Connect with us

Spread & Containment

Six 5G Stocks to Buy to Ride a Technology Wave

Six 5G stocks to buy are expected to ride a growing technology wave that should lift companies that provide key components to bring advanced communication to reality.

Published

on

Six 5G stocks to buy are expected to ride a growing technology wave that should lift companies that provide key components to bring advanced communication to reality.

The six 5G stocks to buy include companies engaged in semiconductors, technical equipment, software and related services. The recent pullback in technology stocks is giving investors an opportunity to purchase shares of the six 5G stocks to buy while they are trading at a comparative discount to the significantly higher prices that they sold for just months ago before relaxed fiscal and monetary policy led to rising concerns about inflation.

The annual inflation rate in the United States reached 4.2% for the 12 months ended April 2021, rising from 2.6% for the 12 months ended in March, according to U.S. Bureau of Labor Statistics data. The trend is undeniable with the 4.2 percent jump reported in April standing as the biggest spike for a 12-month period since a 4.9-percent surge in the 12 months ended September 2008.

Six 5G Stocks to Buy Recommended by BoA Global Research

The 5G trend is just beginning and its implications are “barely visible,” but BoA telecommunications analyst David Barden is forecasting that the technology will be used in health care, industrials, energy and consumer markets, among others. While there is not a “killer app” for 5G yet, Barden expects the right applications to be developed over time as networking deployment and phone adoption stimulate use amid a generational technology battle between United States and China.

Long-term possibilities for use of 5G include doctors performing remote surgeries, flying cars, haptic bodysuits that fully immerse players in the game world, machines monitoring and warning of breakdowns and predictive maintenance and smart grids for utility providers, Barden wrote in a recent research note.

Kevin O’Leary, chairman, O’Shares ETFs and a panelist on the “Shark Tank” television program, said in a recent podcast that 5G will be a “really big game changer” in the sense that any business that wishes to reach out to its customer and form a direct relationship will benefit from using the technology. 

Paul Dykewicz interviews Kevin O’Leary, chairman of O’Shares ETFs and “Shark Tank” panelist

Kevin O’Leary, called ‘Mr. Wonderful’ on ‘Shark Tank,’ Predicts Big 5G Growth

“The [5G] losers are going to be the companies that do not adapt to understand how to acquire customers that way,” O’Leary said. “There are plenty of those. They just haven’t figured out social media. They haven’t figured out what it takes to acquire a customer. They haven’t figured out how to digitally market. They are still trying to do it in the newspaper. Those days are gone.”

Connor O’Brien, CEO of Boston-based O’Shares ETFs, moderated the podcast and interjected that the days of businesses and individuals buying classified advertisements in print publications to sell products are on the wane. 5G is an “emerging technology” that has not been rolled out extensively across the country yet, O’Brien added.

Connor O’Brien, CEO of O’Shares ETFs

In a nutshell, 5G is the “next generation” of mobile and communications services, said Sylvia Jablonski, chief investment officer of New York-based Defiance ETFs, during the same podcast. The compound annual growth rate of 5G is projected to be about 70% between 2020 and 2025, Jablonski added.

“5G is 100 times faster than 4G is already,” Jablonski said.

Applications thus far targeted by 5G will allow for the creation of a “digitalized economy,” the continued rollout of electric vehicles, machine learning and artificial intelligence and advanced internet connectivity, Jablonski said. Another important use of 5G will be to provide real-time medical data for doctors and hospitals, she continued. 

Six 5G Stocks to Buy Include Marvell Technology

Hamilton, Bermuda-based Marvell Technology, Inc. (NASDAQ:MRVL), a developer and producer of semiconductors and related technology, ranks as one of the six 5G stocks to buy, according to BoA. The stock is poised to growth strongly as market opportunities increase in the second half of 2021 and beyond.

Marvell’s April 20 acquisition of San Jose, California-based Inphi Corporation obtained capabilities such as the production of 10-800G high-speed analog and mixed-signal semiconductor components. The combination led BoA to boost its price objective on the surviving entity to $50 from $58 on April 26.  

Even though the acquisition of Inphi is dilutive near-term to Marvell, it improves the long-term compound annual growth rate of the buyer to 16% from 12%, according to BoA. Plus, profitability will be aided as Marvell shows it is well positioned to benefit from 5G deployments in the second half of 2021 across the United States, China and Japan, as demand for cloud services rises.

