Alphabet has reported first quarter results that topped analysts' estimates with soaring profits in its cloud division. It also announced its first-ever dividend. CNBC shares the results: Earnings per share: $1.89 vs. $1.51 per share expected by LSEG
Revenue: $80.54 billion vs. $78.59 billion expected by LSEG

Wall Street is also watching several other numbers in the report:

YouTube advertising revenue: $8.09 billion vs. $7.72 billion expected, according to StreetAccount.
Google Cloud revenue: $9.57 billion vs. $9.35 billion expected, according to StreetAccount.
Traffic acquisition costs (TAC): $12.95 billion $12.74 billion expected, according to StreetAccount.

Alphabet's revenue increased 15% from $69.79 billion a year earlier, the fastest rate of growth since early 2022. Alphabet said its board approved a cash dividend of 20 cents per share to be paid on June 17, to stockholders of record as of June 10. The company said it "intends to pay quarterly cash dividends in the future."

Jeff Lawson, the cofounder of cloud computing company Twilio, appears to have purchased the satirical news website The Onion from G/O Media. Business Insider reports: A trust linked to Lawson is behind a San Francisco-based company called Global Tetrahedron, which shares the name of a fictional evil megacorporation in a long-running Onion gag, business records show. G/O Media CEO Jim Spanfeller confirmed the sale of The Onion to Global Tetrahedron in an email Thursday to staff, first reported by New York Times journalist Katie Robertson.

"This company is made up of four digital media veterans with a profound love for The Onion and comedy based content," Spanfeller wrote. "The site's new owners have agreed to keep The Onion's entire staff intact and in Chicago, something we insisted be part of the deal." When asked about the purchase, Lawson replied: "What's The Onion?" Then, "What's a Tetrahedron?"

Fintech giant Stripe announced on Thursday that it would let customers accept cryptocurrency payments, starting with USDC stablecoins, initially only on Solana, Ethereum and Polygon. TechCrunch reports: This will be the first time that Stripe has taken crypto payments since 2018, when it dropped support for Bitcoin due to it being too unstable. Stripe in 2022 tried its first reentry into the crypto market when it announced payouts (but not payments) in USDC, with Twitter as its marquee customer for the service. Thursday's news has no customer names attached to it.

On Wednesday the company unveiled a long list of other launches, the most significant update being that Stripe, for the very first time, would let customers integrate competing payment providers with Stripe's other financial services tooling. Thursday's nod to expanding crypto support is also part of that bigger strategy to open up its walled garden. A brief timeline of Stripe's dance with crypto underscores the tricky line that Stripe has walked over the years when it comes to cryptocurrency. True to its disruptive roots as a fintech, the company has wanted to be in the middle of the conversation around how blockchain-based technologies will affect financial services. But it runs the risk of subverting its bigger business and positioning as a stable and sensible financial powerhouse if it dabbles too deeply or for too long in periods of instability. The company processed $1 trillion in transactions last year, and it's still growing; it is currently worth $65 billion on paper.

TikTok owner ByteDance would prefer shutting down its loss-making app rather than sell it if the Chinese company exhausts all legal options to fight legislation to ban the platform from app stores in the U.S., Reuters reported Thursday, citing sources. From the report: The algorithms TikTok relies on for its operations are deemed core to ByteDance overall operations, which would make a sale of the app with algorithms highly unlikely, said the sources close to the parent. TikTok accounts for a small share of ByteDance's total revenues and daily active users, so the parent would rather have the app shut down in the U.S. in a worst case scenario than sell it to a potential American buyer, they said.

A shut-down would have limited impact on ByteDance's business while the company would not have to give up its core algorithm, said the sources, who declined to be named as they were not authorised to speak to the media. It said late on Thursday in a statement posted on Toutiao, a media platform it owns, that it had no plan to sell TikTok, in response to an article by The Information saying ByteDance is exploring scenarios for selling TikTok's U.S. business without the algorithm that recommends videos to TikTok users.

