May 5, 2025
Tech News
Block’s shares faced a dramatic downturn, plummeting 22% after the company reduced its 2025 profit forecast, defying industry trends. This loss wiped nearly $8 billion from Block’s market value, as analysts expressed concerns over the performance of its Cash App amid growing competition and macroeconomic uncertainties.
The decline in Block’s share price highlighted the struggles of the Cash App, which was seen as an outlier compared to competitors. Analysts noted that while the company’s forecast for gross profit growth appeared overly cautious, the Square segment, offering payment solutions to small businesses, showed signs of strength despite overall challenges in the fintech sector.
In the ever-evolving landscape of cybersecurity, the British government will soon emphasize the need for companies to prioritize cyber security as an “absolute priority.” This call comes after a spate of cyberattacks on major retailers, including Marks & Spencer and Harrods, raising alarm about national vulnerabilities.
During a briefing with national security officials, Cabinet office minister Pat McFadden underscored the severity of these incidents. He announced forthcoming legislation aimed at bolstering the UK’s defenses against relentless cyber threats, signaling a pivotal shift in how businesses must address security measures.
Marks & Spencer recently halted online orders following a ransomware attack that compromised its servers, reportedly orchestrated by a hacking group named “Scattered Spider.” This incident was part of a broader wave of cyberattacks that have inflicted significant financial damage and disrupted operations across various sectors in the UK.
Tech Explained
Cybersecurity – Cybersecurity involves protecting systems, networks, and data from digital attacks. Recent incidents targeting major retailers illustrate the critical importance of robust cybersecurity measures to safeguard against evolving threats and ensure business continuity.
Cash App – Cash App is a mobile payment service developed by Block, allowing users to transfer money and make payments easily. Its recent performance has raised concerns among analysts, questioning whether its issues are temporary or indicative of deeper structural problems.
Ransomware – Ransomware is a type of malicious software that encrypts a victim’s data and demands payment for decryption. The attack on Marks & Spencer serves as a stark reminder of the growing prevalence and impact of ransomware on businesses.
Legislation – Legislation refers to laws enacted by a governing body. The introduction of new cybersecurity legislation in the UK aims to enhance protections for businesses against cyber threats, highlighting the government’s commitment to bolster national security in the digital age.
