Phew. Another Friday. Congratulations on some fine adulting this week.
Today's Login is 1,288 words, a 5-minute read.
Phew. Another Friday. Congratulations on some fine adulting this week.
Today's Login is 1,288 words, a 5-minute read.
Illustration: Aïda Amer/Axios
As Microsoft and Walmart work together on a deal to buy TikTok's U.S. business from China's ByteDance, the giants each see fresh opportunities to expand into long-coveted markets — advertising in Microsoft's case and e-commerce for Walmart. But both companies have decidedly mixed track records in these realms, Axios' Sara Fischer reports.
By the numbers: Walmart makes less than 8% of its total revenue on e-commerce, despite pricey forays into the industry, like its $3.3 billion acquisition of the now-defunct Jet.com in 2016. Microsoft makes less than 5% of its revenue on digital ads, despite its $26.2 billion acquisition of LinkedIn in 2016 and numerous other forays into ad-supported businesses.
Driving the news: A deal involving Microsoft and Walmart deal would allow TikTok to remain in the U.S., and would provide a platform for creators to sell goods via a social e-commerce infrastructure, sources tell Axios' Dan Primack.
Microsoft has a long history of digital acquisitions and product development in ad-supported software, beginning with search and, more recently, with investments in other networks, like LinkedIn. But its ad business is still tiny compared to software rivals like Google and Facebook.
Walmart has pushed to expand its e-commerce business aggressively in the past few years, although it has faced some bumps along the way.
Yes, but: It's still unclear how a Microsoft-Walmart bid for TikTok would work, and other bidders, including Trump administration favorite Oracle, are also in the game.
The big picture: TikTok's business is still young.
Illustration: Aïda Amer/Axios
Discord began in 2015 as a way for gamers to talk to one another before, during, and after play. Now, the chat company is pursuing a far broader vision: to be the Slack for your non-work life.
Why it matters: In the age of COVID-19, more than ever before, people need the online equivalent of social spaces like bars, restaurants and stages.
How it works:
"We view it as mostly a benefit," CEO Jason Citron told Axios. "It gives us the ability to ensure that Discord is a safe place to talk."
Flashback: When the site realized after the 2017 Charlottesville rally that white supremacists were using the chat platform to organize, Discord acted quickly and publicly, Citron said. "We wanted to make clear Discord would be a hostile place for extremist behavior."
The big picture: Citron said Discord is trying to enable online social spaces that can serve different functions.
What's next: At the top of Citron's list is getting more people outside the gaming world to know about Discord. "It is a new way to talk and spend time," he said. "If you don't really dive into it you can miss the magic of the service."
More Americans want to see presidential candidates criticize Big Tech on the campaign trail than they did last year, according to a new Morning Consult/Politico poll.
Why it matters: Politicians from both parties are already making increasingly pointed attacks on the tech industry, and the survey suggests a growing proportion of the American people want to hear just that, Axios' Kyle Daly reports.
Yes, but: It's still a minority of all Americans that say they want presidential candidates get tough on tech.
By the numbers:
Google has set up a new website to make its case for why it is good for competition, arguing its free services aid small businesses and "provide thousands of dollars a year in value to the average American."
Why it matters: The move comes as a host of U.S. antitrust investigations are moving forward, including by both federal and state agencies.
What they're saying: "Our free products like Search, Gmail and Maps help people every day, and enable small businesses to grow and reach customers," Google said in a statement to Axios. "We face robust competition, which drives us to innovate, and leads to better products, lower prices and more choices for everyone.”
My thought bubble: In June, Apple announced a study of how much its App Store contributes to the economy — just hours before regulators in Europe announced an investigation.
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