Investment

China Defends Ban On US Chipmaker Micron in 2023

Published

2 years ago

2023-05-24

Kiara Grace

BEIJING, China – The Chinese government defended its restriction on using components from US memory chipmaker Micron Technology Inc. in some computer systems on Wednesday after Washington raised concern, escalating tensions over technology and security.

The security examination of Micron products was “conducted in accordance with the law,” according to Mao Ning, a foreign ministry official.

On Sunday, the Chinese Cyberspace Administration stated that Micron goods pose unspecified security threats but provided no further details. It barred them from using computers that handled sensitive data.

This came after the United States, Japan, and the Netherlands barred China’s access to advanced processor chip technology on security grounds, at a time when the governing Communist Party is threatening to attack Taiwan and is becoming more belligerent towards its Asian neighbors.

“China’s cybersecurity review does not target any specific countries or regions,” Mao explained. “We do not exclude technologies and products from any country.”

Supply disruptions and missed sales revenue have harmed businesses on both sides.

Washington and its allies’ restrictions on access to chips and methods for making them deter China’s ambitions to create its semiconductor sector. Potential sales to Chinese smartphone makers, chip foundries, and other clients have cost US vendors billions.

The Chinese government defended its restriction on using components from US memory chipmaker Micron Technology Inc.

Mao said the US had put security limitations on over 1,200 Chinese enterprises “without any factual basis.” She accused Washington of exploiting national security to “unreasonably suppress Chinese companies.”

“This is economic coercion, and it is unacceptable,” Mao declared.

According to State Department spokeswoman Matthew Miller, the US administration is “engaging directly” with Beijing to “make our view clear” on the Micron embargo.

“We have very serious concerns,” Miller added. He stated of China, “This action appears inconsistent with the PRC’s assertions that it is open for business and committed to a transparent regulatory framework.”

According to Micron’s chief financial officer, Mark Murphy, the company would work with the Chinese authorities to assess the ban’s impact.

“We remain unclear as to what security concerns exist,” Murphy said during a JP Morgan technology industry conference call. “We have received no customer complaints about the security of our products.”

According to Murphy, Micron expects to lose sales similar to a single-digit percentage of total revenue, but the exact figure will depend on which customers and products are affected.

The Chinese government defended its restriction on using components from US memory chipmaker Micron Technology Inc.

Foreign Minister Qin Gang urged his Dutch counterpart on Tuesday for access to chipmaking technology that has been restricted for security reasons.

China requires a machine that uses ultraviolet light to etch minuscule circuits on next-generation chips and is only available from one Dutch manufacturer, ASML Holding NV. Without it, the ruling party’s aspirations to build semiconductors for cellphones, artificial intelligence, and other cutting-edge applications will be hampered.

“China has serious concerns about this,” Qin said. “We should work together to jointly protect the normal trade order between us” and “keep global industrial and supply chains stable.”

Wopke Hoekstra, the Dutch minister, stated that he “shared our national security concerns” but provided no indication that his government’s position had altered.

SOURCE – (AP)

Investment

Amazon Crosses $2 Trillion In Stock Market Value For The First Time

Published

5 months ago

2024-06-26

Kiara Grace

NEW YORK — Amazon.com Inc.’s market value topped $2 trillion for the first time in afternoon trade on Wednesday.

The increase in Amazon’s stock market valuation comes just over a week after Nvidia reached $3 trillion and briefly became the most valuable firm on Wall Street.

Amazon | AP News Image

Amazon Crosses $2 Trillion In Stock Market Value For The First Time

Nvidia’s chips power numerous AI applications, so the company’s price has skyrocketed.

Amazon has also made significant investments in AI as the technology’s popularity has increased worldwide.

Amazon | Forbes Image

Amazon Crosses $2 Trillion In Stock Market Value For The First Time

The majority of the company’s attention has been on business-oriented products, such as AI models and a chatbot named Q, which Amazon makes available to businesses that use its cloud computing unit AWS.

In April, Amazon CEO Andy Jassy stated that AI capabilities have reaccelerated AWS’s growth and that it was on track to generate $100 billion in annual revenue.

Amazon | Forbes

Amazon Crosses $2 Trillion In Stock Market Value For The First Time

Last year, the unit’s growth slowed as companies trimmed expenditures due to high inflation.

The digital behemoth has also invested $4 billion in Anthropic, a San Francisco-based AI business, to develop foundation models for generative AI systems. Amazon also creates and designs its own AI processors.

