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Remains of a destroyed Russian tank in the outskirts of Myroliubivka, a liberated village in Kherson province.
Behind enemy lines, Ukrainian civilians are helping their country target Russian positions.
In Kherson, local activists used Telegram to send photos and coordinates for Russian troops.
"Our guys and girls are everywhere," a Ukrainian official told The Wall Street Journal.
In Crimea, a Ukrainian car repairman went out drinking with Russian officers and then later shared the details of their conversations and the location of invading troops with his own country's military. In occupied Kherson, a man who performed at weddings before the war said he had pivoted to planting explosives under Russian soldiers' vehicles. And outside the city's airport, a tech worker snapped photos of the enemy's vehicles, collecting intelligence that was then promptly used to blow them up.
These stories were shared Wednesday by The Wall Street Journal, which reported that regular Ukrainians, using simple tools like smartphones and the messaging app Telegram, have proven very useful to their country's intelligence gathering processes. Ukrainian forces can act on the intel in under 15 minutes, putting fire on Russian positions.
"These people see Russian tanks moving, they see where troops go for dinner, where they party, where they do their laundry, and they share that information with us," a Ukrainian security official told the news outlet. "Without them our army would have no way of knowing."
Russian forces have felt the effects, and these everyday spies are becoming a priority for Russia. Its security and intelligence agents having raided the homes of suspected informants and imprisoned several on charges of espionage. The Journal said that few have been released, as civilians are rarely exchanged in Ukraine and Russia's prisoner swaps.
Russia has also tried to infiltrate the Telegram channels being used against them.
In one case detailed by the Journal, a man who was arrested by Russia's FSB tried days later to rejoin his online comrades, who by that time were requiring each member of their group to post a daily video to prove their identity and that they were not under duress. His face swollen and his hand shaking as he held a cigarette, the man claimed the background, which resembled a detention facility, was his grandmother's home. He did not pass the test.
In a recent interview with the War on the Rocks podcast, Brig. Gen. Viktor Khorenko, the head of Ukraine's Special Operations Forces, credited local partisans with helping beat back Russia's invading force, saying that they have given Ukrainian forces an advantage over the invading Russian troops.
"We know the terrain. We know the people. Our people actually helped us a lot," Khorenko said during the interview.
When putting together teams to send to various places, "we try to find people and to integrate those people into those autonomous groups who know the local population and actually maybe were originally from those places, who have some relatives there, who have communication, who can be acting like a pathfinder," he explained. "That was really a big advantage." | 2022-12-14T22:22:25Z | www.businessinsider.com | Ukrainian Partisans Use Telegram to Flag Russian Positions | https://www.businessinsider.com/ukrainian-partisans-use-telegram-to-flag-russian-positions-2022-12 | https://www.businessinsider.com/ukrainian-partisans-use-telegram-to-flag-russian-positions-2022-12 |
The head of the UK's armed forces said on Wednesday that Russia is losing in Ukraine.
Admiral Sir Tony Radakin also said the war will only get worse for Russia.
"Russia faces a critical shortage of artillery munitions," Radakin said.
The head of the UK's armed forces says Russia is losing in Ukraine, offering a blunt assessment of the state of the war as Moscow's unprovoked invasion creeps toward its 10-month mark.
"Russia is losing" and the "free world is winning," Admiral Sir Tony Radakin, the United Kingdom's chief of defense staff, said Wednesday during a speech at the Royal United Services Institute think tank in London.
Radakin ripped into Russia over the invasion, which he decried as tragic, dangerous, illegal, and unjustified. But Radakin underscored that Moscow is failing in the war, adding that "it will only get worse for Russia."
Russia is estimated to have suffered roughly 100,000 casualties in the war so far, an astonishing number in less than a year of fighting. On top of manpower issues, which Russian President Vladimir Putin sought to address via a partial military mobilization that did not go well, Russian forces are also running low on proper equipment and ammunition.
"Let me tell Putin tonight what his own generals and ministers are probably too afraid to say: that Russia faces a critical shortage of artillery munitions," Radakin said, explaining that this means "their ability to conduct successful offensive ground operations is rapidly diminishing."
Putin planned for a quick war, but "Russian guns have now been firing for almost 300 days" and "the cupboard is bare," Radakin went on to say, echoing US officials who have pointed out that Russia is running through its munitions faster than it can replenish them.
Russia has lost much of the territory that it managed to occupy in the early days of the invasion. A Ukrainian counteroffensive that began in recent months has seen Russia's military lose ground, including in territories that Putin illegally annexed in September. In November, Russian forces retreated from Kherson โ the first major Ukrainian city that Russia captured.
"Russia has failed โ and will continue to fail โ in all its war aims. Russia is diminished on the world stage," Radakin said. The war saw Russia increasingly isolated, condemned in the UN, and booted from the UN Human Rights Council. Russia has also been widely accused of war crimes.
The top UK admiral credited Ukraine's "ingenuity, courage and determination of Ukraine" for Russia's failures in the conflict, as well as the coalition that's formed to support Kyiv and punish Moscow over the war.
Russia's war in Ukraine pushed a number of countries to abandon longstanding stances of neutrality. Finland and Sweden, who have historically been militarily non-aligned, moved to join NATO as a result of the invasion. Germany provided weapons to Ukraine, breaking from a historic policy of not sending arms to conflict zones.
"Despite Putin's best efforts to divide, he has unintentionally assembled an extraordinary coalition of democracies against him. It's as if he has illuminated what our beliefs really mean and entail. The importance of aggression being defeated. The need to abide by international rules, " Radakin said, adding that Russia was "ill prepared" for the economic response to the invasion. Western countries have slapped crippling economic sanctions on Russia, and in November, Russia's economy entered a recession.
"Morally, conceptually and physically, Putin's forces are running low," Radakin said, urging the Russian leader to act now and withdraw his forces to save Russian and Ukrainian lives. Russia, however, recently rejected a call from Ukrainian leadership to withdraw its forces, signaling that fighting will continue.
Russia Tony Radakin United Kingdom | 2022-12-14T22:47:36Z | www.businessinsider.com | Russia Is Losing in Ukraine and 'Will Continue to Fail': UK Military Chief | https://www.businessinsider.com/russia-is-losing-ukraine-will-continue-fail-uk-military-chief-2022-12 | https://www.businessinsider.com/russia-is-losing-ukraine-will-continue-fail-uk-military-chief-2022-12 |
B-1Bs and A-10s over the Philippine Sea on November 9.
US Air Force/Capt. Coleen Berryhill
A US Air Force crew chief prepares to launch an A-10 for Green Flag-West in California on November 9.
US Air Force/Senior Airman Zachary Rufus
But interestingly, the MALD isn't being envisioned as a means to protect the A-10. Rather, the Warthog would use its decoys to support other aircraft, such as fifth-generation F-35s and F-22s or bombers.
During another exercise over the Philippine Sea on November 9, A-10 pilots simulated using MALDs in "an integrated strike mission simulation" with B1-B bombers.
"Having a combat-proven platform like the A-10 provide support through their MALD decoys increases the probability that our aircraft and weapons successfully strike their targets," Maj. Daniel Winningham, 37th Bomb Squadron B-1B instructor pilot, said in a release.
Maj. Taylor Raasch, an instructor with the Air Force 66th Weapons Squadron, which participated in Green Flag-West, said that the way the A-10 can "help support the fifth-generation fight in support of a pacing threat is provide the unique capability to carry a multitude of weapons and work in austere environments."
'How are we going to find the boats?'
An A-10 carrying a DATM-160 on California's San Clemente Island on November 7.
US airmen load an ADM-160 MALD on an A-10 at a base in Wisconsin on March 1.
US Air National Guard/Tech. Sgt. Samara Taylor
The mission in support of the B-1B "was a fantastic way to demonstrate how the A-10 is capable of shifting from a close-air-support team mindset to a strike team. We are building on our old principles to transform into the A-10 community the joint force needs," Capt. Coleen Berryhill, an A-10 pilot, said in a release.
November's Green Flag-West exercise also marked a shift. Since 1981, the Air Force has used the exercise to train to provide air support to Army units. This time, the A-10s trained to support the US Navy, including as a ship-killer.
US Air Force Capt. Coleen Berryhill flies near a formation of B1-Bs and A-10s over the Philippine Sea on November 9.
While the Warthog's cannon and missiles could pulverize most warships, maritime strike would be a new mission โ and one that would be vital in a conflict with China.
"A concern we had in the planning phase of Green Flag was 'how are we going to find the boats?'" said Capt. Joseph Cole, assistant director of operations for the Air Force's 549th Combat Training Squadron. "We know we can kill them, but how can we find them and target them?"
The exercise also saw the A-10 operate from an "austere" island off the California coast, reflecting the Air Force's growing focus on using rugged or improvised airfields in the Pacific. But this also raises questions about supplying the A-10 with fuel, munitions, and especially maintenance in forward areas.
The A-10 was designed a half-century ago for an armor-focused conflict. Ironically, that sort of warfare is now taking place in Ukraine, but US officials have declined to send manned aircraft to Ukraine, and some Ukrainians have cast doubt on the Warthog's utility.
The US military's focus on the Pacific will only increase, but whether the A-10 has a role there remains to be seen.
NOW WATCH: The Air Force's A-10 Warthog targets ISIS fighters with this massive gatling gun
US Air Force A-10 Thunderbolt A-10 Warthog | 2022-12-14T23:52:39Z | www.businessinsider.com | The a-10 Warthog Is Trying a New Role: Decoying Enemy Air Defense | https://www.businessinsider.com/a10-warthog-trying-a-new-role-decoying-enemy-air-defense-2022-12 | https://www.businessinsider.com/a10-warthog-trying-a-new-role-decoying-enemy-air-defense-2022-12 |
Musk has taken an extreme approach in recent weeks to curbing costs at Twitter.
Since mass layoffs, office space has become sleeping quarters and equipment is being auctioned off.
Former workers are now finding they're unable to have work-related costs and benefits reimbursed.
After being laid off, fired or resigning, some former Twitter employees now fear they will never be reimbursed by Elon Musk for once-covered work expenses.
In recent weeks, a number of former Twitter employees have received boilerplate rejection emails for expenses, three people familiar with the company told Insider. The expenses were generally submitted during the run-up to Musk's late October takeover of the company and the planned mass layoffs that began about a week later. Some of the rejected expenses account for hundreds of dollars in work travel, late-night office meals that happened as many people were required to work 16-hour days to prepare Twitter for Musk's acquisition, and new hardware tools required for work tasks, among other work-related costs that were previously covered by the company.
