Connect with us

Stock Markets

For hype-wary IBM, quantum-computing sales are close, but not too close

Published

on


© Reuters. FILE PHOTO: Arvind Krishna, CEO of IBM, listens as U.S. President Joe Biden delivers remarks during a meeting with members of his national security team and private sector leaders to discuss how to “improve the nation’s cybersecurity,” in the East Room at

By Jeffrey Dastin and Paresh Dave

(Reuters) – IBM has set a new goal for propelling the legacy technology company ahead of its rivals: a quantum computer ready for commercial use, three years from now.

In an interview Monday ahead of the company’s Think conference, Chief Executive Arvind Krishna said International Business Machines (NYSE:IBM) Corp would have a more-than-4,000 qubit quantum computer ready by 2025, a jump from its hardware with 127 qubits today.

He said technology of that power could optimize routing truck fleets or better model financial risks. A normal computer almost “the size of this planet” would be needed to tackle comparable problems, he said.

Companies for years have touted quantum computing’s potential, with little to show for it beyond error-prone machines and basic applications with early clients. IBM’s include Exxon Mobil Corp (NYSE:XOM) and Mitsubishi Chemical Holdings Corp.

Krishna said that he was avoiding claims that IBM cannot fulfill after what he called the company’s “error” predicting uses prematurely for its Watson artificial intelligence (AI) services, which delivered results in healthcare and other fields slower than expected. He said making quantum systems was more difficult than developing AI.

“We might have hyped some things,” Krishna said. “This time, we try to tread the line carefully.”

“Would I look you in the eye and tell you I’m going to find a molecule that penetrates the blood-brain barrier and solves brain cancer? Absolutely not,” he added, referring to efforts to discover new drugs via quantum computing.

But Krishna said that the machine expected in 2025 with thousands of qubits will at least begin to open practical and commercial opportunities.

IBM is not alone in its chase. Governments and companies globally will invest nearly $16.4 billion in quantum development by the end of 2027, according to market research company IDC.

Rival Alphabet (NASDAQ:GOOGL) Inc’s Google has aimed to develop a computer with 1,000,000 qubits by the end of this decade. Amazon.com Inc (NASDAQ:AMZN) has partnered with companies such as Rigetti Computing, which expects to reach 4,000 qubits in 2026.

Krishna said while supply-chain disruptions have not slowed IBM’s efforts, the company experienced a 0.5% to 1% impact in its overall hardware business from COVID-19 lockdowns in China. IBM now keeps six months’ worth of stock instead of just one to counter disruptions, he said.

IBM on Tuesday also released its annual survey on AI adoption, showing that 35% of over 7,500 surveyed businesses across five continents were using some form of the technology, up from 31% last year.

Shortages of skilled workers and data to train AI systems were holding companies back, though a tipping point was coming, he said.

Stock Markets

Dow Futures Tick Higher as Major Indices Rebound

Published

on



By Oliver Gray 

Investing.com – U.S. stock futures moved modestly higher on Tuesday evening after major benchmark indices rebounded from recent losses during regular trade, however, traders remain cautious of a potential recession after Federal Reserve Chair Jerome Powell noted at a Wall Street Journal conference on Tuesday that “there won’t be any hesitation” about raising rates until inflation is under control.

By 6:45pm ET (10:45pm GMT) Dow Jones Futures and Nasdaq 100 Futures were up 0.1% apiece while S&P 500 Futures gained 0.2%.

In extended deals, QualTek Services Inc (NASDAQ:QTEK) popped 23.1% after reporting Q1 losses of 20 cents per share, beating expectations of a 48 cents loss, while revenue came in at $148.2 million versus $137.51 million expected.

Corporacion America Airports (NYSE:CAAP) lifted 0.2% after reporting Q1 EPS of $0.16 versus x expected on revenues of $258.1 million versus $226.74 million expected.

QuickLogic Corporation (NASDAQ:QUIK) fell 6% after report Q1 losses of 6 cents per share versus losses of 7 cents expected. Revenue for the quarter came in at $4.1 million versus estimates of $4 million.

Agilysys Inc (NASDAQ:AGYS) gained 11.3% after reporting Q4 EPS of 24 cents, beating estimates of 17 cents, with revenues coming in at $46.6 million versus estimates of $43.78 million.

Corporate earnings are set to continue on Wednesday, with Target Corporation (NYSE:TGT) and Lowe’s Companies Inc (NYSE:LOW) reporting results before the opening bell. Ahead in the week, investors will be monitoring fresh data for housing starts and building permits due out Friday morning.

