MEF BUSINESS NEWS 14 APR 2025 Donald Trump has confirmed that tariffs on phones, computers, and other electronics are still on the table, despite a temporary exemption announced late Friday. The pause affects nearly $390 billion in imports, including over $100 billion from China. The administration says these products will be moved to a new category, facing sector-specific tariffs—likely lower than the rate on China, but still significant. Trump emphasized the move is part of a broader strategy to target semiconductors and the electronics supply chain. Officials say further details will be released in the coming weeks. ————————————————- Global markets bounced back after Trump paused tariffs on consumer electronics. Shares are expected to rise in U.S. and Europe, futures contracts indicated at the beginning of the trading day, with Asian stocks also advancing. Concerns persist, though: the US dollar weakened, gold hit a record. Treasury yields slipped. Analysts say the pause could signal room for compromise, but uncertainty is high. ————————————————— Chinese President Xi Jinping has warned that protectionism “will lead nowhere,” as he begins his first foreign tour of the year — visiting Vietnam, Malaysia and Cambodia. The trip comes just days after Donald Trump imposed tariffs of up to 145% on Chinese goods and levies on other Southeast Asian exporters. Xi, writing in Vietnamese media, called for defending global trade norms and closer ties with developing economies. His message: China, not the US, is the reliable partner in an uncertain trade landscape. ————————————————— Euro-area inflation is now expected to cool further over the next two years, according to a Bloomberg survey. Economists see inflation averaging 1.9% in 2026 and 2% in 2027 — both slightly lower than earlier forecasts, partly due to weaker growth from higher US tariffs. Analysts also expect the European Central Bank to cut rates this week, and again in June. ECB officials have signaled openness to easing, citing trade uncertainty and falling energy costs. The euro recently hit a three-year high, further easing import prices and supporting a lower inflation outlook. ————————————————— Meanwhile, Donald Trump’s tariff war is rattling the global luxury market, dashing hopes for a US-led recovery this year, according to a Financial Times survey. Analysts now expect luxury revenues to shrink by 2% in 2025 — a sharp downgrade from earlier growth forecasts. The clash between the US and China has shaken consumer confidence. Even iconic brands like LVMH and Gucci are feeling the squeeze. Barclays expects Gucci’s sales to plunge 25% this quarter, while Hermès remains a rare bright spot. Analysts warn the real damage may be psychological — with jittery shoppers, stock market losses, and deep uncertainty poisoning the mood for high-end spending. —— —— MEF MOBILE NEWS 14 APR 2025 Apple has avoided a major supply chain crisis—at least for now. President Trump’s steep tariff on Chinese goods will not apply to iPhones, iPads, Macs, and other Apple devices after a late Friday exemption. A separate, lower “sectoral tariff” on electronics may still follow, but details are unclear. The move spares Apple from cost spikes and pricing pressure just months ahead of its next iPhone launch. Nearly 75% of Apple’s revenue comes from products largely made in China. While the reprieve is temporary, for Apple and much of the tech sector, it’s a critical win. Apple’s supply chain—built over decades in China—is massive, and nearly impossible to move overnight. Even if he company is shifting some assembly to India and Vietnam. ———————————————— Apple now makes one in five iPhones in India, assembling $22 billion worth of devices in the past year—a nearly 60% jump. This underscores India’s growing role in the global mobile ecosystem. With high-end models like the iPhone Pro now made locally and $17.4 billion worth exported, Apple is prioritizing India-assembled phones for U.S. markets. This shift not only reflects geopolitical pressures, but also deepens Apple’s footprint in one of the world’s fastest-growing mobile markets, where it now holds an 8% share. ———————————————— Sony has raised PlayStation 5 prices in Europe and the UK by 25%, pushing the base model to €500 and £430 respectively, with similar hikes expected in the U.S. soon. Citing inflation and economic uncertainty, Sony’s move follows new U.S. tariffs that could force broader price increases across consumer electronics. While the PS5 isn’t mobile, its ecosystem—spanning cross-platform gaming, remote play, and app integration—intersects deeply with mobile devices. As hardware gets pricier, users may lean more on mobile-based services and streaming to stay in the game, signaling a shift in how gaming blends with the mobile tech landscape. ———————————————— Spanish telecom giant Telefónica is exiting Peru, selling its embattled mobile and broadband unit to Argentina’s Integra Tec for just over $1 million. Once Peru’s dominant telecom player, Telefónica del Perú filed for bankruptcy in February, crippled by tax battles and regulatory pressures. Integra Tec will take on over €1.2 billion in debt and fully acquire the business—including minority shares. The sale marks a sharp turn for a company Telefónica bought in 1994 for $2 billion, signaling how shifting regulatory landscapes can destabilize even major players in Latin America’s mobile