tv BBC Business Live BBC News March 26, 2019 8:30am-9:01am GMT
you're watching bbc news at 9:00 with me annita mcveigh — the headlines. mps back an unprecedented move to take greater control of the brexit process this is business live as they prepare to vote tomorrow from bbc news with sally on possible alternatives bundock and ben thompson. to theresa may's plan. but the prime minister says the biggest shake—up of the internet there are no guarantees she'll abide by their votes as her supporters urge mps to back her plan. ina the biggest shake—up of the internet in a generation. the european union the only way to deliver on brexit votes on reforming copyright laws that's ready and can allow us to get which could change the way we use the web. on with it is to vote live from london, for the prime minister's deal. that's our top story on tuesday 26th march. i'm nicky campbell. are public attitudes towards brexit changing? we want to hear your views in a special programme coming up in just a few minutes. the changes would make tech finding answers for bereaved parents — coroners in england and wales may companies like google and twitter may be given new powers responsible for copyright breaches to investigate stillbirths. committed by their users, england win 5—1 in montenegro but its sparked massive in their euro 2020 qualifier — protetsts — we find out why also in the programme just one day after apple's shift to news, gaming and video streaming — samsung gives a shock profit
warning, hit by weakening smartphone sales worldwide. markets in europe today are mixed. in fact, some hardly moving at all. we will explain what's happening. and why do we buy what we buy? most of it is down to advertising. but as the industry shifts away from print ads and billboards, we'll get the inside track of how firms persuade more of us to part with our cash. a british airways flight bound for dusseldorf — landed in edinburgh by mistake. we want to know what's your worst flight mishap? just use the hashtag bbcbizlive hello and welcome to business live. some very amusing and interesting
stories so far about your travel diversions. keep them coming, we will share some of them later. feelings are running high about copyright law in europe. over the weekend, tens of thousands of people across the continent protested against the european union's directive on copyright reform bill. later today, the european parliament will vote on whether to modernise laws. what does the bill do? it would make online platforms and aggregator sites, like google, facebook and twitter, responsible for copyright infringements, and supposedly funnel more revenue from tech giants back to artists and journalists. those backing the new rules include industry bodies that look after content producers — the likes of universal music group and warner music. but people are worried about something called article 13 — dubbed the meme ban. no one is sure whether memes will fall foul of the proposed
rules. just to clarify, those are the little funny characters or messages that you can tag to what you post online. another controversial section is article ii, known as the "link tax", would mean publishers and aggregate sites — such as google — have to pay a tax to sites to whom they link. let's talk about the implications. siada el ramly, director general of the european association representing online platforms. welcome to the programme. this has been described as a proposed law that will overhaul copyright laws in europe to bring them up—to—date for the internet age but is that how you seeit? the internet age but is that how you see it? that was the intention but we've always maintained it lacked ambition in dry to find new ways to actually tailor the new copyright rules to the digital environment, the online environment. and rather
dry to force old world solutions into the online space. by creating traditional ways of redistributing the royalties as such. through this copyright directive in the online space. and we are seeing that very strongly in the push for forcing licensing agreements as being the main solution that is being put forward. you're in a pretty unique position, you can speak for many of your members, you ahead of the industry association for lots of online platforms but i wonder what some members make of this. some of the immediate reaction, the google vice president of news says in an interview he did last year, google may have to shut down its new service, google news at the directive is implemented in a way that meant the company has to pay
publishers. but those publishers say we are creating the content, you are linking to it, give us a share of the profit. we've had two examples in europe so far in both france and surrey, germany and spain. an ancillary copyright law was put forward. both went success in what the outcome was. we sell small publishers disappear, google news withdrawing from the spanish market. and in germany google got free licenses from the publishers as a result, some of the desired outcome. of what article 11 puts forward is not exactly the same as the ancillary copyright that was put forward in germany, and not entirely the same as in germany and spain but what it does do is it still lacks a lot of clarity, it's quite ambiguous in terms of the language and the directive as a whole, will actually
have to be figured out through litigation, eventually. sorry to interrupt but is there a consensus amongst your members that they will have to pay in some shape or form, that they are willing to pay for the creators of that content, be it a news organisation, music label, video production company? they will pay for that and it's just about negotiating how much? well, it's not so negotiating how much? well, it's not so much about how much, it's how it needs to be done. there is a lack of clarity as to what is and isn't included in the text even that is going to be voted today in article 11. our industry, our sector has never really contradicted wanting to have a better copyright regime, we are just not sure this one pits a better proposal on the table. good to talk to you and thank you for explaining all of that. a big day for you. thank you so much.
