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	<title>Technology Archives - International Finance</title>
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		<title>OpenAI pushes child safety in ChatGPT, slows down model training</title>
		<link>https://internationalfinance.com/technology/openai-pushes-child-safety-in-chatgpt-slows-down-model-training/#utm_source=rss&#038;utm_medium=rss&#038;utm_campaign=openai-pushes-child-safety-in-chatgpt-slows-down-model-training</link>
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		<dc:creator><![CDATA[International Finance Business Desk]]></dc:creator>
		<pubDate>Tue, 25 Aug 2026 03:00:55 +0000</pubDate>
				<category><![CDATA[Featured]]></category>
		<category><![CDATA[Technology]]></category>
		<category><![CDATA[AI Cyberattack]]></category>
		<category><![CDATA[Astra AI]]></category>
		<category><![CDATA[ChatGPT]]></category>
		<category><![CDATA[ChatGPT Child Safety]]></category>
		<category><![CDATA[ChatGPT for Teens]]></category>
		<category><![CDATA[Child Safety]]></category>
		<category><![CDATA[Hugging Face]]></category>
		<category><![CDATA[OpenAI]]></category>
		<guid isPermaLink="false">https://internationalfinance.com/?p=57786</guid>

					<description><![CDATA[<p>ChatGPT for Teens is designed for users aged 13 to 17 and introduces stricter rules around self-harm, eating disorders and violence</p>
<p>The post <a href="https://internationalfinance.com/technology/openai-pushes-child-safety-in-chatgpt-slows-down-model-training/">OpenAI pushes child safety in ChatGPT, slows down model training</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
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<div>OpenAI is rolling out a dedicated version of ChatGPT for teenagers, making the chatbot deliberately less &#8220;human&#8221; in its interactions as the artificial intelligence giant responds to mounting concerns about emotional dependence, harmful content, and the impact of AI on young people.</p>
<p>ChatGPT for Teens is designed for users aged 13 to 17 and introduces stricter rules around self-harm, suicide, eating disorders, violence, sexual material, and romantic roleplay.</p></div>
<div></div>
<div>The system is also instructed not to encourage emotional dependency or imply that it has feelings, a significant change from the conversational style that has helped make ChatGPT popular.</p>
<p>The launch marks a shift in OpenAI’s approach from building one general-purpose chatbot to creating experiences tailored to users’ age and developmental needs.</p></div>
<div></div>
<div>The company says most teenagers use ChatGPT for learning, creativity, and productivity but acknowledges that younger users require stronger safeguards.</p>
<p>A central feature is an age-prediction system that uses signals associated with an account to estimate whether a user is under 18.</p></div>
<div></div>
<div>OpenAI says those signals can include broad patterns such as the topics discussed, when and how an account is used, and how long it has existed.</div>
<div></div>
<div>If the system believes a user may be under 18, it can automatically apply the teen experience, even if the user previously entered a different date of birth. Adults incorrectly placed in the teen experience can verify their age to have the protections removed.</p>
<p>The new model also changes how ChatGPT handles emotionally charged conversations.</p></div>
<div></div>
<div>OpenAI says the teen experience is designed to avoid flirtatious exchanges, romantic interactions, and responses that could encourage a young person to see the chatbot as a friend or substitute for real-world relationships. It will also remind users that they are interacting with AI rather than a person.</p>
<p>Parents can link their accounts to their teenager’s account and control selected settings, including sensitive-content protections, image generation, voice mode, study mode, and &#8220;quiet hours.&#8221;</p>
<p>Parents can restrict the teen account&#8217;s usage during specified periods. Parents do not receive access to their child’s conversations, although OpenAI can send limited safety notifications in certain circumstances.</p>
<p>Education is another major focus. Study Mode is intended to help students work through problems, develop answers, and build skills rather than simply handing them completed homework. The company has also added reminders intended to discourage academic shortcuts.</p>
<p>That balance could become increasingly important as governments consider rules governing children’s use of generative AI. OpenAI’s approach gives regulators a model to examine, particularly its use of age prediction, default protections, and limited parental alerts.</p></div>
<div></div>
<div>It also suggests that the next phase of AI competition may be judged not just by smarter models but also by how safely companies can use them in daily life.</div>
<div></div>
<div><b>ALSO READ | <a href="https://internationalfinance.com/technology/white-houses-tech-lock-and-key-strategy-shifts-to-openai/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://internationalfinance.com/technology/white-houses-tech-lock-and-key-strategy-shifts-to-openai/&amp;source=gmail&amp;ust=1787672945073000&amp;usg=AOvVaw0hr3fI-yLttEryraPVv3fw">White House’s tech ‘lock and key’ strategy shifts to OpenAI</a></b></p>
<p>The changes come as OpenAI faces growing scrutiny over the consequences of highly persuasive AI systems for children. The company has faced lawsuits and criticism related to allegations that ChatGPT contributed to harmful interactions with vulnerable young users. OpenAI has rejected the characterization that its products are designed to cause harm while saying it is continuing to strengthen protections.</p>
<p>The issue has broader commercial significance for the AI industry. Chatbots are increasingly becoming consumer products used by children and teenagers, creating pressure on technology companies to prove that their systems can distinguish between different levels of risk.</p></div>
<div></div>
<div>Stronger safeguards could increase development and monitoring costs, but failures could expose companies to litigation, regulatory intervention, and reputational damage.</p>
<p>OpenAI’s move also reflects a broader change in the competitive AI market. The industry’s early emphasis was on making chatbots more natural, personable, and engaging. The teen experience reverses part of that logic: for younger users, being less human-like can itself be a safety feature.</p>
<p>OpenAI’s challenge will be balancing protection with usefulness. Excessively restrictive systems could frustrate teenagers and push them towards less regulated AI services, while weak safeguards could deepen concerns about dependency and inappropriate content.</p></div>
<div></div>
<div>The company is therefore betting that age-aware design, parental controls, and more transparent AI behavior can make ChatGPT a safer tool for younger users without removing its educational value.</p>
<p>Simultaneously, the company is also slowing down the pace of its AI model development, apart from overhauling its research and training systems after OpenAI officials were caught unaware in July when an AI agent under testing hacked another <b><a href="https://internationalfinance.com/technology/openais-hugging-face-hack-leaves-washington-reaching-for-an-off-switch/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://internationalfinance.com/technology/openais-hugging-face-hack-leaves-washington-reaching-for-an-off-switch/&amp;source=gmail&amp;ust=1787672945073000&amp;usg=AOvVaw1Aq2HTZagc-o8inm55BWA0">AI firm, Hugging Face.</a><br />
</b><br />
The ChatGPT maker has reportedly paused its model testing for two weeks and is adding other AI systems to monitor the activities of AI agents in testing.</p>
<p>&#8220;We have paused training on our next generation of models, called Astra, and its largest planned training run remains on hold,&#8221; ⁠the company said.</p>
<p>OpenAI&#8217;s course correction has also gone against its usual practice of accelerated R&amp;D time for its new models and AI-powered products to beat the intense industry competition.</p>
<p>&#8220;OpenAI officials acknowledged that there are open questions about the effectiveness of one of its primary remedies for strengthening its testing systems, called &#8216;chain-of-thought monitoring.&#8217; In this type of monitoring, researchers can peer into a model&#8217;s planning process and get a glimpse of the strategies the model is ‌employing. ⁠But early research shows that a model may not reveal its plans to break rules in its chain of thought,&#8221; Reuters reported recently.</p>
<p>OpenAI has ⁠now mandated that some of its more sensitive workloads take place in stronger &#8220;sandboxes&#8221; or isolated environments.</p>
<p>It has also beefed up the security controls for its most powerful models while pausing any activity related to its Astra AI, ⁠which had yet to meet these requirements.</p>
<p>OpenAI said it was taking these actions in line with its previously announced plan for managing potentially critical capabilities, called its &#8220;Preparedness Framework.&#8221;</p></div>
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<p>The post <a href="https://internationalfinance.com/technology/openai-pushes-child-safety-in-chatgpt-slows-down-model-training/">OpenAI pushes child safety in ChatGPT, slows down model training</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
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		<title>Anthropic IPO: AI venture eyes supervoting power for its top leadership</title>
		<link>https://internationalfinance.com/technology/anthropic-ipo-ai-venture-eyes-supervoting-power-for-its-top-leadership/#utm_source=rss&#038;utm_medium=rss&#038;utm_campaign=anthropic-ipo-ai-venture-eyes-supervoting-power-for-its-top-leadership</link>
					<comments>https://internationalfinance.com/technology/anthropic-ipo-ai-venture-eyes-supervoting-power-for-its-top-leadership/#respond</comments>
		
		<dc:creator><![CDATA[International Finance Business Desk]]></dc:creator>
		<pubDate>Mon, 24 Aug 2026 03:00:37 +0000</pubDate>
				<category><![CDATA[Featured]]></category>
		<category><![CDATA[Technology]]></category>
		<category><![CDATA[Anthropic]]></category>
		<category><![CDATA[Anthropic IPO]]></category>
		<category><![CDATA[Dario Amodei]]></category>
		<category><![CDATA[Dual-Class Structures]]></category>
		<category><![CDATA[IPO]]></category>
		<category><![CDATA[Supervoting Power]]></category>
		<guid isPermaLink="false">https://internationalfinance.com/?p=57769</guid>

					<description><![CDATA[<p>The Claude maker's co-founders hold relatively small ownership in the company, compared to founders of other tech firms</p>
<p>The post <a href="https://internationalfinance.com/technology/anthropic-ipo-ai-venture-eyes-supervoting-power-for-its-top-leadership/">Anthropic IPO: AI venture eyes supervoting power for its top leadership</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
]]></description>
										<content:encoded><![CDATA[<p>AI major Anthropic has been preparing to give CEO Dario Amodei and other co-founders a class of stock with extra voting power to help insulate them from external shareholder pressure, as the venture nears <a href="https://internationalfinance.com/technology/anthropic-revenue-surges-ahead-of-ipo-as-company-eyes-decart-ai-acquisition/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://internationalfinance.com/technology/anthropic-revenue-surges-ahead-of-ipo-as-company-eyes-decart-ai-acquisition/&amp;source=gmail&amp;ust=1787632407672000&amp;usg=AOvVaw0H5TAcC57QSwwQuFGJgcfG"><b>its historic IPO.</b></a></p>
<p>As per the reports from the ‌Information, Anthropic is also looking to maintain its existing body of non-shareholder trustees with a special class of stock to elect a majority of members to the company&#8217;s board of directors.</p>
<p>If Anthropic proceeds with the move, it would mark the first time the AI major&#8217;s leaders have extra voting power. The co-founders of Claude hold relatively small ownership stakes in the company compared to the founders of other tech firms.</p>
<p>Amodei himself owns only about 2% of the company, the Information said. However, it should also be kept in mind that dual-class structures aimed at giving supervoting power ‌to ⁠leaders are common among founder-led companies and are designed to give founders greater control and insulate them from short-term shareholder pressure.</p>
<p><b><a href="https://internationalfinance.com/markets/spacex-clears-the-revenue-bar-then-trips-over-its-own-ai-bill/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://internationalfinance.com/markets/spacex-clears-the-revenue-bar-then-trips-over-its-own-ai-bill/&amp;source=gmail&amp;ust=1787632407672000&amp;usg=AOvVaw13SlVxXdS-clQ3OPP59JGI">SpaceX&#8217;s</a> </b>dual-class structure, for instance, gives founder and <a href="https://internationalfinance.com/business-leaders/elon-musks-trillion-dollar-pay-deal-drags-corporate-americas-ceo-salaries-to-record-highs/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://internationalfinance.com/business-leaders/elon-musks-trillion-dollar-pay-deal-drags-corporate-americas-ceo-salaries-to-record-highs/&amp;source=gmail&amp;ust=1787632407672000&amp;usg=AOvVaw0h18XFq6u_Xci6lGIAIP0B"><b>CEO Elon Musk</b></a> significant voting power. At Meta, <a href="https://internationalfinance.com/magazine/technology-magazine/mark-zuckerbergs-risky-agi-hawaii-bet/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://internationalfinance.com/magazine/technology-magazine/mark-zuckerbergs-risky-agi-hawaii-bet/&amp;source=gmail&amp;ust=1787632407672000&amp;usg=AOvVaw0ZeTiNsq2BczFN1sZdDyKX"><b>CEO Mark Zuckerberg</b></a> holds about 60% voting control by ⁠way of his ownership of super-voting shares.</p>
