Latest news with #HannoverMesse
The Star
3 days ago
- Business
- The Star
Google says it will appeal online search antitrust decision
FILE PHOTO: People walk next to a Google logo during a trade fair in Hannover Messe, in Hanover, Germany, April 22, 2024. REUTERS/Annegret Hilse/File Photo (Reuters) -Alphabet's Google on Saturday said it will appeal an antitrust decision under which a federal judge proposed less aggressive ways to restore online search competition than the 10-year regime suggested by antitrust enforcers "We will wait for the Court's opinion. And we still strongly believe the Court's original decision was wrong, and look forward to our eventual appeal," Google said in a post on X. U.S. District Judge Amit Mehta in Washington heard closing arguments on Friday at a trial on proposals to address Google's illegal monopoly in online search and related advertising. In April, a federal judge said that Google illegally dominated two markets for online advertising technology, with the U.S. Department of Justice saying that Google should sell off at least its Google Ad Manager, which includes the company's publisher ad server and its ad exchange. The DOJ and a coalition of states want Google to share search data and cease multibillion-dollar payments to Apple and other smartphone makers to be the default search engine on new devices. Antitrust enforcers are concerned about how Google's search monopoly gives it an advantage in artificial intelligence products like Gemini and vice versa. John Schmidtlein, an attorney for Google, said at the hearing that while generative AI is influencing how search looks, Google has addressed any concerns about competition in AI by no longer entering exclusive agreements with wireless carriers and smartphone makers including Samsung Electronics, leaving them free to load rival search and AI apps on new devices. (Reporting by Rishabh Jaiswal in Bengaluru; Editing by Alistair Bell)
The Star
14-05-2025
- Business
- The Star
Exclusive-Microsoft's Office-Teams offer will likely stave off EU antitrust fine, sources say
FILE PHOTO: A view shows the Microsoft logo on the day of the Hannover Messe, one of the world's largest industrial trade fairs, in Hanover, Germany, March 31, 2025. REUTERS/Fabian Bimmer/File Photo BRUSSELS (Reuters) - Microsoft is set to stave off a possible hefty antitrust fine as EU regulators are likely to accept an offer on its Office and Teams products, three people familiar with the matter said on Wednesday, amid tensions with the United States over the EU's scrutiny of Big Tech. Microsoft found itself back in the EU antitrust crosshairs after Salesforce-owned Slack alleged in a 2020 complaint to the European Commission that Microsoft was getting an unfair advantage by bundling chat and video app Teams with its Office product. In 2023, German rival alfaview filed a similar complaint to the EU watchdog. Microsoft subsequently unbundled Teams from Office in 2023, selling Office without Teams for 2 euros ($2.24) less than Office with the video app, while Teams standalone would be sold for 5 euros a month. In February, it widened the price differential after rivals said the first offer was not sufficient. The European Commission will likely seek feedback from rivals and customers in the coming months before making a final decision and things could still change depending on the outcome of the market test and other factors, the people said. Microsoft's proposal includes better interoperability terms to make it easier for rivals to compete, they said. The EU competition enforcer declined to comment. Microsoft, which has been fined a total 2.2 billion euros ($2.5 billion) in past years for bundling two or more products together and other offences, did not respond to email and phone calls seeking comment. U.S. President Donald Trump has threatened to levy tariffs against countries that penalise U.S. companies. ($1 = 0.8941 euros) (Reporting by Foo Yun Chee. Editing by David Goodman and Mark Potter)
The Star
01-05-2025
- Business
- The Star
US tech-related stocks jump after Microsoft, Meta Platforms results
Microsoft logo is displayed on a screen during a media tour, as preparations continue ahead of the opening of the Hannover Messe, one of the world's largest industrial trade fairs with this year's partner country Canada, which, like the European Union, is similarly affected by the new U.S. tariffs, in Hanover, Germany, March 30, 2025. REUTERS/Fabian Bimmer NEW YORK (Reuters) -U.S. technology-related stocks including many involved in artificial intelligence rose sharply on Thursday following stronger-than-expected results from Microsoft and Meta Platforms, while investors awaited results from Apple and after the closing bell. Shares of Microsoft jumped 8.6% and Meta Platforms gained 4.8%, while AI heavyweight Nvidia was up 4.3%. Also in the AI space, Advanced Micro Devices rose 1.2%, and Broadcom and Sun Micro Computer both gained 3.5%. Shares of Amazon climbed 2.7%, while Apple was roughly flat at $212.42 as a federal judge ruled the iPhone maker had violated a U.S. court order to reform its App Store. Demand for artificial intelligence is fueling growth in cloud and digital ads, but U.S. President Donald Trump's global trade war is still expected to be a risk for many companies, especially more consumer-related