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   Apple’s next era
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   Plus: A passport problem.
  </div>
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               Thursday, January 29, 2026
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               David Paul Morris/Bloomberg via Getty Images
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               Good morning, Quartz readers! It’s Shannon Carroll with the Daily Brief. Today, Apple gets paid to be boring, Americans rethink backup passports, the Fed holds the line under fire, and Tesla proves belief still matters beats numbers.
              </span>
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              <span style="font-size:18px;color:#168DD9">
               HERE'S WHAT YOU NEED TO KNOW
               <span class="ql-cursor">
                
               </span>
              </span>
             </h2>
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             <div>
              <strong style="font-size:16px;color:#000000;font-family:Helvetica Neue,Helvetica,Arial,sans-serif;background-color:#FFFFFF">
               The Fed paused rate cuts and called out 
politics.
              </strong>
              <span style="font-size:16px;color:#000000;font-family:Helvetica Neue,Helvetica,Arial,sans-serif;background-color:#FFFFFF">
               After three rate cuts in 2025, inflation and jobs were calm enough for the central bank to hold steady — even as Jerome Powell
              </span>
              <a data-linktext="accused this administration of intimidation." data-linktype="Normal" style="color:#168DD9;font-size:16px;font-family:Helvetica Neue,Helvetica,Arial,sans-serif;background-color:#FFF;text-decoration:none;" target="_blank">
               accused this administration of intimidation.
              </a>
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20px;line-height:1.5;vertical-align:top;font-family:Arial,Helvetica,sans-serif;font-size:12px;color:#000000;mso-line-height-rule:exactly">
             <div>
              <strong style="background-color:#FFFFFF;font-family:Helvetica Neue,Helvetica,Arial,sans-serif;color:#000000;font-size:16px">
               Microsoft beat expectations and still got punished.
              </strong>
              <span style="background-color:#FFFFFF;font-family:Helvetica Neue,Helvetica,Arial,sans-serif;color:#000000;font-size:16px">
               The company posted strong revenue, profit, and Azure growth, but investors focused on 
the capex bill and how long it will take for
              </span>
              <a data-linktext="AI spending to show up." data-linktype="Normal" style="color:#168DD9;background-color:#FFF;font-family:Helvetica Neue,Helvetica,Arial,sans-serif;font-size:16px;text-decoration:none;" target="_blank">
               AI spending to show up.
              </a>
             </div>
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             <div>
              <strong style="background-color:#FFFFFF;font-family:Helvetica Neue,Helvetica,Arial,sans-serif;color:#000000;font-size:16px">
               Tesla printed bad numbers and got rewarded.
              </strong>
              <span style="background-color:#FFFFFF;font-family:Helvetica Neue,Helvetica,Arial,sans-serif;color:#000000;font-size:16px">
               Income dropped, profits tanked, automotive revenue 
slid, and deliveries fell, yet shares climbed after hours as Tesla leaned hard on autonomy, energy,
              </span>
              <a data-linktext="and an xAI tie-up." data-linktype="Normal" style="color:#168DD9;background-color:#FFF;font-family:Helvetica Neue,Helvetica,Arial,sans-serif;font-size:16px;text-decoration:none;" target="_blank">
               and an xAI tie-up.
              </a>
             </div>
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             <div>
              <strong style="background-color:#FFFFFF;font-family:Helvetica Neue,Helvetica,Arial,sans-serif;color:#000000;font-size:16px">
               Starbucks got its sales groove back.
              </strong>
              <span style="background-color:#FFFFFF;font-family:Helvetica Neue,Helvetica,Arial,sans-serif;color:#000000;font-size:16px">
               Revenue 
rose, and same-store sales grew worldwide, but earnings and margins fell as the company spent more on labor and absorbed inflation, while
              </span>
              <a data-linktext="a continuing strike went unmentioned." data-linktype="Normal" style="color:#168DD9;background-color:#FFF;font-family:Helvetica Neue,Helvetica,Arial,sans-serif;font-size:16px;text-decoration:none;" target="_blank">
               a continuing 
strike went unmentioned.
