Tobias

Alphabet’s stock surged to a record high after a U.S. court ruling favored Google, allowing it to retain Chrome, Android, and its practice of paying Apple to be the default search engine. Analysts revised their outlook, with JPMorgan Chase and Bank of America raising price targets. Apple’s stock also benefited due to continued payments from Google. The decision removes regulatory uncertainty, enabling Google to maintain dominance and pursue AI innovation, solidifying its position in the tech landscape; however, ongoing antitrust concerns remain a risk.

Finnish quantum computing firm IQM secured $320 million in funding, achieving unicorn status with a valuation exceeding $1 billion. The investment will support technology development, commercial expansion, and a new software platform to broaden quantum computing accessibility. IQM aims to compete with U.S. giants in the burgeoning quantum landscape and expand sales globally, having already sold 15 quantum computers, including its Radiance and Spark models. While an IPO isn’t immediate, IQM focuses on long-term growth and solidifying its position in the next generation of computing.

The U.S. government revoked TSMC’s export waiver (VEU status) for its Nanjing, China, facility, requiring individual licenses for U.S.-origin chipmaking equipment shipments. SK Hynix and Samsung also lost VEU privileges. This aims to close a “Biden-era loophole” on foreign-owned fabs in China and tighten control over technology flows, limiting China’s chip production capabilities and ability to expand their supply chain footprint. While TSMC anticipates limited financial impact, this move underscores a broader U.S. strategy to reshore manufacturing and restrict China’s semiconductor advancement.

Microsoft and the GSA have reached an agreement to accelerate AI and digital technology adoption across federal agencies. The deal provides free services like Microsoft 365 Copilot and aims to modernize government IT infrastructure. This partnership, part of the GSA’s “OneGov” strategy, joins similar offerings from other tech giants. Agencies procuring through the GSA will access Microsoft’s suite, including Azure, Dynamics 365 and Sentinel, improving productivity and security. Microsoft expects over $3 billion in savings for the government in the first year, with projected cumulative savings exceeding $6 billion over three years.

Alphabet (GOOG) shares rose after a favorable outcome in a landmark antitrust case. While the court affirmed Google’s illegal search monopoly, the judge rejected the DOJ’s proposal to divest Chrome. Google retains Chrome ownership and can compensate device manufacturers for preloading apps but is restricted from exclusive contracts contingent on exclusivity. Google’s agreement with Apple remains under scrutiny. Analysts believe the market’s positive reaction reflects relief that Google avoided a breakup. Focus now turns to remedies and their impact on competition.

Amprius (Wuxi) Co. Ltd. was penalized by the Wuxi Municipal Market Supervision and Administration Bureau with fines and confiscations of approximately 3.74 million yuan ($520,000 USD) for selling non-compliant power bank batteries. The investigation revealed the company sold improperly certified batteries, failed to re-certify products after material changes, and continued sales during certification suspensions. The crackdown follows recalls of power banks due to fire risks and raises concerns about Amprius’s quality control and its impact on brands like Anker, Romoss, Xiaomi, Ugreen, and Baseus.

Alphabet (GOOGL) shares jumped 8% after hours following the antitrust ruling remedies. While the court affirmed Google’s dominance in search, it rejected demands to divest Chrome or Android. Google must share some search data, but retains control over its ad data. The ruling permits Google to continue payments to partners like Apple (AAPL), whose shares also rose. The DOJ’s scrutiny will extend to Google’s GenAI products. Investors perceive the imposed measures as less severe than initially feared, benefiting both Google and Apple financially.

Waymo is expanding its robotaxi service, partnering with Uber in Atlanta and Austin, while starting test drives in Denver and Seattle with safety drivers. These new locations complement Waymo’s existing commercial operations in major US cities. In some cities, Waymo can be hailed via Uber; elsewhere, the Waymo One app is required. The test fleet includes electric vehicles like the Jaguar I-Pace and Geely Zeekr AV. Waymo faces competition from Apollo Go and Tesla in the autonomous vehicle market.

Sinopec announced its controlling shareholder, China National Petroleum Corporation, plans to transfer 0.3% of its A-shares to China Mobile Communications Group at zero cost. This state-owned equity transfer aims to deepen strategic cooperation, optimize equity structure, and achieve complementary advantages between the energy and telecom giants. The deal, part of a broader strategic cooperation agreement signed in January 2024, requires SASAC approval and won’t change Sinopec’s control or materially impact operations.

A U.S. judge ruled that Google can continue paying Apple billions annually to remain the default search engine on iPhones. Apple shares surged after-hours following the decision. While stemming from a broader antitrust trial against Google, the ruling significantly impacts Apple’s revenue. The judge prohibited Google from exclusive contracts but stopped short of a complete payment ban, allowing potential renegotiation. Google can’t bundle Android services with Search. The DOJ antitrust suit alleged Google used exclusionary practices. Google intends to appeal, potentially leading to further trials and appeals.