Table of Contents

• GameStop

• Apple

Top Stories Today

Economy & Finance

GameStop

GameStop's shares fell significantly on Monday after CEO Ryan Cohen announced plans to reduce the number of stores, without specifying how the company will utilize its substantial cash reserves. GameStop's stock dropped by about 12% during its annual shareholder meeting on Monday. Cohen mentioned that the company aims to enhance sales and profitability by focusing on a smaller network of stores and offering more value-added items. However, he did not provide details on the use of the approximately $4 billion in cash accumulated from recent share sales.

This lack of clarity disappointed investors who were hoping for a more detailed strategic plan. The company has been facing challenges due to the shift from physical game sales to digital downloads, which has impacted its core business. Furthermore, recent stock volatility has been partly due to the reemergence of retail trader Keith Gill, known for his role in the 2021 meme stock frenzy. Cohen highlighted the importance of maintaining a strong balance sheet during economic uncertainty but did not provide further details on the company's strategic plans.

Technology

Apple

Apple has announced the discontinuation of its Apple Pay Later program, which allowed customers to make purchases online and pay in four interest-free installments, for products priced up to $1,000. The company stated that it will no longer issue Apple Pay Later loans and will instead allow installment loans through third-party companies and credit and debit cards from issuers like Citigroup. This decision reflects Apple's shift towards enabling installment loans through other financial intermediaries globally, as opposed to limiting the service to the U.S. The move is indicative of the fact that not every fintech feature or product launched by Apple becomes a success or aligns with the company's overall strategy.

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