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Key Takeaways
- Shares of Apple dropped 5% Thursday after a string of bad news. The latest: Federal regulators sent Apple a warning letter Thursday about its news app.
- A day earlier, Bloomberg reported some of Apple’s AI features have been delayed.
It was a rough day for Apple.
Shares of the tech giant and Magnificent Seven stock slumped 5% Thursday, the stock’s worst session since April, on what was already a rough day for tech shares. The drop followed a string of bad news, as the company’s news app drew the ire of federal regulators and reports emerged that its latest AI efforts could face delays.
Why This Matters to Investors
The Trump administration hasn’t been shy about engaging with U.S. companies—even some of the country’s biggest and most valuable—in support of policy goals. Apple today caught the government’s eye, leaving unanswered questions that led to a decrease in its value.
The Federal Trade Commission on Thursday said it sent a letter to Apple (AAPL) CEO Tim Cook about the company’s Apple News app, warning it could violate the law if found to be misrepresenting its terms of service and accusing it of systemically favoring “left-wing” news outlets over conservative ones.
The development raised worries that the company’s relationship with the Trump administration could be fraying. The iPhone maker made inroads last year with its investments in U.S. manufacturing.
Bloomberg, meanwhile, reported Wednesday that an AI-enhanced Siri upgrade has been delayed, adding to concerns the iPhone maker has lagged peers with its AI efforts. Apple could not be reached for comment in time for publication.
Thursday’s losses erased much of Apple gains in the last few weeks, after the iPhone maker posted record revenue for the holiday quarter, driven by strong iPhone and services revenue. Apple’s shares are in the red for 2026 so far.
