Roula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter.
The past seven decades of microchip production have been a race to get smaller. Cerebras Systems, which hopes to break a drought in initial public offerings, is instead going big. Its Frisbee-sized chips are, it says, as fast as it gets at handling super-complex artificial intelligence models. In that sense, size may be on Cerebras’ side. In another, the opposite is true.
Cerebras hopes its jumbo wafers can take on industry champ Nvidia. The idea is that by plonking more memory and processing power on a larger area, data can be moved, stored and crunched faster and with less power consumption. The company’s tests suggest it enables Meta Platforms’ Llama 3.1 model to spit out answers about 20 times faster than rivals.
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It is not just its speed that is unusual. The lossmaking firm gets almost all of its revenue from a single customer, Abu Dhabi’s G42. Large prepayments from that and other customers make up the lion’s share of its cash. If G42 makes a sufficiently big order in future it gets more shares at a discounted price, diluting IPO investors.
A further risk could come from irritating a colossus. Nvidia is the go-to for AI, and engineers are used to using its own proprietary programming language. Cerebras warns in its filing that large rivals could pressure their customers to give it the cold shoulder. They might not need to: anyone splurging vast sums on building bots may favour a supplier soundly tested in the field. Switching isn’t simple: using Cerebras chips means also using its other hardware and cooling systems.
Nvidia isn’t the only giant with sway over Cerebras’s future. Both firms’ chips are manufactured by the ubiquitous Taiwan Semiconductor Manufacturing Company. But where Nvidia is a big influential customer of TSMC, Cerebras is a tiny one. Semiconductor supply chains are long and brittle. The company has been stuck with unsold inventory before, and warns it may again.
Being a flea on the ankle of a giant could pay off: a little more business would go a long way. Assume Cerebras can keep up its recent habit of doubling revenue each six months, and it would be in line for $400 million or so this year. Put that on Nvidia’s 25-times multiple, and it is worth $10 billion.
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Given the paucity of tech IPOs and the heat around anything AI, there is every chance investors might entertain that kind of valuation. But given the unusual risks, Cerebras would be best keeping its price ambitions smaller than its outsize chips.
SHOPPERS are raving about B&M’s dupe of a beloved M&S favourite which is scanning at a fraction of the price.
A savvy shopper posted the dupe in the Food Find UK OfficialFacebook group, where bargain hunters regularly share new items they discover in supermarkets.
M&S’s Hazelnut Creme has been a favourite among shoppers – but now B&M are giving the spread a run for its money.
Shoppers are looking to stock up on some sweet essentials in time for Christmas.
And one lucky shopper’s shared an incredible deal on Facebook that has shoppers rushing to the bargain retailer.
Sharing a picture of the unbelievable find, the user wrote: “Hazelnut Spread found in B&M in Spondon, Derby.”
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The Cocoa Co’s smooth hazelnut spread is priced at a mere £1.89.
In comparison, M&S’s hazelnut creme is £4.50.
By opting for the B&M version that is 58 per cent cheaper, shoppers could save themselves an unbelievable £2.61.
The post accumulated hundred of likes and comments of shoppers desperate to get their hands on the spread.
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One user said: “This could save us a fortune!”
Asda & Poundland shoppers horrified at the price of Christmas chocolate
Another commented: “I love choc spread.”
And: “I need this lol!”
Similarly, shoppers are racing to get a Home Bargains dupe of a beloved M&S chocolate snack scanning at a cheaper price.
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Home Bargain’s new Elkes Temptations is a dupe of M&S’ popular Milk Chocolate Custard Creams.
The knock-off treats are scanning at the popular discount chain’s tills for only £1.99.
This is just over £1 less than the price at which M&S is selling their chocolatey snack.
Home Bargain fans can choose from a Chocolatey Custard Cream or the sought-after Chocolatey Bourbon Creams.
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The caption for the post read: “Found these in-home bargains today they are £1.99 bit cheaper than the M&S ones not tried them yet.”
Hundreds of fellow bargain hunters have left likes and left comments expressing their desire to snap up the tasty treats.
How to save money at B&M
Shoppers have saved hundreds of pounds a year by using B&M’s scanner app.
