Business Week: Streaming takes a turn for the worse

After pouring tens of millions of dollars into a nationwide marketing campaign, big stars and hundreds of new employees, CNN announced Thursday that it was closing of CNN +, its weeks old streaming platform. The executives of Discovery, the new owner of CNN, are said to have been concerned about the disappointing interest from subscribers. The news fueled questions, particularly following last week’s disastrous Netflix earnings report, on the long-term prospects for streaming services. Netflix said Tuesday it did lost 200,000 subscribers in the first quarter and expected another two million to leave the platform in the next three months. It was the first time in a decade that the company was losing subscribers and its shares plummeted by 35%..

Increasing its tangle with the lawmakers of Disney World, Florida put forward a measure to strip the theme park a privilege that allowed her to effectively self-govern her vast estate in the state for more than 50 years. Republicans, who hold a majority in both houses of the legislature, were encouraged by Gov. Ron De Santis, who opened a way for lawmakers to vote on bills that would eliminate special tax districts created before 1968. He signed the legislation on Friday. The move is widely seen as retaliation Disney’s opposition to what some call the “Don’t Say Gay” law, which restricts education on gender and sexuality in some elementary school classes.

Many of the countries major airlines have abandoned their mask mandates after a federal judge appointed during the Trump administration struck down the requirement for airplanes, trains, buses and other public transport. Airlines including American, Delta and United, which they have had to contend with unruly passengers who refused to obey with the warrant, it quickly announced that they no longer required masks, and Delta later said it would allow people who had been placed on its no-fly list for defying its previous mask policy to fly once again. The Biden administration said so would appeal the government.

The gross domestic product report for the first quarter, due out Thursday, is expected to show that economic growth in the United States has slowed significantly in the first three months of the year. The slowdown is partly due to the Omicron wave, which kept many Americans at home in January and disrupted the service and manufacturing industries. The report will also help show how far inflation has reached 8.5 percent last month – could hold back consumers and the economy in general. GDP data from the last quarter of 2021 he illustrated how inflation could obscure how much the country’s economy is recovering from the depths of the pandemic. U.S. manufacturing has not yet reached prepandemic levels, last quarter’s report showed, because consumer dollars are worth less than before.

Twitter will release its quarterly earnings report this week, and a significant portion will likely be covering Elon Musk’s determined efforts to acquire the company and give investors an idea of ​​whether his offering is enough. In an effort to get the company’s board of directors to take his offer more seriously, Mr. Musk said in a federal filing Thursday that he had commitments worth $ 46.5 billion – a mix of debt and cash – to finance his offering. The documents also showed that Mr. Musk was considering a hostile takeover, which would involve taking the offer directly to shareholders. The Twitter board has already taken steps to counter that move, adopting a so-called poisonous pill this would prevent Mr. Musk from buying an unlimited number of Twitter shares.

Activision Blizzard shareholders will vote on whether to merge with Microsoft on Thursday. For Microsoft, which announced in January it plans to acquire the game company for nearly $ 70 billionthe deal would serve at least two main purposes: in the long run, plant a flag in the metaverse, the virtual world in which tech companies like Facebook are betting big. In the short term, the acquisition helps Microsoft outpace rival Sony in the race for players’ attention and money and keeps the company competitive with Amazon and Google, which have also entered the gaming market. If Activision’s shareholders approve the deal, and are likely to do so, the deal will still need to be scrutinized by antitrust regulators.

Airline companies expect a travel boom in the next months. Workers at an Atlanta Apple store petitioned hold trade union elections. The Federal Reserve is considering a higher than normal interest rate increasehalf a percentage point for the May meeting.

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