Category: Business

Business news and market updates

  • What to know about the Amazon cloud outage

    What to know about the Amazon cloud outage

    A massive internet outage stemming from errors in Amazon cloud services on Monday demonstrated just how many people rely on the corporate behemoth’s computational infrastructure every day — and laid bare the vulnerabilities of an increasingly concentrated system.

    But despite its omnipresence, most users don’t know what — or where — the cloud is.

    Here is what to know about the data centers in Northern Virginia where the outage originated, and what the malfunction reveals about a rapidly evolving industry.

    Renting internet infrastructure

    Cloud computing is a technology that allows companies to remotely access massive computing equipment and services without having to purchase and maintain physical infrastructure.

    In other words, businesses ranging from Snapchat to McDonald’s essentially rent Amazon’s physical infrastructure located in places all around the world to operate their own websites. Instead of building expensive computing systems in-house, companies rely on Amazon to store data, develop and test software, and deliver applications.

    Amazon is the leading provider of cloud infrastructure and platform services, constituting over 41% of the market, according to market research group Gartner. Google and Microsoft are the next biggest competitors.

    Biggest and oldest hub

    Although the cloud sounds like an abstract, formless entity, its physical location matters: Proximity to cloud data centers determines how quickly users can access internet platforms.

    Amazon Web Services has just four cloud computing hubs in the United States, according to their website. Those are strategically spread out in California, Ohio, Virginia, and Oregon to deliver fast services to users across the country.

    A user’s distance from the hub affects how quickly they can access platforms.

    “If you’re waiting a minute to use an application, you’re not going to use it again,” said Amro Al-Said Ahmad, a lecturer in computer science at Keele University in England.

    The region in Northern Virginia where Monday’s problems originated is the biggest and oldest cloud hub in the country.

    In fact, the Virginia cluster known as US-East-1 region is responsible for “orders of magnitude” more data than its nearest cluster in Ohio, or even its big West Coast hubs, said Doug Madory, director of internet analysis at Kentik. The idea of a big cloud provider like Amazon is that organizations can split their workloads across multiple regions, so it doesn’t matter as much if one fails, but “the reality is it’s all very concentrated,” Madory said.

    “For a lot of people, if you’re going to use AWS, you’re going to use US-East-1 regardless of where you are on Planet Earth,” Madory said. “We have this incredible concentration of IT services that are hosted out of one region by one cloud provider, for the world, and that presents a fragility for modern society and the modern economy.”

    More than 100 warehouses

    The servers aren’t located in just one building.

    Amazon has “well over 100” of the sprawling computing warehouses in Virginia, mostly in the exurbs at the edge of the Washington metropolitan area, said Gartner analyst Lydia Leong.

    Leong said one reason why it’s Amazon’s “single-most popular region” is that it is increasingly becoming a hub for handling artificial intelligence workloads. The growing usage of chatbots, image generators, and other generative AI tools has spiked demand for computing power and led to a construction boom of new data center complexes around the U.S. and world.

    A report Monday from TD Cowen said that the leading cloud computing providers leased a “staggering” amount of U.S. data center capacity in the third fiscal quarter of this year, amounting to more than 7.4 gigawatts of energy, more than all of last year combined.

    Cloud service perils

    The outage, which some analysts are calling Amazon’s worst since 2021, reminded the world of the perils of depending on a handful of cloud companies to deliver crucial computing and internet services. Outages like Monday’s strike at a core premise of the cloud: that a centralized operation full of sharp engineers will keep servers running better and more efficiently than individual companies’ own staff.

    The breakdown occurred at a challenging moment for the Amazon Web Services cloud unit, which has long touted reliability and accountability as a core piece of its pitch to customers. Sales growth has slowed, and AWS has struggled to keep up as its two biggest rivals, Microsoft Corp. and Alphabet Inc.’s Google, grab new business selling artificial intelligence tools.

    AWS remains the world’s largest cloud provider and is hardly the first to suffer an outage. Moreover, it’s not easy for customers to jump ship, especially given the current capacity crunch at data centers. Still, in recent years, some companies have sought to reduce their reliance on a single cloud provider.

    “The outage will likely fuel customers wanting to spread their infrastructure between multiple clouds, which could be a positive for smaller vendors like Google,” said Bloomberg Intelligence analyst Anurag Rana. Still, he said, it’s unlikely to result in any meaningful market share loss for Amazon due to the difficulty of shifting work between clouds and industrywide capacity constraints.

    Bloomberg contributed to this article.

  • Cherry Hill’s new PGA Tour Superstore is set to open. Here is a look inside.

    Cherry Hill’s new PGA Tour Superstore is set to open. Here is a look inside.

    Clearing a golf ball past the 250-yard mark into the sunlit fairway of California’s Titleist Performance Institute is getting easier for a whole lot of people in the region.

    All they have to do is stop by the virtual golf simulators at Cherry Hill’s PGA Tour Superstore. The Georgia-based chain is opening store No. 80 in South Jersey. It already has an outlet in the Metroplex Mall in Plymouth Meeting, and is looking to expand to Ocean Township, N.J., soon.

    The company has undergone a significant growth spurt in the last six years with new brick-and-mortar locations and a 200% jump in e-commerce, a company spokesperson said.

    The sprawling 40,000-square-foot superstore in Cherry Hill will open at 9 a.m. Saturday with $30,000 worth of giveaways, including a full set of iron golf clubs to the first two customers.

    It will house dozens of aisles of the latest golf clubs, balls, apparel, and other gear, among six practice and play hitting bays, virtual golf simulation stations, and an expert club fitting area. Store sales manager Lexi Humbert, a golfer of 16 years, said she added 10 yards to her drive after a new club head suggestion.

    Store general manager Lisa-Jo Donnelly reacts as she sinks a putt on the practice green at the PGA Superstore.