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The scanner lets you see if an item’s price is cheaper than advertised on the shop floor label.
Products that are typically discounted are seasonal items and old stock that B&M is trying to shift.
The app is free to download off the B&M Stores mobile app via Google Play or the Apple App Store.
Roula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter.
Alphabet has been ordered to open its Android operating system to rivals, allowing them to create their own app marketplaces and payment systems to compete with its dominant Google Play Store, in the latest blow for the search giant that has lost recent antitrust cases.
A federal judge in San Francisco ordered the changes on Monday following a successful lawsuit from Epic, the maker of popular video game Fortnite, which argued Google suppressed competition in Android apps and used its monopoly to charge excessive fees.
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US district judge James Donato issued an injunction that bans Google from paying developers to “launch an app first or exclusively” in the Play Store and can no longer force customers to use its in-house billing system, which charges fees of as much as 30 per cent.
Additionally, Google can no longer strike revenue share deals with mobile device manufacturers such as Samsung and LG to preinstall Play Store prominently on their home screens — or pay them not to preinstall a rival Android app distribution platform — under the injunction, which takes effect on 1 November and lasts for three years.
Google must also allow third-parties access to its app library for that period of time in order for them to build a legitimately competitive product. Epic had argued in the lawsuit that Google paid off network operators such as AT&T and T-Mobile, and game developers such as Activision Blizzard, to prevent them from launching Play Store rivals.
The ruling gives Epic most of what it sought in the case and could potentially affect a lucrative stream of revenue for Google, which made an operating profit of $12bn from its Play Store in 2021 alone, according to evidence presented in the case (the company does not routinely disclose performance of its Play unit). Alphabet shares fell 2.3 per cent after the news.
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Google said it will appeal against the verdict and asked the changes be put on hold, arguing they would put customers’ privacy and data security at risk. “The Epic verdict missed the obvious: Apple and Android clearly compete,” the company said of the underlying judgment.
The injunction could have a wider impact on the strict controls that Big Tech groups wield in their mobile app stores. Epic lost a related case against Apple in 2021, when a California judge concluded the iPhone maker did not break the law by imposing rules that block rival stores and payment methods on its devices. The ruling was upheld by an appeals court; Epic is seeking a US Supreme Court review.
Epic chief executive Tim Sweeney said on X: “All app developers, store makers, carriers, and manufacturers have 3 years to build a vibrant and competitive Android ecosystem with such critical mass that Google can’t stop it.”
“The court’s injunction applies to the United States only, so the legal and regulatory battle will continue around the world,” Sweeney added.
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In August 2020, the games maker deliberately circumvented Apple and Google’s payment rules, resulting in Fortnite being removed from their respective stores.
The app store is just one of the antitrust battles that Google is defending. In August, it lost a case against the US Department of Justice for running a monopoly in online search. On Tuesday, the DoJ will propose remedies which could be as drastic as breaking up the company.
Furthermore, the DoJ is also suing Google for its alleged monopolistic control over digital advertising, with the future of its $20bn ad tech business at stake. The trial started last month in Virginia.
GIVE your spending power a little boost this month by bagging more loyalty points.
With extra autumn challenges and bonus offers, now is the perfect time to stock up on points ahead of your festive shopping.
TAKE ADVANTAGE: If you have a Boots Advantage Card, download the Boots app and link your card number.
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Then check out the offers section.
You should find a double points deal that can be used twice, valid until October 24.
Save this for your bigger purchases to maximize your points.
RISE TO THE CHALLENGE: Open the Tesco Clubcard section in the Tesco app to see if you’re eligible for the Tesco Clubcard challenges.
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Eligible customers can earn extra points by completing challenges, which usually involve spending a set amount on certain products.
You can do up to ten of 20 challenges, with some focusing on fruit and veg while others cover confectionery.
Offer runs until November 10.
JUST THE TICKET: Need to renew or buy a railcard?
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Head to VirginTrainsticketing.com to earn 2,000 bonus Virgin points with your purchase.
These are worth £10 and can be used towards future train travel, Greggs bakery treats or cinema passes.