ecosystem. ———————————————- In the rapidly evolving world of AI, start-ups building applications on large language models are generating millions in revenue and attracting massive investment, according to an analysis by the Financial Times. Companies like Cursor, Perplexity, and Synthesia are tapping into the power of generative AI to create tools that help businesses and consumers increase productivity. These apps are particularly impactful in industries like software development, with tools like AI-driven coding assistants revolutionizing workflows. As AI continues to be integrated into mobile services and apps, the mobile ecosystem is poised for a transformative shift. With skyrocketing valuations and funding, these AI application start-ups could be the next wave of innovation driving mobile software and services forward, making complex tasks faster and more efficient. —— —— MEF TECH NEWS 14 APR 2025 In a key update for the chip supply chain, China’s new retaliatory tariffs won’t hit US-designed semiconductors—if they’re manufactured in Taiwan, Reuters reported. That’s a relief for giants like Qualcomm and AMD, whose chips—essential to smartphones—are fabricated by TSMC. But firms with US-based fabs, like Intel and Texas Instruments, could face tariffs over 80%. China’s state-backed chip association clarified that tariff rates depend on where the silicon is fabricated, not designed—raising the stakes for where chipmakers locate production in an increasingly fragmented tech ecosystem. —————————————- As AI infrastructure strains the global power grid, former Google CEO Eric Schmidt says Canada’s clean hydro power could be a secret weapon — especially for data centers driving mobile AI experiences. Speaking at TED in Vancouver, Schmidt warned the U.S. will need 90 extra gigawatts to keep up with AI demand, powering everything from smart assistants to edge devices. But with Trump-era trade tensions rising, cross-border tech cooperation is uncertain. Schmidt also sounded the alarm on a darker front — suggesting the AI arms race could spiral into cyber sabotage targeting data centers behind the very apps in our pockets. ———————————- Netflix is testing an AI-powered search engine on iOS, giving mobile users a smarter way to find shows by mood or vibe — not just title or genre. Powered by OpenAI, the tool rolls out first in Australia and New Zealand, with U.S. iPhone users next in line. It’s part of a broader push to rewire mobile entertainment discovery using conversational AI, deepening Netflix’s mobile integration just as users rely more on phones for streaming on the go. The company says AI won’t replace creators — but it may soon be your favorite streaming assistant in your pocket.

MEF BUSINESS NEWS 14 APR 2025 Donald Trump has confirmed that tariffs on phones, computers, and other electronics are still on the table, despite a temporary exemption announced late Friday. The pause affects nearly $390 billion in imports, including over $100 billion from China. The administration says these products will be moved to a new category, facing sector-specific tariffs—likely lower than the rate on China, but still significant. Trump emphasized the move is part of a broader strategy to target semiconductors and the electronics supply chain. Officials say further details will be released in the coming weeks. ————————————————- Global markets bounced back after Trump paused tariffs on consumer electronics. Shares are expected to rise in U.S. and Europe, futures contracts indicated at the beginning of the trading day, with Asian stocks also advancing. Concerns persist, though: the US dollar weakened, gold hit a record. Treasury yields slipped. Analysts say the pause could signal room for compromise, but uncertainty is high. ————————————————— Chinese President Xi Jinping has warned that protectionism “will lead nowhere,” as he begins his first foreign tour of the year — visiting Vietnam, Malaysia and Cambodia. The trip comes just days after Donald Trump imposed tariffs of up to 145% on Chinese goods and levies on other Southeast Asian exporters. Xi, writing in Vietnamese media, called for defending global trade norms and closer ties with developing economies. His message: China, not the US, is the reliable partner in an uncertain trade landscape. ————————————————— Euro-area inflation is now expected to cool further over the next two years, according to a Bloomberg survey. Economists see inflation averaging 1.9% in 2026 and 2% in 2027 — both slightly lower than earlier forecasts, partly due to weaker growth from higher US tariffs. Analysts also expect the European Central Bank to cut rates this week, and again in June. ECB officials have signaled openness to easing, citing trade uncertainty and falling energy costs. The euro recently hit a three-year high, further easing import prices and supporting a lower inflation outlook. ————————————————— Meanwhile, Donald Trump’s tariff war is rattling the global luxury market, dashing hopes for a US-led recovery this year, according to a Financial Times survey. Analysts now expect luxury revenues to shrink by 2% in 2025 — a sharp downgrade from earlier growth forecasts. The clash between the US and China has shaken consumer confidence. Even iconic brands like LVMH and Gucci are feeling the squeeze. Barclays expects Gucci’s sales to plunge 25% this quarter, while Hermès remains a rare bright spot. Analysts warn the real damage