    The real draw is the golf simulation bay, where customers can cycle through world-famous golf courses projected onto a screen, and drive balls nearly 100 mph into them, receiving analytics on each swing.

    The putting green is lined with the most popular putters from classics like Taylor Made Spiders and Scotty Cameron Phantoms to the fresh lineup of L.A.B. brand putters. Golfers can explore clubs and then test them out in the golf simulation bays, or get hands-on fittings with the experts. Regripping and repair services are available, too.

    Golf, historically associated with wealthier, white men, is a growing sport — especially “off-course golf.” It was made popular by TopGolf — a trend PGA Tour Superstore hopes to capitalize on with recurring Saturday events, inviting youth groups (like First Tee) in for lessons, and providing a social space for those looking to get some swings in outside of the green.

    “The average golfer is now down to their early 40s‚” said the store’s general manager, Lisa-Jo Donnelly. The goal is to create a space that will become part of the Cherry Hill golfing community, within a region that is home to 70 courses and a local high school team that likes bringing home trophies, she said.

    The store has an expansive women’s and juniors’ sections. Humbert, who said she has been to golf stores all over the country, said the selections will be refreshing for many, as stores tend to skimp on women’s and junior equipment.

    “When I go to other stores, I already know that I’m not going to have nearly the selection that I need. I always get frustrated,” Humbert said. “The biggest thing for me is for those just wanting to get into golf and see a PGA shirt at other places for $150, whereas here you can go into the back of the store and find something for $20 to $30.”

    Store sales manager Lexi Humbert reacts after a great drive on a virtual golf simulation at the PGA Superstore.

    Saturday’s opening day is likely to lure hundreds to the store for giveaways, but they may have to contend with the dozens of people who will camp out for days to be first.

    “These opening giveaways are so popular that we had, for quite a few openings, the same person in the front of the line. He was traveling around the country and getting there first,” Donnelly said.

    The store will provide campers with pizza on Friday night and coffee and Krispy Kreme doughnuts on Saturday. The new PGA Tour Superstore CEO, Troy Rice, and Cherry Hill Mayor David Fleisher will also be in attendance Saturday, alongside members of the township council.

    📅 Opening Oct. 25, at 9 a.m.📍2232 N.J. Route 70, Suite C, Cherry Hill Township, N.J. 08002, 🕒 Monday to Friday 10 a.m. to 8 p.m., Saturday 9 a.m. to 8 p.m., Sunday 10 a.m. to 6 p.m. 🌐 pgatoursuperstore.com

  • Warner Bros. Discovery confirms it has received buyout interest and is considering its options

    Warner Bros. Discovery confirms it has received buyout interest and is considering its options

    NEW YORK — Warner Bros. Discovery — the home of HBO, CNN and DC Studios — has signaled that it may be open to selling all or parts of its business, just months after announcing plans to split into two companies.

    In an announcement Tuesday, the entertainment and media giant said it had initiated a review of “strategic alternatives” in light of “unsolicited interest” it had received from multiple parties, for both the entire company and Warner Bros. specifically.

    Warner Bros. Discovery did not specify where that interest was coming from, and a spokesperson said the company couldn’t share additional information when reached by The Associated Press. But its review arrives after growing reports of a potential bidding war — including from Skydance-owned Paramount, which closed its own $8 billion merger in early August.

    Citing anonymous sources familiar with the matter, The Wall Street Journal recently reported that Paramount approached Warner Bros. Discovery about a majority-cash offer in late September — but that Warner Chief Executive David Zaslav had rebuffed those first overtures. According to the outlet, Paramount Skydance CEO David Ellison later considered taking a more aggressive approach, such as going directly to shareholders.

    CNBC has also reported that Netflix and Comcast are among other interested parties, citing unnamed sources. Comcast declined to comment Tuesday. Paramount and Netflix did not immediately respond to the AP’s requests for statements.

    If a sale of all or part of Warner Bros. Discovery arrives, it would mark a considerable shift in the U.S. media landscape that is “already trending towards a concerning level of consolidation,” said Mike Proulx, a VP research director at Forrester.

    He pointed to the streaming space in particular — noting that, on one hand, a potential transaction could help scale the company’s streamers to better compete with other platforms. But on the other hand, consumers could see fewer choices controlled by just a handful of corporate giants.

    “When just a few conglomerates, like Skydance, increasingly control the lion’s share of some of the most popular platforms, it raises all sorts of questions around the future of content diversity and expression,” Proulx said over email Tuesday. “Bigger is better might be good for shareholders but will consumers ultimately benefit with better quality content, lower prices, and accessibility?”

    Still, he added, much of that will depend on if a sale happens and who ends up buying Warner Bros. Discovery.

    Back in June, Warner Bros. Discovery outlined plans to split its cable and streaming offerings — with HBO, HBO Max, as well as Warner Bros. Television, Warner Bros. Motion Picture Group, DC Studios, to become part of a new streaming and studios company; while networks like CNN, Discovery and TNT Sports and digital products such as the Discovery+ streaming service and Bleacher Report would make up a separate cable counterpart.

    Warner expected the split to be complete by mid-2026 — and said Tuesday that continuing to advance this separation was still among the options it’s considering.

    “We took the bold step of preparing to separate the Company into two distinct, leading media companies, Warner Bros. and Discovery Global, because we strongly believed this was the best path forward,” Zaslav said in a statement. Still, he added, “it’s no surprise that the significant value of our portfolio is receiving increased recognition by others in the market.”

    The company said that there’s no definite timeline for its review process — and noted that, beyond the separation that is already underway, “there can be no assurance” that a transaction will emerge.

    Shares of Warner Bros. Discovery, headquarted in New York, were up nearly 10% by Tuesday afternoon trading.

