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Call Of Duty's Secret To Player Retention: Activision's Latest Study Exposes All - Microsoft (NASDAQ:MSFT) 2024-07-30 19:27:00+00:00 - Microsoft Corp.‘s MSFT Activision has released a detailed study examining the effects of skill-based matchmaking (SBMM) in Call of Duty: Modern Warfare 3, revealing that adjusting the algorithm significantly impacts player retention. The Experiment: Testing Reduced SBMM Earlier this year, Activision conducted a “deprioritize skill test” in which the importance of skill in matchmaking was reduced but not entirely eliminated, IGN reported. See Also: Activision Opens Up About Skill-Based Matchmaking In Call Of Duty For two weeks, 50% of the North American player base experienced this modified algorithm. The results were clear: “With deprioritized skill, returning player rate was down significantly for 90% of players,” according to the white paper. Although the top 10% of highly skilled players returned in greater numbers, the overall player base saw a decline. The Mechanics Of Matchmaking Call of Duty’s current matchmaking system prioritizes several factors, including player connection quality and match entry time. Skill, platform, recent maps and modes, and other variables are also considered. Skill levels are recalculated after every match based on metrics like total kills, kill/death ratios, and interactions with enemies. This system aims to provide a balanced experience while quickly adapting to player performance changes. The Consequences Of Lowering SBMM The study indicates that reducing SBMM’s influence leads to fewer players returning to the game. This decline, while small in percentage terms, is significant given the game’s large player base. If this trend continued, lower-skilled players would leave at higher rates, leaving only higher-skilled players. This shift would eventually cause mid-level players to become the new lowest-skilled group, leading to their drop-off and negatively affecting overall player retention. The paper also highlights that a similar survey, where skill constraints were tightened, yielded opposite results. Lower-skilled players returned more frequently, while higher-skilled players dropped off. Matches without strong SBMM saw an increase in “blowouts” (lopsided matches), which most players find less enjoyable. Lower-skilled players also experienced lower kill-per-minute rates, indicating less engagement. Player Reactions And Ongoing Debate The community response to the study has been mixed. Some players argue that the current algorithm recalculates skill too aggressively, suggesting that a win/loss-based system might be more effective. Others believe that the game’s focus should be on creating a balanced experience where players win and lose an equal amount over time. Despite the controversy, Activision’s stance is to keep more players engaged for longer periods. Read Next:
Trump Invitation to Conference for Black Journalists Sets Off Intense Debate 2024-07-30 19:25:12+00:00 - A scheduled appearance by former President Donald J. Trump at a conference for Black journalists in Chicago has generated fierce debate. The National Association of Black Journalists, which is hosting the conference, announced on Monday that Mr. Trump would take part in a question-and-answer session with political reporters on Wednesday. The conference’s description says the session will “concentrate on the most pressing issues facing the Black community.” Harris Faulkner, a Fox News anchor; Kadia Goba, a politics reporter at Semafor; and Rachel Scott, an ABC News correspondent, will moderate the session. The event is expected to be live-streamed on the organization’s YouTube and Facebook pages. After the announcement of the event with Mr. Trump, a number of well-known Black journalists harshly criticized the group for arranging it, arguing that the organization was giving a platform to someone who had openly denigrated a number of reporters.
Royal Mail’s app lets customers detect counterfeit stamps 2024-07-30 19:15:00+00:00 - Royal Mail has launched a scanner tool in its app that lets customers check if a stamp is counterfeit. Following a row over £5 “fines” being levied on people who received a letter carrying an allegedly fake stamp, Royal Mail has also announced a new independent arbitrator to settle disputes about whether a stamp is genuine or not. Since the start of August last year, only new stamps with scannable barcodes have been valid for postage. In the months that followed, people who received letters were forced to pay a £5 penalty fee in cases where Royal Mail suspected that a counterfeit stamp had been used by the sender. Some customers whose letters were affected claimed that the stamps used were bought from Post Office branches, reputable retailers, or even Royal Mail’s own website. There have also been claims that realistic fake stamps mass-produced in China are being sold online and bought unwittingly by the public and smaller retailers. With the row gathering momentum, Royal Mail suspended the £5 penalty charges in April and said on Tuesday that it would “extend the pause” on the collection of the fee for those receiving letters carrying counterfeit stamps. It has also added a new scanner to its free-to-use app that will enable people to check if a stamp is a known fake, thereby preventing them from “inadvertently becoming victims of fraud”. Once the barcode on the stamp is scanned, the customer will be told whether or not it is counterfeit. If people did not buy their stamps from Royal Mail, a post office or another reputable outlet, they are being advised to scan them to make sure they are genuine. Meanwhile, the new independent arbitrator – an expert from the stamp dealer Stanley Gibbons – will make the final decision in cases where a surcharge is disputed by the customer and the complaint has reached deadlock. The expert will examine the stamp and his or her decision “will be fully independent of Royal Mail and the judgment binding”. The company said that since the introduction of barcoded stamps it had seen a 90% fall in use of fake stamps. It added that the “temporary” suspension of the surcharge would be kept under review. In the meantime, it will continue to slap stickers on letters if it believes the stamps used are counterfeit.