Former employees with rejected expenses are being told by email the expenses fall outside of a new policy enacted about three weeks ago by Twitter HR under Musk, as Insider reported.
"We're facing a challenging economic climate where greater attention to cost management is essential," the email on the new policy said.
Cost reduction has become extreme at Twitter since Musk took over. In addition to 70% of the company's employees being laid off, fired, or having resigned, Musk is converting office space at company headquarters in San Francisco to sleeping quarters and showers to save on hotel costs, ending catered food, selling off furniture and kitchen equipment, and reportedly not paying the rent.
The new expense policy "discontinued" a number of employee benefits and expense categories, including those related to "wellness," "productivity" and "training and development." In order for employees to be paid out for any expenses covered under Twitter's previous policy, the email, sent on Nov. 22, said they needed to have happened by Nov. 1, and have been submitted by Nov. 30. Anything falling outside of that would not be allowed.
Many expenses from former employees that met those requirements are still being rejected, the people familiar said. Some people have followed up with the company about the expenses and were asked to send a new email detailing their issue.
A Twitter representative did not respond to a request for comment. Musk and the company are already facing at least half a dozen lawsuits and more arbitration actions, as well as three charges filed with the National Labor Relations Board, all regarding the treatment of employees.
Other former employees are having trouble being reimbursed for expenses related to costs of fertility treatments and adoption. Twitter started to offer the benefit earlier this year through a provider called Carrot, which covered around $20,000 annually for such healthcare costs. A number of now former employees had recently incurred many thousands of dollars in costs through Carrot, none of which has been reimbursed by Twitter since Musk took over, the people familiar said.
Carrot has told people expecting reimbursements that it is waiting on the release of funds from Twitter in order to reimburse those who used the benefit, according to the people familiar. Twitter did not mention Carrot or fertility benefits explicitly in the November email regarding the new expense policy.
A Carrot representative did not respond to a request for comment. | 2022-12-14T23:52:45Z | www.businessinsider.com | Elon Musk's Twitter Refusing to Pay Expenses of Former Employees | https://www.businessinsider.com/elon-musks-twitter-refusing-to-pay-expenses-of-former-employees-2022-12 | https://www.businessinsider.com/elon-musks-twitter-refusing-to-pay-expenses-of-former-employees-2022-12 |
Amex Platinum and Capital One Venture X cardholders can gift their top-tier Hertz rental car elite status for 12 months
If you have Hertz elite status โ even from a credit card โ you can gift it to a friend for free for 12 months.
President's Circle is the top-tier elite status offered by Hertz, and it's a perk offered by The Platinum Cardยฎ from American Express ** and Capital One Venture X Rewards Credit Card.
Hertz elite status comes with valuable benefits like car upgrades, expedited returns, and more.
If you've got Hertz elite status, you can now gift it to one person for 12 months.
Read Insider's guide to the best credit cards with primary rental car insurance.
Hertz President's Circle is a worthwhile rental car elite status that can really elevate your rental car experience.
The biggest issue with this status is what you'll have to do to achieve it. You must do one of the following:
Rent 15 times with Hertz in a year
Spend $3,000 with Hertz in a year
If you're anything less than a road warrior who travels for work or is addicted to road trips, you're probably not going to earn President's Circle.
However, you may already qualify for top-tier status without ever having stepped up to a Hertz counter. Not only that, but a new promotion even allows you to bequeath the status to a friend or family member for 12 months.
Hertz President's Circle members can gift elite status to others for a limited time
First things first โ holders of either The Platinum Cardยฎ from American Express or the Capital One Venture X Rewards Credit Card are eligible to receive automatic Hertz President's Circle elite status. All you have to do is enroll, and your Hertz status will be updated.
Hertz President's Circle is the highest elite status you can get with Hertz. It comes with noteworthy benefits that let you do things like:
Skip the counter and head directly to your car
Drop off the keys queueing up
Receive a guaranteed upgrade to the next car class (lesser statuses don't come with a guarantee)
Get a bigger selection of cars than anyone else
Receive an additional driver for free
Additionally, anyone with Hertz President's Circle status โ or the tier below, called Five Star status โ can nominate one friend or family member to receive 12 months of their elite status level. They'll be able to use the status through December 31, 2023. You must activate the deal by December 31, 2022.
To activate this promotion, you'll receive a direct email from Hertz alerting you to the deal. You can begin the status gifting process by clicking the link in that email. Your friend's status will become active within three days.
If you've got a qualifying card but haven't yet enrolled in complimentary Hertz elite status, you can enroll and receive this promotional status-gifting email within just a few days.
If you know anyone with upcoming 2023 rental car plans, this could be a great way to bump their travel experience up a notch. And be sure to remind them to use a credit card that offers primary rental car insurance.
If you've got Hertz Five Star or President's Circle elite status, you can now gift your status to one person for 12 months. And if you don't have Hertz status, you might be able to enroll and immediately receive it if you've got the right credit card. | 2022-12-14T23:53:09Z | www.businessinsider.com | Gift Hertz President's Circle Elite Status From Amex Platinum or Venture X | https://www.businessinsider.com/personal-finance/gift-hertz-elite-status-amex-platinum-capital-one-venture-x-2022-12 | https://www.businessinsider.com/personal-finance/gift-hertz-elite-status-amex-platinum-capital-one-venture-x-2022-12 |
The Senate on Wednesday voted to ban TikTok from all government devices for a second time.
Lawmakers fear the social-media app can be used to spy on American users.
TikTok said these concerns largely stem from misinformation and "unfounded falsehoods."
The Senate on Wednesday unanimously approved a bill that bans federal employees from downloading or using TikTok on government devices, citing national security concerns about the Chinese-owned social media app.
The bill still has to pass in the House and be signed by President Joe Biden before it becomes law.
The "No TikTok on Government Devices Act," sponsored by GOP Sen. Josh Hawley of Missouri, would "prohibit certain individuals from downloading or using TikTok on any device issued by the United States or a government corporation."
TikTok, run by Chinese company Bytedance, has for years been under scrutiny from lawmakers concerned that it may share information about US users with the Chinese government. The Senate also passed the same ban in 2020, but the measure did not move forward in the House.
In a statement to Insider on Wednesday, TikTok called Hawley's bill "a proposal which does nothing to advance U.S. national security interests."
"We hope that rather than continuing down that road, he will urge the Administration to move forward on an agreement that would actually address his concerns," TikTok said.
insider news TikTok Senate | 2022-12-15T04:26:33Z | www.businessinsider.com | Senate Unanimously Votes to Ban TikTok From All Government Phones | https://www.businessinsider.com/senate-votes-ban-tiktok-government-phones-unanimously-2022-12 | https://www.businessinsider.com/senate-votes-ban-tiktok-government-phones-unanimously-2022-12 |
Home flipper profits are slumping at their fastest pace since the 2009 recession and the prognosis isn't any better for 2023
Last quarter saw the fastest drop in home flipping profits since the Great Recession.
Flips on more expensive properties pulled overall returns down for the industry.
Warm and sunny places like Honolulu saw the lowest returns and cities like Buffalo saw the highest.
It's the worst time to make money as a home flipper since the Great Recession.
While people were flipping homes last quarter at the third fastest rate of the past decade, profits from the typical flip plunged by $14,000 โ or 18.4% โ to $62,000 from the previous period, according to real estate data provider Attom. It was the sector's fastest quarterly rate of decline since the US was falling into recession in early 2009, and signals trouble for the coming year, Attom said in a report on Thursday.
Though the gross profit was not even at a three-year low, margins crumbled to 25% last quarter, the lowest since 2009 and less than half the 53.1% seen at the top of the market in 2016, the data show.
The sliding fortunes for home flippers may be the fault of the house flipping business model itself: sell as quickly as possible, even if that means not making as much as anticipated, or even taking a loss, Rick Sharga, head of market intelligence at Attom, told Insider.
"If you're a flipper, time is your enemy," Sharga said. Though flippers are facing a rapidly deteriorating housing market, "you don't want to buy a property and then have to wait to sell it because that time costs you money โ financing, taxes, insurance, maintenance," he said.
What's more, no one is sure what tomorrow will bring, Sharga continued. The market could keep moving against flippers and force even bigger setbacks, he said.
It was that sentiment that led Houston flipper John Ziomek to sell a project in July for $50,000 less than he anticipated, at a price he said represented no margin, as Insider reported in October. Ziomek was happy to take the profits he made in previous flips over the past decade, and move to the sidelines.
It's harder to profit on high end properties
Not all flippers are suffering, though.
Anecdotally, it appears that higher-priced properties are dragging the overall numbers lower, according to Sharga. Homes that sell for $750,000 to $1.5 million in some of the most expensive areas of the country are seeing the biggest slump in demand, so flippers of those properties are feeling the pain, he said.
"The high end market has basically vaporized, there's nothing there, " Sharga said, repeating the words of a flipper he knows. "He was, as he put it, 'writing checks' to get a couple properties off of his books."
Lower-tier home flips are just as robust as they were a year ago, Sharga said. Those flippers have healthy profit margins even if the overall dollar amounts aren't as high as with luxury homes, he said.
Some of 2021's hottest places to move are seeing the biggest dropoff
As is the case with most of the national real estate market โ every local market is different. In this case, places that boasted all the qualities of popular pandemic moving spots were among the worst places to flip a home last quarter, the data show.
Home flippers in warm and sunny places like Honolulu and Jackson, Mississippi, didn't even make a 1% profit or lost money on their renovation projects, according to the data. Meanwhile, flippers in cities with harsh winters like Pittsburgh โ where the typical flipper made a 116.9% profit โ and Buffalo, New York, had the largest returns.
Rachel Mendelson BI Graphics home flipping | 2022-12-15T05:57:51Z | www.businessinsider.com | Home Flipper Profits Are Slowing at Their Fastest Pace Since the 2009 | https://www.businessinsider.com/home-flipper-profits-slowing-at-fastest-pace-since-2009-2022-12 | https://www.businessinsider.com/home-flipper-profits-slowing-at-fastest-pace-since-2009-2022-12 |
This Fabric system takes up 6,000 square feet and can hold up to 500,000 products.
Fabric's robotic fulfillment system can work in a warehouse or in the back of a large grocery store.
The system can fulfill e-commerce and online grocery orders with a fraction of the standard staff.
Robots are a popular answer to the labor crunch.
