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MGM CEO leaves door open to buying Barry Diller’s People Inc.

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MGM Resorts International CEO Bill Hornbuckle is leaving open the possibility that the casino operator could acquire Barry Diller’s People Inc. , a striking reversal after the media company abandoned its own effort to take over MGM .
Asked at the Global Gaming Expo this week whether MGM was considering buying People Inc., Hornbuckle said MGM would continue pursuing what is in the best interest of shareholders and “trying to unlock the value of a company that we think is grossly undervalued.”
Hornbuckle pointed to MGM’s collection of assets, including BetMGM, its casino operations in Macao, its resort under construction in Japan and its properties in Las Vegas.
The Wall Street Journal reported last week that MGM was exploring an offer for People Inc. The publishing and holding company, formerly known as IAC, owns roughly 27% of MGM and is its largest shareholder.
People Inc. last week withdrew its $48.30-per-share proposal to buy the rest of MGM. Diller said the “mix” of factors required to complete the transaction had not come together as the company had hoped, but said People Inc. remained interested in a possible strategic transaction with MGM.
Kevin Dietsch | Getty Images
Hornbuckle called Diller and People Inc. “an amazing shareholder” and said Diller remains bullish on Las Vegas.
“There’s nothing like it replicated anywhere in the world,” Hornbuckle said. “It is the one place, particularly in his world, where AI won’t disintermediate it.”
Unlike some of People Inc.’s publishing and digital businesses, Hornbuckle said, Las Vegas is built around physical experiences that artificial intelligence cannot replace.
“People are coming here to enjoy things physically, and that’s not going to change,” he said.
MGM shares were trading near $32 ahead of the G2E discussion, well below the $48.30 price People Inc. had offered in June.
Caesars prepares to go private
The talks between MGM and People Inc. come as one of MGM’s biggest Las Vegas rivals prepares for a take-private transaction.
Caesars Entertainment shareholders last week approved the company’s $17.6 billion sale, including assumed debt, to Fertitta Entertainment. The deal would combine Caesars’ casino and digital operations with Tilman Fertitta’s Golden Nugget casinos, Landry’s restaurant group and other hospitality assets.
Caesars CEO Tom Reeg said operating as a private company would allow management to take a longer view.
“We’re forced as public companies to think in 90-day increments far more than is healthy for any business,” Reeg said. “That’s not how you run a business.”
He said the combination with a hospitality company that has more than 400 outlets across the country creates an opportunity to connect the businesses into a broader customer ecosystem.
The transaction is undergoing an extended antitrust review by the Federal Trade Commission, which recently issued a second request for information.
Reeg called the request normal for a transaction of this size and said the markets under scrutiny are not particularly material to the combined company.
“You shouldn’t be surprised if there’s a property or two that ultimately gets divested,” Reeg said. “But I wouldn’t expect them to be needle movers from a news perspective.”
George Rose | Getty Images
Reeg said the recent interest in the casino space from Diller, Fertitta and activist investor Carl Icahn indicates that sophisticated investors see long-term value in Las Vegas despite weaker visitation and concerns about prices.
“You have some of the smartest people in the world saying, ‘How do I get in?'” Reeg said.
Asked whether those investors were buying because Las Vegas is a bargain, he said, “I think it’s both.”
Wynn’s UAE bet
Beyond Las Vegas, Wynn Resorts CEO Craig Billings said construction of Wynn Al Marjan Island in the United Arab Emirates remains on track despite regional conflict that has contributed to a roughly $600 million increase in the project’s budget.
Billings said approximately half of that increase is related to the conflict, but the resort has missed only one day of construction.
Most of the disruption came during a two- to three-month period when supply chains were being rerouted through different ports, he said. Shipping costs also surged because insurers were unwilling to cover some routes.
“From our perspective, it’s super straightforward: Get open, start earning EBITDA,” Billings said. “You’re going to pay for that uptick in cost very, very quickly.”
Billings said Wynn’s property and construction insurance costs at the site have not increased, citing the security provided by authorities in the UAE. The resort is scheduled to open in September 2027.
The property will be the first integrated resort with casino gaming in the UAE and represents Wynn’s biggest expansion beyond its existing markets in Las Vegas, Boston and Macao.
Macao’s premium customer
Billings also played down the importance of broad visitation figures in Macao, which saw record visitor traffic in August.
Wynn’s results depend less on how many people enter Macao than on which customers arrive, he said. The company targets the premium end of the market.
Eduardo Leal | Bloomberg | Getty Images
Billings described Macao as the largest gaming market in the world, generating roughly five times the gaming revenue of the Las Vegas Strip with about 30% as many hotel rooms.
“Whether Macao’s up 2%, down 3%, you have to look through any given cycle,” he said. “We remain very, very focused on the mid- and long-term in Macao.”
Hornbuckle said MGM is the smallest of the major operators in the market and is similarly focused on higher-value customers. He said 94% of MGM’s occupied rooms in Macao are filled by known casino customers, and the company is converting more standard rooms into suites to meet demand.
And while luxury retail sales have been soft in China, Billings said that is not necessarily a warning sign for casino spending.
Chinese consumers are changing their brand preferences, he said, weakening the historical relationship between luxury retail sales and gaming revenue.
MGM’s Japan resort emerges from the ground
Hornbuckle said MGM’s integrated resort in Osaka, Japan, is on time and on budget after more than a year of site preparation on the man-made island of Yumeshima.
The development will cover roughly 97 acres and 18 million square feet. Hornbuckle said its casino floor will be four times the size of the casino at MGM’s Bellagio.
“We’re finally coming out of the dirt,” he said. “You can see the structures. Steel is being laid.”
Hornbuckle said that if Singapore’s integrated resorts provide a reasonable comparison, MGM Osaka could quickly become a $2 billion cash-flow business.
Japan has so far only approved the Osaka development, but Hornbuckle said the potential for competition in or around Tokyo wouldn’t pose a threat, given Japan’s population and the time it would take a rival to propose and build a new project.
“If we don’t have a five-year head start on this — and then some — I’d be absolutely shocked,” he said.