Stellantis to offer broad buyouts to U.S. salaried workers, warns of possible layoffs 2024-07-30 19:01:00+00:00 - DETROIT — Automaker Stellantis plans to once again reduce its U.S. employee headcount through a broad voluntary buyout, as the company attempts to reduce costs and boost profits. In an email to employees Tuesday morning, the company said it would offer a voluntary separation program to non-union U.S. employees at the vice president level “and below in certain functions.” The company, which reported disappointing first-half results last week, said if not enough employees participate in the buyout program, involuntary terminations could follow. The message said eligible employees will be sent an email in mid-August with instructions on how to access their individualized offers. Stellantis confirmed the buyout program, which was first by Automotive News, early Tuesday afternoon. “As Stellantis continues to address inflationary pressures and, importantly, provide consumers with affordable vehicles at the highest quality, we remain focused on taking the necessary actions to reduce our costs to protect the long term sustainability of the company,” the company said in an emailed statement. Stellantis CEO Carlos Tavares has been on a cost-cutting mission since the company was formed through a merger between Fiat Chrysler and France’s PSA Groupe in January 2021. It’s part of his “Dare Forward 2030” plan to increase profits and double revenue to 300 billion euros by 2030. The cost-saving measures have included reshaping the company’s supply chain and operations as well as earlier headcount reductions. “With our commitment to executing our Dare Forward 2030 strategy, we must continue to adapt by streamlining operations and finding efficiencies that will enhance our competitiveness to ensure our future sustainability and growth,” the company said in the email Tuesday, which was viewed and verified by CNBC. Several Stellantis executives previously described the earlier cuts to CNBC as difficult but effective. Others, who spoke on the condition of anonymity due to potential repercussions, described them as grueling to the point of excessiveness. Tavares last week pushed back on the claim that the company’s massive cost-cutting efforts had created problems at the automaker. “When you don’t deliver for any reason ... you may want to use a scapegoat. The budget cut is an easy one. It’s wrong,” Tavares said. Stellantis has reduced headcount by 15.5%, or roughly 47,500 employees, between December 2019 and the end of 2023, according to public filings. Additional job cuts this year involving thousands of plant workers the U.S. and Italy have drawn the ire of unions in both countries. Stellantis last conducted a voluntary buyout program in November, offering the deals to roughly half of its U.S. white-collar employees.
Diageo needs to raise shareholder spirits – and fast 2024-07-30 18:53:00+00:00 - For most of the past 15 years, Diageo was possibly the most admired company at the top end of the FTSE 100 index. As well as being an export titan for the UK, the Johnnie Walker, Smirnoff and Guinness group performed beautifully for its shareholders year after year. Sales growth invariably beat inflation, underpinned by an enviable balance between developed and emerging markets. Profit margins steadily improved under a “premiumisation” strategy of encouraging punters to “drink better, not more”. Acquisitions worked, allowing Diageo to go from nowhere to leader in tequila in no time. Sir Ivan Menezes, who died just before he was due to retire as chief executive last summer, was rightly hailed as a boardroom superstar. And now? Well, it would be wrong to say Diageo’s woes are unique because the entire global spirits industry is having a weak run. But the company’s reputation for reliability and steadiness has disappeared faster than a shot of Don Julio. Debra Crew, the successor of Menezes, got off to a shocking start last November with a profits warning related to over-stocking in Latin America – in other words, a serious misreading of how much was actually being consumed by drinkers. Now, in Tuesday’s full-year numbers, came the first fall in annual sales since 2020. The shares, which were £40 as recently as 2022, lost another 5% to £24.18. The latest headache is the US, Diageo’s largest market by far, where Crew complained about “cautious” consumers. Since companies from Nike to McDonald’s are saying the same, the factor is clearly genuine. Cuts in interest rates may help if they come, but in the old days one thought of Diageo as a company as an outperformer in all weathers. That element seems to have gone missing. Even the Mexican tequila operation took a whack from “down-trading”. In the circumstances, Crew’s insistence on sticking with a longstanding “medium-term” forecast for group-wide organic net sales growth of 5%-7% lacks credibility. Diageo has just turned in minus 0.6% and, even if one generously strips out Latin America, the figure was only 1.8%. In any case, what is “the medium term”? After the wild swings of the Covid period, which ended with a boom when pubs and bars reopened, Diageo may simply have become a less predictable operation. On the plus side, Crew reported that inventories in Latin America have normalised (though she’s yet to explain adequately how Diageo’s on-the-ground intelligence was so duff in the first place). The company says it held or maintained market share in 75% of its measured markets, including in the US. And cashflow arrived as previously advertised. For the time being, then, Crew should get the benefit of the doubt. There is little point in diluting the “premiumisation” strategy that worked well and may do so again; the spirts market has had downturns in the past. In the meantime, shareholders have the consolation of a Guinness operation (unfortunately only one-fifth of the whole) that keeps turning out excellent numbers. skip past newsletter promotion Sign up to Business Today Free daily newsletter Get set for the working day – we'll point you to all the business news and analysis you need every morning Enter your email address Sign up Privacy Notice: Newsletters may contain info about charities, online ads, and content funded by outside parties. For more information see our Newsletters may contain info about charities, online ads, and content funded by outside parties. For more information see our Privacy Policy . We use Google reCaptcha to protect our website and the Google Privacy Policy and Terms of Service apply. after newsletter promotion But Crew could still do herself a favour. The stock market has already mentally ditched the idea that Diageo is a steady 5%-7% sales performer, with only minor year-on-year variations within the range. Its business now looks more exposed to sudden swings. If you must have targets, give shareholders ones they can believe in. Until then, the unmistakable new air of suspicion around Diageo is justified.
Trusting Google to deliver best search results can hurt your wallet, study finds 2024-07-30 18:15:00+00:00 - How Black sororities and fraternities will impact the 2024 election How Black sororities and fraternities will impact the 2024 election 03:32 Google's search engine is a common place for users to start their hunt for everything from the best sunscreens to the top finance and budgeting tools that will stretch their dollars the furthest. But Google's search hub doesn't always deliver the most accurate or useful results for financial products, according to a new study from personal finance website WalletHub. Far from showing searchers top-notch results, the search engine often yields responses that can cost people $202 on average, and up to more than $1,000 when looking for certain types of credit cards, the study found. WalletHub evaluated Google's results for commonly queried credit card and banking terms, and conducted a survey in which it asked consumers about how useful, accurate and aligned with their searches the results they received were. "Consumers are putting a lot of trust in Google and its top results," WalletHub CEO Odysseas Papadimitriou told CBS MoneyWatch. "So what we asked was, 'Is Google really doing its job and serving the best results?'" WalletHub analysts evaluated results for credit card and banking-related terms including "best airline credit card," "best no interest credit cards," "best jumbo money market rates," "best CD rates," and more commonly searched terms. Costly search results WalletHub analyzed search results to determine their cost to consumers. For example, when searching for the "best credit cards for bad credit," the first nonsponsored hit directs users to Mastercard's website, where they are exclusively shown Mastercard products. This alone does consumers a disservice, according to Papadimitriou, because it eliminates card alternatives from competitors like Visa and Discover. The first search result Google yields directs users to Mastercard's website. Google/Screenshot "The result that ranks first for 'credit cards for bad credit' is from one of the biggest financial brands in the world," Papadimitriou said. "When you go to that page, it doesn't include cards from competitors that might be superior to Mastercard's own offerings." "People expect Google to put the best result first, that Google is doing the work for you and putting the best information forward. But what we found is happening is Google blindly follows the biggest brand, and is shortchanging consumers," he said. He added that the cards Mastercard lists on its site aren't even necessarily the best. "They just give you some credit cards for bad credit. They don't even pretend to be serving what you ask for," Papadimitriou said. Among the most costly credit card search terms, "best credit cards to build credit," ranked highest, costing consumers who selected one of the top products appearing in Google search results $1,095, according to WalletHub. Choosing one of the top results for the banking search term "best jumbo money market rates," could cost consumers, $1,347, the most of any search term in the study. Google said its results satisfy users, and that it is constantly upgrading its search engine. "Our research shows that search satisfies the overwhelming majority of user needs for people around the world, and we launch thousands of improvements every year to make Search even better for people," Google said in a statement to CBS MoneyWatch. "Our systems aim to connect people with content that is helpful and original, from a diverse range of sites across the web." Shortchanging consumers Take another term, like "best savings account" — based on how much interest it yields. In this case, Google's search results could cost consumers if, for example, Google's top hit offers 4.5% but the best account on the market offers more. "So they trust Google and proceed and sign up for the 4.5% account, when they could have gotten 5.5% That's how they are being shortchanged," Papadimitiou said. Big brand bias Seventy-five percent of consumers surveyed said they believe Google favors big brands in search results. Other drawbacks to Google search results, according to WalletHub, included: Only 41% of results met searchers' intent 34% of results only showed advertisers 58% of results weren't transparent 63% of survey respondents said they believed Google search results were superior last year "I think that the takeaway here is people should not trust Google blindly; it has a lot of biases," Papadimitriou said.