During Tuesday’s trading session, the Dow Jones Industrial Average jumped 431.17 points, or 1.34%, to 32,654.59, the S&P 500 added 2% to 4,088.85 and the NASDAQ Composite added 2.76% to 11,984.52.

Major financial players were boosted after Warren Buffett’s conglomerate revealed it added a nearly $3 billon stake in Citigroup Inc (NYSE:C) during the first quarter. Citizens Financial Group Inc (NYSE:CFG) gained 3.7% JPMorgan Chase & Co (NYSE:JPM) added 3.3%, Bank of America Corp (NYSE:BAC) lifted 3.4% and Morgan Stanley (NYSE:MS) gained 3.8%.

Travel related companies popped after United Airlines raised its revenue outlook for the second quarter on improved consumer demand. JetBlue Airways Corp (NASDAQ:JBLU) lifted 8.2%, Delta Air Lines Inc (NYSE:DAL) gained 6.7%, American Airlines Group (NASDAQ:AAL) added 7.7% and United Airlines Holdings Inc (NASDAQ:UAL) lifted 7.9%.

On the bond markets, United States 10-Year yields were at 2.995%.

Continue Reading

Stock Markets

Glass Lewis backs McDonald’s directors in boardroom fight with Carl Icahn

Published

on

2/2

© Reuters. FILE PHOTO: A sign with the logo is on display near a McDonald’s restaurant in Moscow, Russia May 16, 2022. REUTERS/Evgenia Novozhenina

2/2

By Svea Herbst-Bayliss

BOSTON (Reuters) – Proxy advisory firm Glass Lewis on Tuesday recommended McDonald’s Corp (NYSE:MCD) investors vote for the company’s directors, dealing a setback to billionaire investor Carl Icahn’s efforts to replace two directors.

“The Dissident (Icahn) has failed to make a sufficiently compelling case to warrant the boardroom changes it is seeking here,” Glass Lewis wrote in the report seen by Reuters.

A representative for Icahn did not immediately have a comment.

The report came one day after Institutional Shareholder Services, Glass Lewis’ larger rival, also recommended that shareholders back the company’s nominees. McDonald’s shareholders will meet on May 26.

Icahn nominated candidates to the fast-food restaurant’s board to hold the company accountable for pledges it made a decade ago on sourcing pork.

McDonald’s says it has worked to change its pork sourcing. But it is behind schedule on a plan to stop buying pork from suppliers that confine pigs in small crates during pregnancy. Both ISS and Glass Lewis say Icahn has raised awareness for animal rights.

“We acknowledge (Icahn’s) efforts to seek improvements to animal welfare conditions is a worthy and noble endeavor,” Glass Lewis wrote. But the advisory firm also criticized Icahn, saying he had taken a “decidedly simplistic and myopic view of ESG concerns, with no substantive regard given to the economics of the Company’s business nor to the creation of shareholder value.”

McDonald’s said Icahn’s two nominees lack the broader expertise needed to serve on the company’s board. Glass Lewis wrote that Icahn’s candidates “lack the requisite background, qualifications and experience for serving on the board of a large multinational firm” like McDonald’s.

Continue Reading

Stock Markets

China Eastern crash probe eyes intentional action – sources

Published

on


© Reuters. FILE PHOTO: Rescue workers work at the site where a China Eastern Airlines Boeing 737-800 plane flying from Kunming to Guangzhou crashed, in Wuzhou, Guangxi Zhuang Autonomous Region, China March 24, 2022. REUTERS/Carlos Garcia Rawlins/File Photo

By David Shepardson

WASHINGTON (Reuters) -Investigators probing the crash of a China Eastern Airlines (NYSE:CEA) jet are examining whether it was due to intentional action taken on the flight deck, with no evidence so far of a technical malfunction, two people briefed on the matter said.

The Wall Street Journal reported earlier Tuesday that flight data from one the Boeing (NYSE:BA) 737-800’s black boxes indicated that someone in the cockpit intentionally crashed the plane, citing people familiar with U.S. officials’ preliminary assessment.

Boeing Co , the maker of the jet, and the U.S. National Transportation Safety Board (NTSB) declined to comment and referred questions to Chinese regulators.

The Boeing 737-800, en route from Kunming to Guangzhou, crashed on March 21 in the mountains of Guangxi, after a sudden plunge from cruising altitude, killing all 123 passengers and nine crew members aboard.

It was mainland China’s deadliest aviation disaster in 28 years.

The pilots did not respond to repeated calls from air traffic controllers and nearby planes during the rapid descent, authorities have said.