    Warner Bros. Discovery was created just three years ago when AT&T spun off WarnerMedia, which was merged with Discovery Communications in a $43 billion deal. An even bigger transaction could attract antitrust scrutiny — but like other recent mega-mergers and proposed transactions, could find success under the Trump administration.

  • Barry Leonard, celebrated crimper and longtime Center City beauty salon owner, has died at 87

    Barry Leonard, celebrated crimper and longtime Center City beauty salon owner, has died at 87

    Barry Leonard, 87, formerly of Philadelphia, celebrated crimper, longtime innovative owner of the Barry Leonard Crimper & Spa in Center City, unisex beauty salon groundbreaker, fashion and marketing trendsetter, haircutting mentor, and Army veteran, died Sunday, Oct. 12, at his home in Hallandale Beach, Fla. The cause of his death has not been disclosed.

    Born in Philadelphia to a family of hairstylists, Mr. Leonard swept the floor at his father’s beauty salon in West Philadelphia as a boy and, in 1955, became the first male to graduate from the beauty culture curriculum at Murrell Dobbins Career and Technical Education High School. He went on to help rewrite state statutes to allow unisex beauty salons in the 1970s, wow the marketing world with innovative ads that featured Fidel Castro, Albert Einstein, Santa Claus, and the Wolfman, and own high-end shops in the old Marriott Hotel on City Avenue and then on Chestnut Street for 43 years.

    A proponent of what he called “natural haircutting,” Barry Leonard, Crimper, counted politicians, musicians, actors, and other celebrities as well as local residents as his regulars, and most of them were fine with waiting months for an appointment. He moved his bustling salon from the Marriott to 1527 Chestnut St. in 1972, relocated to 1822 Chestnut in 1995, and retired to Florida in 2005.

    In the early 1970s, he saw that men appreciated hair care, too, and he successfully challenged an old state law that required separate locations for male and female haircuts. So unisex salons became common in the 1980s and ’90s.

    Mr. Leonard is shown styling the hair of Annie Halpern, his future wife, in this 1985 photo in the Daily News.

    “Hair,” he told The Inquirer in 1973, “is the only part of the body that can be changed readily and allows the individual to play his role as he feels it at that particular moment — protest, freakiness, sensuality, anything.”

    His New Age salon featured wicker furniture, hanging plants, big pillows, Japanese koi, and free coffee, fruit, and wine. He charged $12.50 per cut in 1973 and $25 in 1991. Sometimes, he booked 75 heads a day, his wife, Annie, said.

    Most often, he consulted with customers before the cut, assigned the job to an assistant stylist, and checked back when the work was done. Over his career, he told his wife, he likely attended to more than 1 million customers. In 1991, he told The Inquirer: “My general philosophy is to make people happy.”

    He also created and distributed do-it-yourself manuals for those who couldn’t get appointments and introduced computerized styling technology in the 1980s so clients could design their own cuts on video screens. “I’m a firm believer that nothing lasts forever,” he told the Daily News in 1977. “But right now, I’ll stay the way I am. It’s really a matter of the world catching up with me.”

    This then and now photo appeared with a story in The Inquirer in 1973.

    He was featured often in The Inquirer, Daily News, Philadelphia Magazine, Philadelphia Business Journal, and other publications, and writers dubbed him the “top hair gun” in Philadelphia, “the dashing haircutter,” and “Philadelphia’s leading proponent of hair as art.” He dabbled in selling franchises, endorsed a new Japanese hair-straightening process, and hosted runway-style hair shows and crimper workshops.

    Women told him his beauty advice changed their lives. Men said his haircuts improved their sex lives. “I was the image changer,” he told The Inquirer in 2002.

    In the late 1960s, Mr. Leonard gave local advertising whiz Elliott Curson a haircut, and Curson, delighted with the result, suggested rebranding Mr. Leonard as “a crimper,” British slang for hairdresser. What followed was a hugely successful ad campaign and a friendship that lasted more than 50 years.

    One of their first ads featured the phrase: “When I come out of Barry Leonard’s, I won’t look like my mother.” Curson said: “He had that look, the outfit, and the vision that worked so well.”

    Mr. Leonard and his wife, Annie, married in 1986.

    Mr. Leonard liked to wear a work shirt, vest, blue jeans, boots, designer glasses, and turquoise jewelry to work. His own hair flowed down to his shoulders when he was young. He told the Daily News in 1977: “Anybody can be where it’s at. But I’m where it’s going to be.”

    He was a member of Intercoiffure America and participated in its competitive showings in New York and elsewhere. He was included in a display called “Movers and Shakers” at the now-closed Philadelphia History Museum.

    “He would meet you once and have an impact on the rest of your life,” his wife said. “Everybody loved him. He was passionate and compassionate.”

    Barry Leonard was born Jan. 27, 1938, in Philadelphia. He grew up in Wynnefield and Bala Cynwyd, and served in the Army’s 101st Airborne Division for two years after high school.

    Mr. Leonard (second from right) celebrated his 80th birthday with his children.

    He wore a traditional tie and jacket, and cut hair with his father and in a few local shops before opening his place at the Marriott in 1962. He also spent some time working in London and first heard the word crimper there.

    He married Charlene Brooks, and they had daughters Karen, Susan, and Elizabeth and a son, Brett. After a divorce, he met Annie Halpern at a party in 1983. They went to a Neil Diamond concert on their first date in 1984, married in 1986, and moved from Center City to Florida in 2005.

    Mr. Leonard was an avid boxing fan, and he knew his way around the popular Blue Horizon venue on Broad Street. He had a summer home in Longport, N.J., and enjoyed time at Gulfstream Park racetrack in Florida.

    He was spiritual and loquacious, his wife said. He had favorite witty quips, and his family and friends refer to them as “Barryisms.”

    This article about Mr. Leonard’s fashion sense was published in the Daily News in 1977.

