Apple is trying to bridge the AI gap
At Apple's Worldwide Developers Conference on Monday, a number of big questions loom over the tech giant, ranging from slowing sales of its Vision Pro headset to rising competition in China and regulatory scrutiny on both sides of the Atlantic.
That's not going to end there, but the focus of the event will be on what Apple CEO Tim Cook has to say about artificial intelligence — and whether the company can keep up with competitors.
Apple has lagged behind its competitors. The stock prices of companies considered AI leaders like Nvidia and Microsoft have skyrocketed since OpenAI introduced ChatGPT in November 2022. CEOs of big tech companies have come forward to show that they are in the race. But Apple No new AI offerings introduced yetAccording to The Wall Street Journal, the move was taken out of an abundance of caution.
(The New York Times filed a suit on (A dispute arose between OpenAI and Microsoft over the use of copyrighted articles related to AI systems.)
Apple attempts to keep future product plans secret. The AI boom has put this strategy under pressure; Cook unexpectedly told analysts last month that a generative AI offering was being considered.
“It was very interesting to see Apple once again being dragged into a conversation that was not on its own terms.” Leo Gabbytech analyst told the Financial Times.
The focus will remain on Siri. Apple has partnered with OpenAI to incorporate its technology into the iPhone. The Times’s Trip Mickle writesIt aims to enable Apple's digital assistant to perform a wider range of tasks and make it more interactive.
Apple will place an emphasis on privacy and security. The company is expected to say that Its offerings are more secure, as many tasks will be processed on the device itself rather than in a data center, alleviating growing concerns among consumers that large language models sometimes misuse data.
The company has a history of making profits despite being late to the marketThe iPhone and Apple Music are just two examples. One reason: Its huge user base means any new technology it releases has a huge potential to reach consumers and developers.
Bloomberg reports that Monday’s announcements could also mark the start of a Massive advancements in hardwareAnd Apple is still in talks with Google to further strengthen its AI offerings.
Investors have not given up hope. Since Cook announced that AI offerings were imminent, the stock has rallied — though it hasn't risen as much as Nvidia or Microsoft — indicating it's too early to write off Apple.
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The euro and European stock markets fell when the election results came in. Parties associated with French President Emmanuel Macron and German Chancellor Olaf Scholz Poor performance in European Parliament voting This weekend, existing climate and immigration policies are under threat. The results prompted Macron to call for snap legislative elections; European Commission President Ursula von der Leyen The fight for votes To remain in power.
Inflation and the Fed remain big issues for investors this week. The central bank is expected to keep interest rates unchanged at its open market committee meeting on Wednesday. But before the meeting, consumer price index data will be released, which will provide decision makers with fresh inflation data. Friday's blockbuster jobs reportThe big question is: Will the Fed cut interest rates before Election Day on November 5?
Norway's sovereign wealth fund plans to vote against Elon Musk's pay package. The investment giant is the latest institutional shareholder to say I will vote against it A measure to re-approve Tesla CEO's billion-dollar compensation deal. Thursday's vote will be watched closely to see what it means The future of TeslaEspecially if Musk focuses on other parts of his business empire.
Will Smith breaks his box office losing streak. “Bad Boys: Ride or Die” Net Worth Domestic ticket sales exceed $56 million exceeded expectations in its opening weekend. That's good news for Hollywood, which was worried about the weak performance of films like “Furiosa,” which were predicted to be huge hits — and For SmithWhose career took a hit after slapping Chris Rock at the 2022 Academy Awards.
New twist in bidding war for ammunition maker
Vista Outdoor shareholders were set to vote on Friday on whether to sell the company's ammunition business to a Czech company, despite rival bidder MNC Capital seeking to block the deal.
That vote has now been postponed. But Vista is still against the MNC's takeover bid – and is expected to say it is now considering it one more bid for its ammunition division.
Vista says an unnamed bidder has offered more than $2 billion for the business. Known as Kinetic Group, its brands include Remington and CCI. The company did not provide much information about the new party, only saying it is a “US-based investment firm” that had previously bid for Kinetic.
Vista says the new bid is “reasonably expected” to be better than the $1.96 billion deal it struck with a Czechoslovak group, and that a deal with the unnamed bidder could be reached by June 13.
