Apple Fined Nearly $2 Billion by the European Union Over Music Streaming Competition 

In this Jan. 3, 2019, file photo the Apple logo is displayed at the Apple store in the Brooklyn borough of New York. (AP)
In this Jan. 3, 2019, file photo the Apple logo is displayed at the Apple store in the Brooklyn borough of New York. (AP)
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Apple Fined Nearly $2 Billion by the European Union Over Music Streaming Competition 

In this Jan. 3, 2019, file photo the Apple logo is displayed at the Apple store in the Brooklyn borough of New York. (AP)
In this Jan. 3, 2019, file photo the Apple logo is displayed at the Apple store in the Brooklyn borough of New York. (AP)

The European Union leveled its first antitrust penalty against Apple on Tuesday, fining the US tech giant nearly $2 billion for breaking the bloc's competition laws by unfairly favoring its own music streaming service over rivals.

Apple banned app developers from "fully informing iOS users about alternative and cheaper music subscription services outside of the app," said the European Commission, the 27-nation bloc’s executive arm and top antitrust enforcer.

That is illegal under EU antitrust rules. Apple behaved this way for almost a decade, which meant many users paid “significantly higher prices for music streaming subscriptions,” the commission said.

The 1.8 billion-euro fine follows a long-running investigation triggered by a complaint from Swedish streaming service Spotify five years ago.

The EU has led global efforts to crack down on Big Tech companies, including a series of multbillion-dollar fines for Google and charging Meta with distorting the online classified ad market. The commission also has opened a separate antitrust investigation into Apple's mobile payments service.

The commission's investigation initially centered on two concerns. One was the iPhone maker's practice of forcing app developers that are selling digital content to use its in-house payment system, which charges a 30% commission on all subscriptions.

But the EU later dropped that to focus on how Apple prevents app makers from telling their users about cheaper ways to pay for subscriptions that don’t involve going through an app.

The investigation found that Apple banned streaming services from telling users about how much subscription offers cost outside of their apps, including links in their apps to pay for alternative subscriptions or even emailing users to tell them about different pricing options.

The fine comes the same week that new EU rules are set to kick in that are aimed at preventing tech companies from dominating digital markets.

The Digital Markets Act, due to take effect Thursday, imposes a set of do's and don'ts on “gatekeeper” companies including Apple, Meta, Google parent Alphabet, and TikTok parent ByteDance — under threat of hefty fines.

The DMA's provisions are designed to prevent tech giants from the sort of behavior that's at the heart of the Apple investigation. Apple has already revealed how it will comply, including allowing iPhone users in Europe to use app stores other than its own and enabling developers to offer alternative payment systems.

The commission also has opened a separate antitrust investigation into Apple’s mobile payments service, and the company has promised to open up its tap-and-go mobile payment system to rivals in order to resolve it.



Nvidia and Big Tech Rally to Help Wall Street Recover Much of Last Week's Loss

A view of a Nvidia logo at their headquarters in Taipei, Taiwan May 31, 2023. (Reuters)
A view of a Nvidia logo at their headquarters in Taipei, Taiwan May 31, 2023. (Reuters)
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Nvidia and Big Tech Rally to Help Wall Street Recover Much of Last Week's Loss

A view of a Nvidia logo at their headquarters in Taipei, Taiwan May 31, 2023. (Reuters)
A view of a Nvidia logo at their headquarters in Taipei, Taiwan May 31, 2023. (Reuters)

Big Tech and other superstars of the US stock market are rallying on Monday, as Wall Street recovers much of its loss from last week.

The S&P 500 climbed 1.2% to claw back more than two-thirds of its first weekly loss in the last four. The Dow Jones Industrial Average was up 183 points, or 0.4%, as of 10:15 a.m. Eastern time, and the Nasdaq composite was 1.9% higher.

Nvidia was by far the strongest force pushing the market upward and rose 4%. It and other winners in the frenzy around artificial-intelligence technology had been at the center of last week’s drop. Critics say their stock prices shot too high and too fast in the mania around AI, drawing comparisons to the 2000 dot-com bubble that ultimately burst.

Taiwan Semiconductor Manufacturing Co., which makes chips for Nvidia and other companies, saw its stock that trades in United States rise 3.1% after saying its revenue climbed nearly 17% in October from a year earlier. While such growth is strong compared with other companies, it’s a slowdown from TSMC’s earlier performance.

