The latest business news with informed analysis from the world's financial centres.
Browse content similar to 06/01/2017. Check below for episodes and series from the same categories and more!
Samsung's on track for its best profit in years and pledges to put
The boss of Sony tells us why goods and information must
Also coming up, Mr Trump locks horns with Toyota over plans to build
In the last few hours South Korean tech giant has said it's on track
for the best quarterly profits in more than three years.
It's a major boost for the company after the exploding smartphone
scandal that put a serious dent in its reputation.
In the three months to the end of December, Samsung is forecasting
That's up by half on the same period last year, much better than expected
That might come as a surprise as we know Samsung was forced
to scrap its top of the range phone, the Galaxy Note 7, after a spate
Hugely embarrassing, and hugely expensive.
It has warned the scandal sent more than $5 billion of profit
Samsung makes chips and screens for the whole tech industry.
Samsung hasn't revealed the details but it's thought to have been
the best quarter ever for its semiconductor division.
It makes the complex chips that are more and more in demand
as phones get smarter, and the prices of those have jumped.
So despite the exploding phone scandal, Samsung's investors have
had a pretty good year, shares up by almost 50% over
We'll be hearing from an expert on all this in 20 minutes' time.
Tim Baxter said at the consumer Electronics expo in Las Vegas said
they would find out what happened and put it behind them.
As you know, this year was a challenging year for Samsung.
Some of you were directly impacted and certainly many saw the media
coverage, especially about the Note 7.
We continue our intensive efforts, internally and with third party
experts to understand what happened and to make sure it does
And very soon we will be sharing the root cause report
of Pelham Smithers Associates is here.
Great to have you here, thanks for coming in at this horrible hour.
This is an interesting company, I think of it like Amazon, when we
think Amazon most think online retail and when we think of Samsung
weakening of phones and TVs but both companies make big chunks of money
from other areas. Amazon with cloud computing and these guys make it
from chips. Chips, screens, yes, stuff like that. In a good year if
everything was perfect they would make most money from phones. That
and the semiconductors. Semiconductors is the perfect high
pressure, everything is going right, they are getting their processing
chips into phones from companies like Apple, they are getting their
the UNs into their laptops and their flash memory into handsets -- the
UNs. Are the UNs chips... For the flash memory they have not gone down
anything like as much as they normally would, some chips you
expect to fall 30 or 40% a year because you are making so many more
and you are making more... If the prices don't come down and you make
40% more from the same wafer as you made before, that is glory days.
That adds to the profits. You mentioned Apple, I don't know if
many people know but they are just huge competitors and all they do is
this but if you open an Apple iPhone, Samsung chips are inside.
It's amazing that they have to work together and compete. A new phone
for Samsung, a big deal next month? That is what is planned, it is a
moving feast right now because there is the world Mobile Congress in
Barcelona and normally they make it available for that and that's what
they are trying to do this year but because of the adverse publicity of
the Samsung Note 7 they have to get this right but fortunately for them
this is different from the Note. In the UK you don't see the Note ari
much because it is more like a PDA with a pen, it is much more popular
in Asia, the Galaxy -esque is much more popular in the UK and Europe.
-- Galaxy S. They are hoping the audience for the Galaxy S won't be
au fait with what happened in the Note and they will be happy with
their previous Galaxy Less, as long as they get the publicity right it
should be successful. We will wrap up there -- Galaxy S. Thanks for
joining us. We are also at the Consumer
Electronics Show in Las Vegas where the world's top technology
bosses are showing off the latest This week the show's organisers have
warned that sales of technology They think political uncertainty
might weigh on peoples willingness Our correspondent Rory Cellan Jones
spoke to the boss of Sony, Kazuo Hirai, and asked him
how concerned he is, particularly about the policies
we may get from a Trump presidency. I think that the best course of
action at this point is really to see what presidential elect Trump
and what his policies will actually be after he's inaugurated and how
that's going to impact things like the TPP for example or the
continuation of NAFTA. And we'll have to deal with the policies he
comes up with at that point and it's difficult for us to second-guess
what he's going to be doing. He's appointed a lot of Hawks when it
comes to trade, does that worry you, would it be bad for Sony and the
rest of the global economy if things like the TPP and other big trade
treaties basically were stalled? We are a global company and we
manufacture globally as well. So obviously it's very important that
free trade is something that we keep an eye on and also the other
important thing for us is really to make sure that currency fluctuations
are kept to a minimum so that all the currencies are stable and we are
able to plan ahead and make the investments were appropriate. We're
about to see a new president, Donald Trump, do you have concerns about
what that means for trade in particular? I think it's not just
President elect Trump but all world leaders, including obviously the
leaders of Japan as well, this is a global economy and the free flow of
goods, information, is something that is part of our lives today and
to try to overregulate that I think it is not good for business.
There you go, the big boss of Sony. I am plugged back in and I can hear
the voice of God! Let's stay with President-elect
Trump, because he has been whipping up a storm
on Twitter once again. I will quote, "Toyota Motor said
will build a new plant in Baja, Mexico, to build
Corolla cars for US. Build plant in US or
pay big border tax." American car companies have faced
harsh criticism from Mr Trump for building cars more
cheaply outside the US. So how is this latest episode
going down in Asia? Sharanjit Leyl is following
the story for us in our Asia It's having quite a big impact on
its shares, in the Asian trade the Nikkei, we saw Tiote shares falling
3% when the market opened this morning but it has since recovered
-- Toyota. It shows the influence president Dole might be
President-elect has in terms of his tweets and when he first tweeted
this in the US, the American depository fell, wiping $1.2 billion
in value in just five minutes after he tweeted that. -- it shows the
influence the President-elect has. The chief of Toyota said they had no
plans to curb manufacturing in Mexico and he said that employment
numbers would not decrease, he said Toyota was the smallest importer of
vehicles from Mexico to the US in 2016. We know the company has plants
in the US and they continue to target US carmakers, his tweets, and
we saw Ford's decision to cancel plans for a $1.6 billion plant in
Mexico. The first time I have seen you this week, Sharanjit, so happy
New Year! Don't forget you can get in touch
with me and some of the team I will be back in a few minutes to
look at some of the papers from around the world. Bye-bye.
Bed blocking in the NHS in England has become significantly worse
in mental health trusts than in acute hospitals,