Business

In February, prices in Catalonia increased by 0.2% in monthly terms but decreased by 0.8% in annual terms, according to figures released on Thursday by the Spanish Statistics Institute (INE). The inflation rate in Catalonia has been in negative territory for the last 4 months, despite the improvement in February. The monthly increase in fuel prices has been the main factor behind February's positive figures. In Spain as a whole, prices also increased, by 0.2%, over the last month but showed a 1.1% decline in annual terms. Spain's annual inflation rate has been negative for the last 8 months. Therefore, there is a serious risk of deflation, which could represent a threat by making it more difficult to pay back debt.

TSB, which is the seventh-largest bank in the United Kingdom, confirmed on Wednesday that they have received a preliminary takeover bid of £1.7 billion (equivalent to €2.35 billion) filed by Banc Sabadell. The Catalan bank would have offered £3.40 per share (€4.80) and would be ready to buy the entire British financial entity, 50% of which is still owned by Lloyds. Sources from Sabadell have confirmed takeover talks, but they stressed that they are still preliminary in nature. After the news was released, shares of TSB increased by 26.4% while those of Banc Sabadell dropped by 7.5%, causing the Spanish Stock Exchange Authority (CNMV) to temporarily suspend trading in the Catalan bank. When Banc Sabadell returned on the stock market, its shares continued to decrease, dropping by 10.5%, but they partially recovered and ended the day with a 6.6% loss.

Catalonia exported €56.87 billion worth of industrial products last year, which represents a 3.5% increase on 2013’s figures, according to data released on Wednesday by the Catalan Statistics Institute (Idescat). The exports of high-technology products reached €5.58 billion, a 6.1% growth on figures from the previous year. These were also the type of product which experienced the greatest increase in exports during 2014, mostly thanks to sales from outside the European Union, which increased by 10.9%. Such an important boost also meant that sales outside the EU were larger than exports to other European Union Member States. The international sales of medium-high range products reached €28.27 billion, a 2.8% growth on 2013 figures.

Cava is a Catalan sparkling wine produced using the ‘Méthode Champenoise’. According to statistics from the Cava Regulatory Board, some 242.29 million bottles of Cava were sold in 2014, which represents a 0.38% increase on 2013 figures. Sales on the domestic market increased for the first time after two years of decline, reaching 87.58 million bottles, a 7.54% increase over 2013, with 6.14 million more bottles sold. Sales in bars and restaurants are one of the main reasons for the domestic increase since these grew by 9.3% over 2013. These results compensated for the drop in 2014 sales to the EU market, which accounted for 111.62 million bottles, 5.3% less than in 2013 and a decline in absolute terms of 6.22 million bottles. This was mainly due to a contraction in demand from the German market.

The average price of houses and flats in Catalonia was 2.2% higher at the end of 2014 than at the end of the previous year, according to the Spanish Statistics Institute (INE). At Spanish level, housing prices increased by 1.8% in 2014. It is the first time since 2007 that housing prices have increased both in Catalonia and Spain as a whole. In quarterly terms, the price of flats and houses in Catalonia increased by 0.6% between the end of September and end of December. At Spanish level, they increased by 0.2% in the same period. The recovery of the real estate market is a particularly strong indicator of the economic recovery in Catalonia and Spain, especially taking into account the collapse of the construction sector during the years of economic crisis.

The 2015 Mobile World Congress, which takes place each year in Barcelona, has shattered the records by hosting more than 93,000 visitors from 200 different countries, as reported by event organiser GSMA on Thursday, the last day of the trade fair. Thisyear’s attendance exceeded by 9% the figures recorded in 2014 and by 45% the number of people who visited the event during its first edition in 2006. The 2015 Mobile World Congress confirmed itself as the global platform for the cell-phone-related industries, where a large number of news and products were unveiled for the first time by world-class companies such as Samsung, HTC, Sony, Microsoft and Google. Mark Zuckerberg (Facebook), Sundar Pichai (Google) and Jimmy Wales (Wikipedia) were among this edition's main speakers.

This year at the Mobile World Congress one of the most discussed trends is the Internet of Things (IoT): everyday objects that are connected to the internet and which are able to control other machines. Although some of these implements do not yet have a direct application on the consumer market, the automobile sector is already selling vehicles with these functionalities. Smart cars can be controlled with a smartphone, for example, by creating a temporary digital key to access the car, and can also enable other devices in the home.

