Top News
* CBS Corp. board effectively voted to dilute control of the company held by Shari Redstone's National Amusements Inc., pending approval by Delaware courts. CBS directors not affiliated with National Amusements voted to distribute a pro rata dividend of 0.5687 share of class A common stock for each share of the company's class A and class B common stock to stockholders of record on the record date. The dividend, if issued, would bring National Amusements' voting interest down to about 20% from about 79%, according to a press release issued by CBS.
* Data analytics firm Cambridge Analytica LLC filed for voluntary Chapter 7 bankruptcy at a New York court, roughly two months after a scandal involving alleged misuse of Facebook Inc. user data broke out, Reuters reports. The company reportedly listed assets ranging from $100,001 to $500,000 and liabilities ranging from $1 million to $10 million.
* If completed, the pending merger of T-Mobile US Inc. and Sprint Corp., the third- and fourth-largest U.S. wireless carriers, would mark the biggest deal to date for boutique investment banks PJT Partners Inc. and Raine Group LLC. The two banks are the smallest among five financial advisers on each side of the deal.
Technology
* Jeff Holden is stepping down as Uber Technologies Inc.'s chief product officer, Reuters reports, citing a company spokesman. Holden reportedly oversaw Uber Elevate, the company's flying car operation, which is now headed by Eric Allison, the spokesman said.
* AT&T Inc. and Verizon Communications Inc. will be carrying RED's Hydrogen One handset, TechCrunch.com reports. The 5.7-inch "holographic display device" reportedly costs $1,200.
* Rackspace Hosting Inc. bought RelationEdge LLC, a Salesforce Platinum Consulting Partner and digital agency, for an undisclosed sum. The acquisition allows Rackspace to expand its capabilities through the continuous transition to modern technologies such as software-as-a-service applications, according to a news release.
Internet & OTT
* Facebook teamed up with the Atlantic Council as part of the company's efforts to prevent the platform from being abused during the elections. In a news release, Katie Harbath, global politics and government outreach director at Facebook, said the Atlantic Council's Digital Forensic Research Lab will work with Facebook's security, policy and product teams to get Facebook real-time insights and updates on emerging threats and disinformation campaigns from around the world.
* Hulu LLC entered into a content licensing agreement with VICE Media LLC. The deal that marks VICELAND's first SVOD partnership will add 15 series to Hulu's library of unscripted programming, including all past episodes of "Gaycation," "Woman," "F*ck," and "That's Delicious," according to a news release. Hulu subscribers will be able to stream these shows starting June 8.
Film & TV
* Viacom Inc.'s MTV (US) halted filming on reality series "Catfish" amid allegations of sexual misconduct against the series host Yaniv Schulman, Variety reports. In a statement, an MTV representative said the network takes these allegations very seriously, and it is working with a third-party production company to conduct a thorough investigation.
* Suzanne Scott will lead 21st Century Fox Inc.'s FOX News Channel (US) and FOX Business Network (US) as CEO. Scott previously was the president of programming for both networks. The company also tapped Jay Wallace to be president of FOX News and executive editor, while Jack Abernethy will continue to serve as CEO of the newly expanded FOX Television Stations Group, the company said.
* CBS Corp. President, Chairman and CEO Les Moonves made a short appearance at the programmer's upfront presentation to advertisers on May 16, during which he acknowledged a brewing legal battle over control of the broadcast giant. The longtime executive, who received a standing ovation from upfront attendees at Carnegie Hall, said: "For years, I have told you that I will only be out here for a short time. This year, for the first time, I might mean it."
* Time Warner Inc.'s Warner Bros is nearing a $50 million deal for film rights to "In the Heights," a musical from Lin-Manuel Miranda and Quiara Alegría Hudes, Deadline.com reports. Other bidders include Fox, Paramount, Sony Corp., Walt Disney Co., Netflix Inc. and Apple Inc.
* Lions Gate Entertainment Corp. appointed Nathan Kahane president of the company's Motion Picture Group. Also, former Good Universe and Disney executive Erin Westerman was named executive vice president of production, the company said. The moves are part of a realignment of the company's motion picture business.
The day ahead
Early morning futures indicators pointed to a higher opening for the U.S. market.
In Asia, the Hang Seng increased 0.34% to 31,047.91, and the Nikkei 225 increased 0.40% to 22,930.36.
In Europe, around midday, the FTSE 100 was down 0.17% to 7,775.10,while the Euronext 100 was up 0.10% to 1,084.48.
On the macro front
The Baker-Hughes Rig Count report is due out today.
Featured news
The Daily Dose Europe: Virgin Media begins COO search; RCom offers legal settlement with Ericsson: Cable giant Liberty Global PLC has begun the search for a new COO for Virgin Media Inc., while India's cash-strapped telco Reliance Communications Ltd. offered to settle a dispute with telecom giant Ericsson over unpaid contract dues.
The Daily Dose Asia-Pacific: Toshiba gets China nod in $18B chip sale; Kakao to merge with entertainment arm: Chinese regulators approved Toshiba Corp.'s pending US$18 billion sale of its memory chip business to a Bain Capital-led consortium, while South Korean internet company Kakao Corp. announced a plan to merge with its entertainment subsidiary.
Hires and Fires: Lachlan Murdoch to lead new Fox post Disney deal; Monster names CEO: 21st Century Fox Executive Chairman Lachlan Murdoch will serve as chairman and CEO at the new "Fox" company that will be created after the company's proposed transaction with Disney. Scott Gutz is joining Monster Worldwide as company CEO.
Hires and Fires Europe: Vodafone CFO to assume CEO post; Iliad announces new leadership: S&P Global Market Intelligence presents a biweekly rundown of executive and board changes in the European media and communications industries.
Hires and Fires: Facebook names new director; Cincinnati Bell wins board battle: Cincinnati Bell Inc. won shareholder support for its nine director nominees at the annual meeting on May 1. Facebook appointed Jeff Zients to the company's board of directors and audit committee, effective May 31.
Featured research
Multichannel Trends: Q1 US broadband gains propelled by cable, telcos dip: The race for wireline broadband market share, already a lopsided affair, once again favored cable. Total cable broadband customers reached nearly 67.3 million, cresting the 2001 video peak of just over 67 million.
Economics of TV & Film: Kagan Box Office Report – Week 19: The second week of the summer season was unable to build on the big growth put up in the previous week. Audiences were still filing in to catch "Avengers: Infinity War" in its third week in theaters, instead of the week's new releases.
Economics of Internet: State of Australia online video: Subscription: Australia is one of the most mature over-the-top markets in the Asia-Pacific region, yet we do not expect a near-term slowdown in overall paid subscribers growth.
Broadcast Investor: Sinclair, Tribune Media station divestitures yield $1.54B: Including the seven-station deal with Fox for $910 million and all the previously announced divestitures, the Sinclair and Tribune Media station sales added up to $1.54 billion at an average 8.0x seller's 2018-19 forward cash flow multiple.
Recent earnings
Altice plays down M&A speculation in France amid rumored interest from Bouygues: Altice NV played down speculation of further M&A consolidation amid rumored interest for its struggling French division from Bouygues Telecom SA-owner Bouygues and co-investors.
Singtel's Q4 profits down 19% on lower associates' contributions, forex movement: Singtel's net profits for the fourth quarter that ended March 31 fell 19% to S$781 million, down from S$963 million a year ago, due to weaker results from its regional associates, adverse currency movements and lower NBN migration revenues.
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