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The Cost Of Supporting Nokia
Source: https://intelligence.businessinsider.com/welcome
Microsoft is paying Nokia a steep price to push Windows Phone 8.
This chart shows trailing 4 quarter profits for Microsoft’s Entertainment & Devices group, which includes smartphones and the Xbox. (Using T4 smooths the profit spikes that happen every holiday season, which is the second quarter of Microsoft’s fiscal year.)
After years of losses, the E&D group was consistently in the black. In the 2010 holiday season (Q2’11) Microsoft introduced Kinect, driving profits even higher.
But a year later, Microsoft began paying Nokia $250 million every quarter for carrying Windows Phone 8. In exchange, Nokia pays Microsoft a license fee (estimated at under $20) for every Windows Phone it sells. (The arrangement between the two has other elements as well, like technology sharing.)
Unfortunately, Nokia’s flagship Windows Phone, the Lumia 900, is selling poorly. So poorly, in fact, that the company just cut its price in half.
So Nokia helped send the E&D back into the red — it’s lost more than $200 million in each of the last two quarters. If Windows Phone sales don’t pick up, E&D will turn into a consistent money loser again.

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It Would Cost 37 Billion Dollars a Year To Screen YouTube Videos
Source: http://gizmodo.com/5914188/it-would-cost-37-billion-per-year-to-pre+screen-youtube-videos
Last week, we reported that a staggering 72 hours of video are uploaded to YouTube every minute. Now, engineer Craig Mansfield has worked out how much it would cost per year to pre-screen all that video for copyright infringements—and the answer is close to that of Google’s annual revenue.
Mansfield calculated that a team of 199,584 judges—or equally qualified individuals—would be required to watch and rule over the video, which in turn would cost $36,829,468,840. For comparison, Google’s revenue for 2011 was $37,905,000,000.
Even if it were possible to find a cheaper labor source, the costs would still be astronomical. If you’re interested, you can read his working in detail. [Craig Mansfield via TechDirt]
Image by Rego – d4u.hu under Creative Commons license
A Raid On A Luxury Ski Resort Has Uncovered The True Scale Of Tax Evasion In Italy
Source: http://www.businessinsider.com/italy-tax-ski-resort-2012-1

A raid by Italian tax officials on a luxury ski resort revealed dire rates of tax evasion, reports the Telegraph.
Officials traced the license plates of several of the Lamborginis, Ferraris and other high-end vehicles that lined the streets of Cortina d’Ampezzo, a popular ski resort among wealthy Italians. In all, 133 vehicles were investigated; the owners of 42 of these were found to have reported annual salaries of less than $28,000 a year.
The investigators also reportedly found that hotels, restaurants and boutiques in the resort were wildly under-declaring how much income they were generating.
For example, Reuters reports that restaurants being studied by authorities were issuing sales receipts amounting to 300 percent more sales than the previous year. This demonstrated the fact that such establishments had not previously issued sales receipts in order to cut down their tax bills.
The news wire also added that tax evasion is becoming such a severe problem in Italy that the government is installing special dogs at borders, designed to sniff out bank notes with the aim of stopping people smuggling their savings abroad.
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See Also:
- A Japanese Tycoon Is About To Fund The Restoration Of This Incredible Ancient Roman Pyramid
- Italy’s State Run Rail Company Is Under Fire For This ‘Racist’ Advertisement
- Mario Monti Had A Very Austere New Years Eve, Thanks For Asking
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A Raid On A Luxury Ski Resort Has Uncovered The True Scale Of Tax Evasion In Italy
Source: http://www.businessinsider.com/italy-tax-ski-resort-2012-1

A raid by Italian tax officials on a luxury ski resort revealed dire rates of tax evasion, reports the Telegraph.
Officials traced the license plates of several of the Lamborginis, Ferraris and other high-end vehicles that lined the streets of Cortina d’Ampezzo, a popular ski resort among wealthy Italians. In all, 133 vehicles were investigated; the owners of 42 of these were found to have reported annual salaries of less than $28,000 a year.
The investigators also reportedly found that hotels, restaurants and boutiques in the resort were wildly under-declaring how much income they were generating.
For example, Reuters reports that restaurants being studied by authorities were issuing sales receipts amounting to 300 percent more sales than the previous year. This demonstrated the fact that such establishments had not previously issued sales receipts in order to cut down their tax bills.
The news wire also added that tax evasion is becoming such a severe problem in Italy that the government is installing special dogs at borders, designed to sniff out bank notes with the aim of stopping people smuggling their savings abroad.
Please follow Europe on Twitter and Facebook.
Join the conversation about this story »
See Also:
- A Japanese Tycoon Is About To Fund The Restoration Of This Incredible Ancient Roman Pyramid
- Italy’s State Run Rail Company Is Under Fire For This ‘Racist’ Advertisement
- Mario Monti Had A Very Austere New Years Eve, Thanks For Asking
—
drag2share – drag and drop RSS news items on your email contacts to share (click SEE DEMO)
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