On The Daily (OTD) - 25th June 2024

Top Stories Today: Nvidia Volatility and Microsoft EU Regulations.

Table of Contents

Top Stories Today

Economy & Finance

Nvidia Volatility

Nvidia's recent market turbulence sparked global volatility among semiconductor stocks, with European and Asian chip firms initially declining in response to Nvidia's substantial market cap losses exceeding $500 billion over three days. However, Nvidia's shares rebounded around 5.5% by midday Tuesday, calming investor nerves. In Europe, ASML recovered to close slightly higher, contrasting with declines in STMicroelectronics and mixed performances from Soitec and ASMI. Asian markets saw MediaTek and Samsung shares drop, while TSMC and SK Hynix managed gains despite the sector's turbulence. Nvidia, buoyed by ongoing demand for its AI GPUs from tech giants like Microsoft and Google, remains optimistic about its future growth prospects with the upcoming launch of its next-gen AI chips, Blackwell.

Technology

Microsoft EU Regulations

Microsoft is facing accusations from the European Union of breaching antitrust rules by integrating its Teams app with essential business software such as Office 365 and Microsoft 365, potentially stifling competition in the market for remote communication and collaboration tools. The EU's initial findings indicate that Microsoft may have given Teams an unfair advantage by not providing customers with the option to decline its inclusion when buying its widely used productivity packages. Despite Microsoft's attempts to preempt penalties by offering these software suites without Teams for European customers and implementing initial interoperability measures, the EU contends that more substantial steps are necessary to restore fair competition.

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