ASML's Record Surge, Microsoft Investigates DeepSeek Code
Jan 29, 2025
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T-Mobile CEO Mike Sievert dives into his company's strong fourth-quarter earnings, revealing exciting details about a secret partnership with Apple aimed at integrating SpaceX's Starlink service. He discusses the evolving telecom landscape, highlighting T-Mobile's growth strategies amid increasing competition. They also touch on ASML's record surge driven by AI demand and examine the controversy surrounding Microsoft’s investigation into DeepSeek’s code—throwing a spotlight on data privacy in the tech world.
ASML's record surge reflects the growing AI demand, despite geopolitical challenges impacting their sales in China.
T-Mobile's strong subscriber growth highlights the competitive landscape's evolution amid increasing data demand driven by AI applications.
Deep dives
AI as a Business Priority
A significant majority of business leaders, specifically 89%, indicate that artificial intelligence (AI) is a top priority for their organizations, highlighting the growing recognition of AI's potential in driving efficiency and innovation. Many Fortune 500 companies are increasingly adopting AI tools, with Grammarly being a preferred option due to its commitment to responsible AI and top-tier security credentials. This focus on AI is essential for companies looking to enhance productivity while ensuring that data remains protected and private. The emphasis on selecting the right AI tools becomes crucial for organizations aiming to separate genuine advancements from mere hype.
Impact of DeepSeek on the Chip Industry
DeepSeek's introduction has stirred concerns in the chip industry, particularly regarding its use of AI technology and data privacy. The CEO of ASML noted a surge in orders for chip equipment despite the controversy surrounding DeepSeek, suggesting that the lower costs and broader applications of AI could ultimately benefit chip manufacturers. However, U.S. restrictions on sales of sensitive equipment to China are causing a significant drop in ASML's sales in that region, indicating potential geopolitical implications for the industry. Overall, the interplay between AI developments and market dynamics presents both opportunities and challenges for chipmakers.
T-Mobile's Growth Strategy
T-Mobile continues to experience significant growth, showing a robust increase in wireless subscribers and home internet customers. The company reported adding 903,000 phone customers in a single month, outperforming analyst expectations and guiding for even more growth in the coming years. The success is attributed to T-Mobile's competitive positioning in the market and an enhanced focus on attracting not just consumers but also business clients. As demand for data increases, particularly for AI applications, T-Mobile sees opportunities to differentiate itself through its expansive network capacity.
Legal and Ethical Concerns Around AI Usage
There are considerable legal and ethical implications regarding the use of AI applications like DeepSeek, particularly concerning data privacy and the potential misuse of proprietary information. Experts express caution in adopting such technologies without thorough vetting and ethical scrutiny, advising companies against utilizing untested applications for sensitive information. Additionally, legal complications arise when AI models may have been trained using unauthorized data or competitor models, raising questions about the intellectual property foreground for organizations using these technologies. This situation underscores the need for clearer regulatory frameworks and responsible practices as AI continues to evolve.
Bloomberg's Caroline Hyde and Mike Shepard discuss ASML's record surge as it sees sustained AI demand. And, Microsoft and OpenAI are investigating whether OpenAI code was obtained in an unauthorized way for a group linked to DeepSeek. Plus, a conversation with T-Mobile CEO Mike Sievert after posting a fourth quarter earnings beat and a secret partnership with Apple to implement SpaceX's Starlink service.