in operating cash flow and returned close to US$2bn to shareholders though share repurchases and dividends in the first quarter of 2015.

The firm’s GAAP net income dropped 8.4pc year-on-year to US$1.8bn, equating to US$0.35 earnings per share (EPS).

Non-GAAP net income totalled US$2.8bn, down a more modest 2.3pc, resulting in a single-cent increase in non-GAAP EPS at US$0.54.

All e-commerce records broken after Alibaba passes €7bn on Singles Day

China’s Singles Day has quickly established itself as the world’s most lucrative commercial spending spree, with Alibaba making more than €7bn in just one day, surpassing Cyber Monday and Black Friday in the US.

The online event that originated from Nanjing University in 1993 and named after the fact 11 November appears as 11.11 on the calendar, has morphed into an event for single Chinese people to spend their hard-earned money on frivolous gadgets and household items.

The event was effectively orchestrated by Alibaba, which has gone from being a Chinese e-commerce website to one of the most well-known brands in the tech world due to its recent IPO on the New York Stock Exchange (NYSE). The IPO hit a record high of US$92.70 per share.

Internet of things image via Shutterstock

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