AP Business SummaryBrief at 1:00 a.m. EST

Fintech company Block lays off 4,000 of its 10,000 staff, citing gains from AI

BANGKOK (AP) — Shares in the financial technology company Block have soared more than 20% in after-hours trading after its CEO announced it was laying off more than 4,000 of its 10,000 some employees due to efficiency gains from artificial intelligence. Jack Dorsey said that a “significantly smaller team, using the tools we're building, can do more and do it better.” Block's shares had ended up 5% Thursday at $54.53, but shot up to nearly $69 in after-hours trading. The mobile payments services provider reported its fourth quarter gross profit jumped 24% from a year earlier in the last quarter.

Netflix walks away from Warner Bros deal, clearing the path for Paramount

NEW YORK (AP) — Netflix is declining to raise its offer to buy Warner Bros. Discovery’s studio and streaming business in a stunning move that effectively puts Paramount in a position to take over its storied Hollywood rival. On Thursday, after Warner’s board announced that Skydance-owned Paramount’s offer was superior to the agreement it had previously struck with Netflix, the streaming giant said the new price that would be required to buy Warner would make it a deal that is “no longer financially attractive.” Unlike Netflix’s bid, Paramount wants all of Warner’s operations, including networks like CNN and Discovery. That would put CNN under the same roof as Paramount’s CBS and combine two of Hollywood’s last five remaining studios.

Bill Gates 'spoke candidly' about Epstein ties at a Gates Foundation meeting, spokesperson says

Bill Gates is addressing his connection to convicted sex offender Jeffrey Epstein, answering questions about their relationship during a town hall meeting of his nonprofit Gates Foundation. A Gates Foundation spokesperson says the Microsoft co-founder “took responsibility for his actions” and “spoke candidly” on Tuesday. Gates appears multiple times in the Justice Department’s release of documents connected to its investigation of the late financier. He says he met with Epstein about philanthropy and regrets the meetings. Increased attention pushed Gates to skip a planned keynote at an AI summit.

Asian shares are mixed after Nvidia's losses pull Wall St lower, as AI-linked layoffs rattle markets

BANGKOK (AP) — Shares are mixed in Asia after the worst day for Nvidia’s stock since last spring dragged the U.S. market lower. U.S. futures fell as investors focused on comments by Block CEO Jack Dorsey on his company's decision to lay off 40% of its workforce because of labor-saving artificial intelligence. On Thursday, the S&P 500 fell 0.5% and the Dow Jones Industrial Average added just 17 points. The Nasdaq composite sank 1.2%. Despite a stellar profit report, Nvidia's stock had their worst day since April. Companies in industries as far flung as trucking logistics and financial services have seen their stocks come under attack this year by investors worried their businesses may lose out to AI.

Young woman says she was on social media 'all day long' as a child in landmark addiction trial

LOS ANGELES (AP) — A 20-year-old woman is seeking to hold social media companies responsible for harms to children who use their platforms. She began using the platforms as a young child and claims her early use of social media addicted her to the technology and exacerbated depression and suicidal thoughts. Meta and YouTube are the two remaining defendants in the case, which TikTok and Snap settled. The woman, who has been identified by her first name, Kaley, and initials, KGM, has testified before a jury in the unprecedented case, saying she was on social media “all day long” as a child.

The IRS broke the law by disclosing confidential information to ICE 42,695 times, judge says

WASHINGTON (AP) — A federal judge said that the IRS broke the law by illegally sharing thousands of taxpayers’ addresses with Immigration and Customs Enforcement. On Thursday, Judge Colleen Kollar-Kotelly found the IRS disclosed confidential address data “approximately 42,695 times.” Her finding cites a sworn declaration from the IRS' chief risk and control officer that revealed that the IRS had given ICE additional address information in violation of privacy rules created to protect taxpayer data. The founder of the Center for Taxpayer Rights, which has sued the government over the disclosure, says the judge's finding confirms that the IRS has an unlawful policy.

Panamanian investigators remove documents from offices of company that ran canal ports

PANAMA CITY (AP) — Panamanian investigators have carried documents out of offices belonging to a Hong Kong-owned company that operated ports at either end of the Panama Canal until its concession was declared unconstitutional by the Supreme Court last month. Public prosecutor Azael Samaniego, of the anti-corruption office, told local media outlets that visits were made to three offices of the Panama Ports Company in Panama City  on Thursday. The Panama Ports Company is the local subsidiary of Hong Kong-based CK Hutchison. Samaniego said his office had information pointing to the possible commission of a crime, but he did not specify what the crime could be. The Panama Ports Company did not respond to requests for comment, nor did Panamanian law enforcement agencies.

The worst day for Nvidia's stock since last spring drags Wall Street lower

NEW YORK (AP) — The worst day for Nvidia’s stock since last spring dragged the U.S. market lower, even though most stocks rose. The S&P 500 fell 0.5% Thursday. The Dow Jones Industrial Average added 17 points, and the Nasdaq composite sank 1.2%. Nvidia delivered another stellar profit report and gave a forecast for revenue that again topped analysts' expectations. But such blowout performances have become typical for the AI chip company, and its stock fell to its worst day since April. Stocks of software companies that had earlier been hurt by worries that AI would make them obsolete rose. Oil prices zigzagged.

FedEx says it will return to customers any refunds it gets back from Trump's illegal tariffs

NEW YORK (AP) — Delivery company FedEx said in a statement on Thursday that it will return any tariff refund it might get to shippers and customers who paid them. The statement came after FedEx filed suit in the U.S. Court of International Trade to request a refund on what it paid for tariffs set by President Donald Trump under the International Emergency Economic Powers Act. On Friday, the Supreme Court ruled that the IEEPA tariffs are illegal. More than 1,000 companies have filed suit in the U.S. Court of International Trade in efforts to recoup costs from the illegal tariffs.

Canada warns USMCA could face annual reviews, fueling uncertainty and chilling investment

TORONTO (AP) — Canada’s minister for U.S. trade says the Canada-U.S.-Mexico Agreement could be subject to annual review and that uncertainty could be the objective of the Trump administration. LeBlanc told a business audience in Toronto that he will meet with U.S. Trade Representative Jamieson Greer late next week in Washington ahead of the mandatory review of the Canada-U.S.-Mexico Agreement in July. LeBlanc says if there’s no consensus in the review the agreement continues but then there’s an annual review that starts that will cause uncertainty. Trump has talked about getting the U.S. automakers to close factories in Canada and move them to the U.S.