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2019.01.13 Penn Wealth Report Vol 7 Issue 01

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13 Jan 2019 penn wealth Report volume 7 issue 01 21 Penn Wealth Report Copyright 2019. All Rights Reserved. weekly Business report weekly Business Report —Philip Stanhope, 4th Earl of Chesterfield At least Musk is passionate about what he is doing—reminiscent of the first generation Busch, or the first generation Ford. Fortnite parent pocketed $3 Billion in 2018—expect an ipo one oF these days It isn't a publicly-traded company (yet), but if it were, Epic Games would have a value of $15 billion or so. at is due, in great measure, to its Fortnite release, which happens to be the world's most popular video game. Despite being "free" to players, once sucked into the game the 125 million or so gamers it currently boasts can buy digital items for their characters, such as outfits and dance moves. But how much can these nickel and dime pur- chases really yield for the company? According to insider reports, Epic grossed a $3 billion profit in 2018. Not revenues; gross profit. Epic, which Chinese conglomerate Tencent Holdings purchased a 48% stake in six years ago, just made another big move: it launched the Epic Game Store. Online gaming is now a $100 billion industry, and there are no signs of player fatigue—at least for the industry overall. Individual games, of course, can lose a fickle audience overnight. Odds are great that the Cary, North Carolina-based Epic will eventually offer an IPO. In the meantime, investors can get an indirect piece of the action by buying TCEHY. Looking for a way to ride the latest video game wave? e top publicly-traded companies in the space are Activision Blizzard (ATVI), Take-Two Interactive (TTWO), and Electronic Arts (EA). e latter happens to be on sale: its stock is down roughly 50% from July highs. Foxconn's india plans are another warn- ing shot to china e seductive concept of an emerging market with 1.4 billion potential new customers lured American companies to China. Now, more and more of these companies are realizing that conducting business in a communist country is fraught with dangers and pitfalls. e latest move comes from Taiwanese electronics parts-maker Foxconn, which just announced plans to begin producing high-end Apple (AAPL) iPhone parts in India. Foxconn is an enormous company. As the world's lead- ing contract electronics manufacturer, the company employs nearly one million workers and generates an annual revenue of $160 bil- lion. India is a democratic republic, with no plans to take over the world (economically or otherwise), and with an equally-impressive 1.3 billion citizens. Expect more companies to fol- low Foxconn to this "safer" environment. Quotes of the Week (For more, visit our blog at PennWealth.wordpress.com) "Know the true value of time; snatch, seize, and enjoy every moment of it. No idleness, no laziness, no procrastination: never put off till tomorrow what you can do today." 1920; Public Domain "Be less curious about people and more curious about ideas." —Marie Curie "You will become as small as your controlling desire; as great as your dominant aspiration." —James Allen south asia Aspirations Character Action Environment Public Domain media & entertainment Public Domain

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