    He attended all kinds of galas and benefits, and doted on his children. “He gave me my first shag” haircut, a longtime friend said on Facebook. Another friend said her neighbor cut her hair once. “The results were not good,” she said. “Barry fixed me.”

    They called him “one of a kind,” “truly the best around,” and a “mentor and a friend.” His wife said: “He was the love of my life.”

    In addition to his wife, children, and former wife, Mr. Leonard is survived by eight grandchildren and other relatives. A brother died earlier.

    A celebration of his life is to be at 11 a.m. Saturday, Dec. 6, at Gulfstream Park, Third Floor, Flamingo Room, 901 S. Federal Highway, Hallandale Beach, Fla. 33009. RSVP to blcrimper@aol.com.

    This ad by Mr. Leonard and Elliott Curson appeared in The Inquirer in 1982.
  • U.S. finance ban takes effect after already crippling Mexico firms

    U.S. finance ban takes effect after already crippling Mexico firms

    An unprecedented order by the U.S. Treasury to cut off three Mexican financial firms for allegedly helping drug cartels launder funds takes effect Monday. But its impact has already swept through the country’s banking industry.

    The three designated firms — CIBanco SA, Intercam Banco SA, and Vector Casa de Bolsa SA — have been broken up and sold for parts. Their clients have decamped with their business — a big chunk of which was foreign exchange — to other banks or brokerages.

    And beyond those firms, the banking system at large is on high alert: Lenders have purged clients, bolstered internal controls, and upped communication with both Mexican and U.S. regulators in an effort to avoid becoming the next example of the Trump administration’s crackdown on drug cartels.

    U.S. officials have made their intentions clear: There’s a zero-tolerance policy when it comes to helping traffickers launder funds connected to America’s fentanyl crisis. The ban on the three firms — announced in June — was the first use of powers given to the Treasury’s Financial Crimes Enforcement Network by last year’s Fend Off Fentanyl Act. High-level Treasury officials have repeatedly visited the country to hammer home the message.

    “This was a shot across the bow in terms of telling banks that Treasury has this tool and intends to use it,” said Craig Timm, a former Department of Justice lawyer and senior director at the Association of Certified Anti-Money Laundering Specialists. “You don’t want to be next, because as we’re seeing with these institutions, it’s an existential threat the moment it becomes public.”

    Among the order’s knock-on effects: Kapital Bank is acquiring a significant part of Intercam’s operations while Vector has transferred some assets and clients to Casa de Bolsa Finamex SAB.

    CIBanco had its banking license revoked earlier this month and BanCoppel, part of Grupo Coppel, is buying the firm’s portfolio of auto loans. Banco Multiva SA is taking over CIBanco’s trustee business — an operation of substantial importance in Mexico’s financial system. CIBanco was trustee for most of the country’s issuances of private equity certificates and real estate investment trusts. Intercam also had a significant trustee business.

    While the U.S. order had downplayed the potential impact on the Mexico banking system and economy, saying that CIBanco and Intercam together represented less than 2% of the country’s commercial bank assets, it made no mention of the significant size of CIBanco’s trustee offering.

    In the wake of the order, Mexican real estate trusts and U.S. private equity firms had rushed to change trustees in investment vehicles to avoid potentially running afoul of the U.S. designation.

    Unconventional arsenal

    The FinCEN orders are among the Trump administration’s unconventional arsenal of tools it has been deploying both domestically and abroad, such as the recent deadly military strikes on alleged drug-trafficking boats from Venezuela.

    The move against the Mexican banks was part of a broader U.S. administration strategy for the “total elimination of cartels” using powerful tools with a relatively low bar for action. There was no recourse to the order by FinCEN, and just last week Mexican President Claudia Sheinbaum said the U.S. had not delivered convincing evidence that linked the firms to drug trafficking. She said Mexican regulators found only administrative faults and “nothing to do with money laundering.” The banks were fined in late June, in tandem with the U.S. orders, by local regulators over anti-money laundering controls while Vector faced fines related to updating fund information.

    Amid the deeper clampdown by U.S. officials, banks in Mexico and globally are enhancing their scrutiny of transactions, particularly those involving Chinese companies that could be linked to the trade in precursor chemicals, Timm said.

  • Six months in, how are Philly-area businesses handling Trump’s tariffs?

    Six months in, how are Philly-area businesses handling Trump’s tariffs?

    It’s been six months since President Donald Trump announced new tariffs on U.S. imports. For local small-business owners, the impact so far depends on what they sell. But they’re all thinking ahead about more adjustments they will have to make.

    Trump declared an “Independence Day” on April 2, implementing a minimum 10% tariff on all countries selling products into the U.S., with larger ones on countries including India and China. Since then the president has either threatened or implemented additional tariffs on certain products such as steel and aluminum, sectors such as furniture, and “reciprocal tariffs” on countries to match their tariffs on American imports.

    Many economists have warned that these higher costs will drive up inflation, slow our economy, and hurt many small businesses that rely on imported goods.

    Fred Woll, president of Philadelphia packaging products supplier F.P. Woll & Co., said he’s seen tariffs from overseas suppliers but “decided to eat a 5% price increase.” He doesn’t think he can do that again.

    “We have been in business in the City of Philadelphia since 1907, and gone through many, many challenges over the last 100-plus years,” he said. “This current challenge may end up being existential, and it’s our country doing it to itself.”

    George Patti, the owner of Head Start Shoes in Philadelphia, is also feeling pressure.

    “Everything is costing me more money and the dollar has dropped in value,” Patti said. “The costs of our merchandise is higher, and we’ve had to raise prices 10% to 15%.”

    At Tildie’s Toy Box in East Passyunk and Haddonfield, owner Michelle Gillen-Doobrajh said tariffs have made this year “confusing and difficult” and the added costs will “absolutely” have an impact on how they do business going forward.

