Tobias

Perplexity AI accuses Amazon of “bullying” following a cease-and-desist letter demanding the startup prevent Comet users from making Amazon purchases. Amazon alleges computer fraud, claiming Perplexity lacks authorization and compromises user data. Perplexity argues Comet enhances shopping, while Amazon contends its agents degrade the experience. The dispute highlights tensions between tech giants and AI startups regarding platform integration, data security, and potential business model disruption, with Amazon developing its own AI shopping tools. The outcome could set precedents for AI integration in e-commerce.

OpenAI’s AI video generation app, Sora, has launched on Android in the U.S., Canada, Japan, South Korea, Taiwan, Thailand, and Vietnam, following its iOS debut. The Android expansion targets a larger global audience, aiming to drive adoption and refine AI algorithms. Sora allows users to create videos from text prompts, fostering a creative community similar to TikTok. Analysts predict a significant impact on creative fields due to Sora’s accessible and advanced generative AI video capabilities.

Sam Bankman-Fried, founder of the collapsed crypto exchange FTX, is appealing his fraud conviction, arguing his trial was “fundamentally unfair.” His attorney claims court rulings improperly limited his testimony, skewing the proceedings. Judges questioned the evidence of guilt and the impact of additional testimony. A key argument centers on whether FTX creditors have, or will be, fully compensated, potentially undermining the prosecution’s narrative of irreparable financial losses. The appeals court is scrutinizing the $11 billion forfeiture order and its implications for victim compensation. The decision will have significant consequences for Bankman-Fried and the wider crypto industry.

IBM will reduce its global workforce by a low single-digit percentage in Q4, impacting around 2,700 positions. This realignment, driven by advancements in AI, mirrors similar moves by other tech giants like Amazon and Meta. Despite the cuts, IBM anticipates flat U.S. employment year-over-year. The company reported strong earnings and is actively diversifying into cloud computing, AI, and consulting under CEO Arvind Krishna, who has emphasized AI’s role in optimizing workflows. Previous staff reductions occurred in marketing and communications in March 2024.

Pinterest (PINS) shares plummeted nearly 20% after Q3 earnings missed EPS estimates and provided weak holiday season guidance. While revenue grew 17% year-over-year to $1.05 billion and MAUs reached 600 million, the forecast for Q4 revenue fell short of expectations. The company cited moderating ad spend in the U.S. and Canada due to tariff-related margin pressures for larger retailers, impacting the home furnishing category. Despite AI investments and user growth, Pinterest faces a competitive ad landscape dominated by tech giants.

AMD’s Q3 results exceeded expectations with $9.25B revenue and $1.20 adjusted EPS. Revenue grew 36% YoY, driven by strong performance across key segments. Q4 revenue is projected at $9.6B, up 25% YoY, with a 54.5% gross margin. The company’s guidance excludes Instinct MI308 chip revenue to China. Strategic partnerships with OpenAI and Oracle, and Amazon’s sale of AMD shares highlight key developments. The company’s success in AI and other key areas intensifies its rivalry with Nvidia.

Super Micro Computer (SMCI) shares plunged 10% in after-hours trading as fiscal first-quarter results missed analyst expectations. EPS was 35 cents (adj.) versus 40 cents expected, and revenue reached $5.02 billion, below the $6 billion forecast. Revenue declined 15% year-over-year. Net income also more than halved. The company cited “design win upgrades” for the shortfall, shifting revenue to Q2, where they now forecast $10-$11 billion in sales. Despite benefiting from AI growth, SMCI’s growth seems to have slowed amid increasing competition.

President Trump has renominated Jared Isaacman, a billionaire entrepreneur and experienced spaceflight participant, to lead NASA. This follows a previous nomination withdrawal due to unspecified concerns. Trump emphasized Isaacman’s passion for space, astronaut experience, and dedication to advancing the space economy. Isaacman’s ties to Elon Musk and Shift4, along with his private spaceflight experience, align with the administration’s focus on commercializing space. The Senate confirmation process will scrutinize his business dealings and political affiliations, as his leadership could shape NASA’s future and its relationship with commercial space endeavors.

Despite reporting better-than-expected Q3 revenue ($13.47B vs. $13.28B expected) and strong growth (revenue up 20% YoY), Uber shares fell 5%. Key highlights included EPS of $3.11, a 22% increase in trips to 3.5 billion, and a surge to 189 million monthly active platform consumers. Net income nearly tripled to $6.6B, boosted by tax and investment benefits. Uber anticipates Q4 gross bookings of $52.25B-$53.75B and adjusted EBITDA of $2.41B-$2.51B. CEO Khosrowshahi emphasized innovation, affordability, and AI integration as drivers of future growth.

This report highlights key market-moving news. Palantir exceeded expectations, driven by AI demand, but saw a stock pullback despite strong results. Yum Brands considers selling Pizza Hut after sales decline. Kimberly-Clark plans to acquire Kenvue for $48.7B, sparking mixed market reactions. The Trump administration will partially fund SNAP benefits amidst a government shutdown. Starbucks partners with Boyu Capital in China to revitalize sales. Stellantis invests $13B in US operations.