|Day's Range||24.77 - 25.37|
Stocks rose Tuesday thanks to media reports suggesting in-person U.S.-China trade talks are set to resume as soon as next week, but that’s not changing the trade outlook for Kristina Hooper, Invesco’s chief global market strategist.
Apple is in advanced talked to buy Intel's smartphone chip business, according to the Wall Street Journal. Yahoo Finance's Dan Howley joins Akiko Fujita on 'The Ticker' to discuss.
Apple is reportedly looking to buy Intel's Smartphone Modem-Chip Business. In total, the deal could be valued at $1 billion. Santosh Rao of Manhattan Venture Partners joins Yahoo Finance's The First Trade to discuss.
A monumental deal may be in the cards for Apple and Intel. The iPhone maker is looking to acquire Intel's Smartphone Modem Chip business. The deal may be valued at one billion dollars or more, and could be reached by next week. Yahoo Finance’s Alexis Christoforus, Brian Sozzi, Andy Serwer and Dan Howley discuss.
Tiffany Olson Kleemann ContributorTiffany Olson Kleemann is the chief executive officer of Distil Networks
(Bloomberg Opinion) -- The U.S. technology superpowers need better talking points — and fast.The U.S. Department of Justice said Tuesday that it would start reviewing how “market-leading online platforms” became big and whether they are squashing competition, limiting innovation or hurting consumers in other ways that may violate U.S. antitrust laws. The government didn’t name names, but rest assured you can throw Google parent company Alphabet Inc., Facebook Inc., Amazon.com Inc. and maybe Apple Inc. into that mix.This shouldn’t be a surprise to those tech giants or to anyone who has been following the news. It emerged in the last couple of months that the Justice Department and its antitrust counterparts at the U.S. Federal Trade Commission were divvying up responsibility for the U.S. tech powers to look into their compliance with the law. And just about the only bipartisan issue among politicians in Washington is bashing big technology companies for ills real or imagined.To state the obvious: Government investigators crawling all over Silicon Valley hunting for evidence of illegal monopolies is not at all good for the superpowers of the technology industry. Government inquiries are messy, lengthy, tricky to untangle from politics and impossible to predict. Investors know this, and it’s now clear that new legal constraints or regulatory crackdowns are among the biggest worries of tech investors.Now that the antitrust cops are coming in the door, the technology powers need to freshen their playbook in how they rebut questions about their size, power and influence. The playbook is not good.The standard lines — like the ones trotted out at a House of Representatives antitrust hearing last week — go something like this: Scrutiny of big companies is healthy, but do not worry about us. The titantic technology companies of America are not that big or powerful. Really, we could die at any moment. And we help people, businesses, American workers, the U.S. economy and democracy. Have we mentioned that if you hurt us, China might take over the world? (Stage note: Wave American flag.) All of that may very well be true. Amazon does help small businesses find buyers for their merchandise in a way that big retailers of the past never did. Google and Facebook do democratize the distribution of information and help local businesses find customers. Apple has created an app economy that never existed before. All these companies have made products that are genuinely useful and novel, and the success of these companies is a credit to the best of America. (Wave American flag again.) And they are not invincible. It’s possible changes in technology may leave them in the dust.But that is not the whole story, and that’s not all that government antitrust authorities care about. What they want to know, and what the public deserves to know, is whether these technology companies have used their success to cheat their way into more success. Have they used their muscle to tilt the game in ways that unfairly help them and hurt consumers by giving them ultimately inferior products and services? It’s not about the companies’ morals or even their size. What matters is what the technology superpowers do. The public and lawmakers cannot allow the technology companies to answer questions that are irrelevant or to engage in pedantic arguments about the companies’ size relative to the planet Jupiter. Let’s keep the focus on behavior. Does Google, as revealed in portions of an FTC staff report from earlier this decade, boost the web search rankings of its own local business listings above those of other companies — even when Google’s computer systems determine rival companies had more relevant information? (FTC commissioners unanimously voted not to pursue an antitrust lawsuit and possibly a breakup of what was then a smaller Google.) Do Apple or Amazon use their popular consumer products to nudge the dial in ways give their own apps or products an advantage over alternatives from other companies? That behavior is how consumers get hurt — and it happens even if people don’t feel as if they’re being taken advantage of.I read this June speech from the head of the Justice Department’s antitrust division and came away thinking he is dead serious about going after tech companies. Among the messages I heard was that antitrust cops don’t care if the tech companies make products people like, even if those companies have lowered prices or made free services. None of that absolves them of responsibility to play fair with their power and keep the competition fair for the good of consumers. Behavior and intent are not easy things to figure out. That’s why government investigators and congressional subpoenas are so powerful. They reveal the inner workings of powerful companies. The talking points don’t matter. Flag-waving doesn’t matter. What matters is what the companies do. To contact the author of this story: Shira Ovide at firstname.lastname@example.orgTo contact the editor responsible for this story: Daniel Niemi at email@example.comThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Shira Ovide is a Bloomberg Opinion columnist covering technology. She previously was a reporter for the Wall Street Journal.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
After months of speculation and reports, the U.S. government openly announced Tuesday afternoon that it is investigating the largest U.S. tech companies for anticompetitive practices, an inquiry that could lead to antitrust charges.
