Latest Developments

Europe
BBC Business

Google burning through cash with spiralling AI costs

Google parent Alphabet saw its business continue to grow in recent months, yet growing spending on artificial intelligence (AI) infrastructure put its leftover cash into negative territory. The company's free cash flow, the cash it maintained after paying for operations and investments, came in at negative $5.9bn (£4.3bn) for the first time in at least a decade, according to its past financial records. Alphabet's spending on AI is now expected to hit as much as $205bn this year, an increase from $190bn, as major tech companies race to build around a new wave of the technology. Meanwhile, Alphabet's combined quarterly revenue hit $119.8bn, up 23% compared with the same time last year. Anat Ashkanazi, Google's chief financial officer, noted on a call with financial analysts that the company had shown negative free cash flow due to growing capital expenditures, essentially all of which was related to AI spending. She said the company spent $45bn in the second quarter, with 60% of the cost going towards servers and the remaining 40% going towards data centres. Ashkanazi said on the call that when it comes to AI, "the demand still outpaces that investment". "As long as we see these attractive opportunities to invest, we will continue to invest." Sundar Pichai, Google's chief executive, said that the technological shift to AI tools and capabilities still "feels like early innings in a shift across multiple areas" and that the company's plans around generating financial returns on its spending were "disciplined". "What I see with what you can do with frontier capabilities, there is still a lot of work left to do to translate that into experiences for our users. So that looks like extraordinary opportunities with extraordinary returns." Rachel Winter, a partner at the wealth management firm Killik & Co, said there was a bit of surprise among investors about how much Google was spending. "They said that this year the total they will spend will be between $195bn and $205bn. So these are huge numbers. And I think the fact that the shares dropped about 3.5% in after-hours trading when the results came out, that suggests there is a little bit of concern about those levels."

Google burning through cash with spiralling AI costs
Europe
BBC Business

Firm hacked by rogue OpenAI models says it is 'a wake-up call'

The co-founder of Hugging Face, a technology start-up that was hacked after some of OpenAI's most advanced artificial intelligence (AI) models went rogue, said on Thursday that the incident is "a wake-up call" for the industry. Thomas Wolf told BBC's Newsday radio programme that "this will be one of the most common types of cyber attacks we see", but that most firms are not aware that the "game has changed". The ChatGPT-maker said on Tuesday that its AI models broke out of a secure test environment during a trial and launched a cyber attack. The firm said the incident was "unprecedented" and that it was conducting an investigation with Hugging Face. AI agents are able to operate alone to accomplish tasks after human instruction. Wolf said that Hugging Face initially had no idea where the attack originated when signs of it surfaced in mid-July but that the company was able to contain the breach. Hugging Face is one of the world's largest open-source hubs for sharing AI models and is often used by tech developers and researchers. Wolf said the breach was "very different" from the usual cyber attacks that Hugging Face often faces and that OpenAI quickly informed the company that its models were behind the hack. In a "very short time" there were 17,000 attacks on Hugging Face's network from various IP (Internet Protocol) addresses, said Wolf, who is also the firm's chief science officer. Wolf said it was a warning to other companies that they must strengthen their cybersecurity defences to counter such attacks. The hack is "worrying" because it suggests OpenAI's models ignored the typical safeguards that would prevent an AI program from committing a cyber attack, said Nate Soares from the Machine Intelligence Research Institute. "In some sense, it knew that this was not what the creators intended. It just didn't care," he added. A UK government spokesperson said the country's AI Security Institute was studying how the AI system behaved in the incident and that it was continuing to work with OpenAI and other labs to strengthen safeguards.