<p>Anthropic, preparing for its market debut, has been structured as a public benefit corporation, which is legally required to balance commercial success with social ⁠and public benefit.</p>
<p>The company also has a &#8220;Long-Term Benefit Trust,&#8221; an independent oversight body that exists to make sure the startup delivers on its public benefit mission.</p>
<p>Talking about Anthropic&#8217;s IPO, the venture&#8217;s revolving credit facility, in the lead-up to the market debut, may exceed its roughly USD 10 billion target, with Bloomberg reporting about banks jockeying for a piece of the expanded credit line, hoping the involvement will strengthen their case for ⁠a role in the IPO.</p>
<p>Anthropic has reportedly asked the banks most active in arranging the credit facility to commit about USD 1.25 billion each, with a second tier of active lenders encouraged to offer around USD 1 billion. Commitments for less active roles would fall ‌to ⁠about USD 750 million or less.</p>
<p>While the talks are ongoing, Anthropic could decide to limit the size of the revolver to the target or even below. The startup is even projecting its 2028 revenue to be roughly USD 190 billion to USD 200 billion.</p>
<p>The post <a href="https://internationalfinance.com/technology/anthropic-ipo-ai-venture-eyes-supervoting-power-for-its-top-leadership/">Anthropic IPO: AI venture eyes supervoting power for its top leadership</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
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		<title>Anthropic revenue surges ahead of IPO as company eyes Decart AI acquisition</title>
		<link>https://internationalfinance.com/technology/anthropic-revenue-surges-ahead-of-ipo-as-company-eyes-decart-ai-acquisition/#utm_source=rss&#038;utm_medium=rss&#038;utm_campaign=anthropic-revenue-surges-ahead-of-ipo-as-company-eyes-decart-ai-acquisition</link>
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		<dc:creator><![CDATA[International Finance Business Desk]]></dc:creator>
		<pubDate>Tue, 18 Aug 2026 01:00:44 +0000</pubDate>
				<category><![CDATA[Featured]]></category>
		<category><![CDATA[Technology]]></category>
		<category><![CDATA[Anthropic]]></category>
		<category><![CDATA[Anthropic Earnings]]></category>
		<category><![CDATA[Anthropic IPO]]></category>
		<category><![CDATA[Anthropic Profits]]></category>
		<category><![CDATA[Claude]]></category>
		<category><![CDATA[Decart AI]]></category>
		<category><![CDATA[Goldman Sachs]]></category>
		<category><![CDATA[JPMorgan]]></category>
		<category><![CDATA[Morgan Stanley]]></category>
		<guid isPermaLink="false">https://internationalfinance.com/?p=57678</guid>

					<description><![CDATA[<p>The Claude chatbot maker reported preliminary quarterly revenue of more than USD 11.5 billion, compared with USD 787 million a year earlier</p>
<p>The post <a href="https://internationalfinance.com/technology/anthropic-revenue-surges-ahead-of-ipo-as-company-eyes-decart-ai-acquisition/">Anthropic revenue surges ahead of IPO as company eyes Decart AI acquisition</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
]]></description>
										<content:encoded><![CDATA[<p>Anthropic’s revenue surged to more than USD 11.5 billion in the second quarter, highlighting the rapid expansion of the Claude chatbot maker as it prepares for a potential blockbuster initial public offering (IPO).</p>
<p>The company reported preliminary quarterly revenue of more than USD 11.5 billion, compared with USD 787 million a year earlier and USD 4.73 billion in the first quarter of 2026, according to documents seen by Bloomberg News.</p>
<div>Anthropic also posted positive adjusted operating income during the quarter, although the figures remain preliminary and could change.</p>
<p>The sharp increase comes as Anthropic competes with OpenAI for corporate customers, with its artificial intelligence (AI) tools gaining traction among professionals, particularly for coding and other business applications.</p>
<div></div>
<div>The company said its annualised revenue run rate crossed USD 47 billion in May, up from about USD 10 billion in revenue for all of 2025.</p>
<div></div>
<div><b>ALSO READ | <a href="https://internationalfinance.com/technology/chinas-glm-5-2-open-source-model-narrows-gap-with-openai-and-anthropic/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://internationalfinance.com/technology/chinas-glm-5-2-open-source-model-narrows-gap-with-openai-and-anthropic/&amp;source=gmail&amp;ust=1787045445089000&amp;usg=AOvVaw0BQo63l3KHgWZ5fus7C3rb">China’s GLM-5.2 open-source model narrows gap with OpenAI and Anthropic</a></b></p>
<p>The growth is central to preparations for a potential IPO, with bankers and investors reportedly looking well beyond Anthropic’s current financial performance to determine its value.</p></div>
<div></div>
<div>The company is projecting revenue of about USD 190 billion to USD 200 billion in 2028, according to people familiar with its financials.</p>
<p>Investors and bankers are using enterprise value-to-revenue multiples based on those forecasts, an approach typically associated with high-growth software companies that have yet to establish mature profit margins.</p></div>
<div></div>
<div>Looking two years ahead reflects both Anthropic’s exceptional growth rate and the difficulty of valuing an AI company with enormous infrastructure costs.</p>
<p>Anthropic is spending heavily on computing capacity, model training, inference, and hiring. Investors are effectively betting that revenue will eventually grow faster than those expenses, allowing margins to expand as the company scales and AI infrastructure becomes more efficient.</p>
<p>Anthropic has been holding high-level meetings with prospective investors ahead of a potential listing, although discussions have not yet focused on a specific valuation. The company has reportedly filed confidentially and is working with Morgan Stanley, Goldman Sachs, and JPMorgan on the offering.</p>
<p>A public listing could give Anthropic access to billions of dollars in additional capital to fund computing infrastructure, advanced chips, and specialised data centers. It would also position the company among the first major private AI firms to tap public markets.</p></div>
<div><b> </b></div>
<div><b>ALSO READ | <a href="https://internationalfinance.com/technology/project-glasswing-the-hidden-club-claude-mythos/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://internationalfinance.com/technology/project-glasswing-the-hidden-club-claude-mythos/&amp;source=gmail&amp;ust=1787045445089000&amp;usg=AOvVaw1ZSE1Jsdg28OYoZZ8vfLy0">Project Glasswing: The invite-only club for Claude Mythos</a></b></p>
<p>An IPO could come as early as this autumn, potentially putting Anthropic ahead of OpenAI and Chinese AI company DeepSeek, which are also reportedly preparing for public-market listings.</p>
<p>The AI boom has helped revive global IPO activity, with new listings raising USD 256.4 billion this year, excluding blank-cheque companies and other financial vehicles, according to Bloomberg data.</p>
<p>Anthropic is also in reported talks to buy Nvidia-backed startup Decart AI, as the Claude maker explores acquisitions that ‌could help it handle growing industry demand ahead of its market debut. The deal could be worth about USD 6 billion.</p>
<p>Decart is known for developing AI infrastructure and optimization technology as well as ⁠its AI models. Its flagship Lucy model can edit live video in real time. The startup has also developed Oasis, a model that generates simulated environments to train and test robotics and ‌autonomous-driving ⁠systems.</p>
<p>The deal is in an early stage and, if completed, will result in Decart’s team joining Anthropic’s inference and performance organistion.</p>
<p>Decart, in May 2026, raised USD 300 million in a funding round led by Radical ⁠Ventures, with Nvidia joining as a new investor.</p>
<p>Apart from eyeing the Decart acquisition to grow its computing power ⁠and overcome capacity constraints for its services, Anthropic is also hiring engineers with experience across the hardware and ⁠software stack.</p></div>
<div></div>
<div>The new recruits will help the company co-design custom chips and AI models that can make Claude run faster and more efficiently.</div>
</div>
</div>
<p>The post <a href="https://internationalfinance.com/technology/anthropic-revenue-surges-ahead-of-ipo-as-company-eyes-decart-ai-acquisition/">Anthropic revenue surges ahead of IPO as company eyes Decart AI acquisition</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
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		<title>Unitree IPO puts a price on China&#8217;s humanoid robot bet</title>
		<link>https://internationalfinance.com/technology/unitree-ipo-puts-a-price-on-chinas-humanoid-robot-bet/#utm_source=rss&#038;utm_medium=rss&#038;utm_campaign=unitree-ipo-puts-a-price-on-chinas-humanoid-robot-bet</link>
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		<dc:creator><![CDATA[International Finance Business Desk]]></dc:creator>
		<pubDate>Fri, 14 Aug 2026 00:00:08 +0000</pubDate>
				<category><![CDATA[Featured]]></category>
		<category><![CDATA[Technology]]></category>
		<category><![CDATA[15th Five-Year Plan]]></category>
		<category><![CDATA[China]]></category>
		<category><![CDATA[China Robotics]]></category>
		<category><![CDATA[China Southern Power Grid]]></category>
		<category><![CDATA[DeepSeek]]></category>
		<category><![CDATA[Hang Seng Index]]></category>
		<category><![CDATA[Humanoid]]></category>
		<category><![CDATA[Initial Public Offering]]></category>
		<category><![CDATA[IPO]]></category>
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		<category><![CDATA[Unitree IPO]]></category>
		<guid isPermaLink="false">https://internationalfinance.com/?p=57636</guid>

					<description><![CDATA[<p>The Hangzhou firm's record Shanghai listing has drawn frenzied retail demand, and a queue of rivals is forming behind it</p>
<p>The post <a href="https://internationalfinance.com/technology/unitree-ipo-puts-a-price-on-chinas-humanoid-robot-bet/">Unitree IPO puts a price on China&#8217;s humanoid robot bet</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
]]></description>
										<content:encoded><![CDATA[<div>Chinese robot maker Unitree has priced its Shanghai initial public offering (IPO) at 150.80 yuan a share, seeking about 6.1 billion yuan, or USD 904 million, in a deal that will make it the first humanoid robot manufacturer listed on the mainland.</div>
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<p>The Hangzhou-based company is offering roughly 40.45 million shares, or 10% of its enlarged share capital, on the Shanghai Stock Exchange&#8217;s STAR Market. At that price the company is worth around 60.99 billion yuan, close to USD 9 billion.</p>
<p>The reception has been extraordinary even by the standards of China&#8217;s technology listings. The offering was more than 8,000 times oversubscribed by retail investors, with the company disclosing odds of roughly 0.018% of receiving shares after a partial reallocation away from the institutional tranche.</p>
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<div>A single lot of 500 shares requires a payment of 75,400 yuan, which has not deterred buyers hoping for a first-day pop.</div>
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<p>The regulatory path was just as quick. The application was accepted on March 20 and cleared the listing committee on June 1, a span of 73 days and a record for the board.</p>
<p><b>What investors are actually paying for</b></p>
<p>The valuation is the story. The offer price implies a diluted price to earnings ratio of 219.23 for 2025 and a price to sales ratio of 35.89, both far above comparable general equipment manufacturers, against a reference industry multiple of 38.56 times.</p>
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<p>The company itself warned investors about the risk of a share price decline given the premium. The final price came in about 45% above a market consensus of around 104 yuan after bookbuilding with institutions.</p>
<p>Underneath that multiple is a business growing at a rate few hardware firms manage. Revenue rose to 1.70 billion yuan in 2025 from 392.77 million yuan in 2024 and 159.13 million yuan in 2023, a compound annual growth rate (CAGR) above 220%.</p>
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<div><img fetchpriority="high" decoding="async" class="size-full wp-image-57637 aligncenter" src="https://internationalfinance.com/wp-content/uploads/2026/08/china-robotics-graph-1.webp" alt="China Robotics Graph" width="800" height="1200" srcset="https://internationalfinance.com/wp-content/uploads/2026/08/china-robotics-graph-1.webp 800w, https://internationalfinance.com/wp-content/uploads/2026/08/china-robotics-graph-1-200x300.webp 200w, https://internationalfinance.com/wp-content/uploads/2026/08/china-robotics-graph-1-683x1024.webp 683w, https://internationalfinance.com/wp-content/uploads/2026/08/china-robotics-graph-1-768x1152.webp 768w, https://internationalfinance.com/wp-content/uploads/2026/08/china-robotics-graph-1-267x400.webp 267w, https://internationalfinance.com/wp-content/uploads/2026/08/china-robotics-graph-1-585x878.webp 585w" sizes="(max-width: 800px) 100vw, 800px" /></div>
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<div>Reported net profit was 278.21 million yuan, while net profit attributable to the parent after excluding one-off items, chiefly share-based payment charges, stood at 590.75 million yuan.</div>
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<p>The headline 219 times multiple is calculated on the lower of those two figures. Between 2023 and 2025 the company sold 33,294 quadruped robots and 5,632 humanoids, and gross margin on the core business climbed to 60.13%.</p>