Post Office board ‘felt blindsided’ by rushed out, critical 2013 report 2024-07-30 17:52:00+00:00 - A senior civil servant said non-executive directors at the Post Office felt “blindsided” by the way the company rushed out a 2013 report by forensic accountants that was highly critical of the state-owned body. Susannah Storey, who is now permanent secretary at the Department for Culture, Media and Sport, sat on the Post Office board between 2012 and 2014 as a non-executive director and the first shareholder representative of the UK government. She testified on Wednesday to a public inquiry, which is examining the Post Office IT scandal that led to hundreds of people being wrongly prosecuted for theft and false accounting due to financial shortfalls in their branch accounts. It has since emerged that these discrepancies were caused by IT bugs within the Post Office Horizon computer system. Storey told the inquiry that in July 2013, non-executive directors at the Post Office felt “blindsided” after a key interim report by the forensic accountants Second Sight looking into issues around Horizon was suddenly presented to the Post Office board “in a rush” before its publication. The report, which ultimately became crucial for the branch owner-operators’ campaign to clear their names, found that two IT bugs had affected 76 branches. Storey told the inquiry: “I was very concerned to discover that a report was shortly to be presented to MPs containing significant criticisms, the detail of which the board had received no prior notification.” She said there was “a rush of communications”, “late-night emails” and “weekend emails” to the board in a “very rushed” week ahead of the publication of the report. “I think we had been blindsided … and we were irritated … we felt we had been bounced by the Second Sight interim report,” she said. The board later raised questions about whether the findings left the Post Office open to claims of wrongful prosecution. “No surprises is a really big thing. You do not want to be surprised. I think at that time I felt that it had not been well handled,” Storey said. “My own view was that the executive [team] had mishandled the interface between the board and the whole of this Second Sight interim report, and I held Paula Vennells responsible for that as the chief executive … My recollection is there was a groundswell of discontent.” The report was the first time Storey was aware that the Post Office was able to criminally prosecute individuals and she felt “uncomfortable” about this. skip past newsletter promotion Sign up to Business Today Free daily newsletter Get set for the working day – we'll point you to all the business news and analysis you need every morning Enter your email address Sign up Privacy Notice: Newsletters may contain info about charities, online ads, and content funded by outside parties. For more information see our Newsletters may contain info about charities, online ads, and content funded by outside parties. For more information see our Privacy Policy . We use Google reCaptcha to protect our website and the Google Privacy Policy and Terms of Service apply. after newsletter promotion “We felt frustrated that after over a year of work there was suddenly this very rushed week, the report had been published and I would have felt that the minister had been put in a difficult position having to make a statement to parliament … Some of my concerns about the chief executive were starting to crystallise.” She told the inquiry in her witness statement that with the benefit of hindsight “it is now apparent to me that my ability, and that of my fellow NEDs [non-executive directors] to maintain effective oversight of POL [Post Office] in relation to Horizon was hampered by the lack of reliable and objective information we were given as to the nature and extent of the issues.” She said the board was “given repeated assurances from the executive and the business that turned out not to be entirely correct, and we were also given incomplete information by the executive team at critical points in this process”. Storey also said there was “a serious failure” to provide the board with key documents relating to past criminal prosecutions including a review by an independent barrister which cast doubt on the reliability of Gareth Jenkins, a Fujitsu engineer who acted as a prosecution witness in a number of criminal trials. Storey said she wanted to acknowledge the “devastating hardship and injustice suffered by so many subpostmasters”. The inquiry has now held its final evidence session in its sixth phase of hearings and a further set of hearings will begin in the autumn.