              </a>
             </div>
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                  <span style="font-size:24px;color:#000000">
                   Start Crypto Trading With Just $10
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             <h2 style="mso-line-height-rule:exactly;Margin:0;font-family:Arial;font-size:20px;color:#000;">
              <span style="font-size:18px;color:#168DD9">
               THE BIG APPLE
              </span>
             </h2>
            </td>
           </tr>
           <tr>
            <td class="td100" colspan="6" style="padding-right:30px;padding-left:30px;line-height:1.5;width:100%;vertical-align:top;font-family:Arial,Helvetica,sans-serif;font-size:12px;color:#000000;mso-line-height-rule:exactly">
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              <span style="font-size: 16px">
               Apple is about to report a quarter that will probably look great and still feel weird. The company that taught consumers to 
chase “new” is starting to resemble the world’s most elegant default — less a product obsession than a platform people live on, maintain, and begrudgingly keep paying for.
              </span>
             </div>
             <div>
              <br/>
             </div>
             <div>
              <span style="font-size: 16px">
               Apple is entering its Microsoft era. The iPhone is becoming Windows — the layer you rely on, tolerate, and maintain — while Services plays Office, the high-margin suite that turns an installed base into recurring revenue.
              </span>
             </div>
             <div>
              <br/>
             </div>
             <div>
              <span style="font-size: 16px">
               Wall Street still expects a 
blockbuster holiday quarter from Apple: about $138.4 billion in revenue (up about 11%) and roughly $2.67 in EPS. iPhone sales growth is expected to be the strongest in more than four years, helped by higher-end models. A company can look operationally unstoppable while its narrative quietly changes.
              </span>
             </div>
             <div>
              <br/>
             </div>
             <div>
              <span style="font-size: 16px">
               But the market is grading Apple on a different curve now, wondering whether it deserves a software-and-services multiple while the hardware category matures and the ecosystem gets dragged
under regulation.
              </span>
             </div>
             <div>
              <br/>
             </div>
             <div>
              <span style="font-size: 16px">
               Microsoft lived this phase before. Windows became the default, Office became the annuity, and the company spent years being everywhere without setting the agenda. What brought Microsoft back wasn’t loyalty or lock-in — it was another engine. Cloud subscriptions rewired the business, and AI later amplified it. The default survived, but only because something new compounded on top.
              </span>
             </div>
             <div>
              <br/>
             </div>
             <div>
              <span style="font-size: 16px">
               AI is the next interface 
shift, but Apple’s posture has been notably cautious. Its most visible move has been a multiyear deal to use Google’s Gemini models for a revamped Siri, a practical shortcut that keeps pace but cedes control of the intelligence layer.
              </span>
             </div>
             <div>
              <br/>
             </div>
             <div>
              <span style="font-size: 16px">
               So this earnings report lands inside a bigger test.
              </span>
             </div>
             <div>
              <br/>
             </div>
             <div>
              <span style="font-size: 16px">
               Apple is getting paid handsomely for being boring. But investors want to see if it has a next engine that makes indispensability feel like
momentum — or whether it’s about to learn, like Microsoft once did, that being the default is lucrative, survivable, and not the same thing as leading the future.
              </span>
              <a data-linktext="Quartz’s Shannon Carroll has more on Apple looking like Microsoft, 
minus the reinvention (so far)." data-linktype="Normal" style="color:#168DD9;font-size:16px;text-decoration:none;" target="_blank">
               Quartz’s Shannon Carroll has more on Apple looking like Microsoft, minus the reinvention (so far).
              </a>
              <span style="font-size: 16px">
              </span>
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               RECOMMENDED READING
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                  <strong style="font-family: Georgia, serif; font-size: 20px">
                   The future of tech, decoded.
