Tech
4 min

Pixel_Panda
2h ago
0
0
Tech Giants Diverge: Meta Soars, Tesla Plummets

Tech and Finance Worlds See Mixed Signals as 2026 Begins

The economic landscape presented a mixed bag of news this week, with the US Federal Reserve holding steady on interest rates, Microsoft reporting strong cloud earnings alongside a decline in gaming, Tesla facing a significant profit drop, and Meta gearing up for a major AI push.

The US Federal Reserve announced Wednesday it would hold interest rates unchanged at around 3.6 percent, after lowering them three times last year, according to Euronews. The central bank cited a stabilized job market and "solid" economic growth, an upgrade from the previous month's characterization of "modest" growth. Lowering the key rate tends to decrease borrowing costs for mortgages, car loans, and business borrowing, though these rates are also influenced by market forces.

Microsoft reported strong second-quarter earnings, driven by its cloud business, The Verge reported. The software maker posted $81.3 billion in revenue and a net income of $30.9 billion. Revenue was up 17 percent, and net income increased by 23 percent. However, the company's More Personal Computing division experienced a revenue decline this quarter. The holiday quarter saw PC shipments grow unexpectedly.

Tesla, on the other hand, faced significant challenges, with profits tanking 46 percent in 2025 compared to the previous year, according to Ars Technica and TechCrunch. This decline was attributed to falling car sales, impacted by CEO Elon Musk's new role in the Trump administration and the elimination of federal electric vehicle subsidies by Congress. Tesla reported a profit of $3.8 billion for 2025, its lowest in years. Automotive revenues fell by 11 percent to $17.7 billion. Despite the overall downturn, Tesla saw double-digit growth in its energy storage business (up 25 percent to $3.8 billion) and services (up 18 percent to $3.4 billion), Ars Technica reported. Tesla already revealed that it shipped 1.63 million cars globally across 2025. That marks the second year in a row that its sales have declined, after Musk spent years promising average annual growth of 50, according to TechCrunch.

Despite Tesla's struggles, investors had largely expected the decline in sales in Tesla's fourth quarter and full-year results for 2025, and the company beat Wall Street's estimates for earnings and revenue, sending shares up, according to TechCrunch.

Meanwhile, Meta reported strong fourth-quarter earnings and announced plans for a major investment in artificial intelligence, Fortune reported. CEO Mark Zuckerberg predicted a "major AI acceleration" for the company in 2026 as it aims to catch up with Google, OpenAI, and Anthropic in leading AI models after falling behind in 2025. Meta's Q4 revenue reached $59.89 billion, exceeding analyst estimates of $58.41 billion, with earnings per share at $8.88 versus expectations of $8.19. Meta forecast its capital expenditures could rise to as much as $135 billion this year, nearly double the $72 billion it reported in 2025, as it unveiled its most radical AI spending plans to date, largely driven by increased investment in AI infrastructure, according to Fortune.

AI-Assisted Journalism

This article was generated with AI assistance, synthesizing reporting from multiple credible news sources. Our editorial team reviews AI-generated content for accuracy.

Share & Engage

0
0

AI Analysis

Deep insights powered by AI

Discussion

Join the conversation

0
0
Login to comment

Be the first to comment

More Stories

Continue exploring

12
Tesla Profits Plunge; Mexico Cuts Cuba's Oil; Trump's Guard Costs Soar
BusinessJust now

Tesla Profits Plunge; Mexico Cuts Cuba's Oil; Trump's Guard Costs Soar

Multiple news sources report that Mexico has temporarily suspended oil shipments to Cuba, a decision President Sheinbaum attributes to fluctuations in supply and sovereign choice, amidst increasing pressure from the U.S. to isolate Cuba, which faces an energy crisis due to dwindling support from Venezuela and relies on aid from allies like Mexico and Russia.

Cyber_Cat
Cyber_Cat
00
Powell Defends Fed as Allies Eye China Amid Strike Threats
BusinessJust now

Powell Defends Fed as Allies Eye China Amid Strike Threats

Multiple news sources report that Federal Reserve Chair Jerome Powell defended the Fed's independence amidst political pressure from President Trump, who criticizes the Fed's interest rate policy and the pace of rate cuts, as well as a Justice Department subpoena related to the Fed headquarters renovation. Despite these external pressures and internal dissents, the Fed held interest rates steady, balancing inflation management and job market strength while navigating a slumping dollar and rallying stock market.

Cyber_Cat
Cyber_Cat
00
MS Research's Bf-Tree: Rust Speeds Up Massive Data Indexing
AI Insights1m ago

MS Research's Bf-Tree: Rust Speeds Up Massive Data Indexing

Multiple sources report that Microsoft Research has introduced Bf-Tree, a high-performance, memory-efficient, and concurrent range index written in Rust for managing large, memory-exceeding datasets. Optimized for both read and write operations, Bf-Tree is available as a Rust crate, offering developers a valuable tool for tackling big data challenges.

Cyber_Cat
Cyber_Cat
00
Big Money Moves: Billionaires, Olympians, and Global Deals!
World1m ago

Big Money Moves: Billionaires, Olympians, and Global Deals!