(Bloomberg) -- The Justice Department said it’s investigating whether dominant technology companies are thwarting competition in their markets, stepping up scrutiny of the industry’s biggest names as they come under fire in Washington.The department’s antitrust division will look at concerns that consumers, businesses and entrepreneurs have expressed about search, social media, and online retail, according to a statement Tuesday. The statement didn’t name any companies.“Without the discipline of meaningful market-based competition, digital platforms may act in ways that are not responsive to consumer demands,” said Makan Delrahim, the head of the department’s antitrust division. “The department’s antitrust review will explore these important issues.”The announcement marks the latest sign of the escalating scrutiny facing tech companies in Washington from lawmakers and antitrust enforcers. The giants of the industry are under fire over massive collection of user data, failing to police content on their platforms, and claims that they are harming competition and reducing choices for consumers.President Donald Trump has railed against many of the biggest names in the industry for silencing conservative viewpoints. Earlier this month, he said he’d summon social media companies to discuss political bias on their platforms.For More: Big Tech Is Taking a Bipartisan Beating All Over WashingtonAmazon.com Inc., Alphabet Inc.’s Google, Apple Inc. and Facebook Inc. declined to comment on the Justice Department’s statement. Shares of Facebook, Amazon and Alphabet all fell on the news. Facebook dropped 1.5%, Amazon was down less than 1%, in extended trading around 5:49 p.m. in New York, while Google and Apple rose less than 1%.“We ultimately believe this is more noise versus the start of broader structural changes across the tech food chain,” said Webush analyst Daniel Ives, writing in a note with three other analysts. He said the inquiry “will likely result in business model tweaks and potential DOJ/FTC fines in a worst-case scenario, rather than forced breakups of the underlying businesses.”Last week, executives from the four companies were grilled by the House antitrust panel, which is investigating whether dominant companies are thwarting competition and harming innovation.On Tuesday, the chairman of that committee, Democrat David Cicilline of Rhode Island, sent follow-up questions to Facebook, Amazon and Google, saying he was “deeply troubled” by the companies’ “evasive, incomplete, or misleading answers.”The Justice Department move, first reported by the Wall Street Journal, comes after the antitrust division and the FTC took early steps toward investigating four of the biggest tech companies, with the Justice Department taking oversight of Google and Apple and the FTC getting Facebook and Amazon.For More: Far From Silicon Valley, Trustbusters Plotted Big Tech AssaultThe Justice Department’s move followed the FTC’s decision in February to form a tech task force to examine conduct by companies and past deals in the industry.(Updates with analyst comment in eighth paragraph. An earlier version of the story was corrected to say that FTC started tech task force in February)\--With assistance from Naomi Nix.To contact the reporter on this story: David McLaughlin in Washington at firstname.lastname@example.orgTo contact the editors responsible for this story: Sara Forden at email@example.com, Ben BrodyFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
The government, with some goading from their competitors, appears eager to apply antitrust enforcement to Facebook (FB) , Apple (AAPL) , Google (GOOG)(GOOGL) and (AMZN) (FAGA). This would be a terrible misuse of the law for market-dominance problems that emerging technologies will resolve and for privacy and security issues where bigness contributes little. To put one complaint aside — the increasing size of American tech companies has not caused stagnant wages.
The big tech companies that dominate internet search, online shopping and social media will come under more scrutiny with the Justice Department reportedly broadening a government investigation into the ...
The U.S. Justice Department said on Tuesday it was opening a broad investigation of major digital technology firms into whether they engage in anticompetitive practices, the strongest sign the Trump administration is stepping up its scrutiny of Big Tech. The review will look into "whether and how market-leading online platforms have achieved market power and are engaging in practices that have reduced competition, stifled innovation, or otherwise harmed consumers," the Justice Department said in a statement.
Todd Gordon, the founder of TradingAnalysis.com, spoke on CNBC's "Trading Nation" about a bullish options trade in Apple Inc. (NASDAQ: AAPL ) ahead of earnings. The company is scheduled to report ...