<p>The strategic investor list explains part of the enthusiasm. Institutions taking 20% of the issuance include DeepSeek, Tencent&#8217;s Qishan Investment, PetroChina&#8217;s Kunlun Capital, China Southern Power Grid&#8217;s industrial finance arm and Tianyi Capital, alongside three National Social Security Fund portfolios.</p>
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<p><a href="https://internationalfinance.com/technology/if-insights-what-deepseeks-emergence-means-ai-industry/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://internationalfinance.com/technology/if-insights-what-deepseeks-emergence-means-ai-industry/&amp;source=gmail&amp;ust=1786715851400000&amp;usg=AOvVaw3-LHlWwSYtinH8Qu5C5zkY"><b>DeepSeek alone was</b></a> allocated 933,390 shares with a 36-month lock-up, a pairing meant to bridge large language models and robot hardware. This is state-adjacent capital and platform capital arriving together, which is how Beijing tends to signal that a sector matters.</p>
<p><b>Why everyone is rushing the exit door at once</b></p>
<p>Unitree is not an outlier. It is the first mover in a queue. AgiBot, valued above 20 billion yuan after backing from Tencent, JD.com and SAIC Motor, began its Hong Kong listing process in July, the first among a wave of 30 to 50 Chinese embodied intelligence startups to disclose listing plans.</p>
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<div>It has also acquired a controlling stake in Shanghai-listed Swancor Advanced Materials, securing a mainland platform. IPO applications from Leju Robotics and DEEP Robotics have been accepted in Shenzhen and Shanghai respectively.</div>
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<p>UBTech, which listed in Hong Kong in December 2023 as the first humanoid robot stock anywhere, saw its shares surge 150% in 2025 against a 32% rise in the Hang Seng Index.</p>
<p>Three forces are pushing companies towards public markets simultaneously. The first is capital intensity. Building humanoids requires actuators, reducers, sensors and factories, the training data problem is unsolved, and the burn rate is high while revenue is thin.</p>
<p>The second is the policy window. The 15th Five-Year Plan covering 2026 to 2030 elevates robotics and embodied intelligence from a niche subsidy target into the connective tissue of China&#8217;s economic modernisation strategy, with component localisation targets written into the top-level document rather than into subordinate ministry plans.</p>
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<p>A 1 trillion yuan state venture fund for artificial intelligence (AI), robotics and emerging technologies sits behind it. Listing while that support is explicit is simply cheaper than listing later.</p>
<p>The third force is the valuation cycle itself. Sector financing in China reached 73.5 billion yuan in 2025, and the first two months of 2026 alone exceeded 20 billion yuan. Private rounds at those levels create pressure for public exits before enthusiasm cools.</p>
<p><b>The industrial base beneath the hype</b></p>
<p>The humanoid narrative sits on top of an automation build-out that is already the largest in history. China accounted for 54% of all industrial robots installed worldwide in 2024, or 295,000 of 542,000 units, and its installed base of about two million machines is roughly 4.5 times that of Japan in second place. Global operational stock stood at 4.66 million.</p>
<p>More telling is who supplies them. The share of local suppliers in Chinese domestic installations rose from 30% in 2020 to 57% in 2024, and Chinese firms now hold 85% of the domestic metal and machinery segment. For the first time, Chinese robot makers sold more units at home than foreign competitors.</p>
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<div>China also became a net exporter of industrial robots for the first time in 2025, and first-half 2026 exports reached 6.29 billion yuan, up 18.6% year on year, shipped to 141 countries and regions.</div>
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<div>That is the import substitution story Made in China 2025 promised, delivered a decade later in a sector Western suppliers once dominated.</div>
<div><img decoding="async" class="size-full wp-image-57638 aligncenter" src="https://internationalfinance.com/wp-content/uploads/2026/08/china-robotics-graph-2.webp" alt="China Robotics Graph" width="800" height="1200" srcset="https://internationalfinance.com/wp-content/uploads/2026/08/china-robotics-graph-2.webp 800w, https://internationalfinance.com/wp-content/uploads/2026/08/china-robotics-graph-2-200x300.webp 200w, https://internationalfinance.com/wp-content/uploads/2026/08/china-robotics-graph-2-683x1024.webp 683w, https://internationalfinance.com/wp-content/uploads/2026/08/china-robotics-graph-2-768x1152.webp 768w, https://internationalfinance.com/wp-content/uploads/2026/08/china-robotics-graph-2-267x400.webp 267w, https://internationalfinance.com/wp-content/uploads/2026/08/china-robotics-graph-2-585x878.webp 585w" sizes="(max-width: 800px) 100vw, 800px" /><br />
One caveat is worth stating plainly. On robot density, China is not yet the leader. Using updated labour market data from its own statistics bureau, the International Federation of Robotics puts China at 166 robots per 10,000 manufacturing employees, sixth in Asia and 22nd worldwide, against 307 in the United States.</div>
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<p>Western Europe reached a record 267 and North America 204. China&#8217;s advantage is absolute scale, not saturation, which is precisely why the runway is long.</p>
<p><b>China against the West</b></p>
<p>On volume, the humanoid contest is already lopsided. Roughly 16,000 humanoid robots were installed worldwide in 2025, with China accounting for more than 80%, according to Counterpoint Research, which put AgiBot on 30.4% of global installations and Unitree on 26.4%.</p>
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<p>Omdia ranks AgiBot first on 5,168 units and a 39% share, a reading Unitree disputes with its own claim of more than 5,500 humanoids shipped. American rivals including Tesla and Figure each shipped a few hundred units at most.</p>
<p>On money, the West leads by a distance. Figure is valued at about USD 39 billion after a Series C exceeding USD 1 billion in September 2025, roughly four times Unitree&#8217;s listed value, with 1X at around USD 10 billion and Apptronik at about USD 5.5 billion.</p>
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<div><a href="https://internationalfinance.com/transport/spacex-tesla-to-invest-usd-16-8-billion-in-terafab-project-amid-merger-rumours/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://internationalfinance.com/transport/spacex-tesla-to-invest-usd-16-8-billion-in-terafab-project-amid-merger-rumours/&amp;source=gmail&amp;ust=1786715851400000&amp;usg=AOvVaw3mAKHCn3C13IDnWuNpLyy1"><b>Tesla remains the</b></a> wild card, with Optimus V3 expected to enter mass production in the second half of 2026 on a converted Fremont line. Unitree&#8217;s own prospectus names Optimus and new entrants from Chinese carmakers as material competitive risks.</div>
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<p>The historical pattern from solar panels, drones and electric vehicles is that scale wins once the underlying technology commoditises, which is the bet embedded in Unitree&#8217;s multiple.</p>
<p><b>Automation as industrial policy</b></p>
<p>For an economy facing a shrinking working-age population and rising wages, robots are a labour supply story as much as a technology story.</p>
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<p>Automation is how China intends to keep its manufacturing base competitive while the demographic base erodes, and how it plans to cut dependence on imported precision components.</p>
<p>The Robot Plus initiative and the AI Plus Manufacturing roadmap aim to double manufacturing robot density by 2030, the Ministry of Industry and Information Technology has set up a standardisation committee for humanoid robots, and China is now leading formulation of international standards for elder-care robots, echoing its earlier standards campaigns in 5G and high-speed rail.</p>
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<div><img decoding="async" class="size-full wp-image-57639 aligncenter" src="https://internationalfinance.com/wp-content/uploads/2026/08/china-robotics-graph-3.webp" alt="China Robotics Graph" width="800" height="1200" srcset="https://internationalfinance.com/wp-content/uploads/2026/08/china-robotics-graph-3.webp 800w, https://internationalfinance.com/wp-content/uploads/2026/08/china-robotics-graph-3-200x300.webp 200w, https://internationalfinance.com/wp-content/uploads/2026/08/china-robotics-graph-3-683x1024.webp 683w, https://internationalfinance.com/wp-content/uploads/2026/08/china-robotics-graph-3-768x1152.webp 768w, https://internationalfinance.com/wp-content/uploads/2026/08/china-robotics-graph-3-267x400.webp 267w, https://internationalfinance.com/wp-content/uploads/2026/08/china-robotics-graph-3-585x878.webp 585w" sizes="(max-width: 800px) 100vw, 800px" /><br />
The risks arrived before the shares did. Overseas sales generated 731.66 million yuan in 2025, or 43.65% of main business revenue, and on July 28 the United States Federal Communications Commission added foreign-made humanoid and quadruped robots to its Covered List, blocking equipment authorisation for models not already cleared.</div>
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<p>Unitree certified its current lineup weeks earlier, so those grants stand, but the North American path for new models is closed for now. The Pentagon has separately listed the company as having alleged military links, which Beijing rejects.</p>
<p>Growth is also cooling. First-half 2026 revenue guidance of 1.05 billion to 1.13 billion yuan implies growth of 36% to 45%, against 333% a year earlier, and adjusted net profit is guided to fall by between 6% and 22%.</p>
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<div>A 219 times earnings multiple leaves no room for that trend to continue. Investors chasing lottery odds of 0.018% may find that out.</div>
<p>The post <a href="https://internationalfinance.com/technology/unitree-ipo-puts-a-price-on-chinas-humanoid-robot-bet/">Unitree IPO puts a price on China&#8217;s humanoid robot bet</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
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		<title>IF Insights: Intel&#8217;s USD 20 billion bet on becoming America&#8217;s foundry</title>
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		<dc:creator><![CDATA[International Finance Business Desk]]></dc:creator>
		<pubDate>Thu, 13 Aug 2026 00:00:02 +0000</pubDate>
				<category><![CDATA[Featured]]></category>
		<category><![CDATA[Technology]]></category>
		<category><![CDATA[14A Process]]></category>
		<category><![CDATA[Intel]]></category>
		<category><![CDATA[Lip-Bu Tan]]></category>
		<category><![CDATA[SpaceX]]></category>
		<category><![CDATA[Terafab]]></category>
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		<guid isPermaLink="false">https://internationalfinance.com/?p=57617</guid>

					<description><![CDATA[<p>A record share sale, a Tesla contract and a 175% stock run have put Lip-Bu Tan's turnaround beyond doubt. Beating TSMC is a different question</p>
<p>The post <a href="https://internationalfinance.com/technology/if-insights-intels-usd-20-billion-bet-on-becoming-americas-foundry/">IF Insights: Intel&#8217;s USD 20 billion bet on becoming America&#8217;s foundry</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
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										<content:encoded><![CDATA[<p>Intel raised USD 20 billion from an upsized share offering on Tuesday, the largest equity raise in its history and one of the biggest of a year already crowded with them.</p>
<p>The chipmaker had told the market on Monday it wanted USD 15 billion. Demand was so heavy, reportedly north of USD 100 billion in orders, that it lifted the size by a third and priced 210.5 million shares at USD 95 apiece, a discount of just 2.6% to the previous close.</p>
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<div>Net proceeds come to about USD 19.7 billion once fees are stripped out, with the deal closing on 12 August. Underwriters JPMorgan, Goldman Sachs, Morgan Stanley and Citigroup hold a 30-day option on a further 31.6 million shares.</p>
<p>The money is going into the most capital-hungry business in technology, contract chip manufacturing. Intel wants to build fabs and advanced packaging capacity fast enough to serve customers other than itself, and it is cashing in a share price that has roughly tripled this year to pay for it.</p>
<p><b>From near-shutdown to the centre of the strategy</b><br />
Rewind twelve months and the foundry unit was close to being switched off.</p>
<p>In its July 2025 quarterly filing, Intel warned that without a significant external customer for its next-generation 14A process, it might pause or discontinue the pursuit of leading-edge manufacturing altogether, and slow or stop its Ohio build.</p>
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<div>Chief executive Lip-Bu Tan, who took over in March 2025, <a href="https://internationalfinance.com/magazine/technology-magazine/lip-bu-tans-brutal-intel-reset/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://internationalfinance.com/magazine/technology-magazine/lip-bu-tans-brutal-intel-reset/&amp;source=gmail&amp;ust=1786605317839000&amp;usg=AOvVaw1S9B1cZhvLYpcgdiKqMWD6"><b>put it plainly</b></a> in a memo to staff. There would be no more blank cheques, and investment in 14A would follow confirmed customer commitments.</div>
