Monday’s Headlines: Google Slashes Its Cloud Cash

Monday’s Headlines: Google Slashes Its Cloud Cash

Here were the biggest movers in the MyWallSt shortlist on Friday:

Moving Up ⬆️

Vail Resorts (MTN) +7.4%

Chuy's (CHUY) +6.0%

Stitch Fix (SFIX) +5.9%

Redfin (RDFN) +4.6%

Match Group (MTCH) +4.0%

Moving Down ⬇️

Baozun (BZUN) -8.7%

Nike (NKE) -6.3%

Zillow (Z) -4.1%

Cloudflare (NET) -3.9%

Roku Inc. (ROKU) -3.8%

1. After coming under fire for the revenue it keeps when customers buy software from other vendors on its cloud marketplace, Google (GOOG) is slashing its prices. The Big Tech giant is lowering its percentage sales share from 20% to just 3% in a bid to attract more independent software makers and keep up with cloud rival Amazon (AMZN). In recent months, huge technology companies, including Apple (AAPL) and Microsoft (MSFT), have also been decreasing the amount of money they retain as regulatory and legal concerns mount. Google’s cloud platform is yet to turn a profit, with the segment posting a $591 million operating loss in Q2, so this news is likely to put it back even further. Read the full story here

2. Despite all the disruptive news coming from China, Tesla (TSLA) has said that it will continue to expand its investments in the region. Answering questions at the World Internet Conference, hosted by the Cyberspace Administration of China, CEO Elon Musk called China a “global leader in digitalization.” After receiving some bad press in China, Tesla is trying to improve its reputation in the country that is imperative for the success of the electric vehicle company. In other Tesla news, the company rolled out its long-awaited software update on Friday night. The addition allows Tesla drivers to request access to its Full Self-Driving Beta (FSD Beta) software, despite safety concerns persisting. See more on the story here

3. Speaking of China, the country’s Central Bank has deemed all crypto-related transactions illegal. The news has sent the cryptocurrency market spiraling, with Bitcoin dropping as much as 5% on Friday. Sending the strongest signal to date on its stance on the digital currency, Chinese officials said that they will also prohibit financial institutions, payment companies, and internet firms from facilitating cryptocurrency trading, which could impact companies like Square (SQ). The crypto market has been particularly volatile recently and this latest news has increased panic selling, proving once again the high levels of risk associated with this type of investing. Check out the full story here.