SAN FRANCISCO — Just a few years ago, there was a boom in forecasts laying out the existential threats facing the CIO. The thinking was that more forward-looking business leaders would grab the digital initiative, leaving CIOs to manage obsolete data centers and drive themselves mad overseeing multiyear enterprise software implementations.
Yet the role of chief information officer has proven to be more resilient than many people predicted. CIOs are jumping to new jobs more quickly than ever, in a market that values their ability to operationalize digital business models, CIO Journal’s Kim S. Nash and Angus Loten report.
C’Ya Later. A Korn/Ferry International survey of 199 CIOs at top companies found that 58% plan to leave their current position in three years or less. Only 48% said there was a solid succession plan in place, while just a fraction said an internal “ready-now” successor had been identified. “CIOs want to be part of leading change. Some companies don’t have the appetite or leadership for it, or can’t devote the capital required,” says Gerry McNamara, global managing director in the technology officers practice at Korn/Ferry.
We will throw more light on the future of the CIO, as the WSJ CIO Network continues. See www.wsj.com/cio and #WSJCIO for full coverage of all discussions, including leadership, digital business, diversity in tech, and cybersecurity.
- Angus Loten /WSJ
Highlights from the opening night of the conference. Monday night Warriors GM Bob Myers delivered on what makes a good team while the cybersecurity panel did their job and scared the pants off of everyone.
Golden State Warriors general manager Bob Myers on building a winning team. What’s the secret to building a winning team that keeps on winning? How did the Golden State Warriors do it? Those were the big questions Monday night at the WSJ CIO Network annual meeting, where Bob Myers, general manager and president of basketball operations for the Warriors, spoke with the WSJ’s Jason Gay about how teams get to the top and stay there.
In half the time it takes for the Oscars to get to best picture. On average it takes a hacker an hour and 58 minutes to break out of the initial system penetrated to reach others on a corporate network, said CrowdStrike Inc. CEO George Kurtz, at the WSJ CIO Network annual meeting. That’s where a lot of the analytics becomes important: hunting for adversaries, he said. “You can take that incident and keep it as an incident instead of having it become a breach,” he said. Read the Live Blog for more.
Cyber intelligence driving venture bucks. The magnitude of cybersecurity problems — and potential solutions — is feeding investment, said Theresia Gouw, founding partner of investment firm Aspect Ventures at the WSJ CIO Network. Venture capitalists and other investors put $7.6 billion into cybersecurity startups last year, which is double the investment of the prior year, she said. Much of that money has moved from investing in tools to investing in intelligence, she said. That is, using machine learning and advanced analytics to figure out where and how hacks are happening.
Tune in Tuesday morning, California-time, when CIO Network kicks into a full day of sessions. On deck: Google CIO Ben Fried; HPE CEO Antonio Neri; Reddit’s Alexis Ohanian and so much more.
- With a foray into financial services, Amazon would have a chance to become an even bigger part of Americans’ lives.
- LINDSEY WASSON/REUTERS
Next up for Amazon: checking accounts. Looking to appeal to younger customers and those without bank accounts, Amazon.com is in talks with big banks including JPMorgan Chase & Co. about building a checking-account-like product the e-commerce giant could offer its customer. The Wall Street Journal reports on Amazon’s next step towards ruling the world.
Pentagon cuts cloud contract. The Defense Department cut its contract with Amazon Web Services partner Rean Cloud to $65 million from $1 billion, following weeks of criticism over its procurement process, the Washington Post reports.
Microsoft to let government clients run cloud on-prem. Microsoft Corp. Azure’s head of global infrastructure tells Reuters that the offering, which combines Azure Stack with Azure Government, is aimed at government offices that require on-premises servers, “such as in a military operation or in an embassy abroad.”
Xiaomi set to enter U.S. smartphone market as early as this year. Xiaomi Corp. says it plans to start selling smartphones in the U.S. this year or early next, the WSJ’s Liza Lin and Dan Strumpf report. The fourth-largest smartphone vendor has succeeded in emerging markets such as India and Southeast Asia in recent years. It also has pushed into some Western markets, including Spain.
Sequoia Capital goes on fundraising spree. If the storied firm reaches its fundraising goals, it will have collected more than $12 billion in capital in seven different funds, the WSJ’s Yulia Chernova writes.
Zara turns to robots as in-store pickups surge. The fashion behemoth has honed an online strategy that is the envy of its more lumbering competitors, exploiting a rapid-fire production and distribution system that has allowed Zara to use thousands of its stores—including its 85 locations in the U. S.—as a convenient pickup and return point for online customers. But the popularity of ‘click and collect’ has led to long lines, prompting a turn to automation. The Journal’s Jeanette Neumann has the story.
Trump administration joins states in push to expand online sales-tax collections. The Trump administration urged the Supreme Court to expand states’ authority to collect sales tax on internet transactions. The WSJ’s Jess Bravin reports that White House is joining a chorus of state officials seeking to overrule a 1992 precedent exempting many online retailers from having to add taxes to a consumer’s final price.
EVERYTHING ELSE YOU NEED TO KNOW
House Speaker Paul Ryan warned that President Trump’s plan to impose tariffs on steel and aluminum imports could trigger a trade war, as the president sought to wrest economic concessions from Canada and Mexico by turning up pressure on the proposal. (WSJ)
One of the pioneers of the U.S. shale boom plans to deliver a surprising message at a major energy conference this week: U.S. oil production won’t keep growing as fast as the market seems to think. (WSJ)
The Chicago Stock Exchange has ended a two-year effort to sell a major stake to Chinese investors, after U.S. regulators rejected the deal last month. (WSJ)
Federal Bureau of Investigation data showed that in February background checks for firearms, excluding those for permits, shrank 2% from the year earlier. It was the ninth straight month of declines. (WSJ)
The Morning Download is edited by Tom Loftus and cues up the most important news in business technology every weekday morning. You can get The Morning Download emailed to you each weekday morning by clicking http://wsj.com/TheMorningDownload.