SAN FRANCISCO, California: Heavyweight publishers came out swinging against a bid by the US Department of Justice to rein in deals Apple can make with e-book providers.
HarperCollins, Penguin, Simon & Schuster and others joined together in a legal brief opposing “remedies” proposed by the DOJ as punishment for Apple’s conviction in an e-book price-fixing case.
“The plaintiffs are attempting to impose a specific business model on the publishing industry, despite their express and repeated representations that they would play no such role,” the publishers argued.
On Friday, the Justice Department launched a bid to more tightly regulate Apple’s wildly lucrative iTunes storefront after the tech giant was found guilty of conspiring with publishers to fix prices.
The proposed settlement would see Apple end its current agreements with five US-based publishers: Hachette Book Group, HarperCollins, Macmillan, Penguin and Simon & Schuster.
The tech firm would promise not to enter new contracts with the five to limit price competition in the next five years, and would allow other e-book retailers to link to their products from iPad and iPhone apps for two years.
“The provisions do not impose any limitation on Apple’s pricing behavior at all,” the publishers argued in the filing.
“Rather, under the guise of punishing Apple, they effectively punish (publishers that settled in the case) by prohibiting agreements with Apple to use the agency model.”
The agency model lets publishers dictate prices for eBooks, while sellers such as Apple or Amazon are paid a fee for each sale.
The DOJ order goes further, prohibiting the iPhone maker from seeking to drive up prices by signing “agreements with suppliers of e-books, music, movies, television shows or other content.”
Apple condemned the DOJ proposal in a brief filed with the court on Friday.
“Plaintiffs’ proposed injunction is a draconian and punitive intrusion into Apple’s business, wildly out of proportion to any adjudicated wrongdoing or potential harm,” Apple attorneys argued in the legal brief.
Publishers argued that the DOJ’s plan contradicts settlements negotiated in the case.
Under the existing settlements, the publishers agreed to end any agreements they have with retailers like Apple to prevent them from discounting titles sold through their platforms.
Through its devices and software, Apple allows readers to buy electronic versions of books online and download them to personal digital libraries.
In this it competes with other retailers such as Amazon and Barnes & Noble, which sell e-books for reading on computers, smartphones, or tablets.
The DOJ’s proposal is essentially telling Apple “to get out of the e-book business,” said Gartner analyst Van Baker.
“It is basically putting a stake through a portion of Apple’s business, and I confess to being surprised by that,” he continued.
“It strikes me as a pretty heavy-handed solution to the issue.”
Last month, a US district court in New York found Apple guilty of conspiring with publishers to fix book prices for readers using its iPad and iPhone devices.
The DOJ lodged a civil antitrust lawsuit against Apple and the publishers in April last year.
It has since reached settlements with four of the publishers and has an agreement with Macmillan that is yet to be approved by the court.
The DOJ’s proposed Apple’s settlement still has to be approved by a federal judge.
Publishers want US to shelve Apple e-book restrictions
Publishers want US to shelve Apple e-book restrictions
Aramco signs agreement to advance SASREF expansion
RIYADH: Energy giant Saudi Aramco and China-based Rongsheng Petrochemical Co. have signed a framework agreement to boost the expansion of a subsidiary of the state-owned oil company.
According to a press statement, the tripartite agreement outlines a cooperation framework and detailed plans to design and develop Saudi Aramco Jubail Refinery Co. or SASREF. The initiative is expected to enhance SASREF’s refining and petrochemical capabilities.
The deal follows an announcement made in April that Aramco and Rongsheng Petrochemical had signed a partnership agreement related to the planned formation of a joint venture in SASREF.
Aramco’s long-standing relationship with China spans more than three decades.
This new framework agreement is part of the company’s broader strategy to solidify its position in the global energy landscape while supporting the Kingdom’s economic growth.
“By aligning our efforts, Aramco and Rongsheng Petrochemical aim to deliver additional value to our stakeholders,” said Aramco Downstream President Mohammed Al-Qahtani.
He added: “This development framework agreement underscores Aramco’s intentions to foster closer collaboration with key partners and progressing its strategic downstream expansion, both in Saudi Arabia and internationally. It also highlights the potential of the Kingdom’s downstream sector to attract overseas players.”
Li Shuirong, chairman of Rongsheng Petrochemical, said that the collaborative project will contribute to Saudi Arabia’s Vision 2030 program and China’s Belt and Road initiative.
