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Business groups pile pressure on Shapps over airport testing

Business groups pile pressure on Shapps over airport testing

The government is facing renewed pressure from some of Britain’s biggest most influential business groups to introduce an immediate coronavirus airport testing regime or risk losing “the vision of a Global Britain”.
Sky News has seen a letter sent to the transport secretary, Grant Shapps, by organisations including the CBI in which they lay bare the scale of their concerns about the current 14-day COVID-19 quarantine regime.

The groups, which include the manufacturing industries’ body Make UK and London First, urged Mr Shapps to emulate countries such as France, Germany and Italy, which they said had all “successfully implemented” airport testing programmes.

Where jobs have been lost in the UK economy

“If we don’t act fast with testing, we will make it more difficult for British businesses to continue as world class global players, just at the time where we need to forge stronger international relationships as the UK leaves the EU,” the letter said.
“While health must come first, we cannot allow the UK to fall behind when there is a solution already in place in over 30 countries that enables the health risk to be managed whilst enabling travel.

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“We must ensure that important trade routes are not irreparably damaged, and the vision of a Global Britain lost, with European economies capitalising on the Government’s quarantine policy which risks holding back the UK’s recovery.”

The letter was sent three weeks after Mr Shapps indicated that airport testing was being examined by the government, while emphasising that its introduction would not eliminate the need for – an albeit truncated – quarantine period.

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Image: Heathrow Airport is running at a fraction of its peak capacity
In their joint plea to the transport secretary, the business groups demanded that the government “do more – introducing testing and expanding regional travel corridors to include regions where the infection rate of COVID-19 is low and trading routes are vital, particularly working with the USA administration on a reciprocal testing model”.
“We were pleased to hear you state that the Government was ‘actively working’ on testing but we urge you and your Cabinet colleagues to put these words in to action”.
“Some airports across the UK already have the private infrastructure in place – or in plan – to make this happen without impacting test availability for the wider population.”
Britain’s aviation industry has been catapulted into the gravest crisis in its history by the coronavirus pandemic, with tens of thousands of jobs already axed by airport operators, airlines and support services groups, such as those which manage ground-handling operations.
Heathrow, Britain’s biggest airport, has pushed for the introduction of a testing regime for incoming passengers, with a consortium comprising Collinson and Swissport devising a system that the companies say has been ready for adoption for many weeks.

Heathrow boss: PM needs to ‘get a grip’

John Holland-Kaye, Heathrow’s boss has described testing as “the lifeline that the UK’s aviation sector needs to get back on its feet”.
“Without this, our first class aviation sector risks becoming second class, giving Britain’s competitive advantage to others,” he said this month.
Airlines and airports have been calling since the start of the pandemic for a bespoke rescue package for the industry, but have so far failed to secure financial support beyond that given to the broader economy.
The letter from six business groups to Mr Shapps underlines the wider concerns in the private sector about the impact that diminished aviation activity is having on the UK economy.
Its other signatories were the British Chambers of Commerce, the Federation of Small Businesses and the Tourism Alliance.

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Tech entrepreneur picked to help solve productivity puzzle

Tech entrepreneur picked to help solve productivity puzzle

A technology entrepreneur who holds a string of government roles will be unveiled this week as the next boss of Be the Business, the charity set up to address the perennial challenge of Britain’s weak productivity.
Sky News understands that Anthony Impey will be announced on Tuesday as the organisation’s new chief executive.

Mr Impey, who orchestrated the sale of a majority stake in Optimity, a broadband and cloud services provider, is to replace Tony Danker, who is about to take over as the new director-general of the CBI.
His arrival at Be the Business will come amid a turbulent period for the UK and global economies, which have been buffeted by the coronavirus pandemic and forced some industries into a virtual standstill.
Although official data from the Office for National Statistics outlining the UK’s productivity record during the COVID-19 crisis will not be released for some time, Be the Business recently published research suggesting small and mid-sized companies (SMEs) undertook the same degree of innovation in the three months of lockdown that they typically would have done in three years.

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The research showed that half a million businesses – more than 35% of the total – had changed or are changing their operating model during the pandemic.

Image: Tony Danker launched Be the Business with Sir Charlie Mayfield in November 2017. Pic: BtB
More than one-quarter of companies have asked staff to work in new ways or roles aimed at developing new revenue streams, the charity added.

