Fast Five from the Valley: Edition 33
Mark Zuckerberg gets off light on his testimony to Congress
Facebooks’ CEO Mark Zuckerberg was meant to be grilled by Congress this week and to be ‘the most intense public scrutiny since the Microsoft hearing in the late 1990s’. However, The Senators’ questions about a potential monopoly and the future business model of Facebook were pretty poor – Zuckerberg didn’t even break a sweat.
However, despite Zuckerberg’s performance, it is likely that the way Facebook deals with its users’ information and its involvement in the Cambridge Analytica scandal will be subject to further discussion and regulation.
T-Mobile is growing – the deal is back on and store count is up
The talk of the town is about the resumed bilateral talks regarding the merger between T-Mobile and Sprint. While negotiations were called off at the end of 2017, both parties seem to be more optimistic now. If the merger is successful, it would put the combined T-Mobile US and Sprint entity within range of shooting for #2 in the US telco market.
While merging with Sprint would accelerate T-Mobile’s growth even faster, its success story is expected to continue regardless – especially within its retail business. T-Mobile recently reported store growth of over 47% (increasing its retail footprint from 3,600 to more than 5,300 stores) making T-Mobile the second largest telco provider in the number of stores. It is likely that once the retail stores come fully online, this will feed into its market position long term.
Europe delivers a $900k slap to Uber amidst JUMP acquisition
Uber is certainly not the happiest company on the block following the anti-Uber ruling from Europe’s top court, the Court of Justice of the European Union (CJEU).
The French court slapped Uber with a $900,000 fine for operating an illegal and unsafe transport service with drivers that were not properly licensed. In other words, these drivers were regular people, rather than professionals.
However, the negatives from the fine may have been balanced out with its acquisition of the bike-sharing startup, JUMP. JUMP CEO Ryan Rzepecki informed the market that the acquisition was successful as the two companies have a very similar vision for the future of mobility. What’s the vision? To become the top urban mobility platform.
As even more people inhabit cities, there will be a greater need to provide people with a range of mobility options in an affordable and efficient way. JUMP’s dockless, pedal-assisted and lockable bikes are a step forward to achieving this vision for the ride-sharing company.
In fact, “ride-sharing” may soon be an outdated term to describe Uber, with CEO Dara Khosrowshahi announcing that the company would soon allow customers to buy public transit tickets and rent a car in Uber’s app, via a series of partnerships.
It will certainly be interesting to see how the urban mobility environment evolves in the coming years.
SIM Connect Live – Detecon Inc. discusses Living “IT” in the fast lane
This week’s Fast 5 comes from Texas, where Bradley from the Fast 5 crew has been discussing how to increase the ability of the IT function to simultaneously explore new technologies and also deliver a function which is able to deliver a stable and reliable IT service. Building on research on the need for the CDO, Bradley, and Ingmar, have recently turned their attention to how the IT function may be designed using Bimodal IT to provide exploratory initiatives with the space they need to be successful.
Bimodal IT decomposes the IT function into two modes—Traditional and Agile—the former focused on stability, the latter on the speed and experimentation necessary to support innovative uses of IT in a digital business context. The study identified four bimodal IT archetypes and the factors that drive an organization to adopt bimodal IT.
Bradley and Ingmar found that companies switch between different archetypes as they transform the IT function, and describe possible IT transformation journeys they can take. The research also provides guidelines for transforming the IT function in the context of bimodal IT. More information can be found at http://www.deteconusa.com/bimodal-it-the-perfect-mix-for-the-it-function/
The deal of a lifetime flies off
There are 28 unhappy AA customers who thought they scored the deal of a lifetime in 1981 – lifetime unlimited AA flights for $250k.Turns out that AA offered the deal but then rescinded it for Steve Rothstein and Jacques Vroom, the programs two most prolific users, citing contractual breaches which sound pretty questionable. It’s unlikely that we will ever see a deal like this again in our lifetime, however, with Airbus investigating how to put sleeping pods in cargo holds, we might finally be able to get perfect sleep while jetting around the globe!