let's take a look at some of the other stories making the news uber has confirmed it will acquire its middle eastern rival careem for $3.1bn. the america—based ride—hailing app is looking to expand globally and wants to increase its value ahead of its stock market listing later this year. the tie—up is expected to be completed by the start of next year. british online supermarket service ocado has signed a partnership agreement with australia s coles group — marking its fifth major overseas deal in less than 18 months. the deal will see ocado s technology and software develop coles online s grocery business in australia as supermarkets try to compete with the demands of online shopping. soaring executive pay has become a symbol of "corporate greed" and is undermining the reputation of uk business according to a group of british mps. the business select committee said that over the last decade, the pay of ftse 100 bosses has grown four times as much as national average earnings.
the chips are down at samsung. the south korean electronics giant has warned that profit for the first three months of the financial year will likely miss expectations. an unprecedented statement by the company blamed a decline in chip prices. christine hah is in our asia business hub in singapore... christine, as we said, that statement unprecedented and cheap prices weighing on the overall statement. yes, very much like apple and any —— many other device manufacturers samsung has been hit by slowing global growth and people are not buying or renewing devices as much as they used to come as quickly as they used to. the two big business lines here are being hit, samsung supplies display screens to the lack of apple, when clients say sales are slowing, that means samsung is selling less screens to everybody else. it's other big
business line is supplying memory chips for mobile phones, for pcs, tablets, data centres. prices for those have been dropping a lot over the past year or so. analysts say that's because a lot of the major players in those spaces, the users of the memory chips, like data centres, amazon, apple, samsung itself, they have too much inventory because of slower sales, not moving as much fresh stock as they expected to but the stocks of those memory chips are already coming down and a lot of analysts say once the inventory comes down the demand for memory chips will come back up again probably later in this year. and then so will memory chip prices. on this front at least some sent may see a positive reprieve towards the end of the year. samsung electronic share prices dropped on the news initially but came back up to just close at half a percent lower. investors are starting to look past the warning to what is maybe better
news later this year. maybe better news, may be an extra bit of salt on the skinny fries. christine, good to see you. let's look at what's happening in asia. markets overall in the green, investors are continuing to weigh recession risk in the us and around the world. let's look at europe. one of the stories we mentioned is or cad are doing a deal with australia supermarket chain coles. shares of 596 supermarket chain coles. shares of 5% on the story. ferguson, listed in london, down 8%, profit warning from them. pound sterling remaining steady as the prime minister loses control over at the brexit process. in parliament, we will talk more about that in a second. and samira hussain has the details of what's ahead on wall street today.
us markets have been gripped by recession fears. what about consumer sentiment? we will find out when the conference board issues its latest consumer confidence index and it's expected to continue to recover from the january drop. economists projecting it to rise to 132 in march from 131.1; in february. what is supporting this optimism? the booming labour market and rising compensation. also look out for a trifecta of data that should shed light on the state of the american housing market. there is the house price index, the commerce department also scheduled to report building permits probably rose in february and it's due to report housing sta rts and it's due to report housing starts which are expected to have dipped. the mirror in new york with the latest on what's happening in wall street. joining us us kokou agbo—bloua, head
of market strategy at societe generale. looking at the board and it was all done pretty sharply yesterday. why? this is part of the way the market works. we have profit taking from people who bet that asset prices will fall, take profit and buy it back. this is more technical short term. the bigger issues are at the longer term worries that the market has with respect to a recession, potentially in 2020. where are you on the very scale, you very worried, not so concerned ? on the very scale, you very worried, not so concerned? we are cautiously optimistic. one of the things in the situation, we had been predicting a slowdown in growth in gdp in 2020, one of the things that took us by surprise was the reactive is of central banks, the third pausing its balance sheet and ministry ——
monetary policy. so not increasing interest rates, some are talking about them cutting interest rates? this is what the bond market is pricing with the yield curve becoming inverted. you have to think about the ten year bond yield as a measure of long—term nominal growth rate, how fast the economy is growing. let's talk about what the market is making of brexit, trying to think of a better word, shenanigans, what happened in parliament in the uk yesterday. where are the markets in terms of no deal potentially? could be of the table, we heard from ministers this morning, mps not allowing that to happen but what are markets making of it? markets are frozen when it comes to the distribution of outcomes or at least the different possibilities. this is why you see the pound sterling not moving because it's difficult to buy or sell with any degree of conviction. that said, what's interesting is the cost of insurance, protecting against a large move. in terms of
