Browse content similar to 17/05/2013. Check below for episodes and series from the same categories and more!
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the US and in France. -- he has won. Time now for the money news with | :00:04. | :00:14. | |
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Dell profits collapse has smartphones and tablets continue to | :00:25. | :00:31. | |
batter the PC industry. Plus, Nagy ships in search of cargo. | :00:31. | :00:35. | |
Aiken target -- a cargo giant counts the cost of slumping global | :00:35. | :00:42. | |
trade. A very warm welcome to World | :00:42. | :00:49. | |
Business Report. Also coming up: South Africa's currency hits a | :00:49. | :00:54. | |
four-year low and it fears of the return of last year's labour unrest. | :00:54. | :00:59. | |
More evidence late on Thursday that the personal computer industry is | :00:59. | :01:03. | |
in steep decline. The first quarter of this use of the biggest slump in | :01:03. | :01:13. | |
:01:13. | :01:15. | ||
PC sales since records began. Now, PC giant Dell has revealed that its | :01:15. | :01:18. | |
profits all but collapsed in the last three months. It says its | :01:18. | :01:25. | |
profits plunged 79% in the three months to the beginning of May. | :01:25. | :01:29. | |
That was way worse even than Wall Street was expecting. Dell did see | :01:29. | :01:34. | |
a rise in revenue from providing services to business and, what it | :01:34. | :01:38. | |
calls enterprise solutions. That is the area that the founder is now | :01:38. | :01:47. | |
pinning his hopes. The news from Dell is a clear | :01:47. | :01:51. | |
reflection of just how dire the personal computing industry really | :01:51. | :01:56. | |
is. Reporting days earlier than expected, tells us profits jumped - | :01:56. | :02:05. | |
- dropped by nearly 80% as PC sales continue to. These results come at | :02:05. | :02:10. | |
an interesting time. Delays in the midst of a takeover battle. On the | :02:10. | :02:14. | |
one hand we have its founder and CEO Michael Dell. On the other we | :02:14. | :02:21. | |
have its largest shareholder. In the light of changing desires of | :02:21. | :02:25. | |
consumers, Michael Dell wants to take the company private and | :02:25. | :02:29. | |
changed it from a PC maker to a full service IT company oath or | :02:29. | :02:37. | |
possibly Seth. The largest shareholder still believes the | :02:37. | :02:40. | |
company is better off remaining public. These results are | :02:40. | :02:43. | |
disappointing and it may have an impact on the future of a company | :02:43. | :02:50. | |
that 20 years ago dominated the PC market. | :02:50. | :02:54. | |
His labour unrest in South Africa's minds about to erupt again? A union | :02:54. | :03:02. | |
leader says workers will walk out today over plans to cut up to 6,000 | :03:02. | :03:06. | |
jobs. Earlier this week a rival company was hit by a two-day strike | :03:06. | :03:15. | |
as the industry prepares for wage negotiations that have been called. | :03:15. | :03:18. | |
Mining companies are cutting back in the face of falling commodity | :03:18. | :03:24. | |
prices. They are also facing rising union militancy and it work and go | :03:24. | :03:28. | |
about rising income inequality. More than 50 people were killed | :03:28. | :03:32. | |
last year in violence in South Africa's mining communities. Fears | :03:32. | :03:36. | |
of a return to the unrest have pushed the country's currency to a | :03:36. | :03:46. | |
:03:46. | :03:53. | ||
As we were saying, this comes in at mining firms across South Africa. | :03:53. | :03:58. | |
What is it doing to the industry? The big concern for markets and | :03:58. | :04:03. | |
investors is how long lasting this might be. No-one is expecting the | :04:03. | :04:07. | |
scale of what we saw last year won widespread disruption and that we | :04:07. | :04:13. | |
saw negative mining group over a number of quarters. We are coming | :04:13. | :04:20. | |
up to that crucial wage negotiation Tyne. Many minds are already | :04:20. | :04:23. | |
experiencing considerable losses. It is not an environment where they | :04:23. | :04:29. | |
can afford to see their costs, of which Labour contributes Sydney | :04:29. | :04:38. | |
Fingal, rising. -- significantly. Talking about the cost of platinum, | :04:38. | :04:42. | |
expectations of another year of constrained supply, does that mean | :04:42. | :04:48. | |
global demand for the metal might outstrip supply, which would be the | :04:48. | :04:52. | |
second year in a row? In terms of supply, given the outlook we see | :04:52. | :04:55. | |
for the mines in South Africa especially, one would expect for | :04:55. | :05:00. | |
that to provide some support to prices. The problem with the plight | :05:00. | :05:08. | |
no market is that when it comes to demand, weakness in the European | :05:08. | :05:11. | |
economy means we are not seen the kind of strength and demand that | :05:11. | :05:16. | |
would be needed to achieve a sustained price rise just yet. | :05:16. | :05:20. | |
does all of this mean for South Africa as a whole? Credit rating | :05:20. | :05:26. | |
agencies perhaps reviewing the cost of businesses investing in the | :05:26. | :05:30. | |
