28/04/2017

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:00:00. > :00:17.Now it's time for World Business Report.

:00:18. > :00:20.Raking in the billions - another huge quarter for Silicon

:00:21. > :00:27.But can the likes of Google and Amazon keep on growing?

:00:28. > :00:33.consumer confidence up, business confidence up -

:00:34. > :00:39.We take stock of the President's first 100 days at the helm

:00:40. > :01:02.Begin me that 8.5 minutes and I will give you an exciting snapshot of the

:01:03. > :01:04.world of business and money. Also coming up - more surprises

:01:05. > :01:08.from President Trump as he vows to renegotiate the US trade

:01:09. > :01:10.deal with South Korea. We'll be getting the

:01:11. > :01:12.reaction from Asia. We start in Silicon Valley

:01:13. > :01:20.where three of the biggest names in technology have been

:01:21. > :01:22.reporting their numbers We are talking about the Tech Titans

:01:23. > :01:27.- Google, Amazon and Microsoft. And it seems they are just

:01:28. > :01:29.getting bigger and bigger. The numbers are jaw

:01:30. > :01:35.dropping, take a look. Along with rival Facebook it

:01:36. > :01:43.dominates online advertising. But it's still managing

:01:44. > :01:48.to grow very fast. Google's parent company Alphabet saw

:01:49. > :01:51.revenues jump by almost a quarter Remember this is just three

:01:52. > :02:06.months worth of sales. It's one of the world's

:02:07. > :02:12.biggest retailers - it dominates online shopping,

:02:13. > :02:20.and still saw sales grow over 22% to almost $36 billion

:02:21. > :02:22.for the three months to March. Three quarters of a billion

:02:23. > :02:25.of that was profit. Amazon has been growing sales

:02:26. > :02:28.in double-digits for 20 years. Microsoft too is

:02:29. > :02:30.raking in huge sales. Many people wrote it off as a victim

:02:31. > :02:34.of the decline in PC's and the rise But it's become a leader

:02:35. > :02:47.in cloud computing. It made revenues of over $23 billion

:02:48. > :02:51.although they were only up 6%, and that was less than

:02:52. > :02:56.Wall Street was expecting. But are these Tech Titanstoo

:02:57. > :02:59.dominant - simply too big - and too powerful in their

:03:00. > :03:14.respective industries? That if they remain under scrutiny.

:03:15. > :03:23.Some practices, adding conventionally, you'd have to say

:03:24. > :03:28.yes. They would be up to 50% of the e-commerce market. Knocking out a

:03:29. > :03:32.lot and traditional retailers as well as on line rivals but it's not

:03:33. > :03:36.behaving in the two -- traditional monopoly way. With price gouging.

:03:37. > :03:40.Consumers still get a pretty good deal. Prices are actually going

:03:41. > :03:41.down. Gary Reid is managing director

:03:42. > :03:45.at Forward 3D which is a digital which is a digital

:03:46. > :03:54.marketing company. Great to have you with us. Some

:03:55. > :04:00.people might say, Google, for example. Is it really too big and

:04:01. > :04:05.too dominant? Maybe to begin dominant because there is not much

:04:06. > :04:08.of a competition out there. That is part of the point. They have got

:04:09. > :04:13.great products but if you look at e-commerce, there is less than 20%.

:04:14. > :04:21.There is a line right now. Still a long way to go. Isn't it funny, and

:04:22. > :04:25.not funny, but it highlights the times we're living in. We used to

:04:26. > :04:31.talk about GE, General Electric, as being the world's biggest company.

:04:32. > :04:36.That is now dominated at the top three in the world are tech

:04:37. > :04:41.companies. Absolutely. It shows you where everything is going. Going

:04:42. > :04:45.from desktop PCs and mobile phones. The whole world is changing. They

:04:46. > :04:53.are providing the infrastructure for us. Imagine a deal without Google

:04:54. > :05:00.Maps. We would be lost. Talking of Google, when the numbers come out,

:05:01. > :05:06.things to look out, what we call it? The cost per click. The advertising

:05:07. > :05:11.money. Every time somebody clicks on an advert, somebody pays for that.

:05:12. > :05:16.That probably masks the fact that their revenue has been going up.

:05:17. > :05:20.That's because there is incremental clicks coming from mobile phones.

:05:21. > :05:27.People do a lot of clicking on mobile phones. That is what is

:05:28. > :05:31.happening at the moment. Say with hammers on, people going to the

:05:32. > :05:38.Amazon on site. Going straight to looking for a product as opposed to

:05:39. > :05:42.searching on Google. With hammers on E now, you can order from your home

:05:43. > :05:50.without going even want your mobile phone. -- Amazon Echo. What Google

:05:51. > :05:55.are trying to do with Google shopping is aggregate everything

:05:56. > :05:58.that is not Amazon, to create some competition to Amazon. They are

:05:59. > :06:08.doing a pretty good job. The one, Microsoft. Microsoft sales of PCs,

:06:09. > :06:15.they are going to be hit hard but they reinvented into this cloud

:06:16. > :06:19.storage. Unbelievable. They become so dominant in that, Google are

:06:20. > :06:25.trying to catch up with them. Big companies are using them. They have

:06:26. > :06:31.got that heritage which says they can be trusted in that area. Amazon

:06:32. > :06:36.makes most of its money from the cloud. Gary Reed, a pleasure. Your

:06:37. > :06:49.first time does. It will not be your last.

