Facebook is expected to report first-quarter earnings and revenue in extended trading on Wednesday, and investors will be watching for clues on how the social network plans to monetize its key Stories feature.
Wall Street anticipates that the company will report earnings of $1.63 per share ー down from $1.69 a year ago ー and revenue of $14.9 billion, according to analysts surveyed by Thomson Reuters.
Facebook ($FB) shares have rebounded close to 50 percent since December lows. The stock had weakened throughout 2018 following a series of data breaches and privacy scandals. Its recovery suggests investors may be feeling confident Facebook can weather future regulatory or privacy challenges that come its way.
That doesn't, of course, discount any more potential revelations regarding Facebook's privacy mismanagement. Facebook disclosed on Apr. 19 ー the same day that Special Counsel Robert Mueller's report on Russia and the White House dropped ー that login info for millions of Instagram users had been stored in a readable format on Facebook's internal servers, Common Dreams reported.
Facebook's fourth-quarter results reinforced investor optimism. The company reported stronger than anticipated earnings and revenue, despite ongoing controversy over the company's handling of privacy and its users' data. The company's earnings jumped 68 percent since the previous year and revenue climbed by about 61 percent, CNBC reported. Facebook also saw daily active users grow in its core Facebook product, even the U.S., where active users had previously plateaued.
The company also announced last quarter it would stop breaking out active users for its core Facebook platform, instead wrapping them into metrics from its other properties. That move would likely hide stagnation for Facebook, but also could hamper bigger growth numbers from products like Instagram.
Lastly, Facebook has been laser-focused on its Stories features and messaging apps. CEO Mark Zuckerberg said Facebook will shift focus toward encrypted and private messaging, despite the company's rather checkered history with privacy. Facebook execs could share clarification on its plans to monetize Stories and unify messaging on a call with investors after the social media giant reports earnings.
CES, the world’s largest annual tech trade show kicked off in Las Vegas on Wednesday. Cheddar News speaks with Ian Sherr, editor at large for CNET, about this year’s biggest trends.
At a time when banks in countries like Australia and Spain are offering customers cryptocurrency assets for the first time, Josh Goodbody, COO of Qredo, believes we're going to see more financial institutions across the world unveil their crypto solutions this year after developing them behind the scenes last year. He joined Cheddar News' Closing Bell to discuss.
The new year has just gotten underway, but the clock is already ticking for the Democratic-led Congress to pass bills regulating big tech. Evan Greer, Director for Fight For the Future, joins Cheddar News to explain why Democratic lawmakers would want to push legislation now, and what a Republican takeover would mean for the industry.
Americans looking to purchase at-home COVID-19 tests will now have to shell out a bit more money after an agreement expired between the White House and companies to sell the tests at cost. The price of Abbot's BinaxNow test kit from October to December was $14 apiece; on Tuesday, Walmart's website listed the test for $19.88, and Kroger listed the tests for $23.99. Carbon Health Regional Clinical Director Dr. Bayo Curry-Winchell joined Cheddar News' Closing Bell to discuss the impact higher prices will have as the nation experiences another surge in cases.
2022 is set to be a big year for autonomous technology. After many new partnerships, acquisitions, and developments in 2021, all eyes will be on the self-driving sector to see what progress, or lack there-of, will be made this year. Soroush Salehian, CEO and co-founder of Aeva, gives a look at what's ahead for the industry.
The largest tech convention in the world kicks off this week. CES, organized by the Consumer Technology Association, will run from Wednesday Jan. 5 through Friday Jan. 7, featuring more than 2,000 exhibitors showing off their latest tech products in Las Vegas. Ian Sherr, editor at large at CNET, gives a first look at some of the biggest trends expected this year.
Verizon and AT&T have agreed to delay the launch of their 5G networks for two weeks following pressure from the Federal Aviation Administration, airline companies and even Transportation Secretary Pete Buttigieg. The aviation industry is concerned the 5G rollout could bring technical challenges or safety concerns on top of the current disruptions they're already dealing with from COVID and severe weather. Hugh Odom, founder and president of Vertical Consultants and former AT&T attorney, discusses how the Biden administration was able to come to this agreement with the wireless carriers.
