FTI Consulting News Bytes – 5 September 2025

FTI Consulting News Bytes

This week, we’re looking at a major development in the ongoing battle over Big Tech regulation, as a US judge ruled that Google won’t be forced to sell Chrome but must open up its search engine data to competitors. Klarna is reviving its plans for a New York IPO, targeting a $14 billion valuation as it pivots toward digital banking. In the AI space, Anthropic has seen its valuation more than double to a staggering $183 billion following a massive funding round backed by major global investors. Meanwhile, in the UK Sainsbury’s is trialling facial recognition technology in stores to tackle a surge in retail crime, raising fresh concerns from privacy advocates. And finally, authorities have shut down Streameast, the world’s largest illegal sports streaming site, in a global crackdown on piracy, but analysts warn that without more affordable access to live sports, it’s unlikely to be the last.

This week’s news

Google ordered to make search engine changes but spared break-up 

Google will not have to sell its Chrome web browser but must share information with competitors, a US federal judge has ordered. Judge Amit Mehta said the threat to Google’s search engine posed by artificial intelligence chat bots was crucial to his decision to impose a less onerous set of requirements on it. The US Department of Justice had argued that Google should have to sell its Chrome browser and if necessary its Android operating system – after winning a judgement last year that the company maintained an illegal monopoly in online search. According to the Financial Times the order fell short of the most extreme outcomes feared by investors, such as a full ban on advertising revenue share deals with the likes of Apple. In its piece, Sky News added that the 226-page ruling by US District Judge Amit Mehta is expected to have far-reaching effects on the tech industry.  

Klarna revives New York IPO plan

Klarna unveiled plans for a second attempt at a New York initial public offering, with the company and its shareholders seeking to raise as much as $1.27 billion. CNBC noted that Klarna was initially aiming to go public earlier this year, but temporarily put its plans on hold due to US President Donald Trump’s April announcement of reciprocal tariffs on dozens of countries. Klarna and some its backers are offering 34.3 million shares for $35 to $37 a piece, which will value the company at up to $14 billion. Goldman Sachs, JP Morgan and Morgan Stanley are acting as joint book runners for the listing. In their piece, the Financial Times added that Klarna’s listing plans come as the company diversifies away from offering short-term loans to online shoppers to become more like a digital bank.

Anthropic’s valuation more than doubles to $183 billion 

Anthropic said it is now valued at $183 billion after raising one of the largest venture funding rounds. Venture capital firms Iconiq Capital and Lightspeed Venture Partners co-led the round, alongside Fidelity Management & Research Company. A number of other institutional investors and sovereign funds including Singapore’s GIC and the Qatar Investment Authority also participated. According to Bloomberg, Anthropic named the Qatar Investment Authority as a “significant” investor in the £13 billion financing round, adding that it puts Doha’s wealth fund on a list that already includes Amazon, Goldman Sachs and a slew of other prominent venture capital firms. Off the back of the news, Krishna Rao, Anthropic’s Chief Financial Officer said “we are seeing exponential growth in demand across our entire customer base,” adding that “this financing demonstrates investors’ extraordinary confidence in our financial performance and the strength of their collaboration with us to continue fuelling our unprecedented growth.”

Sainsbury’s trials facial recognition to combat shoplifting surge 

Sainsbury’s, the UK’s second-largest supermarket, is trialling facial recognition technology in two of its stores to tackle a growing wave of shoplifting and violence. As covered by The Times, the eight-week pilot aims to identify and ban repeat offenders, specifically those who are aggressive or steal from stores. Sainsbury’s says the tech won’t be used to monitor regular shoppers or staff, and any unrecognised faces will be deleted immediately. The move has sparked backlash from privacy campaigners like Big Brother Watch, who call it “chilling” and urge the government to rein in the use of such surveillance. Retail crime is on the rise, with over 530,000 shoplifting cases recorded last year and shop theft costing the industry billions.

World’s largest piracy sports streaming site shut down 

Streameast, one of the world’s most popular illegal sports streaming sites, has been shut down following a joint operation between Egyptian police and the Alliance for Creativity and Entertainment (ACE). The site, which had over 1.6 billion visits in the past year, provided free access to pirated streams of major sports events like Premier League matches and Formula One races. According to BBC News, two men were arrested near Cairo, and authorities seized devices, cash, and cryptocurrency linked to the operation, which reportedly laundered millions through a UAE-based shell company. ACE called the shutdown a major victory in the fight against digital piracy, echoing moves that EU regulators have long been pushing for to combat widespread illegal streaming. Still, experts warn this is only a temporary win. With rising costs and fragmented subscriptions, many fans continue turning to illegal options. Analysts say piracy will persist unless live sports become more affordable and accessible.

Top Tweets of the Week

• Reuters Tech News tweets: “Exclusive: Alibaba, ByteDance and other Chinese tech firms remain keen on Nvidia’s artificial intelligence chips despite regulators in Beijing strongly discouraging them from such purchases.”
• Bloomberg tweets: “BMW will take on Tesla with a new line of EVs offering longer range and high-performance software. “This will be the benchmark of the industry,” BMW’s CEO says.”
• Mark Gurman, Managing Editor at Bloomberg tweets: “BREAKING: Apple is planning an AI-powered web search tool to compete with ChatGPT and Perplexity for next year. It’s also currently leaning towards working with Google to help power part of a Siri overhaul.”

Number of the week

$230bn The amount Alphabet gained in value after avoiding a breakup in its US antitrust case. (CNBC)