Firm hacked by rogue OpenAI models says it is 'a wake-up call'
Europe
The Guardian

Tesla’s profits slide despite growing revenue as it pivots to robotics and AI

Tesla cars on the lot at the factory in Fremont, California. Photograph: Justin Sullivan/Getty ImagesView image in fullscreenTesla cars on the lot at the factory in Fremont, California. Photograph: Justin Sullivan/Getty ImagesTeslaTesla’s profits slide despite growing revenue as it pivots to robotics and AI Shares in Elon Musk company fall more 3% in after-hours trading, as earnings per share miss Wall Street expectations Tesla reported its second-quarter earnings on Wednesday, disclosing far lower profits than expected. The company’s already beleaguered stock, which had fallen about 14% this year to date, dipped further following the earnings report. Elon Musk’s automaker, once the pinnacle of his tech empire, has taken a back seat to SpaceX. Musk’s rocket and AI company held the largest stock market debut in history last month, turning the richest man on Earth into the world’s first trillionaire, though his net worth has since fallen from its peak. Tesla revealed earnings of 31 cents per share, a measurement of profits divided by the number of outstanding shares, less than the 51 cents per share Wall Street predicted. Its revenue was $28.23bn against an expected $25.71bn. Shares in the company fell over 3% in after-hours trading immediately after the numbers were released. Last year’s second-quarter earnings were equally shaky. SpaceX and Tesla stock has slumped this year, with the rocket company down about 26% since its debut. Tesla has, meanwhile, suffered from the end of electric vehicle tax subsidies in the US last year and increased competition from cheaper Chinese automakers. Although Tesla missed revenue expectations in its last quarterly earnings report, the company revealed earlier this month that it exceeded Wall Street’s predictions for its second-quarter auto sales. The stark turnaround was driven largely by sales in Europe, where electric vehicle subsidies are still in place and gas prices have surged as a result of the US-Iran war, leading consumers to buy electric. Tesla’s vehicle sales are no longer as crucial to its market performance as they once were, however, as the company has pivoted towards bets on robotics, autonomous driving and AI. Musk claimed last year that Tesla’s Optimus robot, which has not yet entered widespread production and already faces a slew of Chinese competitors, would be the biggest product of all time and end poverty. On the earnings call, Musk once again claimed that Optimus would be the “biggest product ever”, but cautioned that it faced a number of hurdles given the technological advancements it would require and the difficulties of scaling its production. “It’s one of the hardest things to solve to make an autonomous human robot that can do tasks,” Musk said. The company’s driverless taxi service, Robotaxi, has become a major focus for Tesla as a potential new line of revenue. Tesla announced earlier in the week that it would add Tampa and Orlando to where Robotaxi can operate. The service is currently available in parts of Austin, Dallas, Houston and Miami. Musk has for years declared that the autonomous driving service will have almost infinite demand and claimed that millions of the self-driving cars would soon be on US roads. As is frequently the case with Musk’s promises, he has failed to reach those lofty targets and rollout has been slow. On Wednesday’s call, Musk suggested that the slow growth was out of an abundance of caution for safety and concern that if a Robotaxi killed someone it would generate negative headlines and a regulatory crackdown.

Tesla’s profits slide despite growing revenue as it pivots to robotics and AI
North America
CNBC Finance

Renting a yacht in the Mediterranean this summer just got cheaper

Yacht companies are offering discounts and special offers on charters in the Mediterranean this summer, as geopolitical conflicts cool demand. Summer charters in the Med are down 20% to 30% from last year, yacht brokers say, with a growing number of yachts offering special discounts for the rest of July and August. The softness has also led to more last-minute bookings by charter clients who are looking for deals. Jonathan Beckett, CEO of superyacht brokerage Burgess, said bookings by Americans for charter yachts in the Med this summer started out strong in the beginning of the year but slowed after the outbreak of the Iran war. "In December, January and February, the market was on fire," he said. "Then the war started." Beckett estimates the summer charter season in the Med may be off 30%. Many Americans are booking at the last minute in hopes of deals. While charter clients typically reserve boats months or even a year in advance, this summer they're looking for quick turnarounds. "People are booking a big yacht on a Monday for a vacation that starts Friday," said Anders Kurtén, CEO of Fraser Yachts. Kevin Merrigan, of Northrop & Johnson, said some clients are calling with a last-minute offer only to find the boats already chartered. "There are a lot of last-minute charters this year and deals to be had," he said. "But people who are waiting until the last minute to book are also finding out the yacht has just been chartered or there's a deal already on the table." Still, brokers said there has been a flurry of mid-summer deals and discounts. The 130-foot "Club M," offered a special rate of 210,000 euros ($239,000) for the third week of July, down from its usual rate of 250,000 euros. Other yachts are offering "rare availability" in late July and August. Beckett said demand for largest boats — those over 70 meters — is the strongest. And while interest for the summer might be slow, he said bookings for September are already up from last year. "People are pushing their vacations to the end of summer in hopes there is resolution in the Middle East," he said. Get this delivered to your inbox, and more info about our products and services.

