Chipmaker AMD to cut about 500 global jobs

Struggling chipmaker Advanced Micro Devices Inc said it would cut about 500 jobs, or 5 percent of its global workforce, as the company looks to rein in costs amid weak demand for its chips used in personal computers and intense competition.The company said it would record $41 million of the expected $42 million charge in the third quarter ended September.AMD said it expected savings of about $58 million in 2016 from the restructuring plan.The restructuring includes outsourcing certain IT and application development services, the company said in a regulatory filing on Thursday. (1.usa.gov/1M4Dj2A) Sunnyvale, California-based AMD had about 9,700 employees at the end of last year, according to its latest annual filing from February.AMD, which sells central processing units and graphics chips used in personal computers, in July lowered its revenue estimate for the second quarter, citing weaker-than-expected demand for PCs. The company has also been shifting to gaming consoles and low-power servers, but progress has lagged Wall Street expectations due to intense competition from Intel Corp and newer companies. Shares of AMD were flat at $1.74 in after-hours trading. (Reporting by Sai Sachin R in Bengaluru; Editing by Sriraj Kalluvila)

Chipmaker Micron's profit, revenue beat estimates

The logo of U.S. memory chip maker MicronTechnology is pictured at their booth at an industrial fair in Frankfurt, Germany, July 14, 2015.

/Kai Pfaffenbach

Memory chipmaker Micron Technology Inc (MU.O) reported quarterly revenue and profit above estimates, sending its shares up 3.8 percent in after-hours trading.The company, which makes both dynamic random access memory (DRAM)and NAND flash memory chips, reported a 14.8 percent fall in revenue to $3.60 billion in the fourth quarter, compared with a year earlier.The results, however, beat the average analyst estimate of $3.55 billion, according to Thomson I/B/E/S.NAND flash memory chips are widely used in smartphones, cameras and other mobile devices to store music, pictures and other data. DRAM chips are mostly used in personal computers.The company said it expects the demand environment to stabilize and improve through calendar 2016, after previously warning in June that it expected a decline in prices of chips used in personal computers. Micron said on Thursday net income attributable to the company fell 59 percent to $471 million, or 42 cents per share, in the quarter ended Sept. 3. (1.usa.gov/1ML4B0T)Excluding items, the company earned 37 cents per share, trumping analysts' estimates of 32 cents per share. Micron is being pursued by China's state-backed Tsinghua Unigroup Ltd, according to reports.Tsinghua, whose unit bought a 15 percent stake in Western Digital Corp (WDC.O) for $3.8 billion on Wednesday, has offered $23 billion for Micron, but the plan has been clouded by U.S. security concerns. Shares of Micron, which competes with SanDisk Corp (SNDK.O) and SK Hynix Inc (000660.KS), closed at $14.77 on the Nasdaq on Thursday. (Reporting by Anya George Tharakan in Bengaluru)

T-Mobile says data breach at Experian unit may have hit 15 million customers

People pass by a T-Mobile store in the Brooklyn borough of New York June 4, 2015.

/Brendan McDermid

T-Mobile US Inc said about 15 million of its U.S. subscribers may have been affected in a data breach at a unit of Experian Plc, a company that processes the telecom carrier's credit applications.The hacked data included names, dates of birth, addresses, and Social Security numbers as well as additional information used in T-Mobile's own credit assessment. (t-mo.co/1M4FSSd) Payment card or banking information were not acquired, T-Mobile Chief Executive John Legere said in a letter on Thursday. (Reporting By Arathy S Nair in Bengaluru; Editing by Sriraj Kalluvila)

Fitbit attracts new attention from short-sellers

James Park (C), Fitbit CEO, stands as company officials applaud after ringing the opening bell on the day of the company's IPO above the floor of the New York Stock Exchange, June 18, 2015.

/Lucas Jackson

Wearable gadget maker Fitbit Inc (FIT.N) attracted far more bets against its recently rising stock in September, underscoring concerns about competition from the likes of Apple Inc (AAPL.O). Since Sept. 10, borrowing in Fitbit shares has jumped 50 percent, according to lending data from SunGard's Astec Analytics, which provides a strong glimpse into short-selling activity. Short-sellers borrow shares and sell them, hoping to buy them back later for less to return to the lender.While short-selling in Fitbit declined from 7.4 percent of outstanding shares at the end of August to 6.9 percent in mid-September, that rate is still much higher than the average short interest of 2.7 percent for tech companies, according to Thomson data. San Francisco-based Fitbit makes wrist bands and clippable devices that monitor fitness activity by tracking calories burned or distance covered, among other metrics. Fitbit's stock market listing in June won a rousing response from investors. The shares rose to a high of $51.90 on Aug. 5 from their $20 IPO price. Auguring well for the nascent consumer electronics niche, global shipments of wearable devices more than tripled to 18.1 million units in the second quarter, according to market research firm IDC. [ID:nL4N1124O8]But some on Wall Street have grown concerned about competition from other wearable devices with health-related features and apps, including the Apple Watch, which was introduced in June. Activity tracking is also available on some smartphones without the need to wear an additional device. In Fitbit's debut quarterly report in August, the company warned that increased spending to develop new gadgets meant a dip in gross margins that would not improve for the rest of the year, disappointing Wall Street and sending its stock sharply lower. [ID:nL3N10G5OM]The shares have recovered 14 percent in the past month but remain 27 percent below their record high. On Thursday, the stock was up 0.3 percent at $37.81. (Reporting by Noel Randewich; Editing by Lisa Von Ahn)

Short sellers cash in Apple bets as stock declines

One of the first customers holds his phones as Apple iPhone 6s and 6s Plus go on sale at an Apple Store in Beijing September 25, 2015.

