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Samsung is looking to move away from its sole focus of hardware, transitioning into a software company. The move, which has been in the works for a while, culminated in the replacement of Samsung’s smartphone head yesterday. 

Many in the media put the change down to falling hardware sales, mainly through competition from both the low-end market — typified by Huawei and Xiaomi — and the high-end, which is owned by Apple. 

However, some analysts are saying that this narrative is wrong. 

“I think that Samsung is very well positioned,” said Susana Santos, an analyst for IDC. “Even if it faces challenges because the market is growing, it is well positioned.” 

The start of 2015 was rough for Samsung, with two quarters of falling revenue but the third quarter — which came directly after the launch of the S6 handset — saw more positive results, growing profits to $6.4 billion (£4.3 billion). The S6 Edge, which features a unique curved display, has been a hit. 

“In the Android space, Samsung has been able to keep its share of the market,” said Santos. “It has been the likes of HTC and Sony which have suffered.”  

A report from Bloomberg suggests that the incoming head, Koh Dong Jin, brings with him a new focus for Samsung, moving the company’s mobile division away from hardware — which makes up all of its revenue —  and towards software, such as mobile payments. 

“Based on Koh’s career background, it suggests Samsung will put more weight on its software focus instead of hardware,” said analyst Greg Roh. “The change shows that just the new cycle of hardware offerings won’t do much to revive growth. The new leader will try to boost software power and foster new innovations.” 

Apple has diversified its offerings away from hardware, introducing new initiatives including an iPhone upgrade programme — in which users pay $32 (£21) a month and receive a new phone every year — Apple Pay, and Apple Music, a Spotify-like subscription service. 

Analysts for Goldman Sachs pegged Apple’s potential revenue from this subtle shift at $7.6 billion (£5 billion) per month, without breaking a sweat. It’s clear that Samsung wants some of that. 

Under Jin, who previously worked on Samsung Pay, the company will likely move toward offering better software products, many of which will come with a subscription, increasing the revenue generated per device. 

Apple, which already makes around $200 (£133) on every iPhone, also has the benefit of offering the App Store, iTunes, Apple Pay, and more, all of which generate the company revenue. The software and services division of Apple — which includes exactly these things — recorded $5 billion (£3.3 billion) in revenue during Q4 2015. 

“The biggest threat to Samsung is definitely the competition on the lower end,” said Santos. “Local players, such as Xiaomi, have been successful in entering local markets.” Samsung is leaving these markets in 2016, according to Santos, lowering the company’s exposure to these risks. 

Samsung has a difficult path ahead, but the company’s new focus on moving to monetise users who buy its phones is smart and the appointment of Jin shows that the company is willing to make changes, even if it incurs bad press. 

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LE BOURGET, France (AP) — The latest news from the U.N. climate conference in Paris, which runs through Dec. 11.

11:40 a.m.

The head of the World Food Program is warning that hunger linked to climate change may worsen mass migrations, and is hoping for an ambitious international accord to slow global warming.

Ertharin Cousin told The Associated Press that people “will move if they don’t have enough to eat.” Speaking Wednesday at the climate talks in Paris, she says “food insecurity anywhere is a security challenge everywhere.”

Cousin says the U.N. food agency cannot fulfill its promises to eradicate hunger without a global climate accord, and investment in preventive measures such as drought-resistant seeds and water-conserving agriculture.

Man-made global warming is causing worsening droughts and floods that are threatening traditional food sources, she said — especially in the poorest countries, where hunger is already a top problem.

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Dubai (AFP) – England skipper Alastair Cook was named captain of the International Cricket Council’s (ICC) Team of the Year on Wednesday, with international team-mates Joe Root and Stuart Broad also selected.

Cook, 30, has recaptured his form in 2015, skippering England to Ashes glory against Australia and recently hitting 263 against Pakistan, and is the current leading Test run-scorer for the year.

He was included in the ICC team, selected by an expert panel, for the fourth time and the second as captain.

“I would like to congratulate all the players for their selection in the Test and ODI teams of the year,” said awards selection panel chairman Anil Kumble, the former India captain.

“It is an achievement for each of them to be proud of and a recognition for their good performances in the qualifying period.”

Root scored two crucial Ashes centuries and is currently joint top of the Test batting rankings.

Broad, selected for the fifth time, is the leading fast bowling wicket-taker in Tests this year and recorded career-best figures of 8-15 against Australia at his home ground of Trent Bridge.

Australia captain Steve Smith and New Zealand’s left-arm fast bowler Trent Boult were named in both the Test and one-day international teams, with Root appointed 12th man for the one-day side.

South African lynchpin AB de Villiers captains the 50-over team.