<div><img loading="lazy" decoding="async" class="alignright size-full wp-image-57618" src="https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-1.webp" alt="Intel Graph" width="1000" height="667" srcset="https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-1.webp 1000w, https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-1-300x200.webp 300w, https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-1-768x512.webp 768w, https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-1-480x320.webp 480w, https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-1-280x186.webp 280w, https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-1-960x640.webp 960w, https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-1-600x400.webp 600w, https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-1-585x390.webp 585w" sizes="auto, (max-width: 1000px) 100vw, 1000px" /><br />
That was the bottom. Intel had lost close to USD 19 billion in 2024 and a further USD 3.7 billion in the first half of 2025.</div>
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<div>Tan cut roughly a quarter of the workforce, aiming for about 75,000 core employees by the end of 2025, scrapped planned plants in Germany and Poland, and sold control of Altera. Headcount at the end of June stood at 77,600 excluding subsidiaries, down from 96,400 a year earlier.</p>
<p>Then the capital arrived. Washington converted CHIPS Act grants into an USD 8.9 billion equity purchase, taking about 10% of the company at USD 20.47 a share. SoftBank put in USD 2 billion.</p></div>
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<div>Nvidia followed with USD 5 billion alongside a joint product roadmap. For a business that had spent USD 82 billion on buybacks in the 2010s while its process technology slipped, the rescue was pointed.</p>
<p><b>The Tesla contract that changed the argument</b><br />
The commercial validation came in April 2026, on Tesla&#8217;s first-quarter earnings call, when Elon Musk confirmed that Tesla would use Intel&#8217;s 14A process for chips <a href="https://internationalfinance.com/transport/spacex-tesla-to-invest-usd-16-8-billion-in-terafab-project-amid-merger-rumours/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://internationalfinance.com/transport/spacex-tesla-to-invest-usd-16-8-billion-in-terafab-project-amid-merger-rumours/&amp;source=gmail&amp;ust=1786605317839000&amp;usg=AOvVaw0n5WR9fmqiL9Nm-a9E0pI_"><b>destined for Terafab, </b></a>the vast AI silicon complex he is building in Austin. SpaceX is expected to use the same node.</p>
<p>Terafab is an extraordinary ambition, targeting something in the order of one terawatt of annual compute, roughly double current US output, at a cost Bernstein has put anywhere between USD 5 trillion and USD 13 trillion.</p>
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<div>In the near term Tesla is building a roughly USD 3 billion research fab at its Texas gigafactory campus running only a few thousand wafers a month for validation, with volume production the job of a separate high-capacity operation.</div>
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The direct revenue is therefore small and years away. The signalling value was enormous. Intel had told the world it needed an anchor 14A customer to justify staying in the leading-edge race, and it got one with a name nobody could ignore.</div>
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<div>Tan has since committed to high-volume 14A production in 2028, with risk production in the second half of 2027. Optimism about a second marquee client grew further after US President Donald Trump said Apple would make processors with Intel, though neither company has confirmed it.</p>
<p><b>Where the profits actually come from</b><br />
One caveat is worth stating clearly, because the market narrative has run ahead of the accounts. Intel Foundry is not yet a profit engine. It is the strategic centre of the company and its fastest-growing reporting line, but it is still loss-making.</p>
<p>In the June quarter, foundry revenue rose 31% to USD 5.77 billion while the unit lost USD 2.09 billion at the operating level. That is a real improvement on the USD 3.17 billion loss a year earlier, and on the USD 2.51 billion of the final quarter of 2025, but it is a narrowing loss, not a profit.</p></div>
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<div><img loading="lazy" decoding="async" class="alignright size-full wp-image-57619" src="https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-2.webp" alt="Intel Graph" width="1000" height="667" srcset="https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-2.webp 1000w, https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-2-300x200.webp 300w, https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-2-768x512.webp 768w, https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-2-480x320.webp 480w, https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-2-280x186.webp 280w, https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-2-960x640.webp 960w, https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-2-600x400.webp 600w, https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-2-585x390.webp 585w" sizes="auto, (max-width: 1000px) 100vw, 1000px" /></div>
<div>Almost all of that revenue is internal, Intel Products buying wafers from Intel Foundry, which is why intersegment eliminations came to USD 5.48 billion.</p>
<p>The profits sit in products. Data Centre and AI, where revenue jumped 59% to USD 6.26 billion, delivered USD 2.47 billion of operating income. The client group added USD 2.34 billion. Group revenue of USD 16.13 billion was up 25%, the strongest growth in more than fifteen years, and the seventh consecutive quarter to beat guidance. Non-GAAP earnings came in at USD 0.42 a share. The headline GAAP loss of USD 2.16 a share reflects a USD 12.5 billion non-cash charge on shares held in escrow for the government under the Secure Enclave agreement, not operating deterioration.</p>
<p><b>A stock run in a once-in-a-generation sector rally</b><br />
Intel shares have gained about 175% in 2026 and have roughly quintupled since last August. That is a comfortable win over both AMD and Nvidia, and over the Philadelphia Semiconductor Index, which is up around 75% for the year.</p>
<p>The sector backdrop has been extraordinary. The SOX index rose 101% in the first half of 2026, its best half since 1999, after an 87.8% second quarter that was the largest quarterly gain in records going back to 1994. By comparison the Nasdaq Composite added 12.8% and the S&amp;P 500 9.6% over the same six months.</p>
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<div>Memory led, with SanDisk up more than 700% and Micron around 300%. Intel gained 257% by the end of June. Nvidia, oddly, was near the bottom of the index with single-digit gains as money rotated out of the obvious AI winners and into the infrastructure behind them.</p>
<p>That rotation cut both ways. The index fell 19% from its record high during July, Intel gave back close to a third from a peak of USD 142.35, and Marvell dropped 40% from its own high.</p>
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<div>Sector forward earnings multiples of around 26 times sit well above the ten-year average. Tuesday&#8217;s raise, priced at a modest discount into a hot book, looks very much like a management team taking the money while it is on the table.</p>
<p><b>Can Intel actually take on TSMC</b><br />
Not on current form, and the gap is not close.</p>
<p>TSMC held 72.3% of the global foundry market in the first quarter of 2026, up from 70.4% the quarter before, on USD 35.86 billion of revenue. Samsung was second with 6.5% and SMIC third with 5.1%.</p>
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<div>Intel does not feature in the top ten by external foundry revenue at all. TSMC made USD 122.4 billion in 2025, serves more than 500 customers across some 12,000 products, and is spending USD 52 billion to USD 56 billion this year. Intel&#8217;s 2026 capex guidance, raised in July from USD 18 billion, is USD 20 billion.</div>
<div><img loading="lazy" decoding="async" class="alignright size-full wp-image-57620" src="https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-3.webp" alt="Intel Graph" width="1000" height="549" srcset="https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-3.webp 1000w, https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-3-300x165.webp 300w, https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-3-768x422.webp 768w, https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-3-960x527.webp 960w, https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-3-729x400.webp 729w, https://internationalfinance.com/wp-content/uploads/2026/08/intel-graph-3-585x321.webp 585w" sizes="auto, (max-width: 1000px) 100vw, 1000px" /><br />
Scale is only part of it. A foundry sells trust, design kits, verified IP libraries and predictable yields as much as it sells wafers, and TSMC has spent nearly forty years building that. Intel is still assembling the 14A design kit, with version 0.9 the release at which customers commit real volume.</p>
<p>There are genuine reasons to take Intel seriously. 18A is in high-volume manufacturing using High-NA EUV lithography, ahead of TSMC on that equipment. Yields have been improving at around 7% to 8% a month.</p>
<div></div>
<div>Intel has ten long-term agreements signed, a named customer in Fortinet, a custom silicon business running at roughly USD 2 billion annually, and it is supply constrained rather than demand constrained.</div>
<div></div>
<div>On timing, 14A volume production in 2028 lines up against TSMC&#8217;s A14 in the same year.</p>
<p>The realistic prize is not leadership. It is becoming the credible second source for leading-edge logic, in the United States, for customers who want an alternative to a single Taiwanese supplier.</p></div>
<div></div>
<div>That is a large and defensible business. Whether USD 20 billion buys it is the question the next three years will answer.</div>
</div>
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</div>
<p>The post <a href="https://internationalfinance.com/technology/if-insights-intels-usd-20-billion-bet-on-becoming-americas-foundry/">IF Insights: Intel&#8217;s USD 20 billion bet on becoming America&#8217;s foundry</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
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		<title>X kills revenue sharing, to start paying only for work you actually made</title>
		<link>https://internationalfinance.com/technology/x-kills-revenue-sharing-to-start-paying-only-for-work-you-actually-made/#utm_source=rss&#038;utm_medium=rss&#038;utm_campaign=x-kills-revenue-sharing-to-start-paying-only-for-work-you-actually-made</link>
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		<dc:creator><![CDATA[International Finance Business Desk]]></dc:creator>
		<pubDate>Tue, 11 Aug 2026 04:00:56 +0000</pubDate>
				<category><![CDATA[Featured]]></category>
		<category><![CDATA[Technology]]></category>
		<category><![CDATA[Allegra Jacchia]]></category>
		<category><![CDATA[Creator Revenue Sharing]]></category>
		<category><![CDATA[Creator Studio]]></category>
		<category><![CDATA[Nikita Bier]]></category>
		<category><![CDATA[Original Content Rewards Programme]]></category>
		<category><![CDATA[Revenue Sharing]]></category>
		<category><![CDATA[X]]></category>
		<category><![CDATA[X Creator Revenue Sharing]]></category>
		<category><![CDATA[X Original Content Rewards Programme]]></category>
		<category><![CDATA[X Revenue Sharing]]></category>
		<guid isPermaLink="false">https://internationalfinance.com/?p=57577</guid>

					<description><![CDATA[<p>X's latest announcement landed days after Nikita Bier stepped down as head of product, a little over a year after taking the job</p>
<p>The post <a href="https://internationalfinance.com/technology/x-kills-revenue-sharing-to-start-paying-only-for-work-you-actually-made/">X kills revenue sharing, to start paying only for work you actually made</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
]]></description>
										<content:encoded><![CDATA[<div>X (formerly Twitter) has closed the programme that shaped its creator economy for three years. The platform stopped accepting new enrolments into Creator Revenue Sharing on August 7, existing members will keep earning only until September 7, and a final payment covering those earnings is due on or around September 11. Two routine payouts, on August 14 and 28, will run in between.</p>
<p>In its place sits the &#8220;Original Content Rewards Programme,&#8221; built on one blunt premise. The platform should pay for work a creator actually made.</p>
<p>The timing carries its own subplot. The announcement landed days after Nikita Bier stepped down as head of product, a little over a year after taking the job. Bier had been the public voice of X&#8217;s product changes, including its anti-spam drives, and he remains with the company as an adviser.</p>
<p><b>Why the old programme broke</b><br />
Creator Revenue Sharing launched in July 2023 and paid creators a slice of advertising revenue from ads shown in the replies under their posts. Eligibility began at 15 million impressions over three months, then dropped to five million within weeks, alongside a paid Premium subscription and at least 500 followers.</p>
<p>In November 2024 the model changed again, shifting the payout basis from reply ads to engagement from verified Premium subscribers, with X sharing a portion of subscription income rather than ad income.</p>
<p>Through every version, the metric that mattered was attention. Authorship was never part of the calculation. That gap is the whole story.</p>
<p>If a post only has to travel to earn, the cheapest way to make one is to take something that has already proved it can travel.</p>
