MEF BUSINESS NEWS 5 DECEMBER 2024 The euro faces increased pressure after France’s government was ousted in a no-confidence vote, fueling political instability. The vote, spurred by a budget dispute, further complicates efforts to address France’s growing deficit, projected to exceed 6% of GDP this year. While markets had anticipated the outcome, concerns about France’s fiscal policy and a potential weakening of the euro remain. The political turmoil, which began with June’s hung parliament, has contributed to a 2.7% drop in the euro against the dollar, and French borrowing costs have surged. Investors worry that ongoing instability will delay necessary budget reforms, potentially widening debt spreads. President Macron must now appoint a new prime minister, though there’s no deadline for the decision. Meanwhile, far-right leader Marine Le Pen is gaining momentum ahead of the 2027 presidential election. ————————————————— Bitcoin hit $100,000 on Wednesday, marking a long-awaited milestone driven by optimism over pro-crypto policies under President-elect Donald Trump. The rally pushed Bitcoin’s market value near $2 trillion, surpassing companies like Nvidia, Apple, and Alphabet. The surge signals a new phase in its bull run, resilient to most shocks. The rise comes after a year of gains, fueled by the popularity of Bitcoin-focused ETFs — or exchange-traded funds”, funds that trade on exchanges, generally tracking a specific index. ETFs are now holding about 5% of all Bitcoin. Despite past volatility, including a 80% drop in 2022, Bitcoin’s mainstream acceptance is growing. Trump’s return to office could also see the U.S. government entering the market, with plans to buy up Bitcoin as part of a strategic reserve. ————————————— Asian equities traded in a narrow range, continuing to lag behind global markets due to mixed economic data from China and ongoing uncertainties around U.S. trade policies. South Korea’s won weakened amid political instability, with authorities urging market calm. The ruling party blocked an impeachment motion against President Yoon Suk Yeol. Global markets were buoyed by optimism following Federal Reserve Chair Jerome Powell’s positive comments on the U.S. economy and a surge in U.S. tech stocks, helping the S&P 500 reach a new record. ———————————————— U.S. executives turned sharply more optimistic after Trump’s election, with 67% confident in the economic outlook for 2025, up from 26% in August. Trump’s business-friendly agenda, including lower corporate taxes and deregulation, lifted expectations for revenue and profit growth, though inflation remains a risk. ———————————- Airbus SE will cut more than 2,000 jobs, primarily in its struggling Space Systems division, in Germany, France, and the UK. The reductions aim to lower fixed costs and focus on overhead roles. The cuts are fewer than initially planned. The move follows challenges in competing with rivals like SpaceX and €900 million in charges tied to space program development risks. —— —— MEF MOBILE NEWS 5 DECEMBER 2024 The Indian government has urged Meta to take stronger action against WhatsApp-based scams, highlighting growing concerns over fraud on the platform, the Economic Times reports. The request comes as the authorities seek better safeguards to protect users from deceptive activities. Indian auothorities have blocked nealry 59,000 WhatsApp accounts used for digital fraud, the government informeD the Parliament. ————————————— U.S. prosecutors have charged 19-year-old Remington Ogletree for hacking telecoms and a financial institution, causing $4 million in damages. Working with the Scattered Spider group, Ogletree used phishing tactics to steal cryptocurrency by exploiting telecom systems. He allegedly sent 8.5 million phishing texts from a compromised European telecom and accessed financial data by manipulating employees at a U.S. firm. This case highlights growing concerns over telecom vulnerabilities, with U.S. officials recently warning about cyber espionage and scams targeting telecoms. ——————————————- A large amount of Americans’ metadata has been stolen in the ongoing cyberespionage campaign carried out by the Chinese hacking group “Salt Typhoon”, according to a senior U.S. official who spoke with Reuters. The stolen data includes call records—such as who made the call, when, where, and for how long—but does not include the content of the calls. This metadata can still provide detailed insights into individuals’ personal lives. ——————————————- Phone companies, including AT&T, Verizon, and