MORE BANG FOR YOUR BUCK: If you’re a regular Morrisons shopper and have a Morrisons More card, you can earn 400 points when you buy a packet of Morrisons fresh fish fillets, or 300 points when you purchase Morrisons large frozen pies.
ASDA BE WORTH IT: Boost your Asda cashpot by completing a mission in the Asda Rewards app.
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The missions are tailored to customers and, currently, selected shoppers can earn £1 in their cashpot when they buy three packs of Ben’s Original Rice.
SWEET TREAT: Off to Sainsbury’s? Check the Nectar app first for weekly, personalized offers based on your shopping habits.
Currently, selected customers might find an offer for 5x Nectar points when spending £20 in store.
All prices on page correct at time of going to press. Deals and offers subject to availability.
Deal of the day
NEED to iron out the wrinkles in your wardrobe?
The Breville Elite Diamond clothes steamer is £49.99, down from £99.99, at currys.co.uk.
SAVE: £50
Cheap treat
KEEP kids busy with the Quiet Time unicorn colouring book, previously £4.99, now £1.99, at thetoyshop.com.
The auction site has scrapped some seller fees so you make a bit more cash when you list clothing on the platform.
But you will still have to pay fees if you are selling trainers, watches, handbags and jewellery.
Top swap
PICK up a bottle of cult fragrance Maison Francis Kurkdjian Baccarat Rouge EDP, £245 for 70ml, at John Lewis.
Or pop round to Poundland for a bottle of the Scentalis No. 10 Scarlet Gold perfume, £4 for 100ml.
SAVE: £241
Little helper
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GET your Christmas shopping done early at Bouxavenue.com. Buy one set of pyjamas in a bag and get another pair half price from today, including matching mother-and- daughter sets.
Shop & save
CLEAN up fast with Surf liquid laundry detergent in Tropical Lily.
RYANAIR passengers will have to follow new boarding pass rules next year – and it isn’t good news.
The low-cost airline has confirmed that paper boarding passes are to be scrapped in 2025.
Ryanair boss Michael O’Leary confirmed that they would phase our the physical boarding passes by May, saying that as many as 60 per cent currently use mobile passes.
Currently, Brits can get a boarding pass at the airport with the airline.
But passengers are charged £55 if they forget to check in and download their boarding passes before arriving at the airport.
The new rules would mean there would be no option to to check in at the airport at all, with the desks scrapped.
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He said: “Our goal is to eliminate check-in desks at the airport, just like we’ve done with luggage counters.
“Everything will be managed through the app, making the process fully digital and eliminating paper entirely.”
The scrapping of the desks would also mean the scrapping of the £55 fee.
He added: “I’m one of the last remaining people still showing up with my piece of paper.
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“It also means, once we get everybody onto the app, nobody will ever again pay for a boarding pass at an airport – the airport check in fee will be gone.
“So, I think it will be a smoother, easier journey for everybody.”
I tried Ryanair’s new £8 cocktails
Some countries, however, require a physical print out of the boarding pass, such as Morocco, Turkey and Albania‘s Tirana, so it isn’t clear how this will be affected for passengers who forget to print one.
The Ryanair website currently states: “If you depart from a Moroccan airport, a digital boarding pass will not be accepted.
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“You must carry a physical printout of your boarding pass, and you’ll need to present this boarding pass at the Moroccan airport check-in facility.”
The airline previously charged up to £38 for anyone booking Priority upgrades at the airport, which come with a 10kg suitcase and hand luggage bag.
New rules could see passengers charged up to £60 if adding this after booking flights or at the airport.
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Luggage Rules for Major Airlines
British Airways
Cabin Baggage: 1 cabin bag (max 56 x 45 x 25 cm) and 1 personal item (max 40 x 30 x 15 cm), total weight up to 23 kg.
Checked Baggage: Economy allows 1 bag up to 23 kg. Premium Economy, Business, and First Class allow more.
EasyJet
Cabin Baggage: 1 small cabin bag (max 45 x 36 x 20 cm), no weight limit but must fit under the seat.
Checked Baggage: Fees apply, up to 23 kg per bag. Passengers can pay for additional weight up to 32 kg.