Marvell, a supplier of mixed signal and analog semiconductor products for storage, computing and communication applications, appears positioned for “secular growth” in enterprise data centers, cloud 5G mobile and security markets, BoA opined. 

Nonetheless, Marvell faces threats to achieve the $66 price target BoA gave it, based on integration risks from its recent deals, financial risks stemming from going into net debt on a net cash position and in achieving expected cost synergies in a timely manner. Cyclical industry risks for Marvell include a potential slowdown in legacy hard disk drive and storage assets and competition from larger and well-resourced rivals, BoA cautioned.

Chart courtesy of www.StockCharts.com

Analog Devices Earns Berth Among Six 5G Stocks to Buy

Analog Devices, Inc. (NASDAQ:ADI), a semiconductor company headquartered in Wilmington, Massachusetts, specializes in data conversion, signal processing and power management technology. The company gained a spot among the six 5G stocks to buy from BoA and received a price objective from the investment firm of $178. The valuation seemed justified by BoA due to Analog Digital’s “best in class profitability” and differentiated communications exposure.

Potential threats to ADI include a possible economic downturn that could hurt demand for automotive and industrial products, as well as an inability to realize the planned cost synergies in its combination with Linear Tech. Other risks include possible higher-than-historical debt that could limit ADI’s valuation multiples and add risks in a cyclical downturn, concentration on key customers such as Apple Inc. (NASDAQ: AAPL) contributing 10% of its vendor’s sales on an average, as well as much higher amounts during seasonally stronger quarters, according to BoA.

Competition from larger vendors also poses a challenge from companies such as Texas Instruments Inc. (NASDAQ:TXN), which have lower-cost production facilities. However, that challenge is not unique to Analog Devices, since other fast-growing technology companies such as Marvell also incur competition from bigger and better-established rivals.

Chart courtesy of www.StockCharts.com

Cell Tower Companies Offer Alternative to Six 5G Stocks to Buy

A pension fund chairman is recommending investing in 5G through infrastructure companies. The preference is for companies that own the cell towers on which the transmission equipment is located and that rent space on the towers to the different 5G providers, said Bob Carlson, chairman of the Board of Trustees of Virginia’s Fairfax County Employees’ Retirement System with more than $4 billion in assets

Carlson, who also leads the Retirement Watch investment newsletter, said 5G stocks have had a strong rally over the last year, so be careful and look for corrections. Carlson continued that he prefers to avoid the 5G provider stocks and focus instead on recommending selected cell tower stocks.

Pension fund and Retirement Watch leader Bob Carlson answers questions from Paul Dykewicz prior to COVID-19-related social distancing.

Qualcomm Receives Place With Six 5G Stocks to Buy

San Diego-based Qualcomm Inc., (NASDAQ:QCOM) creates semiconductors, software and services related to wireless technology. The company owns patents that are important to the 5G, 4G, CDMA2000, TD-SCDMA and WCDMA mobile communications standards.

BoA assigned Qualcomm a $200 price target, while acknowledging it gave the stock a “premium” valuation compared to its mobile and large-cap semiconductor peers. The valuation came about partly due to Qualcomm’s status as a stable, high-margin royalty business, after resolving its legal disputes with Apple. Plus, Qualcomm has amassed a high market shares for 5G baseband and 5G radio frequency (RF) front-end content.

Possible threats to Qualcomm include worse-than-expected conflict resolution terms with Chinese rival Huawei, low adoption rate of smartphones worldwide due to global economic pressure and fierce competition to keep semiconductor pricing down as the company grows its presence in emerging markets. Other potential risks are semiconductor competition, needing to maintain its royalty rate when the market expands to different types of devices, such as tablets and other mobile wireless devices, or different technology generations, as well as any future negative trade policies related to China.

Chart courtesy of www.StockCharts.com

Money Manager Kramer Gives Nod to Qualcomm as One of Six 5G Stocks to Buy

Qualcomm is a favorite 5G stock of Hilary Kramer, who heads the GameChangers and Value Authority advisory services. Kramer, who also hosts the nationally aired “Millionaire Maker” radio program, said Qualcomm is the “obvious starting point” for 5G investors. 

Kramer mentioned that Qualcomm holds the patents on the wireless chips that new devices coming onto the 5G network will need to incorporate in some form. Qualcomm also offers investors an opportunity to benefit from dividend growth.

The company currently offers a dividend yield of 2% but that quarterly payout has swelled 300% in the last decade, twice as fast as the payout rate of Apple, Kramer continued. Investors who hold onto the stock could lock an 8% yield by 2030. That’s what getting into a “technological revolution early” can give investors, she added.