Ford's electric vehicle unit reported that losses soared in the first quarter to $1.3 billion, or $132,000 for each of the 10,000 vehicles it sold in the first three months of the year, helping to drag down earnings for the company overall. From a report: Ford, like most automakers, has announced plans to shift from traditional gas-powered vehicles to EVs in coming years. But it is the only traditional automaker to break out results of its retail EV sales. And the results it reported Wednesday show another sign of the profit pressures on the EV business at Ford and other automakers.

The EV unit, which Ford calls Model e, sold 10,000 vehicles in the quarter, down 20% from the number it sold a year earlier. And its revenue plunged 84% to about $100 million, which Ford attributed mostly to price cuts for EVs across the industry. That resulted in the $1.3 billion loss before interest and taxes (EBIT), and the massive per-vehicle loss in the Model e unit. A price war among EVs for about a year and a half has made profitability very difficult said Ford CFO John Lawler. He said while Ford has removed about $5,000 in cost on each Mustang Mach-E, "revenue is dropping faster than we can take out the cost." In 2023, Ford Model e reported a full-year EBIT loss of $4.7 billion on sales of 116,000 EVs, or an average of $40,525 per vehicle, just more than a third of the first quarter loss.

Apple has rejected Spotify's new version of its iOS app with in-app pricing information for users in the European Union, the audio streaming firm said on Thursday. Reuters: The Swedish company submitted a new version of its app to Apple with basic pricing and website information, which is a minimum requirement under the European Commission's ruling in its music streaming case, it said in a post on X on Wednesday. Spotify said the Cupertino, California based-Apple rejected its update in a response directly sent to the company.

"Apple has once again defied the European Commission's decision, rejecting our update for attempting to communicate with customers about our prices unless we pay Apple a new tax. Their disregard for consumers and developers is matched only by their disdain for the law," a spokesperson for Spotify said in a statement. In March, Brussels fined Apple with 1.84 billion euros ($1.97 billion) for thwarting competition from music streaming rivals via restrictions on its App Store, marking its first ever EU antitrust penalty, following a 2019 complaint from Spotify.

The head of Indian IT company Tata Consultancy Services has said AI will result in "minimal" need for call centres in as soon as a year, with AI's rapid advances set to upend a vast industry across Asia and beyond. From a report: K Krithivasan, TCS chief executive, told the Financial Times that while "we have not seen any job reduction" so far, wider adoption of generative AI among multinational clients would overhaul the kind of customer help centres that have created mass employment in countries such as India and the Philippines. "In an ideal phase, if you ask me, there should be very minimal incoming call centres having incoming calls at all," he said. "We are in a situation where the technology should be able to predict a call coming and then proactively address the customer's pain point." He said chatbots would soon be able to analyse a customer's transaction history and do much of the work done by call centre agents. "That's where we are going...I don't think we are there today -- maybe a year or so down the line," he said.

An anonymous reader quotes a report from Ars Technica: Two researchers at the University of California, Davis -- Yanning Li and Alan Jenn -- have determined that nearly two-thirds of [California's] feeder lines don't have the capacity that will likely be needed for car charging. Updating to handle the rising demand might set its utilities back as much as 40 percent of the existing grid's capital cost. Li and Jenn aren't the first to look at how well existing grids can handle growing electric vehicle sales; other research has found various ways that different grids fall short. However, they have access to uniquely detailed data relevant to California's ability to distribute electricity (they do not concern themselves with generation). They have information on every substation, feeder line, and transformer that delivers electrons to customers of the state's three largest utilities, which collectively cover nearly 90 percent of the state's population. In total, they know the capacity that can be delivered through over 1,600 substations and 5,000 feeders.[...]

