Amazon's shares surged on news of a potential $10 billion investment from OpenAI, which may utilize its Trainium chips, positioning Amazon to compete in the AI sector. Meanwhile, Netflix's stock rose as Warner Bros. Discovery seems set to reject a competing bid from Paramount, favoring its partnership with Netflix instead. Additionally, Frontier Group Holdings' shares soared amidst merging talks with bankrupt Spirit Airlines, potentially rescuing the low-cost carrier and shaking up the airline industry.
04:57
forum Ask episode
web_stories AI Snips
view_agenda Chapters
auto_awesome Transcript
info_circle Episode notes
insights INSIGHT
Amazon Eyes AI Chip Strategy
Amazon is in talks to invest $10+ billion in OpenAI and could have OpenAI use its Trainium chips.
That deal would position Amazon as a competitor to Nvidia in the AI chip market and help boost OpenAI's valuation above $500 billion.
insights INSIGHT
Homebuilders Hurt By Weak Forecast
Lennar missed expectations on Q1 deliveries, margins and orders and the stock fell about 4%.
The weak forecast dragged down other homebuilders like Pulte and Toll Brothers despite recent lower interest rates.
insights INSIGHT
Netflix Gains From Takeover Turmoil
Warner Bros. Discovery's board is preparing to urge shareholders to reject Paramount Skydance's takeover bid.
That development, plus funding concerns for Paramount, gives Netflix an edge in the takeover battle for Warner assets.
Get the Snipd Podcast app to discover more snips from this episode
On this episode of Stock Movers: - Shares of Amazon (AMZN) rallied ahead of the US market open on reports that OpenAI is in initial discussions to raise at least $10 billion from Amazon and use its chips, a potential win for the online retailer’s effort to broaden its AI industry presence and compete with Nvidia Corp. The deal under discussion could value OpenAI north of $500 billion and see it adopt Amazon’s Trainium chip, a person with knowledge of the matter said, asking to remain anonymous to describe private negotiations. Talks, however, are at a preliminary stage and terms could change, the person added. - Shares of Netflix (NFLX) moved higher in premarket trading as Warner Bros. Discovery plans to reject Paramount Skydance’s takeover bid due to concerns about financing and other terms, according to sources. After deliberating and reviewing Paramount’s bid, Warner Bros.’ board will urge shareholders to reject the tender offer, said the people, who asked not to be identified discussing confidential information. The board still views the company’s existing agreement with streaming leader Netflix as offering greater value, certainty and terms than what Paramount has proposed. - Shares of Frontier Group Holdings (ULCC) soared in the early session with bankrupt Spirit Aviation Holdings in revived discussions to merge with the parent of the eponymous airline in a deal that could rescue the deep-discount airline from insolvency at a time of stiff competition from larger US carriers, according to people familiar. A merger between the airlines would mark a significant step for Spirit, which filed its second bankruptcy in less than a year in August. A tie-up would also be an acknowledgment that the pioneering deep-discount carriers need greater heft to compete in the current industry environment.
Stock Movers