Paul Dykewicz conducts a pre-COVID-19 interview with Hilary Kramer, whose premium advisory services include IPO Edge, 2-Day Trader, Turbo Trader and Inner Circle.

Teradyne Joins the List of Six 5G Stocks to Buy

Teradyne, Inc. (NASDAQ:TER), a North Reading, Massachusetts-based provider of advanced test solutions for semiconductors, electronic systems, wireless devices and more ensure that products perform as they were designed, also gained a place on the list of six 5G stocks to buy.  The company produced revenue of $3.1 billion in 2020 and seeks to help manufacturers of all sizes improve productivity and lower costs.

BoA’s $155 price objective on TER is based price-to-earnings (P/E) valuation that at the high end of the company’s long-term trading range. The reasoning is due to Teradyne’s unique exposure to 5G and automation, cyclical recovery in auto and industrial markets, as well as market share in selected testing.

Potential threats to prevent achieving the price objective include cyclicality and market share losses in the core semiconductor testing arena, along with rising competition in the robotics segment, according to BoA.

Chart courtesy of www.StockCharts.com

Qorvo Nets Position With Six 5G Stocks to Buy

Qorvo (NASDAQ:QRVO), a Greensboro, North Carolina-based semiconductor company that designs, manufactures and supplies radio-frequency systems for applications that drive wireless and broadband communications, as well as foundry services, is another 5G play that received a buy rating from BoA. The investment firm gave a $215 price objective to Qorvo based a valuation that is at the higher end of the semiconductor company’s long-term range but justified by BoA due to upcoming major product ramp-ups and lessened customer concentration relative to its peers.

Potential threats to Qorvo fulfilling that price objective include possible market share losses in handset power amplifiers (PAs) in which product cycles are just 6-12 months for key customers, customer concentration at Apple and Samsung and gross margin headwinds due to reduced factory use from weaker design-win momentum. Among other possible setbacks are weakened smartphone growth trajectory, semiconductor cyclicality driven by strong macroeconomic conditions and supply chain expansion, as well as lingering COVID-19 headwinds further impacting the supply chain or creating demand destruction, BoA noted.

Prospective catalysts to Qorvo meeting or beating the $215 price objective set by BoA for the stock include: 1) higher RF content growth in new smartphones more than offsetting quarterly unit volatility in the fourth quarter, 2) mergers and acquisitions that diversify the business away from mobile and add more long-life cycle business and 3) substantial share gain against peers in the smartphone market due to increased research and development (R&D) spending.

Chart courtesy of www.StockCharts.com

Broadcom Breaks Into the Six 5G Stocks to Buy

San Jose, California-based Broadcom Inc. (NASDAQ:AVGO),  a designer, developer, manufacturer and global supplier of semiconductor and infrastructure software products that serve the data center, networking, software, broadband, wireless, and storage and industrial markets, is another 5G stock with a buy recommendation from BoA.

BoA assigned a $550 price objective to Broadcom, but thatt is less than the median for large-cap diversified peers to reflect AVGO’s higher debt leverage and reliance on software M&A. Further threats to Broadcom achieving its price objective come from semiconductor cycle risks including sensitivity to U.S.-China trade relations, high exposure to Apple, along with increased competitive in networking, smartphone, storage and enterprise software markets. Broadcom also is a “frequent acquirer” of assets that add financial and integration risks, revealing vulnerability to its recent strategy of moving into non-core software businesses.

Chart courtesy of www.StockCharts.com

Six 5G Stocks to Buy Evade Worst of COVID-19 Crisis

Advances in the COVID-19 vaccination process offer increased hope that new cases and deaths may fall further in the weeks and months ahead. Renewed optimism comes from the Food and Drug Administration (FDA) recently approving a third COVID-19 vaccine, manufactured by Johnson & Johnson (NYSE:JNJ), which requires just one dose rather than two, as the first two vaccine providers do.

COVID-19 cases worldwide have reached 174,001,158 and caused 3,747,385 deaths, as of June 9, according to Johns Hopkins University. Also as of June 9, U.S. COVID-19 cases totaled 33,391,092 and have been blamed in 598,326 deaths. America has the unenviable distinction as the nation with the most COVID-19 cases and deaths.

The six 5G stocks to buy offer a chance for investors to profit from next-generation communication technology. A recent $1.9 trillion federal stimulus package, increased COVID-19 vaccine availability and an improving economy should help to boost the six 5G stocks to buy sooner or later.