Meanwhile, Vista has rejected the multinational company's latest acquisition offer. which recently extended its offer to the entire company Up to $3 billionThe MNC has argued that not only is it offering a better deal than CSG (as the Czech company is known), but it is also not subject to any tax deductions. National Security Review The CSG proposal is under consideration.
Vista has consistently disagreed, saying its breakup would create more value for shareholders. It has received support from influential proxy advisory firm Institutional Shareholder Services, which has recommended that Investors in favor of CSG deal,
Shareholders were not convinced that MNC's bid would succeed: Vista's shares closed at $35.78 on Friday, lower than the $39.50 per share proposed in the offer.
Vista is delaying its shareholder vote until July 3 To allow more time to negotiate with the new bidder.
All eyes on the Redstones
This could be a pivotal week for the Redstone family. The media dynasty must decide whether to sell its stake in Paramount, the entertainment empire that includes CBS, MTV and the movie studio behind “Top Gun.”
Advisers worked through the weekend on a potential deal with Skydance Media, three people familiar with the matter told DealBook’s Lauren Hirsch and The Times’s Ben Mullin. They requested anonymity to discuss confidential information.
The deal will get complicated. This would involve two steps: Skydance would buy control of National Amusements, which owns the Redstones' stake in Paramount, and then merge the media group with Skydance. Advisors to Skydance and National Amusements are working on compensation and voting minority shareholders, mechanisms that would provide the Redstones with more legal protections.
As of Sunday night, National Amusements had not set a voting date, leaving other parties in a quandary.
Redstones have other optionsThe bidding group includes producer Steven Paul — perhaps best known for his work on the “Baby Geniuses” franchise — and tequila and hair care entrepreneurs John Paul DeJoria is also contacting National Amusements.
Those potential buyers would be subject to less regulatory scrutiny than Skydance. But they might not be able to offer the same level of investment capital or technical expertise as Skydance, whose founder is David Ellison, the son of Oracle co-founder Larry Ellison.
Football diplomacy of the Chinese EV giant
The shock of this weekend’s European Parliament elections will, among other things, likely affect Europe as well. Ambitious climate agendaThere is likely to be more drama in Brussels on this issue. And Football will be played on the field from Friday.
That's when the Euros – formally the UEFA European Championship – kicks off in Germany. The month-long football tournament, which is expected to attract half a billion TV viewers, has already kicked off. An unexpected sponsor: BYDChina's leading electric vehicle maker, whose low-cost models have outperformed several European carmakers.
EU may attack Chinese EV makers before first match, Vivienne Walt reports for DealBook, The group is expected to decide this week on whether to impose tariffs on companies subsidized by Beijing including BYD in a bid to rebalance the continent's car market.
This would be the latest example of the West's tough stance on Chinese EVs The Biden administration has banned such vehicles from the US market, calling them a “security threat”,
And ahead of the EU elections, Luca De MeoThe CEO of Renault Group warned that Chinese competitors could sink Europe's auto sector.
Europe cannot afford a trade war. China has threatened to retaliate against the EU's higher tariffs, possibly on imports of European cars, aviation and pork exports. This would particularly hurt German carmakers such as Volkswagen and BMW that do big business in China; they are keen to avoid trade barriers, causing potential divisions among European manufacturers that Beijing could try to exploit.
At the same time, the European Union wants to encourage the sale of electric vehicles to meet its 2035 climate goals – a policy that Fabrice Leggeri, a right-wing French politician, told France 24 television last night was a gift to China's electric vehicle companies.
The EU could start with small fines. Analysts suggest the EU could impose temporary tariffs of around 20 percent on Chinese companies, leaving room for Beijing and Brussels to negotiate later this year when the newly elected EU parliament selects the European Commission president and trade officials.
“The Commission will have to strike a very careful balance to give domestic producers a competitive edge while also getting ahead in this innovation game that they have completely missed out on,” David Clayman, a trade expert at Brussels think tank ODI, told DealBook.
One big problem is that China dominates the EV supply chain. Manufacturers can also make a profit by selling cars at much lower prices than Western models. Unless the EU tariffs exceed 40 or 50 percent, “it won't make much difference” to Chinese EV makers' profits, Kleiman said.
Meanwhile, BYD will soon have a huge audience. Its logo will appear at all televised matches, and its e.v. will be displayed at host stadiums and fan zones across Europe.
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