Latest news with #Seattle-based
Yahoo
17 hours ago
- Business
- Yahoo
Remittance tax draws fintech pushback
This story was originally published on Payments Dive. To receive daily news and insights, subscribe to our free daily Payments Dive newsletter. A provision of the budget bill making its way through Congress that would impose an excise tax on cross-border money transfers has drawn opposition from fintech groups. The tax would be paid by consumers sending the money, but not by those who are U.S. citizens, according to the text of the May 20 House budget proposal. The budget bill, known as the Big Beautiful Bill, was passed by the House of Representatives last week, and still awaits a vote in the Senate. Both chambers are controlled by Republicans, who have worked alongside President Donald Trump's administration to craft the bill. In a Tuesday press release, the American Fintech Council said it 'expressed strong concern' about the tax in a letter to congressional leaders that day. Such a tax 'would harm small businesses and everyday consumers while empowering bad actors and undermining effective anti-money laundering enforcement,' the letter said, according to the release. The council has locked arms with other industry organizations on a joint response to the remittance tax proposal, including the Financial Technology Association and Electronic Transactions Association. The proposal would increase costs for pharmacies and grocers, as well as other small businesses that offer such money transfer services, the council said in its release. Consumers who use the transfers to send money to other countries would also ultimately shoulder the increased cost, the release added. The organizations also object to Americans being required to disclose personal information to avoid having to pay the tax. 'Under the proposal, American citizens would be required to submit personal information to financial institutions and the Internal Revenue Service in order to avoid paying a new tax on cross-border payments,' the FTA contended in a separate Wednesday press release. 'This would impose an undue tax burden on everyday Americans, who would be forced into more complicated tax treatment for sending money abroad or miss the tax break when filing.' Such cross-border payments are often sent by migrants living in foreign countries to their family and friends back home. The transfers are often referred to as remittances. The U.S. is the country from which the majority of remittances flow, with the top recipient countries being India, Mexico and China, respectively, according to a World Bank blog post in December. A cottage industry of payments startups have sprung up in recent years to offer digital remittances. Such international transfers have long been relatively costly and complicated to send. The expanding service providers see an opening to reduce costs related to such transfers, including for the consumer, and thereby increase volume. Some new fintech entrants include Seattle-based Remitly and the British company Wise. They're increasing competition for established industry players such as Denver-based Western Union, Dallas-based MoneyGram and San Jose, California-based PayPal Holdings. When asked about the tax during an interview, MoneyGram CEO Anthony Soohoo said it was 'unfortunate' that such a tax would be included in the budget. He noted that sending such payments is usually 'a need' as opposed to 'a want' for consumers. 'At this time, we are monitoring the situation and seeing how that plays out, and if it becomes something that does pass, we'll adapt like we have with any legislation, but it's really, right now, hard for us to know how to react,' Soohoo said. PayPal, Remitly and Wise all have representatives on FTA's board, according to the organization's website. Spokespersons for those companies didn't immediately respond to requests for comment. The budget tax on such international money transfers was initially proposed as a 5% levy, but then reduced to a 3.5% tax proposal, according to an amendment. Recommended Reading Cross-border payments remain focus for Fed
Business Insider
a day ago
- Business
- Business Insider
COST Earnings: Costco's Financial Results Narrowly Beat Wall Street Targets
Grocery retailer Costco Wholesale (COST) has reported quarterly financial results that narrowly topped Wall Street forecasts. Confident Investing Starts Here: The Seattle-based warehouse club reported earnings per share (EPS) of $4.28, which was ahead of the $4.24 expected among analysts. Revenue in the period totaled $63.21 billion, which was slightly ahead of consensus forecasts of $63.19 billion. The company's sales were up 8% from a year earlier. Costco's net income for the three months ended May 11 rose to $1.90 billion, up from $1.68 billion a year earlier. Total comparable sales were up 5.7% on a year-over-year basis. On an annual basis, sales rose 6.6% in Costco's home market of the U.S., gained 2.9% in Canada, and increased 3.2% in other International markets. Costco Wholesale's net income. Source: Main Street Data Membership Fees Costco said its membership fees came in at $1.24 billion, up 11% from $1.12 billion the previous quarter. Costco raised the price of its annual store membership by $5 in September 2024, the company's first membership price increase since 2017. Costco added that it currently operates 905 warehouse clubs worldwide, including 624 in the U.S. The company ended the quarter with $13.84 billion of cash on hand and cash equivalents. COST stock has gained 10% so far this year. Is COST Stock a Buy? The stock of Costco has a consensus Moderate Buy rating among 24 Wall Street analysts. That rating is based on 17 Buy and seven Hold recommendations assigned in the last three months. The average COST price target of $1,077.00 implies 6.58% upside from current levels. These ratings are likely to change after Costco's financial results.
