Amazon is likely to face an EU investigation next year into allegations that it favours its own brand products on its online marketplace, according to sources familiar with the matter. If found in violation of the EU’s Digital Markets Act (DMA), Amazon could face a fine of up to 10% of its global revenue.
The potential investigation will be overseen by Teresa Ribera, the incoming EU antitrust chief, who will take office next month. Amazon has denied any wrongdoing, stating it complies with the DMA and treats all products equally in its ranking algorithms. The company has been in ongoing discussions with the European Commission about its practices.
The DMA, implemented last year, aims to curb the dominance of Big Tech by prohibiting preferential treatment of their products and services. Alongside Amazon, other tech giants such as Apple, Google, and Meta are also under scrutiny. Amazon shares fell 3% following reports of the possible investigation.
OpenAI is reportedly considering developing a web browser integrated with its chatbot and is in talks to enhance search features for platforms like Conde Nast, Redfin, and Priceline, according to The Information. These moves could position OpenAI as a competitor to Google in both the browser and search markets, further challenging the tech giant’s dominance.
OpenAI, led by Sam Altman, has already dipped into the search market with SearchGPT and has explored AI-powered collaborations with Samsung, a key Google partner, and Apple for its “Apple Intelligence” features. Meanwhile, Google faces increasing pressure, with the US Department of Justice suggesting it divest its Chrome browser to curb its search monopoly.
Although OpenAI’s browser plans remain in the early stages, the potential competition highlights a shift in the AI landscape, with Google and OpenAI vying to lead the generative AI race. Alphabet shares fell sharply following the report, reflecting market concerns about Google’s ability to maintain its stronghold.
US prosecutors have urged a federal judge to impose sweeping changes on Google to dismantle its alleged monopoly on online search and advertising. Proposed remedies include forcing Google to sell its Chrome browser, share search data with competitors, and possibly divest its Android operating system. These measures could remain in place for up to a decade, overseen by a court-appointed technical committee.
The Department of Justice (DOJ) and state antitrust enforcers argued that Google’s dominance, with a 90% share of US searches, has stifled competition by controlling critical distribution channels. The DOJ aims to end deals where Google pays companies like Apple billions annually to make its search engine the default on their devices. Prosecutors also want restrictions on Google’s acquisitions in search, AI, and advertising technology, as well as provisions for websites to opt out of training Google’s AI systems.
Google has called the proposals extreme, warning they would harm consumers and the economy. Alphabet’s legal chief, Kent Walker, said the measures represent “unprecedented government overreach.” Google will present alternative proposals in December, while a trial to decide the remedies is scheduled for April.
If implemented, the proposals could reshape the tech landscape, lowering barriers for competitors like DuckDuckGo. The case highlights broader global efforts to curb the power of tech giants and promote fair competition.
Snowflake has raised its annual product revenue forecast after announcing a multi-year partnership with AI firm Anthropic. The collaboration is designed to enhance Snowflake’s data cloud services by integrating Anthropic’s advanced AI models, which enable businesses to develop custom AI applications within secure environments. Shares of the data analytics company surged nearly 19% in extended trading after the announcement.
Snowflake’s platform has seen widespread adoption among enterprises seeking to leverage AI-powered solutions for data organisation and analysis. The partnership with Anthropic will also enable Snowflake’s AI agents to perform sophisticated tasks such as deep data analysis and visualisation. Analysts note that the move positions Snowflake as a strong competitor in the AI technology space.
The company outperformed expectations for the third quarter, reporting $942.1 million in total revenue, compared with estimates of $897 million. Product revenue reached $900.3 million, surpassing forecasts. Snowflake also reported an adjusted profit of 20 cents per share, exceeding analysts’ predictions of 15 cents.
Snowflake expects product revenue of $3.43 billion for fiscal 2025, up from its prior estimate of $3.36 billion. Fourth-quarter projections are also strong, with product revenue anticipated to be between $906 million and $911 million, above market expectations.
SK Square, the holding company of AI chipmaker SK Hynix, unveiled plans to enhance shareholder value through a share buyback and other measures. The company will repurchase 100 billion won ($71.51 million) worth of shares within three months and cancel them, following a similar cancellation of shares bought in April.
The move comes after London-based hedge fund Palliser Capital proposed strategies to address SK Square’s undervaluation, with the company’s market value currently less than half the $18 billion worth of its 20% stake in SK Hynix. Palliser, which acquired a 1% stake in SK Square this year, has been in talks with the firm to improve shareholder returns.
This initiative aligns with South Korea‘s “Value-Up” program, designed to encourage companies to increase market value. SK Hynix, a key asset of SK Square, recently reported record profits driven by soaring AI chip demand from Nvidia, adding to the company’s potential for growth.
Alibaba Group is merging its domestic and international e-commerce platforms into a single business unit for the first time, the company announced on Thursday. The new unit, Alibaba E-Commerce Business Group, will combine the Taobao and Tmall Group with the Alibaba International Digital Commerce (AIDC) Group, which oversees platforms like AliExpress and Alibaba.com.
Jiang Fan, who previously headed Tmall, will lead the newly formed unit. Jiang, who faced a demotion in 2020 following an online scandal, will report directly to Alibaba’s CEO, Eddie Wu. Wu emphasised that the future competitive landscape in e-commerce will be shaped by global supply chain capabilities, fulfilment, and consumer service.