In a small brick warehouse in Brooklyn, New York, there's a 24-foot-tall cage of metal scaffolding covering 6,000 square feet that robots climb up and navigate.
Last year, the warehouse was fulfilling orders for a major retailer and a beauty supplier. Inventory came in weekly, workers loaded products into the system, and the robots brought out the right items for packing and shipping e-commerce orders the moment they came in.
Today, the system is for sale. That's because Fabric, the Israeli company that makes the tech and owns the warehouse, is switching from selling a fulfillment service to selling its technology for retailers to operate themselves.
After two years of supply-chain challenges, retailers are looking for control, Jonathan Morav, Fabric's head of product strategy, told Insider. Fabric, which has raised $293.5 million over seven years, wants to offer it to them.
"They wanted to use the Fabric technology on their own real estate, with their own operations teams, to gain the efficiencies that the technology can unlock for them," Morav said. "That real estate may be in urban areas, it may be in the backs of stores, or it just may be on their existing fulfillment footprints in the larger warehouses that they're currently operating in."
Once the Fabric robots are loaded with plastic totes full of product โ up to 500,000 products at once โ robots move the totes into the metal structure, where they stay until needed. With the robots' help, a handful of workers can pick out and pack thousands of items a day.
Here's how the system works.
Workers scan the items and accompanying plastic totes so the computer system knows where the product is.
Human loaders put products ready to be ordered into the totes.
Once the system knows where they are, the totes sink down into the workstation and come out the side before ground robots move them to the scaffolding.
The totes sit on robots that navigate the space inside the fencing using QR codes on the floor.
Once filled, the totes enter the scaffolding single file.
Inside the scaffolding, lifting robots move the totes to a location picked by the system's artificial intelligence to optimize efficiency.
"When it's up, wherever in the shelving unit it may be, when a customer orders this product, the lift robot will go grab this tote," Noah Stonehill, the site manager, said.
When an order comes in, the robots bring the correct totes to a workstation where a human can remove the items for packing.
The system can present up to 350 different items to the human picker in an hour. It can also direct workers to assemble orders ahead of time and store them in the scaffolding for later packing and delivery.
"If you have one small truck for just 10 deliveries, then just those totes would come out when you need them," Stonehill said.
The rest of the setup within the warehouse depends on how the orders will be delivered.
The packing stations seen here are set up for parcel shipping โ packing goods into cardboard boxes to be picked up by the postal service or another carrier. But, Morav said, the system works just as well for grocery orders, which would most likely be packed into bags for delivery by refrigerated-truck gig drivers. A large suburban grocery store might have a system twice the size of the one pictured here, he said. | 2022-12-15T10:32:01Z | www.businessinsider.com | These Spiderlike Robots May One Day Pack Your Groceries | https://www.businessinsider.com/fabric-robots-could-pack-your-next-grocery-order-2022-12 | https://www.businessinsider.com/fabric-robots-could-pack-your-next-grocery-order-2022-12 |
Sergey Brin's whirlwind social calendar
From Burning Man and mushroom parties to jamming with math teachers, the Google cofounder has kept busy
Sergey Brin, the billionaire cofounder of Google, has kept busy over the past year from partying topless at Burning Man to jamming out with a high school math teacher in New York City.
Evan Agostini/Invision/AP; Marianne Ayala/Insider
Rob Price and Hugh Langley
In late August this year, Sergey Brin headed to Burning Man.
The billionaire Google cofounder is no stranger to the hedonistic festival โ he's attended for years โ but 2022's gathering was the first official "Burn" since the pandemic upended the world.
The 49-year-old tech titan traveled to the festival in style, island-hopping across the Pacific Ocean in a modified seaplane. Once he got to the "playa" โ the roughly 7-square-mile patch of desert in northwestern Nevada where Burning Man takes place โ Brin, topless and festooned with a space-age, bandolier-style necklace, partied alongside the other 80,000 festivalgoers.
But the eight-day celebration in the sand isn't the only psychedelic gathering that Brin has attended over the past year, Insider found in an investigation into Brin and fellow cofounder Larry Page's lives since stepping back from Google's parent company, Alphabet, in 2019.
Despite Brin's divorce from the lawyer and philanthropist Nicole Shanahan, which became tabloid fodder after lurid (and disputed) allegations surfaced that Shanahan had a secret tryst with Brin's fellow billionaire and onetime confidant Elon Musk, he still made time for a whirlwind of social engagements, parties, and impromptu concerts. A spokesperson for Brin declined to comment on the record.
Brin spent his Thanksgiving holiday in 2021 with a member of the Russian punk band Pussy Riot, who shared on Instagram a since-deleted video of Brin hula-hooping. And according to people in attendance, he swung by a Burning Man-themed event earlier this year at Wilbur Hot Springs, an exclusive resort in Northern California owned by a coterie of space entrepreneurs. Brin has been spotted more than once at house parties at NeoGenesis, a coliving space for entrepreneurs in the Bay Area.
A post shared by Ben Holfeld (@benholfeld)
Over the summer, in the weeks after the Musk allegations emerged in The Wall Street Journal, Brin was photographed at dinner with the illusionist David Blaine and a "mystery blonde woman," The Daily Mail reported. He found himself onstage with a middle-aged math teacher's rock band in New York City. (It's unclear how this surreal jam session came about.) Earlier in the year, he hobnobbed with the Hollywood elite at Vanity Fair's exclusive Oscars party in Los Angeles.
He also stopped by a launch party in July celebrating the mushroom startup Shroomboom in the Topanga hills just north of Los Angeles, where a DJ duo created experimental electronic music by wiring up fungi to a sound system and guests openly consumed psychedelic mushrooms. As for the bigger psychedelic party, when Burning Man reopened in August after its pandemic hiatus, Brin stayed at First Camp, a VIP community frequented by festival organizers and their friends.
โJason Lang (@pi2infinity) June 17, 2022
But for all the partying, boats, and personal turbulence, associates insist Brin still has time for more industrious pursuits. The Wall Street Journal this summer reported that the former Ph.D. candidate was spending some time writing a physics textbook. (It's not clear what its focus will be.) He is fascinated by climate technology, including carbon-trading networks, and has a keen interest in psychedelics, peers say. He also has time for athletic pursuits: Brin once dedicated a year to learning all the sports in the decathlon, from the shot put to hurdles. And he was once a regular at the Mavericks surf contest in Half Moon Bay near San Francisco, where he would sometimes hitch a ride in a rescue boat. In his remaining downtime, Brin enjoys juggling.
"If he could live like a normal guy, I think he would prefer to do that," a former colleague told Insider. "He's a tech nerd at heart and probably wickedly smart and genius. You mix that with some good luck and timing, you end up with Sergey Brin."
Read Insider's full investigation into Larry Page and Sergey Brin's private empiresยป
Sergey Brin Google Burning Man | 2022-12-15T10:32:07Z | www.businessinsider.com | Inside Sergey Brin's Busy Social Schedule: Parties, Festivals, Burning Man | https://www.businessinsider.com/inside-sergey-brin-busy-social-calendar-schedule-parties-burning-man-2022-12 | https://www.businessinsider.com/inside-sergey-brin-busy-social-calendar-schedule-parties-burning-man-2022-12 |
24 top sports managers and agents helping athletes from LeBron James to the Cavinder twins build successful careers as content creators
Colin Salao, Ashley Rodriguez, and Elaine Low
LeBron James at the premiere of Warner Bros.' "Space Jam: A New Legacy" in 2021.
Media has long been a popular second act for athletes, but social media is opening new doors.
Stars like LeBron James and Kevin Durant have shown that athletes can build lucrative media businesses.
Meet the people helping athletes tell their stories and build their brands off the field or court.
Athletes are in a golden age as entertainers and moguls beyond the fields of play, with some starting media companies or investing in startups and sports franchises. Many are also forging careers as content creators, building on the athlete-to-media-personality pipeline that has seen the likes of Shaquille O'Neal and Rebecca Lobo transition smoothly into TV roles.
Social media and the NCAA's new NIL rules are also changing the game for amateur athletes. College players never used to be able to have millions of TikTok followers and profit from them, like Fresno State basketball stars Haley and Hanna Cavinder have.
And superstars including LeBron James and Kevin Durant have proven that athletes can leverage their brands into successful content and media ventures, like James' SpringHill Company, which was last valued in 2021 at a whopping $725 million, and Durant's Boardroom.
"Athletes are the most relevant personalities in pop culture so are in high demand," said Gideon Cohen, SVP of media talent at Excel Sports Management. "That combined with the furious pace of cord cutting and a younger demographic consuming content in new and different ways, leads us to unlimited possibilities for athletes."
Athletes also have more ownership over their content than ever before, giving them more flexibility and control over their assets, where once they might have been beholden to highlights on ESPN.
"We're finally hitting a point where athletes that we have had documented their entire life," said Jason Weichelt, VP of content and development at the sports agency Octagon. "These people can go on the air and broadcast their own content and they can capture and keep their own content. These clients are sitting on huge assets."
Many of these athletes are driven by the behind-the-scenes work of their talent managers and agents.
Insider is highlighting for the first time those talent managers and agents who are guiding athletes as they build successful careers in entertainment and content creation. These people are helping athletes elevate their social content, strike brand deals, launch podcasts, or break into TV and film.
This list, which is based off nominations from readers and industry experts, includes Hollywood veterans like the WME Sports agents who helped LeBron James launch the SpringHill Company; sports and marketing leaders like the Cavinder twins' mangers at Everett Sports Marketing; and a handful of people who broke into the space more recently as NIL and the sports-content boom created new opportunities for athletes at all levels.
The managers and agents are listed in alphabetical order by company name:
35V founder Rich Kleiman works with NBA superstar Kevin Durant to expand his business and media portfolio.
Jabari Jacobs
Rich Kleiman, cofounder
Kleiman is the longtime manager and business partner of 12-time NBA All-Star Kevin Durant, who has nearly 34 million followers across Instagram and Twitter.
Kleiman and Durant cofounded the venture firm 35V, which manages Durant's personal brand and on-court contracts, but also includes media network Boardroom and an investment portfolio with more than 100 early-stage investments in sports, tech, finance, and media.
Boardroom has a digital platform to publish written stories and podcasts and has also helped develop film and television projects including "Two Distant Strangers," which won a 2021 Oscar for best short film. 35V's investments include Athletes Unlimited, Major League Pickleball, and Premier Lacrosse League.
Kleiman is also the executive director of the Kevin Durant Charity Foundation, which helps underserved families around the globe.