Another AI darling, Palantir Technologies, jumped 8% for the biggest gain in the S&P 500.

The gains for tech helped offset losses across much of the rest of the market, as the majority of stocks within the S&P 500 index sank.

Health insurers fell as uncertainty remains about whether Washington will extend expiring health care tax credits, a sticking point in the disagreement on Capitol Hill that's created the longest-ever shutdown for the US government.

That's even though the Senate took the first steps on Sunday to end the shutdown.

President Donald Trump suggested in a social media post over the weekend — with few details — that the subsidies being sent to the “money sucking” insurance companies should instead be sent directly to people so they can buy their own health insurance.

Humana fell 2.6%, and Cigna slipped 0.7%, The AP news reported.

The effects of the government's shutdown have become more apparent following the cancellations of thousands of flights over the weekend. Towers are facing shortages as some air traffic controllers — unpaid for weeks — have stopped showing up for work.

Besides the pain at airports, the US government’s shutdown has also delayed many important reports on the economy. A resumption could upset financial markets if the released logjam shows data that dashes traders’ expectations for coming cuts to interest rates.

The wide expectation is that the Federal Reserve will continue to cut its main interest rate in hopes of shoring up what has been a slowing job market. Wall Street loves lower interest rates because they can give the economy a boost while also pushing prices for investments upwards.

But the Fed has said it may have to halt its cuts if inflation worsens because lower interest rates can give inflation more fuel.

Without updates from the US government on jobs and the economy, traders have been trawling profit reports from companies for clues about how things are going.

Tyson Foods, which sells chicken and other meat, climbed 2.1% after reporting a stronger profit for the latest quarter than analysts expected. It benefited from increases in prices of 11% to 17% for its beef and pork.

Roughly four out of every five companies in the S&P 500 have also been reporting stronger profits for the summer than analysts expected. Companies usually top analysts’ profit expectations each quarter, but the pressure was high this time around because they needed to justify the big moves upward their stock prices have made since April.

Delivering bigger profits is one of the easier ways they can quiet criticism that their stock prices have become too expensive.

Companies have also been giving generally strong forecasts for upcoming results, according to Bank of America strategist Savita Subramanian. That has analysts' overall expectations for earnings in 2026 nearly all the way back to where they were before Trump shocked the economy and financial markets with his “Liberation Day” announcement of worldwide tariffs.

In stock markets abroad, indexes rallied across much of Europe and Asia.

South Korea’s Kospi jumped 3% for one of the bigger gains. Chip company SK Hynix, which is cooperating with Nvidia on artificial intelligence, leaped 4.5%. Its bigger rival, Samsung Electronics, climbed 2.8%.

In the bond market, the yield on the 10-year Treasury edged down to 4.10% from 4.11% late Friday.


The AI Revolution Has a Power Problem

Easy access to electricity is posing a big challenge to the race for AI dominance, says Microsoft Chairman and CEO Satya Nadella. Jason Redmond / AFP/File
Easy access to electricity is posing a big challenge to the race for AI dominance, says Microsoft Chairman and CEO Satya Nadella. Jason Redmond / AFP/File
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The AI Revolution Has a Power Problem

Easy access to electricity is posing a big challenge to the race for AI dominance, says Microsoft Chairman and CEO Satya Nadella. Jason Redmond / AFP/File
Easy access to electricity is posing a big challenge to the race for AI dominance, says Microsoft Chairman and CEO Satya Nadella. Jason Redmond / AFP/File

In the race for AI dominance, American tech giants have the money and the chips, but their ambitions have hit a new obstacle: electric power.

"The biggest issue we are now having is not a compute glut, but it's the power and...the ability to get the builds done fast enough close to power," Microsoft CEO Satya Nadella acknowledged on a recent podcast with OpenAI chief Sam Altman.

"So if you can't do that, you may actually have a bunch of chips sitting in inventory that I can't plug in," Nadella added.

Echoing the 1990s dotcom frenzy to build internet infrastructure, today's tech giants are spending unprecedented sums to construct the silicon backbone of the revolution in artificial intelligence.

Google, Microsoft, AWS (Amazon), and Meta (Facebook) are drawing on their massive cash reserves to spend roughly $400 billion in 2025 and even more in 2026 -- backed for now by enthusiastic investors.

