EU: Apple May Have Breached Anti-Trust Regulations on Phone Payment Systems

The European Commission has accused Apple of abusing its market dominance and blocking rivals from challenging its "pay-as-you-go" payment system for iPhones, possibly breaching the bloc's anti-trust regulations.
In presenting a preliminary conclusion to an investigation on Mon., Margrethe Vestager, European Commissioner for Competition, said Apple may have restricted other companies from developing technology that can rival Apple Pay on the company's devices.
"Apple may have restricted competition, to the benefit of its own solution, Apple Pay," Vestager said in a statement. "If confirmed, such a conduct would be illegal under our competition rules."
Narrative A
While the US has failed to pass any meaningful legislation to crack down on Big Tech, the EU – in taking on Apple and recently passing the Digital Services Act and the Digital Markets Act – has shown that it's willing to lead the way in reigning in these giant corporations.
Narrative B
While the EU's aims are well-intentioned, its requirement that Apple further open up its payment systems for third-party developers could undermine the privacy and security of the iPhone in service of some other aim. The EU needs to examine what levels of risk they're willing to tolerate in return for greater competition.
2022 Midterms: Primaries in Ohio and Indiana

Republican J.D. Vance and Democrat Tim Ryan will compete to fill GOP Ohio Sen. Rob Portman's position after winning their respective primaries on Tues.
Primary contests were also held in Indiana, where incumbent GOP Gov., Mike DeWine faced-down challenges from 3 Republican competitors.
The primaries were widely considered a referendum on the continued influence of Trump, particularly after he disrupted Ohio's race last month by endorsing venture capitalist J.D. Vance.
Democratic narrative
After initially deeming Trump "a total fraud" and suggesting that some of his supporters were "racist", Vance made an opportunistic U-turn to garner the disgraced former president's support in the primaries. Vance nonsensically blames Washington for Russia's invasion of Ukraine and has dismissed events in Ukraine as a "smokescreen." The US cannot expect to lead the free world by electing these sorts of politicians.
Republican narrative
The party is still in the grip of Trump and it's imperative that the GOP puts itself on a corrective course as soon as possible. As long as his clout continues suppressing moderate and mainstream conservatism among Republicans, the party risks obstructing its chances of winning the popular vote.
Pro-Trump narrative
Vance's success is testament to the continuing influence of Trump over GOP voters in Ohio, where Trump won by 8 percentage points in the 2020 election. Ohio's primaries were a referendum on the kind of country Americans want to live in - and those voters have rejected establishment Republicans.
Establishment-critical narrative
The results of Tuesday's primaries, like those of other American elections, were not about politics but money. Millionaire candidates and their billionaire backers poured cash into the Ohio races; they will expect a significant return on that investment in the form of political influence. Vance was among three self-funders who spent a combined $14M on their campaigns.
Day 70 Roundup: EU Proposes Fresh Sanctions on Russian Oil; Mariupol Evacuations Continue

The European Commission Pres. Ursula von der Leyen announced on Wed. that the EU is proposing a new round of sanctions against Russian oil. The package will have to be approved by EU ambassadors, but is reportedly set to be signed off in the next few days.
The move is expected to impose a complete embargo on Russian oil imports into the bloc, to be phased in over 6-8 months. Hungary and Slovakia, which are almost 100% dependent on Russian oil, will be allowed extra time. Hungary, nevertheless, has called the proposal unacceptable and said it will veto it in its current form.
The EU is also expected to add Sberbank, Russia's top lender, to the list of banks already excluded from the SWIFT messaging system.
Narrative A
Sanctions send a clear message to Putin and the perpetrators of his illegal war Russia will be held accountable for its actions and its economy will not be allowed to grow as long as it continues to fundamentally threaten democracy through this brutal invasion.
Narrative B
Almost two months after the US and its allies weaponized the financial system to impose the harshest ever sanctions on Russia, the invasion is still continuing and the Russian ruble is up against the US dollar compared to pre-war levels. Although some economic sanctions are yet to bite the Russian economy, the efficacy of this strategy may need reevaluating.
Establishment-critical narrative
It's hypocritical to impose sanctions on Russia for invading Ukraine, but not on the US for invading Iraq for equally unjustified reasons, or on Israel for invading and annexing Arab lands.
Nerd narrative
There is an 88% chance that Russia will be the most sanctioned country in the world by Feb. 22, 2023, according to the Metaculus prediction community.
Trump Entities to Pay $750K to Settle Inauguration Lawsuit