Amazon is responsible for dangerous products sold on its site, federal agency rules 2024-07-30 17:46:00+00:00 - Amazon must notify customers about and remove products deemed dangerous that it sells through its website, federal regulators ruled Tuesday. In a unanimous decision, the Consumer Product Safety Commission said that as a "distributor," Amazon ultimately bears legal responsibility for affected products' recalls, even if they are sold in the first instance by third-party sellers using the Fulfilled by Amazon (FBA) program. "Amazon failed to notify the public about these hazardous products and did not take adequate steps to encourage its customers to return or destroy them, thereby leaving consumers at substantial risk of injury," the commission said. More than 400,000 products sold on Amazon.com, including faulty carbon monoxide alarms and potentially flammable children's pajamas and hair dryers, are subject to the order, though Amazon has already removed and notified customers about many of them. “We are disappointed by the CPSC’s decision," an Amazon spokesperson told NBC News, saying the company will appeal the commission's decision. "When we were initially notified by the CPSC three years ago about potential safety issues with a small number of third-party products at the center of this lawsuit, we swiftly notified customers, instructed them to stop using the products, and refunded them," the spokesperson said. Amazon must now develop and submit proposals about how it will notify purchasers and the broader public about future product hazards, and to provide refunds or replacements for the products, the CPSC said. The Amazon spokesperson said there are "proactive measures in place to prevent unsafe products," adding that the company continuously monitors listings in its store. "If we discover an unsafe product available for sale, we address the issue immediately, and refine our processes.” The agency had sued Amazon in July 2021, forcing the company to recall hundreds of thousands of hazardous products sold on its platform via the FBA program, which accounts for approximately 60% of all sales on its platform. In response, Amazon said it had removed a “vast majority” of such products from its store and refunded customers even as it maintained that it only provides logistics services to independent merchants and is not a distributor. The CPSC disagreed with that argument. “Amazon cannot sidestep its obligations under the [Consumer Product Safety Act] simply because some portion of its extensive services involve logistics,” its decision states. “Amazon must therefore comply with the CPSA to protect consumers from injury.” Separately, the U.S. Food and Drug Administration said it had last week issued a warning letter to Amazon over its distribution of potent chemical peel drug products that violated the Federal Food, Drug, and Cosmetic Act.
Ackman Scales Back Multibillion-Dollar I.P.O. 2024-07-30 17:39:36+00:00 - The billionaire investor William Ackman appears to have scaled back his ambitions for an initial public offering in New York — at least in terms of its size. The investment vehicle that Mr. Ackman plans to take public on the New York Stock Exchange next week — Pershing Square USA — is aiming to raise $2 billion in the share sale, according to a regulatory filing on Tuesday. That’s a far cry from the $10 billion or more that Mr. Ackman discussed as a target earlier this year. In investor meetings in recent months, he had floated an even larger number: $25 billion. The $2 billion figure is a place holder, and Pershing Square USA could raise more as investors put in orders through Monday night, according to a person familiar with the deal who spoke on the condition of anonymity because the details were private.
Reeves accuses Hunt of £22bn lie; nonsense, he says. What’s the truth? 2024-07-30 17:11:00+00:00 - Rachel Reeves has accused Jeremy Hunt, her predecessor as chancellor, of lying about the state of the public finances inherited by the Labour government. Hunt has dismissed the claims as “absolute nonsense”. What is the row about? An audit conducted by the Treasury since Reeves’s arrival has identified £35bn of potential overspending by Whitehall departments in the 2024-25 financial year. The government does not expect to have to find all of the money and can use its reserves – a rainy day fund – to cover some of the costs. Even so, that would leave projected departmental spending £21.9bn above the totals set by the Treasury in Hunt’s March 2024 budget. Reeves has reduced that figure to £16.4bn by announcing £5.5bn of spending cuts, including the means testing of the winter fuel payments for pensioners. What does Reeves say? The chancellor said during the election campaign that she would inherit the biggest mess since the second world war but even so says she has been shocked at the state of the nation’s books. Reeves says the previous government made spending commitments but failed to allocate the money to fund them. She says Hunt covered up what was really happening: “He did that knowingly and deliberately. He lied, and they lied during the election campaign about the state of the public finances.” What does Hunt say? Hunt says Reeves has confected a story about a £21.9bn “black hole” as a smokescreen for tax increases in the budget that she was always going to impose. As shadow chancellor, Reeves had privileged access to civil servants before the election, Hunt says, so she was up to speed with the state of the public finances. These were not in nearly as bad a state as Reeves claims, with £9.4bn of the additional spending pressure the result of a decision the chancellor herself has taken: to meet the recommendations of the public sector pay review bodies in full. So who’s right? As tends to be the case, things are not entirely clearcut. Reeves cannot claim complete ignorance about the spending pressures and said herself during the campaign that the existence of the independent Office for Budget Responsibility meant it was not necessary to win an election to find out about the state of public finances. But the chancellor’s argument that things were even worse than she expected was bolstered when the OBR’s director, Richard Hughes, said on Monday that he was launching an inquiry into how the departmental spending totals for 2024-25 were prepared. The OBR became aware of the additional spending pressures only last week. Paul Johnson, the director of the Institute for Fiscal Studies, says the numbers Reeves produced were new in that they had not been published before and that he found it astonishing that the £6bn bill for housing asylum seekers had not been budgeted for. Even so, it was always obvious Reeves faced tricky decisions, Johnson says. Isn’t this just a blame game? To a large extent, yes. Both Hunt and Reeves want to control the narrative, knowing that the impression left with voters now is likely to stick. Hunt’s message is that the economy and the public finances were on the mend under his stewardship, that extra money for the NHS was linked to productivity gains, and that his £10bn budget cut in national insurance was affordable. Reeves says unfunded promises were made of which the OBR was unaware and that already tough choices will now be even tougher as a result.
Microsoft experiencing outages for some 365 Office and cloud programs 2024-07-30 17:09:00+00:00 - How the CrowdStrike glitch crippled operations across the globe Microsoft said some of its 365 services are experiencing problems that are keeping customers from using the cloud-based apps, which include Word, PowerPoint and Outlook. The company said Tuesday it has "identified a potential networking issue" and is working on solving the problem. Reports of outages with Microsoft 365 programs spiked on DownDetector on Tuesday morning, with users reporting problems with Outlook and other apps. The Microsoft 365 outage comes less than two weeks after the service experienced a massive crash caused by a bug in a program update from cybersecurity company CrowdStrike. The glitch crippled computers across the globe, causing thousands of flights and train services to be canceled, while leading to disruptions in many other industries, such as health care and banking. In an update, Microsoft said that the impacted services include, but aren't limited to, Microsoft 365 admin center, Intune, Entra and Power Platform. "Initial indications are that the following services are not impacted: SharePoint Online, OneDrive for Business, Microsoft Teams, Exchange Online," it added. The company noted that customers who use the impacted Microsoft 365 services "may experience latency or degraded feature performance." —This is a breaking story and will be updated.