ICC Test Team of the Year

A Cook (England, capt), D Warner (Australia), K Williamson (New Zealand), Younis Khan (Pakistan), S Smith (Australia), J Root (England), Sarfraz Ahmed (Pakistan), S Broad (England), T Boult (New Zealand), Yasir Shah (Pakistan), J Hazlewood (Australia); 12th man: R Ashwin (India)

ICC one-day international Team of the Year

AB de Villiers (South Africa, capt), T Dilshan (Sri Lanka), H Amla (South Africa), K Sangakkara (Sri Lanka), S Smith (Australia), R Taylor (New Zealand), T Boult (New Zealand), M Shami (India), M Starc (Australia), Mustafizur Rahman (Bangladesh), Imran Tahir (South Africa); 12th man: J Root

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BUDAPEST, Hungary (AP) — The latest news as tens of thousands of people slip into Europe and head to wealthy European Union countries in search of a better life. All times local.

11:25 a.m.

Hungary’s prime minister says he believe a secret pact led by Germany to bring up to 500,000 Syrians from Turkey directly into the European Union to be revealed soon.

Viktor Orban said Wednesday that a similar idea was rejected recently by European national leaders but that “the cat will be out of the bag” and the scheme will be announced in Berlin as soon as this week.

Orban says “this secret agreement exists and we will be confronted by it in the coming days.”

He says the plan includes forcing all EU countries to take in some migrants, even if they are opposed to mandatory quotas.

Orban said there will be “huge pressure” on countries like Hungary and others to take part.

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BRUSSELS (AP) — U.S. Secretary of State John Kerry says NATO members stand ready to step up military efforts against the Islamic State.

Kerry says he asked foreign ministers from the 27 other members of the alliance to do more to strike at IS’ core in Iraq and Syria and strangle its international networks.

He says several countries are bringing more to the battle or will do soon.

Speaking Wednesday at NATO headquarters in Brussels, Kerry didn’t outline any new commitments specifically.

Germany recently approved sending forces and materiel for non-combat support roles near the Middle East. A British vote is expected later Wednesday on expanding that country’s airstrikes against IS into Syria.

Kerry said other countries would come forward with new plans after further discussions at home.

Kerry lauded Cameron’s decision to go to Parliament and seek approval for British strikes against IS in Syria.

“This is a very important step. We applaud his leadership,” Kerry told reporters. He urged the Parliament to approve the request.

The secretary also said that Iraq’s government was briefed in advance of the U.S. announcement of new special forces in the region. He said Washington would work with Baghdad on what types of forces deployed, where they go and what types of missions they conduct.

Kerry expressed “full and total respect” for al-Abadi’s leadership, and said plans would go forward “in full consultation and with full consent of the Iraqi government.”

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ISLAMABAD (AP) — Pakistani security officials say authorities have hanged four militants who were sentenced to death over a Taliban attack on an army-run school last year that killed more than 150 people, mostly children.

The two officials said the men were executed Wednesday in the northwestern city of Kohat. The officials spoke on condition of anonymity because they were not authorized to speak to media.

The executions came less than two weeks after Pakistan’s Prime Minister Nawaz Sharif asked the country’s president to reject the clemency petitions of the four “terrorists.”

The Dec. 16 attack on the school in Peshawar was claimed by the Taliban and prompted Pakistan to lift a 2008 moratorium on the death penalty. Since then, Pakistan has hanged nearly 300 people, most of them convicted criminals, not militants.

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Istanbul (AFP) – A Turkish court has asked experts to analyse the “Lord of the Rings” character Gollum to decide whether a doctor should be jailed for comparing President Recep Tayyip Erdogan to the figure, reports said Wednesday. 

Bilgin Ciftci is facing up to two years in jail for “insulting” the president after sharing images comparing Erdogan to Gollum, a thin, pale, gangrel creature with a personality split between good and evil in J.R.R. Tolkien’s fantasy novels and the hugely successful films.

Unable to decide whether Erdogan truly looks like Gollum, the court in the western province of Aydin asked a group of experts — two academicians, two psychologists as well as a cinema authority — to determine whether the comparison was an insult, Milliyet newspaper reported. 

The judge took the decision after admitting to not having seen the whole of the fantasy blockbusters, based on the novel and directed by Peter Jackson. 

The court agreed to adjourn the case until February while the experts analyse Gollum, Milliyet said. 

Ciftci was sacked from his hospital and subsequently briefly detained in October for sharing images comparing Erdogan’s facial expressions when eating, expressing surprise and amazement, to those of Gollum. 

The case comes amid growing concern over the spiralling numbers of journalists, bloggers and ordinary people who are being taken to court on charges of insulting Erdogan and other top officials.

In another case that has garnered huge attention, model and former Miss Turkey beauty queen Merve Buyuksarac went on trial in May on charges of insulting the president.

Last week, two of Turkey’s most prominent journalists — Cumhuriyet editor-in-chief Can Dundar and its Ankara bureau chief Erdem Gul — were arrested on spying charges in a case that has caused global concern.

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Good morning. Here’s everything you need to know in the world of advertising today.

1. Yahoo’s board is reportedly going to consider a potential sale of its internet business when it meets later this week. Among the potential buyers expected to take a look at Yahoo’s business are private-equity shops.

