Delta will not use AI to set personalized ticket prices
Last week, Democratic Senators Ruben Gallego, Mark Warner and Richard Blumenthal said they believe the Atlanta-based airline would use AI to set individual prices, which would "likely mean fare price increases up to each individual consumer's personal 'pain point.'"
Delta has said it plans to deploy AI-based revenue management technology across 20% of its domestic network by the end of 2025 in partnership with Fetcherr, an AI pricing company.
"There is no fare product Delta has ever used, is testing or plans to use that targets customers with individualized prices based on personal data," Delta told the senators in a letter Friday seen by Reuters. "Our ticket pricing never takes into account personal data."
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Reuters
23 minutes ago
- Reuters
Europe's old power plants to get digital makeover driven by AI boom
PARIS, Aug 5 (Reuters) - Some of Europe's ageing coal and gas fired power plants can look forward to a more high-tech future as big tech players, such as Microsoft and Amazon, seek to repurpose them as data centres, with ready-made access to power and water. Companies such as France's Engie ( opens new tab, Germany's RWE ( opens new tab, and Italy's Enel ( opens new tab are looking to benefit from a surge in AI-driven energy demand by converting old power sites into data centres and securing lucrative long-term power supply deals with their operators. The data centre option offers the utilities a way to offset the hefty costs of shutting down ageing power plants as well as potentially underwriting future renewable developments. Tech companies see these sites as a quick way to secure power grid connections and water cooling facilities, two big bottlenecks in the AI industry. "You have all the pieces that come together like ... water infrastructure and heat recovery," said Bobby Hollis, vice president for energy at Microsoft (MSFT.O), opens new tab. Lindsay McQuade, EMEA energy director at Amazon (AMZN.O), opens new tab , said she expected permitting for data centres to move faster at old sites, where a big chunk of infrastructure was already in place. Utilities can either lease the land or build and operate the centres themselves, securing long-term power contracts with tech firms, he said. The deals offer much more than just the sale of unused land as they include opportunities for stable, high-margin revenue, said Simon Stanton, head of Global Partnerships and Transactions at RWE. "It's more about the long-term relationship, the business relationship that you get over time that enables you to de-risk and underwrite your infrastructure investments," Stanton said. Most of EU's and Britain's 153 hard coal and lignite plants are set to close by 2038 to meet climate targets, joining the 190 plants that have closed since 2005, based on data from NGO Beyond Fossil Fuels, which campaigns to accelerate closure of coal-fired power stations. The economics of data centre deals can be compelling for the utilities, which can negotiate a long-term power supply contract to underwrite future renewable developments. Tech firms are paying premiums of up to 20 euros per megawatt-hour for low-carbon power, said Gregory LeBourg, environmental program director at French data centre operator OVH ( opens new tab. Data centre power demands can be anywhere from a couple hundred megawatts to a gigawatt or more. So the annual 'green premium' - the extra price paid for low-carbon electricity - on top of a base market price could potentially translate into a long-term contract worth hundreds of millions or even billions of euros, based on Reuters' calculations. One long-term option is to build an "energy park" and connect the data centre to a new renewable development, relying on the grid for emergencies, but this is a relatively new concept, industry sources said. Engie wants to double its installed renewable energy by 2030 from the current 46 GW. The group has identified 40 sites globally that it is marketing to data centre developers, including coal and gas plants that could be converted, said Sebastien Arbola, who runs the company's data centre business. One is the Hazelwood coal plant in Australia, which closed in 2017. He declined to disclose details of other sites, saying they are mostly in Europe. Other utilities, including Portugal's EDP ( opens new tab, EDF, and Enel said they are also marketing old gas and coal sites for new data centre development. "It's business model diversification," said Michael Kruse, managing partner at consultancy Arthur D. Little. Utilities are creating a new type of business and also new revenue streams, he said. The appeal for tech companies is speed. Grid connection delays in Europe can stretch over a decade, while repurposed plants potentially offer speedier access to power and water. "You actually have the opportunity to move faster," said Hollis at Microsoft. Data centre capacity in Europe is much lower than the United States and Asia due to longer grid connection times and slower permitting, data from Synergy Research Group showed. The data centre operators can choose to buy the renewable power they need directly from the utilities in the form of long-term contracts or purchase from the power market. Real estate firm JLL is working on several conversions, including a 2.5 GW data centre at a former German coal plant and four sites in Britain for a major tech client, said Tom Glover, who works on data centre transactions at JLL. Developers do not often disclose more detail about data centre projects, including their clients, for security reasons. Britain's Drax (DRX.L), opens new tab is also seeking a partner to develop unused parts of an old coal site in Yorkshire, now partially converted to biomass. It offers access to unused water cooling equipment, said Richard Gwilliam, Drax's carbon programme director. Drax is offering a "behind-the-meter" deal where the power plant will provide direct power to the data centre and it can pull from the grid if necessary. EDF has also chosen developers for two sites at gas power plants in central and eastern France. Tech companies are willing to pay more for projects that can start up sooner as they vie for market share in a rapidly growing industry, said Sam Huntington, director of research at S&P Global Commodity Insights. "Speed to power is just the phrase we keep hearing over and over again," he said.