Senate Passes Child Online Safety Bill, Sending It to an Uncertain House Fate 2024-07-30 17:06:52+00:00 - The Senate on Tuesday passed bipartisan legislation to impose sweeping safety and privacy requirements for children and teens on social media and other technology platforms, voting overwhelmingly to send the measure to the House, where its fate was uncertain. Passage of the measure, which has been the subject of a dogged advocacy campaign by parents who say their children lost their lives because of something they found or saw on social media, marked a rare bipartisan achievement at a time of deep polarization in Congress. Despite the lopsided support among Republicans and Democrats, the package faces a fierce lobbying effort by technology companies that are resisting new regulation, and deep skepticism among free speech advocates who argue that it would chill individual expression and potentially harm some of those whom the bill aims to protect. The vote was 91 to 3 to approve the measure, sending it to the House, which is in a summer recess until September. The legislation is the product of years of work by lawmakers and parents to overhaul digital privacy and safety laws as social networking sites, digital gaming and other online platforms increasingly dominate children’s and teens’ lives.
Terrell Davis says United banned him after flight incident. Airline says it was already rescinded 2024-07-30 16:28:37+00:00 - DENVER (AP) — Pro Football Hall of Famer Terrell Davis posted an email from United Airlines Tuesday that said he was banned from flying the airline until a review of an incident earlier this month was complete. But United officials said they already told Davis’ team that the ban was rescinded weeks ago. The conflicting messages heightened tensions, with Davis’ attorney, Parker Stinar, denying that Davis had received notice that the ban was withdrawn and calling for an “overhaul of United’s leadership.” The back and forth was kicked off two weeks ago when Davis, who previously played for the Denver Broncos, said he was handcuffed and removed from a July 13 flight after he lightly tapped a flight attendant on the arm, prompting the employee to say “don’t hit me” and hurry off. Davis, who was later released with apologies, has called out United for making him feel “humiliated” and demanded an investigation. “My family will never unsee me, nor will I ever forget, being taken off an airplanes in handcuffs,” Davis wrote in Tuesday’s Instagram post. The day after the incident, the email from United banning Davis was generated and sent, United said in a statement. The ban was then rescinded the following day, which United said was communicated with Davis’ team a day later. Stinar said that Davis did not initially see the email banning him until recently and that they had only learned the ban was rescinded after Davis’ Tuesday Instagram post. United Airlines said the flight attendant is no longer with the company, adding: “We have apologized to Mr. Davis for his experience and continue to review our handling of incidents like this.” ___ Jesse Bedayn is a corps member for the Associated Press/Report for America Statehouse News Initiative. Report for America is a nonprofit national service program that places journalists in local newsrooms to report on undercovered issues.
AbbVie Analysts Lead the Stock Higher as Humira Worries Recede 2024-07-30 16:17:00+00:00 - AbbVie NYSE: ABBV was among the pharma companies worst positioned for a patent cliff that has come and gone. However, management's lean toward diversifying away from Humira and into a broader range of treatments has more than paid off. The takeaway is that growth is back in the immunology portfolio despite the 30% contraction in Humira sales and accelerating across the system. AbbVie Today ABBV AbbVie $186.78 +4.84 (+2.66%) 52-Week Range $135.85 ▼ $187.71 Dividend Yield 3.32% P/E Ratio 55.42 Price Target $188.71 Add to Watchlist The results for Q2 were much better than expected, including a positive guidance revision and a reaffirmed outlook for long-term revenue growth that resonates with the analysts. Analysts applaud AbbVie’s Q2 results, citing portfolio quality and the pipeline in the numerous revisions issued after the release. The critical detail is that the Moderate Buy rating is unwavering, and the price target is rising. The consensus price target offers only a small 2% gain for investors, but it is up 5% in the week following the report and 10% compared to last year, leading this market to a new high. The range’s high-end is $214, which could be reached by early 2025. Get AbbVie alerts: Sign Up AbbVie Accelerates Growth on Ramping Sales of Key Treatments AbbVie had a good quarter, producing $14.46 billion in net sales. Revenue is up 4.2% compared to last year, and growth is accelerating sequentially, outpacing the consensus by 300 basis points. All segments contributed to the gain, led by a 14.7% increase in Neurosciences. Oncology, another area of strength, advanced by 10.5%, while Immunology gained 2.3%. Aesthetics, which includes Botox Cosmetic, grew by 0.5% and all aided margin. Within Immunology, which is almost 50% of the business, sales of Rinvoq and Skyrizi are strong, up 55% and 45%, respectively, and more than offset the loss of Humira revenue. The margin news is mixed but favorable to investors. The company widened its gross and operating margin on a GAAP and adjusted basis but fell short of the consensus. The GAAP and adjusted earnings are down compared to last year due to one-offs that include increased R&D and milestone expenses, while adjusted earnings are up. The salient detail is that adjusted earnings missed the consensus by a slim $0.01 margin, leaving cash flow and the capital return healthy. The company's guidance is favorable. It raised its guidance for adjusted EPS to a range bracketing the consensus. As-expected guidance isn’t usually a catalyst for higher share prices, but the revisions trend suggested analysts feared the worst. Regarding the pipeline, AbbVie announced numerous advances during the quarter, including FDA approval of Epkinly and advances in several oncology programs. AbbVie Capital Returns Provide Value for Pharma Investors AbbVie Dividend Payments Dividend Yield 3.34% Annual Dividend $6.20 Dividend Increase Track Record 52 Years Annualized 3-Year Dividend Growth 7.84% Dividend Payout Ratio 183.98% Next Dividend Payment Aug. 15 See Full Details AbbVie’s dividend is attractive within the pharmaceutical universe because it is among the highest payouts, even with shares trading at record levels and reliable. The only drawback is that the payment is at the low end of its historical range, but the outlook for distribution growth offsets that. AbbVie is counted as a Dividend Aristocrat due to its history with Abbott Laboratories and is positioned to continue raising for another twenty-five years. Whether or not the yield is lower than average, steadily increasing distribution payments is a force that will support higher share prices over time. The dividend payout is less than 60% of the earnings, with earnings growth expected to return in Q1 2025, if not by the end of F2024, so the pace of increases may accelerate. AbbVie also buys back stock. Repurchases are ramping higher in 2024 after a pause in 2023 and are on track to reduce the share count by year’s end. Bullish Price Action for AbbVie Following Release The price action following the release is bullish. The market rose 7.5% the week of the release and is now consolidating near the high, a fresh all-time high set with a bullish trend-following movement. Rising EMAs, bullish signals in the MACD, and stochastic indicators compound the action. They suggest upward momentum will continue to carry the market higher. Shares of ABBV could rise as much as $25 to $30 in this scenario and reach the $210 level by January 2025. Before you consider AbbVie, you'll want to hear this. MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and AbbVie wasn't on the list. While AbbVie currently has a "Moderate Buy" rating among analysts, top-rated analysts believe these five stocks are better buys. View The Five Stocks Here
Will A.I. Upend White-Collar Work? Consider the Hollywood Editor. 2024-07-30 16:03:40+00:00 - For most of his four-plus decades in Hollywood, Thomas R. Moore has worked as a picture editor on network television shows. During a typical year, his work followed a pattern: He would spend about a week and a half distilling hours of footage into the first cut of an episode, then two to three weeks incorporating feedback from the director, producers and the network. When the episode was done, he would receive another episode’s worth of footage, and so on, until he and two other editors worked through the TV season. This model, which typically pays picture editors $125,000 to $200,000 a year, has mostly survived the shorter seasons of the streaming era, because editors can work on more than one show in a year. But with the advent of artificial intelligence, Mr. Moore fears that the job will soon be hollowed out. “If A.I. could put together a credible version of the show for a first cut, it could eliminate one-third of our workdays,” he said, citing technology like the video-making software Sora as evidence that the shift is imminent. “We’ll become electronic gig workers.”