T-Mobile, have denied the U.S. military’s requests for data on vulnerabilities in the telecom system, citing attorney-client privilege. In a letter to Senators Ron Wyden and Eric Schmitt, the Pentagon revealed that it sought digital security audits and test results from its contracted carriers but was rebuffed. Wyden criticized the military for not using its purchasing power to enforce stronger cybersecurity measures with these carriers, which provide wireless services for unclassified use. ——————————————- Telecom giant AT&T joined JPMorgan, and Dunkin’ in pulling ads from Twitch following concerns over antisemitic content linked to controversial streamers. The moves come after online forums associated with banned streamer Steven “Destiny” Bonnell accused Twitch of promoting antisemitism. Twitch has implemented measures to allow advertisers more control over where their ads appear, but the controversy persists. Twitch maintains it does not tolerate hate speech. ———————————— A recent study by the UK-based telecommunications company EE found that 79% of parents are concerned about their teens’ smartphone use, with many unclear about online risks. The survey of 2,044 parents revealed that while 96% of teens use smartphones, 62% of parents don’t fully understand concepts like digital footprints. Concerns include inappropriate content (40%) and excessive screen time (38%), though 59% value smartphones for keeping kids connected. EE has launched online resources to support parents in teaching safe phone usage. The issue has also reached UK Parliament, where MP Josh McAllister proposed a bill to ban smartphones in schools, though the government is skeptical, citing headteachers’ existing powers to enforce such bans. —— —— MEF TECH NEWS 5 DECEMBER 2024 TikTok Shop tripled its US sales to over $100 million on Black Friday and Cyber Monday, with a 165% increase in shoppers. Despite concerns over a potential US ban, TikTok’s e-commerce feature continues to thrive, benefiting from strong user engagement and major brand partnerships like Amazon and the NFL. Launched in 2023, TikTok Shop has grown rapidly, with small businesses and big brands like Crocs and Fenty Beauty among top sellers. The app also emphasized live shopping events to boost sales, a trend that’s gaining traction in the US. ————————————— Intel, after CEO Pat Gelsinger’s sudden departure, upheld its financial outlook during the UBS Global Technology and AI Conference. Interim Co-CEO Dave Zinsner confirmed the company’s core strategy remains the same but highlighted a shift towards more conservative capital spending. Executives, including Naga Chandrasekaran, emphasized a new focus on “no capital left behind” instead of overproduction. Intel also reaffirmed its commitment to Gelsinger’s plan to become a leading foundry for external clients and expressed confidence in its $7.9 billion grant from the U.S. Chips Act to boost domestic semiconductor manufacturing. ———————————- OpenAI has partnered with Anduril Industries to integrate its AI technology into Anduril’s anti-drone systems, marking a major step into the defense sector. The collaboration will help improve detection and response to unmanned aerial threats, such as drones. OpenAI will use Anduril’s data to train its AI for defense applications. This partnership aligns with OpenAI’s broader push into national security, following other efforts like collaborations with the US Air Force. Both companies stressed the importance of AI in maintaining the US’s technological edge, especially in light of the US-China race for military AI dominance. Anduril, valued at $14 billion, is a leader in defense tech with multiple contracts with the US Department of Defense. —————————————— OpenAI CEO Sam Altman dismissed concerns that Elon Musk might use his political influence to harm rivals and boost his own AI ventures. Speaking at the New York Times DealBook Summit, Altman stated, “It would be profoundly un-American” to use political power in this way, adding that he didn’t believe Musk would do it. Musk, a key ally of President-elect Donald Trump and recently appointed to lead the Department of Government Efficiency, has had a tense relationship with Altman. Musk, who co-founded OpenAI, has been engaged in legal battles with the company over its departure from its nonprofit roots. While Musk’s xAI is seen as a rising competitor to OpenAI, Altman acknowledged Musk’s efforts and called the strained relationship “tremendously sad,” noting he had once seen Musk as a hero. —— ——