<p>Screenshot aggregators, reply accounts parked under viral posts, clip farms reuploading other people&#8217;s videos with a watermark slapped on, threads that stitch together someone else&#8217;s reporting. All of it qualified. None of it added anything to the platform that was not already there.</p>
<p>Allegra Jacchia, who leads creator products at X, put the diagnosis plainly, saying the programme&#8217;s incentives were misaligned. Rather than bringing net new material to X, many participants were recycling other people&#8217;s work to chase a payout.</p>
<p>On the decision to scrap rather than patch, she said the company could have kept adding rules and exceptions, but that the better call was to start fresh and design a programme that rewarded originality from day one.</p>
<p><b>How the new programme works</b><br />
Under Original Content Rewards, creators earn from what X calls qualified impressions on original content, with payments issued every two weeks.</p>
<p>A qualified impression is narrow by design. It is a unique view from a subscriber to X Premium Basic, Premium, Premium Plus or Premium Business, seen in the Home Timeline, with at least half the post visible on screen.</p>
<p>Repeat views from the same account on the same post count once. Paid and promoted impressions do not count. Neither do artificially generated or fraudulent ones.</p>
<p>Originality is defined broadly but firmly. Posts and threads a creator wrote themselves qualify, as do long form articles, reporting, investigations, firsthand accounts, analysis and commentary that adds a real perspective, self shot photography and video, and original graphics, memes and illustrations.</p></div>
<div></div>
<div><b>ALSO READ | <a href="https://internationalfinance.com/magazine/technology-magazine/twitters-cybercrime-mess/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://internationalfinance.com/magazine/technology-magazine/twitters-cybercrime-mess/&amp;source=gmail&amp;ust=1786449799527000&amp;usg=AOvVaw3CWTRSMWs2EMeyz460hEc-">Twitter’s cybercrime mess</a></b></p>
<p>What fails the test is content where the creator&#8217;s contribution is minimal or absent. Text, images or video copied wholesale from other creators or downloaded from elsewhere and reuploaded does not qualify.</p>
<p>Neither does light editing, watermarking or text overlays on someone else&#8217;s material, aggregation, or thin summaries that add nothing.</p>
<p>Content created or posted by automated means is ineligible outright, and misleading posts that attract a helpful Community Note are shut out of rewards.</p>
<p>X frames the test for creators as a simple question. If the post vanished from the internet, what would be lost that only that creator supplied.</p>
<p><b>Who can join and how</b><br />
Eligibility runs on four conditions. Applicants must be 18 or over in an eligible country. They must hold an active X Premium, Premium Plus or Premium Business subscription. They need at least 500 verified followers.</p>
<p>And they need at least 500,000 &#8220;Home Timeline&#8221; impressions from verified users in the preceding 90 days, with impressions on replies excluded from that count.</p>
<p>The account must also be in good standing, with no record of repeatedly breaching X&#8217;s monetisation standards or terms of service. Anyone whose monetisation is currently paused over a policy violation cannot enrol.</p>
<p>Applications go through Creator Studio, under the Original Content Rewards section, which also shows live eligibility status.</p>
<p>X says decisions arrive within three business days. Rejected applicants get one appeal, and if that fails they can reapply after 90 days provided they still meet the criteria.</p></div>
<div><img loading="lazy" decoding="async" class="size-full wp-image-57578 aligncenter" src="https://internationalfinance.com/wp-content/uploads/2026/08/x-monetisationGgraph-1.webp" alt="X Monetisation GRAPH" width="1000" height="667" srcset="https://internationalfinance.com/wp-content/uploads/2026/08/x-monetisationGgraph-1.webp 1000w, https://internationalfinance.com/wp-content/uploads/2026/08/x-monetisationGgraph-1-300x200.webp 300w, https://internationalfinance.com/wp-content/uploads/2026/08/x-monetisationGgraph-1-768x512.webp 768w, https://internationalfinance.com/wp-content/uploads/2026/08/x-monetisationGgraph-1-480x320.webp 480w, https://internationalfinance.com/wp-content/uploads/2026/08/x-monetisationGgraph-1-280x186.webp 280w, https://internationalfinance.com/wp-content/uploads/2026/08/x-monetisationGgraph-1-960x640.webp 960w, https://internationalfinance.com/wp-content/uploads/2026/08/x-monetisationGgraph-1-600x400.webp 600w, https://internationalfinance.com/wp-content/uploads/2026/08/x-monetisationGgraph-1-585x390.webp 585w" sizes="auto, (max-width: 1000px) 100vw, 1000px" /></div>
<div>Creators who have already completed identity verification and connected a payout method will not need to repeat those steps.</p>
<p>The first payout under the new programme is scheduled for 28 August. Existing Revenue Sharing members can start applying from September 8, with access rolled out gradually, and those who enrol on or after that date receive their first payment on September 25. There is no automatic transfer between the two programmes.</p>
<p>The headline threshold looks ten times easier than the old five million impression bar. It is not. The measurement changed underneath it. Only Premium subscriber views on the &#8220;Home Timeline&#8221; count, which ties creator income directly to the size of X&#8217;s paying subscriber base.</p>
<p><b>The bot allegation, and what the evidence shows</b><br />
The sharper accusation levelled at the old programme is that automated networks used scripts to reply, like and repost at scale, inflating the numbers that triggered payouts.</p>
<p>X has effectively conceded the direction of that claim. In October 2025 the platform removed roughly 1.7 million bot accounts in a purge aimed specifically at reply spam.</p>
<p>Bier later revoked API access for so called InfoFi apps that paid users to post on X, saying they had produced a tremendous amount of AI slop and reply spam. Kaito, the best known of those services, dropped about 20% on the news.</p></div>
<div><img loading="lazy" decoding="async" class="size-full wp-image-57579 aligncenter" src="https://internationalfinance.com/wp-content/uploads/2026/08/x-monetisationGgraph-2.webp" alt="X Monetisation GRAPH" width="1000" height="667" srcset="https://internationalfinance.com/wp-content/uploads/2026/08/x-monetisationGgraph-2.webp 1000w, https://internationalfinance.com/wp-content/uploads/2026/08/x-monetisationGgraph-2-300x200.webp 300w, https://internationalfinance.com/wp-content/uploads/2026/08/x-monetisationGgraph-2-768x512.webp 768w, https://internationalfinance.com/wp-content/uploads/2026/08/x-monetisationGgraph-2-480x320.webp 480w, https://internationalfinance.com/wp-content/uploads/2026/08/x-monetisationGgraph-2-280x186.webp 280w, https://internationalfinance.com/wp-content/uploads/2026/08/x-monetisationGgraph-2-960x640.webp 960w, https://internationalfinance.com/wp-content/uploads/2026/08/x-monetisationGgraph-2-600x400.webp 600w, https://internationalfinance.com/wp-content/uploads/2026/08/x-monetisationGgraph-2-585x390.webp 585w" sizes="auto, (max-width: 1000px) 100vw, 1000px" /></div>
<div>By April 2026 Bier was going further, telling users that around 80% of crypto activity on X is bot driven and that no existing technology can fix reply spam, pointing instead to restricting who can reply at all.</p>
<p>The enforcement numbers are enormous. X&#8217;s own transparency reporting listed platform manipulation and spam as by far the largest suspension category, with 464 million accounts actioned in the first half of 2024 and roughly 336 million in the second half.</p>
<p>Independent estimates of how many accounts are automated vary wildly, and that variance matters. The most widely cited academic range puts automated accounts at 9% to 15% of the total, rising sharply inside political and entertainment conversations.</p>
<p>X has historically told regulators the figure is under 5 per cent of monetisable daily users. At the other extreme, a January 2024 analysis of 1.269 million accounts by 5th Column AI concluded as many as 64% were potentially inauthentic.</p>
<p>A 2024 study in PLOS ONE by researchers at the University of Southern California&#8217;s Information Sciences Institute found no meaningful reduction in inauthentic activity on X after the takeover, with bot driven cryptocurrency promotion apparently increasing.</p>
<p>Separate work established that monetisation flowed to the platform&#8217;s worst actors. NewsGuard found that verified accounts produced 186 of the 250 most engaged posts pushing false claims in the first week of the Israel Hamas war, about 74%, with those posts viewed more than 100 million times in seven days. Because verification was the gateway to revenue sharing, the same accounts sat inside the payout system.</p>
<p>Here is the honest limit. No public dataset quantifies how much of the payout pool automated networks captured. X has never disclosed how much it paid to accounts later found to be inauthentic, nor how much it clawed back.</p></div>
<div></div>
<div><b>ALSO READ | <a href="https://internationalfinance.com/technology/twitter-after-year-elon-musk-takeover/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://internationalfinance.com/technology/twitter-after-year-elon-musk-takeover/&amp;source=gmail&amp;ust=1786449799527000&amp;usg=AOvVaw1M94E8K0Aug_1Hf2f8zAr3">IF Insights: Twitter after a year of Elon Musk takeover </a> </b></p>
<p>Third party tallies suggest the programme paid out in the region of USD 45 million to more than 150,000 creators by early 2024, an average of a few hundred dollars each, with 2026 rates estimated at roughly USD 8 to USD 12 per million verified impressions. Against those thin margins, industrial scale farming makes sense only at volume, which is exactly what the scripts provided.</p>
<p><img loading="lazy" decoding="async" class="alignright size-full wp-image-57580" src="https://internationalfinance.com/wp-content/uploads/2026/08/x-monetisationGgraph-3.webp" alt="X Monetisation GRAPH" width="500" height="750" srcset="https://internationalfinance.com/wp-content/uploads/2026/08/x-monetisationGgraph-3.webp 500w, https://internationalfinance.com/wp-content/uploads/2026/08/x-monetisationGgraph-3-200x300.webp 200w, https://internationalfinance.com/wp-content/uploads/2026/08/x-monetisationGgraph-3-267x400.webp 267w" sizes="auto, (max-width: 500px) 100vw, 500px" />So the allegation is well supported in direction and poorly quantified in scale. That is a gap X alone can close.</p>
<p><b>What changes and what may not</b><br />
The new design attacks the supply side by refusing to pay for copied work, and Jacchia has said detection models will keep improving and the bar will keep rising.</p>
<p>The demand side is harder. Qualified impressions still depend on Premium accounts, and Premium subscriptions can be bought. A network willing to fund subscriptions can still manufacture qualifying views, at a price.</p></div>
<div>
The other open question is adjudication. Deciding what counts as meaningful commentary, at the scale of X, is a judgement call that no classifier makes cleanly, and a single appeal followed by a 90 day lockout leaves little room for error.</div>
<p>The post <a href="https://internationalfinance.com/technology/x-kills-revenue-sharing-to-start-paying-only-for-work-you-actually-made/">X kills revenue sharing, to start paying only for work you actually made</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
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		<title>PIF-led consortium seals USD 55 billion EA acquisition in gaming industry&#8217;s mega-deal</title>
		<link>https://internationalfinance.com/technology/pif-led-consortium-seals-usd-55-billion-ea-acquisition-in-gaming-industrys-mega-deal/#utm_source=rss&#038;utm_medium=rss&#038;utm_campaign=pif-led-consortium-seals-usd-55-billion-ea-acquisition-in-gaming-industrys-mega-deal</link>
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		<dc:creator><![CDATA[International Finance Business Desk]]></dc:creator>
		<pubDate>Fri, 07 Aug 2026 01:00:05 +0000</pubDate>
				<category><![CDATA[Featured]]></category>
		<category><![CDATA[Technology]]></category>
		<category><![CDATA[Affinity Partners]]></category>
		<category><![CDATA[Battlefield]]></category>
		<category><![CDATA[EA]]></category>
		<category><![CDATA[EA Sports FC]]></category>
		<category><![CDATA[Electronic Arts]]></category>
		<category><![CDATA[fifa]]></category>
		<category><![CDATA[Jared Kushner]]></category>
		<category><![CDATA[PIF]]></category>
		<category><![CDATA[Public Investment Fund]]></category>
		<category><![CDATA[Silver Lake]]></category>
		<category><![CDATA[The Sims]]></category>
		<guid isPermaLink="false">https://internationalfinance.com/?p=57501</guid>

					<description><![CDATA[<p>The consortium includes Affinity Partners, the private equity firm founded by Jared Kushner, as well as technology-focused investment firm Silver Lake</p>
<p>The post <a href="https://internationalfinance.com/technology/pif-led-consortium-seals-usd-55-billion-ea-acquisition-in-gaming-industrys-mega-deal/">PIF-led consortium seals USD 55 billion EA acquisition in gaming industry&#8217;s mega-deal</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
]]></description>
										<content:encoded><![CDATA[<p>A consortium led by Saudi Arabia&#8217;s Public Investment Fund (PIF) has completed its USD 55 billion (41 billion euro) acquisition of Electronic Arts (EA), taking the video game publisher private in one of the largest leveraged buyouts in corporate history.</p>
<p>The deal, which received final regulatory approval from the European Union (EU) last week, marked the end of EA&#8217;s 36-year history as a publicly traded company.</p>