Harley-Davidson Stock Revs Up With Billion Dollar Buyback Program 2024-07-30 15:58:00+00:00 - Harley-Davidson Today HOG Harley-Davidson $38.37 +0.57 (+1.51%) 52-Week Range $25.43 ▼ $44.16 Dividend Yield 1.80% P/E Ratio 8.53 Price Target $45.14 Add to Watchlist Iconic motorcycle manufacturer Harley-Davidson Inc. NYSE: HOG juiced up its stock with a new $1 billion stock buyback program following its Q2 earnings report. The company reported strong top and bottom line performance, but its 2024 outlook was expectedly weak. A tough macroeconomic climate and softening consumer spending have been looming concerns that continue to plague durable goods purchases. The company has been offering promotions and incentives to clear out inventories, which helped boost revenue numbers. However, this has also stunted demand for its 2024 models, which also lack promotions to incentivize dealers. This led to a lowering of its full-year 2024 outlook. Harley-Davison operates in the auto/tires/trucks sector, competing with motorcycle, Powersports, and recreational vehicle manufacturers, including Honda Motor Co. Ltd. NYSE: HMC, Polaris Inc. NYSE: PII, and Thor Industries Inc. NYSE: THO. Get LiveWire Group alerts: Sign Up Harley-Davidson Investors Have a Piece of 3 Companies Harley-Davison is the umbrella for the company's three divisions. The Harley-Davidson Motorcycle Company (HDMC) designs, manufactures, licenses, and services its motorcycles. It sells its bikes, apparel, and parts through a network of authorized dealers. Harley-Davison Financial Services (HDFS) provides financing options for wholesale and retail buyers and point-of-sale (POS) insurance and protection services. LiveWire Group Inc. NYSE: LVWR sells electric motorcycles and kids' balance bikes, as well as parts and apparel. Investors in Harley-Davidson own a piece of all three companies. While LiveWire is a standalone publicly traded company, it is still considered a subsidiary of Harley-Davidson, which owns a controlling interest between 70% and 90%. Harley-Davidson includes LiveWire results in its earnings reports. HOG Attempts an Ascending Triangle Breakout Pattern The daily candlestick chart for HOG illustrates an ascending triangle breakout attempt pattern. This pattern is comprised of a rising lower trendline representing higher lows converging at the apex with the flat-top upper trendline at $36.97. As HOG gets closer to the apex point, the stock will either break out through the upper trendline or break down through the lower trendline. The Q2 earnings release gapped up the shares attempting to break but has so far closed back under the upper trendline. The daily relative strength index (RSI) is still rising through the 61-band. Pullback support levels are at $35.16, $33.41, $31.67, and $29.41. Headline Results Look Strong But Reveal Weakness Under the Hood Harley-Davidson reported Q2 EPS of $1.63, beating consensus estimates by 23 cents. Revenues rose 12% YoY to $1.62 billion, beating $1.29 billion consensus analyst estimates. North American retail performance was down 1%, but sales of its more expensive Touring and CVO motorcycles surged 12% YoY, causing the EPS beat. HDMC's revenues climbed 13%, driven by its global shipment increase of 16%. HDFS operating income rose 21%, and revenue grew 10% YoY. The company had heavy promotions and incentives to clear out inventory, leaving buyers exhausted and demand soft for its 2024 models. Motorcycle sales rose 20%, but parts & accessories sales fell 10% along with apparel sales falling 4% YoY. As a result of the heavy promotions, the gross margin fell 270 bps to 32.1%. Its Touring market share rose 5.3% to 75% in the first half of 2024. Harley-Davidson Lowers 2024 Guidance Metrics The company lowered its 2024 revenue for HDMC to be down 5% to 9% YoY, from the flat to 9% previous forecast. HDFS operating income is expected to be flat to up 5% YoY. LiveWire electric motorcycle unit sales are expected to be between 1,000 and 1,500, with operating losses of $105 million to $115 million. Harley-Davidson's company-wide capital investments are expected to be between $225 million and $250 million. The operating margin was lowered from 10.6% to 11.6%, down from earlier forecasts for $12.6% to 13.6%. CEO Remains Cautious But Optimistic Harley-Davidson Dividend Payments Dividend Yield 1.80% Annual Dividend $0.69 Annualized 3-Year Dividend Growth 14.47% Dividend Payout Ratio 15.33% Recent Dividend Payment Jun. 21 See Full Details Harley-Davidson CEO Jochen Zeitz pointed out some YoY improvements in the quarter. Consolidated operating income rose 9% YoY to $241 million thanks to a 21% rise in HDFS, its financing division. HDFS's operating income grew 2% YoY, while LiveWire's operating loss was $4 million less than the year-ago period. High interest rate impacts were felt, but U.S. motorcycle sales were slightly positive over the last year. Internationally, EMEA saw retail sales fall by 1%. Asia Pacific showed the most weakness, with sales plunging 16% YoY, primarily in China. In North America, including Canada, sales fell 1%, and in Latin America was flat. Zeitz pointed out that the average Harley-Davidson customer is 45, adding that they expect customers to age into their products while building brand awareness. Harley-Davidson analyst ratings and price targets are at MarketBeat. There are seven analyst ratings on HOG stock, comprised of five Buys and two Holds. The stock has a 22.57% upside to the consensus price target of $45.14. Before you consider LiveWire Group, you'll want to hear this. MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and LiveWire Group wasn't on the list. While LiveWire Group currently has a "Hold" rating among analysts, top-rated analysts believe these five stocks are better buys. View The Five Stocks Here