“The signing of the development framework agreement sets the stage for Rongsheng Petrochemical’s in-depth participation in the SASREF expansion project,” said Shuirong.
He added: “Saudi Arabia has abundant energy resources and significant market potential, and Rongsheng Petrochemical will bring strong momentum to the partnership through our excellent operation and management capabilities and market competitiveness.”
The SASREF expansion project is located in Jubail Industrial City along the Arabian Gulf coast in the Kingdom’s Eastern Province.
The project, which is currently in the pre-front-end engineering design stage, envisages the construction of large-scale steam crackers and the integration of associated downstream derivatives into the existing SASREF complex, enhancing its ability to meet the growing demand for high-quality petrochemical products, the statement added.
Earlier in November, Aramco, in partnership with China Petrochemical & Chemical Corp. and Fujian Petrochemical Co., started the construction of a refinery and petrochemical complex in the Asian nation’s Fujian province.
The undertaking, which is expected to be fully operational by the end of 2030, includes an oil refinery with a capacity of 320,000 barrels per day, according to a press statement.
It will also have a 1.5 million tonnes-per-year ethylene unit, a 2 million tonnes paraxylene and downstream derivatives capacity, and a 300,000 tonnes crude oil terminal.
COP29: Azerbaijan unveils Baku Harmoniya Climate Initiative
RIYADH: Azerbaijan has launched the Baku Harmoniya Climate Initiative, a program designed to help farmers combat global warming while ensuring food security.
The initiative, which prioritizes knowledge sharing and climate finance solutions, was announced during a press conference by Azerbaijan’s Minister of Agriculture, Majnun Mammadov, at COP29.
This effort aligns with Azerbaijan’s revised Nationally Determined Contributions, which pledge a 40 percent reduction in emissions by 2050, conditional on international support. The energy sector, responsible for over half of the country’s greenhouse gas emissions, remains a focal point of Azerbaijan’s climate strategy.
“I am proud to officially announce the launch of the Baku Harmonia Climate Initiative for farmers. It is an inclusive platform designed particularly for women and youth, and aims to strengthen global collaboration,” Mammadov said.
He highlighted that the initiative will focus on promoting technology investments, sustainable practices, and crop diversification.
“Harmonia focuses on sharing knowledge, facilitating climate finance, and addressing the unique challenges farmers face,” he added.
Mammadov emphasized the importance of enhancing farmers’ participation, advancing research and innovation, improving water management systems, and implementing subsidy programs to encourage sustainability.
Also speaking during the conference, COP29 Lead Negotiator Yalchin Rafiyev underlined the initiative’s significance, noting the momentum gained from international cooperation.
“We have been encouraged by the positive signals from the G20 to our ongoing efforts,” Rafiyev said. However, he stressed that current climate finance levels remain insufficient and require scaling up.
As a significant producer of fossil fuels, Azerbaijan’s hosting of COP29, like last year’s host, the UAE, signifies a shift toward sustainable climate policies.
COP29 President Mukhtar Babayev recently told Arab News that hosting the conference reflects his country’s commitment to driving change.
Closing Bell: Saudi main index closes in green at 11,876
RIYADH: Saudi Arabia’s Tadawul All Share Index edged up on Tuesday, as it gained 45.53 points or 0.38 percent to close at 11,875.91.
The total trading turnover of the benchmark index was SR6.09 billion ($1.62 billion) with 138 stocks advancing, while 90 declining.
The parallel market, Nomu, however, marginally slipped by 0.09 percent to 29,570.56.
The MSCI Tadawul Index gained 4.76 points to close at 1,491.83.
The best-performing stock of the day was Shatirah House Restaurant Co., also known as Burgerizzr. The company’s share price increased by 9.98 percent to SR22.26.
The share price of Fawaz Abdulaziz Alhokair Co. increased by 8.29 percent to SR14.10, while the stock price of Development Works Food Co. surged by 6.85 percent to SR131.
Conversely, the share price of Al-Baha Investment and Development Co. slipped by 9.68 percent to SR0.28.
On the parallel market, the best performer was Knowledge Tower Trading Co., whose share price surged by 9.61 percent to SR10.84.
On the announcements front, Molan Steel Co. said it signed a memorandum of understanding with Yara International Limited Co. to acquire 100 percent of Mayar International Industry.
In a Tadawul statement, the company said that the financial consideration for the transaction depends on the results of the financial evaluation and due diligence.
The company added that the transaction will be financed through Molan Steel’s cash flows and resources.
