Business News - part 5

Google Stops Selling Google Glass, Developing New Version

Google Stops Selling Google Glass, Developing New Version

BUSINESS

  • Google Glass a commercial failure
  • Produce faced concerns over privacy
  • Competitors have more realistic versions of Google Glass

Tech giant Google Inc. announced it stopped selling Google Glass and has delayed the debut of Google Glass 2.

Only last month Chairman Eric Schmidt said Google Glass 2 would be available soon. Now Google says it won’t be available until the company is ready.

Read more »

Target Closing All Canadian Stores

Target Closing All Canadian Stores

BUSINESS

  • Stores weren’t expected to turn a profit until 2021
  • Closures will cost company
  • Retailer had rushed Canadian debut

Target Corp., the second-largest U.S. retail chain, is ending its Canadian subsidiary and will focus on growing its American business.

Target chairman and CEO Brian Cornell explained the closure in a statement: "After a thorough review of our Canadian performance and careful consideration of the implications of all options, we were unable to find a realistic scenario that would get Target Canada to profitability until at least 2021. Personally, this was a very difficult decision, but it was the right decision for our company,"

Read more »

Tesla’s Goal is to Reach 1 Million Cars Produced by 2025

Tesla’s Goal is to Reach 1 Million Cars Produced by 2025

BUSINESS

  • Company not expected to turn a profit until 2020
  • New models to help automaker reach its production goals
  • Chevrolet Bolt to compete with Tesla Model

U.S. electric car manufacturer Tesla Motors Inc. plans to increase production to a few million vehicles per year by 2025, company founder and CEO Elon Musk said at the Automotive News World Congress.

In 2014, less than 40,000 cars were produced. During the fourth quarter, sales in China were weak due to a misperception about how electric vehicles are charged, a problem Musk said would be fixed this year.

Read more »

Instacart Raises $220 Million in Additional Funding

Instacart Raises $220 Million in Additional Funding

BUSINESS

  • Several investors have backed startup
  • Company grew tenfold in 2014
  • Future growth in online grocery delivery unclear

Grocery store delivery startup Instacart has raised an additional $220 million from investors, valuing the company at $2 billion, in order to expand its offerings and its market. Previously, the startup had raised $55 million.

Investors include Kleiner Perkins Caufield & Byers, Sequoia Capital and Dragoneer Investment Group.

Read more »

Dollar Tree Ready to Back out of Family Dollar Offer

Dollar Tree Ready to Back out of Family Dollar Offer

BUSINESS

  • Dollar Tree CEO says company has lost patience
  • Family Dollar has delayed vote twice
  • Dollar Store bid viewed as much riskier

Dollar Tree Inc. has told Family Dollar Stores Inc. shareholders to accept its $8.5 billion cash and stock bid or the retailer will withdrawal its bid.

Dollar Tree Chief Executive Officer Bob Sasser said the chain has run out of patience, and waiting additional time for a decision will drive up financing costs.

Read more »

Samsung Posts First Annual Decline since 2011

Samsung Posts First Annual Decline since 2011

BUSINESS

  • Drop in smartphone sales contributed to decline
  • Company may rebound with microchips, devices
  • Smartphone rivals taking advantage of Samsung drop

South Korean technology giant Samsung Electronics Co. says 2014 will be the first year with an annual decline in profit since 2011.

During the fourth quarter, profit was $4.7 billion, a 37% decline from 2013 and the fifth consecutive quarter to post a decline. Sales dropped 12%. In the third quarter, the decline was 60% and profit margins shrank to 7%.

Read more »

Wet Seal Closing Two-Thirds of its Stores

Wet Seal Closing Two-Thirds of its Stores

BUSINESS

  • Decision comes after failure to find other alternative
  • Wet Seal posted third-consecutive year of loses
  • Retailer and rivals facing slumping teen market

Teen-focused clothing and accessories retailer Wet Seal is closing 338 stores, two-thirds of its locations, effective immediately, after it failed to find other financial options to avoid bankruptcy.

For the first nine months of 2014, the 338 stores represented $316 million in net sales. The retailer did not announce which locations were closed.

Read more »

Coach Buys Stuart Weitzman for $574 Million

Coach Buys Stuart Weitzman for $574 Million

BUSINESS

  • Purchase expands Coach’s footwear offerings
  • Stuart Weitzman has strong international presence
  • Coach facing increased competition from rivals

Luxury handbag and accessories company Coach Inc. has agreed to purchase women's luxury footwear company Stuart Weitzman Holdings LLC for $574 million, adding to its product offerings.

Coach will pay $530 million in cash upfront with another $44 million payable when revenue targets are met over the next three years. Stuart Weitzman is owned by private equity firm Sycamore Partners.

Read more »

U.S December 2014 Auto Sales Strong

U.S December 2014 Auto Sales Strong

BUSINESS

  • Year total reached as high as 17.3 million vehicles
  • Average selling price increased to $34,367
  • Nissan and Honda also reported increased December sales

Automakers saw strong December sales in the U.S. and reached a projected annualized selling rate of between 16.5 million and 17.3 million vehicles sold for 2014, the best year since 2006. In 2000, sales reached a record 17.4 million vehicles.

Increased consumer confidence caused by low interest rates and decreased unemployed boosted car sales. An estimated 1.5 million were sold in December. Sales have grown 58% since 2009.

Read more »

FCC Delays Time Warner Cable, Comcast Deal

FCC Delays Time Warner Cable, Comcast Deal

BUSINESS

  • TWC did not provide documents in a timely manner
  • Parts of regulatory review would need to be reopened
  • Charter Communications deal also delayed

The Federal Communications Commission has postponed making a decision on Comcast Corp.’s $45 billion purchase of Time Warner Cable Inc.

Nearly 7,000 page of documents were withheld by TWC because of what the FCC is calling an inappropriate claim of attorney-client privilege. An additional, 31,000 documents were withheld because of a vendor error.

Read more »

Share

Follow

Browse our categories

Browse our archives

ReportLinker is an award-winning market research solution that finds, filters and organizes the latest industry data so you get all the market research you need - quickly, in one place.