International company news in brief: Microsoft to play by EU rules

Microsoft agrees to play by EC rules

Barcelona — Microsoft chair Brad Smith has told the European Commission his company will abide by European rules whether or not it agrees with them, the commission’s vice-president Teresa Ribera said on Monday.

The US tech giant said last month it would sell its chat and video app Teams separately from its Office software globally, six months after it unbundled the two products in Europe in a bid to avert a possible EU antitrust fine.

Salesforce-owned Slack complained to the European Commission about Microsoft’s tying of Teams with Office. Reuters

Cyber-risk warning for smaller banks

Bengaluru — Money laundering and cyber-risks remained high in Switzerland, the head of the country’s financial market regulator said on Monday, while there was an increasing risk of individuals trying to get around financial sanctions on Russia.

Money-laundering risks were increasingly relevant for medium-sized and smaller banks, FINMA CEO Stefan Walter told an event in Zurich. On Russia-related sanctions, Walter said the likelihood that individuals and companies circumvent sanctions increased the longer a regime lasted.

“Against this backdrop, the associated risks for financial intermediaries increase,” he said. Reuters

Rapid adoption of AI a hazard to financial stability

Wellington — The rapid acceleration of artificial intelligence adoption in financial services presents a risk to financial stability, the Reserve Bank of New Zealand said in a report on Monday.

“Errors in AI systems, data privacy concerns and market distortions could amplify existing risks,” the report said.

“The growing reliance on a small number of third-party AI providers may also contribute to market concentration, creating new channels for contagion and increasing the potential impact of cyberattacks.”

However, it added that AI tools and models were also providing benefits, including improved productivity, greater modelling accuracy, enhanced risk assessment capabilities, and strengthened cyber-resilience.

The report was released ahead of the twice-annual Financial Stability Report, due on Wednesday. Reuters

Spanish telecom mulls thousands of job cuts

Madrid — Spanish telecom company Telefonica is considering cutting about 4,000 to 5,000 jobs to reduce its structural costs and improve efficiency, news website El Confidencial reported on Monday, citing unnamed financial sources.

The company cut about 3,400 jobs last year, a move that would reduce its costs by €285m a year from 2025.

Since 2008, Telefonica has reduced its payroll by 20,000 jobs, El Confidencial said.

Automation and the withdrawal of the old copper network allow telecom companies to operate with much fewer staff. Reuters

EC announces €500m magnet to draw scientists

Bengaluru— European Commission President Ursula von der Leyen announced on Monday a €500m incentive package to boost European science research, as Europe hopes to lure away top US scientists disgruntled with Donald Trump’s policies.

“Science is an investment — and we need to offer the right incentives. This is why I can announce that we will put forward a new 500-million euros package for 2025-2027 to make Europe a magnet for researchers,” she said at a speech in Paris alongside French President Emmanuel Macron.

Last month, Macron and Von der Leyen said they would invite scientists and researchers from the world over to Europe, at a time when Trump’s administration is threatening to cut federal funding for Harvard and other US universities.

3G to acquire footwear brand Skechers

Bengaluru — Footwear company Skechers said on Monday it had agreed to be acquired by investment firm 3G Capital in a deal worth $9.4bn.

3G Capital, a buyout firm controlled by Brazilian billionaire financier Jorge Paulo Lemann, has offered to pay $63 per Skechers share in cash, a 28% premium to the stock’s Friday close.

Shares of the company jumped nearly 26% to $62.10 in premarket trading after the announcement. Reuters

Tyson Foods beats profit forecasts

Bengaluru — Tyson Foods beat Wall Street expectations for second-quarter profit on Monday, driven by increased demand for its chicken products and lower costs.

The company witnessed sustained demand for its frozen meat and ready-to-eat food as consumers increasingly preferred eating at home.

Robust growth in Tyson’s chicken segment at its restaurant and food service channels helped the company offset stubbornly high beef prices due to low US cattle supplies.

On an adjusted basis, it earned 92c per share for the quarter ended March 29, compared with analysts’ estimate of 82c, according to data compiled by LSEG.

Quarterly net sales of $13.07bn missed analysts’ estimate of $13.14bn. Reuters

Tesla sales fall in Spain

Bengaluru — Tesla’s new car sales in Spain fell 36% in April from the same month in 2024 to 571 vehicles, registration data released by industry group Anfac showed on Monday, while sales of electric cars from other brands soared.

Over the first four months of 2025, sales of Teslas in Spain fell 17% over the same period a year earlier, while sales of electrified vehicles, a category that includes fully electric vehicles and hybrids, were up 54%.

Sales of Teslas have dropped in Europe as the manufacturer owned by billionaire Elon Musk faces increased competition from European and especially Chinese EV brands. Reuters

Sunoco to pay about $9.1bn for Parkland

Bengaluru — Sunoco will buy Canada-based Parkland in a deal valued at about $9.1bn, including debt, the US fuel supplier said on Monday, in a move the companies said would create the largest independent fuel distributor in the Americas.

The deal follows Parkland’s strategic review, initiated in March, following persistent pressure from Simpson Oil, Parkland’s largest shareholder with a nearly 20% stake, and supported by activist investor Engine Capital.

Simpson Oil did not immediately respond to a request for comment. Parkland shareholders will receive C$19.80 in cash and 0.295 Sunoco units for each Parkland share held. Reuters

Volvo sales fall 11% in April

Stockholm — Volvo Cars reported on Monday an 11% decrease in April sales to 58,881 cars from a year earlier, sending its shares down.

Volvo Cars, which is majority-owned by China’s Geely, said sales of fully electric cars fell 32% to account for 20% of total sales volumes.

Sales of electrified cars as a whole, also including plug-in hybrids, were down 16% to account for 45% of total sales.

Volvo Cars, under pressure from US President Donald Trump’s new tariffs, is juggling the task of working with Geely to cut costs while attempting to keep selling cars to US consumers, who favour hybrids and combustion-engine models. Reuters