Renting a yacht in the Mediterranean this summer just got cheaper
Europe
BBC Business

Why the UK is dithering over what to do about e-scooters

ByKaty AustinTransport correspondentWhen I step out of Southampton Central railway station, it takes me just seconds to spot an e-scooter. In this city, these devices have become a normal part of the transport ecosystem, along with e-bikes. "It's just the most convenient way to commute from home to the station and back," says Keith Reed, who I speak to as he arrives at the station to catch a train to London. Keith says uses rental e-scooters twice a week. His alternative option would be his bike, but he'd then have to worry about where to leave it. Around the city, there are parking areas for bright orange rental devices everywhere - but they're not necessarily a permanent feature. Southampton hosts one of the numerous government-backed trials around England. This one has been going on since 2021. It also doesn't take long to find e-scooters which aren't part of the trial, but instead are owned by individuals. I see a man riding one along the pavement outside a parade of shops. He doesn't want to stop and talk. These privately owned e-scooters are illegal to ride on public roads across the UK, but they've proliferated regardless. One expert told me the situation was a "Wild West". Among people I spoke to in Southampton, the same concerns came up time and time again: "They're a blinking nuisance," says elderly pedestrian Fred. Another shopper, Martin, says he's "very concerned" whenever he sees them racing through precincts: "An accident's almost inevitable." The endgame of the trials is to reach a decision on whether to make permanent hired e-scooter schemes such as the one Keith uses - and whether to bring in legislation that would legalise and regulate privately owned e-scooters too. But six years since the trials started around England, there's still no conclusion - and as the UK government has responsibility for road traffic legislation across Great Britain, officials in Scotland and Wales say they are waiting on Westminster to act. So why is it taking so long for the government to decide what to do, and what are the consequences of delay? What does the evidence tell us about how safe these things are? And why are people using them in the first place - are they here to stay as a useful part of the transport offer, or will they end up being viewed as a pest on our streets? You'd recognise an e-scooter if you saw one. The Department for Transport's (DfT's) definition of an e-scooter includes no pedals, two wheels and a maximum continuous power rating of 500W. And so far, the trials around England appear to have proved popular. According to DfT research, fom January 2022 to May 2024, 36.9 million trips were made across 30 trial areas outside of London. On average, nearly 19,500 e-scooters were available to hire every day.