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Feds get ready to rewrite car headlight rules

One of the regulations that make vehicles in the US different from those in Europe or Japan is our headlight rules. They’re laid out in the Federal Motor Vehicle Safety Standards (FMVSS), and changing them is—or used to be—a lengthy, laborious process, which is a major reason automotive lighting technology has lagged in the US. But the current administration says it’s time for “bolstering driver safety, slashing red tape, and embracing new technologies,” so it’s going to start a negotiated rulemaking process to rewrite the regulations to suit 2026.
“Today’s standards do not allow automakers to deploy the latest safety-improving lighting technologies, so we are bringing key experts and stakeholders together to modernize our standards and address potential causes of glare,” the National Highway Traffic Safety Administration’s Jonathan Morrison said. “This collaborative approach will allow us to update outdated regulations, foster innovation, and keep everyone on our roads safer.”
While it is fair to be skeptical of the government’s efforts to streamline bureaucracy, it is also fair to say US headlight regulations really could use an update.
When Ars started covering cars, automakers like Audi, BMW, Mercedes, Toyota, and Volvo were trying to import adaptive headlight technology. At the time, the FMVSS only allowed for “dumb” high- and low-beams, nothing else. Meanwhile, lighting technology evolved, adopting first lasers and then LEDs with addressable pixels that can block out those that would otherwise illuminate oncoming cars.
In 2013, in response to Toyota’s petition, NHTSA said it would start the rulemaking process. It took another five years before a rule was published for consideration; in the interim, the NHTSA was considering adopting Europe’s rules before deciding that if a car with adaptive beam lights “does not have a long preview of another vehicle, such as in an intersection scenario or when two vehicles are oncoming on a curved road, ADB does not have enough time to react to adapt its beam pattern.”
One key difference is how vehicles are regulated. In Europe, cars are homologated for type approval; manufacturers submit examples to authorities for testing to ensure they conform to the rules, and then the authorities approve the car for sale. In the US, OEMs tell NHTSA their cars comply with the FMVSS, or face sanctions if that turns out to be false later. At the time, NHTSA felt that Europe’s glare tests were too subjective for a self-certification regime and decided instead to write its own.
In 2022, that final rule was ready. Since then, cars with active beam matrix LED headlights have gone on sale in the US; Audi’s big new SUVs are a good example, although they are limited in functionality compared with the same technology fitted to European-spec cars.
Among NHTSA’s goals for an updated FMVSS 108 are harmonizing US standards with their global counterparts, updating the rules for technologies like LEDs, ambient light sensors, automatic high beams, and replaceable light sources, improving test procedures for lenses and optics, understanding how to better aim headlights, and making sure that none of this blinds anyone else on the road with glare.

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Tech stocks drop after report that OpenAI’s revenue is lower than expected