    Michelle Gillen-Doobrajh (right) talks with 10-year-old customer Harlowe McGrath at Tildie’s Toy Box shop in downtown Haddonfield.

    “I am beginning to pass on items where the cost has gone up too much to be realistic for the consumer,” she said. “I fear that product selection will decrease, and many manufacturers will end up going out of business and retailers will follow.”

    “We will have to get used to paying more money for less product,” Gillen-Doobrajh added.

    Not every company is suffering. The family-run Trappe Tavern in Trappe, Montgomery County, has not seen a significant impact.

    “We’ve had some prices creep up,” David Duryea, the restaurant’s owner said. “In general, it hasn’t really had much of an effect at all.”

    If the costs of his food and other supplies continue to go up, Duryea said, people will eventually cut back on their spending and that could affect his business.

    “If that happens, we’re going to have to raise prices like everyone else,” he said.

    Despite new tariffs on steel, Upper Darby-based Delaware Valley Steel has not been significantly impacted, at least for now. That’s because “we don’t import any of our inventory,” said Jerry Sharpe, the company’s CEO.

    However, Sharpe warns that whenever tariffs are applied, the domestic steel mills that sell him products see that as an opportunity to raise prices.

    “If demand picks up, which I believe it will later this year, we will see increased pricing from the domestic mills,” he said. “We’re also going to be hit with a 20% tariff on an expensive piece of machinery we have ordered.”

    Kevin McLaughlin, a partner at business advisory firm Centri Consulting in Philadelphia, said the common theme among his firm’s clients is uncertainty.

    “While the full impact of tariffs has not yet sifted through every corner of the economy, growing businesses and businesses with thinner margins and less negotiating power than large corporations are often the first to feel the pressure,” he said.

    Ten year-old customer Harlowe McGrath looks through figures — all of them 3D printed in the U.S. — at Tildie’s Toy Box shop in downtown Haddonfield Wednesday, Oct. 15, 2025. Store owner Michelle Gillen-Doobrajh is one of many Philly-area business owners dealing with tariffs. McGrath, who lives in town, was shopping with her mother, Kimberly McGrath.

    How small-business owners are navigating tariff uncertainty

    Woll says he’s focusing on cutting his overhead and may lay off employees. Gillen-Doobrajh is changing her product mix by “stocking up where tariffs are low” and foregoing unnecessary items.

    “I’m trying to be really smart and frugal with buying overall,” she said. “I am also paying attention to where items are made and holding out hope that these tariffs will dissolve so that our industry can survive.”

    Frank Cettina, who runs operations at Computer Components Corp., a precision tools contract manufacturer based in Philadelphia, is passing along any added costs to customers, with transparency. Tariff-related cost increases are noted separately and determined “on a customer-by-customer basis,” he said.

    “We are not making blanket cost increases because our intention is to remove them when and if they go away or change,” Cettina said. “We are also offering any alternative sources where we can.”

    Patti said he will likely buy less product but will also “buy higher quality just to pick up my margins” and compensate for the loss of volume.

    McLaughlin, the consultant, struck a more positive tone. He said clients are “stress-testing” multiple “what-if” scenarios so their businesses can adapt quickly.

    “With all the uncertainty, we are consistently encouraged by how resourceful our clients are through this unique time,” he said. “Many are using this moment as an opportunity to strengthen supplier relationships, accelerate efficiency, and polish their value propositions.”

  • Massive Amazon cloud outage has been resolved after disrupting internet use worldwide

    Massive Amazon cloud outage has been resolved after disrupting internet use worldwide

    LONDON — Amazon says a massive outage of its cloud computing service has been resolved as of Monday evening, after a problem disrupted internet use around the world, taking down a broad range of online services, including social media, gaming, food delivery, streaming and financial platforms.

    The all-day disruption and the ensuing exasperation it caused served as the latest reminder that 21st century society is increasingly dependent on just a handful of companies for much of its internet technology, which seems to work reliably until it suddenly breaks down.

    About three hours after the outage began early Monday morning, Amazon Web Services said it was starting to recover, but it wasn’t until 6 p.m. Eastern that “services returned to normal operations,” Amazon said on its AWS health website, where it tracks outages.

    AWS provides behind-the-scenes cloud computing infrastructure to some of the world’s biggest organizations. Its customers include government departments, universities and businesses, including The Associated Press.

    Cybersecurity expert Mike Chapple said “a slow and bumpy recovery process” is “entirely normal.”

    As engineers roll out fixes across the cloud computing infrastructure, the process could trigger smaller disruptions, he said.

    “It’s similar to what happens after a large-scale power outage: While a city’s power is coming back online, neighborhoods may see intermittent glitches as crews finish the repairs,” said Chapple, an information technology professor at the University of Notre Dame’s Mendoza College of Business.

    Amazon blames domain name system

    Amazon pinned the outage on issues related to its domain name system that converts web addresses into IP addresses, which are numeric designations that identify locations on the internet. Those addresses allow websites and apps to load on internet-connected devices.

    DownDetector, a website that tracks online outages, said in a Facebook post that it received over 11 million user reports of problems at more than 2,500 companies. Users reported trouble with the social media site Snapchat, the Roblox and Fortnite video games, the online broker Robinhood and the McDonald’s app, as well as Netflix, Disney+ and many other services.

    The cryptocurrency exchange Coinbase and the Signal chat app both said on X that they were experiencing trouble related to the outage.

    Amazon’s own services were also affected. Users of the company’s Ring doorbell cameras and Alexa-powered smart speakers reported that they were not working, while others said they were unable to access the Amazon website or download books to their Kindle.

    Many college and K-12 students were unable to submit or access their homework or course materials Monday because the AWS outage knocked out Canvas, a widely used educational platform.