Paul Dykewicz, www.pauldykewicz.com, is an accomplished, award-winning journalist who has written for Dow Jones, the Wall Street JournalInvestor’s Business DailyUSA Today, the Journal of Commerce, Seeking Alpha, GuruFocus and other publications and websites. Paul, who can be followed on Twitter @PaulDykewicz, is the editor of StockInvestor.com and DividendInvestor.com, a writer for both websites and a columnist. He further is editorial director of Eagle Financial Publications in Washington, D.C., where he edits monthly investment newsletters, time-sensitive trading alerts, free e-letters and other investment reports. Paul previously served as business editor of Baltimore’s Daily Record newspaper. Paul also is the author of an inspirational book, “Holy Smokes! Golden Guidance from Notre Dame’s Championship Chaplain,” with a foreword by former national championship-winning football coach Lou Holtz. The book is great as a gift and is endorsed by Joe Montana, Joe Theismann, Ara Parseghian, “Rocket” Ismail, Reggie Brooks, Dick Vitale and many others. Call 202-677-4457 for special Father’s Day gift pricing!

The post Six 5G Stocks to Buy to Ride a Technology Wave appeared first on Stock Investor.

Read More

Continue Reading

Spread & Containment

AstraZeneca antibody cocktail fails to prevent Covid-19 symptoms in large trial

AstraZeneca said a late-stage trial failed to provide evidence that the company’s Covid-19 antibody therapy protected people who had contact with an infected person from the disease, a small setback in its efforts to find alternatives to vaccines.

Published

on

Astra antibody cocktail fails to prevent COVID-19 symptoms in large trial

(Reuters; )

June 15 (Reuters) – AstraZeneca (AZN.L) said on Tuesday a late-stage trial failed to provide evidence that its COVID-19 antibody therapy protected people who had contact with an infected person from the disease, a small setback in its efforts to find alternatives to vaccines.

The study assessed whether the therapy, a cocktail of two types of antibodies, could prevent adults who had been exposed to the virus in the past eight days from developing COVID-19 symptoms.

The therapy, AZD7442, was 33% effective in reducing the risk of people developing symptoms compared with a placebo, but that result was not statistically significant — meaning it might have been due to chance and not the therapy.

The Phase III study, which has not been peer reviewed, included 1,121 participants in the United Kingdom and the United States. The vast majority, though not all, were free of the virus at the start of the trial.

Results for a subset of participants who were not infected to begin with was more encouraging but the primary analysis rested on results from all participants.

FILE PHOTO: A computer image created by Nexu Science Communication together with Trinity College in Dublin, shows a model structurally representative of a betacoronavirus which is the type of virus linked to COVID-19, better known as the coronavirus linked to the Wuhan outbreak, shared with Reuters on February 18, 2020. NEXU Science Communication/via REUTERS

“While this trial did not meet the primary endpoint against symptomatic illness, we are encouraged by the protection seen in the PCR negative participants following treatment with AZD7442,” AstraZeneca Executive Vice President Mene Pangalos said in a statement.

The company is banking on further studies to revive the product’s fortunes. Five more trials are ongoing, testing the antibody cocktail as treatment or in prevention.

The next one will likely be from a larger trial testing the product in people with a weakened immune system due to cancer or an organ transplant, who may not benefit from a vaccine.

TARGETED ALTERNATIVES

AZD7442 belongs to a class of drugs called monoclonal antibodies which mimic natural antibodies produced by the body to fight off infections.

Similar therapies developed by rivals Regeneron (REGN.O) and Eli Lilly (LLY.N) have been approved by U.S. regulators for treating unhospitalised COVID patients.

European regulators have also authorised Regeneron’s therapy and are reviewing those developed by partners GlaxoSmithKline (GSK.L) and Vir Biotechnology (VIR.O) as well as by Lilly and Celltrion (068270.KS).

Regeneron is also seeking U.S. authorisation for its therapy as a preventative treatment.

But the AstraZeneca results are a small blow for the drug industry as it tries to find more targeted alternatives to COVID-19 inoculations, particularly for people who may not be able to get vaccinated or those who may have an inadequate response to inoculations.

The Anglo-Swedish drugmaker, which has faced a rollercoaster of challenges with the rollout of its COVID-19 vaccine, is also developing new treatments and repurposing existing drugs to fight the virus.

AstraZeneca also said on Tuesday it was in talks with the U.S. government on “next steps” regarding a $205 million deal to supply up to 500,000 doses of AZD7442. Swiss manufacturer Lonza (LONN.S) was contracted to produce AZD7442.