MEF BUSINESS NEWS 5 DECEMBER 2024 The euro faces increased pressure after France’s government was ousted in a no-confidence vote, fueling political instability. The vote, spurred by a budget dispute, further complicates efforts to address France’s growing deficit, projected to exceed 6% of GDP this year. While markets had anticipated the outcome, concerns about France’s fiscal policy and a potential weakening of the euro remain. The political turmoil, which began with June’s hung parliament, has contributed to a 2.7% drop in the euro against the dollar, and French borrowing costs have surged. Investors worry that ongoing instability will delay necessary budget reforms, potentially widening debt spreads. President Macron must now appoint a new prime minister, though there’s no deadline for the decision. Meanwhile, far-right leader Marine Le Pen is gaining momentum ahead of the 2027 presidential election. ————————————————— Bitcoin hit $100,000 on Wednesday, marking a long-awaited milestone driven by optimism over pro-crypto policies under President-elect Donald Trump. The rally pushed Bitcoin’s market value near $2 trillion, surpassing companies like Nvidia, Apple, and Alphabet. The surge signals a new phase in its bull run, resilient to most shocks. The rise comes after a year of gains, fueled by the popularity of Bitcoin-focused ETFs — or exchange-traded funds”, funds that trade on exchanges, generally tracking a specific index. ETFs are now holding about 5% of all Bitcoin. Despite past volatility, including a 80% drop in 2022, Bitcoin’s mainstream acceptance is growing. Trump’s return to office could also see the U.S. government entering the market, with plans to buy up Bitcoin as part of a strategic reserve. ————————————— Asian equities traded in a narrow range, continuing to lag behind global markets due to mixed economic data from China and ongoing uncertainties around U.S. trade policies. South Korea’s won weakened amid political instability, with authorities urging market calm. The ruling party blocked an impeachment motion against President Yoon Suk Yeol. Global markets were buoyed by optimism following Federal Reserve Chair Jerome Powell’s positive comments on the U.S. economy and a surge in U.S. tech stocks, helping the S&P 500 reach a new record. ———————————————— U.S. executives turned sharply more optimistic after Trump’s election, with 67% confident in the economic outlook for 2025, up from 26% in August. Trump’s business-friendly agenda, including lower corporate taxes and deregulation, lifted expectations for revenue and profit growth, though inflation remains a risk. ———————————- Airbus SE will cut more than 2,000 jobs, primarily in its struggling Space Systems division, in Germany, France, and the UK. The reductions aim to lower fixed costs and focus on overhead roles. The cuts are fewer than initially planned. The move follows challenges in competing with rivals like SpaceX and €900 million in charges tied to space program development risks. —— —— MEF MOBILE NEWS 5 DECEMBER 2024 The Indian government has urged Meta to take stronger action against WhatsApp-based scams, highlighting growing concerns over fraud on the platform, the Economic Times reports. The request comes as the authorities seek better safeguards to protect users from deceptive activities. Indian auothorities have blocked nealry 59,000 WhatsApp accounts used for digital fraud, the government informeD the Parliament. ————————————— U.S. prosecutors have charged 19-year-old Remington Ogletree for hacking telecoms and a financial institution, causing $4 million in damages. Working with the Scattered Spider group, Ogletree used phishing tactics to steal cryptocurrency by exploiting telecom systems. He allegedly sent 8.5 million phishing texts from a compromised European telecom and accessed financial data by manipulating employees at a U.S. firm. This case highlights growing concerns over telecom vulnerabilities, with U.S. officials recently warning about cyber espionage and scams targeting telecoms. ——————————————- A large amount of Americans’ metadata has been stolen in the ongoing cyberespionage campaign carried out by the Chinese hacking group “Salt Typhoon”, according to a senior U.S. official who spoke with Reuters. The stolen data includes call records—such as who made the call, when, where, and for how long—but does not include the content of the calls. This metadata can still provide detailed insights into individuals’ personal lives. ——————————————- Phone companies, including