ADVFN Logo
Registration Strip Icon for alerts Register for real-time alerts, custom portfolio, and market movers

Novavax Surges 57% Post $1.4 Billion Sanofi Deal; Apple Boosts Data Centers with AI and Internal Chips, and More News

Fernanda T
Latest News
May 10 2024 8:02AM

Novavax (NASDAQ:NVAX), Sanofi (NASDAQ:SNY) – Novavax closed a $1.4 billion deal with Sanofi to commercialize its Covid-19 vaccine and develop a new combined vaccine against coronavirus and influenza, boosting NVAX shares by 56.70% in pre-market. The deal led Novavax to suspend its continuity warning, reversing its previous financial decline.

Apple (NASDAQ:AAPL) – Apple plans to launch artificial intelligence features through its own data centers powered by internal chips later this year, according to Bloomberg News. The chips, similar to those in Macs, will be used to process advanced AI tasks in the cloud, while simpler tasks will be handled on devices. Additionally, Apple apologized after criticism of its new iPad Pro ad, which depicted musical instruments and creative symbols being destroyed. The company stated that its goal is to celebrate user expression. The ad, titled “Crush,” received online backlash for its insensitivity.

Microsoft (NASDAQ:MSFT) – Microsoft will launch its own mobile gaming store in July, offering an alternative to Apple and Google’s app stores and their fees. The web-based store will initially feature Microsoft games, such as Candy Crush Saga, with discounts on in-game items. Xbox president Sarah Bond announced the change during the Bloomberg Technology Summit. The store will later open to other publishers. Bond emphasized the store’s accessibility on all devices and countries, independent of app store policies. Microsoft aims to create a store that transcends ecosystems, allowing a consistent gaming experience across consoles, PCs, and mobile devices.

Alphabet (NASDAQ:GOOGL) – OpenAI plans to launch its AI-based search product on Monday. The product is an extension of ChatGPT and allows for extracting information from the web, competing with Perplexity, an AI startup, and intensifying competition with Google.

Taiwan Semiconductor Manufacturing Company (NYSE:TSM) – TSMC’s sales in April surged 60% to $7.3 billion (NT$236 billion), driven by demand for artificial intelligence and a recovery in consumer electronics products. The company exceeded revenue growth estimates, strengthening its position as a global leader in contracted chips.

Baidu (NASDAQ:BIDU) – Baidu’s head of media relations, Qu Jing, resigned after videos endorsing the “996” work culture, dismissing team well-being. His comments sparked debate in China about the excessive demands of the tech industry. Qu later apologized. “996” is a term representing a common work practice in some tech companies in China, where employees are expected to work from 9 am to 9 pm, six days a week, totaling 72 hours of work per week.

Reddit (NYSE:RDDT) – CEO Steve Huffman announced at the Bloomberg Technology Summit that Reddit plans to introduce new products in the coming months, aiming to expand its revenue sources beyond advertising. The company is considering expanding its “user economy” and launching new versions of digital gifts. Additionally, it aims to close data licensing deals and explore international expansion and possible acquisitions.

Snap Inc. (NYSE:SNAP) – Snap’s CEO Evan Spiegel expressed the company’s commitment to ensuring user safety, especially for children, during the Bloomberg Technology Summit. He emphasized Snapchat’s focus on personal connections, advocating for shared responsibility among parents, companies, and online platforms.

Spotify (NYSE:SPOT) – Julie McNamara, head of Spotify Technology SA’s podcast studios, will leave the company after nearly three years, as announced in a memo to the staff on Thursday. Her departure highlights Spotify’s scaled-back ambitions in the podcast space, with McNamara returning to her creative roots.

T-Mobile (NASDAQ:TMUS), Verizon Communications (NYSE:VZ), United States Cellular (NYSE:USM) – T-Mobile and Verizon are in talks to acquire parts of United States Cellular in separate transactions, as reported by the Wall Street Journal. US Cellular shares increased by 8.6% on Thursday. T-Mobile is close to closing a deal for more than $2 billion to acquire a portion, taking over some operations and wireless spectrum licenses, while Verizon’s negotiations may be more prolonged and may not lead to a deal.