Daily Mail
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Why the firing of Bureau of Labor Statistics boss is bad news for your money
President Trump's sudden firing of the nation's top labor data official may seem like political drama — but experts warn it could have very real consequences for your wallet. The president ousted Bureau of Labor Statistics (BLS) Commissioner Dr. Erika McEntarfer on Friday, just hours after the release of weak jobs figures. Trump believes the federal agency had previously manipulated figures to appear worse than they really were. The president accused McEntarfer of 'faking' jobs numbers in a blistering post to Truth Social that did not provide evidence to support the accusations. The sacking undermines confidence that independent agencies are putting out accurate data, a fact that could have damaging effects on trillions of dollar of assets including 401(k)s. Despite the potential severity of the situation financial markets did not appear to react much to the firing of McEntarfer, who was appointed to the role by former President Joe Biden. Damaging the BLS's reputation could mean markets don't trust the economic data it puts out, which affects how they price assets and therefore the overall direction of stock indices. As well as the political firing of McEntarfar the BLS has raised alarm bells over its collection of recent inflation data. Due to staff shortages the agency stopped collecting figures from certain cities and began to estimate more prices rather than checking them directly with sold goods or services, the Wall Street Journal reported. If investors believe this data is being tampered with politically or is simply not trustworthy it could reduce the allure of the $2 trillion Treasury Inflation-Protected Securities (TIPS) market. The return on these Treasury bonds are largely determined by BLS reports. Further to this investors who own other types of bonds and mortgage securities look to the TIPS market to determine their own rates of return versus inflation. If inflation data is less trustworthy it could also cause dissent from the tens of millions of Americans who receive Social Security checks that are linked to inflation. It could be the same case for millions of state and local retiree pension benefits. Taxpayers could also sound the alarm if their exemptions, tax brackets, retirement-account contribution limits and deductions that are linked to the rising cost of living could be effected by untrusted data. McEntarfar's firing comes after months of threats from Trump against Federal Reserve Chair Jerome Powell for not lowering interest rates fast enough. Firing Powell before his term ends in May 2026 would likely cause a rout in financial markets who insist the independence of the Fed is critical for stability. Trump has targeted Fed Chair Jerome Powell claiming he is 'too late' on lowering interest rates A new Fed chair seen as under Trump's influence would also concern Wall Street. 'Whomever is appointed, the key thing to monitor is whether they are perceived as being a political appointee,' Eric Winograd, chief U.S. economist at Alliance Bernstein told Reuters. 'And by that, I mean someone whose views change with the whims of the president.' Even if Trump does not fire Powell appointing a shadow chair could blur the Fed's message and direction. Markets respond not just to official Fed decisions, but also to hints about future moves — meaning mixed signals could cause turmoil.
Daily Mail
23 minutes ago
- Daily Mail
America's hottest stock in 2025 is barely on anyone's radar
The best-performing stock this year isn't one of the tech giants that dominate headlines. While the likes of Meta, Alphabet, and Amazon have delivered solid gains, they've all been outshone by AI-powered software and data firm Palantir. Palantir's stock has surged 565 percent over the past year — more than doubling in 2025 alone — making it the top performer on the S&P 500. On Monday, the company reported quarterly revenue of $1 billion for the first time, beating Wall Street expectations and sending the stock up another four percent. Best known for building software used by the military, intelligence agencies, and law enforcement, Palantir has seen a sharp uptick in business under President Trump's second term. Since Trump began his second term Palantir has picked up at least $300 million of new business. Many of its new contracts come from the federal government including works for the Federal Aviation Administration, the Centers for Disease Control and Prevention, and Fannie Mae, according to federal records. With Trump's administration championing artificial intelligence, cost-cutting, and private-sector partnerships, Palantir's federal business boom shows no signs of slowing. Just last week Palantir gained its biggest contract yet, an agreement to consolidate all of the military's software use over the next decade at a cost of up to $10 billion. Further to this the government has agreed to pump $795 million more into the military's core artificial intelligence software program that was built by Palantir. The Pentagon wants to expand the Maven Smart System to be used by all US forces across the globe. 'They were positioned in the right way at the right time, and they had already built the technology that had the capability to do what the administration is trying to do,' Matt Pearl, director of the Strategic Technologies Program at the Center for Strategic and International Studies (CSIS) told the Washington Post. The firm's government work picked up under Elon Musk's reign at DOGE where he trumpeted a technology-forward crusade against government waste and inefficiency. Palantir was founded by Peter Thiel, a mentor to JD Vance, and current CEO Alex Karp in the aftermath of 9/11 to help arm the state with the latest technology. Since 2008 the company has been awarded nearly $3 billion in federal funds from over 300 contracts from both Republican and Democratic administrations. Among its most high-profile uses was when its software helped orchestrate the 2011 raid that killed Osama bin Laden. Palantir was founded in the aftermath of 9/11 to help arm the state with the latest technology 'Palantir is an exceptional American company,' a senior State Department official told the Post. The official said the department was 'proud to partner with them to modernize how we carry out America's diplomacy.' 'We are proud to support the U.S. government, especially our warfighters, and our growth reflects growing government AI adoption,' a spokesperson for Palantir told the publication. Other technology stocks including Meta and Microsoft are also having a strong year, helping to push the S&P 500 up to recent record highs. In their second quarter earnings released last week Meta beat Wall Street expectations with $47.52 billion in revenue, while Microsoft brought in $76.44 billion, up 18 percent from a year ago.