AT&T, Verizon, and T-Mobile, have denied the U.S. military’s requests for data on vulnerabilities in the telecom system, citing attorney-client privilege. In a letter to Senators Ron Wyden and Eric Schmitt, the Pentagon revealed that it sought digital security audits and test results from its contracted carriers but was rebuffed. Wyden criticized the military for not using its purchasing power to enforce stronger cybersecurity measures with these carriers, which provide wireless services for unclassified use. ——————————————- Telecom giant AT&T joined JPMorgan, and Dunkin’ in pulling ads from Twitch following concerns over antisemitic content linked to controversial streamers. The moves come after online forums associated with banned streamer Steven “Destiny” Bonnell accused Twitch of promoting antisemitism. Twitch has implemented measures to allow advertisers more control over where their ads appear, but the controversy persists. Twitch maintains it does not tolerate hate speech. ———————————— A recent study by the UK-based telecommunications company EE found that 79% of parents are concerned about their teens’ smartphone use, with many unclear about online risks. The survey of 2,044 parents revealed that while 96% of teens use smartphones, 62% of parents don’t fully understand concepts like digital footprints. Concerns include inappropriate content (40%) and excessive screen time (38%), though 59% value smartphones for keeping kids connected. EE has launched online resources to support parents in teaching safe phone usage. The issue has also reached UK Parliament, where MP Josh McAllister proposed a bill to ban smartphones in schools, though the government is skeptical, citing headteachers’ existing powers to enforce such bans. —— —— MEF TECH NEWS 5 DECEMBER 2024 TikTok Shop tripled its US sales to over $100 million on Black Friday and Cyber Monday, with a 165% increase in shoppers. Despite concerns over a potential US ban, TikTok’s e-commerce feature continues to thrive, benefiting from strong user engagement and major brand partnerships like Amazon and the NFL. Launched in 2023, TikTok Shop has grown rapidly, with small businesses and big brands like Crocs and Fenty Beauty among top sellers. The app also emphasized live shopping events to boost sales, a trend that’s gaining traction in the US. ————————————— Intel, after CEO Pat Gelsinger’s sudden departure, upheld its financial outlook during the UBS Global Technology and AI Conference. Interim Co-CEO Dave Zinsner confirmed the company’s core strategy remains the same but highlighted a shift towards more conservative capital spending. Executives, including Naga Chandrasekaran, emphasized a new focus on “no capital left behind” instead of overproduction. Intel also reaffirmed its commitment to Gelsinger’s plan to become a leading foundry for external clients and expressed confidence in its $7.9 billion grant from the U.S. Chips Act to boost domestic semiconductor manufacturing. ———————————- OpenAI has partnered with Anduril Industries to integrate its AI technology into Anduril’s anti-drone systems, marking a major step into the defense sector. The collaboration will help improve detection and response to unmanned aerial threats, such as drones. OpenAI will use Anduril’s data to train its AI for defense applications. This partnership aligns with OpenAI’s broader push into national security, following other efforts like collaborations with the US Air Force. Both companies stressed the importance of AI in maintaining the US’s technological edge, especially in light of the US-China race for military AI dominance. Anduril, valued at $14 billion, is a leader in defense tech with multiple contracts with the US Department of Defense. —————————————— OpenAI CEO Sam Altman dismissed concerns that Elon Musk might use his political influence to harm rivals and boost his own AI ventures. Speaking at the New York Times DealBook Summit, Altman stated, “It would be profoundly un-American” to use political power in this way, adding that he didn’t believe Musk would do it. Musk, a key ally of President-elect Donald Trump and recently appointed to lead the Department of Government Efficiency, has had a tense relationship with Altman. Musk, who co-founded OpenAI, has been engaged in legal battles with the company over its departure from its nonprofit roots. While Musk’s xAI is seen as a rising competitor to OpenAI, Altman acknowledged Musk’s efforts and called the strained relationship “tremendously sad,” noting he had once seen Musk as a hero. —— ——