    “I currently can’t grade any online assignments, and my students can’t access their online materials” because of the outage’s effect on learning-management systems, said Damien P. Williams, a professor of philosophy and data science at the University of North Carolina at Charlotte.

    The exact number of schools impacted was not immediately known, but Canvas says on its website it is used by 50% of college and university students in North America, including all Ivy League schools in the U.S.

    At the University of California, Riverside, students couldn’t submit assignments, take quizzes or access course materials, and online instruction was limited, the campus said.

    Ohio State University informed its 70,000 students at all six campuses by email Monday morning that online course materials might be inaccessible due to the outage and that “students should connect with their instructors for any alternative plans.” As of 7:10 p.m. Eastern, access was restored, the university told students.

    Record of past outages

    This is not the first time issues with Amazon cloud services have caused widespread disruptions.

    Many popular internet services were affected by a brief outage in 2023. AWS’s longest outage in recent history occurred in late 2021, when a wide range of companies — from airlines and auto dealerships to payment apps and video streaming services — were affected for more than five hours. Outages also happened in 2020 and 2017.

    The first signs of trouble emerged at around 3:11 a.m. Eastern time, when AWS reported on its “health dashboard” that it was “investigating increased error rates and latencies for multiple AWS services in the US-EAST-1 Region.” Later, the company reported that there were “significant error rates” and that engineers were “actively working” on the problem.

    Around 6 a.m. Eastern time, the company reported seeing recovery across most of the affected services and said it was seeking a “full resolution.” As of midday, AWS was still working to resolve the trouble.

    Sixty-four internal AWS services were affected, the company said.

    Just a few companies provide most internet infrastructure

    Because much of the world now relies on three or four companies to provide the underlying infrastructure of the internet, “when there’s an issue like this, it can be really impactful” across many online services, said Patrick Burgess, a cybersecurity expert at U.K.-based BCS, The Chartered Institute for IT.

    “The world now runs on the cloud,” Burgess said.

    And because so much of the online world’s plumbing is underpinned by so few companies, when something goes wrong, “it’s very difficult for users to pinpoint what is happening because we don’t see Amazon, we just see Snapchat or Roblox,” Burgess said.

    “The good news is that this kind of issue is usually relatively fast” to resolve, and there’s no indication that it was caused by a cyberattack, Burgess said.

    “This looks like a good old-fashioned technology issue. Something’s gone wrong, and it will be fixed by Amazon,” he said.

    There are “well-established processes” to deal with outages at AWS, as well as rivals Google and Microsoft, Burgess said, adding that such outages are usually over in “hours rather than days.”

  • The wooded Malvern-area home of a famous Main Line builder is for sale for nearly $2 million

    The wooded Malvern-area home of a famous Main Line builder is for sale for nearly $2 million

    A Chester County home full of beautiful woodwork and secluded on five acres of land is for sale for nearly $2 million.

    Advertised as the “McElroy House” in an ode to the late builder Robert McElroy, the 4,300-square-foot property near Malvern hit the market last week for $1.99 million.

    This Willistown Township home, for sale for nearly $2 million, was designed by Robert McElroy and has a wing that was devoted to his wife Annamaria’s art studio.

    McElroy, who is credited with building more than 200 homes around the Main Line, designed and built this home for his own family in 1975, according to Marion Dinofa, Compass RE Realtor and modern home specialist.

    Tucked far off Rabbit Run Road in Willistown Township, McElroy’s three-bedroom, 3½-bath home features a contemporary design and floor-to-ceiling windows that let in abundant natural light.

    “I see a lot of really cool houses, but this one, almost more than any other house, is truly like you’re living in a work of art, between the craftsmanship of the woodworking, the views through the windows that are ever changing with the seasons, and the design of the home itself,” Dinofa said.

    Wooden details make Robert McElroy’s former home in Willistown Township unique, said Realtor Marion Dinofa.

    Almost every piece of wood in the home was crafted by Horace Hartshaw, who collaborated with the renowned sculptural furniture maker Wharton Esherick. This includes everything from the wood doors to the custom kitchen cabinets to the staircases, including a spiral one at its center.

    McElroy wasn’t the only artist who resided in the home: His wife, Annamaria, a painter and sculptor, also left her mark, showcasing her artwork on the walls and using a wing of the home as her studio.

    Dinofa noted that the house also includes a detached two-story garage that could be converted into more creative space.

    The secluded home features custom wood features that were crafted by renowned artist Horace Hartshaw and lots of windows.

    Between Robert’s vision and Annamaria’s artistic touches, their home “was a labor of love,” Dinofa said. “And it’s really well preserved. You can tell it hasn’t changed much.”

    Annamaria and Robert lived at the home into their 90s, Dinofa said. They died in 2023 and 2024, respectively. Dinofa said the home is being sold by their daughter, Loretta.

    Dinofa said she could see the property being bought by artists or by adventurous young parents who want to raise their children amid nature.

    “It would be such a fun place for kids to play outside,” with a stream in the backyard and plenty of space to run around, Dinofa said. “I can only imagine the wildlife that they have viewed from that house.”

  • Regional banks’ bad loans spark concerns on Wall Street

    Regional banks’ bad loans spark concerns on Wall Street

    NEW YORK — Wall Street is concerned about the health of the nation’s regional banks, after a few of them wrote off bad loans to commercial customers in the last two weeks and caused investors to wonder if there might be more bad news to come.

    Zions Bank, Western Alliance Bank, and the investment bank Jefferies surprised investors by disclosing various bad investments on their books, sending their stocks falling sharply this week. JPMorgan Chase CEO Jamie Dimon added to the unease when he warned there might be more problems to come for banks with potentially bad loans.

    “When you see one cockroach, there are probably more,” Dimon told investors and reporters on Tuesday, when JPMorgan reported its results.