Vodafone (NASDAQ:VOD) – Next week will reveal how cost cuts and capital spending will shape the profit growth and cash flow for BT Group Plc, Deutsche Telekom AG, and Vodafone Plc. The carriers have set an optimistic baseline, forecasting a strong increase in free cash flow for Deutsche Telekom and Vodafone, while BT seeks to justify its expansion strategy.

Rio Tinto (NYSE:RIO) – Rio Tinto considered an offer for Anglo American, now under BHP’s control, with an acquisition target of $39 billion. BHP has until May 22 to make a formal offer.

Exxon Mobil (NYSE:XOM) – Calpers, the leading US public pension plan, is considering voting against the re-election of ExxonMobil’s CEO Darren Woods, due to shareholder discontent over a lawsuit against climate-focused investors.

BP plc (NYSE:BP) – BP’s electric charging unit is looking to expand in the United States following the disbandment of Tesla’s EV charging team. BP prioritizes the Northeast, Sun Belt, West Coast, and Great Lakes.

Tesla (NASDAQ:TSLA) – Tesla’s CEO Elon Musk praised the expansion plans for the Supercharger network after laying off nearly 500 employees responsible for the business. The company will invest “much more” than $500 million this year in expansion, a surprising move following its recent restructuring in the charging division. In other matters, Tesla was accused by a US labor agency of discouraging unionization at its Buffalo, New York factory by banning the use of personal devices. These allegations add to previous legal disputes over labor practices and racial discrimination. Additionally, a federal judge expressed on Thursday his inclination to compel Elon Musk to testify again in the SEC’s investigation into his $44 billion purchase of Twitter.

Zeekr Intelligent Technology – The Chinese electric vehicle manufacturer priced its US IPO at the top of the indicated range, raising $441 million. The IPO values the company at about $5.5 billion fully diluted. Strategic investors, including parent company Geely Automobile, purchased significant shares. Interest in the IPO comes amid fierce competition in China’s electric vehicle market.

Ford Motor (NYSE:F) – Ford is considering offering gasoline and hybrid vehicles beyond 2030 in Europe, contrary to its earlier plan for a fully electric lineup. The change is due to the slowdown in electric vehicle adoption in the region and the increased demand for hybrids. The company stated that it is closely monitoring the situation and will adapt as necessary. Additionally, the US National Highway Traffic Safety Administration (NHTSA) expressed “significant safety concerns” regarding the recall of over 42,000 Ford Motor SUVs due to fuel leaks that could cause engine fires. Ford proposed a software update and the installation of drains, but the NHTSA questions the effectiveness.

Boeing (NYSE:BA) – The US Securities and Exchange Commission is investigating claims made against Boeing Co. about air safety following a panel explosion on a 737 MAX flight. The investigation aims to determine if there was deception to investors.

Target (NYSE:TGT) – Target is planning to reduce the offering of LGBTQ+-themed products in some of its stores during Pride Month in June, following criticism last year. The full line will be available online, and the decision on physical presence will depend on store data analysis. The company will maintain support for Pride events, offering a selected collection of products in some stores and online.

Western Union (NYSE:WU) – Western Union announced the resumption of its remittance service from the US to Cuba after a three-month hiatus, restoring a vital connection for Cubans and their families in the US. Remittances are crucial to address the economic crisis exacerbated by sanctions and the pandemic.

UBS Group AG (NYSE:UBS) – UBS is exploring an incentive system for investment bankers who refer clients to the wealth management business. CEO Sergio Ermotti seeks to expand the bank’s invested assets following the acquisition of Credit Suisse, aiming for continued growth in the wealth management market.

Bain Capital (NYSE:BCSF) – Bain Capital is investing $250 million in Sikich, a Chicago-based business services company. This is the first external investment in Sikich, founded in 1982. CEO Christopher Geier views Bain’s involvement as crucial for the next stage of development.

Sony (NYSE:SONY), Blackstone (NYSE:BX), KKR (NYSE:KKR) – Sony and other interested parties, including Blackstone and KKR, plan to acquire Infocom Corp (USOTC:IFFOF) in a deal worth up to 200 billion yen. Teijin Ltd, the parent company of Infocom, is looking to sell its 55% stake, with a second round of bidding scheduled for May.