6 Most Important Things in Business Today
Google may censor some of its results to move into the Chinese market. According to Reuters:
Alphabet Inc’s Google plans to launch a version of its search engine in China that will block some websites and search terms, two sources said, in a move that could mark its return to a market it abandoned eight years ago on censorship concerns.
The plan comes even as China has stepped up scrutiny into business dealings involving U.S. tech firms including Facebook Inc, Apple Inc and Qualcomm Inc amid intensifying trade tensions between Beijing and Washington.
CBS Corp. (NYSE: CBS) has hired lawyers to examine sexual harassment charges against CEO Les Moonves. According to Reuters:
CBS Corp said on Wednesday it retained two law firms for a full investigation into the allegations about Chairman and Chief Executive Leslie Moonves, CBS News and cultural issues in the company.
The board has also set up a special committee to help the probe, and Moonves will have no role in the investigation, CBS said in a statement.
Tesla Inc. (NASDAQ: TSLA) said it was close to making a profit as it announced second-quarter earnings. According to The Wall Street Journal:
Tesla Inc. reassured investors it would achieve a profit later this year, as a rush of Model 3 sales in the second quarter helped the electric-car maker burn less cash than expected.
The results, which sent Tesla’s shares soaring in after-hours trading Wednesday, should give Chief Executive Elon Musk some wiggle room to prove that a continued production rate of more than 5,000 Model 3s a week during the third quarter can make the auto maker cash-flow positive and profitable. He made that promise earlier this year and reiterated it Wednesday in a letter to shareholders, though many analysts doubt it can be kept.
Carl Icahn will vote against a Cigna Corp. (NYSE: CI) M&A plan. According to The Wall Street Journal:
Activist investor Carl Icahn has built a sizable stake in Cigna Corp. and plans to vote against the health insurer’s $54 billion purchase of Express Scripts Holding Co., the latest sign of trouble for the planned tie-up.
Mr. Icahn, whose stake amounts to less than 5% of Cigna’s shares outstanding, believes the company is paying too high a price for the pharmacy-benefit manager, which faces threats on a number of fronts, according to people familiar with the matter.
Kroger Co. (NYSE: KR) will get into the grocery delivery business. According to The Wall Street Journal:
Kroger Co. is launching a grocery delivery service, its fourth e-commerce offensive in less than three months, as the U.S.’s largest supermarket chain seeks to remain relevant in a fiercely competitive grocery sector.
Kroger is looking to take on Amazon.com Inc. and Walmart Inc. in delivering goods directly to customers’ homes and businesses in boxes through third-party carriers, a service it hasn’t competed in to date.
Troubled publisher Conde Nast will put three magazines up for sale. According to The New York Times:
The company lost more than $120 million last year and plans to put three of its 14 magazines — Brides, Golf Digest and W — up for sale, three executives said. The marquee titles, including Vogue, Vanity Fair and The New Yorker, are safe.