Amazon is nothing if not relentless.
With the launch of the third generation Kindle – this time with a WiFi only model priced at $139 in the US – the Seattle-based company is reinforcing its leadership of the e-book reader market.
It faces competition from the multi-purpose Apple iPad, of course, but I still think there is a place for an E Ink screen device on which it is more comfortable to read books. Read more
It is no disrespect to Bob Dudley, the American who is about to become chief executive of BP, to note that were he British – or any other nationality – he probably would not be getting the job.
There is now a distinct possibility that BP will soon have not only an American chief executive but an American chairman too. Paul Anderson, a BP board member, has been mentioned as a possible successor to Carl-Henric Svanberg as non-executive chairman.
Mr Anderson, a former chief executive of both BHP Billiton and Duke Energy, was in the running to become BP chairman last year. As things turned out, it might have been useful to have him around. Read more
Oh dear. The results of the stress tests on European bansk – only seven out of 91 banks failed the tests compared with 10 out of 19 in a similar US exercise last year – are not reassuring.
Given that the European tests gave some leeway to national regulators across Europe to conduct examinations their own way, there was always a lot of scepticism about how rigorous the results would be. Read more
So much for the death of hedge funds.
Asset management, having been through a couple of tough years, is back to doing fairly well for itself – and that includes hedge funds – according to the Boston Consulting Group.
The industry as a whole is back from a nasty 2008 with global assets under management rebounding from $47,000bn in 2008 to $52,600bn. Even more importantly for those concerned, the post-crash squeeze on operating margins seems to be easing. Read more
It is rare to hear the senior management of a company insisting so forthrightly that it has little control over its own destiny, but that was the message emerging from Goldman Sachs today.
David Viniar, Goldman’s chief financial officer, was at pains to hammer home this point on the investor conference call following its poor second quarter results:
“Our mix of business in not driven by management and the board . . . it is really driven by what our clients are demanding from us . . . It was very, very largely reduced client activity [that caused a sharp fall in revenues]“
Mr Viniar was trying to counter the suggestion that Goldman’s results were due to poor risk-taking or trading with its own capital. Instead, he wanted everyone to believe that Goldman’s fate was largely out of its hands, since it rises and falls on the financial tide. Read more
Steve Jobs’ apology to customers who have bought an iPhone 4, and offer to supply a free case to alleviate any reception problems, was the right response but the way in which he delivered the message reduced the impact of his climbdown.
Mr Jobs looked exasperated by the fuss over the iPhone 4 losing reception when it is held in a certain way, and his body language and manner gave the impression that he was being forced into something that he did not really believe in. Read more
Companies controlled by the US government seem to have a lot of difficulty maintaining an amicable balance of power between their chairmen and their chief executives.
Harvey Golub’s abrupt resignation as chairman of American International Group after a stand-off between him and Bob Benmosche, AIG’s chief executive, is a second example of the phenomenon. Read more
Further to my column on Avandia suggesting that politicians should leave it to properly qualified regulators to decide on drug safely, the FDA advisory committee considering the anti-diabetes drug this afternoon decided against recommending that it is taken off the market.
That is something of a slap in the face to the politicians who I believe got ahead of themselves in declaring Avandia to be “a dangerous drug”, in the words of Rosa DeLauro, a Democratic member of the House of Representatives last month. Read more