All this cash has helped alleviate one initial bottleneck: acquiring the millions of chips needed for the computing power race, and the tech giants are accelerating their in-house processor production as they seek to chase global leader Nvidia.

These will go into the racks that fill the massive data centers -- which also consume enormous amounts of water for cooling.

Building the massive information warehouses takes an average of two years in the United States; bringing new high-voltage power lines into service takes five to 10 years.

Energy wall

The "hyperscalers," as major tech companies are called in Silicon Valley, saw the energy wall coming.

A year ago, Virginia's main utility provider, Dominion Energy, already had a data-center order book of 40 gigawatts -- equivalent to the output of 40 nuclear reactors.

The capacity it must deploy in Virginia, the world's largest cloud computing hub, has since risen to 47 gigawatts, the company announced recently.

But some experts say the projections could be overblown.

"Both the utilities and the tech companies have an incentive to embrace the rapid growth forecast for electricity use," Jonathan Koomey, a renowned expert from UC Berkeley, warned in September.

As with the late 1990s internet bubble, "many data centers that are talked about and proposed and in some cases even announced will never get built.

Emergency coal

If the projected growth does materialize, it could create a 45-gigawatt shortage by 2028 -- equivalent to the consumption of 33 million American households, according to Morgan Stanley.

Several US utilities have already delayed the closure of coal plants, despite coal being the most climate-polluting energy source.

And natural gas, which powers 40 percent of data centers worldwide, according to the International Energy Agency, is experiencing renewed favor because it can be deployed quickly.

In the US state of Georgia, where data centers are multiplying, one utility has requested authorization to install 10 gigawatts of gas-powered generators.

Some providers, as well as Elon Musk's startup xAI, have rushed to purchase used turbines from abroad to build capability quickly. Even recycling aircraft turbines, an old niche solution, is gaining traction.

"The real existential threat right now is not a degree of climate change. It's the fact that we could lose the AI arms race if we don't have enough power," Interior Secretary Doug Burgum argued in October.

Nuclear, solar, and space?

Tech giants are quietly downplaying their climate commitments. Google, for example, promised net-zero carbon emissions by 2030 but removed that pledge from its website in June.

Instead, companies are promoting long-term projects.

Amazon is championing a nuclear revival through Small Modular Reactors (SMRs), an as-yet experimental technology that would be easier to build than conventional reactors.

Kara Hurst, chief sustainability officer at Amazon, introduces TRISO-X Pebbles, next-generation nuclear fuel developed for small modular reactors, during Amazon's 'Delivering the Future' presentation in California

Google plans to restart a reactor in Iowa in 2029. And the Trump administration announced in late October an $80 billion investment to begin construction on ten conventional reactors by 2030.

Hyperscalers are also investing heavily in solar power and battery storage, particularly in California and Texas.

The Texas grid operator plans to add approximately 100 gigawatts of capacity by 2030 from these technologies alone.

Finally, both Elon Musk, through his Starlink program, and Google have proposed putting chips in orbit in space, powered by solar energy. Google plans to conduct tests in 2027.


China Creates New Visa, Competing with the US in Wooing Global Tech Talent

A woman poses for a photo beside a Panda statue at Shougang Park in Beijing, China, 08 November 2025. EPA/WU HAO
A woman poses for a photo beside a Panda statue at Shougang Park in Beijing, China, 08 November 2025. EPA/WU HAO
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China Creates New Visa, Competing with the US in Wooing Global Tech Talent

A woman poses for a photo beside a Panda statue at Shougang Park in Beijing, China, 08 November 2025. EPA/WU HAO
A woman poses for a photo beside a Panda statue at Shougang Park in Beijing, China, 08 November 2025. EPA/WU HAO

Vaishnavi Srinivasagopalan, a skilled Indian IT professional who has worked in both India and the US, has been looking for work in China. Beijing's new K-visa program targeting science and technology workers could turn that dream into a reality, The Associated Press reported.

The K-visa rolled out by Beijing last month is part of China’s widening effort to catch up with the US in the race for global talent and cutting edge technology. It coincides with uncertainties over the US's H-1B program under tightened immigrations policies implemented by President Donald Trump.

“(The) K-visa for China (is) an equivalent to the H-1B for the US,” said Srinivasagopalan, who is intrigued by China’s working environment and culture after her father worked at a Chinese university a few years back. “It is a good option for people like me to work abroad.”