:06:50. > :06:51.We are also talking about President Donald Trump-

:06:52. > :06:54.because as you've been hearing, Saturday marks the 100th day

:06:55. > :06:58.On the campaign trail Mr Trump made some big pledges on business

:06:59. > :07:02.Stock markets are still riding high on a wave of optimism -

:07:03. > :07:06.the so called Trump Bump -- how much will he be able to deliver?

:07:07. > :07:08.Samira Hussain has more from New York.

:07:09. > :07:14.As a candidate, Donald Trump had ambitious plans for the economy in

:07:15. > :07:20.his first 100 days in office. I am asking the American people to dream

:07:21. > :07:27.big once again. What follows is my 100 day action plan to make America

:07:28. > :07:35.great again. But things that require action by Congress have stopped. The

:07:36. > :07:42.tax code not reformed, Obamacare not repealed. Even though, Donald Trump

:07:43. > :07:46.has seen the economy and crime. The domestic economy is good. Regardless

:07:47. > :07:52.of policies, they will take time to implement. That is why I think you

:07:53. > :08:04.have seen a period. Just forget the 100 days. Periods where the market

:08:05. > :08:08.moves up. Consumer confidence has risen. So too has business

:08:09. > :08:17.confidence. And crucially, stock markets are up as well. The S 500

:08:18. > :08:21.is written as investors seem convinced that Donald Trump will

:08:22. > :08:28.deliver for corporate America. They have a checklist of items they want

:08:29. > :08:33.to pursue to get to growth number. Implicitly, they premise that growth

:08:34. > :08:38.on the idea of tax cuts, mainly as expanded infrastructure spending.

:08:39. > :08:48.That is an important milestone, they've got a lot of legislating to

:08:49. > :08:53.do. Present John hasn't -- President Trump has not been able to change

:08:54. > :08:56.much and if he doesn't soon, the high hopes which are fuelling

:08:57. > :09:06.economic activity, they may start to stall.

:09:07. > :09:09.Let's stay with President Trump because he's been telling Reuters

:09:10. > :09:12.news agency he will either renegotiate or terminate

:09:13. > :09:14.what he called a "horrible" free trade deal with South Korea.

:09:15. > :09:17.He also says Seoul should pay for a US

:09:18. > :09:23.anti-missile system that he priced at $1 billion.

:09:24. > :09:32.Let's go over to Singapore and Sharanjit. Good to see you,

:09:33. > :09:39.Sharanjit. Another one of these announcements by the President. It

:09:40. > :09:45.is the currency, the won, that has taken a hit. Yes, the currency, the

:09:46. > :09:49.won as well is the local index went into reverse. It stunned a lot of

:09:50. > :09:54.investors. They weren't expecting this to come and Mr Trump is, as you

:09:55. > :09:58.said, the gift that keeps on giving. He is calling the five-year pact

:09:59. > :10:03.with South Korea unacceptable and that he would renegotiate it. A real

:10:04. > :10:07.revamp of the North American Free Trade Agreement. He essentially

:10:08. > :10:13.blamed the US- South Korea trade deal on his 2016 election opponent

:10:14. > :10:17.Hillary Clinton who was Secretary of State at the time who promoted the

:10:18. > :10:21.final version of the trade pact before its approval by Congress in

:10:22. > :10:24.2011. As I mentioned, President Trump has stunned the financial

:10:25. > :10:29.markets. They weren't expecting this. We have seen a slightly

:10:30. > :10:35.brightening prospect for the Korean economy. We have seen global demand

:10:36. > :10:38.improving. They have been leading the recovery in South Korea as well

:10:39. > :10:44.as a number of other trade reliant agent -- Asian economies such as

:10:45. > :10:47.Japan and Taiwan. We heard from a high-ranking South Korean Finance

:10:48. > :10:49.Ministry official who declined to be named, telling Reuters the Trump

:10:50. > :10:55.administration had not requested anything from them yet so they are

:10:56. > :10:59.just waiting and seeing. We will do a U-turn. He's done that and

:11:00. > :11:04.everything else. CU, Sharanjit. Follow me on Twitter. I will be back

:11:05. > :11:06.with James did look -- to look at some of the newspapers from around

:11:07. > :11:20.the world. The general election will be a

:11:21. > :11:23.tipping point the education, with head teachers warning the stability

:11:24. > :11:24.of the whole system is at