The Wall Street Journal - 14.11.2019

(C. Jardin) #1

B4| Thursday, November 14, 2019 THE WALL STREET JOURNAL.


TECHNOLOGY WSJ.com/Tech


Apple isn’t planning to offer
handsets compatible with
next-generation 5G networks
this year.
Apple said last month its
iPhone sales dropped 9.2% in
the three months ended Sept.


  1. The company’s overall
    revenue rose 1.8%, as sales of
    wearable products such as
    smartwatches and services in-
    cluding apps, streaming-mu-
    sic subscriptions and mobile
    payments offset a decline in
    iPhone revenue.
    However, Apple’s produc-
    tion forecast for the new
    iPhone 11 has been solid, ac-
    cording to people familiar
    with the matter. Apple priced
    the handset—the least expen-
    sive of three models the com-
    pany launched in Septem-
    ber—at $699.
    Apple is also preparing to
    introduce a cheaper iPhone in
    the spring of 2020 with a liq-
    uid-crystal display and a
    home button, people familiar
    with the matter said.
    In the fall of 2020, it is
    planning to roll out 5G hand-
    sets, said people familiar with


ning Dec. 15.
Other products including
the Apple Watch have been
subject to a 15% tariff since
an earlier round of tariff
hikes on Sept. 1.
Tariffs continue to be a
major stumbling block in con-
tinuing efforts by the U.S. and
China to reach a “phase one”

Foxconn Technology
Group’s profit rose 23% in the
third quarter, even as its big-
gest customer, Apple Inc.,
faced declining iPhone sales.
Foxconn, the world’s larg-
est contract electronics
maker, reported a profit of
30.66 billion New Taiwan dol-
lars (US$1 billion), topping
the NT$29.31 billion average
estimate of analysts polled by
FactSet.
Revenue for the Taiwan-
based company rose 0.9%
from last year’s third quarter
to NT$1.39 trillion. Foxconn,
known formally as Hon Hai
Precision Industry
Co., as-
sembles iPhones, mostly in
China, and relies on Apple for
about half of its revenue, ac-
cording to analyst estimates.
Apple’s iPhone sales have
been slowing as customers
hold on to smartphones lon-
ger and as competition in-
creases from Chinese produc-
ers offering lower-price
feature-rich handsets.
Unlike some of its rivals,


BYYOKOKUBOTA


Apple’s plans.
Apple didn’t respond to a
request for comment.
Dow Jones & Co., publisher
of The Wall Street Journal,
has a commercial agreement
to supply news through Apple
services.
The trade war between
Washington and Beijing has

prompted Apple and Foxconn
to consider shifting some pro-
duction out of China, though
most of Apple’s bedrock prod-
ucts, including the iPhone,
continue to be assembled in
the country.
Made-in-China iPhones im-
ported to the U.S. are set to
be hit with a 15% tariff begin-

trade deal. Last week, Beijing
said the U.S. and China had
both agreed to roll back their
tit-for-tat tariffs as part of a
limited deal. However, that
statement was later contra-
dicted by the Trump adminis-
tration.
—Takashi Mochizuki
contributed to this article.

The company, which gets half its revenue from Apple, has mulled shifting some production out of China amid a trade war. A plant in India.

KAREN DIAS/BLOOMBERG NEWS

Foxconn Overcomes


Slow iPhone Sales


To Post Profit Jump


Facebook Inc. reported
gains in detecting hate speech,
child-abuse imagery and ter-
rorist propaganda on its plat-
forms, arguing that its willing-
ness to publish statistics on the
removal of objectionable con-
tent shows its commitment to
transparency.
“The systems we’ve built for
addressing these issues are
more advanced than what any
other company has,” Chief Ex-
ecutive Mark Zuckerberg said
Wednesday, adding that other
internet companies have


avoided making similar disclo-
sures because “they don’t want
to admit they have a problem
too.”
The Facebook co-founder
was unusually blunt in his crit-
icism of other internet and so-
cial-media platforms on a call
with reporters, but he didn’t
specifically name any competi-
tors or say where their detec-
tion efforts and disclosure fall
short.
Facebook, Alphabet Inc.’s
Google and Twitter Inc. are
among large social-media com-
panies that release reports
aimed at giving the public a

window into their businesses.
These firms have responded to
complaints about illegal and of-
fensive content on their plat-
forms by providing metrics to
judge their progress in remov-
ing it, sometimes before it gets
flagged by users.
Facebook’s enforcement re-
port shows the volume of prob-
lematic content it hosts re-
mains staggering, with more
than 12 million pieces of child
nudity or sexual-abuse content
alone being removed from the
main Facebook platform and
Instagram during the Septem-
ber quarter. But the company

said the actual frequency with
which such material is viewed
is so small that it can’t be reli-
ably measured, with such posts
accounting for less than 0.04%
of what users actually saw.
The report marked the first
time the company reported
content-enforcement statistics
for Instagram, which is signifi-
cantly less successful than the
Facebook platform at detecting
terrorist propaganda, child ex-
ploitation and self-harm con-
tent before users report it.
On Facebook, all but 3% of
suicide and self-harm content
is removed from the platform

without reports from users, the
company said.
Instagram users are still re-
sponsible for flagging 21% of
similar content that is eventu-
ally removed.
Vishal Shah, Instagram’s
head of product, said the dis-
parity partially reflects Face-
book having more mature arti-
ficial intelligence systems.
Facebook also touted its
progress this year in removing
posts that violate its policy
barring illicit firearm and drug
sales. It said about 6.7 million
pieces of such content was re-
moved from Facebook in the

most recent quarter, up from
nearly 1.5 million in the first
quarter.
Attorney General William
Barr has criticized Facebook’s
plan to roll out encrypted mes-
saging across its services, a
step that would make it harder
for either the company or law
enforcement to monitor for il-
legal activities.
Mr. Zuckerberg acknowl-
edged “real tension” between
encryption and safety. At the
same time, he said Facebook
should be credited for helping
make society safer by policing
the company’s platforms.

BYJEFFHORWITZ


Facebook Reports Gains in Policing Site


© 2019 Dow Jones & Co., Inc. All rights reserved. 6DJ7606

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