Why the UK is dithering over what to do about e-scooters
Europe
BBC Business

Airport drop-off fees up by a third - here are the priciest

Drop-off fees at the UK's major airports have risen by a third on average since last summer, new analysis has found. The RAC looked at the cost of pulling up at the closest point to terminals at the 20 busiest airports - 16 had put up their fees since last year. Trade body Airports UK said free drop-offs were available and fees were part of airports' business models and climate change objectives. London Gatwick's is the highest "farewell fee", charging £10 for 10 minutes on the forecourt outside either of its terminals. At Stansted, £10 buys a more generous 15 minutes, at "Express Set Down" outside departures. London City Airport, which only started making people pay this year, is the most expensive on a per-minute basis. Its £8 charge for five minutes works out at £1.60 per minute. In contrast, none of the top 10 airports in the EU charge for drop-offs, according to RAC research. The RAC acknowledged UK airports generally offered other options for dropping people off at locations further from the terminal, sometimes with free shuttle buses. But the motoring organisation's senior policy officer Rod Dennis said "having a captive audience should be no excuse for these 'farewell fees' – especially when they're completely at odds with how major airports around the world operate." He said drivers needed to be especially careful of barrierless 'park now, pay later' drop-off zones, as they could face a parking charge notice if they failed to pay online or by phone within a certain period of time. Gatwick's price hike comes as the airport tries to get more people arriving by trains and buses. When the Transport Secretary approved the airport's plans for a second runway, one of the requirements was to have 54% of passengers using public transport. Heathrow may also have to act to try and put people off driving to get a third runway.

Airport drop-off fees up by a third - here are the priciest
Asia
The Hindu BusinessLine

Q1 Results Today LIVE: Infosys, Mphasis, IndiGo, Cipla, Meesho, Cyient, PVR INOX, IEX, VMM to announce Q1 results today, Eternal, Nestle, Adani Power, AGEL, Tata Comm, BPCL, HPCL, Dr Reddy's, IndusInd shares in focus

Follow our Stock Market LIVE Updates for Sensex, Nifty, sectoral movers and earnings-driven stock action. Infosys Q1FY27 preview indicates steady growth driven by acquisitions, yet mixed full-year outlook raises concerns among brokerages. Eternal shares rose 2.4% on the NSE to Rs 291.35 before trading flat at Rs 284.70 at 9.22 am. It reported a consolidated net profit of ₹92 crore in the June quarter Sensex traded 357.83 pts or 0.47% lower at 76,397.22 at 9.17 am after opening at 76,515.10 from the previous close of 76,755.05; Nifty 50 fell 101.30 pts or 0.42% to 23,894.95 Revenue from operations for Q1 FY27 stood at Rs. 924.25 crores a growth of 53.23% YoY Strong unexecuted orderbook of Rs. 5,300+ crores underpins sustained revenue visibility July 22, 2026, Mumbai: Waaree Renewable Technologies Limited(WRTL), the EPC arm of the Waaree Group, stands among the leading players in the EPC and T&D space. Beyond its core renewable EPC business, WRTL has been expanding its capabilities across adjacent segments. The recent acquisition of Associated Power Structures Pvt. Ltd. (APSPL) strengthens the company’s presence in the transmission and distribution (T&D) space. Company is also actively pursuing EPC opportunities in Battery Energy Storage Systems and Data Centre. These steps reflect WRTL’s effort to build a broader and more integrated presence across the clean energy value chain. It has announced its unaudited financial results for the quarter ended on June 30, 2026. • HFCL’s Board has approved setting up a state-of-the-art manufacturing facility for Data Center Connectivity Products with an annual capacity of 2.7 lakh assemblies at an estimated capital outlay of ₹215 crore. • The investment is driven by the surging global demand for AI, hyperscale data centres, cloud computing, high-performance computing and high-speed networking, creating significant business opportunities in domestic and international markets. * The facility will manufacture Miniature Multi-Fiber (MMC) and Super High-Density Multi-Fiber Termination (SNMT) assemblies used in high-speed data centres and AI infrastructure and is expected to be commissioned by September 2027. * The project will be funded through an appropriate mix of internal accruals and debt and is expected to strengthen manufacturing capabilities, expand exports, support import substitution and reinforce HFCL’s position in next-generation optical connectivity solutions. Headline results: Continuingrevenue, EBITDA, and PAT growth of +28%, +40% and +42% was +18%, +25%, and +36% vs. our estimates and +19%, +25%, and 34% vs. the Street. Adjusted PAT beat vs. our forecast was driven by lower interest costs and higher associate income.