<p>The investor group includes Affinity Partners, the private equity firm founded by Jared Kushner, son-in-law of United States President Donald Trump, as well as technology-focused investment firm Silver Lake.</p>
<p>As per the reports, the deal went through in two parts. While investors came together to snap up stakes worth around USD 36 billion during the sale, the remaining approximate USD 20 billion was being covered by a loan taken against EA. The deal also became one of the largest leveraged buyouts in history because of this unique move.</p>
<p>In simple terms, EA now has a debt of USD 20 billion on its back that it needs to pay back. Analysts expect aggressive cost-cutting and equally intensive monetisation efforts in EA&#8217;s already well-monetised projects.</p>
<div></div>
<div><b>ALSO READ | <a href="https://internationalfinance.com/commodity/if-insights-saudi-arabias-grand-pivot-from-oil-minerals-under-vision/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://internationalfinance.com/commodity/if-insights-saudi-arabias-grand-pivot-from-oil-minerals-under-vision/&amp;source=gmail&amp;ust=1786113711677000&amp;usg=AOvVaw1T0afjhUkekP-6BjmU5w6j">IF Insights: Saudi Arabia’s grand pivot from oil to minerals under Vision 2030</a><br />
</b><br />
California-based EA is best known for blockbuster franchises, including EA Sports FC, formerly known as FIFA; The Sims; Battlefield; and Mass Effect. Chief executive Andrew Wilson will remain in charge after the transaction.</p>
<p>The acquisition is being viewed as Saudi Arabia&#8217;s boldest move yet into the global gaming industry as the Kingdom seeks to diversify its economy under its &#8220;Vision 2030&#8221; programme. Gaming and esports have emerged as strategic priorities for the sovereign wealth fund, which manages more than USD 900 billion in assets.</p>
<p>Saudi Arabia has invested heavily in the sector in recent years, launching Savvy Gaming Group, hosting major esports tournaments in Riyadh and preparing to stage the inaugural &#8220;Olympic Esports Games&#8221; in 2027.</p>
<p>In terms of investing in sports-related entities, PIF is not new to the arena. In October 2021, the sovereign investment fund bought 80% stakes (300 million pounds) in British football club Newcastle United.</p>
<p>And now the EA deal becomes the second-biggest acquisition in gaming history, after Microsoft&#8217;s USD 69 billion purchase of Activision Blizzard, the company behind &#8220;Call of Duty.&#8221;</p>
<p>Wilson, talking about the development, said that EA would now be focusing on creating &#8220;transformative experiences to inspire generations to come.&#8221;</p></div>
<div></div>
<div><b>ALSO READ | <a href="https://internationalfinance.com/finance/saudi-vision-giga-projects-top-usd-trillion-fitch/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://internationalfinance.com/finance/saudi-vision-giga-projects-top-usd-trillion-fitch/&amp;source=gmail&amp;ust=1786113711677000&amp;usg=AOvVaw27a1cA68t1GUDGo2s82DJ5">Saudi Vision 2030 giga projects to top USD 1 trillion: Fitch</a></b></p>
<p>&#8220;I am more energized than ever about the future we are building. Together, we’ll invest boldly, accelerate innovation, and build the next generation of games and experiences for the hundreds of millions of players and fans who inspire us every day,&#8221; he said further.</p>
<p>Industry analysts estimate that the transaction is the largest leveraged buyout on record. Reports suggest that, alongside the consortium&#8217;s equity contribution, around USD 20 billion has been financed through debt, raising questions about the long-term impact on EA&#8217;s operations.</p>
<p>Analysts have warned that private equity ownership could increase pressure to cut costs, accelerate monetisation and focus on established franchises. EA has already undergone significant restructuring, laying off about 5% of its workforce in 2024 and eliminating several hundred additional jobs earlier 2026.</p></div>
<div></div>
<div><b>ALSO READ | <a href="https://internationalfinance.com/islamic-banking/saudis-islamic-banking-continues-to-expand-due-to-vision-2030-says-sp/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://internationalfinance.com/islamic-banking/saudis-islamic-banking-continues-to-expand-due-to-vision-2030-says-sp/&amp;source=gmail&amp;ust=1786113711677000&amp;usg=AOvVaw1IG7FomhsMlw9hO9ihAnjN">Saudi’s Islamic banking continues to expand due to ‘Vision 2030,’ says S&amp;P</a>  </b></p>
<p>Christopher Dring, editor-in-chief of The Game Business, said private equity firms often take an aggressive approach to management, while others fear that the publisher could prioritise sequels and blockbuster franchises at the expense of experimental titles.</p>
<p>The deal has also sparked debate over Saudi Arabia&#8217;s growing influence in entertainment. Critics argue that ownership of one of gaming&#8217;s most recognisable publishers gives the kingdom significant cultural reach, while supporters see the acquisition as a long-term investment in one of the world&#8217;s fastest-growing industries.</p>
<p>For Saudi Arabia, the takeover delivers more than a profitable gaming business; it provides control of a global entertainment brand that connects with billions of players worldwide.</p>
<p>The 35-year-old gaming studio is known for its &#8220;seemingly evergreen&#8221; live-service games that get continuously updated after release.</p>
<p>Despite facing many of the industry setbacks, such as layoffs and game cancellations, in recent years, the venture still has had a strong financial performance more recently.</p>
<p>In 2025, EA generated revenue of USD 7.5 billon, and the October release of &#8220;Battlefield 6&#8221; broke franchise records with over seven million copies sold in its first three days. Despite this, more layoffs for the teams involved followed.</p>
<p>However, as per senior Bloomberg journalist Jason Schreier, EA has plans to cut costs by an insane USD 700 million.</p>
<p>&#8220;In fact, of this cost-cutting, USD 170 million will come from &#8216;organisational efficiencies,&#8217; which effectively if you translate this corporate mumbo-jumbo, means mass layoffs and perhaps even entire studios being shut down and projects being cancelled,&#8221; the scribe said in his Bluesky post.</p></div>
<p>The post <a href="https://internationalfinance.com/technology/pif-led-consortium-seals-usd-55-billion-ea-acquisition-in-gaming-industrys-mega-deal/">PIF-led consortium seals USD 55 billion EA acquisition in gaming industry&#8217;s mega-deal</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
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		<title>Apple Upgrade turns your next iPhone into a monthly lease</title>
		<link>https://internationalfinance.com/technology/apple-upgrade-turns-your-next-iphone-into-a-monthly-lease/#utm_source=rss&#038;utm_medium=rss&#038;utm_campaign=apple-upgrade-turns-your-next-iphone-into-a-monthly-lease</link>
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		<dc:creator><![CDATA[International Finance Business Desk]]></dc:creator>
		<pubDate>Thu, 06 Aug 2026 01:00:50 +0000</pubDate>
				<category><![CDATA[Featured]]></category>
		<category><![CDATA[Technology]]></category>
		<category><![CDATA[Apple]]></category>
		<category><![CDATA[Apple Leasing Programme]]></category>
		<category><![CDATA[Apple Monthly Payments]]></category>
		<category><![CDATA[Apple Upgrade]]></category>
		<category><![CDATA[Apple Watch]]></category>
		<category><![CDATA[iPad]]></category>
		<category><![CDATA[iPhone]]></category>
		<category><![CDATA[iPhone Monthly Payments]]></category>
		<category><![CDATA[Klarna]]></category>
		<category><![CDATA[MAC]]></category>
		<guid isPermaLink="false">https://internationalfinance.com/?p=57468</guid>

					<description><![CDATA[<p>As per Karen Rasmussen, VP of the Apple Store online, 'Apple Upgrade' gives customers 'a more flexible way to pay for their loved products'</p>
<p>The post <a href="https://internationalfinance.com/technology/apple-upgrade-turns-your-next-iphone-into-a-monthly-lease/">Apple Upgrade turns your next iPhone into a monthly lease</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
]]></description>
										<content:encoded><![CDATA[<p>Apple has retired one of its most familiar ways of selling the iPhone. On July 28, the company launched Apple Upgrade in the United States, a hardware leasing programme that replaces the long-running &#8220;iPhone Upgrade Program&#8221; and stretches well beyond the phone itself. Instead of buying an iPhone, iPad, Mac or Apple Watch outright, or paying it off in installments, customers can now lease the device for a fixed monthly fee, then hand it back, swap it for a newer model or buy it once the term ends.</p>
<p>The scheme is available on the Apple Store online, in the Apple Store app and at Apple Store locations across the US. The leasing itself is provided by Klarna, the buy now, pay later specialist, which runs a credit application with a soft credit check that does not affect the applicant&#8217;s credit score. There is no down payment and no upfront fee, a large part of the programme&#8217;s appeal.</p>
<p><strong><a href="https://internationalfinance.com/technology/apple-stock-tumbles-despite-strong-earnings-bucking-nasdaq-trend/">Apple is pitching</a></strong> the change as a win for flexibility. The programme gives customers &#8220;a more flexible way to pay for the products they love&#8221;, in the words of Karen Rasmussen, Apple&#8217;s vice president of the Apple Store online, announcing the launch.</p>
<p><b>How the lease works</b></p>
<p>Customers choose a 12 or 24 month lease for an iPhone or Apple Watch, or a 24 or 36 month lease for an iPad or Mac. Anyone leasing an iPhone must connect it to AT&amp;T, T-Mobile or Verizon at enrolment, although iPads, Macs and Watches can be leased without a carrier.</p>
<div><img loading="lazy" decoding="async" class="alignright size-full wp-image-57491" src="https://internationalfinance.com/wp-content/uploads/2026/08/ifm-apple-graphics-1.webp" alt="Apple Graphic" width="600" height="900" srcset="https://internationalfinance.com/wp-content/uploads/2026/08/ifm-apple-graphics-1.webp 600w, https://internationalfinance.com/wp-content/uploads/2026/08/ifm-apple-graphics-1-200x300.webp 200w, https://internationalfinance.com/wp-content/uploads/2026/08/ifm-apple-graphics-1-267x400.webp 267w, https://internationalfinance.com/wp-content/uploads/2026/08/ifm-apple-graphics-1-585x878.webp 585w" sizes="auto, (max-width: 600px) 100vw, 600px" />Trading in an existing Apple device at the start lowers the monthly payment, and Apple Card holders can earn Daily Cash on what they pay. One quirk worth noting is that a device ordered for store pickup must be collected within seven days or the lease is cancelled.</div>
<div>The crucial point is that the customer never owns the device during the term. Ownership sits with Klarna unless the customer chooses to buy the hardware when the lease expires. That is the fundamental difference from the old programme, which was structured as an instalment loan that always ended in ownership.</div>
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<div><b>Three ways out at the end</b></div>
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<div>When the term is up, there are three exits. Customers can upgrade to the latest generation of the device without an upgrade fee, purchase the device with a one-time payment covering the remaining balance, or simply return it and walk away.</div>
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<p>Upgrading early is possible too, though it attracts a charge, and Apple&#8217;s own lease terms warn that customers &#8220;may incur substantial fees&#8221; for ending the agreement before the initial term runs out.</p>
<p><b>The economics of leasing an iPhone</b></p>
<p>Monthly payments start at USD 17.99 for an iPhone and rise to USD 31.99 for the priciest models on a 24-month term. Apple Watch and iPad leases begin at USD 11.99 a month, while Macs start at USD 24.99, with high-end MacBook Pro configurations reaching the high USD 30s to USD 50s.</p>
<p>Apple&#8217;s own worked example makes the maths clear. An iPhone 17 Pro with 256GB of storage retails at USD 1,099. On a 24-month lease, the typical payment is USD 31.99 a month, which adds up to USD 767.76 over the full term.</p>
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<div>A customer who then wants to keep the phone pays a one-time residual of USD 31.24, bringing the total to exactly the USD 1,099 retail price. On a 12-month lease, the same phone costs USD 45.99 a month. All figures exclude taxes and trade-in credit.</div>
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<div><strong>ALSO READ | <a href="https://internationalfinance.com/technology/ahead-of-iphone-18-pro-launch-sensitive-apple-data-leaks-onto-dark-web/">Ahead of iPhone 18 Pro launch, sensitive Apple data leaks onto dark web</a></strong></div>
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<div>The case for leasing is strongest when it is set against instalment plans. A standard 256GB iPhone 17 costs USD 33.29 a month to buy on a 24-month instalment plan, against USD 22.99 a month to lease over the same period.</div>
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<div>That is a saving of more than USD 10 a month, or roughly USD 247 across two years. The trade-off is that after 24 months of instalments the phone is yours, while after 24 months of lease payments it is not.</div>
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<div><b>What is not in the price</b></div>
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<p>&nbsp;</p>
<p>Unlike the old iPhone Upgrade Program, Apple Upgrade does not bundle AppleCare+. Extended warranty cover must be bought separately and is billed by Apple outside the lease.</p>