By 2025, only about 7 percent of the feeders will experience periods of overload. By 2030, that figure will grow to 27 percent, and by 2035 -- only about a decade away -- about half of the feeders will be overloaded. Problems grow a bit more slowly after that, with two-thirds of the feeders overloaded by 2045, a decade after all cars sold in California will be EVs. At that point, total electrical demand will be close to twice the existing capacity. The problems aren't evenly distributed, though. They appear first in high-population areas like the Bay Area. And throughout this period, most of the problems are in feeders that serve residential and mixed-use neighborhoods. The feeders that serve neighborhoods that are primarily business-focused don't see the same coordinated surge in demand that occurs as people get home from work and plug in; they're better able to serve the more erratic use of charging stations at office complexes and shopping centers. In terms of the grid, residential services will need to see their capacity expand by about 16 gigawatts by 2045. Public chargers will need nine gigawatts worth of added capacity by the same point. The one wild card is direct current fast charging. Eliminating fast chargers entirely would reduce the number of feeders that need upgrades by 12 percent. Converting all public stations to DC fast charging, in contrast, would boost that number by 15 percent. So the details of the upgrades that will be needed will be very sensitive to the impatience of EV drivers.

Paying for the necessary upgrades will be pricey, but there's a lot of uncertainty here. Li and Jenn came up with a range of anywhere between $6 billion and $20 billion. They put this in context in two ways. The total capital invested in the existing grid is estimated to be $51 billion, so the cost of updating it could be well over a third of its total value. At the same time, the costs will be spread out over decades and only total up to (at most) three times the grid's annual operation and maintenance costs. So in any one year, the costs shouldn't be crippling. All that might be expected to drive the cost of electricity up. But Li and Jenn suggest that the greater volume of electricity consumption will exert a downward pressure on prices (people will pay more overall but pay somewhat less per unit of electricity). Based on a few economic assumptions, the researchers conclude that this would roughly offset the costs of the necessary grid expansion, so the price per unit of electricity would be largely static. The findings have been published in the journal Proceedings of the National Academy of Sciences (PNAS).

According to the Wall Street Journal, a deal for IBM to acquire HashiCorp could materialize in the next few days. Shares of HashiCorp jumped almost 20% on the news.

UPDATE 4/24/24: IBM has confirmed the deal valued at $6.4 billion. "IBM will pay $35 per share for HashiCorp, a 42.6% premium to Monday's closing price," reports Reuters. "The acquisition will be funded by cash on hand and will add to adjusted core profit within the first full year of closing, expected by the end of 2024." HashiCorp's shares continued to surge Tuesday on the news. CNBC reports: Developers use HashiCorp's software to set up and manage infrastructure in public clouds that companies such as Amazon and Microsoft operate. Organizations also pay HashiCorp for managing security credentials. Founded in 2012, HashiCorp went public on Nasdaq in 2021. The company generated a net loss of nearly $191 million on $583 million in revenue in the fiscal year ending Jan. 31, according to its annual report. In December, Mitchell Hashimoto, co-founder of HashiCorp, whose family name is reflected in the company name, announced that he was leaving.

Revenue jumped almost 23% during that period, compared with 2% for IBM in 2023. IBM executives pointed to a difficult economic climate during a conference call with analysts in January. The hardware, software and consulting provider reports earnings on Wednesday. Cisco held $9 million in HashiCorp shares at the end of March, according to a regulatory filing. Cisco held early acquisition talks with HashiCorp, according to a 2019 report.

Glance, which operates a popular lockscreen platform targeting Android smartphones, is setting its sights on the U.S. market. From a report: The Indian startup recently commenced a pilot program in partnership with Motorola and Verizon in the U.S., with plans for a full launch in the country later this year, sources familiar with the matter told TechCrunch. The Bengaluru-headquartered startup, backed by investors, including Google and Jio Platforms, has already made significant inroads in India, Southeast Asia, and Japan, where it expanded last year. According to a person familiar with the matter, Glance's lockscreen platform today reaches more than 450 million smartphones and is active on about 300 million of them, delivering those customers a customized feed of news, local events, sports updates, media content, and interactive games directly to their lockscreens without requiring them to install additional apps. The recently launched Moto G Power smartphone in the U.S. shipped with Glance's platform, the report says.

