Exclusive: India's Paytm gets government panel nod to invest in payments arm, sources say
NEW DELHI, July 9 (Reuters) - India's beleaguered Paytm (PAYT.NS), opens new tab has secured approval from a government panel that oversees investments linked to China to invest 500 million rupees ($6 million) in a key subsidiary, three sources with direct knowledge of the matter said.
The approval, which still has to be vetted by the finance ministry, will remove the main stumbling block to the unit, Paytm Payment Services, resuming normal business operations.
Paytm Payment Services is one of the biggest remaining parts of the fintech firm's business, accounting for a quarter of consolidated revenue in the financial year ended March 2023.
A separate unit, Paytm Payments Bank, was wound down this year by order of the central bank due to persistent compliance issues, triggering a meltdown in Paytm's stock.
The government panel had earlier held back approval due to concerns about the 9.88% stake in Paytm held by China's Ant Group. India has intensified scrutiny of Chinese businesses since a 2020 border clash between the two countries.
All in all, Paytm has been waiting for the nod from the government panel for about two years and without it, it would have had to also wind down its payment services business, which was forbidden from taking on new customers in March 2023.
Once the approval has been formalised, it will be able to seek a so-called "payment aggregator" licence from the Reserve Bank of India.
The sources, two of whom are government sources, declined to be identified as the decision has not been formally announced.
India's foreign, home, finance and industries ministries, whose representatives sit on the panel, did not reply to emails seeking comment.
A Paytm spokesperson said the company does not comment on market speculation. "We will continue to make disclosures in compliance with our obligations under the SEBI Regulations, and will inform the exchanges when there is any new material information to share," the spokesperson said.
Are US development jobs falling off a cliff?
Companies are going to have fewer people and fewer layers. Ten years from now, the software development circuit may have fewer jobs, higher salaries, and more product-centric work. The reason behind it is the rapid development of AI, AI has approached human beings at the intelligence level, a lot of work relying on thinking ability may be handed over to AI, while emotion is still the territory of human beings, how to communicate and collaborate is the most important ability in the near future. When Indeed's chart for software development and operations jobs was released, we found that, as the chart shows, there was a peak in early 2022, but after that there was a precipitous decline.
Turkey has cancelled a 40 percent tariff on Chinese cars, and BYD has invested $1 billion to build a factory
Byd has grown rapidly in China over the past few years, becoming the country's best-selling car brand and the world's biggest selling electric car brand. Byd opened its first electric car factory in Southeast Asia on Thursday in Thailand. Byd also took over a former Ford Motor Co. plant in Brazil and has been looking for a site for a Mexican plant. Europe's first automotive plant is under construction in Hungary. Byd's second-quarter sales jumped to a record 982,747 vehicles, up more than 40 per cent from a year earlier. Although the company's sales in Europe have been sluggish so far, it is making a big marketing push in the region to replace Volkswagen as the main automotive sponsor of the European Championship. According to a recent Fortune report, officials said that Turkish President Recep Tayyip Erdogan is expected to announce the agreement for BYD to build the plant at a signing ceremony on Monday in Manisa province, where the plant will be built. The officials spoke on condition of anonymity because they were not authorized to speak publicly. Byd representatives declined to comment. Turkish Industry and Technology Minister Mohamed Fatih Kassir said in May that he was in advanced discussions with BYD and Chery on investment in Turkey. The new plant will improve BYD's access to the European Union, as Turkey has a customs union agreement with the EU. The European Union this week announced temporary punitive tariffs on electric vehicles imported from China, with BYD imposing an additional 17.4 percent tariff on top of the existing 10 percent tariff. Other Chinese carmakers have been hit with higher tariffs. Investing in Turkey would strengthen the presence of Chinese carmakers in Europe at a time of escalating trade tensions.
Israeli strike kills a senior Hezbollah commander in south Lebanon
BEIRUT/JERUSALEM July 3 (Reuters) - An Israeli strike killed one of Hezbollah's top commanders in south Lebanon on Wednesday, prompting retaliatory rocket fire by the Iran-backed group into Israel as their dangerously poised conflict rumbled on. The Israeli military said it had struck and eliminated Hezbollah's Mohammed Nasser, calling him commander of a unit responsible for firing from southwestern Lebanon at Israel. Nasser, killed by an airstrike near the city of Tyre in southern Lebanon, was the one of the most senior Hezbollah commanders to die yet in the conflict, two security sources in Lebanon said. Sparked by the Gaza war, the hostilities have raised concerns about a wider and ruinous conflict between the heavily armed adversaries, prompting U.S. diplomatic efforts aimed at deescalation. Israeli Defence Minister Yoav Gallant said Israeli forces were hitting Hezbollah "very hard every day" and will be ready to take any action necessary against the group, though the preference is to reach a negotiated arrangement. Hezbollah began firing at Israeli targets at the border after its Palestinian ally Hamas launched the Oct. 7 attack on Israel, declaring support for the Palestinians and saying it would cease fire when Israel stops its Gaza offensive. Hezbollah announced at least two attacks in response to what it called "the assassination", saying it launched 100 Katyusha rockets at an Israeli military base and its Iranian-made Falaq missiles at another base in the town of Kiryat Shmona near the Israeli-Lebanese border. Israel's Channel 12 broadcaster reported that dozens of rockets were fired into northern Israel from Lebanon. There were no reports of casualties. The Israeli Defence Ministry said that air raid sirens sounded in several parts of northern Israel. Israel's military did not give a number of rockets launched but said most of them fell in open areas, some were intercepted, while a number of launches fell in the area of Kiryat Shmona.
