21-25 Oct: Your guide to what’s happened this week in the media, entertainment and technology industry.
Twitter shares plunge, advertising to blame
Social network Twitter has blamed advertising bugs and low demand during the summer for its worse-than-expected results released this Thursday, BBC News reported.
The company’s shares fell more than 20%, whilst profits rose 9% compared to last year.
As a result of the poor earnings, Goldman Sachs has downgraded its rating from “buy” to “neutral”.
BBC ’not sustainable’ in current form
Media watchdog Ofcom has warned that the BBC may not be sustainable in its current form if it continues to struggle to attract younger audiences, CityAM has reported.
The report released this Thursday said the broadcaster risk losing young people, as they increasingly tune out of its services. According to viewing figures, 16 to 24-year-olds now count for less than 50% of the BBC’s TV channels.
Comcast beats expectations after Sky acquisition
Comcast has reported an 11% rise in net profit in its Q3 earnings released this Thursday.
According to The Wall Street Journal, the rise was driven by broadband customer gains which helped Comcast reach a record number of customer additions.
Profits are also said to have been boosted by its acquisition of Sky last year.
Fibre optic broadband arriving in London Underground
New fibre optic cables will pass through London’s Tube tunnels as part of the latest stage in full-fibre broadband upgrade, Engineering & Technology has reported.
Mayor of London Sadiq Khan announced that £10 million will be spent on creating a “fibre backbone” to enable gigabit broadband, amounting to internet speeds of 1000 megabits per second.
The network will be created using the Tube network and public buildings to link fibre optic cables to properties.
Apple TV+ forecasted $9 billion in revenue by 2025
Wall Street firm Morgan Stanley has forecasted in its report that Apple TV+ will become a $9 billion-a-year business by 2025, according to The Hollywood Reporter.
The report analysis expects Apple+ TV users eventually becoming paid subscribers, which will offset content costs and operating expenses. Since the release of the report, Apple saw its stock rise to a new high.
The report also sees Apple’s services business growing by 20% in 2020.
- Read more: Analysis: Apple to put services at its core