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Be the Business said that while firms had adopted productivity-boosting technology as a result of COVID-19, they did not necessarily have the capital to continue doing so.
An insider said there was now “a once-in-a-generation opportunity to revitalise SME productivity as tech, along with improved management skills, are proven drivers of productivity”.
Mr Impey’s appointment underlines the importance that Be the Business’s board and stakeholders attach to the adoption of new technology to drive productivity improvements.
Britain has suffered by comparison with the productivity record of many other major European economies, prompting economists, business leaders and policy-makers to grapple with the underlying reasons..
Mr Impey, who remains on the board of Optimity, also chairs the Department for Education’s Apprenticeship Stakeholder Board and the Greater London Authority’s Apprenticeship Advisory Board.
He will also continue as chair of the City & Guilds Industry Skills Board.
Sir Charlie Mayfield, the former John Lewis Partnership chair who also chairs Be the Business, said Mr Impey’s recruitment reflected the charity’s desire to use the current crisis as a catalyst for increasing technology adoption across British business.

Where jobs have been lost in the UK economy

“Adoption of technology improves the growth and productivity of businesses in Britain.
“In conducting our search to replace Tony, we wanted someone who believes in and has experienced this for themselves,” Sir Charlie said.
Mr Impey said there were “still too many tales of companies embracing technology only to struggle to successfully adopt it”.
“That hurts twice over, causing a short-term distraction and a longer-term distrust of the role technology can play.
“Not every company across Britain needs to be an AI [artificial intelligence] powerhouse, but they do all need to adopt tech that can increase productivity and encourage growth.
“This is now essential as businesses across the country are having to deal with the immense uncertainty and massive change caused by the pandemic.”
Launched in 2017 with funding from government and the private sector, Be the Business counts leading business figures such as Sir Roger Carr, chairman of the defence contractor BAE Systems, Doug Gurr, the departing UK country manager at Amazon), and Dame Fiona Kendrick, Nestle UK’s former chairman and CEO, among its board members and advisors.

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K-pop band BTS's label scores investor hit with £3.2bn IPO

K-pop band BTS's label scores investor hit with £3.2bn IPO

K-pop stars BTS have scored a hit with South Korean investors after a rush of demand for shares in its management label saw the company valued at £3.2bn.
Demand from institutional investors for a stake in Big Hit Entertainment means it will be priced at the top of the expected price range in an initial public offering (IPO) next month.

The offer saw demand 1,000 times higher than the number of shares available – in what is South Korea’s biggest IPO in three years.

2019: K-pop megastars perform at Wembley

It will make millions for the band’s seven members, who were each given 68,385 shares in the company by chief executive Bang Si-hyuk in August.
A regulatory filing on Monday showing strong demand means shares have now been priced at 135,000 won (£90) each, the top of a range announced earlier this month.

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Further demand is expected to come from retail investors including fanatical BTS fans desperate to secure a stake.

The IPO will see 7.13 million new shares in Big Hit sold, raising 963 billion won (£638m) and valuing the whole of the company at 4.8trn won (£3.2bn).

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Park Sung-ho, analyst at Yuanta Securities, said Big Hit was “classified as a kind of global export firm” with proven ability to use YouTube and social media for “smart market infiltration” as well as its own fan platform Weverse giving it “unprecedented clarity and control over its revenue sources”.
In August, the company reported a 49.7 billion won (£33m) profit for the first half of 2020 as online concert and merchandise sales more than offset the impact of event cancellations in the US, Europe and Asia during the pandemic.

Image: 756,000 people paid to watch a BTS concert online in June
The company said 756,000 people globally paid to watch the group perform an online concert in June, an audience size equal to about 15 stadium concerts.
Big Hit also sells merchandise such as illustrated books of lyrics, textbooks and games and licensing including products sold by companies such as Starbucks and Samsung.
It bought two K-pop labels and established a third as a joint venture since last year, addressing market concerns that it needs to diversify its revenue streams beyond BTS.

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Last year, BTS became the first group since the Beatles to score three number one albums in a year on the Billboard 200 charts.
The band’s biggest hit, Dynamite, this year made them the first South Korean band to reach number one in America’s Hot 100 singles chart.

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Pizza Hut restructuring vote secures 5,000 jobs

Pizza Hut restructuring vote secures 5,000 jobs

Pizza Hut Restaurants has won a bid to secure its future and 5,000 jobs though 450 roles remain under threat.
The company, which comprises only the dine-in restaurant franchise in the UK, announced earlier this month that it was seeking an insolvency mechanism known as a Company Voluntary Arrangement (CVA) to slash costs as it moved to recover from the effects of the coronavirus lockdown.

Proposals to close 29 under-performing restaurants and cuts to rent bills across its remaining estate of 200 sites were agreed in a vote by creditors including landlords.