The Civil Aviation Administration of China said on April 11 in response to rumours on the internet of a deliberate crash that the speculation had “gravely misled the public” and “interfered with the accident investigation work.”

China Eastern could not immediately be reached for comment Tuesday. The Wall Street Journal said the airline had said in a statement that no evidence had emerged that could determine whether or not there were any problems with the accident aircraft. The Chinese Embassy declined to comment.

The 737-800 is a widely flown predecessor to Boeing’s 737 MAX but does not have the systems that have been linked to fatal 737-MAX crashes in 2018 and 2019 that led to a lengthy grounding of the MAX.

China Eastern grounded its entire fleet of 737-800 planes after the crash, but resumed flights in mid-April in a move widely seen at the time as ruling out any immediate new safety concern over Boeing’s previous and still most widely used model.

In a summary of an unpublished preliminary crash report last month, Chinese regulators did not point to any technical recommendations on the 737-800, which has been in service since 1997 with a strong safety record, according to experts.

NTSB Chair Jennifer Homendy said in a May 10 Reuters interview that board investigators and Boeing had traveled to China to assist the Chinese investigation. She noted that the investigation to date had not found any safety issues that would require any urgent actions.

Homendy said if the board has any safety concerns it will “issue urgent safety recommendations.”

The NTSB assisted Chinese investigators with the review of black boxes at its U.S. lab in Washington.

Shares of Boeing closed up 6.5%.

A final report into the causes could take two years or more to compile, Chinese officials have said. Analysts say most crashes are caused by a cocktail of human and technical factors.

Deliberate crashes are exceptionally rare. Experts noted the latest hypothesis left open whether the action stemmed from one pilot acting alone or the result of a struggle or intrusion but sources stressed nothing has been confirmed.

In March 2015, a Germanwings co-pilot deliberately flew an Airbus A320 into a French mountainside, killing all 150 on board.

French investigators found the 27-year-old was suffering from a suspected “psychotic depressive episode,” concealed from his employer. They later called for better mental health guidelines and stronger peer support groups for pilots.

Continue Reading

News

Economy5 mins ago

Japan’s Q1 GDP shrinks as Ukraine, cost of living cloud outlook

© Reuters. FILE PHOTO: Businessmen wearing protective face masks walk on a pedestrian bridge, amid the spread of the coronavirus...

World6 mins ago

Republican Budd wins North Carolina Senate nomination; Cawthorn in trouble

2/2 © Reuters. A woman wears a t-shirt falsely claiming that former U.S. President Donald Trump won the 2020 election,...

World36 mins ago

Republican Budd, backed by Trump, wins North Carolina Senate nomination

2/2 © Reuters. A woman wears a t-shirt falsely claiming that former U.S. President Donald Trump won the 2020 election,...

World36 mins ago

Trump-endorsed Ted Budd wins Republican primary for North Carolina’s Senate seat

© Reuters. FILE PHOTO: U.S Representative Ted Budd speaks during a rally hosted by former U.S. President Donald Trump in...

Cryptocurrency1 hour ago

US federal judge approves of Justice Dept criminal complaint on using crypto to evade sanctions

US federal judge approves of Justice Dept criminal complaint on using crypto to evade sanctions The United States Department of...

World1 hour ago

Mariupol defenders surrender to Russia but their fate is uncertain

7/7 © Reuters. A bus carrying wounded service members of Ukrainian forces from the besieged Azovstal steel mill in Mariupol...

World1 hour ago

Polls close in North Carolina in Senate primary that tests Trump clout

2/2 © Reuters. A woman wears a t-shirt falsely claiming that former U.S. President Donald Trump won the 2020 election,...

Stock Markets2 hours ago

Dow Futures Tick Higher as Major Indices Rebound

By Oliver Gray  Investing.com – U.S. stock futures moved modestly higher on Tuesday evening after major benchmark indices rebounded from...

World2 hours ago

U.S. Justice Dept requests Jan 6 committee transcripts -panel chair

© Reuters. FILE PHOTO: A mob of supporters of U.S. President Donald Trump fight with members of law enforcement at...

Economy2 hours ago

Fed’s Evans backs ‘front-loaded’ rate hikes, then measured pace

© Reuters. FILE PHOTO: Chicago Federal Reserve Bank President Charles Evans looks on during the Global Interdependence Center Members Delegation...

Cryptocurrency2 hours ago

BIFI gains 100%+ after Beefy Finance adds new vaults and stablecoin liquidity pools

BIFI gains 100%+ after Beefy Finance adds new vaults and stablecoin liquidity pools Winston Churchill’s statement to “never let a...