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                  <a data-linktext="Semafor 
Technology" data-linktype="Normal" style="color:#105C8E;text-decoration:none;" target="_blank">
                   Semafor Technology
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                  unpacks the ideas, innovations, and power shifts redefining the global tech landscape. From AI and machine learning to the startups and policies shaping the industry, each briefing delivers clarity and depth on the tech transforming our world
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                   <a data-linktext="Subscribe for free." data-linktype="Normal" style="color:#105C8E;text-decoration:none;" target="_blank">
                    Subscribe for free.
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              <span style="color:#168DD9;font-size:18px">
               A BYE-NATIONAL FUTURE
              </span>
             </h2>
            </td>
           </tr>
           <tr>
            <td class="td100" colspan="6" style="padding-right:30px;padding-left:30px;line-height:1.5;width:100%;vertical-align:top;font-family:Arial,Helvetica,sans-serif;font-size:12px;color:#000000;mso-line-height-rule:exactly">
             <div>
              <span style="font-size: 16px">
               Dual citizenship is a pretty normal feature of modern American life — inherited, incidental, sometimes messy, often boring. Now, a Republican bill wants to treat a status many people never chose as something 
they’re expected to actively undo.
              </span>
             </div>
             <div>
              <br/>
             </div>
             <div>
              <span style="font-size: 16px">
               In December, Ohio Sen. Bernie Moreno introduced the Exclusive Citizenship Act, which would force anyone holding U.S. citizenship and another country’s passport to choose one within a year of the bill’s passage. Miss the deadline, the bill says, and you automatically forfeit your American citizenship.
              </span>
             </div>
             <div>
              <br/>
             </div>
             <div>
              <span style="font-size: 16px">
               Renouncing U.S. citizenship already means extensive paperwork, interviews, and a $2,350 
fee — and Moreno’s proposal lands amid President Donald Trump’s hardline immigration push. Long odds in Congress or not, the bill has already rattled communities and U.S.-born dual citizens who suddenly have to game out a future they didn’t ask to litigate.
              </span>
             </div>
             <div>
              <br/>
             </div>
             <div>
              <span style="font-size: 16px">
               And the public isn’t exactly begging for this fight.
              </span>
             </div>
             <div>
              <br/>
             </div>
             <div>
              <span style="font-size: 16px">
               A YouGov poll conducted Dec. 2–4 found just 31% support requiring naturalized citizens to renounce other 
citizenship, while 45% said there should be no such rule. The weird part is that we don’t even know how many people could be affected — the U.S. doesn’t track dual citizenship — but anxiety doesn’t require a dataset to spread.
              </span>
             </div>
             <div>
              <br/>
             </div>
             <div>
              <span style="font-size: 16px">
               Americans have been treating second passports as escape-hatch insurance, and Henley &amp; Partners says inquiries from U.S. nationals seeking dual citizenship jumped 183% in Q1 2025 versus Q1 2024.
              </span>
             </div>
             <div>
              <span style="font-size: 16px">
               One law 
professor says the second Trump administration has created “a sense of urgency” for people who fear “the possibility of the worst.”
              </span>
             </div>
             <div>
              <br/>
             </div>
             <div>
              <span style="font-size: 16px">
               As immigration attorney Michelle Abeckjerr said, “The main idea is to have choices.”
              </span>
             </div>
             <div>
              <br/>
             </div>
             <div>
              <span style="font-size: 16px">
               Those choices are getting pricier and rarer. Italy tightened ancestry claims in 2025; other routes take time, money, and patience, and U.S. taxes follow citizens abroad. And this bill would likely run into 
Afroyim v. Rusk’s ruling that citizenship can’t be taken without voluntary surrender.
              </span>
             </div>
             <div>
              <br/>
             </div>
             <div>
              <span style="font-size: 16px">
               But in 2026, nothing says “land of the free” like threatening to take away choices or making people pay $2,350 to prove they picked the right “forever.”
              </span>
              <a data-linktext="Quartz’s Deborah Kearns has more on how a status could become a loyalty test." data-linktype="Normal" style="color:#168DD9;font-size:16px;text-decoration:none;" target="_blank">
               Quartz’s Deborah Kearns has more on how a status could become a loyalty test.
              </a>
             </div>
            </td>
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