Kleiman previously worked with Jay-Z's agency Roc Nation, where he managed music artists Mark Ronson, Meek Mill, Wale, and Solange. He helped launch Roc Nation Sports and served as the division's VP before launching 35V with Durant, who had previously been signed with Roc Nation Sports.
Relevant client: Kevin Durant (Brooklyn Nets forward with 20.6 million followers on Twitter and 13.1 million followers on Instagram)
Buchwald's James Crane is helping athletes like Jay Cutler and Chloe Kim break into podcasts, TV, film, and more.
Buchwald talent agent James Crane.
James Crane
James Crane, talent agent
Crane is building a department within talent agency Buchwald to help athletes โ including former Chicago Bears quarterback Jay Cutler and snowboarder and two-time Olympic gold medalist Chloe Kim โ break into media through TV, film, and podcasts.
Crane, who has been an agent at Buchwald since 2019, helped Cutler launch his podcast, "Uncut with Jay Cutler," through the network PodcastOne. In August he signed Kim, who previously cofounded the media brand Togethxr and has appeared on Fox's "The Masked Singer." He also works with NBA player Bobby Portis Jr., who is set to appear in the upcoming movie "Sweetwater."
"As distribution keeps growing and athletes really realize the power of their platform, there are a lot of opportunities now to build a career in entertainment when they're playing or when they're done playing," Crane told Insider.
Crane said he works with athletes in all sports and at various levels to help them find their voices in entertainment.
"I like working with athletes that have a story to tell and a strong point of view," he said.
Buchwald, which has a long history in entertainment with offices in New York and Los Angeles, expanded into sports content about two years ago through a strategic partnership with the sports and media agency CSE that was announced in January 2021.
Relevant clients include: Jay Cutler (retired NFL player with 684,000 Instagram followers), Chloe Kim (Olympic snowboarder with 916,000 Instagram followers), Jim Rome (sports radio host with 66,300 Instagram followers), Kendall Toole (Peloton instructor with 741,000 Instagram followers), Mercedes Varnado (professional wrestler also known as Sasha Banks with 5.6 million Instagram followers), Apolo Ohno (retired Olympic speedskater with 253,400 Twitter followers)
Creative Artist Agency's Matt Kramer and Tom Young lead a prominent list of sports broadcasters.
CAA coheads of sports broadcasting Matt Kramer, left, and Tom Young.
Matt Kramer and Tom Young, co-heads of sports broadcasting
CAA is one of the most renowned entertainment agencies, and its team is deeply ingrained in sports and media.
Young and Kramer are CAA's co-heads of sports broadcasting. Young's most notable client is former Dallas Cowboys quarterback turned CBS broadcaster Tony Romo, whose $180 million dollar contract over 10 years was the highest among sports broadcasters when it was reported in 2020 by the New York Post's Andrew Marchand. Kramer's client list includes Ryan Fitzpatrick โ who transitioned from playing in the NFL last season straight into Amazon's new "Thursday Night Football" booth โ as well as veteran ESPN analysts Jalen Rose and Booger McFarland.
But CAA also boasts of a long list of athletes whose playing careers are still on the upswing and have big media followings. Co-head of basketball Jessica Holtz became the first female agent to represent two maximum salary NBA players, Devin Booker and Karl-Anthony Towns, both of whom have more than 3 million Instagram followers. Nez Balelo, who co-heads the baseball division, manages Japanese baseball star and 2021 AL MVP Shohei Ohtani.
Relevant clients include: Tony Romo (retired NFL player and CBS broadcaster with 709,000 Instagram followers), Jalen Rose (retired NBA player and ESPN analyst with 1.8 million Twitter followers), Booger McFarland (retired NFL player and ESPN analyst with 168,500 Twitter followers), Grant Hill, (retired NBA player and Turner Sports broadcaster with 379,000 Twitter followers), and Ryan Fitzpatrick (retired NFL player and Amazon TNF broadcaster with no active social media).
Curran Media Co. was founded by brothers Pat and Tim Curran, former college athletes empowering the new age of student-athletes under NIL.
Curran Media's Tim and Pat Curran.
Curran Media Company
Patrick and Tim Curran, founders
The Curran brothers, both former collegiate athletes, founded Curran Media Co. in 2018 in anticipation of the new NIL rules.
Curran Media's list of athletes includes Elon University defensive lineman Jon Seaton, who has nearly 2 million TikTok followers and has made more than $250,000 since the NIL rules were passed. Seaton told Insider that the Curran brothers reached out to him months before NIL rules went into effect, discussing his brand and finding potential deals that Seaton said helped him to be "ready to go" by July 1, 2021.
The two brothers have helped Seaton secure deals with companies like Amazon Prime and Dr. Pepper. The latter included Seaton judging Dr. Pepper's "Hail Mary for $23K" contest, which was a "Shark Tank"-like digital contest that featured Mark Cuban and Charlotte Jones and offered business grants to college students.
The Currans also help manage Seaton's personal brand โ a light-hearted, comedic brand that highlights his self-proclaimed "big boy" culture โ including working on his merch line Big Boy Council.
Curran Media also handles other clients including Deshaun Highler from Netflix's "Last Chance U: Basketball," and WNBA players Didi Richards, Dearica Hamby, and Shakira Austin.
Relevant clients include: Jon Seaton (Elon University football player with 1.8 million TikTok followers), Trey Phills (basketball player with 809,800 TikTok followers), Lyric Swann (North Florida basketball player with 531,700 TikTok followers), Dearica Hamby (WNBA player with 123,000 Instagram followers)
Everett Sports Management's Dan and Rachel Everett, Jeff Hoffman, and Alexi Hecht are building the brands of some of the brightest stars of the NFL and college sports.
Clockwise from top left: Everett Sports Management's Dan Everett, Rachel Everett, Alexi Hecht, and Josh Hoffman.
Everett Sports Management
Rachel Everett, cofounder, Dan Everett, cofounder, Jeff Hoffman, partner, and Alexi Hecht, junior partner
Everett Sports Management represents a core of big names in professional and amateur football. Its NFL clients include 2023 MVP candidate Jalen Hurts, Jonathan Taylor, and Nick Chubb, who are represented by cofounder Rachel Everett; and Mac Jones, who is represented by cofounder Dan Everett and partner Hoffman. Their college football clients include Georgia quarterback Stetson Bennett and tight end Brock Bowers.
ESM also represents two of the biggest names in NIL outside of football: women's basketball players and sisters Haley and Hannah Cavinder. The agency connected with the Cavinder twins through a shared attorney.
"We were looking to expand our gender and sport talent and the twins were the absolute top of our list," said Hoffman, who represents the twins alongside junior partner Hecht.
The twins, who just transferred to the University of Miami, have more than 4 million followers on TikTok. They're the first female athletes to sign with Champs and they also have partnerships with the WWE and Dr. Pepper.
Hoffman said ESM has a "three-fold" role in managing all-around content creation for its clients. The first is to ensure the personal branding of each of their athletes in all their endorsements, which includes reviewing scripts and making recommendations on shots. Second is content execution, including helping with every aspect of production, from a selfie to partnering with production companies like Mile 44 for the Cavinder Twins' commercial shoot with Champs. Finally, ESM negotiates strategic brand deals for its athletes that align with their personal brands.
ESM has also launched a unique partnership with the University of South Carolina called Park Ave. This organization allows ESM to help facilitate NIL partnerships for the athletes of USC and has created more than 120 partnerships for the school's athletes in the first 90 days of the deal, according to Hoffman.
Relevant clients include: Hayley and Hannah Cavinder (college basketball players with 4.1 million followers on joint TikTok), Jalen Hurts (Philadelphia Eagles quarterback with 964,000 followers on Instagram), Jonathan Taylor (Indianapolis Colts running back with 373,000 followers on Instagram), Mac Jones, Stetson Bennett (Georgia quarterback with 118,000 followers on Instagram)
Excel Sports Management's Colleen Garrity oversees basketball marketing and content and Gideon Cohen's team reps over 50 sports-media personalities.
Excel Sports Management SVPs Colleen Garrity, left, and Gideon Cohen.
Excel Sports Management
Colleen Garrity, SVP of basketball marketing, and Gideon Cohen, SVP of media talent
Excel is a major New York City-based sports agency that Forbes estimates represents 450 clients, including legendary golfer Tiger Woods. The agency manages an estimated $3.6 billion in playing contracts, according to Forbes, but it's also helping its athletes build their brands off the court or field.
Garrity, the SVP of basketball marketing, oversees marketing and content at Excel, which has helped several basketball clients with content creation including retired NBA player and ESPN analyst Richard Jefferson; New Orleans Pelicans guard CJ McCollum, who recently signed as an NBA analyst for ESPN and hosts his own podcast, "Pull Up"; high-school basketball star Mikey Williams, who has 3.7 million Instagram followers and 2.1 million TikTok followers; and Miami Heat guard Tyler Herro, who has 2.3 million Instagram followers.
Recently, Garrity said Jefferson's marketing agent Nailah Waterfield led an effort to expand the role of the former NBA player from panelist to host on some "NBA Today" broadcasts this year. CJ McCollum's marketing agent Ashley Combs also helped McCollum land Kamala Harris โ at the time the Democratic vice presidential nominee โ as a guest on his PlayersTV series, "ReMaking America," in 2020.
Cohen, the agency's SVP of media talent, is dedicated to helping talent become content creators and media personalities. In April 2021 he helped launch Excel Media, a division within the agency that now represents more than 50 sports-media personalities.
Cohen helped former NFL star Alex Smith transition after his retirement into a broadcast career at ESPN, where he's an NFL studio analyst on "Monday Night Countdown." Client and former PGA Tour player Trevor Immelman was recently named CBS Sports' lead golf analyst beginning with the 2023 season. Cohen helped several other athletes launch podcasts or radio shows and land lucrative on-air gigs recently as well.
Relevant clients include: Richard Jefferson (retired NBA player with 357,000 Instagram followers), CJ McCollum (NBA player with 1.3 million Instagram followers), Alex Smith (retired NFL player with 69,900 Instagram followers), Mikey Williams (high-school basketball player with 3.7 million Instagram followers), Tyler Herro (NBA player with 2.3 million Instagram followers), Trevor Immelman (golfer with 22,100 Instagram followers), Xavier Scruggs (retired MLB player with 30,400 Instagram followers)
Klutch Sports Group's Omar Wilkes and Kelton Crenshaw came up with novel ways to amplify their NBA and NFL clients during the pandemic.