your attitude over the next couple of weeks, it's really critical from 110w of weeks, it's really critical from now till the 12th of april, may be the 22nd of may. what are stocked in telling you and what are you telling your clients? arcot situation is a deal will be found because it's in the best interests of both parties. clients are clearly focused on the 12th of april because it's the new cliff edge date so to speak. all eyes will be focusing on that. for now, really good to see you. i know you will talk us through some of the paper stories later including that ﬂight paper stories later including that flight that went a little bit able. it should have gone to dusseldorf, ended up in edinburgh. still to come... who influences what and why we buy — is it all down to advertising? influencers are just as important today as the traditional billboard, we'll get the inside track of how firms persuade us to part with our cash. you're with business
live from bbc news. moss bros — the men's clothing retailer — has tipped into the red — with a full year loss. sales were down 4.3% for last year. but the company has managed to rack up more sales online. theo leggett our business correspondent has been looking into the numbers. tell us more about these numbers. it's a good thing online sales are up, in terms of physical stores this company is really struggling. like for like sales across the business down 4.3%. across the physical stores down more than 7%. plenty of reasons for this, the chief executive coming outwith. it seems as though early season stock shortages were a factor, then the
weather was too cold, then it was too hot, everybody was out watching foot ball too hot, everybody was out watching football for the world cup, either way it was a pretty dreadful year. we knew it was going to be. three successive profit warnings and now the full year loss which means shares in the company down 6%. there isa shares in the company down 6%. there is a bright spot on the horizon, the fa ct is a bright spot on the horizon, the fact online sales for another success if you're going up, up nearly 20% but not nearly enough to assuage what is going up in the rest of the business. the company is struggling. they have brought in a new head, a new person to steer the ship, colin porter coming on as chairman so it'll be interesting to see what changes he tries to make. jules is better known for funky wellingtons and trendy wrinkled is not morning suits and black tie. thank you. once again, it's a day where there is a lot of news with regards to retailers, mike ashley in
the headlines again. nicely set up, thank you. on the business page, news that mike ashley pursuing debenhams once again. he said yesterday he is prepared to make an all—cash offerfor yesterday he is prepared to make an all—cash offer for the remaining shares in debenhams that he doesn't own. he's been trying to woo the board of debenhams by offering them the money they need. £200 million worth of cash to help pay the rent and all sorts of other things. he says now that could turn into a full offer. the debenhams board not really thrilled by that pursuit, keep an eye on it. a lot there for us keep an eye on it. a lot there for us to watch. also news about super dry on the business pages, a lot of retail stories out today, look and dig deep! your‘re watching business live — our top story... controversial new copyright laws — plans by european lawmakers to overhaul rules would punish big
tech companies for copyright breaches but opponents warn it'll harm free speech. it's been voted on today in the european parliament. when we have an outcome we will update you. also waiting for an outcome on the brexit negotiations. let's look at the markets so if you are confused, they are too. markets waiting to see what happens as far as negotiations are concerned. some progress last night, you read any newspaper this morning, mps describe a season by control. they will build on possible outcomes. still no clarity although some suggest we are moving away from the idea of a new deal exit. now, why do we buy the things we buy? well, often it's down to what we see on posters, bill boards, commercials — and increasingly online ads. but advertising is increasingly moving online.
by 2020, half of all advertising spend will be on digital media mobile will be the big winner, with 67% of all digital advertising and 29% of all advertising this year. caroline foster kenny is the chief executive for europe, middle east and africa at ipg mediabrands — a company that works with firms on why, how and where to advertise. victoria fritz met her and started by asking what the agency provides for clients. it's about connecting brands with people in its simplest terms through midi and that can be all kinds of media, television, an influencer campaign, events. obviously there is so much choice out there, it's quite complex. but the focus is on making sure the actual connection is as
releva nt as relevant as possible and it's to the right person. the digital sector is the fastest growing sector yet its been accused of poor practices recently. how do you go about improving integrity and transparency in the advertising world? it's a big issue at the moment. we've seen a huge shift across the landscape, as much as 50% of all advertising media will be through digital next year globally. some mark that as much as 70% globally. some mark that as much as 7096 in globally. some mark that as much as 70% in the uk. it's come under a lot of scrutiny, so much investment there. a lot of it is so new. we are trying to figure out and test and learn on these new platforms. there was a lot of scrutiny. we are working very closely with clients and media platforms on what is a cce pta ble and media platforms on what is acceptable and it isn't and how that needs to be improved. measurement is
