NEW YORK (Reuters Breakingviews) - Amazon.com still dominates the fast-growing e-commerce pie, but it’s getting some company. Lockdowns have trained people to shop online including in formerly laggard categories like groceries. That has helped Jeff Bezos but even more so digital sales at Walmart and other retailers. The future may be a lot to do with balancing clicks and bricks.
NEW YORK (Reuters Breakingviews) - Food delivery service valuations are decadent. A rush of homebound consumers seeking takeout from the likes of DoorDash and others is boosting the sector to new heights. That puts a damper on deals for Uber Technologies, whose larger business is ride-sharing. But valuations can reverse just as quickly when lockdowns ease for good, putting Uber in a better spot to gobble a rival without price-tag heartburn.
NEW YORK (Reuters Breakingviews) - Consolidation in the food-delivery business in the United States is a tall order. But Grubhub Chief Executive Matt Maloney has managed to pull a deal off. The company he founded has agreed to a $7.3 billion takeover by European counterpart Just Eat Takeaway.com. There are some benefits, but swallowing the deal will require a fistful of antacid.
NEW YORK (Reuters Breakingviews) - Social media can jump-start national movements: think Black Lives Matter and #MeToo. It’s also a means of forcing companies to listen to staff and customer grievances. In that sense, Twitter and its ilk stand in for the old solidarity of workers' unions. But the power of social media is also easily misdirected.
NEW YORK (Reuters Breakingviews) - Equity markets are preparing for a mini fundraising festival, and Warner Music has provided the opening act. The record label shelved its initial public offering in March, but finally debuted on Wednesday with the biggest public debut in the United States so far this year, and a 20% first-day rise in its share price. There’s demand for new listings, where they fit the bill.
NEW YORK/SAN FRANCISCO (Reuters Breakingviews) - Jack Dorsey can’t win. On Tuesday the Twitter chief executive sanctioned a simple advisory to one of Donald Trump’s tweets, incurring the wrath of the U.S. president – who has vowed to make life tough for social media companies. The political spotlight is more uncomfortable for Dorsey than his rivals, because he must give greater weight to the interests of short-term investors, including activist fund Elliott Management.
NEW YORK (Reuters Breakingviews) - Kevin Mayer may have to learn some new moves if he’s to succeed as TikTok’s new chief executive. The departing Walt Disney executive brings a lot to the party that the video app needs. He was most recently head of the Magic Kingdom’s streaming service and before that an M&A maestro. But TikTok Chinese parent ByteDance, where Mayer will also serve as chief operating officer, also needs him to navigate tensions between Washington and Beijing.
NEW YORK (Reuters Breakingviews) - Dark movie theaters may just be a taste of the near future. Even before Covid-19 completely shut down projectors at venues offered by the likes of AMC Entertainment, attendance was in decline and streaming services like Netflix on the rise. AMC is fighting back, but the notion that America's cinemas will fill up again may be as quaint as a silent film.
NEW YORK (Reuters Breakingviews) - Netflix is making the most of a near-captive audience. The $190 billion streaming service is benefiting as stay-at-home edicts around the globe have people searching for online distractions. And it doesn’t share the various worries besetting rivals like Walt Disney, AT&T and Apple.
NEW YORK (Reuters Breakingviews) - Christy Pambianchi oversees the well-being of more than 100,000 people. She explains how Verizon quickly rewrote the rule book to address the coronavirus outbreak from getting people set up at home to ensuring the safety of field employees providing critical infrastructure.