UK regulator looks at Google’s partnership with Anthropic 2024-07-30 15:54:00+00:00 - The Competition and Markets Authority has begun a preliminary investigation into a partnership between Google and the AI startup Anthropic, marking the latest in a string of investigations into deals between big tech companies and smallerAI ones. Google invested $2bn (about £1.56bn) into Anthropic in 2023, shortly after signing a cloud computing agreement with the startup, which develops the Claude LLM and chatbot. The CMA is now considering whether the partnership has “resulted in the creation of a relevant merger situation” which would allow the agency to begin a formal investigation. It is inviting comments over the next two weeks. The move comes amid broader concerns about competition in the generative AI sector. A deal between Amazon and Anthropic is also being investigated by the CMA as a potential merger after Amazon took a $4bn stake in the company and signed a deal to become one of the startup’s cloud computing providers. Similar investigations have been launched by the CMA into OpenAI and Microsoft after the latter took a substantial stake in the ChatGPT maker’s for-profit arm, and into Microsoft and AI startup Inflection, after the tech giant hired the startup’s founder and leadership team alongside signing an access deal for the company’s AI models. Another investigation into a deal between Microsoft and the French AI startup Mistral was dropped in May. Regulators are concerned about the concentration of power in the hands of big tech, meaning that outright acquisitions are rarely attempted, particularly in competitive sectors such as AI. But the CMA is keeping a keen eye out for arrangements that may hamper competition in other ways. An Anthropic spokesperson denied that the partnership was a merger. “We are an independent company and none of our strategic partnerships or investor relationships diminish the independence of our corporate governance or our freedom to partner with others,” the company said. A Google spokesperson said the company “is committed to building the most open and innovative AI ecosystem in the world”. skip past newsletter promotion Sign up to Business Today Free daily newsletter Get set for the working day – we'll point you to all the business news and analysis you need every morning Enter your email address Sign up Privacy Notice: Newsletters may contain info about charities, online ads, and content funded by outside parties. For more information see our Newsletters may contain info about charities, online ads, and content funded by outside parties. For more information see our Privacy Policy . We use Google reCaptcha to protect our website and the Google Privacy Policy and Terms of Service apply. after newsletter promotion They added: “Anthropic is free to use multiple cloud providers and does, and we don’t demand exclusive tech rights.”
Cruise Line Stock Sinks Despite Beating EPS and Raised Guidance 2024-07-30 15:40:00+00:00 - Royal Caribbean Cruises Today RCL Royal Caribbean Cruises $156.94 +1.80 (+1.16%) 52-Week Range $78.35 ▼ $173.37 P/E Ratio 20.22 Price Target $173.50 Add to Watchlist Cruise line operator Royal Caribbean Cruises Ltd. NYSE: RCL is proving to be in a class all by itself. The company crushed EPS estimates again and raised top and bottom line forecasts again. However, instead of surging to new 52-week highs, a sell-the-news reaction triggered, sending shares lower by 7.5% following its second-quarter earnings release. This doesn’t bode well for its competitors’ stocks, who are still trying to recover back to pre-pandemic levels. The selling reaction could reflect a sentiment shift in the travel and leisure industry or a buying opportunity for investors who have been waiting for a deep pullback. Royal Caribbean operates in the consumer discretionary sector, competing with cruise operators, including Carnival Co. & plc NYSE: CCL, Norwegian Cruise Line Holdings Ltd. NYSE: NCLH, and Viking Holdings Ltd. NYSE: VIK. Get RCL alerts: Sign Up Royal Caribbean Operates Under 3 Brands While Royal Caribbean is named after its flagship Royal Caribbean International cruise line, it also owns and operates two luxury cruise lines, Celebrity Cruises and Silversea Cruises. Each brand caters to a different market and price point. Royal Caribbean International caters to families and young adults with a growing share of Millennial and Gen-Z travelers. They have mega-ships, including Icon of the Seas, which is the world’s largest, with all the amenities ranging from water parks to entertainment venues, rollercoasters, and the whole gamut of dining options. Celebrity Cruises caters to upscale travelers, offering a more sophisticated and refined cruising experience. Their modern contemporary ships focus on culinary experiences with an emphasis on personalized services at a premium. Silversea Cruises caters to high-income affluent travelers who are paying for exclusive and personalized experiences. Their ships are smaller and more intimate, featuring amenities like butler service, fine dining, and all-inclusive open bars. This brand has the highest price point among the three brands. RCL Triggers a Rising Wedge Breakdown The daily candlestick chart for RCL demonstrates the effect of a rising wedge breakdown pattern. This pattern is comprised of converging rising upper and lower trendlines. The breakdown occurs when the stock falls below the lowering ascending trendline. RCL triggered the breakdown heading into its Q2 2024 earnings release, accelerating the selling despite the solid EPS beat and raised guidance. The daily relative strength index (RSI) fell to and stalled at the 41-band, potentially attempting to bounce. Pullback support levels are at $152.05, $146.67, $141.70, and $136.32. Royal Caribbean Posts Strong Q2 2024 Results and Reinstates Dividend The company reported Q2 2024 EPS of $3.32, beating consensus analyst estimates by 45 cents. Stronger pricing, increased close-in demand, and continued strength in onboard revenues drove the gains. Revenues surged 16.4% YoY to $4.1 billion, beating $4.05 billion consensus estimates. Gross margin yields were up 24.2%. Net yields were up 13.3%. Royal Caribbean's Board of Directors reinstated the dividend and declared a 40-cent per share dividend payable to shareholders of record at the close of Sept. 20, 2024. Load factors rose 108% in the quarter, indicating strong demand and overbooked cabins due to last-minute cancellations. Gross cruise costs per available passenger cruise days (APCD) rose 4.9% YoY, and net cruise costs (NCC) rose 5.5% as reported. The company closed the quarter with a total liquidity of $3.8 billion, including cash, cash equivalents, and an undrawn credit revolver. Leverage is expected to fall below 3.5x by year's end. Achieving the Trifecta Goals Ahead of Schedule Royal Caribbean set out to achieve three goals: triple-digit adjusted EBITDA per APCD, double-digit adjusted EPS, and hit return on invested capital (OIC) in the teens. The trifecta goals were achieved 18 months ahead of schedule. Bookings and Onboard Revenue was Robust The demand and pricing environment continues to remain strong since its last quarter. Booking