Stock Markets2 hours ago

Glass Lewis backs McDonald’s directors in boardroom fight with Carl Icahn

2/2 © Reuters. FILE PHOTO: A sign with the logo is on display near a McDonald’s restaurant in Moscow, Russia...

Economy2 hours ago

Australian banks enter tech arms race as rising rates squeeze profit

4/4 © Reuters. FILE PHOTO: A view of a Commonwealth Bank of Australia branch in Sydney, Australia, April 18, 2018....

Stock Markets2 hours ago

China Eastern crash probe eyes intentional action – sources

© Reuters. FILE PHOTO: Rescue workers work at the site where a China Eastern Airlines Boeing 737-800 plane flying from...

Stock Markets2 hours ago

U.S. accuses casino tycoon Wynn of acting as Chinese agent

2/2 © Reuters. FILE PHOTO: Steve Wynn, Chairman and CEO of Wynn Resorts, speaks during the Milken Institute Global Conference...

Cryptocurrency2 hours ago

Commissioner Kristin Johnson to sponsor CFTC Market Risk Advisory Committee

Commissioner Kristin Johnson to sponsor CFTC Market Risk Advisory Committee United States Commodity Futures Trading Commission (CFTC) commissioner Kristin N....

World2 hours ago

Pollution killing 9 million people a year, Africa hardest hit – study

5/5 © Reuters. FILE PHOTO: A boy swims in the polluted water of the Makoko community in Lagos, Nigeria March...

Politics3 hours ago

McConnell urges Biden administration to ensure sustained aid to Ukraine

© Reuters. FILE PHOTO: U.S. Senate Minority Leader Mitch McConnell (R-KY) listens as another Republican senator speaks to reporters following...

Stock Markets3 hours ago

Prominent hedge funds invested in Twitter before Musk unveiled plans

© Reuters. FILE PHOTO: The Twitter logo and trading information is displayed as a trader works on the floor of...

World3 hours ago

N.Korean leader Kim slams officials’ ‘immature’ response amid COVID outbreak

© Reuters. FILE PHOTO: People wearing protective face masks walk amid concerns over the new coronavirus disease (COVID-19) in front...

Stock Markets3 hours ago

Architect of Allianz fraud made $60 million as he lied to investors, U.S. says

3/3 © Reuters. FILE PHOTO: Allianz Global Investors logo is pictured at the company’s headquarters in Frankfurt, Germany August 16,...

Cryptocurrency3 hours ago

Crypto users react to Terraform Labs legal team purportedly leaving company

Crypto users react to Terraform Labs legal team purportedly leaving company The ongoing saga with Terraform Labs, the blockchain developer...

World3 hours ago

Michigan judge blocks enforcement of state’s pre-Roe v. Wade abortion ban

© Reuters. FILE PHOTO: Pro-Choice supporters of Planned Parenthood rally outside a Planned Parenthood clinic in Detroit, Michigan, U.S. February...

Stock Markets3 hours ago

U.S. sues to compel former casino magnate Wynn to register as agent of China

2/2 © Reuters. FILE PHOTO: Steve Wynn, Chairman and CEO of Wynn Resorts, speaks during the Milken Institute Global Conference...

World3 hours ago

Burkina Faso rescuers find no survivors in flooded mine’s rescue chamber

© Reuters. A view shows one of the galleries during a rescue operation inside Perkoa mine where water is still...

Politics3 hours ago

U.S. lawmakers unveil FDA emergency funds bill to address baby formula shortage

2/2 © Reuters. Empty shelves show a shortage of baby formula at a Target store in San Antonio, Texas, U.S....

Commodities3 hours ago

Oil falls 2% on Powell comments, hopes for Venezuela supply

© Reuters. FILE PHOTO: Oil pump jacks are seen at the Vaca Muerta shale oil and gas deposit in the...

Commodities3 hours ago

Venezuela’s Maduro, opposition expected to talk; U.S. eases some sanctions -sources

© Reuters. FILE PHOTO: Venezuela’s President Nicolas Maduro and his wife Cilia Flores dance during the May Day celebrations in...

Stock Markets4 hours ago

U.S. Senator Manchin backs Michael Barr for top Fed regulatory job

© Reuters. FILE PHOTO: The Federal Reserve building is seen before the Federal Reserve board is expected to signal plans...

Sports & General4 hours ago

Dallas hair salon shooting suspect had delusions about Asians, police say

2/2 © Reuters. An image shows the suspect in the shooting at the Hair World Salon in Dallas on May...

Trending