This move is part of Alibaba’s larger restructuring, which saw the company split into six business units last year. While Alibaba has faced increased competition from platforms like Pinduoduo, Temu, and TikTok, the company’s international division, under Jiang’s leadership, has posted strong growth, including a 29% increase in the September quarter.
Despite challenging market conditions in China, Alibaba has shown signs of stabilising its position. The company reported strong results during this year’s Singles Day sales, with robust growth in sales and a record number of shoppers, surpassing analyst expectations.
Huawei plans to begin mass-producing its Ascend 910C AI chip in early 2025, despite ongoing struggles to achieve sufficient production yields due to US trade restrictions. The Chinese telecom giant has already sent samples to tech firms and started taking orders for the chip, designed to rival Nvidia’s high-performance processors. The company faces significant challenges, as restrictions on advanced manufacturing technologies have limited its chip-making efficiency.
The Ascend 910C is produced by Semiconductor Manufacturing International Corp (SMIC) using an N+2 process but suffers from a yield of just 20%—far below the 70% required for commercial viability. Previous Huawei processors, including the 910B, achieved yields of around 50%, leading to delays in fulfilling orders from major clients like ByteDance. Washington’s restrictions, which prevent access to critical Dutch lithography equipment, have further constrained China’s ability to produce advanced semiconductors.
Huawei’s reliance on SMIC has been costly, with chips produced on its advanced nodes priced up to 50% higher than alternatives. While the company has sought supplemental production from Taiwan’s TSMC, US authorities have tightened export controls, limiting access to cutting-edge chips and forcing Huawei to prioritise strategic government and corporate orders. The escalating trade tensions underscore the geopolitical struggle between the US and China over technological dominance, with both nations doubling down on policies to secure their interests.
As Beijing pushes for self-reliance in semiconductors, Huawei’s production challenges reflect the broader impact of US restrictions on China’s tech sector. With further curbs on the horizon, Huawei’s success in advancing its AI chips may shape the next phase of the US -China tech rivalry.
Privacy-focused search engine DuckDuckGo has urged the European Commission to launch three new investigations into Google’s compliance with the EU’s Digital Markets Act (DMA). DuckDuckGo argues that the rules, designed to curb Big Tech dominance, have not yet delivered meaningful change in the search market.
The Digital Markets Act, adopted in 2022, requires major tech firms to ensure users can switch services easily and prohibits practices that favour their own products. DuckDuckGo’s senior vice-president, Kamyl Bazbaz, claimed in a blog post that Google’s measures fall short of the law’s requirements, calling for formal probes to drive compliance.
Google is already under two DMA-related investigations concerning its app store rules and alleged discrimination against third-party services. A spokesperson for the company stated that Google is cooperating with the Commission and has made significant adjustments to its services. They emphasised consumer choice and data protection as key priorities while rejecting claims of non-compliance.
DuckDuckGo also accused Google of proposing to share anonymised search data with competitors that excludes the vast majority of search queries, rendering it ineffective. Additional allegations include failing to make switching search engines straightforward. Companies breaching the DMA could face fines up to 10% of their global annual revenue.
Super Micro Computer witnessed a 23% surge in its share value after revealing steps to address its delayed financial filings and avoid a potential Nasdaq delisting. The company has appointed BDO USA as its new independent auditor, replacing Ernst & Young, which resigned due to concerns over governance, transparency, and internal control issues. The new appointment comes just ahead of Nasdaq’s compliance deadline, allowing Super Micro to submit a filing plan for review. If accepted, the company could secure an extension until February 2025 to resolve its reporting challenges.
Despite the financial turbulence, optimism remains surrounding Super Micro’s AI server segment, which has shown strong demand. Analysts have highlighted the significant role of the compliance plan in maintaining investor confidence, while past challenges—including a prior delisting from Nasdaq in 2019 over missed reporting deadlines—serve as reminders of the stakes. Shares of the company have fallen by 24% year-to-date, with their current value standing far below the record highs achieved earlier this year.
If the compliance plan fails to gain approval, Super Micro can appeal the decision to Nasdaq’s Hearings Panel, triggering a 15-day stay of delisting, with the possibility of an additional 180-day extension. Industry observers are keenly watching how the company navigates its financial and regulatory hurdles, given its importance in the growing AI server market.
Super Micro’s history of regulatory and financial scrutiny adds complexity to its current situation, but its leadership remains optimistic about overcoming these challenges and capitalising on the booming AI technology demand.
Kenya and Malaysia partnered to accelerate digital transformation in Kenya and across Africa, thereby highlighting a shared commitment to leveraging technology for economic growth and development. The collaboration aims to enhance Kenya’s digital infrastructure, foster bilateral trade, and unlock new digital export opportunities.
By combining Kenya’s rapidly growing tech industry with Malaysia’s advanced expertise, the partnership allows Kenyan enterprises to access cutting-edge technological knowledge while enabling Malaysian firms to tap into Africa’s expanding markets. Moreover, the Malaysia-Kenya Tech symposium in Nairobi, organised by the Kenyan government, Malaysia’s High Commission, and the Malaysia External Trade Development Corporation, serves as a platform to showcase these efforts.
Thus, the partnership emphasises mutual efforts to strengthen economic ties, create innovative digital ecosystems, and position Kenya as a regional technology hub. In addition, the partnership builds on earlier engagements, emphasising its importance in fostering innovation, boosting digital integration, and driving economic growth. By visiting key sites like Konza Technopolis, the Malaysian delegation has explored opportunities to position Kenya as a digital leader in Africa while strengthening ties between the two regions.