Klutch Sports Group's Omar Wilkes, left, and Kelton Crenshaw.
Klutch Sports Group
Omar Wilkes, head of basketball, and Kelton Crenshaw, agent
Klutch Sports Group was founded in 2012 by Rich Paul, LeBron James' agent and longtime friend. In 2019, United Talent Agency invested in the sports agency, naming Paul head of UTA Sports in addition to his role at Klutch.
Wilkes, as head of basketball for Klutch Sports, has a roster that includes Atlanta Hawks point guard and NBA All-Star Trae Young, and 2020 NBA No. 1 draft pick Anthony Edwards. The longtime agent was previously at Octagon for nearly a decade and now manages other agents and the basketball division at Klutch in addition to signing players and negotiating their deals.
During the pandemic, Wilkes teamed with UTA (and agent Ryan Hayden, who is also featured on this list) to have their NFL pro day featured on ESPN, amplifying the profiles of Klutch's players. When it comes to content creation, Wilkes is focused on "finding the balance of what someone can digest and is able to take on their plate outside of their sport, and still obviously perform at their highest level," he told Insider.
Agent Kelton Crenshaw, who founded marketing and promotions company Eighty81 with Paul (a longtime friend from college) and Edward Givens, pursued a law degree to bolster his agency skill set and currently reps NFL players Chase Young, Devonta Smith, Greg Newsome, and Kayvon Thibodeaux, among others.
When the NFL draft went remote in 2020, Crenshaw and his team launched the Keegan-Michael Key-narrated podcast "Drafted," which offered a behind-the-scenes look at the stories of the young players entering the draft that year. Crenshaw looks for content and branding opportunities that "allow them to give the fans a peek behind the scenes without being a distraction."
Relevant clients include: Wilkes' roster: Anthony Edwards (Minnesota Timberwolves shooting guard with 1.2 million Instagram followers), Cam Reddish (New York Knicks small forward with 541,000 Instagram followers), Jarred Vanderbilt (Utah Jazz power forward with 121,000 Instagram followers), OG Anunoby (Toronto Raptors small forward with 218,000 Instagram followers), Trae Young (Atlanta Hawks point guard with 4.8 million Instagram followers), Dereck Lively II (Duke Blue Devils center with 38,500 Instagram followers). Crenshaw's roster: Coby Bryant (Seattle Seahawks cornerback with 70,100 Instagram followers), Devonta Smith (Philadelphia Eagles wide receiver with 721,000 Instagram followers) , Jesse Luketa (Arizona linebacker), Isaiah Likely (Baltimore Ravens tight end with 29,700 Instagram followers), Kayvon Thibodeaux (New York Giants defensive end with 207,000 Instagram followers), Pharaoh Brown (Cleveland Browns tight end with 25,900 Instagram followers).
NIL Management's Zach Beebe has used his ties with Ohio State to give NIL opportunities to the school's athletes.
NIL Management founder Zach Beebe.
NIL Management.
Zach Beebe, founder
Beebe founded NIL Management in June 2021, just a few weeks before the NIL rules were passed. Beebe previously worked in marketing and management in the music space for more than 10 years, but he jumped at the opportunity to work with college athletes since he's based in Columbus, Ohio, and knew many athletes at Ohio State.
"I truly created NIL Management to protect and serve my pre-existing relationships with current athletes from OSU and around the nation," Beebe told Insider.
Beebe now manages NIL deals for most of the OSU football team but also has clients in other OSU teams including men's and women's basketball, fencing, and dance. NIL Management has started to expand to help athletes in other schools, including Notre Dame, because the company's been approached by more athletes and parents, Beebe said.
The company has negotiated deals with more than 40 different companies for its roster of athletes. Many of the deals are with local brands like car dealerships, but it has also partnered athletes with major brands like Bose, McDonald's, and Chipotle.
Beebe said he recognizes that NIL endorsements have given student-athletes the opportunity to provide "generational wealth" for their families, so he also advises his clients financially.
"We have helped clients diversify their funds," Beebe said. "From a portion of the money we've made TreVeyon Henderson through NIL deals, we have leveraged it into a real estate portfolio valuing $500,000+ at age 19."
Relevant clients include: CJ Stroud (Ohio State University quarterback with 180,000 followers on Instagram, Marvin Harrison Jr. (Ohio State University wide receiver with 122,000 followers on Instagram, Meechie Johnson Jr. (Ohio State University guard with 111,000 Instagram followers), Abby Summers (Ohio State dancer with 81,000 followers on TikTok), TreVyon Henderson (Ohio State University running back with 75,700 followers on Instagram)
Octagon's Jeremy Aisenberg and Jason Weichelt developed 'Groundwork with Aly Wagner' to tell the stories of NWSL players and boost interest in women's soccer.
Octagon's Jeremy Aisenberg, left, and Jason Weichelt.
Jeremy Aisenberg, VP of media, broadcasting, and content, and Jason Weichelt, VP of content and development
Octagon is another big sports agency, which Forbes estimates works with 710 clients across many major sports from basketball to Olympic sports.
The agency recently developed several major film and TV projects featuring its clients, including the HBO documentary "The Weight of Gold" with Michael Phelps and the Facebook Watch series "Simone vs. Herself" with Simone Biles.
Aisenberg, the VP of media, broadcasting, and content, and Weichelt, the VP of content and development, work with many of Octagon's clients on content development and creation, including both original content for an athlete's own platform and projects for other media outlets.
In the last year, they helped secure and develop projects including "Groundwork with Aly Wagner," a series hosted by the Olympic gold-medal-winning soccer player and analyst, which took a behind-the-scenes look at players in the National Women's Soccer League.
The TV series debuted on CBS Sports Network earlier this year as part of the network's NWSL coverage. It came together after Octagon signed Wagner about a year ago and sat down with her to brainstorm ways to tell her story.
"Women's soccer is still not receiving the attention that it deserves ... and part of how you create interest in the game is by telling the stories of the really amazing athletes," Aisenberg said. "She really had a tremendous amount of passion for that."
Aisenberg and Weichelt also worked on a documentary about Jeanette Lee โ who was in the 1990s one of the most recognizable billiards players and was known as "The Black Widow" โ which debuted on ESPN in December as part of its "30 for 30" series. Lee revealed in 2021 that she had been diagnosed with Stage 4 ovarian cancer. The agency also has a scripted series in the work about her life.
"Those are ones you're proud of because you're able to really help someone get their story out," Weichelt said.
Relevant clients include: Aly Wagner (retired Olympic soccer player and sports broadcaster with 21,400 Twitter followers), Paige Spiranac (golfer with 3.7 million Instagram followers), Jeanette Lee (pool player with 18,800 Instagram followers)
Raymond Representation founder Michael Raymond works with athlete influencers including Trinity Thomas and Emily Cole on NIL.
Raymond Representation founder Michael Raymond.
Raymond Representation
Michael Raymond, founder
Raymond is an up-and-comer who's making a name for himself by working with athlete influencers, including helping those in college grow and monetize their social followings.
Raymond began working with athletes โ helping them with their social content, brand deals, and other off-court activities like charity events โ while he was in law school at the University of Miami. When he graduated in 2020 amid the pandemic, he decided to launch his own firm, Raymond Representation, and signed a handful of basketball players.
Raymond leaned into working with college athletes after the NCAA began allowing athletes to profit from their names, images, and likenesses.
Where some NIL agents mainly focus on football and basketball, he works with a wide-range of athletes, from former college football player Clifford Taylor VI to gymnast Trinity Thomas to track-and-field athlete Emily Cole.
"Our niche is more of the athlete creator," Raymond told Insider. "We really broke into the space at probably the perfect time especially with NIL."
He said social media is opening doors for athletes who can showcase their personalities to build their brands off the court or field in ways that used to only be available to star athletes.
He worked this year on a brand deal with H&R Block as part of its "A Fair Shot" campaign that featured both Cole and Thomas, as well as several other female athletes.
After generating in 2021 roughly $5,000 to $10,000 per month in NIL and influencer deals, Raymond Representation expects to do more than $1 million in deals in 2022. The agency expects to generate $3 million to $5 million in revenue in 2023, Raymond said.
Relevant clients include: AJ Greene (former University of New Haven football player 3.6 million TikTok followers), Lolo Fitzmaurice (former Syracuse University basketball player 654,800 TikTok followers), Clifford Taylor IV (former University of Florida football player with 402,200 TikTok followers), Emily Cole (Duke track and field athlete with 177,00 TikTok followers), Trinity Thomas (University of Florida gymnast 123,000 Instagram followers), Dontavious Hill (Auburn University track-and-field athlete with 79,800 Instagram followers), Keyontae Johnson (University of Florida basketball player 54,900 Instagram followers)
Roc Nation Sports' Dana Byrnes and Carl Harris work with LaMelo Ball, Skylar Diggins-Smith, and other big athlete creators.
Roc Nation Sports' Dana Byrnes, left, and Carl Harris.
Roc Nation Sports.
Dana Byrnes and Carl Harris, Roc Nation Sports digital managers
Roc Nation Sports was founded in 2013 by rapper Jay-Z, and has grown into a top sports agency that represents many athletes with big media presences including NBA player LaMelo Ball, former NBA player turned analyst Jalen Rose, and WNBA star Skylar Diggins-Smith.
Byrnes, senior manager of digital strategy, runs Roc Nation Sports' social-media accounts and those of its owned properties. She's helped Rose promote his "Renaissance Man" podcast, Jazz Chisholm on his YouTube and other social content, Chris Boucher to plug his "Hustle Play" podcast, Brandon Smith on his YouTube channel, and others.
Before joining Roc Nation Sports in 2021, Byrnes was a social-media coordinator for the Dallas Cowboys, and led the team's social-media strategy for three seasons. She also worked in social media for the University of North Carolina at Chapel Hill's football team and the Princeton football team.
Harris leads the agency's sports digital content, including working with Ball, Chisholm, Diggins-Smith, NFL player Saquon Barkley, MLB player Marcus Stroman, and others.
Harris was an athlete himself before moving into the content space. He is a former Division 1 football player who attended Rutgers University and later went on to work there as the team's creative director before joining Roc Nation Sports.