Image: Pizza Hut takeaways are not part of the Restaurants business which is focused on dine-in franchises

Where jobs have been lost in the UK economy

The chain could have potentially collapsed without the support as the wider dining sector – while boosted by the Eat Out to Help Out scheme during August – fights for survival amid continuing COVID-19 curbs.
Rival Pizza Express secured a CVA earlier this month that left more than 1,000 jobs hanging in the balance.

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A Pizza Hut Restaurants spokesperson said: “The CVA for Pizza Hut Restaurants is now approved.

“We are delighted to have reached such a constructive position in partnership with our landlords and creditors.

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“We appreciate the support of everyone involved and this outcome provides us with a strong platform to secure the long-term future of the business including over 5,000 jobs and over 200 restaurants.
“Our focus is now ‘business as usual’ supporting all of our team members and continuing to provide a COVID-safe restaurant experience for our guests.”

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Billionaire brothers in pole position to buy Asda for £6.5bn

Billionaire brothers in pole position to buy Asda for £6.5bn

The billionaire brothers behind one of Britain’s biggest petrol station operators have moved into pole position to clinch the biggest deal of their career: the takeover of Asda that will value the supermarket chain at more than £6.5bn.
Sky News can exclusively reveal that a consortium led by Mohsin and Zuber Issa, the bosses of EG Group, and TDR Capital, the London-based private equity firm, has been selected by the American retail giant Walmart as the preferred bidder for Asda.

A deal has yet to be formally struck, but City sources confirmed on Monday that the brothers’ offer was now the leading contender to buy one of Britain’s biggest grocery retailers.

2019: Sainsbury’s and Asda merger ‘dead in the water’

The sale of a controlling stake in Asda would see Walmart return to majority British ownership for the first time since 1999.
Walmart’s decision to select the Issas’ bid will confound expectations that it was likely to pursue a deal with Apollo Global Management, the buyout firm which has been working with Rob Templeman, the former boss of Debenhams.

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Lone Star Funds, another private equity firm, had been working with former Asda executive Paul Mason, but pulled out of the auction last week.

The prospective sale of Asda comes more than two years after Walmart plotted a merger of the British chain with rival Sainsbury’s, which was eventually scuppered by competition regulators.

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The Issa-TDR offer is understood to be backed by a syndicate of lenders including Barclays, ING, Lloyds Banking Group and Morgan Stanley.
A formal agreement could still be several days or weeks away, according to insiders.

Image: Walmart’s decision to select the Issas’ bid will confound expectations
A transaction is expected to see Walmart retain a minority stake in Asda, which has tussled with Sainsbury’s and Wm Morrison to close the gap on market leader Tesco, even as discounters Aldi and Lidl have attempted to position themselves as cheaper rivals in an intensely competitive market.
Amazon’s move into the sector, which has included a partnership with Morrisons, has also paved the way for a long-term shift in the industry.
One insider said the Issas were seen as an “entrepreneurial” option to help Asda to grow.

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The brothers and TDR are understood to want to retain Asda’s chief executive, Roger Burnley, in his post.
In a recent quarterly trading update, Walmart said that Asda would focus on expanding its online sales capacity amid a continuing slide in its market share.
Mr Burnley added that the coronavirus pandemic had “created a structural shift in customer behaviours towards grocery shopping”.
A spokeswoman for Walmart and Asda declined to comment, while TDR could not be reached for comment.

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Fred Perry stops selling polo shirt after it becomes associated with far-right group

Fred Perry stops selling polo shirt after it becomes associated with far-right group

Fred Perry has pulled one of its famous polo shirts after it became associated with a neo-fascist organisation. 
The British clothes maker said it was “incredibly frustrating” that the Proud Boys had adopted its black and yellow shirt – and announced it would no longer be selling the item in North America and Canada.

“To be absolutely clear, if you see any Proud Boys materials or products featuring our Laurel Wreath or any Black/Yellow/Yellow related items, they have absolutely nothing to do with us, and we are working with our lawyers to pursue any unlawful use of our brand,” it said in a statement on its website.

Fred Perry does not support and is in no way affiliated with the Proud Boys. Read our statement here.
— Fred Perry (@fredperry) September 25, 2020

The brand was founded by Wimbledon champion Fred Perry in 1952 and has been adopted by various British subcultures since.
It has long been associated with the Skinheads, who originally denounced fascism – although the group divided in the 1970s as a small number of its members swung to the far right.

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The clothes brand has spoken out against far-right views on numerous occasions after its wreath-emblazoned polo shirts were used by controversial groups.