Tech stocks dropped on Thursday after a news report that OpenAI’s annualized revenue is about $20 billion less than previously reported.
OpenAI, the maker of ChatGPT, recently told investors that its annualized revenue was nearing $50 billion, according to the Financial Times. That’s lower than the $70 billion figure previously reported by media, including the FT, based on information from investors.
The discrepancy could rattle investors already questioning whether demand for AI will be strong enough to help companies like OpenAI and Anthropic turn a profit and justify the industry’s enormous spending on the AI buildout.
The Nasdaq Composite sank 1.25%, its worst day since mid-August. The S&P 500 fell 0.5%, weighed down by a drop in the tech sector. The indexes had opened lower but declines accelerated after the FT report published midday.
A source familiar with the documents said the $70 billion figure did not come from OpenAI and likely came from a desire by firms to compare OpenAI’s numbers with Anthropic’s, which includes gross revenue from cloud providers. OpenAI’s is based on net revenue.
OpenAI declined to comment.
There was selling across semiconductor chipmakers, cloud providers and other tech companies involved in the AI buildout. Nvidia (NVDA) fell 2.9%, Intel (INTC) fell 5.3% and Oracle (ORCL) fell 5.5%.
The outlook for many tech stocks is based on investors’ conviction that demand for AI will continue to grow. If there are wrinkles in that story, like OpenAI earning less revenue than expected, that could send ripples throughout the supply chain for the AI buildout, said Ross Mayfield, investment strategist at Baird.
“There are going to be tremors throughout all of the related sub-industries,” Mayfield said.
The stakes are higher now because the stock market in recent weeks has been buoyed by gains in tech and AI stocks, while other sectors have struggled under the pressure of rising bond yields.
“This has become a much narrower market that’s dependent on the AI names to keep it afloat,” Mayfield said. “Certainly, this is going to hit that complex in a big way.”
OpenAI CEO Sam Altman announced in September that the company would postpone its initial public offering until at least next year, citing concerns about AI safety.

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US freezes Microsoft, Adobe, Infosys green-card applications over alleged fraud

The twin actions mark the broadest strike yet against skilled-worker ‌immigration programs — potentially cutting off a common path to permanent residency for foreign tech workers — while putting some of the country’s top research universities on notice.
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“There has been no company in the United States, unfortunately, that has abused the system more than Microsoft,” Vice President JD Vance said. He said the company laid off 6,000 American workers last year while benefiting from 6,300 H-1B temporary worker visas and nearly 3,000 green cards.
The announcement about the permanent labor ​certification process — PERM — came hours before Trump was due to give Microsoft CEO Satya Nadella the National Medal of Technology and Innovation. Under PERM, required for most employment-based green cards, ​employers must show that hiring a foreign worker will not harm US workers’ wages or job opportunities.
Microsoft is the largest filer of PERM applications, ⁠according to data from the US labor department.
The company said in a statement that about 80% of the H-1B applications it filed in the last fiscal year were to extend or change ​the status of current employees, not to hire new workers. In July, the company said it would cut 4,800 jobs, or about 2.1% of its global workforce.
He said these companies had since 2009 sought almost three million foreign workers, and had received over 230,000 H-1B visa approvals and over 100,000 permanent labor certifications.
Amazon.com was the largest employer of approved H-1B beneficiaries in fiscal 2026, followed by Tata Consultancy Services, Infosys, Apple and ​Microsoft, according to US immigration data.
Vance said the suspensions would last “as long as it needs to,” adding that the administration wants the companies to change how they hire. He said some companies ​post ineffective job ads, then cite a lack of applicants to justify hiring lower-paid foreign workers.
Microsoft said in its statement that it pays its H-1B employees the same as any other employees doing comparable work.
“The ‌immediate financial impact ⁠on major technology companies may be relatively limited at this moment, but the longer-term implications for innovation and competitiveness could be much more significant,” said Ken Mahoney, CEO of Mahoney Asset Management.
Adobe, Cognizant, Infosys, HCL Technologies, Wipro and Capgemini did not immediately respond to requests for comment. Tata Consultancy Services declined to comment.
Nasscom, India’s IT industry body, said Indian tech companies in the US had significantly reduced their reliance on H-1B visas, and relatively few of their workers sought green cards through the PERM process.
CRACKDOWN WIDENS
The suspensions are the latest in a series of steps against skilled-worker programs. ​In September last year, the Labor Department launched ​an enforcement drive called “Project Firewall” as a ⁠White House proclamation imposed a one-time $100,000 fee on new H-1B petitions for workers hired from abroad.
During President Donald Trump’s second term, companies have faced growing pressure to keep jobs and production in the United States rather than move them overseas.
The action comes despite closer ties between the administration ​and tech leaders, who are lobbying for lighter AI regulation.
UNIVERSITIES UNDER SCRUTINY
Vance also said nine universities, including Harvard, Yale and Stanford, would be ​investigated for what the ⁠administration called the misuse of exchange-visitor visas to undercut American wages.
The nine schools also include Brown and the Massachusetts Institute of Technology. Labor Inspector General Anthony D’Esposito said subpoenas had already been served.
D’Esposito said investigators would examine whether foreign influence, improper financial relationships or visa abuse were compromising federally funded research.
“It could have an enormous economic impact on the whole US economy,” said Sarah Spreitzer, a vice president at ⁠the American ​Council on Education, which represents college and university presidents. International students historically spent $40 billion a year while in the ​US, she said.
The probe deepens the administration’s long-running fight with Harvard over foreign students. Last year, the Department of Homeland Security subpoenaed the university over alleged misconduct by international students and its compliance with immigration law. Harvard called that subpoena “unfounded ​retribution” but said it would comply as far as the law requires.
Adds details, background and analyst quotes throughout
Reporting by Dan Rosenzweig-Ziff, Doina Chiacu in Washington and Prathik Jayaprakash in Bengaluru; Editing by Mark Porter, Sayantani Ghosh and Sanjeev Miglani