Relevant clients include: Jalen Rose (sports analysts and former NBA player with 1.8 million Twitter followers), Michael Pittman Jr. (NBA player with 441,000 YouTube subscribers), Jazz Chisholm (MLB player with 159,000 Instagram followers), Chris Boucher (NBA player with 178,000 Instagram followers), Danny Green (NBA player with 1.2 million Instagram followers), Dez Bryant (NFL free agent with 2.3 million Instagram followers), Dorian Thompson Robinson (UCLA quarterback with 105 Instagram followers), Brandon Smith (NFL player with 16,100 Instagram followers), Gabe Davis (NFL player with 150 Instagram followers), Marcus Stroman (MLB player with 530,000 Instagram followers), LaMelo Ball (NBA player with 9.3 million TikTok followers), Kevin Porter Jr. (NBA player with 545,000 Instagram followers), Jason Preston (NBA player with 78,200 Instagram followers)
UTA's Ryan Hayden and Jerry Silbowitz have created a 'bespoke' process for finding just the right content creation opportunities for their roster.
UTA's Ryan Hayden and Jerry Silbowitz.
Ryan Hayden and Jerry Silbowitz, news and broadcasting agents
UTA has divisions representing clients across TV, film, theater, music, and gaming, and has built a robust sports group bolstered by its 2019 stake in Rich Paul's Klutch Sports Group.
Hayden is a partner and agent at UTA who has been with the agency since 2004, when the idea of an athlete participating in off-field and off-court pursuits was far less common. One of their first clients trying their hand at content creation was Cincinnati Bengals linebacker Dhani Jones, who filmed a Travel Channel series while actively playing in the NFL.
Silbowitz told Insider the process of figuring out what off-field content creations are right for his athletes is a "bespoke sort of experience, depending on the talent."
The agent added: "You have to know where their interest lies โ you know, what, from a commitment standpoint, they really want to digest."
Among other clients, Hayden and Silbowitz represent sports analyst and retired NFL player Emmanuel Acho, facilitating his shift from ESPN to Fox Sports. Acho launched a YouTube series, "Uncomfortable Conversations With a Black Man," after the 2020 murder of George Floyd, which garnered an "overwhelming" response, Silbowitz said.
"My sister in Maryland called me and she said, 'Do you know this guy?' And we actually represent him," Hayden said. "A lot of people don't even know he came out of the sports world โฆ Jerry and I partnered him at that point with Oprah Winfrey's company, and they came aboard to produce those series. Oprah's Book imprint published the book."
"What we've learned, I think, over the past 10 or 15 years is you have to learn how to put the pieces together," Hayden continued. "It's easy to put it together just within the sports world, but growing it into the entertainment space, it's sort of a reintroduction [to the public], a lot of times, for that athlete."
Relevant clients include: Emmanuel Acho (950,000 followers on Instagram), Von Miller (Buffalo Bills linebacker with 2 million Instagram followers), Rob Gronkowski (retired Tampa Bay Buccaneers tight end with 4.7 million Instagram followers), Eddie Jackson (retired NFL player and Food Network host with 104,000 Instagram followers), "Stone Cold" Steve Austin (former WWE wrestler with 5.5 million Instagram followers), Charles Woodson (retired Oakland Raiders player turned Fox NFL analyst with 257,000 Instagram followers).
WME's Josh Pyatt and Kelly Sherman are continuing to drive the agency's legacy as a place for pro athlete representation.
Josh Pyatt and Kelly Sherman, agents
WME is one of the premier agencies for pro athletes and sports professionals, representing LeBron James' content business and Peyton Manning's content endeavors. WME partner and longtime agent Lee White heads the agency's sports content division, spearheading its emerging content creation efforts.
Pyatt, who came up in the unscripted TV space, has been with WME for about 20 years and co-runs the agency's sports group. His first athlete client to cross over into the content space was Michael Strahan, the NFL Hall of Famer turned "Live with Kelly and Michael" and "Good Morning America" host. Pyatt can recall a time from just six or seven years ago when an athlete's off-field forays into TV or content creation was "very foreign," he said.
"When LeBron James first started, when Michael Strahan first started, people looked at us sideways," Pyatt added. "Now, everybody wants a version of what these guys have. Those were hurdles. And that was also one of the reasons why we started building this business."
Sherman, who like Pyatt started her agency career in the mailroom, worked as an assistant before being elevated to an agent on Pyatt's team over a year ago.
"The most exciting thing is you're working with athletes that you grew up idolizing, but in a space that is really new for them, and you're helping them build this business that is really our expertise," Sherman said. "The combination of these people who have all the star power in the world, but finding new ways for them to build their brand, is really exciting."
Relevant clients include: LeBron James' SpringHill (James has 52.5 million Twitter followers), Michael Strahan's SMAC Entertainment (Strahan has 1.5 million Instagram followers), Peyton Manning's Omaha Productions (Manning has 387,000 Instagram followers), the Kobe Bryant estate's Granity (Granity has 110,000 Instagram followers), Draymond Green (off-court representation; Green has 4 million Instagram followers)
Features Sports Sports Media | 2022-12-15T10:32:25Z | www.businessinsider.com | Sports Managers, Talent Agents Helping Athletes Build Content Careers | https://www.businessinsider.com/sports-managers-talent-agents-helping-athletes-build-content-entertainment-careers-2022-12 | https://www.businessinsider.com/sports-managers-talent-agents-helping-athletes-build-content-entertainment-careers-2022-12 |
Barber shops have long been a haven for not just style, but community.
Insider asked two barbers โ Fabiano Nogueira in Georgia and Rey Tineo in New York โ their best tips for clients.
"My biggest pet peeve is lateness," Tineo said. "You can chat and hang out, but please show up on time."
Although you don't see them much these days, the iconic red, white, and blue pole of a barber shop is still easily recognizable. Barbering isn't just a historic haven for marginalized communities โ it's also going through an upscale renaissance, the trade plied by men with sharply angled, elegant beards and butcher's aprons in stylish hipster shops with exposed brick.
To help ease your entry into this close-cropped community, Insider spoke with two master barbers to ask what you should know as a client.
Remember that the ambiance of a barber shop is different from a salon
"Barber shops are geared toward the male clientele," said master barber Fabiano Nogueira, who owns the Barbearia Barbershop in Marietta, Georgia. "However, the essence of a barber shop is the environment, the conversations that happen within it. We love to interact with our clients, hear their stories, and see their children grow."
Fellow master barber and shop owner Rey Tineo of Status Barber Studio in Bay Shore, New York, agrees.
"There's a lot of legacy in a barber shop," Tineo said. "It's a place men have gathered through global history to speak on community, sports, even politics."
The services offered are different, too
Because of this male-dominated customer base, the other main difference is the services offered.
Fabiano Nogueira, who owns Barbearia Barbershop in Marietta, Georgia.
Courtesy of Fabiano Nogueira
"The work that goes into a complete look for a woman's style and cut is incredibly time consuming and labor-intensive," Tineo said. "But one of the things I love most about barber shop experiences that most salons don't offer are hot towel shaves.
"When done properly, it's a great experience on its own. The warmth of the towel opening your pores as you begin to relax in the chair, the lather of shaving cream being applied, closeness of the straight razor against your skin, the facial massage replenishing your freshly exfoliated skin, topped off with a chilled towel to close your pores and tighten the skin, and then a splash of a refreshing aftershave โฆ this is a real treat."
Embrace the diversity of modern barbering
"When you first step into the world of barbering, one of the very first things you'll notice is the diversity," Tineo said. "For the most part, barbering is still a male-dominated profession. But throughout the years, women have been making their marks on the industry, and it's been great."
"My biggest pet peeve of all is lateness," Tineo said. "You can expect to chat and hang out, but please show up on time. I'm in the shop all day, so personally, it's not a big deal, but I like to run as on time as possible. It's rude to the person with the appointment after yours, because I'm still going to give you the full service and precision you expect."
On the flip side, Nogueira also asks for some grace when the schedule does experience the butterfly effect.
"It's hard for us to always be on time, too," Nogueira said. "We're not machines, and not every client's hair is the same. Luckily, most of our clientele is lenient, as we also try to be with them."
The cost of the cut pays for more than just the cut
Inflation has affected everything, including services like barbering.
Rey Tineo of Status Barber Studio in Bay Shore, New York.
Courtesy of Rey Tineo
"The average price of a good cut can cost you anywhere from $30 to $50, with higher prices correlating with more detailed or better quality work," Tineo said.
Training, experience, equipment, and maintaining the shop also factor into the price, Nogueira said. Plus, tips are customary, appreciated, and integral to barbers' incomes. Much like a hairstylist, 15% to 20% is the usual.
Respect their experience
"The amount of training a barber has impacts how much they charge for a cut," Tineo said.
That's why, to Tineo, "the most unrealistic expectation that clients can have of their barber is that they know and provide all the same types of services as other barbers."
"There are so many variations and innovations in barbering," he said. "I continue to take online courses and attend barber conventions, the educational components of which allow me the opportunity to learn from those paving the road ahead of us."
Don't worry about not knowing what you want
Unlike hairstylists, who tend to prefer guidance and direction, barbers like to let their artistic vision guide your cut.
"While a picture is always helpful if it's something very specific, many also just trust us to do our thing," Nogueira said.
Tineo added: "If given a choice of a client coming in with a picture of a haircut or the ability to do my own thing, I would prefer to do my own thing. To me, barbering is a way of expressing yourself; it's an art form. Even if a client brings me a picture of what they want, they're still going to be leaving with my twist to the cut."
Open up to your barber; tell them about yourself
"We use the initial consultation to discuss what they would like to get and if it is adequate to their hair type, facial shape, daily routine, and line of work," Nogueira said.
This is more important than coming in with a clear idea of what you want, Tineo thinks.
"I do my best to do a full consult with a client before I even turn on the clippers," he said. "That lets me assess their wants, personality, and profession and gives me a chance to fully explain if the texture, thickness, or thinness of their hair prohibits them from a certain cut, and I can then recommend something that would work better. If there's one thing I wish clients knew and fully understood, it's that not every person can get the same style.
"The client's profession and personalities play huge parts in creating any look. What can be more artistic then being able to create pieces of art with each haircut?"
NOW WATCH: LAโs best barber is this woman, and sheโs breaking gender stereotypes
Barber Barbers Hair | 2022-12-15T10:32:31Z | www.businessinsider.com | The 8 Rules of Barber Shop Etiquette, According to Barbers | https://www.businessinsider.com/the-8-rules-of-barber-shop-etiquette-according-to-barbers-2022-12 | https://www.businessinsider.com/the-8-rules-of-barber-shop-etiquette-according-to-barbers-2022-12 |
Goldman Sachs, JPMorgan, and 9 other top Wall Street firms share their predictions for stocks and the economy in 2023
Top investment firms are divided over where they think stocks and the economy are headed in 2023.