How the iPhone 16 With AI Could Send Apple's Market Value to $4T
Apple could be on track to reach a $4 trillion market capitalization with the artificial intelligence (AI) iPhone 16 upgrade cycle coming, Wedbush analysts said. The analysts said the iPhone 16 supercharged with AI could bring a "golden upgrade cycle" for Apple. Apple's recently announced iOS 18 with Apple Intelligence and OpenAI partnership are also expected to create monetization opportunities and increase share value. Apple (AAPL) could be on the path to a $4 trillion market capitalization as an iPhone upgrade cycle approaches, driven by the iPhone 16 supercharged with artificial intelligence (AI) capabilities, according to Wedbush analysts. 1 Apple's recently announced iOS 18 with Apple Intelligence and OpenAI partnership are also expected to create monetization opportunities and increase share value. AI iPhone 16 Upgrade Cycle Coming Soon Wedbush analyst said that an AI iPhone 16 could bring "a golden upgrade cycle for Cupertino looking ahead with pent-up demand building globally." "The Street is now starting to slowly recognize that with Apple Intelligence on the doorstep in essence Cupertino will be the gatekeepers of the consumer AI Revolution," they said, with 2.2 billion iOS devices globally and 1.5 billion iPhones. Wedbush suggested a "consumer AI tidal wave" could start with the iPhone 16 in mid-September, adding that estimates indicate 270 million iPhones users have not upgraded in over four years. Recovery in China To Support Upgrade Cycle The analysts indicated that iPhone supply stabilization in Asia is also "a very good sign heading into a monumental iPhone 16 upgrade cycle." Wedbush's projections come amid ongoing concerns for the iPhone maker in the China region amid increased competition, though there have been recent signs of improving shipments. They projected that June "will be the last negative growth quarter for China with a growth turnaround beginning in the September quarter," when the iPhone 16 is expected to be released. AI and iOS 18 Could Also Boost Share Value Apple unveiled iOS 18 supercharged by Apple Intelligence and an AI partnership with OpenAI at its developers' conference in June. Wedbush analysts said the partnership with the Chat-GPT maker "creates the highway for developers around the globe to focus on iOS 18 and this in turn will create a myriad of monetization opportunities for Cook & Co. over the coming years." The analysts estimated that "this could result in incremental Services high margin growth annually of $10 billion for Apple" driven by hardware and software. They added they believe "AI technology being introduced into the Apple ecosystem will bring monetization opportunities on both the services as well as iPhone/hardware front and adds $30 to $40 per share." Apple shares were little changed in early trading Monday, though they have gained more than 17% since the start of the year. Do you have a news tip for Investopedia reporters? Please email us at tips@investopedia.com SPONSORED Trade on the Go. Anywhere, Anytime One of the world's largest crypto-asset exchanges is ready for you. Enjoy competitive fees and dedicated customer support while trading securely. You'll also have access to Binance tools that make it easier than ever to view your trade history, manage auto-investments, view price charts, and make conversions with zero fees. Make an account for free and join millions of traders and investors on the global crypto market.
Explainer: How Boeing's Starliner can bring its astronauts back to Earth
WASHINGTON, June 24 (Reuters) - Problems with Boeing's Starliner capsule, still docked at the International Space Station (ISS), have upended the original plans for its return of its two astronauts to Earth, as last-minute fixes and tests draw out a mission crucial to the future of Boeing's (BA.N), opens new tab space division. NASA has rescheduled the planned return three times, and now has no date set for it. Since its June 5 liftoff, the capsule has had five helium leaks, five maneuvering thrusters go dead and a propellant valve fail to close completely, prompting the crew in space and mission managers in Houston to spend more time than expected pursuing fixes mid-mission. Here is an explanation of potential paths forward for Starliner and its veteran NASA astronauts, Barry "Butch" Wilmore and Sunita "Suni" Williams. THE CURRENT SITUATION Starliner can stay docked at the ISS for up to 45 days, according to comments by NASA's commercial crew manager Steve Stich to reporters. But if absolutely necessary, such as if more problems arise that mission officials cannot fix in time, it could stay docked for up to 72 days, relying on various backup systems, according to a person familiar with flight planning. Internally at NASA, Starliner's latest targeted return date is July 6, according to this source, who spoke on condition of anonymity. Such a return date would mean that the mission, originally planned for eight days, instead would last a month. Starliner's expendable propulsion system is part of the craft's "service module." The current problems center on this system, which is needed to back the capsule away from the ISS and position it to dive through Earth's atmosphere. Many of Starliner's thrusters have overheated when fired, and the leaks of helium - used to pressurize the thrusters - appear to be connected to how frequently they are used, according to Stich.