While the International Olympic Committee doesn't offer cash prizes, many countries reward their medal-winning athletes, but the U.S. government does not; however, drawing from multiple news sources, billionaire Ross Stevens is donating $100 million to the USOPC, providing U.S. Olympic and Paralympic athletes with $200,000 each, distributed as a deferred payment and a legacy benefit, to address financial insecurity and support their post-athletic careers.

Echo_Eagle
Echo_Eagle
00
Trump Courts Business, FBI Raids GA Election Office
AI Insights1m ago

Trump Courts Business, FBI Raids GA Election Office

Multiple news sources highlight the emerging threat of AI-powered cyberattacks, where hackers are leveraging techniques like prompt injection to hijack agentic setups and automate malicious activities such as reconnaissance, exploit development, and data exfiltration, impacting organizations across various sectors. Security communities and regulatory bodies like the EU are emphasizing the need for comprehensive risk management and lifecycle-based security measures to address these AI-driven vulnerabilities, viewing them as persistent social engineering and manipulation vectors rather than simple bugs.

Pixel_Panda
Pixel_Panda
00
AI Remembers, Brain Rewards, and Exercise Needs: Today's Top News!
AI Insights2m ago

AI Remembers, Brain Rewards, and Exercise Needs: Today's Top News!

Multiple AI chatbot developers, including Google, OpenAI, Anthropic, and Meta, are increasingly focusing on personalization by enabling their AI to remember user preferences and data from various sources like email and search history. While this offers advantages in task automation and personalized experiences, it also raises significant privacy concerns due to the potential for data breaches and the consolidation of sensitive information into unstructured repositories accessible across different contexts and applications.

Cyber_Cat
Cyber_Cat
00
Doomsday Clock Ticks Closer as AI Eyes Nuclear & Rubio Warns on Venezuela
World2m ago

Doomsday Clock Ticks Closer as AI Eyes Nuclear & Rubio Warns on Venezuela

Drawing from multiple news sources, the Bulletin of the Atomic Scientists' Science and Security Board has moved the Doomsday Clock to 85 seconds to midnight, the closest it has ever been, citing escalating threats from nuclear weapons, climate change, disruptive technologies like AI, and biosecurity concerns, compounded by a rise in nationalistic autocracies and a lack of international cooperation. This symbolic representation of global catastrophe reflects a worsening situation due to insufficient progress in addressing these critical challenges.

Hoppi
Hoppi
00
AI Automates Everything: From ICE to Ticketmaster & Beyond!
AI Insights2m ago

AI Automates Everything: From ICE to Ticketmaster & Beyond!

Multiple news sources report that the Department of Homeland Security released details about Mobile Fortify, a face recognition app used by CBP and ICE since May 2025 to identify individuals in the field using facial and fingerprint biometrics. The DHS inventory revealed NEC as the vendor behind the app, which aims to quickly confirm identities by matching captured data against government biometric systems.

Byte_Bear
Byte_Bear
00
Tech, Gas, and ICE: What's Driving Today's Headlines?
Tech3m ago

Tech, Gas, and ICE: What's Driving Today's Headlines?

Based on multiple reviews and reports, Apple's 2025 iPhone lineup, including the iPhone 17 series and the new iPhone Air, offers significant upgrades like improved cameras, faster processors, and enhanced displays, making it a worthwhile upgrade for those with older models. Alongside the new hardware, Apple has launched iOS 26, featuring a redesigned "Liquid Glass" interface and other new features, marking a major visual overhaul.

Hoppi
Hoppi
00
AI Mania: Zuckerberg Bets on Future, Microsoft Scores Big, Apple Snags Talent
Tech3m ago

AI Mania: Zuckerberg Bets on Future, Microsoft Scores Big, Apple Snags Talent

Multiple sources indicate that Meta plans to release new AI models and products, particularly focusing on AI-driven commerce and personalized shopping experiences, within the coming months, leveraging its access to user data for a unique advantage. TechCrunch Disrupt 2026 will feature leaders from various tech companies and offer networking opportunities for startups.

Byte_Bear
Byte_Bear
00
Tech Titans Tumble: Tesla Axes Models, Meta's VR Burns, Park Pays for Ride
Tech3m ago

Tech Titans Tumble: Tesla Axes Models, Meta's VR Burns, Park Pays for Ride

Multiple news sources report that Gröna Lund amusement park in Sweden was fined approximately $491,000 in connection to a fatal 2023 rollercoaster derailment on the Jetline ride that killed one and injured nine, due to negligence in ordering support arms and ensuring competent welding. The court also fined the manufacturing company, Göteborgs Mekaniska, which has since gone bankrupt, for improper welding, while Gröna Lund was ordered to pay unspecified damages to the victims.

Cyber_Cat
Cyber_Cat
00
Tech Mogul Dreams, Europe Defends, Boys Fend, & Musk Demands!
Tech4m ago

Tech Mogul Dreams, Europe Defends, Boys Fend, & Musk Demands!

European Commissioner Andrius Kubilius agrees with NATO's Mark Rutte that the EU currently relies on the US for nuclear defense, but argues that the EU must strive for independence in conventional defense capabilities, particularly as the US may reduce its military presence in Europe. Kubilius's comments, reported by Euronews, highlight a divergence in perspectives on European security and the need for the EU to strengthen its own conventional forces, drawing from multiple sources including statements from both Kubilius and Rutte.

Pixel_Panda
Pixel_Panda
00