    The KBW Bank Index, a basket of banks tracked by investors, is down 7% this month.

    There were other signs of distress. Data from the Federal Reserve shows that banks tapped the central bank’s overnight “repo” facilities for the second night in a row, an action banks have not needed to take since the COVID-19 pandemic. This facility allows banks to convert highly liquid securities like mortgage bonds and treasuries into cash to help fund their short-term cash shortfalls.

    Zions Bancorp shares sank Thursday after the bank wrote off $50 million in commercial and industrial loans, while Western Alliance fell after the bank alleged it had been defrauded by an entity known as Cantor Group V LLC. This came on top of news from Jefferies, which told investors it was might experience millions of dollars in losses from its business with bankrupt auto parts company First Brands.

    All three stocks recovered a bit Friday. Jefferies’ CEO told investors that the company believes it was defrauded by First Brands and that there were no broader concerns in the lending market.

    The last banking flare-up, in 2023, also involved midsize and regional banks that were overly exposed to low-interest loans and commercial real estate. The crisis caused Silicon Valley Bank to fail, followed by Signature Bank, and led to the eventual sale of First Republic Bank to JPMorgan Chase in a fire sale. Other banks like Zions and Western Alliance ended up seeing their stocks plummet during that time period.

    While banks do fail or get bought at fire sale prices, all bank deposits are insured by the Federal Deposit Insurance Corporation, up to $250,000 per account, in case of a bank failure. In the nearly 100 years since the FDIC was created in 1933, not one depositor has lost their insured funds.

    Still, even the larger banks aren’t immune in this latest round of trouble. Several Wall Street banks disclosed losses this week in the bankruptcy of Tricolor, a subprime auto dealership company that collapsed last month. Fifth Third Bank, a larger regional bank, recorded a $178 million loss from Tricolor’s bankruptcy.

    That said, the big banks believe that any losses will be manageable and do not reflect the broader economy.

    “There is no deterioration, we’re very confident with our credit portfolio,” Deutsche Bank CEO Christian Sewing said, in an interview on Bloomberg Television on Friday.

    While the big Wall Street banks get most of the media and investor attention, regional banks are a major part of the economy, lending to small- to medium-sized businesses and acting as major lenders for commercial real estate developers. There are more than 120 banks with between $10 billion and $200 billion in assets, according to the FDIC.

    While big, these banks can run into trouble because their businesses are not as diverse as the Wall Street money center banks. They’re often more exposed to real estate and industrial loans, and don’t have significant businesses in credit cards and payment processing that can be revenue generators when lending goes south.

  • Penn Medicine is investing more than $500 million in new cancer facilities

    Penn Medicine is investing more than $500 million in new cancer facilities

    The University of Pennsylvania Health System, the Philadelphia region’s biggest provider of cancer care and a national leader in developing new treatments, is spending more than $500 million on two new cancer facilities in Philadelphia and central New Jersey to keep growing.

    Those big projects — a fourth proton center at Presbyterian Medical Center in University City and a large cancer center at Princeton Medical Center in Plainsboro — follow years of expansion through outpatient centers in communities like Cherry Hill and Radnor. Its newest is a relocated, $18.5 million infusion center in Yardley that opened in June.

    “What we’ve seen pretty consistently is that demand is there to meet any capacity increases,” Julia Puchtler, the health system’s chief financial officer, said in an interview about fiscal 2025 financial results.

    Penn is not alone in its push to expand cancer services. Jefferson’s Sidney Kimmel Cancer Center, Temple’s Fox Chase Cancer Center, and the MD Anderson Cancer Center at Cooper are pushing into the suburbs to reach more patients.

    The same thing is happening nationally as financially pressured health systems are looking for ways to increase revenue in a growing and lucrative market for cancer care.

    Penn stands out locally for the scale of its investment in a strategy to deliver cancer care seamlessly across its seven hospitals and a growing network of outpatient clinics, with the expectation that patients will keep coming back for their ongoing health needs.

    Penn sees an opportunity to expand its market share even more, as cancer diagnoses rise. The U.S. is expected to see a nearly 40% increase in cancer diagnoses between 2025 and 2050, according to the Philadelphia-based American Association of Cancer Research.

    Experts attribute the rise to a wide variety of factors, from better early detection, to longer life spans, and to environmental exposures that are poorly understood.

    Much of Penn’s investment is in outpatient facilities, including a $270 million center being built in Montgomeryville that will have radiation oncology and an infusion center. “More and more patients want to receive care closer to home,” according to Lisa Martin, a senior vice president at Moody’s Rating. “All of that is really what’s behind all of this investment.”

    Cancer treatment overall is profitable. At Penn, cancer services account for up to 60% of the system’s operating margin by one simple measure that subtracts direct costs from direct revenue and excludes back-office expenses and other centralized costs.

    Puchtler attributed the profitability of cancer care to the prevalence of drugs, such as chemotherapy, that Penn can buy at a discount, while getting the full price from insurers, and the higher percentage of younger cancer patients with better-paying private insurance than is typical for many healthcare services.

    The expansion efforts are expensive in an industry where the consumers both benefit from advances and pay ever-rising healthcare costs. Proton therapy, in particular, costs more, but has not yet been proven to have better outcomes across a wide range of cancers.

    The intensifying competitive landscape

    Penn treats about one-third of adults with cancer in its market area, which stretches from central New Jersey to the Susquehanna, according to Robert Vonderheide, who is director of Penn’s Abramson Cancer Center and leads all of Penn’s efforts in oncology treatment and research.

    Penn counted 47,053 new cancer patients in the 12 months that ended June 30, up 40% from five years ago, according to Penn. The system has 14 locations where patients can receive chemotherapy and even more radiation oncology sites.

    Competitors are also trying to expand their reach, and Temple’s Fox Chase Cancer Center is succeeding.

