You’re reading The Brazilian Report’s weekly tech roundup, a digest of the most important news on technology and innovation in Brazil. This week’s topics: Brazilian companies’ over-reliance on offline work. Data privacy on the Supreme Court. And more.
More dependant on the offline world, Brazilian tech companies suffer
With around 4 billion people across the world currently living under some form of lockdown, tech giants are experiencing a boom in business during the Covid-19 pandemic. From all-online services such as Netflix, Zoom, or Facebook to e-commerce moguls such as Amazon, big players are experiencing a boom in valuation — despite the jittery state of markets. Here is how some of these companies’ stocks have performed since March 11, when the World Health Organization declared a pandemic:
- Facebook Inc: +20 percent (USD 204.71 per share)
- Amazon.com Inc: +36 percent (USD 2,474.00)
- Netflix Inc: +20 percent (USD 419.85)
Not here. The trend, however, has not spread to Brazil, according to a study conducted by the Itaú BBA bank. “Brazil’s tech companies still depend too heavily on the offline part of business,” said Enrico Trotta, a technology analyst at the bank, told the website NeoFeed.
- The Brazilian management software company Linx is a good example of this. Highly dependent on retail customers, Linx shares have crashed 32-percent since the coronavirus reached Brazil. The same has happened...