country and the currency having been pushed to a new low. It is an | :05:30. | :05:34. | |
additional concern. If we look at the performance of the South | :05:34. | :05:39. | |
African economy, that has been weak. In real terms, the value added in | :05:39. | :05:44. | |
mining and manufacturing is no higher than it was in 20 -- 2008. | :05:45. | :05:48. | |
South Africa's struggle to recover from the crisis and the concern is | :05:48. | :05:52. | |
if we see more disruption to mining, more of these output chocks, we're | :05:52. | :05:57. | |
not going to see a much healthier growth rate this year either. That | :05:57. | :06:02. | |
has been reflected in the weakness of the currency. | :06:02. | :06:07. | |
We will have to see whether this strike does take place. | :06:07. | :06:17. | |
:06:17. | :06:24. | ||
Some mixed results from China's most popular social network. We get | :06:24. | :06:29. | |
the details from our correspondent in Singapore. What would you have | :06:29. | :06:37. | |
won this for us? It is the owner of China's largest social network. | :06:37. | :06:41. | |
They have reported a first-quarter loss that narrowed as margins | :06:41. | :06:48. | |
improved. Unexpectedly they also what is helping its shares in | :06:48. | :06:56. | |
after-hours trade. Well above 4% at the moment. However, the last | :06:56. | :07:00. | |
narrowed to $13.2 million from $13.7 million. It is listed in New | :07:00. | :07:10. | |
:07:10. | :07:11. | ||
York and has a very large user base. It often puts the microscope on | :07:11. | :07:16. | |
corrupt Chinese officials and as a result of this it has had tried -- | :07:16. | :07:20. | |
tighter government restrictions on the social network. It has | :07:20. | :07:24. | |
struggled with rising costs and figuring out how to make money from | :07:24. | :07:34. | |
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This beast behind me, none other than Marco Polo, at 400 metres long | :07:37. | :07:42. | |
and capable of carrying 190,000 tonnes of cargo. It is the largest | :07:42. | :07:46. | |
container ship in the world. At least it was until the end of last | :07:46. | :07:50. | |
year. Its owner is about to take delivery of 20 even bigger ones as | :07:50. | :07:56. | |
part of a global battle for dominance with its rivals. | :07:56. | :08:00. | |
Unfortunately, since they order these mega ships, trade between | :08:00. | :08:03. | |
Asia and Europe has slumped significantly and the company is | :08:03. | :08:09. | |
set to report a steep fall in profits. | :08:09. | :08:16. | |
Size matters to the shipping country -- company. Built in Korea | :08:16. | :08:20. | |
and wider than a motorway, it is the first of 20 such ships in the | :08:20. | :08:25. | |
making. On board there is room for 2000 more big boxes than on the | :08:25. | :08:32. | |
market power. The company is leading what amounts to an industry | :08:32. | :08:36. | |
arms race, going large for fuel and operational savings to give them a | :08:36. | :08:41. | |
profitable edge on Asia to Europe routes. Unfortunately for the | :08:41. | :08:45. | |
company, Chinese and other competitors are also ordering 100 | :08:45. | :08:51. | |
or more similar made the vessels. Industry watchers say it placed its | :08:51. | :08:55. | |
order in busier, more profitable times. The ships are the future, | :08:55. | :08:58. | |
but only if you can fill them. Everybody thought that they would | :08:58. | :09:03. | |
get bigger ships and they are much more economical to run if you fill | :09:03. | :09:08. | |
them up. People attending to discard smaller ships. These new | :09:08. | :09:11. | |
vessels are designed to steam slowly. They are therefore much | :09:12. | :09:17. | |
more productive in terms of fuel consumption. There is definitely an | :09:17. | :09:21. | |
overcapacity in the market. There is probably no better than here in | :09:21. | :09:24. | |
the UK on the Essex coast, where they are readying these deep-water | :09:24. | :09:29. | |
dock sides to handle up to six of these fast vessels. Then there will | :09:29. | :09:35. | |
be off to do all the handling and logistics nearer to the capital. | :09:35. | :09:39. | |
The theory is that those operators who do not have these economies of | :09:39. | :09:44. | |
scale may suffer as a result. is changing because of the world | :09:44. | :09:48. | |
economy over the last few years is a need to take costs out of the | :09:48. | :09:53. | |
supply chain. The shipping lines sight of their ships to get better | :09:53. | :10:03. | |
economies of scale. There is a huge amount of cost him cargo shipping. | :10:03. | :10:10. | |
Is what London Gateway is going to get right. So now operators like | :10:10. | :10:14. | |
must somehow have to find the cargoes to feel these new ships and | :10:14. | :10:20. | |
try and resist cutting harder rates. But a late -- the payload of just | :10:20. | :10:25. | |
one vessel would fill all of Times Square in New York. | :10:25. | :10:30. | |
Asian markets are certainly thin in Friday trade due to a lot of | :10:31. | :10:34. | |
markets actually being closed for the holidays, including Hong Kong | :10:34. | :10:42. |