Q1 Results Today LIVE: Infosys, Mphasis, IndiGo, Cipla, Meesho, Cyient, PVR INOX, IEX, VMM to announce Q1 results today, Eternal, Nestle, Adani Power, AGEL, Tata Comm, BPCL, HPCL, Dr Reddy's, IndusInd shares in focus
Europe
BBC Business

What does an Andy Burnham-led government mean for your money?

Image source, Getty ImagesByKevin PeacheyCost of living correspondentPublished20 July 2026Updated 18 minutes agoIn one of his first moves as Prime Minister, Andy Burnham has announced that VAT will be cut from household electricity bills, as part of his pledge to help with the cost of living. Burnham, in his first speech as prime minister, promised to give people more "breathing space" to help with their finances. Cost of living is a key issue for the new PM. Many people, he has previously said, can't go out for a pint on a Friday, can't take the kids out and can't go on holiday owing to the pressure on their finances. The cost of living has dominated people's lives in recent years, and - to some extent - our politics too. Easing that pressure hasn't been easy. If Burnham plans more support in the form of transport costs and allowing people to earn more before being taxed, and makes care and somewhere to live more affordable, he'll face tough choices on funding those moves and managing the trade-offs that come with them. And his new chancellor, John Healey, will be the one who has to deliver any changes, and outline how to pay for them. A prime minister saying every minute not talking about the cost of living is "a wasted minute". A chancellor saying it is the "number one focus". However, these words weren't spoken by the incoming PM and chancellor, but by Sir Keir Starmer and former chancellor Rachel Reeves - and only in January this year. They removed £150 from a typical annual domestic energy bill in April, by cutting some levies and moving others onto taxation. But, those bills soon went up again, as did the cost of food and mortgages, owing to the impact of the US-Israeli strikes on Iran. Events can have an instant and extreme impact on the best-laid plans. "A more volatile world is a more expensive world," says Adam French, of the financial information service Moneyfacts. The government has announced it is cutting VAT on domestic electricity bills from 5% to zero from 1 October, which it says will save a typical household about £45 a year.

What does an Andy Burnham-led government mean for your money?
Europe
BBC Business

Most bus fares in England to be capped at £2 from January

Image source, Getty ImagesByKaty AustinTransport correspondentPublished22 July 2026, 06:37 BSTUpdated 16 minutes agoThe bus fare cap in England will revert to £2 from January, new prime minister Andy Burnham has announced. The government says the policy, which is expected to cost more than £500m, will "help with the cost of living and give people the breathing space they need". In January 2025, the England-wide bus fare cap rose to £3 under Sir Keir Starmer's Labour government, although Liverpool and Manchester are examples of city regions where fares have been held at £2. Burnham said affordable transport links were an essential, adding: "Lower fares will help people get to where they need to." Transport secretary Heidi Alexander told the BBC's Today programme the measure gives people "a little bit of hope" in a time when many are grappling with higher living costs - especially after fuel costs spiked as a result of the US-Iran war. The new cap will take effect from 1 January 2027 for fares on participating buses outside of London. The Burnham government said going back to a £2 cap should particularly help passengers in rural and coastal areas, where single fares can be higher. Public services in Northern Ireland will also get a small amount of additional money, though ministers will not be obliged to spend the money on public transport. The exact amount will not be known until the autumn budget. Earlier this month Translink, Northern Ireland's public transport company, said it would have to make cuts to services due to budget pressures. While a lower fare cap is welcome, the Campaign for Better Transport said rural areas were still suffering from fewer bus routes and services, adding that such areas had been more affected by council cut backs in the last decade than urban zones. The County Councils Network, which represents 39 unitary and county councils across England, said that bus services in those areas - as measured by vehicle miles - decreased by 18% between 2019 and 2024, which it said was the biggest decline in England. The Campaign for Better Transport's Michael Solomon Williams said: "What we need to see is the replacing of those lost services which have particularly affected those in rural areas".

Most bus fares in England to be capped at £2 from January