Shares in the company were largely unchanged on the London Stock Exchange.

The full results will be submitted for publication in a peer-reviewed medical journal, the company said.

Reporting by Vishwadha Chander in Bengaluru; Editing by Shounak Dasgupta

Our Standards: The Thomson Reuters Trust Principles.

 

Reuters source:

https://www.reuters.com/business/healthcare-pharmaceuticals/astrazeneca-says-its-antibody-treatment-failed-in-preventing-covid-19-exposed-2021-06-15

 

Read More

Continue Reading

Government

Former FDA Head Takes on Exec Role at Flagship’s Preemptive Health Initiative

Stephen Hahn, the Commissioner of the U.S. Food and Drug Administration under former President Donald Trump, took on a new role as chief medical officer of a new health security initiative launched by Flagship Pioneering, a life sciences venture firm…

Published

on

Former FDA Head Takes on Exec Role at Flagship’s Preemptive Health Initiative

 

Stephen Hahn, the Commissioner of the U.S. Food and Drug Administration (FDA) under former President Donald Trump, has taken on a new role as chief medical officer of a new health security initiative launched by Flagship Pioneering, a life sciences venture firm that incubates and curates biopharma companies.

First announced Monday, Flagship’s Preemptive Medicine and Health Security initiative aimed at developing products that can help people before they get sick. This division will focus on infectious disease threats and pursue bold treatments for existing diseases, including cancer, obesity, and neurodegeneration. 

In a brief statement, Hahn, who served as commissioner from December 2019 until January 2021, said the importance of investing in innovation and preemptive medications has never been more apparent. 

“In my career I have been a doctor and a researcher foremost and it is an honor to join Flagship Pioneering in its efforts to prioritize innovation, particularly in its Preemptive Medicine and Health Security Initiative. The more we can embrace a “what if …” approach the better we can support and protect the health and well-being of people here in the U.S. and around the world,” Hahn said in a statement. 

During his time at the FDA, Hahn was at the forefront of the government’s effort to battle the COVID-19 pandemic. His office oversaw the regulatory authorization of antivirals, antibody therapeutics and vaccines, as well as diagnostics and other tools to battle the novel coronavirus. 

Kevin Dietsch-Pool/Getty Images

Hahn bore the brunt of verbal barbs aimed at the FDA by the former president for not rushing to authorize a vaccine for COVID-19 ahead of the November 2020 election. The second vaccine authorized by the FDA for COVID-19 was developed by Moderna, a Flagship company. 

Prior to his confirmation as FDA Commissioner, Hahn, a well-respected oncologist, served as chief medical executive of the vaunted The University of Texas MD Anderson Cancer Center. Hahn was named deputy president and chief operating officer in 2017. In that role, he was responsible for the day-to-day operations of the cancer center, which includes managing more than 21,000 employees and a $5.2 billion operating budget. He was promoted to that position two years after joining MD Anderson as division head, department chair and professor of Radiation Oncology. Prior to MD Anderson, Hahn served as head of the radiation oncology department at the University of Pennsylvania’s Perelman School of Medicine.

Flagship Founder and Chief Executive Officer Noubar Afeyan said the COVID-19 pandemic that shut down economies and caused the deaths of more than 3.8 million people across the world was an important reminder that health security is a top global priority. In addition, the ongoing pandemic brings into “stark focus” the importance of preemptive medications. 

Hahn, who helmed the FDA for three years and before that served as chief medical executive at The University of Texas MD Anderson Cancer Center, has extensive experience overseeing clinical and administrative programs. Afeyan said the new division would benefit from Hahn’s experience as FDA Commissioner and help steer the Preemptive Medicine and Health Security initiative as it explores Flagship’s “growing number of explorations and companies in this emerging field.”

It is not unusual for former FDA heads to take prominent roles with companies. For example, former FDA Commissioner Scott Gottlieb, Trump’s first FDA Commissioner, took a position on the Pfizer Board of Directors weeks after departing his government role. He has also taken positions on other boards since then, including Aetion, FasterCures and Illumina.

 

BioSpace source:

https://www.biospace.com/article/former-fda-head-stephen-hahn-takes-cmo-role-at-flagship-pioneering-preemptive-health-initiative-

 

Read More

Continue Reading

Spread & Containment

Facebook CEO Mark Zuckerberg hosts first test of Live Audio Rooms in US

In April, Facebook announced a slew of new audio products, including its Clubhouse clone, called Live Audio Rooms, which will be available across both Facebook and Messenger. Since May, Facebook has been publicly testing the audio rooms feature in Taiwan.