According to the statement, the acquisition will be subject to a number of regulatory approvals including relevant authorities in the Kingdom.
Molan Steel Co.’s share price increased by 2.84 percent to SR3.26.
Saudi Arabia’s Tabuk targets development with over $67m investment deals
JEDDAH: Investment contracts worth SR252 million ($67.2 million) have been signed to boost Saudi Arabia’s Tabuk region, focusing on healthcare, logistics, housing, entertainment, and education to spur economic growth.
The agreements, finalized during a visit by Minister of Municipalities and Housing Majid Al-Hogail, are expected to stimulate the local economy while generating both direct and indirect employment opportunities, the Saudi Press Agency reported.
During his tour to the region, Al-Hogail held discussions with regional investors and business leaders, focusing on expanding opportunities in municipal and housing development.
The minister underscored the government’s commitment to fostering investments that align with the aspirations of Tabuk’s residents and contribute to Vision 2030’s broader economic goals.
The inspection visit included reviews of key infrastructure projects, including road upgrades, traffic system enhancements, and housing developments.
Al-Hogail emphasized the importance of ensuring high-quality services for residents and visitors, stressing that these initiatives are integral to achieving the ministry’s strategic objectives.
He also witnessed the delivery of 533 new housing units to beneficiaries of the Development Housing Program, a key initiative supporting low-income families in Saudi Arabia.
This latest distribution brings the total number of housing units delivered under the program to 2,479, highlighting the government’s commitment to addressing housing needs.
At the start of his tour, Al-Hogail met with municipal leaders and heads of municipalities to discuss progress on ongoing projects, emphasizing the need for continuous improvements in service delivery.
He also visited the Prince Fahd bin Sultan Promenade, where redesigned storefronts inspired by Tabuk’s heritage have transformed the area into a vibrant destination for locals and tourists.
Al-Hogail inaugurated a branch of the Real Estate Developer Services Center, Etmam, which streamlines government services for beneficiaries in one location. He engaged with citizens to gather feedback and suggestions for further enhancing municipal services in the region.
The visit coincided with the announcement by the Ministry of Municipalities and Housing’s investment arm, the National Housing Co., of 11 new residential projects in Khuzam, north of Riyadh. These developments, featuring over 10,000 modern-designed units, are aimed at achieving the Kingdom’s homeownership goals.
This visit is part of a series of inspections the minister is conducting across Saudi Arabia to oversee municipal and housing sector initiatives, review ongoing projects, and ensure their progress aligns with Vision 2030’s transformative goals.
Pakistan Stock Exchange crosses 96,000 to hit record intraday high
- Higher remittances, exports, foreign investment credited for bullish activity, analysts say
- Stock Exchange witnessing bullish trend since government slashed policy rate this month
ISLAMABAD: The Pakistan Stock Exchange on Tuesday surged past 96,000 points to hit a record high in intraday trading, with analysts attributing the rally to a current account surplus in October due to higher remittances, exports and foreign direct investment.
The benchmark KSE-100 index climbed to a record 935.66 points or 0.98 percent to stand at 95,931.33 from the previous close of 94,995.67 points. It touched the 96,036.48 mark for the first time at 2:44pm PST.
Ahsan Mehanti at the Arif Habib Corporation told Arab News potential investors had weighed surging foreign reserves as well as government decisions over reforms for loss-making state-owned enterprises, independent power producers and energy pricing.
“Stocks bullish on reports of current account surplus of $349 million in Oct. 2024 on higher remittances, exports and FDI rising by 32pc to $904m for Jul-Oct. 2024,” he said. “The next triggers could be easing political noise amid protest calls by opposition.”
Pakistan’s external current account recorded a surplus of $349 million in October 2024, marking the third consecutive month of surplus and the highest in this period. The current account reflects a nation’s transactions with the world, encompassing net trade in goods and services, net earnings on cross-border investments and net transfer payments.
A surplus indicates that a country is exporting more than it is importing, thereby strengthening its foreign exchange reserves.
A bullish trend has been observed at the stock market since Pakistan’s central bank cut its key policy rate by 250 basis points, bringing it to 15 percent earlier this month. It’s economic indicators have also steadily improved since securing a 37-month, $7 billion bailout from the International Monetary Fund (IMF) in September.
Before this, the country went through a prolonged economic crisis that drained its foreign exchange reserves and saw its currency weaken amid double-digit inflation.
Last year, Pakistan narrowly avoided a sovereign default by clinching a last-gasp $3 billion IMF bailout deal.