names. The top U.S. technology and growth stocks, known as the "Magnificent Seven", had stumbled early in 2025 as investor concerns about the economic fallout from Trump's tariffs grew. Even though the group has rebounded since Trump paused many of his heftiest tariffs on April 9, investors are closely watching their results. Microsoft said late Wednesday that AI's contribution to Azure growth increased to 16 percentage points in its fiscal third quarter, from 13 percentage points in the previous three months. Meta Platforms' report also late Wednesday signaled that its AI-powered tools helped draw advertising dollars despite tariff-related economic uncertainty. However, shares of mobile chip designer Qualcomm were down 8.2% on Thursday. The company late Wednesday forecast third-quarter revenue just shy of Wall Street estimates. Also, earlier this week, Super Micro Computer's shares fell after it cut its revenue forecast. (Reporting by Caroline Valetkevitch; Editing by Susan Fenton)
The Star
30-04-2025
- Business
- The Star
Meta beats estimates for first-quarter revenue
FILE PHOTO: A Meta logo is pictured at a trade fair in Hannover Messe, in Hanover, Germany, April 22, 2024. REUTERS/Annegret Hilse/File Photo (Reuters) - Meta Platforms beat Wall Street estimates for first-quarter revenue on Wednesday, signaling that its artificial intelligence-powered tools helped pull in advertising dollars despite tariff-related economic growth fears. Shares of the company were up nearly 3% in extended trading. The social media company reportedrevenue of $42.31 billion for the first quarter, compared with analysts' average estimate of $41.40 billion, according to data compiled by LSEG. It also lowered its total expenses forecast for the year to be between $113 billion and $118 billion, from its earlier expectations of $114 billion to $119 billion. Meta's massive user base on its social media platforms makes it a reliable go-to for advertisers at a time when U.S. tariff-induced uncertainty has prompted companies to tighten marketing budgets and delay campaigns. The results come as Meta faces a high-stakes trial in Washington, in which the U.S. Federal Trade Commission is seeking to unwind the company's acquisitions of prized assets Instagram and WhatsApp. Menlo Park, California-based company is also fighting the perception that it may have fallen behind in the AI race, after its initial set of Llama 4 large language models, released earlier this month, fell short of performance expectations. A day earlier, smaller rival Snap held back its second-quarter forecast and said that economic uncertainty and Trump administration's ending of a duty-free import loophole was affecting its ad business. (Reporting by Jaspreet Singh in Bengaluru; Editing by Sriraj Kalluvila and Alan Barona)
The Star
30-04-2025
- Business
- The Star
Microsoft beats quarterly revenue estimates as AI shift bolsters cloud demand
FILE PHOTO: A view shows the Microsoft logo on the day of the Hannover Messe, one of the world's largest industrial trade fairs, in Hanover, Germany, March 31, 2025. REUTERS/Fabian Bimmer/File Photo (Reuters) -Microsoft topped quarterly revenue expectations on Wednesday on strong Azure cloud-computing growth, reassuring investors that its hefty AI investments were paying off and sending shares in the company more than 6% higher in after-hours trading. The results are likely to ease concerns about a potential slowdown in AI demand, after some analysts pointed to canceled data center leases at Microsoft as a sign of excess capacity. Investors had also been worried about the fallout from sweeping U.S. tariffs that are prompting businesses to rein in spending. Microsoft said revenue at its Azure cloud division rose 33% in the third quarter ended March 31, exceeding estimates of 29.7%, according to Visible Alpha. The Intelligent Cloud unit, which houses Azure, posted revenue of $26.8 billion, compared with expectations of $26.17 billion. Overall, revenue rose 13% to $70.1 billion, beating analysts' average estimate of $68.42 billion, according to data compiled by LSEG. Rival Alphabet also posted strong results last week as AI features integrated into Google Search helped attract more ad dollars and fend off competition from startups like OpenAI, even as its cloud unit growth was hampered by supply shortages. Microsoft, which has also repeatedly said it is capacity constrained on AI, has been pouring billions into building its AI infrastructure and expanding its data-center footprint. In the third quarter, Microsoft's capital expenditures rose 52.9% to $21.4 billion, less than estimates of $22.39 billion, according to Visible Alpha. A senior Microsoft executive reiterated earlier this month that the company would spend $80 billion on its data center build-out this year, and investors will be watching closely to see if it reaffirms that on its post-earnings call. A pullback in Big Tech's AI spending will have big implications for suppliers such as chip giant Nvidia, as well as the U.S. economy. J.P. Morgan analysts estimated in January that data-center spending could contribute between 10 and 20 basis points to U.S. economic growth in 2025-2026. (Reporting by Deborah Sophia and Aditya Soni in Bengaluru; Additional reporting by Stephen Nellis in San Francisco;Editing by Matthew Lewis)