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<div>That matters more than it might for a purchased phone, because a leased device has to go back in acceptable condition, and damage can trigger fees at return. Apple points out that AppleCare+ with Theft and Loss can help customers avoid those charges.</div>
<div><img loading="lazy" decoding="async" class="alignright size-full wp-image-57493" src="https://internationalfinance.com/wp-content/uploads/2026/08/ifm-apple-graphics-2.webp" alt="Apple Graphic" width="600" height="900" srcset="https://internationalfinance.com/wp-content/uploads/2026/08/ifm-apple-graphics-2.webp 600w, https://internationalfinance.com/wp-content/uploads/2026/08/ifm-apple-graphics-2-200x300.webp 200w, https://internationalfinance.com/wp-content/uploads/2026/08/ifm-apple-graphics-2-267x400.webp 267w, https://internationalfinance.com/wp-content/uploads/2026/08/ifm-apple-graphics-2-585x878.webp 585w" sizes="auto, (max-width: 600px) 100vw, 600px" />The programme also skips Apple&#8217;s entry-level hardware. The iPhone 16 and 16 Plus, Apple Watch SE, MacBook Neo, Mac mini, iPad (A16) and Studio Display are all excluded, meaning the cheapest routes into the ecosystem still require an outright purchase or instalment plan.<b>Why Apple wants you to lease</b><br />
For Apple, the logic is straightforward. Leasing converts lumpy, unpredictable hardware sales into steady recurring revenue, keeps customers on a regular upgrade rhythm and binds them more tightly to the ecosystem.</div>
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<p>Analysts have described it as the clearest signal yet that Apple is shifting towards a hardware-as-a-service model, selling ongoing access to devices rather than one-off products.</p>
<p>The timing is telling too. The launch follows price rises on some devices amid a memory chip shortage driven by the artificial intelligence boom, and iPhone prices are widely expected to climb further. A low monthly figure softens the sting of a rising sticker price.</p>
<p><b>Lease or buy</b></p>
<p>For users who upgrade every year or two anyway, Apple Upgrade is genuinely attractive. Payments are lower than instalments, nothing is owed upfront, and swapping to the newest model becomes routine.</p>
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<div>For those who keep a phone for four or five years, the sums point the other way, since buying and holding remains the cheaper path and leaves an asset to trade in or resell.</div>
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<div>Personal finance experts are more cautious. Thad Hwang, founder and chief executive of budget carrier Goji Mobile, told Yahoo Finance that buying outright remains the best move for anyone who can afford it, though he acknowledged that most people do not have a spare $1,000 sitting around and called Apple&#8217;s structure unusual for combining no money down, 0% financing and a lump-sum final payment.</div>
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<p>&nbsp;</p>
<p>Stoy Hall, a certified financial planner in Iowa, told the same outlet that the real risk is not any single payment but &#8220;what happens when that gets stacked on top of the car payment&#8221;, streaming services, buy now, pay later purchases and the other small monthly charges people barely notice.</p>
<p>Their caution is worth heeding, since fees for damage or cancellation and a separate AppleCare+ subscription can quietly erode the savings. As with any lease, the monthly figure is the headline, but the total cost of ownership is the story.</p>
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<p>The post <a href="https://internationalfinance.com/technology/apple-upgrade-turns-your-next-iphone-into-a-monthly-lease/">Apple Upgrade turns your next iPhone into a monthly lease</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
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		<title>Europe’s drone rush: Ukraine war changes continent&#8217;s war playbook</title>
		<link>https://internationalfinance.com/technology/europes-drone-rush-ukraine-war-changes-continents-war-playbook/#utm_source=rss&#038;utm_medium=rss&#038;utm_campaign=europes-drone-rush-ukraine-war-changes-continents-war-playbook</link>
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		<dc:creator><![CDATA[International Finance Business Desk]]></dc:creator>
		<pubDate>Wed, 05 Aug 2026 01:00:09 +0000</pubDate>
				<category><![CDATA[Featured]]></category>
		<category><![CDATA[Technology]]></category>
		<category><![CDATA[Auterion]]></category>
		<category><![CDATA[Autonomous Drones]]></category>
		<category><![CDATA[Defence Investment Plan]]></category>
		<category><![CDATA[drone]]></category>
		<category><![CDATA[Drone Warfare]]></category>
		<category><![CDATA[Europe Drone Warfare]]></category>
		<category><![CDATA[Helsing]]></category>
		<category><![CDATA[NATO]]></category>
		<category><![CDATA[NATO Innovation Fund]]></category>
		<category><![CDATA[Quantum Systems]]></category>
		<category><![CDATA[Ukraine War]]></category>
		<guid isPermaLink="false">https://internationalfinance.com/?p=57444</guid>

					<description><![CDATA[<p>In July 2026, NATO unveiled a multi-billion dollar drone initiative, while UK and Germany announced dedicated capital on the drone warfare front</p>
<p>The post <a href="https://internationalfinance.com/technology/europes-drone-rush-ukraine-war-changes-continents-war-playbook/">Europe’s drone rush: Ukraine war changes continent&#8217;s war playbook</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
]]></description>
										<content:encoded><![CDATA[<p>Three years ago, most European venture capitalists would not take a meeting about weapons technology. Today, defence is arguably the hottest vertical on the continent’s cap tables, and no category within it is drawing more capital, policy attention, or industrial urgency than drones.</p>
<p>In the space of roughly two weeks in July 2026, NATO unveiled a multi-billion dollar drone initiative, the United Kingdom committed billions of pounds to drone and counter-drone systems, Germany moved to fund 50,000 drones bound for Ukraine, and Munich-based Helsing closed a funding round that valued the company at USD 18 billion.</p>
<p>Taken individually, each is a notable headline. Taken together, they mark a structural shift in how Europe thinks about defence – and where it is putting its money.</p>
<p><b>From battlefield lesson to procurement line item</b><br />
The proximate cause is straightforward: war has changed, and Europe has been watching it happen next door. Russia’s invasion of Ukraine, combined with Iran’s use of inexpensive Shahed-type drones in Middle East conflicts, has demonstrated that cheap, AI-enabled unmanned systems can extend the reach of conventional forces, gather intelligence continuously, and increasingly operate with minimal human input.</p>
<p>NATO Secretary General Mark Rutte has framed this shift starkly, saying the alliance must become &#8220;drone-ready,&#8221; and describing drones as a decisive factor in the character of modern warfare. Allies have now committed to investing more than $40 billion in counter-drone capabilities over five years under that initiative.</p>
<p>The United Kingdom’s five billion pound &#8220;drone transformation&#8221; programme, part of its &#8220;Defence Investment Plan&#8221; published in late June, follows the same logic: Cheap, attritable, software-defined systems are being treated not as a niche capability but as a core pillar of force structure.</p>
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<p><b>ALSO READ | <a href="https://internationalfinance.com/markets/europes-defence-boom-turns-tanks-and-drones-into-stock-markets-favourite-trade/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://internationalfinance.com/markets/europes-defence-boom-turns-tanks-and-drones-into-stock-markets-favourite-trade/&amp;source=gmail&amp;ust=1785922236242000&amp;usg=AOvVaw3P4MFHlzv4W_USxxkkcBY6">Europe’s defence boom turns tanks and drones into stock markets’ favourite trade </a> </b></p>
<p><img loading="lazy" decoding="async" class="alignright size-full wp-image-57445" src="https://internationalfinance.com/wp-content/uploads/2026/08/ifm-europes-drone-rush-1.webp" alt="Europe’s drone rush" width="440" height="320" srcset="https://internationalfinance.com/wp-content/uploads/2026/08/ifm-europes-drone-rush-1.webp 440w, https://internationalfinance.com/wp-content/uploads/2026/08/ifm-europes-drone-rush-1-300x218.webp 300w" sizes="auto, (max-width: 440px) 100vw, 440px" />Germany’s decision to fund 50,000 drones for Ukraine – a 90-million-euro order built around operating software from Zurich-based Auterion and hardware from Ukrainian manufacturer Skyfall – illustrates how quickly procurement cycles are compressing when the underlying technology is proven in combat rather than in a lab.</p>
<p>Auterion CEO Lorenz Meier has pointed to something analysts increasingly echo: This is the first major conflict fought at a moment when drones were mature enough to matter at scale, and the software layer – not just the airframe – is what determines whether a drone survives contact with electronic jamming.</p>
<p>Auterion’s operating system is designed to keep drones locked onto a target even when a signal is being jammed, and the company is building tools to let one operator direct coordinated swarms rather than piloting aircraft individually. That is a meaningful shift for the underlying economics of the sector: Value is migrating from the physical airframe towards the code and sensor fusion that make it useful.</p>
<p><b>The money behind the shift</b><br />
The scale of capital now moving into this space is difficult to overstate. Core defence spending among European NATO members has roughly doubled since 2019, and under NATO’s new 3.5% of GDP target agreed at the 2025 Hague summit, McKinsey estimates European defence outlays could approach 800 billion euro by 2030 – around 2.9% of GDP.</p>
<p>Public markets have already priced in much of that shift: An equally weighted index of large, listed European defence companies has returned roughly 400% since 2022, with most of that outperformance concentrated since early 2025.</p>
<p>Venture capital has followed. According to Dealroom data cited in industry analysis, European defence, security, and resilience startups raised roughly USD 8.7 billion in 2025 – up 55% year-over-year, and nearly four times the level of five years earlier.</p>
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<div><b>ALSO READ | <a href="http://goog_1956416694/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=http://goog_1956416694&amp;source=gmail&amp;ust=1785922236242000&amp;usg=AOvVaw3sfns9HwoqVe7BBM-yIDAz">Wingman drones and the rise of the AI-powered fighter escort </a></b><a href="http:" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=http:///&amp;source=gmail&amp;ust=1785922236242000&amp;usg=AOvVaw03gFqyitOq0MlrIljblnGt"><br />
</a><br />
<img loading="lazy" decoding="async" class="size-full wp-image-57446 alignleft" src="https://internationalfinance.com/wp-content/uploads/2026/08/ifm-europes-drone-rush-2.webp" alt="Europe’s drone rush" width="440" height="320" srcset="https://internationalfinance.com/wp-content/uploads/2026/08/ifm-europes-drone-rush-2.webp 440w, https://internationalfinance.com/wp-content/uploads/2026/08/ifm-europes-drone-rush-2-300x218.webp 300w" sizes="auto, (max-width: 440px) 100vw, 440px" />Defence now accounts for close to 10% of all European VC funding, up from under 1% before 2020, and about a third of European deep-tech funding overall. McKinsey’s own analysis found that investment in European defence-tech startups rose more than 500% between 2021 and 2024 compared with the preceding three years.Autonomous systems – drones chief among them – are the single largest draw within that pool of capital, alongside situational awareness, intelligence and reconnaissance technology, and space systems, which together absorbed roughly 44% of 2025’s defence-tech funding by some estimates.</p>
<p>Helsing’s new valuation, reached in an oversubscribed round led by US investors Dragoneer and Lightspeed, cements it as Europe&#8217;s best-capitalised pure-play defence-tech company; peers such as Munich-based Quantum Systems and Portugal’s Tekever have also reached unicorn status on the strength of drones and reconnaissance systems that have been tested in Ukraine and are now moving into NATO procurement pipelines.</p>
<p><img loading="lazy" decoding="async" class="alignright size-full wp-image-57447" src="https://internationalfinance.com/wp-content/uploads/2026/08/ifm-europes-drone-rush-3.webp" alt="Europe’s drone rush" width="440" height="320" srcset="https://internationalfinance.com/wp-content/uploads/2026/08/ifm-europes-drone-rush-3.webp 440w, https://internationalfinance.com/wp-content/uploads/2026/08/ifm-europes-drone-rush-3-300x218.webp 300w" sizes="auto, (max-width: 440px) 100vw, 440px" />Globally, the military drone market itself is sizable and growing, though estimates vary by methodology: Industry forecasts from firms such as MarketsandMarkets and Fortune Business Insights put the sector in the range of USD 15–USD 22 billion by 2030, while broader &#8220;drone warfare&#8221; market definitions that include counter-drone and swarm technology run considerably higher.</p>
<p>What most forecasts agree on is the growth driver: AI-enabled autonomy and battery-powered small systems are the fastest-growing segments, a trend that maps closely onto what has proven effective in Ukraine.</p>
<p><b>Beyond the airframe: where the real opportunity sits</b><br />
Morningstar analyst Loredana Muharremi has described the direction of travel as a &#8220;layered battlefield,&#8221; in which a single platform like a tank no longer just fires shells but launches its own drones, receives live targeting data from satellites and other unmanned aircraft, and operates as one node in a networked force.</p>