“The Fred Perry shirt is a piece of British subcultural uniform, adopted by various groups of people who recognise their own values in what it stands for,” the brand said.

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“We are proud of its lineage and what the Laurel Wreath has represented for over 65 years: inclusivity, diversity and independence…
“Despite its lineage, we have seen that the Black/Yellow/Yellow twin-tipped shirt is taking on a new and very different meaning in North America as a result of its association with the Proud Boys. That association is something we must do our best to end.”

Image: Fred Perry said the use of the shirts is ‘incredibly frustrating’
The brand revealed it had discontinued the shirt in North America and Canada since September last year, and would not be selling it there again “until we’re satisfied that its association with the Proud Boys has ended”.
The Proud Boys is a far-right group that admits only men and promotes political violence.
When asked in 2017 about the association, Fred Perry chairman John Flynn said the group was “counter to our beliefs and the people we work with”.
“Fred was the son of a working-class socialist MP who became a world tennis champion at a time when tennis was an elitist sport. He started a business with a Jewish businessman from Eastern Europe,” he said.
“It’s a shame we even have to answer questions like this. No, we don’t support the ideals or the group that you speak of.”

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Uber judged 'fit and proper' to operate in London

Uber judged 'fit and proper' to operate in London

Uber can continue operating in London after it won an appeal over a decision to take away its licence due to safety concerns.
A judge ruled that the company is “fit and proper” to hold a licence despite “historical failings”.

Transport for London (TfL) had in November rejected Uber’s application to continue trading, pointing to “breaches that placed passengers and their safety at risk”.
The firm was allowed to continue operating while it appealed against the decision.

Image: A drivers’ union said the decision has secured more than 40,000 jobs
A four-day hearing was held at Westminster Magistrates’ Court earlier this month.

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Judge Tan Ikram said in a written verdict on Monday: “Despite their historical failings, I find them, now, to be a fit and proper person to hold a London PHV (private hire vehicle) operator’s licence.”

He granted the licence for 18 months.

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TfL had initially denied the licence, saying it had found a change to the company’s systems had allowed unauthorised people to upload their photographs to legitimate driver accounts, enabling them to pick up passengers.

Image: Uber said earlier this year it was cutting a quarter of staff
The judge said he had taken into account Uber’s record “on breaches of regulations and impact on public safety”, adding that “public confidence in the licensing regime is a clear consideration”.
“Some breaches in themselves are just so serious that their mere occurrence is evidence that the operator is not fit and proper to hold a licence,” the judge said.
“I do not find this to be one of those cases.”
The judge said concerns about Uber’s systems and processes had now been “adequately addressed”.
Jamie Heywood, Uber’s regional General manager for northern & eastern Europe, said: “This decision is a recognition of Uber’s commitment to safety and we will continue to work constructively with TfL.
“There is nothing more important than the safety of the people who use the Uber app as we work together to keep London moving.”

Nov 2019: Uber loses operating licence in London

London mayor Sadiq Khan said TfL had been “absolutely right” not to renew Uber’s licence last November and pleased that it had since made improvements.
He added: “I can assure Londoners that TfL will continue to closely monitor Uber and will not hesitate to take swift action should they fail to meet the strict standards required to protect passengers.”
The App Drivers and Couriers Union (ADCU) gave a cautious welcome, saying the decision had secured the jobs of 43,000 drivers.
However, it called for a break-up of the company’s operations in London, arguing there should be a limit on the number allowed to register for Uber in the capital.
The Licensed Taxi Drivers’ Association, representing black cab drivers, said the decision was a “disaster”.
A statement posted on Twitter said: “Uber has demonstrated time and time again that it simply can’t be trusted to put the safety of Londoners, its drivers and other road users above profit.”
Adam Tyndall, programme director for connectivity at business group London First, said of the court ruling: “This is good news for millions of Londoners and visitors who rely on Uber to get around the capital.
“As TfL recognised last year, Uber has taken significant steps to improve its operations and safety in London.
“This court ruling recognises these important enhancements to its service.”

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Uber is facing a separate legal battle over whether it should give drivers basic employment protections such as minimum wage and holiday pay.
The firm’s drivers are counted as contractors rather than employees.
But Uber’s directly-employed workers have also been feeling the impact of the coronavirus crisis, with the company revealing earlier this year that it was cutting a quarter of staff.

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Aldi plans to create 4,000 new jobs next year

Aldi plans to create 4,000 new jobs next year

Discount supermarket Aldi has said it expects to create 4,000 new jobs in 2021 as part of a £1.3bn two-year investment plan.
The German-owned chain, now the UK’s fifth biggest by market share, said the investment would include new and upgraded stores and distribution centres as well as a recently-announced “click and collect” service.