Trump's businesses and inaugural committee reached a deal on Tues. to pay $750K to resolve a lawsuit that alleged the committee enriched the former president's family via overpaying for events at his hotel, according to the DC attorney general.
DC AG Karl Racine announced the collective settlement with Trump's Presidential Inaugural Committee, the Trump Organization, and the Trump International Hotel in Washington, but the document has yet to be signed by a judge.
Notably, the settlement does not entail an admission of guilt or liability by Trump or any of the named defendants.
Left narrative
It's quite clear that Trump and his family misused funds to enrich themselves. As a nonprofit, it was the committee's duty to find the cheapest and most cost effective option, and Gates even told Ivanka that he was worried about the optics of the payments.
Pro-Trump narrative
The lawsuit against Trump and his organizations was an extension of the witch-hunt that has been waged against him for almost seven years. Raccine has a history of legally harassing Trump. The former president did not admit to any wrongdoing, and the only reason there was a settlement was to save his valuable time and energy.
BP's Profits Soar Despite ~$20B Hit from Russia Distancing

British Petroleum's profits soared above $6B in Q1 to the highest in a decade on the back of rising oil and gas prices. BP's windfall occurred even as it lost billions from writing down its 20% stake in Rosneft, a Russian oil company.
BP cleared its four refineries in Spain, Germany, and the Netherlands of Russian crude oil and expects to be free of most of its long-term contracts with Moscow by the end of the year.
On Wed., the price of brent crude oil climbed by $4 to $108.97/barrel upon news of the EU's plan to phase out Russian oil imports, continuing to reflect ongoing market volatility since the start of the Ukraine war.
Left narrative
BP is making money hand over fist while the public suffers under rising costs of living. Prices for everyday items are becoming unbearable, and BP should feel obligated to help the British public as best it can.
Right narrative
BP has already bowed to the government's demands to cut ties with Russian oil and gas, and it has clearly shown that it's an ally of the British public. A windfall tax would only strip away profits that the company can reinvest in the UK - including in renewable energy infrastructure.
SEC Bolsters Crypto Enforcement Unit

The SEC is nearly doubling the size of its fledgling cryptocurrency investigation unit in order to tackle fraud in the rapidly growing digital asset sector.
The SEC's newly renamed Crypto Assets and Cyber Unit is hiring 20 new staff members, including lawyers and fraud analysts, bringing its total staff to 50.
The expansion of the Cyber Unit, which was originally formed in 2017, was announced by SEC Chair Gary Gensler.
Pro-establishment narrative
The new "Wild West" is about to feel the full force of the US government as Gensler and the SEC bring the entire industry into conformity with the nation's well-developed securities laws. Hucksters and grifters take notice your days are numbered.
Establishment-critical narrative
The SEC's approach is regulation by enforcement. Instead of clarifying the rules by which crypto players should play, they define wrongdoing after the fact and then pursue charges. Congress needs to step in and offer clear guidance to innovators working in the dynamic crypto space.
Cynical narrative
The federal government is dedicating 50 people to police an entire segment of the economy that is growing like wildfire at the expense of consumers and their savings. This is far too little and too late to keep up with escalating fraud in the crypto space.
US Job Openings Rise to Record 11.5M