<p>That vision has direct implications for where investors and corporate strategists are placing bets: The opportunity extends well beyond companies that physically build drones into the ecosystem that lets them operate together – secure communications, battle-management software, artificial intelligence, satellite-based sensing, and electronic warfare.</p>
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<p><b>ALSO READ | <a href="https://internationalfinance.com/economy/can-britains-298-billion-pound-defence-investment-plan-keep-the-country-safe/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://internationalfinance.com/economy/can-britains-298-billion-pound-defence-investment-plan-keep-the-country-safe/&amp;source=gmail&amp;ust=1785922236242000&amp;usg=AOvVaw1fHg8hlXS0SEehvLS1rHts">Can Britain’s 298 billion pound ‘Defence Investment Plan’ keep the country safe? </a> </b></p>
<p>That is also, notably, where much of the structural risk in Europe’s defence-tech boom sits. Despite the surge in funding, American investors still supply a large share of the capital flowing into European defence-tech – estimates from multiple analyses put the US share of late-stage rounds at roughly 40%-65%, and the United States still generates several times more venture deal volume in defence than Europe does.</p>
<p><img loading="lazy" decoding="async" class="size-full wp-image-57448 alignleft" src="https://internationalfinance.com/wp-content/uploads/2026/08/ifm-europes-drone-rush-4.webp" alt="Europe’s drone rush" width="440" height="320" srcset="https://internationalfinance.com/wp-content/uploads/2026/08/ifm-europes-drone-rush-4.webp 440w, https://internationalfinance.com/wp-content/uploads/2026/08/ifm-europes-drone-rush-4-300x218.webp 300w" sizes="auto, (max-width: 440px) 100vw, 440px" />Helsing&#8217;s own funding round, while framed as a milestone for European defence sovereignty, was led by US firms even as the company remains majority European-owned. European public R&amp;D spending on defence – around USD 40 billion between 2020 and 2024, according to comparisons cited in recent industry analysis – remains a fraction of the roughly USD 520 billion the US spent over the same period.</p>
<p>There are also structural bottlenecks that money alone does not solve. Europe’s defence procurement processes are frequently criticised as slow, fragmented across 27-plus national systems, and poorly matched to the iterative pace at which venture-backed startups want to build and ship hardware.</p>
<p>Exit paths remain narrow: With essentially no defence-tech IPOs in Europe in 2025, acquisition by an established prime contractor – the likes of Airbus, BAE Systems, Rheinmetall, Thales, or Leonardo – is, for now, the dominant route to liquidity for founders and their investors.</p>
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<p>That is reshaping the competitive landscape into one where nimble software-and-autonomy startups increasingly partner with, rather than displace, the continent’s traditional industrial primes.</p>
<p><b>New hubs, new winners</b><br />
<img loading="lazy" decoding="async" class="size-full wp-image-57449 alignright" src="https://internationalfinance.com/wp-content/uploads/2026/08/ifm-europes-drone-rush-5.webp" alt="Europe’s drone rush" width="440" height="320" srcset="https://internationalfinance.com/wp-content/uploads/2026/08/ifm-europes-drone-rush-5.webp 440w, https://internationalfinance.com/wp-content/uploads/2026/08/ifm-europes-drone-rush-5-300x218.webp 300w" sizes="auto, (max-width: 440px) 100vw, 440px" />The geography of this boom is also shifting. Munich has emerged as one of the fastest-growing defence-tech clusters in Europe, drawing on the region’s automotive supply-chain expertise for precision manufacturing of drone frames and space hardware. The UK holds five of Europe’s Top 10 defence-tech funding hubs, including Oxford, London, and Cambridge, while Germany’s strength is concentrated in Munich.</p>
<p>Second-tier hubs in Poland and the Baltic states are producing a high volume of early-stage deals, though founders there still typically travel to London or Berlin when they need the larger checks required to build at factory scale.</p>
<p>Institutional structures are adapting alongside the capital. The &#8220;NATO Innovation Fund,&#8221; a vehicle backed by two dozen allied governments, has reviewed well over a thousand startup applications and selected several dozen for investment and support through its DIANA accelerator programme.</p>
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<p><b>ALSO READ | <a href="https://internationalfinance.com/technology/european-defence-company-destinus-tests-deep-strike-system-ruta-block/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://internationalfinance.com/technology/european-defence-company-destinus-tests-deep-strike-system-ruta-block/&amp;source=gmail&amp;ust=1785922236242000&amp;usg=AOvVaw3o2TbJqW4Do1c-qLB4wJOs">European defence company Destinus tests deep-strike system Ruta Block 2</a></b></p>
<p>National initiatives are following a similar model: Ukraine’s Brave1 platform channels funding and battlefield feedback directly to drone makers, while a new EU pilot scheme called AGILE aims to issue smaller grants to startups solving urgent operational problems within months rather than years – a modest sum by industry standards, but one designed to fix the slow ‘middle’ of the funding pipeline between early research grants and late-stage growth capital.</p>
<p><b>The business case, in short</b><br />
For corporate strategists and investors, the drone boom is best understood not as a bet on aircraft but as a bet on three converging trends: The militarisation of low-cost autonomy, the software-ification of the battlefield, and a generational reset in how much European governments are willing to spend on defence.</p>
<p>Companies with genuine technical depth in AI-driven autonomy, resilient communications, sensor fusion and electronic warfare are positioned to capture disproportionate value relative to those making airframes alone – a dynamic already visible in how capital has concentrated around software-centric players like Helsing and Auterion rather than pure hardware manufacturers.</p>
<p>The risk, for now, is less about demand – which appears firmly secured by NATO’s spending targets and by the operational lessons of Ukraine – and more about execution: Whether Europe’s procurement bureaucracies, capital markets and industrial base can absorb this money fast enough to build genuine strategic depth, rather than simply bidding up valuations on a narrow set of already-prominent companies.</p>
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<div>How that plays out over the next two to three years will determine whether this moment is remembered as the point Europe built a durable defence-tech industry, or merely a very well-funded one.</div>
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<p>The post <a href="https://internationalfinance.com/technology/europes-drone-rush-ukraine-war-changes-continents-war-playbook/">Europe’s drone rush: Ukraine war changes continent&#8217;s war playbook</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
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		<title>Apple stock tumbles despite strong earnings, bucking Nasdaq trend</title>
		<link>https://internationalfinance.com/technology/apple-stock-tumbles-despite-strong-earnings-bucking-nasdaq-trend/#utm_source=rss&#038;utm_medium=rss&#038;utm_campaign=apple-stock-tumbles-despite-strong-earnings-bucking-nasdaq-trend</link>
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		<dc:creator><![CDATA[International Finance Business Desk]]></dc:creator>
		<pubDate>Tue, 04 Aug 2026 00:00:13 +0000</pubDate>
				<category><![CDATA[Featured]]></category>
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					<description><![CDATA[<p>The iPhone maker has issued a disappointing forecast that showed the company struggling to secure enough components amid the ongoing chip shortage</p>
<p>The post <a href="https://internationalfinance.com/technology/apple-stock-tumbles-despite-strong-earnings-bucking-nasdaq-trend/">Apple stock tumbles despite strong earnings, bucking Nasdaq trend</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
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										<content:encoded><![CDATA[<p>Despite strong iPhone demand and services revenue propelling Apple’s Q3 earnings, the tech giant&#8217;s shares have taken a southward direction. On Friday (July 31), it fell nearly 10%. On Monday (August 3), it went down by 7.35%.</p>
<p>The development has defied the overall Nasdaq trends, in which the shares of Apple&#8217;s industry peers like Nvidia, Microsoft, and Amazon have remained in the green zone.</p>
<p>Apple&#8217;s stock downfall came after the iPhone maker issued a disappointing forecast that showed the company struggling to secure enough components as the AI-driven data center boom strains global supply chains.</p>
<p>The drop, if it continues, may end up marking the stock&#8217;s worst time since the pandemic-driven selloff in March ‌2020. It would even erase nearly USD 500 billion from Apple&#8217;s market capitalization and return the crown of the world&#8217;s most valuable company to Nvidia. Apple reclaimed the title in the final week of July.</p>
<p>By July 27, Apple&#8217;s valuation stood near USD 4.9 trillion, while for Nvidia, the ratio was around USD 4.77 to USD 4.9 trillion. However, it was the highest among the AI chip makers. Google parent Alphabet came third with over USD 4.3 trillion, holding a major share in tech and search.</p>
<p>At least four brokerages cut their targets for the company&#8217;s stock price, while three raised them. That moved the median view to USD 330, which is USD 3 lower than the last closing price, according to LSEG data. The stock is witnessing the correction after rising 22.7% in 2026.</p>
<p>Talking about Apple&#8217;s latest earnings data, the iPhone maker, in its Q2, saw record-breaking numbers, as strong iPhone demand and revenue from its services were enough to address the global memory chip supply constraints to some extent. </p>
<p>Revenues stood at USD 109.4 billion—up 16% compared to 2025. Net profits, on the other hand, came in at USD 29.8 billion, which is a 27% lift from Q3, 2025.</p>
<p>On iPhones&#8217; demand front, revenues reached USD 54.2 billion for the three-month period ending on June 27, 2026. The figure represents a 21% rise compared to the same time in 2025.</p>
<p>The services division, which covers Apple&#8217;s R&#038;D activities on fronts like digital content, cloud, financial, and advertising, among others, continued its rise and hit the USD 30.7 billion mark. The tech giant also revealed having 1.5 billion paid subscriptions across its platforms.</p>
<p>Mac revenues saw a healthy 29% jump to USD 10.3 billion, while iPad sales were slightly down to USD 6.2 billion. The wearables, home, and accessories division saw a slight 7% bump up to USD 7.9 billion.</p>
<p>However, despite record-breaking numbers, component shortages, especially on the chip, are now weighing big time on the tech giant&#8217;s stock performance on the Nasdaq.</p>
<p>Outgoing CEO Tim Cook, often considered in the tech circle as a supply-chain genius, called the shortages &#8220;very significant.&#8221; His next prediction was grimmer, as he stated that Apple had limited options to address the issue. All eyes will be on John Ternus, who takes over the leadership reigns in September.</p>
<p>The primary reason behind the chip shortage is the Big Tech&#8217;s bid to scoop up advanced semiconductor-making capacity to power its AI data centers, sparking shortages and price increases that are expected to shrink both the personal computer and smartphone markets in 2026.</p>
<p>While Apple had cushioned some of the blow from surging memory costs by falling back on its stockpiled inventory, Cook said that the buffer was fading and shortages of processors were keeping it from meeting strong demand.</p>
<p>While Wall Street was estimating 12% revenue growth for Apple in Q3, the company now sees the ratio to stay between 9% and 11%, falling short of the analysts&#8217; estimates.</p>
<p>The weakness in Apple&#8217;s services division has further worried investors, as it came during a stretch of strong iPhone sales, which typically feed the business that takes a cut of App Store purchases and includes everything from Apple Music to Apple TV.</p>
<p>Analysts see the slowdown deepening further if iPhone sales take a hit from a price increase that may arrive along with the launch of its new lineup in September.</p>
<p>&#8220;Apple&#8217;s ⁠leverage over the supply chain appears to be in question, and it&#8217;s not clear that AI is serving as any measurable tailwind to products or services, with its future monetization impact still uncertain. In fact, one could argue App Store softness might even be ⁠a result of AI re-prioritizing customer time,&#8221; Morgan Stanley analysts said.</p>
<p>Still, a section of the analysts has backed Apple to overcome the crisis. In the past, iPhones have weathered price hikes before without denting demand significantly. Also, they pointed out the recent US leasing deal with fintech Klarna to offer monthly plans for Apple&#8217;s devices, which could soften the ⁠blow to some extent.</p>
<p>The post <a href="https://internationalfinance.com/technology/apple-stock-tumbles-despite-strong-earnings-bucking-nasdaq-trend/">Apple stock tumbles despite strong earnings, bucking Nasdaq trend</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
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