The K-visa supplements China's existing visa schemes including the R-visa for foreign professionals, but with loosened requirements, such as not requiring an applicant to have a job offer before applying.

Stricter US policies toward foreign students and scholars under Trump, including the raising of fees for the H-1B visa for foreign skilled workers to $100,000 for new applicants, are leading some non-American professionals and students to consider going elsewhere.

“Students studying in the US hoped for an (H-1B) visa, but currently this is an issue,” said Bikash Kali Das, an Indian masters student of international relations at Sichuan University in China.

China wants more foreign tech professionals China is striking while the iron is hot.

The ruling Communist Party has made global leadership in advanced technologies a top priority, paying massive government subsidies to support research and development of areas such as artificial intelligence, semiconductors and robotics.

“Beijing perceives the tightening of immigration policies in the US as an opportunity to position itself globally as welcoming foreign talent and investment more broadly,” said Barbara Kelemen, associate director and head of Asia at security intelligence firm Dragonfly.

Unemployment among Chinese graduates remains high, and competition is intense for jobs in scientific and technical fields. But there is a skills gap China's leadership is eager to fill. For decades, China has been losing top talent to developed countries as many stayed and worked in the US and Europe after they finished studies there.

The brain drain has not fully reversed.

Many Chinese parents still see Western education as advanced and are eager to send their children abroad, said Alfred Wu, an associate professor at the National University of Singapore.

Still, in recent years, a growing number of professionals including AI experts, scientists and engineers have moved to China from the US, including Chinese-Americans. Fei Su, a chip architect at Intel, and Ming Zhou, a leading engineer at US-based software firm Altair, were among those who have taken teaching jobs in China this year.

Many skilled workers in India and Southeast Asia have already expressed interest about the K-visa, said Edward Hu, a Shanghai-based immigration director at the consultancy Newland Chase.

Questions about extra competition from foreign workers With the jobless rate for Chinese aged 16-24 excluding students at nearly 18%, the campaign to attract more foreign professionals is raising questions.

“The current job market is already under fierce competition,” said Zhou Xinying, a 24-year-old postgraduate student in behavioral science at eastern China's Zhejiang University.

While foreign professionals could help “bring about new technologies” and different international perspectives, Zhou said, “some Chinese young job seekers may feel pressure due to the introduction of the K-visa policy.”

Kyle Huang, a 26-year-old software engineer based in the southern city of Guangzhou, said his peers in the science and technology fields fear the new visa scheme “might threaten local job opportunities”.

A recent commentary published by a state-backed news outlet, the Shanghai Observer, downplayed such concerns, saying that bringing in such foreign professionals will benefit the economy. As China advances in areas such as AI and cutting-edge semiconductors, there is a “gap and mismatch” between qualified jobseekers and the demand for skilled workers, it said.

“The more complex the global environment, the more China will open its arms,” it said.
“Beijing will need to emphasize how select foreign talent can create, not take, local jobs,” said Michael Feller, chief strategist at consultancy Geopolitical Strategy. “But even Washington has shown that this is politically a hard argument to make, despite decades of evidence.”

China's disadvantages even with the new visas Recruitment and immigration specialists say foreign workers face various hurdles in China. One is the language barrier. The ruling Communist Party's internet censorship, known as the “Great Firewall,” is another drawback.

A country of about 1.4 billion, China had only an estimated 711,000 foreign workers residing in the country as of 2023.

The US still leads in research and has the advantage of using English widely. There's also still a relatively clearer pathway to residency for many, said David Stepat, country director for Singapore at the consultancy Dezan Shira & Associates.

Nikhil Swaminathan, an Indian H1-B visa holder working for a US non-profit organization after finishing graduate school there, is interested in China’s K-visa but skeptical. “I would’ve considered it. China’s a great place to work in tech, if not for the difficult relationship between India and China,” he said.

Given a choice, many jobseekers still are likely to aim for jobs in leading global companies outside China.

“The US is probably more at risk of losing would-be H-1B applicants to other Western economies, including the UK and European Union, than to China,” said Feller at Geopolitical Strategy.

"The US may be sabotaging itself, but it’s doing so from a far more competitive position in terms of its attractiveness to talent,” Feller said. “China will need to do far more than offer convenient visa pathways to attract the best.”