Fabrice Cabaud/Getty Images
Stocks disappointed in 2022 as the economy slowed and recession risk rose.
Wall Street can't agree about what the coming year will hold for markets.
Here are 11 top investment firms' views on what's next for stocks and the economy in 2023.
Even Wall Street's biggest bears didn't predict how disastrous 2022 would be for stocks and the economy. Heading into this year, the lowest S&P 500 price target among top investment firms was 4,400, which was set by long-time bear Mike Wilson of Morgan Stanley.
In hindsight, even that Street-low target was too high. US stocks wilted in 2022 as inflation hit four-decade highs, which caused the Federal Reserve to rapidly hike interest rates. Economic growth then slowed so quickly that many business leaders now believe a recession is inevitable.
Just as strategists were split on their views of stocks and the economy in the middle of 2022, there's no clear consensus on what 2023 will bring. Some firms continue to call for a market rebound, while others are betting on another down year as a recession hits.
Insider surveyed 11 top investment firms and found that five see US stocks rising in 2023 from mid-December levels: Deutsche Bank, Oppenheimer, BMO Capital Markets, JPMorgan, and Credit Suisse. Meanwhile, Bank of America and Goldman Sachs think stocks will finish the year flat, while Citigroup, Morgan Stanley, UBS, and Truist believe that more losses are ahead.
The firms had 2023 year-end S&P 500 price outlooks ranging from 4,500 (a 12.5% gain from the current level of about 4,000) to as low as 3,400 (a 15% loss). Below is the S&P 500 forecast, stock market outlook, and economic outlook from each of these major Wall Street firms, ranked from highest S&P 500 price target to lowest.
S&P 500 forecast: 4,500 (12.5% gain)
Stock market outlook: No major investment firm is more bullish heading into 2023 than Deutsche Bank โ and perhaps no firm sees US stocks going on such a wild ride.
Deutsche Bank envisions the S&P 500 hitting its year-end target of 4,500 in the first quarter as interest rate volatility falls, and hovering around those levels in the second quarter, even as concerns about a recession mount.
The firm then sees an economic contraction in the second half of the year that causes the index to plummet to 3,250 as elevated valuations and earnings both decline, before the market erases those third-quarter losses entirely by rebounding back up to 4,500 in the last three months of the year.
Economic outlook: A mild recession in the back half of the year is likely but not guaranteed, according to Deutsche Bank, though it's also possible that the downturn stretches into 2024.
An economic contraction would lead to a pullback in spending on goods and housing-related products, which would hit corporate earnings and US stocks especially hard, wrote Bankim Chadha, the chief US equity & global strategist at Deutsche Bank, in a note about his outlook.
Several leading economic indicators, including those for consumers and the housing market, are "flashing red," according to the firm, which is consistent with past recessions. However, the labor market remains remarkably strong, with the exception of continuing jobless claims.
S&P 500 forecast: 4,400 (10% gain)
Stock market outlook: Oppenheimer is among the most optimistic of the 11 firms that Insider surveyed, even though the firm isn't expecting earnings growth next year.
The firm believes stocks will be buoyed by lower inflation, a resilient domestic economy, and a Chinese economic revival that helps global trade get back to normal. Oppenheimer also sees prevalent bearish sentiment and cheaper valuations as contrarian reasons to be constructive.
However, there are also several reasons to be cautious, according to Oppenheimer, including a weaker-than-expected economy that requires more stimulus, stubborn inflation, a monetary policy error, and the potential for even more serious geopolitical conflicts with Russia and China.
"We're certainly not out of the woods yet, particularly in a technical aspect," said John Stoltzfus, the chief market strategist at Oppenheimer, in an interview with Insider.
Economic outlook: It's still possible for the US to avoid a recession, Stoltzfus told Insider.
Inflation is finally falling, which suggests that the Federal Reserve's interest rate hikes are working, Stoltzfus said, though he believes excess stimulus from the Federal Reserve and Congress caused the issue in the first place. Regardless, continued progress on the inflation front means that a dovish policy pivot could come later in the year.
"Our expectations would be: the gloom and doom crowd is going to be disappointed next year," Stoltzfus said.
S&P 500 forecast: 4,300 (7.5% gain)
Stock market outlook: A multi-year recovery for US stocks will get off to a slow start in 2023, according to BMO Capital Markets. The firm sees limited-to-no upside from current levels for the S&P 500, and chief investment strategist Brian Belski didn't rule out the possibility of the index retesting its mid-October lows as earnings and the economy fall under heavy pressure.
In fact, Belski is predicting a 5% decline for corporate earnings next year, with any gains likely coming from multiple expansion as bond yields and interest rates retreat. And if investors aren't willing to pay an above-average multiple as earnings disappoint, Belski said the index could drop nearly 12% to end the year at 3,600.
But Belski shouldn't be mistaken for a bear just months after being Wall Street's biggest bull. In fact, he sees an outside chance that the index marches toward new highs by the end of 2023 if the Federal Reserve's policy response is perfect and inflation falls faster than anticipated.
Economic outlook: Heading into the new year, Belski believes the US economy is on thin ice.
"It is almost inevitable the US will enter a recession at some point during 2023," Belski wrote in a note detailing his 2023 outlook.
However, any downturn would be mild since the labor market and consumer balance sheets remain robust. And in his bull case for stocks, the US can avoid a recession entirely.
S&P 500 forecast: 4,200 (5% gain)
Stock market outlook: JPMorgan expects another rollercoaster year for stocks as both Europe and the US enter recessions. The firm, which was tied for the most bullish on the Street five months ago, sees the S&P 500 eking out a slight gain by year's end โ but not without turmoil.
"While there is significant uncertainty on the timing and severity of this downturn, we think that financial markets may react sooner and more violently than the economy itself," wrote Marko Kolanovic, the chief global markets strategist at JPMorgan, in a note about his 2023 outlook.
Kolanovic warned that the S&P 500 is set to retest its Fall low of around 3,600 in the first quarter as earnings plunge and high interest rates cause earnings multiples to contract even further.
But JPMorgan expects US stocks to spring higher in the second half of the year as interest rates get cut and investors begin to focus on improving fundamentals for markets and the economy.
Economic outlook: Recessions are highly likely next year, according to JPMorgan. Kolanovic and company think that Europe will officially enter a downturn early in the year and that the US will follow as economic activity stalls thanks to oppressively high interest rates.
Lower rates will be the catalyst for the recovery, but a dovish pivot from central banks won't come without first having softer economic conditions, a higher unemployment rate, and โ most crucially โ a continued decline in inflation, Kolanovic wrote.
Stock market outlook: Stocks will struggle to log even modest gains for at least the first six months of 2023, according to Credit Suisse. Interest rates will be investors' main focus, and while high rates will limit returns, if rates peak or fall they could bolster returns.
Slowing growth will put near-record-high profit margins under pressure, as will higher energy prices, wages, and financing costs, according to the firm. Those headwinds will translate to a 3% to 4% year-over-year decline in S&P 500 earnings next year, wrote Jonathan Golub, the chief US equity strategist at Credit Suisse, in a December note.
Economic outlook: Global growth of just 1.6% will be unusually weak as interest rates stay high throughout the year, according to Credit Suisse. The firm doesn't see rate cuts coming for any of the major economies even as Europe and the United Kingdom suffer from recessions, while China will undergo a growth recession as its economy grows by just 4.5%.
However, Credit Suisse thinks the US will manage to narrowly avoid an economic downturn. That thesis is predicated on core inflation slowing from sky-high levels to 3% year-over-year by the end of 2023, leading the Federal Reserve to stop lifting rates at the 4.75% to 5% mark. While the firm sees the US economy growing 0.8%, it places the odds of a contraction above 40%.
If the US can avoid a recession, the firm thinks a global recovery could start in mid-2023.
S&P 500 forecast: 4,000 (flat)
Stock market outlook: Bank of America's base case for the S&P 500 is in the middle of the pack, which isn't as grim as its downside target of 3,000 and "sell rallies" messaging implies.
Like many of her peers, Savita Subramanian, Bank of America's head of US equity and quantitative strategy, thinks stocks will bottom in the middle of the year before coming back and ending the year near current levels, though the S&P 500 could hit 4,600 if all goes right.
Although BofA is calling for a recession next year, there are several reasons to be optimistic about stocks, including the fact that many investors are currently bearish, both consumer and corporate balance sheets are healthy, and solid wage growth is offsetting higher costs.
But like other cautious firms, BofA believes that consensus earnings estimates are far too high โ by about 15%, in Subramanian's view. Returns for stocks ahead of downward revisions have historically been "deeply negative," she wrote.
Economic outlook: The economic slowdown that's already underway in the US will morph into a recession in the first quarter of 2023, according to Bank of America, and the firm sees GDP falling 0.4% for the year.
A historically low unemployment rate will rise by 2 percentage points to 5.5% by 2024 amid geopolitical risks and the fastest interest rate hiking cycle in four decades, according to the firm. The silver lining is that tight monetary policy and a weaker economy will bring inflation down to 3.2%.
Though no recessions are painless, Bank of America agrees with its Wall Street counterparts that the coming downturn will be mild and driven by declines in investment and spending instead of a financial crisis or an exogenous shock like COVID-19.
Stock market outlook: Stock returns, earnings, and valuations will be little changed in 2023, according to Goldman Sachs. David Kostin, the chief US equity strategist in Goldman Sachs, wrote in a note about his 2023 outlook that he sees "less pain but also no gain" for investors.
"Zero earnings growth will match zero appreciation in the S&P 500," Kostin wrote.
But while the S&P 500 may have flat returns in 2023, that doesn't mean the index will be stationary. Goldman Sachs' three-month S&P 500 target of 3,600 (10% below current levels) and six-month target of 3,900 (a 3% decline) imply that US stocks will retreat in the near term, though Kostin wrote that the end of the Federal Reserve's rate tightening cycle in May will spark a reversal.
Investors should wait for rates to peak and growth to trough, Kostin wrote, noting that since 1980 the S&P 500 has risen 7% in the three months after 2-year Treasury yields peak.
Economic outlook: The US economy avoids a recession in Goldman's base case, though Kostin wrote that a downturn "remains a distinct risk." If there is a recession, the firm predicted that S&P 500 earnings would plunge by 11% to $200, dragging the index down to 3,150.