Published

on

In April, Facebook announced a slew of new audio products, including its Clubhouse clone, called Live Audio Rooms, which will be available across both Facebook and Messenger. Since May, Facebook has been publicly testing the audio rooms feature in Taiwan with public figures, but today the company hosted its first public test of Live Audio Rooms in the U.S. The event itself was hosted by Facebook CEO Mark Zuckerberg, who chatted with fellow execs and creators.

Joining Zuckerberg were Facebook VP and Head of Facebook Reality Labs Andrew “Boz” Bosworth, Head of Facebook App Fidji Simo and three Facebook Gaming creators, including StoneMountain64, QueenEliminator and TheFierceDivaQueen.

Image Credits: Facebook screenshot

The creators used their time in the Audio Room to talk more about their gaming journeys on Facebook, what kind of games they were streaming and other gaming-related matters. Zuckerberg also briefly teased new gaming features, including a new type of post, coming soon, called “Looking for Players.” This post type will help creators find others in the community to play games with while they’re streaming.

In addition, badges that are earned from livestreams will now carry over to fan groups, Zuckerberg said, adding that it was a highly requested feature by creators and fans alike.

Fan groups will also now become available to all partnered creators on Facebook Gaming, starting today, and will roll out to others in the coming weeks.

Image Credits: Facebook screenshot

The experience of using the Live Audio Room is very much like what you’d expect on another platform, like Clubhouse or Twitter Spaces. The event’s hosts appear in rounded profile icons at the top of the screen, while the listeners appear in the bottom half of the screen, as smaller icons. In between is a section that includes people followed by the speakers.

The active speaker is indicated with a glowing ring in shades of Facebook blue, purple and pink. If verified, a blue check appears next to their name.

Listeners can “Like” or otherwise react to the content as it streams live using the “Thumbs Up” button at the bottom of the screen. And they can choose to share the Audio Room either in a Facebook post, in a Group, with a friend directly or through other apps.

Image Credits: Facebook screenshot

A toggle switch under the room’s three-dot “more” menu lets you turn on or off auto-generated captions, for accessibility. From here, you can also report users or any issues or bugs you encountered.

The Live Audio Room today did not offer any option for raising your hand or joining the speakers on stage — it was more of a “few-to-many” broadcast experience.

Before today, TechCrunch received a couple of tips from users who reported seeing the Audio Rooms option appear for them in the Facebook app. However, the company told us it had only tested Live Audio Rooms in the U.S. with employees.

During the test period, Live Audio Rooms are only available on iOS and Android, we’re told.

Zuckerberg also used today’s event to talk more broadly about Facebook’s plans for the creator economy going forward.

“I think a good vision for the future is one where a lot more people get to do creative work and work that they enjoy, and fewer people have to do work that they just find a chore. And, in order to do that, a lot of what we need to do is basically build out a bunch of these different monetization tools,” explained Zuckerberg. “Not all creators are going to have the same business model. So having the ability to basically use a lot of different tools like Fiji [Simo] was talking about — for some people it might be, Stars or ad revenue share or subscriptions or selling things or different kinds of things like that — that will be important and part of making this all add up.”

He noted also that the tools Facebook is building go beyond gaming, saying that Facebook intends to support journalists, writers and others — likely a reference to the company’s upcoming Substack clone, Bulletin, expected to launch later this month.

Zuckerberg additionally spoke about how the company won’t immediately take a cut of the revenue generated from creators’ content.

“Having this period where we’re not taking a cut and more people can get into these kinds of roles, I think is going to be a good thing to do — especially given how hard hit a lot of parts of the economy have been with COVID and the pandemic,” he said.

More realistically, of course, Facebook’s decision to not take an immediate cut of some creator revenue is a decision it’s making in order to help attract more creators to its service, in the face of so much competition across the industry.

Clubhouse, for example, is currently wooing creators with a payments feature, where creators keep 100% of their revenue. And it’s funding some creators’ shows. Twitter, meanwhile, is tying its audio product Spaces to its broader set of creator tools, which now include newsletters, tips and, soon, a subscription platform dubbed Super Follow.

Zuckerberg didn’t say during today’s event when Live Audio Rooms would be available to the public, but said the experience would roll out to “a lot more people soon.”

Read More

Continue Reading

Trending