volumes were higher than a year ago and at higher prices. Royal Caribbean continues to be in a record-booked position for 2024 sailings. Consumer onboard spending and pre-cruise purchases continue to significantly exceed 2023 levels, driven by greater participation at higher prices. Royal Caribbean Raises Full-Year 2024 Guidance Royal Caribbean Cruises MarketRank™ Stock Analysis Overall MarketRank™ 4.73 out of 5 Analyst Rating Moderate Buy Upside/Downside 11.7% Upside Short Interest Bearish Dividend Strength N/A Sustainability -3.80 News Sentiment 0.61 Insider Trading Selling Shares Projected Earnings Growth 11.87% See Full Details The company raised its full-year 2024 EPS to $11.35 to $11.45, up from $11.09 previously and up 68% YoY. Net yields are expected to increase from 10.4% to 10.9%. NCC, excluding fuel per APCD, is expected to increase by around 6%. Net yields are expected to rise around 6.5% to 7%, driven by the strength in Alaskan and European itineraries. The company expects Q3 2024 adjusted EPS between $4.90 to $5.00 Royal Caribbean CEO Jason Liberty commented, "Our momentum continues! We met our financial targets 18 months earlier than expected, have our balance sheet in a strong position, reinstated our dividend, and... we are just getting started." Royal Caribbean analyst ratings and price targets are at MarketBeat. There are 16 analyst ratings on RCL stock, comprised of 14 Buys and two Holds, with a 12.17% upside to the consensus price target of $172.25. Before you consider Royal Caribbean Cruises, you'll want to hear this. MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Royal Caribbean Cruises wasn't on the list. While Royal Caribbean Cruises currently has a "Moderate Buy" rating among analysts, top-rated analysts believe these five stocks are better buys. View The Five Stocks Here
Meta agrees to $1.4B settlement with Texas in privacy lawsuit over facial recognition 2024-07-30 15:35:23+00:00 - AUSTIN, Texas (AP) — Meta has agreed to a $1.4 billion settlement with Texas in a privacy lawsuit over allegations that the tech giant used biometric data of users without their permission, officials said Tuesday. Texas Attorney General Ken Paxton said the settlement is the largest secured by a single state. In 2021, a judge approved a $650 million settlement with the company, formerly known as Facebook, over similar allegations of users in Illinois. “This historic settlement demonstrates our commitment to standing up to the world’s biggest technology companies and holding them accountable for breaking the law and violating Texans’ privacy rights,” Paxton, a Republican, said in a statement. Meta said in a statement: “We are pleased to resolve this matter, and look forward to exploring future opportunities to deepen our business investments in Texas, including potentially developing data centers.” Filed in 2022, the Texas lawsuit said that Meta was in violation of a state law that prohibits capturing or selling a resident’s biometric information, such as their face or fingerprint, without their consent. “This is by far the biggest state governmental privacy settlement in history,” Chicago-based class action attorney Jay Edelson said in an email. Edelson’s firm filed the lawsuit that settled for $650 million with Meta. The only other larger claim is the Federal Trade Commission’s $5 billion settlement with the company in 2019. To date, Meta has now paid over $2 billion in settlements for biometric privacy claims, according to Edelson. “That is a huge signal to other companies that they should be extremely careful if they want to trade in individuals’ biometric information,” he said. The company announced in 2021 that it was shutting down its face-recognition system and delete the faceprints of more than 1 billion people amid growing concerns about the technology and its misuse by governments, police and others. At the time, more than a third of Facebook’s daily active users had opted in to have their faces recognized by the social network’s system. Facebook introduced facial recognition more than a decade earlier but gradually made it easier to opt out of the feature as it faced scrutiny from courts and regulators. Facebook in 2019 stopped automatically recognizing people in photos and suggesting people “tag” them, and instead of making that the default, asked users to choose if they wanted to use its facial recognition feature. Texas filed a similar lawsuit against Google in 2022. Paxton’s lawsuit says the search giant collected millions of biometric identifiers, including voiceprints and records of face geometry, through its products and services like Google Photos, Google Assistant, and Nest Hub Max. That lawsuit is still pending. The $1.4 billion is unlikely to make a dent in Meta’s business. The Menlo Park, California-based tech made a profit of $12.37 billion in the first three months of this year, Its revenue was $36.46 billion, an increase of 27% from a year earlier. Meta is scheduled to report its second-quarter earnings results on Wednesday. Meta’s stock slipped $4.06 to $461.65 Tuesday, a decline of less than 1%. ___ AP Technology Writer Barbara Ortutay in San Francisco contributed to this report. ___ Lathan is a corps member for The Associated Press/Report for America Statehouse News Initiative. Report for America is a nonprofit national service program that places journalists in local newsrooms to report on undercovered issues.
U.S. Accuses Norfolk Southern of Delaying Amtrak Trains 2024-07-30 15:32:20+00:00 - The Justice Department on Tuesday accused Norfolk Southern, one of the country’s largest freight railroad companies, of violating federal law by delaying Amtrak passenger trains along the route between New Orleans and New York. In a complaint filed in U.S. District Court for the District of Columbia, the Justice Department said Norfolk Southern failed to give Amtrak passenger trains preference over freight trains, as it is required to do under federal law. “Norfolk Southern regularly fails to do so, leading to widespread delays that harm and inconvenience train passengers, negatively affect Amtrak’s financial performance and impede passenger rail transportation,” the complaint said. “Americans should not experience travel delays because rail carriers break the law,” Attorney General Merrick B. Garland said in a statement. “Our action today alleges that Norfolk Southern violates federal law by failing to give the legally required preference to Amtrak passenger trains over freight trains.”