Further reading: Motorola Spoiled a Good Budget Phone With Bloatware.

Edward Zitron, citing emails released as part of the Department of Justice's antitrust case against Google, writes about Prabhakar Raghavan: And Raghavan -- a manager, hired by Sundar Pichai, a former McKinsey man and a manager by trade -- is an example of everything wrong with the tech industry. Despite his history as a true computer scientist with actual academic credentials, Raghavan chose to bulldoze actual workers and replace them with toadies that would make Google more profitable and less useful to the world at large. Since Prabhakar took the reins in 2020, Google Search has dramatically declined, with the numerous "core" search updates allegedly made to improve the quality of results having an adverse effect, increasing the prevalence of spammy, search engine optimized content.

It's because the people running the tech industry are no longer those that built it. Larry Page and Sergey Brin left Google in December 2019 (the same year as the Code Yellow fiasco), and while they remain as controlling shareholders, they clearly don't give a shit about what "Google" means anymore. Prabhakar Raghavan is a manager, and his career, from what I can tell, is mostly made up of "did some stuff at IBM, failed to make Yahoo anything of note, and fucked up Google so badly that every news outlet has run a story about how bad it is." This is the result of taking technology out of the hands of real builders and handing it to managers at a time when "management" is synonymous with "staying as far away from actual work as possible." And when you're a do-nothing looking to profit as much as possible, you only care about growth. You're not a user, you're a parasite, and it's these parasites that have dominated and are draining the tech industry of its value.

Raghavan's story is unique, insofar as the damage he's managed to inflict (or, if we're being exceptionally charitable, failed to avoid in the case of Yahoo) on two industry-defining companies, and the fact that he did it without being a CEO or founder. Perhaps more remarkable, he's achieved this while maintaining a certain degree of anonymity. Everyone knows who Musk and Zuckerberg are, but Raghavan's known only in his corner of the Internet. Or at least he was. Now Raghavan has told those working on search that their "new operating reality" is one with less resources and less time to deliver things. Rot Master Raghavan is here to squeeze as much as he can from the corpse of a product he beat to death with his bare hands. Raghavan is a hall-of-fame rot economist, and one of the many managerial types that have caused immeasurable damage to the Internet in the name of growth and "shareholder value." And I believe these uber-managers - these ultra-pencil-pushers and growth-hounds - are the forces destroying tech's ability to innovate.

An anonymous reader shares a report: Diamonds may be forever but they are also seriously on sale. Natural rough diamond prices have collapsed 26 per cent in the past couple of years. Tepid US and Chinese demand for diamond jewellery hasn't helped. But most ring fingers point at the increasing popularity of cheaper laboratory grown diamonds (LGD). This fracturing of the diamond market is set to last. After a brief pandemic-era boom in diamond jewellery, miners are battling to whittle down oversupply of gems. Anglo-American's De Beers, along with Russia's Alrosa, control two-thirds of the rough diamond supply. DeBeers this week said its rough sales dropped 23 per cent in the first quarter.

It is not enough. While rough stone inventory has stabilised of late, polished diamond stocks remain high. At more than $20bn at the end of 2023, these were near five-year highs, up a third since the end of 2022, according to Bank of America. Worse, as LGDs have taken market share, their prices have declined too, to about 15 per cent or less of their natural counterparts. Diamond miners spent years maintaining that romantic buyers would prefer the allure of rare, natural stones. It increasingly appears they were wrong.

Synthetic diamonds are nothing new, having appeared about 70 years ago mostly for industrial purposes. But in the past decade LGDs have taken off. In 2015, LGD supply barely featured as a rival to natural stones. By last year it was more than 10 per cent of the global diamond jewellery market, according to specialist Paul Zimnisky. This has created a competitive frenzy among producers. LGDs' lower costs have enabled them to slash prices. In October, WD Lab Grown Diamonds, America's second-largest maker of synthetics, filed for bankruptcy. It has since had to shift its business away from retail towards industrial customers.