Under the plan, a total of 8,000 jobs will have been created over this year and next.
Aldi’s expansion is set to add 100 new stores in the UK over 2020 and 2021, taking it closer to its long-term target of 1,200 by 2025.
Its announcement came as it reported an 8.3% rise in sales to £12.3bn to 2019, which it said compared to a more sluggish 1% for the grocery market overall.

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Aldi said pre-tax profits – which had dipped the year before – rose 49% to £271.5m as it benefited from “efficiencies of scale” while continuing to invest in keeping prices low.

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Caesars in 'advanced discussions' over £2.9bn William Hill deal

Caesars in 'advanced discussions' over £2.9bn William Hill deal

Casino giant Caesars Entertainment has confirmed it is in “advanced discussions” over a £2.9bn takeover of William Hill.
The announcement comes after William Hill said on Friday that it had received approaches from Caesars as well as private equity firm Apollo.

William Hill’s board of directors has now told Caesars that its offer “is at a price level that they would be minded to recommend” to shareholders, the US casino firm said.

Image: Caesars is a US casino giant
Shares in the UK bookmaker had surged on Friday as details of possible bids emerged, taking its value to just under £3.3bn.
The Caesars cash offer of 272p per share falls short of the 312p where the stock closed last week but is still 25% higher than the price at which they finished trading on Thursday.

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Details of the Caesars offer on Monday prompted a 13% fall in the stock price.

Caesars said it has completed due diligence checks on the deal and expects if agreed that it will complete in the second half of 2021 – subject to approval by shareholders and regulators.

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The US company already owns a 20% stake in William Hill’s US operations – a business which has exclusive rights to operate sports betting under the Caesars brand.
Caesars chief executive Tom Reeg said: “The opportunity to combine our land-based casinos, sports betting and online gaming in the US is a truly exciting prospect.

MPs slam ‘toothless’ betting watchdog

“William Hill’s sports betting expertise will complement Caesars’ current offering, enabling the combined group to better serve our customers in the fast growing US sports betting and online market.
“We look forward to working with William Hill to support future growth in the US by providing our customers with a superior and comprehensive experience across all areas of gaming, sports betting, and entertainment.”
William Hill’s earnings from its traditional bookmaking business have been squeezed in recent months as the pandemic closed high street stores as well as curtailing sporting fixtures.

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It has also been under pressure due to regulations cracking down on fixed-odds betting terminals at its shops, which it blamed for announcing 700 site closures last year.
Last month it said it was closing 119 more shops.
The company, founded in 1934, has been shifting focus towards online betting and expanding its US operations.

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TikTok: US judge temporarily blocks ban on video sharing app

TikTok: US judge temporarily blocks ban on video sharing app

An order which would have banned the popular video sharing app TikTok from smartphone app stores in the US has been temporarily blocked.
The order, from the administration of Donald Trump, was due to take effect at 11.59pm on Sunday.

A more comprehensive ban remains scheduled for November, about a week after the presidential election.
Judge Carl Nichols of the US District Court for the District of Columbia, did not agree to postpone the later ban.

TikTok: What data does it collect, and how do other apps compare?

The ruling followed an emergency hearing on Sunday morning in which lawyers for TikTok argued the administration’s app store ban would infringe on the company’s First Amendment rights and do irreparable harm to the business.

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Earlier this year, the US president said TikTok was a threat to national security and it must either sell its US operations to US companies or be barred from the country.

TikTok, owned by Chinese company ByteDance, is scrambling to firm up a deal tentatively struck a week ago in which it would partner with Oracle, a huge database-software company, and Walmart in an effort to win the blessing of both the Chinese and American governments.

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In the meantime, it is fighting to keep the app available in the US.

Trump: ‘I don’t mind’ if Microsoft buys TikTok

Judge Nichols did not explain his reasoning publicly, instead filing his judicial opinion under seal.
In arguments to Judge Nichols, TikTok lawyer John Hall said that TikTok is more than an app, since it functions as a “modern day version of a town square”.
“If that prohibition goes into effect at midnight, the consequences immediately are grave,” Mr Hall said.
TikTok lawyers also argued that a ban on the app would affect the ability of tens of thousands of potential viewers and content creators to express themselves every month and would also hurt its ability to hire new talent.
Justice Department lawyer Daniel Schwei said Chinese companies are not purely private and are subject to intrusive laws compelling their cooperation with intelligence agencies.
The Justice Department has also argued that economic regulations of this nature generally are not subject to First Amendment scrutiny.

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