Saudi says no to output cut
OPEC will not cut oil production, even if the price drops to US$20 a barrel, and it is unfair to expect the cartel to reduce output if non-members do not, Saudi Arabia said. “Whether it goes down to US$20 a barrel, US$40, US$50, US$60, it is irrelevant,” Saudi Minister of Petroleum and Mineral Resources Ali al-Naimi said in an interview with the Middle East Economic Survey, an industry weekly. In unusually detailed comments, al-Naimi defended a decision by OPEC last month to maintain a production ceiling of 30 million barrels per day. The decision sent global crude prices tumbling, worsening a price drop that has fallen by about 50 percent since June.
Telstra to buy Pacnet
Telstra Corp will acquire Pacnet Ltd, which operates undersea cables in the Asia-Pacific region, as Australia’s largest telephone company seeks to expand in the region. The US$697 million transaction, which includes gross debt of about US$400 million, will be completed by the middle of next year, subject to regulatory and Pacnet financier approvals, Melbourne-based Telstra said in a statement. Singapore and Hong Kong-based Pacnet will give Telstra an expanded data center network, more submarine cables and major customers across the region, it said.
Italy fines TripAdvisor
Italy’s competition watchdog has fined travel Web site TripAdvisor 500,000 euros (US$613,000) for publishing misleading information in its reviews, it said on Monday. The fine follows a seven-month investigation into whether the Web site takes appropriate measures to avoid publishing false opinions while presenting them as genuine, following a complaint from consumers and hotel owners in Italy. The Rome-based regulator said the US company and its Italian arm should stop “publishing misleading information about the sources of its reviews,” adding that the practice started in September 2011. TripAdvisor said it disagreed with the antitrust authority’s decision and would appeal it.
Lines rebuts spying report
The parent company of the Line mobile-chat application yesterday denied press reports in Thailand that the military government is monitoring messages sent through the service. “No monitoring by the Thailand government has been conducted,” Nam Ji-woong, a spokesman for South Korea-based Naver Corp, which owns Line Corp, said by e-mail. The government was monitoring more than 40 million messages sent via Line each day, Khaosod newspaper reported, citing Thai Minister of Information, Communication and Technology Pornchai Rujiprapa. Pornchai said the ministry could see what messages were being forwarded and was focusing on those deemed libelous, anti-royalty or threatening national security, the report said.
Facebook censors dissent
The blocking of a Facebook Inc page promoting a Russian opposition rally highlights the challenges the social network faces in the country as Russian President Vladimir Putin seeks more control over the Web. Facebook agreed to block the page at the request of Russian communications regulator Roskomnadzor, agency spokesman Vadim Ampelonskiy said yesterday. The watchdog asks social media to shut access to Web sites calling for mass protest and extremism, Ampelonskiy said. A Facebook representative declined to comment.
POOR INTERNAL CONTROLS: Insurance Bureau Director-General Shih Chiung-hwa said the company is expected to get back on track while its chairman is suspended The Financial Supervisory Commission (FSC) yesterday fined Shin Kong Life Insurance Co (新光人壽) NT$27.6 million (US$939,415) for a reckless investment that endangered its solvency, and suspended its chairman Eugene Wu (吳東進) for poor supervision. The penalty is the second-highest in a single case after Nan Shan Life Insurance Co (南山人壽) was fined NT$30 million in September last year and its chairman Du Ying-tzyong (杜英宗) suspended for two years, the commission said. In three rounds of special and regular examinations conducted since last year, the commission found that Shin Kong Life had given too much power to an asset and liability management committee
HEAVY INVESTMENT: Moody’s affirmed the firm’s ‘Aa3’ rating with a ‘stable’ outlook due to its leading position in the industry and ability to match customer requirements Taiwan Semiconductor Manufacturing Co’s (TSMC, 台積電) revenue this year is expected to increase about 21 percent to NT$1.29 trillion (US$44.01 billion) from NT$1.07 trillion last year, driven by strong demand for advanced 5-nanometer and 7-nanometer chips mainly used in smartphones and high-performance computing devices, a Moody’s Investors Service report on Wednesday said. TSMC’s rate of revenue growth next year is to increase to 7.5 percent, the ratings agency said. The company, which supplies 5-nanometer chips for Apple Inc’s new iPad series, has introduced the advanced chips ahead of its competitors and gained a significant share of the market for the foundry industry’s
Sony Corp has cut its estimated Play Station 5 (PS5) production for this fiscal year by 4 million units, down to about 11 million, following production issues with its custom-designed system-on-chip (SOC) for the new console, people familiar with the matter said. The Tokyo-based electronics giant in July boosted orders with suppliers in anticipation of heightened demand for gaming in the holiday season and beyond, as people spend more time at home due to the COVID-19 pandemic. However, the company has come up against manufacturing issues, such as production yields as low as 50 percent for its SOC, which have cut into
O2O BICYCLE SHOW: The Taiwan Bicycle Show next year is to be online to offline, with forums, audio-visual conferences and livestreaming of the offline events Local bicycle makers expect demand to continue outpacing supply due to orders triggered by the COVID-19 pandemic, with some companies seeing orders back up through next year. “Next year is all full in terms of orders. Our lead time on components is one year,” Giant Manufacturing Co Ltd (巨大機械) chairwoman Bonnie Tu (杜綉珍) told a news conference in Taipei organized by the Taiwan External Trade Development Council (TAITRA) to announce next year’s Taipei Cycle Show. The pandemic has reduced bicycle supplies and increased demand around the world, Robert Wu (吳盈進), chairman of KMC (Kuei Meng) International Inc (桂盟國際), one of the world’s