/Damir Sagolj

Many short sellers appear to have unwound their bets against Apple this week, and a 6 percent fall in the stock price suggests they made money as investor worries about the company countered a record launch of its newest iPhone.The relentless ascent of Apple Inc's (AAPL.O) stock since it debuted its first smartphone in 2007 has made it unpopular for most short sellers.But worries about slowing economic growth in China, an increasingly important market for Apple, have recently hurt the Cupertino, California company's shares, sending them down about 19 percent from a record high in April.On Thursday, Apple was down 2.2 percent at $107.83 on a report that chip suppliers were concerned the iPhone maker would cut chip orders for the fourth quarter.The stock fell 2 percent on Monday even after Apple announced record first-weekend sales of its new iPhone 6S and 6S Plus handsets, suggesting investors have concerns about whether Chief Executive Officer Tim Cook can top sales of previous devices. Borrowing in Apple shares grew 32 percent through most of September, and then abruptly dropped 31 percent this week, according to lending data from SunGard's Astec Analytics, which provides a strong glimpse into short-selling activity. Short sellers borrow shares and sell them, hoping to buy them back later for less to return to the lender. During that time, they have to pay interest to the lender.This week, Apple's stock has fallen almost 6 percent, suggesting short sellers wrapping up their bets may have made money. Short selling in Apple increased from 1.1 percent of its outstanding shares in July to 1.6 percent in mid-September, although that level of short selling remained below the average rate of 2.7 percent for tech companies, according to Thomson data.Since a selloff in Chinese equities in late August, Apple's stock has fallen about 7 percent, slightly less than the S&P 500's 9 percent decline. Brad Lamensdorf, who manages the AdvisorShares Ranger Equity Bear ETF, is currently short Apple shares. He suspects investors are overestimating iPhone sales in future quarters and he believes recent trading volume in Apple shares hints at more weakness to come.He also likes shorting Apple because he doesn't have to compete with other short sellers to borrow the company's shares."We don't like to get into highly crowded 'war shorts' that people have been in forever," he said. "Apple is the cheapest to borrow. There's plenty of supply and it's the lowest rate they'll charge you." (Reporting by Noel Randewich; Editing by Cynthia Osterman)

Verizon launches new mobile video service 'go90'

A woman is cashed out at a Verizon store in New York's financial district May 12, 2015.

/Brendan McDermid

Verizon Communications Inc launched its new mobile video app "go90" on Thursday, looking to corner market share in the mobile ad industry dominated by Google Inc and Facebook Inc.The free, short-form video service will drive revenue from data usage and targeted advertising from well-known brands."At launch, there are over 8,000 titles available to go90 users as well as over 35 exclusive original series, which will nearly double by year's end," the company said in a statement. The No. 1 U.S. wireless carrier last month launched a trial of the service, which offers live events, on-demand shows and videos. Companies such as Netflix Inc and Hulu, which offer Web-based video services, have put pressure on traditional pay-TV companies that are struggling to add viewers. (Reporting by Abhirup Roy in Bengaluru; Editing by Saumyadeb Chakrabarty)

Hackers attack forex broker FXCM

FXCM Inc, an online foreign exchange broker, said its systems were hacked and a "small number" of unauthorized wire transfers were made from customer accounts, sending the company's shares down 25 percent to a record low.All funds have been returned to the accounts that were compromised, the company said on Thursday.FXCM said it received an email from a hacker claiming to have illegal access to customer information and that it had notified the Federal Bureau of Investigation.An FBI spokeswoman said the bureau was "aware of the incident and is investigating." FXCM said it was working with a cybersecurity firm to determine the scale of the incident and identify affected customers.The company did not say when it was hacked or give any further details on the incident. FXCM did not immediately respond to a request for comment. FXCM is the latest U.S. corporation to become a victim of a cybersecurity attack, adding to a list that includes Target Corp, Apple Inc and JPMorgan Chase & Co.Accusations against China have increased amid growing concerns about national security. Last week, U.S. President Barack Obama and his Chinese counterpart Xi Jinping signed a pact to fight cyber warfare. FXCM's shares were down 4.6 percent, recouping some losses after hitting a record low of $6.51. The stock had fallen about 95 percent this year mainly due to losses stemming from the Swiss National Bank's removal of the cap on the Swiss franc in January. (Reporting By Sudarshan Varadhan in Bengaluru; Editing by Saumyadeb Chakrabarty and Savio D'Souza)

Apple appoints former Boeing CFO to its board

Apple Inc's CEO Tim Cook waves to the audience after One Republic performed at an Apple media event in San Francisco, California, September 9, 2015.

/Beck Diefenbach

Apple Inc (AAPL.O) said on Thursday it appointed James Bell, Boeing Co's (BA.N) former chief financial officer, to its board.Bell is on the board of several other companies, including JPMorgan Chase & Co (JPM.N) and Dow Chemical Co (DOW.N). (Reporting by Kshitiz Goliya in Bengaluru; Editing by Savio D'Souza)