NEWS IN BRIEF - Business: Microsoft now holds 27 percent of chat-GPT maker Open AI +++ Amazon cuts around 14,000 office jobs

(dpa) Software giant Microsoft holds a 27 percent stake in chat GPT developer Open AI and has secured access to the AI ​​company's technology until 2032. The stake is currently valued at approximately $135 billion, Microsoft announced on Tuesday (October 28). Investors reacted with a temporary three percent increase in Microsoft shares, pushing the market value of the Windows company above the $4 trillion mark.

Open AI completed a restructuring that had been in the works for months. The basic structure, with a non-profit organization controlling a for-profit company, remains in place. The non-profit part is called the Open AI Foundation and holds a 26 percent stake in the Open AI Group, where the business activities are located. Additional voting rights for the Open AI Foundation are intended to ensure control. Former Open AI co-founder Elon Musk is attempting to torpedo the restructuring in court. The tech billionaire is having his AI company xAI develop the Chat-GPT competitor Grok.

(dpa) The world's largest online retailer, Amazon, is eliminating approximately 14,000 administrative jobs. The company explained the reductions in a statement on Tuesday (October 28) as a result of organizational changes. The Wall Street Journal, among others, reported, citing informed sources, that up to 30,000 jobs could be affected by the cuts in several waves.

Amazon noted in its announcement that new jobs would be created in other areas at the same time. Most affected employees will also be given 90 days to seek alternative positions within the company.

Amazon itself raised the question of why it was resorting to cuts when business was booming. It responded by saying that it shouldn't forget that the world is changing rapidly. The company pointed to current applications using artificial intelligence, which allow for faster innovation. Therefore, the company needs to be as lean as possible.

It was initially unclear to what extent jobs in Germany would be affected by the cuts.

The decline in sales in China on the one hand, and US tariffs on the other: Stuttgart-based automaker Porsche's operating result is shrinking. The operating loss in the third quarter amounts to almost one billion euros. Porsche announced this on Friday (October 24). Analysts had, on average, expected a loss of just over 600 million euros.

The result ultimately reflects the burdens of the strategic realignment, said CFO Jochen Breckner. The company is temporarily accepting the weak figures in order to return to profitability in the longer term. "We expect to pass the low point this year and Porsche to noticeably improve from 2026 onwards," said Breckner.

The main burden is the strategic shift by management under current Porsche CEO Oliver Blume: The ambitious electric targets were recently scrapped – along with planned battery production. The launch of new electric models has also been postponed. In view of "market realities and customer needs," the company is instead aiming for a comeback of combustion engines well into the next decade. These measures are costly: Special costs of approximately €3.1 billion are expected for the 2025 fiscal year, it was announced.

Meanwhile, management and the works council are negotiating further layoffs. The elimination of 1,900 jobs in the region was already announced at the beginning of the year. In addition, the contracts of around 2,000 temporary employees are expiring.

(dpa) According to preliminary investigation results by the European Commission, Facebook, Instagram, and TikTok are violating an EU digital law. They face heavy fines for a lack of data transparency if they fail to present exculpatory material or make adjustments, the EU Commission announced on Friday (October 24).

According to the statement, all three platforms do not provide sufficient insight into their data. According to the EU Commission, publicly accessible datasets should enable researchers to investigate, for example, the effects of violent content on children. The basis for these procedures is the Digital Services Act (DSA).

In addition, the EU Commission has raised two further allegations, but these are directed exclusively against the Instagram and Facebook platforms of the US company Meta. First, it appears that Meta CEO Mark Zuckerberg's two social networks are making it difficult to report illegal content.

The Brussels authority complains that users have to go through too many steps when reporting content such as terrorist videos, anti-Semitic texts, or child abuse. These steps may also be presented in a misleading manner. According to the EU Commission, these are unnecessary hurdles that are not in line with European digital law.

It is also stated that, according to the preliminary assessment, Facebook and Instagram offer an overly cumbersome complaint procedure through which users can object to the blocking of their accounts or the deletion of their content.

(dpa) Despite the chip crisis, there will be no production outages at Volkswagen next week. As things stand, vehicle production at its German plants is secured for the coming week, the company announced on Friday (October 24).

"The supply bottlenecks at the Dutch chip manufacturer Nexperia continue to have no impact on production at the Volkswagen brand's vehicle manufacturing plants in Germany," a spokesperson said. This also applies to the subsidiaries Audi and Porsche.

As recently as Wednesday, VW warned of potential production outages, even at short notice. The reason is supply problems at chip manufacturer Nexperia. Nexperia is experiencing supply problems after the Dutch government took control of the company, which is run by a Chinese parent company.

China subsequently stopped exports of Nexperia products, such as chips for the automotive industry. Other manufacturers and suppliers are also affected. The reason for this is the trade dispute between the US and China.

ael. Apple has lost a legal battle in the UK over its app store fees. A court ruled that Apple abused its dominant market position by charging app developers an unfair 30 percent commission, thereby eliminating competition.

If someone sells an app through the App Store or offers in-app purchases, Apple takes a commission of up to 30 percent. However, developers are only allowed to distribute their apps through the App Store on iPhones and iPads—there is no competing platform.

Millions of users in the UK could now receive compensation. The amount will be determined next month. The class action lawsuit, filed on behalf of approximately 20 million iPhone and iPad users, has a claim value of up to £1.5 billion.

ael. US President Donald Trump has pardoned Changpeng Zhao, the convicted founder of the world's largest crypto exchange, Binance. The Wall Street Journal reports this, citing several "people familiar with the matter." Zhao had previously tried for months to promote the Trump family's crypto company.

In 2023, the company pleaded guilty to violating U.S. money laundering regulations and was banned from operating in the United States.

The president signed the pardon on Wednesday. White House press secretary Karoline Leavitt said Trump "exercised his constitutional authority by pardoning Mr. Zhao, who was prosecuted by the Biden administration in its war on cryptocurrencies."

ela . The Swiss logistics group Kühne und Nagel reported weaker figures for the third quarter. Sales fell by seven percent to CHF 6.04 billion, and gross profit, adjusted for volatile freight rates, fell by four percent to CHF 2.11 billion. The group announced this on Thursday (October 23).

The company from Schindellegi in the canton of Schwyz is reducing its annual target and launching a cost-cutting program that envisages the elimination of 1,000 to 1,500 jobs worldwide.

Donald Trump is traveling to the World Economic Forum (WEF) in Davos. This was reported by the CH Media newspapers, citing "two independent sources," on Wednesday morning (October 22).

However, it wasn't the organizers who persuaded Trump to attend. Rather, the American president invited himself – even before the WEF organizers approached him. Trump had already attended the conference in 2018 and 2020. The next WEF edition will take place from January 19 to 23, 2026.

(dpa) Warner Brothers Discovery says it has several potential takeover buyers and is considering a sale. There are potential buyers for both the entire company and just the Warner Hollywood studio, the company announced on Tuesday (October 21). No names were disclosed. Warner Brothers Discovery also owns the news channel CNN, among others.

The group had already initiated steps to separate its traditional TV channels from its film and streaming businesses by mid-2026. While these steps are now being pursued further, it remains only one of the options.

According to several media reports, film producer David Ellison, who recently acquired rival Paramount, had also expressed interest in the Warner Brothers group. This shifted the focus to CNN's future. David Ellison's father is Larry Ellison, a billionaire co-founder of the software company Oracle and a supporter of US President Donald Trump. CNN is critical of Trump. Paramount was already acquired largely with money from Ellison Sr., and he would likely also finance the takeover of Warner Brothers.