Entrepreneurship in Catalan universities is not as common as in the United States, but that is starting to change. The Online University of Catalonia (UOC) along with the Polytechnic University of Catalonia (UPC) have a stand at 4YFN, a parallel event to the Mobile World Congress, which is the main international event of the cell-phone-related industries, and which has taken place in Barcelona every year since 2006. 4YFN is focused on small companies that build internet services, the so-called ‘start-ups’. For years, universities have run offices dedicated to helping students and teachers to create a business, but the struggle to find investment and difficulties in setting up a business are still the major complaints of young entrepreneurs.

The Catalan companies on show at the Mobile World Congress this week not only include recently created start-ups. Some companies have been in the business for over 20 years with delegations in 19 countries, such as the registering operator Lleida.net. There are other projects on show which, although already active, have not been launched completely and are still in beta form, such as King of App, an open source app creator. Neither of them are based in Barcelona, but rather in Lleida in Western Catalonia. Most of the Catalan companies on show at the MWC are at one of the stands of the Catalan Government, which gives these companies space to promote their products either at the general exhibition or in the App Planet hall. But others such as Lleida.net set up their own stands.

Grifols, a global healthcare company based in Greater Barcelona, announced on Wednesday that it will acquire 45% of the California-based firm Alkahest for $37.5 million. The biopharmaceutical company headquartered in Redwood City (near San Francisco) was founded last year upon the work of Stanford University scientists, who proved that factors in the blood of young animals were able to restore mental capabilities in old animals. This discovery has triggered Grifols' interest, a world leader in blood-derivative products. The two partners will work together on the development of novel plasma-based products for the treatment of cognitive impairment associated with age and other diseases of the central nervous system, including Alzheimer´s.

On the second day of the Mobile World Congress, which is the largest event of the mobile industry and is currently being held in Barcelona, the GSMA announced the Global Mobile Award winners in more than 30 categories and Blackberry presented a new phone oriented towards the business sector. If Then This That won the Best Overall Prize in the app category and LG’s G3 and the iPhone 6 shared the Best Smartphone award. In the featured keynotes speech, Wikipedia founder Jimmy Wales remarked on the importance of minority languages on the internet. In addition, Wales presented his project to provide free access to Wikipedia in developing countries, following Monday's announcements by Google and Facebook to also provide internet access to the entire planet.

In a keynotes speech held at the 2015 Mobile World Congress, which is currently taking place in Barcelona, CEOs from network carriers such as Huawei, South Korea's KT and Orange have explained their vision for facilitating huge increases in speed and the number of connections supported by network carriers over the next five years. This new standard, which is being developed as a collaboration between the industry’s main actors, should be available for the upcoming 2018 and 2020 Winter and Summer Olympics and will substitute 4G. The Tokyo Olympics will be the first commercial test. The South Korean carrier KT will also undertake a test at the 2018 Winter Olympics, which will be held in Pyeongchang.

Dozens of Catalan companies are on show at the 2015 Mobile World Congress, which is taking place in Barcelona until Thursday. Many of them are gaining notable success in international markets. For instance, an innovative multi-functional grip for smartphones to take photos, which is made in Barcelona, is selling not only throughout Europe but also in the USA, Canada, Hong Kong and Thailand. This grip, called the ‘Shoulderprod’, is, at the same time, a tripod mount, a hand grip for best stability in videos and photos, and a versatile stand with different positions. The mobile, tablet and TV games company Digital Legends has been internationally successful too. Besides, the Aparca&go app changes the concept of finding a parking space, since the user searches on the map the car parks nearest to its destination and makes a reservation.

At the end of February 2015, there were 581,124 people registered with the Catalan Public Employment Service (SOC) as being unemployed, according to figures released on Tuesday by the Spanish Ministry of Employment and Social Security. This represents 1,645 fewer jobseekers than were registered at the end of January (582,769), a 0.28% drop. In addition, at the end of February 2015 there were 48,462 fewer registered jobseekers than a year ago, which marks the largest annual decline for registered unemployment in the last 17 years for a February month. This represents a 7.7% fall in the last 12 months. The data released on Tuesday shows an encouraging trend for Spain as a whole as well, since registered unemployment fell by 13,538 people in monthly terms, a 0.3% drop. In annual terms, the Spanish labour market posted a 6.24% drop, with 300,333 fewer registered jobseekers.

The new flagship phone from Samsung will come in two models, the Galaxy S6 and the Galaxy S6 Edge, according to the announcement that the South Korean company made in Barcelona at the beginning of the Mobile World Congress, the largest annual event of the cell-phone-related industries. Microsoft debuted two new mid-range Lumia phones, the 640 and the 640 XL models, which include the new Windows 10. Google announced its intention to enter the carrier market, with a new approach that uses the existent carrier networks and innovative Wi-Fi projects. In addition, Facebook founder Mark Zuckerberg explained his project to bring the internet to developing countries and connect them through his social network.