Verizon's Frontier Deal and Nvidia Pushes Back | Bloomberg Technology

10 Sep 2024 (2 months ago)

Verizon Acquires Frontier Communications

Verizon Communications Inc. is buying Frontier Communications to expand its high-speed internet business. (2m15s)
The deal is expected to close in 18 months and will make the company more competitive in the high-speed internet business. (1m43s)
Verizon believes that the deal will be accretive on day one after closing, which will take 12 months due to integration costs. (6m0s)
Verizon believes its acquisition of assets from Frontier Communications will give it the largest broadband offering and distribution, putting it in a good position to execute for customers and shareholders. (9m5s)

Nvidia stated it has not received a subpoena from the U.S. Department of Justice, but confirmed it would answer regulator questions. (10m37s)
C3.ai CEO Tom Siebel characterized the company's third quarter as "great" with 21% year-over-year growth, adding that the company is pursuing litigation against NL in civil court in Italy over the alleged copying of thousands of lines of C3.ai source code. (12m13s)

Hewlett Packard Enterprise (HPE) experienced double-digit year-over-year revenue growth, driven by artificial intelligence (AI). (18m26s)
HPE saw sequential order growth across all its businesses, indicating a recovery in the market. (20m40s)
HPE CEO Antonio Neri acknowledged the tragic death of Dr. Lynch and stated that the company is pursuing damages in the incident as a fiduciary duty. (21m58s)

TSMC suppliers believe that the increased demand for AI is not a temporary trend and that the AI industry is still in its early stages of growth with many applications yet to be developed. (24m29s)
Investors are advised to maintain a long-term investment horizon, avoid overreacting to short-term market fluctuations, and diversify their portfolios to mitigate risk, particularly considering the high valuations of stocks. (25m34s)
Despite concerns about a potential slowdown in AI investment, companies recognize the importance of investing in productivity-enhancing technologies like AI, and the risk of not investing is perceived as greater than the risk of investing. (26m27s)

There is a consensus that U.S. sports team valuations are too high. (35m16s)
The value of global sports is significantly underestimated, with factors like global media rights and betting contributing to its growth. (33m26s)

OpenAI has reached one million paid users for its ChatGPT Enterprise version in a year, indicating significant growth despite competition and businesses focusing on AI's return on investment. (38m48s)
Broadcom is anticipated to have another strong quarter, with AI in semis likely offsetting cyclical headwinds in the legacy business. (40m26s)
Broadcom's networking segment is significant, with the company partnering with Nvidia in designing chips and holding the largest share in designing in lieu of GPUs. (41m17s)
While Broadcom's business with Apple is relevant and sizable, it is not expected to be a high-growth catalyst, though it does provide a steady stream of high cash flow. (42m54s)