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Google brings agentic AI to Gemini, starting with businesses

At a Google Cloud event on Thursday, the company announced it’s bringing its Gemini AI into the agentic age, with the launch of a unified agent that can not only answer questions but also get things done on the user’s behalf, all from a single interface.
The move comes as AI tools have been moving beyond being just conversational experiences to those that can take ownership of assigned tasks, generate code, schedule meetings, book appointments and travel, and more. It also follows the rise of consumer-facing agents like Meta’s Muse and those that operate over messaging, like Instinct and others, as well as the recent debut of ChatGPT’s Dots.
The company still has a good shot at achieving scale for its agentic efforts — as Google CEO Sundar Pichai pointed out at the event’s start, Gemini today has over 1 billion monthly active users. He also noted that nearly 90% of Fortune 100 businesses now use Gemini Enterprise at work.
Given Gemini’s adoption in the corporate world, Google will initially focus on bringing the agent to businesses before later rolling it out to consumers.
According to Pichai, this will allow the company to solve the “harder problems around security, scale, and performance,” which come with launching powerful agents such as these.
Thomas Kurian, CEO of Google Cloud, explained that the new agent can be given “objectives, not just instructions.” That means it’s able to plan the work, use custom skills and tools, and connect to businesses’ internal systems to accomplish its goals.
By default, the AI will pick the best model to complete the task, but users can also take over to choose a model — including those from third parties, starting with Anthropic’s Claude models. Google said that it will expand the model picker to include open source models and other private models in the future.
The request can include attachments, like files, folders, or other projects designed for specific workstreams, like those that combine files and skills. The agent can connect to the business’ data and systems, like Google Workspace, Microsoft 365, Slack, Jira, Confluence, Git, BigQuery, Databricks, Postgres, Snowflake, and others.
It can also connect and work securely with any Model Context Protocol (MCP) server inside or outside the company’s network.
Users can keep track of what Gemini is doing from a “tasks inbox” interface, where they can see Gemini’s thinking process, delegation of tasks to subagents, loading of special skills, code, and progress.
Notably, the AI will have its own Workspace account, as if it’s just another co-worker. That means it has its own email address and its own context, Google said. It knows who at the company is on which team, their time zones, who needs to approve items, what’s on people’s calendars, and more. Users can call the agent by tagging it, emailing it, sharing with it, or adding it to a group chat. As it takes action, it writes an audit trail attributed to the agent, instead of a person.
The agent will be accessible from iOS and Android mobile devices, Windows and Mac desktops, the command line interface, Google Workspace, Microsoft 365, ServiceNow, and Slack.
The agent’s early testers included sportswear brand On, Shopify, and PayPal, and noted that Gemini Enterprise customers include large businesses like BNP Paribas, Bradesco, Merck, Orange Spain, Santee Cooper, SOMPO, Ulta Beauty, and Wesfarmers.
Google said new flexible spending options, including multi-model orchestration, smart routing, and real-time spend caps, will help businesses keep their enterprise AI costs under better control.

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Nvidia, Oracle, other AI stocks sink on OpenAI revenue report

Shares of Nvidia , Oracle , CoreWeave and other artificial intelligence names sank lower on Thursday after the market learned more details about OpenAI’s revenue.
OpenAI told investors that it hit roughly $50 billion in annualized revenue at the end of September, CNBC confirmed, lower than the the $68 billion figure that was widely reported late last month. A person familiar with the matter said the $68 billion figure included gross revenue from OpenAI’s partners, which helps investors make a more direct comparison with its chief rival, Anthropic .
The Financial Times was first to report the $50 billion figure.
OpenAI shared an update about its finances in an investor presentation, said the person, who asked not to be named in order to discuss the numbers. In addition to the $50 billion in annualized revenue, OpenAI touted 77% total run rate growth during its third quarter, as well as 107% run rate growth for its enterprise business during the same period, the person said.
The company is under pressure to justify its $852 billion valuation to investors as it gears up for what is widely expected to be a blockbuster IPO. OpenAI confidentially filed its prospectus with regulators in June, and executives have signaled that the company is eyeing a 2027 debut.
In the interim, OpenAI is engaging in early stage discussions with investors about a potential new funding round. The company could raise around $30 billion, as CNBC previously reported, but that figure could change. The round is being driven by investor demand and no term sheet has been finalized yet.

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