Tech Business Roundup: Nokia’s CHINA Woes, Cisco Gets CUT
Nokia (NYSE:NOK) will shut down two of its distribution centers in China as part of its overall restructuring plan, and will subsequently unify operations at its two remaining centers in China. Meanwhile, Pierre Ferragu at Bernstein sharply cuts his price target for the firm from $2.63 to $1.56, while predicting a 38 cents per share loss for the year. He also believes that feature phone demand is drying up as Android phones become less expensive.
The Justice Department is delaying Verizon Wireless’ (VZ, VOD) reseller arrangements with cable providers on broadband pricing, due to worries concerning the impact. The Federal Communications Commission is ready to okay the deals, but Justice antitrust officials are concerned that the reseller arrangements amount to non competition agreements which will restrict consumer broadband options, especially in areas where Verizon’s FiOS service isn’t offered.
Technology major Cisco (NASDAQ:CSCO) gets an estimate cut from Shaw WU at Sterne Agee, as the analyst claims that checks indicate that sales cycles are lengthening and deal sizes are shrinking. It’s no surprise that Europe remains the most problematic region. However, Wu remarks that the problems are industry-wide, and Cisco is in reality gaining share.
Google (NASDAQ:GOOG) CEO Larry Page is recovering from the health event which caused him to lose his voice, reports chairman Eric Schmidt. The still unidentified illness, which caused Page to miss Google I/O and his company’s second call earnings call, has many observers and others quite worried; the firm’s reluctance to give specific details has not exactly helped.
Don’t Miss: Is Google Leaving Apple in its DUST?
Want news like this in real-time so you can get an edge? Click here for Wall St. Cheat Sheet Pro.