Oracle Chairman Larry Ellison said Tuesday that the company is moving its world headquarters to Nashville, Tennessee, to be closer to a major health-care epicenter. CNBC reports: In a wide-ranging conversation with Bill Frist, a former U.S. Senate Majority Leader, Ellison said Oracle is moving a "huge campus" to Nashville, "which will ultimately be our world headquarters." He said Nashville is an established health center and a "fabulous place to live," one that Oracle employees are excited about. "It's the center of the industry we're most concerned about, which is the health-care industry," Ellison said. The announcement was seemingly spur-of-the-moment. "I shouldn't have said that," Ellison told Frist, a longtime health-care industry veteran who represented Tennessee in the Senate. The pair spoke during a fireside chat at the Oracle Health Summit in Nashville.

Nashville has been a major player in the health-care scene for decades, and the city is now home to a vibrant network of health systems, startups and investment firms. The city's reputation as a health-care hub was catalyzed when HCA Healthcare, one of the first for-profit hospital companies in the U.S., was founded there in 1968. HCA helped attract troves of health-care professionals to Nashville, and other organizations quickly followed suit. Oracle has been developing its new $1.2 billion campus in the city for about three years, according to The Tennessean. "Our people love it here, and we think it's the center of our future," Ellison said.

Apple's iPhone sales dropped sharply in China in the first quarter of this year as the company saw strong competition from domestic brand Huawei, according to a new report from market research firm Counterpoint Research. CNBC: Apple saw sales of its iPhones fall 19.1% in the first three months of the year, Counterpoint's data showed, as Chinese telecommunications and consumer electronics giant Huawei saw a resurgence in its smartphone business. The Shenzhen, China-based firm saw sales of its smartphones surge a whopping 69.7% in the first quarter, Counterpoint said.

An anonymous reader shares a report: For years, people who have found Google search frustrating have been adding "Reddit" to the end of their search queries. This practice is so common that Google even acknowledged the phenomenon in a post announcing that it will be scraping Reddit posts to train its AI. And so, naturally, there are now services that will poison Reddit threads with AI-generated posts designed to promote products.

A service called ReplyGuy advertises itself as "the AI that plugs your product on Reddit" and which automatically "mentions your product in conversations naturally." Examples on the site show two different Redditors being controlled by AI posting plugs for a text-to-voice product called "AnySpeech" and a bot writing a long comment about a debt consolidation program called Debt Freedom Now. A video demo shows a dashboard where a user adds the name of their company and URL they want to direct users to. It then auto-suggests keywords that "help the bot know what types of subreddits and tweets to look for and when to respond."

Moments later, the dashboard shows how Reply Guy is "already in the responses" of the comments section of different Reddit posts. "Many of our responses will get lots of upvotes and will be well-liked." The creator of the company, Alexander Belogubov, has also posted screenshots of other bot-controlled accounts responding all over Reddit. Begolubov has another startup called "Stealth Marketing" that also seeks to manipulate the platform by promising to "turn Reddit into a steady stream of customers for your startup."

The U.S. publishing industry is driven by celebrity authors and repeat bestsellers, according to testimony from a blocked merger between Penguin Random House and Simon & Schuster. Only 50 authors sell over 500,000 copies annually, with 96% of books selling under 1,000 copies. Publishing houses spend most of their advance money on celebrity books, which along with backlist titles like The Bible, account for the bulk of their revenue and fund less commercially successful books.

Chinese tech giant Kuaishou is laying off employees in their mid-30s as part of a company-wide restructuring plan dubbed "Limestone," FT reported Tuesday, citing people with direct knowledge of the matter. The move highlights the pervasive ageism in China's tech sector, where younger workers are favored for their perceived willingness to work long hours and keep up with the latest technological developments, the report adds.

