11/10/2016 Asia Business Report

More for me later that he is Ricoh with the Asia Business Report.

Samsung 's share price plunges after it stops worldwide sale and

exchanges of its Galaxy Note 7. Look at how Google is helping women in

rural India improve their lives via the Internet will not good morning

Asia. Hello, world. It is Tuesday and we're glad you could join us. I

am Rico. We start with Samsung and the crisis at the conglomerate is

getting worse. Its shares have opened sharply lower, down around 5%

after it cold shops across the globe to stop selling its new Galaxy Note

7. They told users to turn their phones off. This comes after new

complaints in the United States that their replacement Galaxy Note 7

overheated. What will this mean for the company? Stephen Evans gave as

this update from Seoul. I think it is bordering on corporate disaster.

It will go down in the business School logbooks. What you don't do

is recall the product, a flagship product design to complete directly

with your competitor in particular time, recall it and then reissue it

and it is safe and then say please don't use it. Everybody stopped

using it and tell the stores that they cannot sell it. Stop selling

it, stop using it. This is a serious situation. They recalled at 2.5

million of these phones. There are many out there. That is 2.5 million

people on this planet who have now been told you have paid around $800

for your phone, do not use it. They will clearly not be very happy about

that. The problem with the smart phone, the sad impact Samsung's

brand as a whole? Even its other products? No indications that it is

impacting other products but it has got to take the brand. This was

meant to be the big shiny piece of jewellery that took on the iPhone

seven. They lost a month of that sales dry with the first recall and

they are now losing... We do not know how much. Think of the Chinese

market where there are Chinese producers for iPhone, apple has a

particular iconic cachet. This delicacy note seven was meant to

attack that cachet. It was meant to be the kind of competitor which had

a similar cool feel about it. There is nothing cool about a product

recall. There is nothing cool, obviously, about batteries that may

catch fire. What is Samsung going to do about it? Will it say we have

this wrong, clearly the battery technology is a huge problem and we

need to return to the drawing board on this or will it say that we have

looked and it is a glitch and we now proceed. There is a lot of hard

thinking going on in that company. Samsung could have more financial

problems on the way with the US Supreme Court set to finalise how

much it should pay rival apple for illegally copying the iPhone. In the

original court ruling the world 's largest smartphone maker was ordered

to pay close to $400 million in a tit for tat. Moving out to oil price

and the price of crude has hit a one-year high after Russia said it

would support OPEC proposal to freeze production. The group of

countries are gathered again, this time in Istanbul, on the sidelines

of the world energy Congress. Let's have a look now at how crude prices

are faring. $51.28 for light crude and also slightly lower years Brent

crude. The big question is now we'll deal to cut supply and reverse the

slump in global prices likely? We explain we he believes it will

happen. They have got to reduced production anyway as we enter the

fourth quarter. Record highs in Russia and Saudi Arabia, they had to

reduce production to avoid completely flooding the market. To

700,000 barrels cut a day is significant. It is less than 2% of a

cut. This is all talk at the moment. When will it happen? We are seeing

the market pricing things upwards. The end of November. The market is

already pricing it because OPEC and other groups such as Russia are

doing a very good job at tipping things and making it frisky. The

market has responded moving prices are but aware. You mention the price

yesterday, one year ago we hit that number. And then in November,

December it crashed and we were at 30 in January. Has the cut that may

happen at the end of November already been priced in? If it

happens can we see a surge in the price of oil or has it already

topped off at this level? It has been priced in although Saudi Arabia

is giving signals they would like to see prices move up to about $60. If

we see significant... Say, 700,000, then I think the marker will say

yes. They have done the right thing. Oil and gas consultant Tony Regan.

Google is working hard to get more online people in developing markets.

In India it is even teaching some rural women how to use the Internet.

Facebook tried to tap into India's rural areas last year and failed. So

can Google succeed where Facebook flopped? The saris sold here made in

cities across India. They have been making the traditional garments for

generations. The women in my village all know how to make breaded saris.

Once they saw them on the Internet they started to make their own

versions which earned them a lot more muggy. She calls herself a

digital trainer. But if a new initiative by Google and data trust

called Internet buddy she has been tasked with teaching women in rural

areas basic digital skills. After affordability and infrastructure,

the next big challenge facing global companies is convincing people that

the Internet can be useful. And for people coming from rural areas where

people are not even aware of what the Internet is, that will not be an

easy task. Google wants to take the Internet to 300,000 villages in the

next three years. An ambitious target. Access to information on

whether access to information about farming practices, especially

pricing. Access to information about government schemes relevant to them.

The single biggest biggest insight for us is that if we want to get the

women online we have to have products and services that are going

to significantly improve their livelihood. Google is not the first

tech giant to try and capture the imagination of the rural population

in India. Last year Facebook tried to introduce free basics which

promised access to some parts of the Internet for free. But the

government blocked it ruling the programme unfair to other Internet

providers. Competition is essential but analysts say the government it

helps make digital India a reality. For companies like Google that also

means customers, business and, one day, profits. And for those who are

getting online for the first time it as a chance to learn new skills and

an insight into a new world. That of the world wide web. That is the

effort to get people online for the first time. But at the other end of

the scale, some companies are starting to look at five G

conductivity. South Korea is expected to roll out testing in 2018

when it hosts a Winter Olympics. Industry experts told me how the

network will change. Five G brings the telco industry together. With

four G was about the consumer and the phone calls they could make in

the day today. 5G brings in other things. It connects smart cities,

smart homes, the healthcare industry. What challenges do you

think will 5G face over the next few years? There is a lot of standard

still to be defined. We expected that yet next year or so for that to

be clarified. After that there is investment it needs to be made in

the current networks to get them ready. Countries like Japan and

South Korea and China are very advanced when it comes to 4G

technology. Are they at the forefront of moving the technology

forward? They're not just at the forefront in Asia-Pacific, they are

at the forefront globally. They have invested heavily in 5G development

and they will be the first to deploy these solutions. Before we go, here

is a quick look at the market. So far so good in early Tuesday

training. A positive day for the Japanese and the Australian

stock-market. The Nikolay is up by 130 points and it all areas gained

17. This is due to a rise in oil prices. Thank you for investing your

time with us.