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THE HEADLINES
Estimated Read Time: 3 minutes and 51 seconds
IT’S NOT ME, IT’S YOU
Apple and Intel are calling it quits by 2020. It turns out that Apple could be building its own chips to power their line of computers. Apple’s plan, codenamed Kalamata, has yet to be confirmed officially by the company. And Intel appears to be, as we say in the business, SOL.
As the news came to light, Intel’s shares dropped 9.2%, the largest midday drop for the chipmaker in over 2 years. The work that Intel does for Apple accounts for almost 5% of the chip maker’s annual revenue. Define: diversification.
The news didn’t come as a surprise to many close to the iPhone maker: building their own chips would allow Apple to release products on their own timeline. Does this mean we won’t have to wait 15 years for a MacBook Air upgrade again?
Water Cooler Talking Point: “First Channing Tatum and Jenna Dewan, and now this? Not a great start to the week for celebrity couples, inanimate or not.”
NOISE CANCELING
It appears that Fergie’s rendition of the ‘Star Spangled Banner’ isn’t the only unsettling sensory experience that is top of mind for the NBA. The league has undertaken an initiative to make the NBA experience more friendly to those with sensory processing disorders (read: Autism, PTSD etc.).
KultureCity, which works to make public spaces friendlier for those with Autism or PTSD, has partnered with the league to …
- Outfit stadiums and arenas with quiet spaces
- Provide stadium staff with “sensory bags” (noise-canceling headphones, fidget toys, and an iPad)
- Train employees to handle every NBA fan’s needs
Most recently the sports league which patented the “noise-o-meter“ worked to create a better shopping experience for those with sensory sensitivities at its Time Square flagship store. Because who are they to discriminate against any bandwagon fans from buying overpriced official NBA jerseys?
Water Cooler Talking Point: “Bravo, NBA … assuming that ESPN doesn’t uncover internal memos hinting that this is all a sham, which undoubtedly a stable of The World Wide Leader’s interns are currently working to dig up.”
ALL HEALTH BROKE LOOSE
GE will say au revoir to a trio of IT businesses from GE Healthcare, selling the organizations to PE firm Veritas Capital for roughly $1.05B. The only hangup is that healthcare is GE’s third most profitable division. So, why the sale you ask?
To put it simply, GE is going through a process of simplification, as complexity has hindered the industrial behemoth as of late.
Even within their healthcare division, the company has weaved a tangled web of business lines. The assets most recently sold by GE were focused on hospital workflow and admin IT services, whereas GE Healthcare plans to push forward in the clinical care software space.
This surely won’t be the last sale from GE, as their CEO John Flannery plans to exit at least $20B in businesses.
Water Cooler Talking Point: “This, along with cost cuts and daily prayers to Thomas Edison should mean GE will be out of this slump in no time.”
IN OTHER NEWS
- GreenSky, a fintech company that provides homeowners loans up to $55k for renovations, filed confidentially for an IPO yesterday. That type of filing allows companies to pull back if things don’t go well. Signaling to investors: “We really believe in ourself … ?”
- Morgan Stanley downgraded FitBit yesterday, claiming “it is hard to see a floor” for the faltering business. The stock dropped 10% on the news.
- Cryptocurrency poster boy John McAfee charges $105k per tweet to promote ICOs. That’s $375 per character for those of you counting at home.
- Chili’s launches a new membership program offering “free chips and salsa with every visit,” and it’s working well. Duh.
- US indices were down yesterday:
- DOW: -1.90%
- S&P 500: -2.23%
- NASDAQ: -2.74%
INSIDER INFORMATION
Disclaimer: Legally we can’t claim that these are the most valuable tips, ideas, and resources on the internet. But, here’s what …
… we’ll be watching on CNBC all day: Spotify is set to IPO today. But Spotify’s ‘direct listing’ ain’t your daddy’s IPO. Many of the familiar public offering bells and whistles will be missing: the over the top roadshow, an absurdly rich founder ringing the opening bell etc.
… a ‘direct listing’ is: In case you’re asking for a friend. Thanks, Investopedia.
… Tyler is watching instead of asking for feedback: Most people handle criticism about as well as your gluten-free colleague handles bagels in the break room. Don’t be that person.