may be psychological — with jittery shoppers, stock market losses, and deep uncertainty poisoning the mood for high-end spending. —— —— MEF MOBILE NEWS 14 APR 2025 Apple has avoided a major supply chain crisis—at least for now. President Trump’s steep tariff on Chinese goods will not apply to iPhones, iPads, Macs, and other Apple devices after a late Friday exemption. A separate, lower “sectoral tariff” on electronics may still follow, but details are unclear. The move spares Apple from cost spikes and pricing pressure just months ahead of its next iPhone launch. Nearly 75% of Apple’s revenue comes from products largely made in China. While the reprieve is temporary, for Apple and much of the tech sector, it’s a critical win. Apple’s supply chain—built over decades in China—is massive, and nearly impossible to move overnight. Even if he company is shifting some assembly to India and Vietnam. ———————————————— Apple now makes one in five iPhones in India, assembling $22 billion worth of devices in the past year—a nearly 60% jump. This underscores India’s growing role in the global mobile ecosystem. With high-end models like the iPhone Pro now made locally and $17.4 billion worth exported, Apple is prioritizing India-assembled phones for U.S. markets. This shift not only reflects geopolitical pressures, but also deepens Apple’s footprint in one of the world’s fastest-growing mobile markets, where it now holds an 8% share. ———————————————— Sony has raised PlayStation 5 prices in Europe and the UK by 25%, pushing the base model to €500 and £430 respectively, with similar hikes expected in the U.S. soon. Citing inflation and economic uncertainty, Sony’s move follows new U.S. tariffs that could force broader price increases across consumer electronics. While the PS5 isn’t mobile, its ecosystem—spanning cross-platform gaming, remote play, and app integration—intersects deeply with mobile devices. As hardware gets pricier, users may lean more on mobile-based services and streaming to stay in the game, signaling a shift in how gaming blends with the mobile tech landscape. ———————————————— Spanish telecom giant Telefónica is exiting Peru, selling its embattled mobile and broadband unit to Argentina’s Integra Tec for just over $1 million. Once Peru’s dominant telecom player, Telefónica del Perú filed for bankruptcy in February, crippled by tax battles and regulatory pressures. Integra Tec will take on over €1.2 billion in debt and fully acquire the business—including minority shares. The sale marks a sharp turn for a company Telefónica bought in 1994 for $2 billion, signaling how shifting regulatory landscapes can destabilize even major players in Latin America’s mobile ecosystem. ———————————————- In the rapidly evolving world of AI, start-ups building applications on large language models are generating millions in revenue and attracting massive investment, according to an analysis by the Financial Times. Companies like Cursor, Perplexity, and Synthesia are tapping into the power of generative AI to create tools that help businesses and consumers increase productivity. These apps are particularly impactful in industries like software development, with tools like AI-driven coding assistants revolutionizing workflows. As AI continues to be integrated into mobile services and apps, the mobile ecosystem is poised for a transformative shift. With skyrocketing valuations and funding, these AI application start-ups could be the next wave of innovation driving mobile software and services forward, making complex tasks faster and more efficient. —— —— MEF TECH NEWS 14 APR 2025 In a key update for the chip supply chain, China’s new retaliatory tariffs won’t hit US-designed semiconductors—if they’re manufactured in Taiwan, Reuters reported. That’s a relief for giants like Qualcomm and AMD, whose chips—essential to smartphones—are fabricated by TSMC. But firms with US-based fabs, like Intel and Texas Instruments, could face tariffs over 80%. China’s state-backed chip association clarified that tariff rates depend on where the silicon is fabricated, not designed—raising the stakes for where chipmakers locate production in an increasingly fragmented tech ecosystem. —————————————- As AI infrastructure strains the global power grid, former Google CEO Eric Schmidt says Canada’s clean hydro power could be a secret weapon — especially for data centers driving mobile AI experiences. Speaking at TED in Vancouver, Schmidt warned the U.S. will need 90 extra gigawatts to keep up with AI demand, powering everything from smart assistants to edge devices. But with Trump-era trade tensions rising, cross-border tech cooperation is uncertain. Schmidt also sounded the alarm on a darker front — suggesting the AI arms race could spiral into cyber sabotage targeting data centers behind the very apps in our pockets. ———————————- Netflix is testing an AI-powered search engine on iOS, giving mobile users a smarter way to find shows by mood or vibe — not just title or genre. Powered by OpenAI, the tool rolls out first in Australia and New Zealand, with U.S. iPhone users next in line. It’s part of a broader push to rewire mobile entertainment discovery using conversational AI, deepening Netflix’s mobile integration just as users rely more on phones for streaming on the go. The company says AI won’t replace creators — but it may soon be your favorite streaming assistant in your pocket.