Tech Business Roundup: Pandora Makes Music for Investors, AT&T Screws Synchronoss
Priceline.com (NASDAQ:PCLN) might acquire Trainline, which is an online rail ticketing service, says a Sky News report. The latter company is said to be worth as much as £400 million, and PCLN is but one of the suitors, which includes KKR and a pension fund in Canada.
Software firm Synchronoss (NASDAQ:SNCR) is plummeting post-earnings, and AT&T’s (NYSE:T) smartphone slowdown isn’t helping a bit. The softening in smartphone sales is said to be due to subsidy reductions and a weakening domestic market. SNCR obtains approximately one half of its revenue from AT&T, and currently projects second quarter revenue of between $65 million and $68 million, against a consensus of $68.6 million. Further, it sees only a 5 to 10 percent growth in AT&T sales in the current year, which is less than prior estimates.
Way too little, too late. Yahoo (NASDAQ:YHOO) CEO Scott Thompson has apologized to his employees for the ‘distraction’ of his resume controversy, but not for the problem itself. The board is resolving the issue by forming a committee to look into the case, but Director Patti Hart, who chaired the search that resulted in Thompson’s placement, is said to not be standing for re-election at the next shareholder meeting. Meanwhile, employees are reportedly quite upset over the whole thing, as they remember that soon following his installation as chief, Thompson layed off huge numbers of their colleagues. One has commented that “Everyone hates his guts”.
The dynamic random access memory industry might soon be getting too monopolized, if Micron (NASDAQ:MU) succeeds in buying Elpida. In that event, there would essentially be three large vendors in the industry: Samsung (SSNLF.PK) with a market share of 44 percent; Micron and Hynix (HXSCF.PK) with 33 percent each. Further, Sterne Agee suspects that analysts are concerned about both the acquisition’s price and Micron’s funding needs, and it values Elpida’s assets at more than $7 billion, far in excess of Micron’s reported bid of $2.5 billion.
Strong April audience figures for Pandora (NYSE:P) cause its shares to bounce against Tuesday’s downwards tide. Listener hours increased 87 percent year-to-year to1.06 billion, contrasted with 88 percent in March and 99 percent in the first quarter. In addition, active listeners jumped by 900,000 month-to-month, to 51.9 million, and its share of total domestic radio listening reached 5.95 percent compared to 5.75 percent in the previous month, and 3.11 percent year-to-year. Finally, Pandora claims it currently has more than 150 million registered users, all in the U.S.
Want news like this in real-time so you can get an edge? Click here for Wall St. Cheat Sheet Pro.
Don’t Miss: Did Nokia Mislead Investors?