2. Budget airline Ryanair is taking Google to the high court over alleged “misleading and deceptive” online ads. Ryanair is complaining about the way an unaffiliated “screenscraper” website called eDreams, which it claims masquerades as its brand, is promoted right at the top of Google’s search engine listings.

3. New York City-headquartered ad tech startup Undertone has been acquired by Israeli marketing software company Perion in an all-cash deal worth $180 million. Perion will now have a bigger presence in the US and combined the two companies are estimated to generate $350 million in net revenue this year.

4. French-based publicly-listed ad tech company Criteo has joined the list of firms that pay Adblock Plus to appear on its “Acceptable Ads” list. Two types of Criteo ads are now whitelisted.

5. Microsoft employees sang carols outside Apple’s flagship store for a Christmas commercial. The video, posted on YouTube, shows Microsoft’s New York City store employees performing a version of “Let There Be Peace On Earth” outside the Fifth Avenue Apple Store.

6. Even Adobe wants everyone to quit using Flash. The company is encouraging users to make animations in HTML 5 instead and it has rebranded Flash Professional CC to Animate Professional CC.

7. Kate Hudson’s workout brand is mocking Lululemon. Fabletics has posted two videos to YouTube that seem to directly mock the extremely popular athleisure brand.

8. GE’s odd “What’s the Matter with Owen” commercials are working like a charm, it says. The TV commercials have been turning heads among the target recruits, college grads, says Tony Denhart, University Relations Leader at GE Corporate and Andy Goldberg, GE’s Chief Creative Officer.

9. Mark Zuckerberg said he is giving away 99% of his shares in Facebook during his lifetime to help initiatives that “advance human potential and promote equality.” That equals around $45 billion today.

10. World Cup sponsors Adidas, Coca-Cola, Visa, McDonald’s, and AB InBev have written to FIFA’s executive committee calling for “independent oversight” of the governing body’s reform process, AP reports. The competition’s other lead sponsors, Hyundai and Gazprom, are not signatories on the letter.

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Bashar al-Assad claims the bombing campaign against Islamic State in Syria has helped the terror group expand.

While Britain’s parliament prepares to debate and then vote on whether to launch air strikes against the jihadists in Syria, Assad has described the US-led coalition leading the bombing as “supporting terrorists.”

Syria’s president also praised Russia and Vladimir Putin, despite accusations that Russian forces have targeted moderate rebels as well as extremists like ISIS.

Speaking to Czech TV, Assad said:

Since the beginning of that (US-led) coalition, if you want to talk about facts, not opinion, since the beginning of that coalition, ISIS has expanded and the recruiting from around the world has increased.

While since the participation of Russia in the same fight, so-called against terrorism, ISIS has been shrinking. And al-Nusra of course and the other terrorist groups.

So this is reality. The facts are telling. When those countries that I mentioned — France, UK, US, Saudi Arabia, Qatar, and some other — stop supporting those terrorists the next day the situation will be better and in a few months we will have full peace in Syria, definitely. If they stop.

The US-led coalition of 65 countries fighting ISIS has carried out 8,289 airstrikes total as of November 19. Of those strikes, the US was responsible 6,471, The New York Times reports.

Western leaders have frequently said that Assad must leave power if there is to be lasting peace in Syria but the 50-year-old has once again refused to quit.

“Now in the middle of the war, I’m not going to say I’m leaving for any reason,” he said. “When there’s election, the Syrian people will decide if they want me, I’ll be happy to be president. If they don’t want me, I’ll be happy to leave it. I don’t have any problem.”

Meanwhile in Britain, deputy Labour leader Tom Watson has called on Prime Minister David Cameron to apologise after he told Conservative MPs not to side with “terrorist sympathisers” who oppose air strikes.

Watson said: “The Prime Minister should retract and apologise for these remarks which are disrespectful to those MPs who have a different view to him.”

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Google has introduced a Pinterest-like feature that allows people to archive photos into folders and look at them later.

The new Google Inside Search feature — described in more detail on this blog post by Google software engineer Diego Accame — allows users to star and bookmark images directly from Google’s image search in a mobile browser.

Google highlights how people could use the feature to store photos of things like their next big adventure, a knitting project or a style-changing haircut. This is the same sort of “inspirational” content that Pinterest users archive when they pin images to their Pinterest “boards”.

“Once you’ve starred a few images, you can keep them organised in folders: to add an image to a folder of similar items, tap the pencil shaped edit icon,” Accame wrote. “Create a grouping such as ‘haircuts for the winter’ or ‘snowman ideas’ and your image will be added to a folder with similar ones.”

The new feature will initially only be available to mobile users in the US and can only be used when users are logged into their Google account. It is compatible with all major browsers on iOS and Android, Google said. 

Pinterest, a San Francisco startup with an $11 billion (£7.3 billion) valuation, has 151 million users and is planning to grow its user base to 329 million by 2018. It makes money by selling adverts on its platform but it is also reportedly working on a new product called “Action Buttons” that will allow users to instantly check out shopping items straight from Pinterest.

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