SOURCE – (AP)

Investment

Nvidia: The Strange Exception Where A Lower Stock Price Can Be Better For Investors

Published

6 months ago

2024-06-03

Kiara Grace

Ahead of Monday’s market opening, GameStop shares are rising on speculation that the man at the center of the pandemic meme stock frenzy owns a sizable number of shares in the video game retailer, potentially worth millions.

GameStock’s stock rose more than 87% in premarket trading.

Keith Gill, also known as “Roaring Kitty” on social media platforms YouTube and X, goes by the handle Deep F- – – – – Value on Reddit. Late Sunday, a Reddit user posted a screenshot in the r/SuperStonk thread, which some believe is an image of Gill’s GameStop shares and call options. The graphic suggested that Gill may own 5 million GameStop shares worth $115.7 million as of Friday’s closing price. The picture also revealed 120,000 call options at GameStop with a strike price of $20 that expires on June 21. The call options were purchased at approximately $5.68 per piece.

Nvidia | AP News Image

Nvidia: The Strange Exception Where A Lower Stock Price Can Be Better For Investors

Gill’s account on X also tweeted an image of a reverse card from the popular game Uno on Sunday night. There was no associated text for the image.

This latest behavior comes just three weeks after Gill emerged online for the first time in three years, causing GameStop’s stock price to rise. In May, the “Roaring Kitty” account shared an image on X of a man sitting forward in his chair, a meme commonly utilized by gamers when things become serious.

Following the post on X, there was a video from years ago on YouTube in which Gill defended the troubled company GameStop and concluded by saying, “That’s it for now because I’m out of breath.” FYI, here’s a fast 4-minute video I made to summarize the $GME bull argument.

Nvidia | PC Gamer Image

Nvidia: The Strange Exception Where A Lower Stock Price Can Be Better For Investors

In 2021, GameStop was a video game retailer battling to survive as consumers shifted fast from discs to digital downloads. Big Wall Street hedge funds and major investors were betting against or shorting its stock with the expectation that its shares would continue to fall precipitously.

Gill and many who agreed with him reversed the course of a firm that appeared to be on the verge of collapse by purchasing thousands of GameStop shares despite practically all acknowledged indicators indicating that the company was in serious trouble.

That triggered what is known as a “short squeeze,” in which large investors who had bet on GameStop were obliged to buy its swiftly increasing stock to offset significant losses.

Nvidia | Nvidia Image

The Strange Exception Where A Lower Stock Price Can Be Better For Investors

Others that joined the viral rush on Monday include movie theater company AMC Entertainment Holdings, which is up more than 26% in premarket trading. Koss Corp., a headphone producer, increased by more than 14%, while BlackBerry, the once-dominant smartphone maker, increased by more than 4%.

SOURCE – (AP)

Investment

GameStop Leaps In Premarket As Roaring Kitty May Hold Large Position

Published

6 months ago

2024-06-03

Kiara Grace

Gamestop | AP News Image

Shares of GameStop are jumping ahead of Monday’s market start, fueled by suspicion that the man at the core of the pandemic meme stock frenzy owns a big number of shares in the video game store, potentially worth millions.

GameStock’s stock rose more than 87% in premarket trading.

Keith Gill, also known as “Roaring Kitty” on social media platforms YouTube and X, goes by the handle Deep F- – – – – Value on Reddit. Late Sunday, a Reddit user posted a screenshot in the r/SuperStonk thread, which some believe is an image of Gill’s GameStop shares and call options. The graphic suggested that Gill may own 5 million GameStop shares worth $115.7 million as of Friday’s closing price. The picture also revealed 120,000 call options at GameStop with a strike price of $20 that expire on June 21. The call options were purchased at approximately $5.68 per piece.

Gamestop | CNBC Image

GameStop Leaps In Premarket As Roaring Kitty May Hold Large Position

Gill’s account on X also tweeted an image of a reverse card from the popular game Uno on Sunday night. There was no associated text for the image.

The post on X was followed by a YouTube video from years ago in which Gill defended the troubled corporation GameStop, saying, “That’s it for now because I’m out of breath. FYI, here’s a fast 4-minute video I made to summarize the $GME bull argument.

Gamestop | CFA Image

GameStop Leaps In Premarket As Roaring Kitty May Hold Large Position

In 2021, GameStop was a video game retailer battling to survive as consumers shifted fast from discs to digital downloads. Big Wall Street hedge funds and major investors were betting against it or shorting its stock with the expectation that its shares would continue to fall precipitously.

That triggered what is known as a “short squeeze,” in which large investors who had bet on GameStop were obliged to buy its swiftly increasing stock to offset significant losses.