Ryanair
Cabin Baggage: 1 small bag (max 40 x 20 x 25 cm). Priority boarding allows an additional larger cabin bag (max 55 x 40 x 20 cm, up to 10 kg).
Checked Baggage: Fees apply, options for 10 kg or 20 kg bags.
Virgin Atlantic
Cabin Baggage: Economy and Premium allow 1 cabin bag (max 56 x 36 x 23 cm, up to 10 kg). Upper Class allows 2 bags.
Checked Baggage: Economy Light has no checked baggage. Economy Classic, Delight, and Premium allow at least 1 bag up to 23 kg. Upper Class allows 2 bags.
Emirates
Cabin Baggage: Economy allows 1 bag (max 55 x 38 x 20 cm, up to 7 kg). Business and First Class allow 2 bags (total up to 12 kg).
Checked Baggage: Economy Class varies by fare type (from 20 kg to 35 kg). Business and First Class allow up to 40 kg and 50 kg respectively.
A spokesperson said the fees depend on the route and travel dates selected.
A MAJOR energy supplier with five million customers is set to pull a fixed energy deal that is currently the cheapest on the market.
New and existing customers who sign up for EDF Energy‘s Essentials Fixed 1Yr Oct25v3 tariff are promised savings of £163 a year.
This plan costs a typical household £1,553 per year, making it cheaper than Ofgem’s current price cap.
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At the beginning of this month, the 29 million customers on standard variable tariffs linked to Ofgem’s price cap saw their annual bills increase by £149, rising from £1,568 to £1,717.
If these households were to switch and take up EDF’s offer, they’d save £163 over the next 12 months.
The tariff is available to new and existing EDF customers and requires a smart meter or an agreement to have one installed.
The 12-month fixed offer includes a £25 exit fee per fuel or £50 for a dual fuel tariff.
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But households wanting to switch will only have until midnight to do so.
EDF Energy’s offer is the cheapest among the country’s largest energy suppliers, including British Gas and Octopus Energy.
It’s not unusual for suppliers to reprice or remove their fixed energy tariffs in reaction to fluctuating wholesale market conditions.
This means that the best deals can be pulled at any time.
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How do fixed deals work?
Fixed deals work to protect customers from bill hikes if Ofgem were to increase the price cap in the future.
What is the energy price cap?
Customers on their supplier’s standard variable tariff see their energy prices change every three months, as these are tied to Ofgem’s price cap.
However, those who lock into a fixed energy deal are charged the same gas and electricity rates throughout the contract’s term.
Of course, doing so carries a slight risk of you paying more than those on the standard variable tariff if Ofgem’s energy price cap were to fall within your deal’s term.
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However, experts say this risk is minimal as analysts at Cornwall Insight predict that the energy price cap will rise again in January.
The price cap is reviewed every three months in Oct, Jan, April and July, and can go up or down depending on what’s happening in the wholesale energy market.
Currently, those on the standard variable tariff (SVT) have their rates capped by Ofgem at the following levels:
5.48p per kilowatt hour (p/kWh) for gas
22.36p per kWh for electricity
A standing charge of 31.66p per day for gas
A standing charge of 60.99p per day for electricity
For a typical household that uses an average of 11,500kWh of gas and 2,700kWh of electricity every year, these rates will cap bills at roughly £1,717 .
As this is only an estimate for a typical household, if you use more energy, you’ll pay more.
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But if you’re offered a fix that’s cheaper than the current price cap, it’s always worth considering.
Elise Melville, energy expert at Uswitch, said: “There are many fixed energy tariffs on the market right now that are cheaper than the current energy price cap.
“Some are offering savings of over £150 per year for households with average energy usage.
“The January 2025 price cap is predicted to only drop by 1%, so it’s worth locking in a cheaper fixed rate now that will save you money throughout winter.”
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Outfox the Market is currently offering the second cheapest deal on the open market right now to new and existing customers.
Its Fix’d Dual Oct24 v5.0 tariff costs a typical household £1,555 a year.
This means it is £162 cheaper than Ofgem’s October price cap.
It comes with a £25 exit fee per fuel or £50 if you lock in with a dual fuel tariff.