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    Fox Chase had 21,442 new patients in fiscal 2025, up 148% from 2020, the nonprofit said. Fox Chase has added suburban offices in Voorhees and Buckingham, Bucks County, and is expanding its infusion capacity at its main campus on Cottman Avenue. Fox Chase has a significantly smaller footprint than Penn, with six locations for infusions and four for radiation.

    The MD Anderson Cancer Center at Cooper said it had 4,326 new patients last year, up 27% over the last five years. Cooper has taken the MD Anderson Cancer Center brand to the former Cape Regional Medical Center, which it acquired last year and which used to be part of the Penn Cancer Network. Cooper also offers cancer services at its new Moorestown location.

    Jefferson Health’s Sidney Kimmel Cancer Center did not respond to requests for patient data, but has in recent years opened cancer center locations at its Torresdale and Bucks County Hospitals. Jefferson’s cancer center also attained the highest designation from the National Cancer Institute last year — the Philadelphia region’s third comprehensive cancer center, matching Penn and Fox Chase.

    Virtua Health, Penn’s partner in a proton therapy center in Voorhees, is exploring a merger with ChristianaCare, which has already been expanding from its Delaware base into Chester and Delaware Counties. Another South Jersey system, AtlantiCare, has signed a contract with the Cleveland Clinic to boost its competitiveness in cancer care.

    How Penn is trying to build a ‘cancer system’

    Lancaster County resident Susan Reese, 56, said she experienced smooth cooperation between her doctor at Penn’s Lancaster General Hospital and the team at HUP during her treatment for non-Hodgkin lymphoma.

    “I never had any question in my mind that one doctor didn’t know what the other doctor was doing,” said Reese, who received CAR-T therapy at HUP in September 2022. Penn has since started offering CAR-T at Lancaster General.

    After she relapsed in early 2023, she came back to HUP for a stem cell transplant. She could have gone to Penn State Health’s Hershey Medical Center for that. It’s significantly closer to her home in Willow Street, but she wanted to stay within the Penn system.

    Reese’s experience of integration of services at HUP and Lancaster General is what Penn is aiming for in a territory that stretches from central New Jersey to central Pennsylvania.

    Oncologist Robert Vonderheide, director of Penn Medicine’s Abramson Cancer Center, oversees all Penn’s cancer services and research.

    Electronic medical records help with the integration needed to ensure the thousands of cancer patients Penn physicians treat annually get the most advanced care possible, according to Vonderheide, whose research focuses on cellular immunotherapies.

    “We treat patients’ cancers now in a very precise way; the precise mutation, the precise type of chemotherapy, the precise dose” are the focus for doctors, Vonderheide said. “This is no longer appropriate for the telephone game. This has to be data-driven.”

    Reese’s decision to stay within Penn is part of a broader trend of patients tending to receive all their care within one health system, according to Rick Gundling, a healthcare expert at the Healthcare Financial Management Association in Washington, D.C.

    That’s particularly important in oncology, which typically involves multiple specialties, such as medical oncology, radiation oncology, and surgical oncology, he said.

    “Seamless coordination across all those disciplines really makes it a better patient experience and clinical experience because it reduces delay, improves access,” Gundling said.

    Taking advanced treatments from HUP to the network

    Part of Penn’s strategy is to begin offering advanced services at locations beyond HUP. That’s where Penn pioneered CAR-T cell therapy, which harnesses the immune system to attack cancer, and for years that was the only place Penn offered it.

    HUP still performed the bulk of the CAR-T treatments for blood cancers, 123 inpatient cases and 14 outpatient cases last year, but now CAR-T is also available at Lancaster General and at Penn’s Pennsylvania Hospital in Center City.

    Fox Chase was the next biggest center in the region for the relatively new treatment that Penn scientist Carl June and his research teams helped develop. For the fiscal year that ended June 30, 2025, Fox Chase had 21 inpatient cases and 67 outpatient cases, the center said.

    In the Penn system, certain kinds of bone marrow transplants also used to be available only at HUP. “Now we do them at HUP and Pennsylvania Hospital,” Vonderheide said.

    Even the most complicated pancreatic surgeries are going to be done at Princeton, in conjunction with experts at HUP, Vonderheide said. Penn held a ceremonial groundbreaking Monday for the hospital’s $295 million cancer center.

    Remaining only at HUP are bone marrow transplants that use another person’s cells to treat blood cancers, Vonderheide said. HUP performed 118 of those so-called allogeneic bone marrow transplants on the top floor of its $1.6 billion patient pavilion, now known as the Clifton Center.

    Pennsylvania’s next-biggest provider of the treatment was Hershey Medical Center, near Harrisburg, with 71, according to state data.

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    Penn started offering proton therapy at HUP in 2010, and expanded its availability in the last three years to Lancaster General and Voorhees, through a joint venture with Virtua Health. Those two centers only have one proton machine each, compared to five at HUP.

    It’s a type of radiation that is designed to precisely target tumors and do less damage to surrounding tissues. That makes the treatment, which costs more, particularly helpful for children, and it is proving beneficial for treating certain neck and throat cancers. The use of proton therapy for the more common prostate cancer has been more controversial.

    Penn’s fourth proton center, with two machines, is under construction and is expected to open at Presbyterian in late 2027. When that $224 million center opens, Penn will have more proton treatment rooms than the entire West Coast, said Jim Metz, chair of radiation oncology at Penn.

    Currently about 10% of Penn’s roughly 10,000 annual radiation oncology patients are treated with protons, though it’s a higher percentage at locations with proton machines, Penn said.

    Penn officials have noted that some cancer patients come to Penn for proton therapy. Even when it’s not appropriate for them, they tend to stay within Penn. “We have seen, when we build protons, our market share increases, ” Metz said.

    Editor’s note: This article has been updated with more recent Fox Chase data.