Qualcomm is a major supplier to both Apple and Samsung Electronics Co Ltd for "modem" chips that connect phones to wireless networks. The two companies together accounted for 40 percent of Qualcomm's $23.5 billion in revenue in its most recent fiscal year. In the lawsuit filed in U.S. District Court for the Southern District of California, Apple accused Qualcomm of overcharging for chips and refusing to pay some $1 billion in promised rebates.
U.S. President Donald Trump's administration is only hours old, but already a small parade of S&P 500 companies' chiefs have voiced optimism that his promised tax cuts, stimulus spending and deregulation will boost corporate profits. In the days ahead of Friday's inauguration, senior executives from Morgan Stanley , Delta Air Lines and other major U.S. corporations said the Trump White House has already sparked a brighter outlook for business. "There is certainly more reason to be optimistic as we enter 2017 than there was at the beginning of 2016," Morgan Stanley CEO James Gorman said on Tuesday after his bank said profit doubled in the fourth quarter.
Apple Inc filed a $1 billion lawsuit against supplier Qualcomm Inc on Friday, days after the U.S. government filed a lawsuit that accused the chip maker of resorting to anticompetitive tactics to maintain a monopoly over key semiconductors in mobile phones. Qualcomm is a major supplier to both Apple and Samsung Electronics Co Ltd for "modem" chips that connect phones to wireless networks. The two companies together accounted for 40 percent of Qualcomm's $23.5 billion in revenue in its most recent fiscal year.
A U.S. bankruptcy court judge granted Avaya Inc approval on Friday to tap $425 million of the $725 million loan proposed to carry the telecommunications company through its restructuring, funds the company said were essential to continue operations. Avaya filed for Chapter 11 bankruptcy protection on Thursday to cut its debt of about $6 billion after efforts to sell its call center business and reach a consensual deal with creditors failed. "The company has taken a decisive step to rightsize its balance sheet," Pat Nash, one of the company's attorneys, told Judge Stuart Bernstein at the U.S. Bankruptcy Court for the Southern District of New York.
U.S. stocks closed higher on Friday in a modest but broad-based advance as Donald Trump was sworn in as U.S. President, marking the first time in more than 50 years that a new commander-in-chief has been welcomed by a rising equity market on his first day in office. In his speech, Trump said U.S. policy will be to buy American and hire American, reiterating what he had said many times during this campaign for the White House.
Gorman will receive $22.5 million in total compensation, up from $21 million in 2015, spokesman Mark Lake said in an email. Gorman received a $5 million stock bonus for his performance in 2016, an 8 percent increase from 2015, according to a filing with the U.S. Securities and Exchange Commission. The filing did not provide greater detail on Gorman's total 2016 compensation.
Commodities trader and investor TrailStone Group has purchased Cargill Inc's gas and power trading group, three sources familiar with the deal said this week. The move, first reported by Sparkspread, comes amid a reshuffling in the power and natural gas industry as private equity firms and hedge funds pour into the space, filling a void left by banks and other longtime players. The banks and others have been pulling back over the past several years as natural gas prices have reached lows not seen in a decade, due to abundant U.S. shale gas and increasingly strict capital requirements and regulations that have pressured banks to reduce their involvement in physical commodities markets.
U.S. department store chains, hit by slowing sales for more than two years, have used layoffs, store closings and cutbacks to maintain one aspect of stability: profit margins. An analysis of two important indicators of retail profitability, gross margins and operating margins, shows retailers like Kohl's Corp , JC Penney Co Inc , Macy's Inc and Target Corp have done a better job at delivering on profitability than maintaining sales growth.
Ride-hailing company Uber Technologies Inc [UBER.UL] has hired the man behind Google search to work closely with Chief Executive Travis Kalanick and help grow the company's self-driving car program. Amit Singhal announced on his personal blog on Friday that he will join Uber after 15 years at Alphabet Inc , where he led Google's search division. Singhal will take the post of senior vice president of engineering, an Uber spokesman said, a role which oversees the company's marketplace and mapping efforts - the core of Uber's business.
U.S. President Donald Trump's policies could lead to more violent stock market movements, something prominent hedge fund manager Lee Ainslie said could help his portfolio rebound after a lousy 2016. Ainslie's $11 billion Maverick Capital missed out on a rally sparked by Trump's unexpected election in November and ended the year with double digit losses in its biggest funds, underperforming the broader stock market and most hedge funds.
American International Group Inc has agreed to pay roughly $10.2 billion to Warren Buffett's Berkshire Hathaway Inc to take on many long-term risks on U.S. commercial insurance policies it has already written. Berkshire's National Indemnity Co unit, led by Buffett's reinsurance chief Ajit Jain, will take on 80 percent of net losses in excess of the first $25 billion, with a maximum liability of $20 billion.
An aging workforce and low productivity growth will keep the United States from growing faster than about 2 percent annually on a sustainable basis, Williams said at the Bay Area Economic Institute's annual forecast conference. Donald Trump, sworn in as the 45th U.S. president just hours earlier, has promised his economic policies will boost growth to 4 percent. It was unclear how that ambition will square with the Fed's determination, as articulated by Fed Chair Janet Yellen earlier this week, to raise rates gradually in order to prevent the economy from overheating.
Canada's business competition watchdog said on Friday it had reached an agreement with Apple Inc and three major e-book publishers that will allow retailers to offer discounts to customers. The Competition Bureau's investigation found that an arrangement between the publishers and Apple led to higher prices for Canadians. The watchdog said it had entered into consent agreements with Apple, Lagardere SCA's Hachette, Verlagsgruppe Georg von Holtzbrinck GmbH's Macmillan and CBS Corp's Simon & Schuster that will let other retailers, including Amazon.com and Kobo, give discounts on e-books by those publishers.
A consortium controlled by Brazilian builder Odebrecht S.A. will miss a financing deadline on Monday for a natural gas pipeline project in Peru and awaits government notification that it will lose the $5 billion contract, the company said on Friday. Odebrecht, a family-owned conglomerate at the center of a growing bribery scandal in Latin America, has spent months trying to sell its 55 percent in the project as a condition from banks that would provide $4.1 billion for construction. Shares of Peru's biggest construction group, Grana y Montero , which owns a 20 percent stake, slipped more than 2 percent - extending their more than 30 percent drop since a month ago when Odebrecht admitted to bribing officials in Peru.
NEW YORK (Reuters) - Societe Generale agreed to pay a $50 million civil fine to settle U.S. claims that it defrauded investors in connection with the marketing and sale of residential mortgage-backed securities.
By John McCrank NEW YORK (Reuters) - Nasdaq Inc will ask U.S. regulators under the Trump administration to limit the trading of shares of small companies and illiquid exchange-traded funds to the exchanges on which they are listed, the market operator said in a note to clients. Such a move would make it cheaper for investors to buy and sell small-cap stocks and niche ETFs, spur more trading, and improve market transparency, Tal Cohen, Nasdaq's head of North American equities, said in the Jan. 19 note, reviewed by Reuters. Under current stock market rules, all U.S. stocks and ETFs can be traded on any of the 13 registered U.S. stock exchanges, regardless of where they are listed, a system aimed in part at promoting competition and adding resiliency to the market.
The FTC isn't convinced that Walgreen's proposal to sell 865 drugstores to Fred's Inc would do enough to preserve competition that would be lost in the $9.4 billion tie-up, Bloomberg reported on Friday. Walgreens will have to pay Rite Aid a termination fee of $325 million if the FTC blocks the deal. Walgreens declined to comment.