Every day, we handpick the 5 Top Stories stock market investors need to know. In 5 minutes, you’ll learn the stocks, CEOs, and money managers moving markets.
Online gaming integrates AI
Two of the gaming industry’s biggest stocks are launching AI-driven products this week. One is Unity Software [U], which has integrated AI into its game development tool kits, used by some 1.8 million developers. The other is NetEase [9999.HK], one of the largest gaming companies in Asia, which will launch a multiplayer title with AI-powered characters on Friday; more than 40 million players have already signed up for the game. Meanwhile, an Australian parliamentary inquiry has recommended a ban on all online gambling advertising.
Nvidia drops on mooted tightening of US chip exports
Nvidia’s [NVDA] share price fell by as much as 3% on news that the US is weighing even tougher restrictions on exports of AI chips to China; approximately a fifth of Nvidia’s revenue currently comes from the country. Rival Advanced Micro Devices [AMD] saw a similar fall. Meanwhile, Brandon Lee of Bloomberg Law writes that “China’s tech sector has a new obsession”, namely, developing AI chatbots — something that it will be much hrder to do if the new US export rules kick in.
Another record quarter on the cards for Tesla’s China sales
Tesla’s [TSLA] sales in China look set for another record quarter, Reuters reports: the electric vehicle (EV) pacesetter could sell 155,000 cars in the country between April and June, a 13% jump on the previous quarter, which was also a record. However, Tesla has likely lost market share to BYD [1211.HK] and Guangzhou-owned [601238.SS] Aion. Nissan [7201.T] has announced new members of its executive committee, although a replacement for its recently departed chief operating officer Ashwani Gupta is not among them.
New Vedanta display factory sources global talent
Indian metals group Vedanta [VEDL.NS] continues its diversification into electronics: its Vedanta Resources display venture is seeking global talent to build and staff a $4bn liquid crystal display panel factory in India. CEO YJ Chen, previously of China’s
HKC [0248.HK], has said it will recruit from Korea, Taiwan and Japan, as well as other areas. Elsewhere in the country, Bloomberg argues that the ongoing tribulations of edtech Byju’s — the country’s most valuable start-up — highlights the issues facing its broader ecosystem.
Is nationalisation imminent for Thames Water?
Thames Water, the UK’s biggest supplier, is in crisis talks with the Department for Environment, Food and Rural Affairs, the Treasury and the water regulator Ofwat over its £13bn debt pile. One possible solution is temporary nationalisation (a ‘special administration regime’). Thames Water’s CEO Sarah Bentley stepped down on Tuesday over the crisis, although the firm maintains that it has a strong liquidity position.