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British Gas’ The Fixed Tariff v5 tariff matches the Outfox the Market deal, but it comes with a £50 exit dee per fuel.
Octopus Energy’s 12M Fixed October 2024 v1 costs £1,566 a year – £151 less than Ofgem’s October price cap.
This deal also comes with no exit fees, so customers are free to ditch and switch supplier at anytime they wish.
Remember to always compare prices before switching, as energy tariffs vary widely, and costs differ depending on where you live.
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What energy bill help is available?
THERE’S a number of different ways to get help paying your energy bills if you’re struggling to get by.
If you fall into debt, you can always approach your supplier to see if they can put you on a repayment plan before putting you on a prepayment meter.
This involves paying off what you owe in instalments over a set period.
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If your supplier offers you a repayment plan you don’t think you can afford, speak to them again to see if you can negotiate a better deal.
But eligibility criteria varies depending on the supplier and the amount you can get depends on your financial circumstances.
For example, British Gas or Scottish Gas customers struggling to pay their energy bills can get grants worth up to £2,000.
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British Gas also offers help via its British Gas Energy Trust and Individuals Family Fund.
You don’t need to be a British Gas customer to apply for the second fund.
EDF, E.ON, Octopus Energy and Scottish Power all offer grants to struggling customers too.
Thousands of vulnerable households are missing out on extra help and protections by not signing up to the Priority Services Register (PSR).
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The service helps support vulnerable households, such as those who are elderly or ill, and some of the perks include being given advance warning of blackouts, free gas safety checks and extra support if you’re struggling.
Get in touch with your energy firm to see if you can apply.
What are the alternatives?
Customers unwilling to commit to long-term fixed energy deals may want to consider flexible tariffs.
For example, E.ON Next‘s Pledge variable tariff offers a fixed discount of around three per cent on the price cap rates for 12 months.
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It will save the average household around £50 a year but comes with a £50 exit fee if you switch before the year ends.
The deal is available to both new and existing customers.
EDF Energy’s Ensure Tracker works in a similar way and offers a £50 discount off the price cap’s standing charges for 12 months.
For a bigger reward but at a higher risk, Octopus Energy offers two variable tariffs which track wholesale gas and electricity costs.
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Customers on the Octopus Tracker see their prices change daily, but unit rates have remained consistently lower than the price cap in recent months.
Do you have a money problem that needs sorting? Get in touch by emailing money-sm@news.co.uk.
Creditors of the collapsed cryptocurrency exchange FTX are poised to receive up to $16.5bn (£12.6bn) under a bankruptcy plan approved in the US on Monday.
The agreement will put an end to a saga that started when the firm went bankrupt in November 2022, leaving millions of customers around the world without access to their accounts.
Last year, former boss Sam Bankman-Fried was convicted of stealing customer funds ahead of the collapse and later sentenced to 25 years in prison.
The deal will allow former customers to recover a sum worth about 119% of what they had in their accounts at the time of bankruptcy, according to FTX.
Creditors are expected to receive their funds 60 days after the plan is declared effective. This date has yet to be agreed.
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John J Ray III, the lawyer who was appointed to handle FTX’s bankruptcy process and its current chief executive, said the approval of the plan was a “significant milestone” in the firm’s efforts to repay the money to people and firms in more than 200 jurisdictions around the world.
“Looking ahead, we are poised to return 100% of bankruptcy claim amounts plus interest for non-governmental creditors through what will be the largest and most complex bankruptcy estate asset distribution in history,” he said in a statement.
When FTX declared bankruptcy in late 2022, roughly $8bn in customer funds were reported missing, not including debts to investors and others.
Mr Ray’s team has since recovered assets worth $14.7-$16.5bn, in part by selling off FTX’s remaining assets, such as its investment in the artificial intelligence firm Anthropic.
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The deal reached with the bankruptcy court allows the firm to repay customers ahead of the other unsecured creditors such as the government.
It has drawn a mixed reception from some former customers. Some have suggested the repayment in cash will not match the loss of crypto holdings that would be worth far more today had they not been stolen.
The value of bitcoin has more than tripled since November 2022.
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