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Starlink’s (SPCX) $8B power play sends telecom stocks tumbling. (00:14) Meta (META) is cutting off ByteDance ads. (01:05) Apple (AAPL) reportedly cuts component orders. (01:47)
This is an abridged transcript.
SpaceX’s (SPCX) $8B deal to buy a nationwide low-band spectrum portfolio sparked a sudden selloff in major telecom stocks.
Grain Management said in a statement that SpaceX (SPCX) will acquire 100% of Grain’s nationwide 800 MHz spectrum portfolio.
Telecom shares have dipped in premarket action, with T-Mobile (TMUS), Verizon (VZ), and AT&T (T) all down roughly 6%. The three carriers formed a satellite-focused joint venture in May that some market participants believe is intended to respond to the threat from SpaceX.
Combining nationwide low-band airwaves with space-based capacity positions Starlink Mobile to bypass traditional cell towers and challenge major wireless carriers on coverage and in-building signal.
Meta Platforms (META) has banned advertisements from TikTok parent company ByteDance across its platforms in the U.S. and six other countries.
The immediate restriction applies to the U.S., Canada, Egypt, Indonesia, Japan, Thailand, and Vietnam, according to Meta’s statement reported by Reuters.
The policy extends to third-party advertisers running campaigns that link directly to TikTok or other ByteDance-owned properties within those jurisdictions, the report noted.
Meta said in a statement cited by Reuters, “We don’t have to run ads from a competitor whose goal is to pull people off our apps.” Meta calling the decision a normal industry practice.
Apple (AAPL) has reportedly told some of its suppliers to cut production of components for its newly launched iPhone 18 Pro and iPhone 18 Pro Max.
Nikkei Asia reported on Friday that the move comes after soaring memory chip costs forced price increases that have dampened consumer demand.
The report said component orders for October were cut by at least 15% from original requests.
An executive-level source told Nikkei that Orders for both premium models are down 15%-20% in October.
Taiwan Semiconductor Manufacturing Co. (TSM), Qualcomm (QCOM), Broadcom (AVGO), Amkor (AMKR), Corning (GLW), and Texas Instruments (TXN) are among the companies supporting Apple’s (AAPL) supply chain and manufacturing expansion.
Stock index futures are in the green.
Crude oil is down 1% at $90. Brent crude is down 1.2% at $102.
The FTSE 100 is up 0.8% and the DAX is up 1.2%.
Economic calendar:
And be sure to take our investment news quiz for the week. I’ll give you one of the questions to look out for: Which of the following companies announced layoff plans alongside mixed earnings and a disappointing forecast? You have four options. Is it Coca-Cola, American Express, Costco or Nike?
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