a big piece of that, how we can accurately measure but also transparency. ensuring all kinds of technology, to try and help protect companies against ad fraud. is the influencer marketing world losing its appeal? i don't think so, i think it's on the increase. right across the board. the measurement piece of how it's not as simple as one would think. and we haven't quite cracked it yet. has it become easier to be a female leader in your industry? i think definitely, easier to be a female leader in your industry? ithink definitely, it really has but there's still a long way to go. as an industry, i think like many others, we have had challenges around diversity. but i think that's beyond just gender and ethnicity. it goes beyond that to make sure we are represented from all kinds of brands and culture. the pace of change has been dictated by changes in consumer habits, trends and tastes, twitter storms can brew
also how we behave and operate. that requires us to have a very agile and flexible workforce. that's different from what we had before and we are figuring out how we do that. how do you get an agile workforce, shorter co ntra cts ? you get an agile workforce, shorter contracts? generally the industry is quite young. we have many staff under the age of 30 but if you particularly look at those under 25, what they value for career and in their career is different from 10—20 yea rs their career is different from 10—20 years ago. they are not necessarily looking for direct, linear career progression but they are looking more for experience. we need to focus on how we attract and retain some of the valuable new fresh thinking. one thing we have started doing is introducing annual sabbaticals. it could be you have only been with us a year or two but many in that age group want to go and do different things, may be travel. there may be an extra two months off a year. let's see what other stories are being talked about on social media. so many comments about this ba ﬂight so many comments about this ba flight yesterday that were supposed to land in dusseldorf but landed in edinburgh. many questions being asked. we asked you for your input
today. agnes says i met a guy through my work whose company had accidentally flown him to newcastle upon tyne instead of newcastle in new south wales. a bit of a difference. there are places that have the same name, ontario in california, ontario canada. what does the story tell us about what happened? quite a fascinating story. clearly this is the difference between what the pilot was told and what was essentially told to the customers. i think the passengers, the real issue is of such a mistake can be made in an industry that was obsessed with control and processes, what else could go wrong in the future? it is quite amusing some of these stories. one i've done, this is at raith edge and whoever that is, i once fell asleep on the northern line on the underground, i completed the kennington loop, i dropped off in the circle line i don't know how many times. i was
exhausted. that's what shiftwork does to you. another viewer says i was supposed to go liverpool to belfast, that's just a help across the water. it managed to do that via glasgow. a big diversion north. a big one for him. yes, an interesting story. how about you, you travel a lot? absolutely. i've been in ten different cities over the past two months. any major mishaps? fortunately not. the only thing was a mess landing. the plane had to ta ke a mess landing. the plane had to take of a few seconds after the first attempt. essentially we flew backin first attempt. essentially we flew back in the air and he attempted a second landing and this was successful. that must have been extremely scary. absolutely. just once in about three years. let's hopeifs once in about three years. let's hope it's the only time. the one and only time. a good ratio. really good to see you, thanks so much for your
company. use the hashtag to read some of those funny stories. take a lake. see you at the same good morning. a chilly start again. temperatures across southern england got below freezing. frost around first thing. over the next few days it will remain dry for many of us. chasing cloud around. some sunny spells. high pressure dominating the weather at the moment. you can see it sitting across the uk over the next few days. they cold front working its way to the north—west later in the week. through this morning, quite a bit of cloud. some hazy sunshine across southern areas. making way for more blue skies and sunshine especially across wales and the south west of england. elsewhere quite a bit of cloud, especially in northern england, scotland, northern
ireland, rain affecting the far north of scotland. temperatures reaching 11—14d. the rain continuing across the far north tonight. elsewhere, clear spells but chasing the cloud around as it moves across the cloud around as it moves across the uk. with any lengthy clear spells temperatures could get down close to freezing. otherwise we keep the temperatures at about 3—7d. during wednesday, any apache mist and fog in the south clearing. we look at sunny spells developing across a good part of england and wales during wednesday. more cloud for scotland and northern ireland, outbreaks of rain affecting the far north—west of scotland. temperatures if anything coming up by a degree or so compared to today, 13—15d. through wednesday night into thursday this area of high pressure shifting further eastwards. again,
giving us this mostly settled weather and around an area of high pressure, the wind travelling in a clockwise direction, you see we have warmerair clockwise direction, you see we have warmer air across many parts as we go through the end of the week. during thursday morning, some patchy mist in full, tending to clear away. some lengthy spells of sunshine throughout thursday. cloud across the north west of scotland, warm day still, temperatures quite widely 14-16d. still, temperatures quite widely 14—16d. could be a few spots reaching 17 perhaps 18 degrees. we keep the fine weather during friday. into the weekend plenty of dry and bright weather. temperatures starting to come down a little, you notice on saturday into sunday temperatures in london, for example, reaching 11 degrees. that's all from me. have a good day. goodbye.