Yahoo
2 days ago
- Business
- Yahoo
Amazon Bets on ZeroOne for Next-Gen Gadgets
Amazon (NASDAQ:AMZN) edged higher after unveiling ZeroOne, a dedicated group led by ex-Microsoft (NASDAQ:MSFT) executive J. Allard to develop breakthrough consumer gadgets. Warning! GuruFocus has detected 2 Warning Sign with AMZN. The Seattle-based teambacked by offices in San Francisco and Sunnyvalelaunched in September 2024 and aims to revive Amazon's hardware edge after mixed results with Kindle (over 200 million devices sold), Echo smart speakers (100 million units) and the ill-fated Fire Phone that bowed out after 12 months. Allard, the architect behind Xbox and Zune, will helm product strategy and R&D to fast-track next-gen experiences. ZeroOne follows Amazon's February AI-powered Alexa reveal and reflects the company's push to diversify revenue beyond retail and AWS. Investors should care because a successful hardware reset could unlock new high-margin revenue streams and deepen user lock-in across Amazon's ecosystem. With Amazon rumored to host a fall hardware event, markets will be watching ZeroOne's first prototypes and timeline for product rollouts. This article first appeared on GuruFocus. Sign in to access your portfolio
Yahoo
2 days ago
- Business
- Yahoo
Amazon Bets on ZeroOne for Next-Gen Gadgets
Amazon (NASDAQ:AMZN) edged higher after unveiling ZeroOne, a dedicated group led by ex-Microsoft (NASDAQ:MSFT) executive J. Allard to develop breakthrough consumer gadgets. Warning! GuruFocus has detected 2 Warning Sign with AMZN. The Seattle-based teambacked by offices in San Francisco and Sunnyvalelaunched in September 2024 and aims to revive Amazon's hardware edge after mixed results with Kindle (over 200 million devices sold), Echo smart speakers (100 million units) and the ill-fated Fire Phone that bowed out after 12 months. Allard, the architect behind Xbox and Zune, will helm product strategy and R&D to fast-track next-gen experiences. ZeroOne follows Amazon's February AI-powered Alexa reveal and reflects the company's push to diversify revenue beyond retail and AWS. Investors should care because a successful hardware reset could unlock new high-margin revenue streams and deepen user lock-in across Amazon's ecosystem. With Amazon rumored to host a fall hardware event, markets will be watching ZeroOne's first prototypes and timeline for product rollouts. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
San Francisco Chronicle
2 days ago
- Entertainment
- San Francisco Chronicle
Electronic Arts cancels ‘Black Panther' video game, shutters Cliffhanger Studios in latest cuts
Electronic Arts has canceled development of its anticipated 'Black Panther' video game and closed Seattle-based Cliffhanger Games, the studio behind the project, in its latest move to streamline operations and refocus on core franchises. The decision, first reported by IGN and confirmed by EA, follows a wave of layoffs that have rocked the Bay Area video game publisher in recent weeks. In April, EA dismissed between 300 and 400 employees and scrapped a new game in the 'Titanfall' universe. Fewer employees were affected in this latest round, though EA declined to specify the number. 'These decisions are hard,' Laura Miele, president of EA Entertainment, wrote in an email to staff on Wednesday. 'They affect people we've worked with, learned from, and shared real moments with. We're doing everything we can to support them — including finding opportunities within EA.' The 'Black Panther' title, developed in collaboration with Marvel and Disney, was announced in July 2023 as the first in a planned three-game partnership. Cliffhanger Games was led by industry veteran Kevin Stephens, who had previously overseen Monolith Productions. At the time, Stephens promised a 'definitive and authentic Black Panther experience' that would let players explore the fictional African nation of Wakanda. The move reflects a broader shift at EA to double down on its biggest properties. In the company's fourth quarter earnings report, CEO Andrew Wilson pointed to the 'incredible success' of its revived college football title and 'the enduring strength' of its soccer franchise, noting a record year for EA Sports. Looking ahead, Wilson teased a summer reveal for the next installment in the 'Battlefield' franchise. The closure of Cliffhanger and the game's cancellation mark EA's third major restructuring effort in 2025, highlighting the publisher's retreat from licensed IPs in favor of internally owned brands like 'Apex Legends,' 'The Sims' and 'Battlefield.'