While China's labor law does not explicitly prohibit age discrimination, some have interpreted it as such. However, tech executives have openly expressed their preference for younger employees, with companies like ByteDance and Pinduoduo boasting some of the youngest workforces in the industry. The economic slowdown and regulatory crackdowns have exacerbated the problem, with tens of thousands of jobs cut across the sector in recent months. Those over 35 face significant challenges in finding new employment, as even the civil service and service sector prioritize younger applicants. The situation has left many older tech workers anxious about their future job prospects, the report adds.

Google has fired another 20 workers for participating in protests against its $1.2 billion cloud computing contract with the Israeli government, according to an activist group representing the workers. From a report: In total, the company has now fired around 50 employees over sit-in protests held in Google offices last week that were part of yearslong discontent among a group of Google and Amazon workers over claims that Israel is using the companies' services to harm Palestinians. Google has denied those claims, saying Project Nimbus, the cloud-computing contract, doesn't involve "highly sensitive, classified, or military workloads relevant to weapons or intelligence services," and that Israeli government ministries that use its commercial cloud must agree to its terms of services and other policies.

No Tech For Apartheid, the group representing the workers, claimed in a statement that Google is attempting to "quash dissent, silence its workers, and reassert its power over them." "That's because Google values its profit, and its $1.2 billion contract with the Israeli government and military, more than people. And it certainly values it over its own workers," it said. The group said it will continue organizing until Google cancels Project Nimbus. Further reading: Google To Employees: 'We Are a Workplace'.

According to French business magazine Challenges, Apple has acquired Datakalab -- a Paris-based startup specializing in artificial intelligence compression and computer vision technology. 9to5Mac reports: Datakalab described itself as "experts in low power, runtime efficient, and deep learning algorithms" that work on device. On its LinkedIn page, Datakalab highlights "industry leading compression and adaptation to deploy embedded computer vision that is fast, cost-effective and precise." Prior to the Apple acquisition had between 10 and 20 employees.

From Datakalab's now-defunct website: "Datakalab is a French technology company that develops computer image analysis algorithms to measure flows in public space. The images are instantly transformed into anonymized statistical data processed locally in 100ms. Datakalab does not store any images or personal data and only keeps statistical data. Datakalab products are built according to the principle of 'Privacy by Design.'"

While neither Apple nor DatakaLab have acknowledged the acquisition, Challenges says that the deal was reported to the European Commission this month. The report says that Datakalab's two founders did not join Apple, but multiple other employees did make the jump. Datakalab also held multiple patents related to AI compression and vision technology. The acquisition makes perfect sense given Apple's rumored ambitions to run its upcoming AI-related features in iOS 18 "entirely on device."

Jess Weatherbed reports via The Verge: Swedish gaming conglomerate Embracer Group announced plans on Monday to split itself into three distinct games and entertainment companies: Asmodee Group, Coffee Stain & Friends, and Middle-earth Enterprises & Friends. These will be separate, publicly listed companies, according to Embracer, which says the move will allow "each entity to better focus on their respective core strategies and offer more differentiated and distinct equity stories for existing and new shareholders." [...]

The three new companies will be broken down as follows:

- Middle-earth Enterprises & Friends: This company, which will be renamed from Embracer Group, is described as a "creative powerhouse in AAA game development and publishing" that will retain ownership of the Dead Island, Killing Floor, Kingdom Come Deliverance, Tomb Raider, and The Lord of the Rings IPs.
- Asmodee Group: a new arm dedicated to publishing and distributing tabletop games. The existing catalog includes established titles like Ticket to Ride, 7 Wonders, Azul, CATAN, Dobble, and Exploding Kittens. Asmodee is also developing licensed tabletop games based on The Lord of the Rings, Marvel, Game of Thrones, and Star Wars franchises. Embracer anticipates the spinoff and share listings will take place "within 12 months."
- Coffee Stain & Friends: described as a "diverse gaming entity" that will focus on indie, mid-market, and free-to-play games. Properties sitting under this new company include Deep Rock Galactic, Goat Simulator, Satisfactory, Wreckfest, Teardown, and Valheim. The share listings are projected to become available in 2025.