Google under suspicion of monopoly
In the US state of Virginia, Judge Leonie Brinkema has made an important ruling that puts Google $GOOGL (+3,82 %) in her sights. She found that the company had gained a monopoly position on several platforms, particularly in the area of ad servers and ad exchanges, through unfair competition. This ruling stems from a lawsuit filed by the US government in 2023 and affects two out of three advertising markets. The final impact of the ruling is still uncertain and will be further explored in upcoming proceedings. Google plans to appeal the ruling. The company argues that there are many alternatives for advertisers and that they choose Google because the tools offered to place ads are both simple and cost-effective. The development could have far-reaching consequences for the advertising industry and influence competition in the market.
Apple struggles with tariffs in China
Apple $AAPL (+3,78 %) is facing a real challenge as the company is heavily dependent on its production in China. At the same time, the US government has imposed high tariffs on Chinese imports, which have recently risen to a staggering 245%. These tariffs not only represent a significant hurdle for production, but also for Apple's business strategy. China is not only Apple's second largest market, but is also where around 90% of the 220 million iPhones sold each year are produced. Despite a temporary exemption from tariffs on some electronic devices, Trump has hinted that further tariffs are on the cards. Developments in the trade relationship between the US and China make Apple's global supply chain an Achilles heel. While the company is making efforts to outsource its production to Vietnam and India, China remains the key location for the manufacture of most Apple products. The situation calls for swift action and strategic adjustments to reduce dependence on a single market.
Sources:
https://www.bbc.com/news/articles/czx17361pw1o