More than 11.5M job openings were posted in March, according to data released by the Bureau of Labor Statistics on Tues., meaning that the US now has a staggering 2 job openings per unemployed American. A record 4.5M quit their positions in the same month.
The manufacturing, retail, and hospitality sectors are having a particularly difficult time finding and retaining staff.
The tight labor market is believed to have emboldened workers to look for jobs with better pay and conditions.
Narrative A
The shortage of workers in the US is putting massive pressure on the labor market and driving up both wages and prices. Avg. hourly wages for private sector workers went up 5.6% year-on-year in March 2022 and the record compensation gains for workers switching jobs is contributing to the worst inflation crisis for 40 yrs.
Narrative B
The Chair of the Federal Reserve has commented that the "historically" tight job market is a major reason the US economy can withstand the higher interest rates being implemented by the Fed to tackle inflation caused by the pandemic, without pushing America into recession. There has been a shift of power from employers to employees, who will no longer settle for being exploited or undervalued at work.
Narrative C
Changes in the US labor market have nothing to do with low-paying industries like retail and entertainment. They're being fueled by older, higher-paid workers increasingly quitting their jobs. The "great resignation" is in fact the "great midlife crisis" as more mature workers reevaluate what they actually want out of their life and career.
WHO: Europe is Living an Obesity 'Epidemic'

On Tues., the WHO published a report stating that obesity has reached epidemic proportions in Europe and is behind 200K cancer cases and 1.2M deaths/year.
According to the 2022 Regional Obesity Report, ~60% of adults in Europe are overweight or obese, including 1 in 3 children. The health crisis has been exacerbated by COVID lockdowns according to the report.
Obesity prevalence in Europe is higher than in any other part of the world except the Americas, and the WHO partly blames the problem on digitized societies of meal delivery apps and video games.
Narrative A
Obesity is an ongoing problem that knows no borders and must be addressed. No single intervention will halt this growing epidemic; it must be tackled with a multifaceted approach.
Narrative B
While obesity is a problem, the bigger issue at hand is fat-shaming. Weight stigma actually contributes to unhealthy eating behaviors, lower physical activity, and weight gain. Stigma is an enemy to health and needs to be taken more seriously.
Hundreds of Sailors Moved Off US Naval Ship After Surge of Suicides

After multiple apparent suicides among crew members, more than 200 sailors have been moved off the USS George Washington and are now staying at a local Navy installation.
The ship currently has around 2.7k sailors working aboard. About 460 of them lived on the vessel before being moved on Monday.
The carrier has been dry-docked in Virginia for maintenance since 2017, and the work is expected to be complete this winter.
Narrative A
The surge of suicides on the USS George Washington is directly related to poor culture, an appalling work environment, and uninhabitable living conditions. There aren't enough resources to combat what is becoming a mental health crisis; real change is needed.
Narrative B
While the recent spate of suicides is concerning and raises questions about an underlying issue in the military's culture, suicides are extremely complex and typically caused by various factors. Ongoing investigations will determine the causes, but there's no indication to suggest a correlation between these tragic events.
Report: Musk Considering Taking Twitter Public Again

Tesla and SpaceX CEO Elon Musk, who is pursuing a takeover of Twitter, has reportedly told potential investors they will probably be able to cash out as soon as three years from now, when he might take the company public.
Private-equity investors often take distressed companies private and then list them on the public market again after they've turned around; Twitter is reportedly low on cash after losing $221M last year.
In April, Twitter agreed to be sold to Elon Musk for roughly $44B, in a deal that followed weeks of drama pertaining to Musk's pursuit of the company. Musk has told the SEC he intends to leverage a mix of debt and cash to complete the deal, which must close by October.
Narrative A
Musk is a billionaire, but he's also a man of the people as proven by his plan to monetize Twitter by only charging those who can afford to pay. By the time he takes Twitter public again, his bastion of free speech will be profitable and no one will want to change it back to its restrictive past.
Narrative B
Musk says he's pursuing Twitter to restore the principles of free speech to the platform, but his promising of a public offering to potential investors in three years, along with his plans to charge some people for using the site, seem to indicate he's more likely pursuing profits over anything else.
Narrative C
A three-year timeline to take Twitter public again may be overly optimistic. Private-equity firms usually take at least five years to restructure a company before taking it public once more, and Musk's prior track record of missing production deadlines is a good indication that this could take longer than estimated.
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