In the next 12 months, Goldman Sachs sees just a 35% chance of a recession in the US, which the firm noted is roughly 30 percentage points lower than the consensus. Core inflation will slow from 5% to 3% next year while the unemployment rate should rise by just 0.5 percentage points, the firm forecasted, which will allow the US economy to keep growing at a subpar rate of 1%.
"There are strong reasons to expect positive growth in coming quarters," wrote Jan Hatzius, the chief economist at Goldman Sachs, in a note about his 2023 outlook, adding that improvements in inflation-adjusted income would more than make up for tighter financial conditions.
Outside of the US, growth will be relatively sluggish yet positive at 1.8% next year as Europe slips into a recession and China's economic reopening runs into some issues.
S&P 500 forecast: 3,900 (2.5% loss)
Stock market outlook: Rising interest rates will cause the economy to lose momentum and put lofty earnings expectations under pressure, according to Scott Chronert, Citigroup's head of US equity strategy.
However, Chronert thinks losses may be limited by the fact that earnings multiples have already fallen considerably in the past year and are set to rebound as interest rates peak.
"As we go into 2023, we have to be balanced on what we still think is earnings risk to the market but offset by lessening valuation pressure," Chronert told Insider in an interview.
S&P 500 earnings growth estimates next year have already fallen from 8% to 5% but still stand above the 3% mark that Chronert is calling for. Still, the strategy head thinks earnings will be relatively resilient, given the shaky state of the economy. He believes there's a 20% chance of a soft landing, a 60% chance of a mild recession next year, and a 20% chance of severe downturn.
Economic outlook: Expect global growth to fall from about 3% in 2022 to below 2% next year as "rolling recessions" roil countries across the world, according to Nathan Sheets, Citigroup's global chief economist. If not for China, global growth would likely be less than 1%, he added.
Europe and the United Kingdom will enter recessions by the end of 2022, in Sheets' view. He sees the US following suit in the second half of 2023 as interest rates climb to even more restrictive levels.
"As we survey the prospects for the global economy, we see many reasons for concern, including continued challenges from the pandemic and the Russia-Ukraine war, high inflation, and headwinds from central bank rate hikes," Sheets wrote in an emailed statement to Insider.
But Sheets also has reasons for optimism. He thinks inflation will gradually decline next year despite remaining high, while Citi expects most of next year's recessions will be somewhat mild and start to fade by early 2024.
Stock market outlook: Mike Wilson, the chief US equity strategist at Morgan Stanley and a prominent bear, is still cautious heading into 2023 since the bear market likely isn't over yet, though he's not nearly as downbeat on stocks as he once was.
"After a 12-month period when being stubbornly bearish paid off handsomely, we think we will now enter the final stages of the bear market where two-way risk must be respected," Wilson wrote in a note detailing his 2023 outlook.
In Wilson's base case, the S&P 500 will end the year close to current levels, though he expects plenty of volatility along the way. The index will bottom out in the first quarter between 3,000 and 3,300 before an improving outlook kicks off a feverish year-end rally.
"If one were to take our S&P bear/base/bull targets (3,500/3,900/4,200) at face value, they might say it looks like we are expecting a generally boring year," Wilson wrote. "However, nothing could be further from the truth."
Economic outlook: Unlike almost all of its Wall Street peers, Morgan Stanley still isn't calling for an economic downturn in 2023, even though it's banking on an earnings recession.
Ellen Zentner, the chief US economist at Morgan Stanley, predicted in a note about her 2023 outlook that "the US economy just skirts recession in 2023, but the landing doesn't feel so soft as job growth slows meaningfully and the unemployment rate continues to rise." However, she added that risks are "skewed to the downside" as interest rates stay uncomfortably high.
Inflation has hit a turning point and will continue to fall toward the Federal Reserve's 2% target, but tight monetary policy will carry over into 2023 and last for almost the whole year, Zentner wrote, which will have lasting effects into 2024. Morgan Stanley doesn't see the US achieving 1.5% growth until the back half of 2024 when the Fed makes monetary policy neutral again.
Stock market outlook: UBS is as pessimistic about stocks as its Street-low year-end S&P 500 target would suggest. Keith Parker, the firm's head of US equity strategy, thinks that the index will fall below its 2022 lows and hit 3,200 in the second quarter of next year before rebounding.
Although receding inflation and less-stringent financial conditions will be tailwinds for equities, sustained gains will be hard to come by as earnings wilt 11% in a recession, according to UBS.
"History shows that growth and earnings continue to deteriorate into market troughs before financial conditions ease materially," Parker wrote in a note about his 2023 outlook.
But despite its glass-half-empty view, UBS acknowledges that there's a compelling reason to be bullish: cash levels as a proportion of the market value of stocks and bonds is up 16 percentage points to its highest level since April 2009. All of that money on the sidelines leaves upside risk, though UBS doesn't see it boosting stocks until there's more selling by individual investors.
Economic outlook: Global growth will clock in at 2.1% in 2023, according to UBS, which would be the weakest since 1993, excluding the financial crisis and the pandemic.
Economies around the world, including the US, will slip into recessions as the impact of higher interest rates from central banks materializes. The US is bound for near-zero growth in both 2023 and 2024, according to the firm, which is about 1 percentage point below the consensus.
"We think the US expansion is headed for a hard landing," wrote Jonathan Pingle, the chief US economist at UBS, in a note about his 2023 outlook, adding that a soft landing is now an "upside risk" as household spending weakens while savings run down and home prices continue to slide.
Inflation will fall faster than expected, but a 2 percentage point jump in the unemployment rate and negative GDP won't be enough to keep the US from its second recession in four years.
S&P 500 forecast: A range of 3,400 (a 15% loss) t0 4,300 (a 7.5% gain)
Stock market outlook: A murky near-term outlook for corporate earnings and the economy will keep the S&P 500 range-bound between 3,400 to 4,300 in 2023, according to Truist.
While stock valuations have gotten more reasonable in the past year, they're still "far from compelling," in the words of Keith Lerner, Truist's co-chief investment officer. That means stocks' risk-reward proposition is still unfavorable, Lerner wrote in a note about his firm's 2023 outlook.
"Even with this reset we've seen in the market over the last year, you're not being compensated to take on undue risk," Lerner told Insider in an interview.
Earnings have come under pressure this year as interest rates and yields shot up, and Lerner fears they may miss optimistic expectations outright in 2023 as the economy loses steam.
Economic outlook: The US economy is stronger than most of its overseas counterparts, but that won't save it from a recession in 2023, in Lerner's view, though that's not a cause for panic.
"The knee-jerk reaction is: if we have a recession, it's going to be short and shallow," Lerner said.
A still-robust labor market and excess consumer savings should limit long-term damage, but a rapid tightening of financial conditions in response to rampant inflation will be too much for the economy to overcome, according to Truist. But Europe is in worse shape as the Russia-Ukraine war continues to rage on, Lerner said.
"We expect next year will be the worst year for global growth since the 1980s, aside from the global financial crisis and COVID years," Lerner wrote. | 2022-12-15T10:57:55Z | www.businessinsider.com | 2023 Outlook: Stock Market, Recession Predictions From Wall Street | https://www.businessinsider.com/2023-outlook-stock-market-investing-forecast-economy-recession-wall-street-2022-12 | https://www.businessinsider.com/2023-outlook-stock-market-investing-forecast-economy-recession-wall-street-2022-12 |
Twitter blocked a series of accounts that tracked celebrities' private jets, including Musk's.
Around the same time, Twitter updated its privacy policies to prohibit most live-location sharing.
Hours later, Musk posted a video showing the license plate of what he called a "crazy stalker."
Twitter owner Elon Musk suspended a hoard of accounts run by a private-jet tracker for sharing public information about the whereabouts of both him and other public figures.
But hours later, Musk himself tweeted a video showing the license plate of an alleged "crazy stalker."
Twitter's rules, released this month, prohibit users from posting people's private information "without their express authorization and permission." The rules prohibit the sharing of home addresses, live locations, and phone numbers, but don't directly refer to license plates so it's unclear whether Musk breached the policy.
After taking ownership of Twitter in late October, Musk was quick to shake up the platform's content-moderation policies. A proponent of free speech, Musk celebrated his purchase of the site by tweeting that comedy was now "legal," but was soon mocked after he suspended a series of accounts impersonating celebrities including him.
Musk has allowed some controversial users back onto Twitter, including former president Donald Trump and satire publication The Babylon Bee. He's also rolled out sweeping changes to Twitter's verification system, allowing users to buy blue ticks, which were previously only given to users the site deemed "authentic, notable, and active."
For months, 20-year-old Twitter user Jack Sweeney has been sharing publicly available data on Twitter about the movements of private jets belonging to public figures including Musk, Trump, Meta CEO Mark Zuckerberg, singer Taylor Swift, and reality star Kim Kardashian. Musk said in early November that even though this was "a direct personal safety risk," he wouldn't suspend the account tracking his jet because of his "commitment to free speech."
But Sweeney's account @elonjet was suspended with a note saying that it had violated Twitter's rules. Sweeney announced the suspension on Wednesday, saying it had occurred the night before. The account was then temporarily un-suspended before being suspended again. Sweeney told Insider that his personal account had also been suspended, as well as his more than 30 other accounts tracking celebrities' jets.
At around the same time, Twitter announced that it had updated its privacy policies "to prohibit sharing someone else's live location in most cases," saying that it would remove tweets and suspend accounts dedicated to sharing people's live location.
"Any account doxxing real-time location info of anyone will be suspended, as it is a physical safety violation," Musk tweeted on Wednesday. "This includes posting links to sites with real-time location info."
Some Twitter users have accused Musk of changing Twitter's terms to target Sweeney's account. A community note was added to Musk's tweet about Sweeney's jet from early November, saying that the account was banned and that it had used publicly available data.
โElon Musk (@elonmusk) November 7, 2022
In a follow-up tweet on Wednesday about the location-sharing policies, Musk claimed that a "crazy stalker" had been following a car carrying his 19-month-old son and climbed onto its hood. Hours later, Musk posted a video that he claimed showed the "stalker" and included the driver's license plate.
Sweeney told Insider that he planned to continue sharing the whereabouts of Musk's jet on other platforms, including Instagram, Discord, and Mastodon. Sweeney posted on Instagram on Wednesday afternoon that Musk's jet had flown from Los Angeles to Austin the night before. | 2022-12-15T13:34:30Z | www.businessinsider.com | Musk Posted a Person's License Plate After Suspending Jet Tracker | https://www.businessinsider.com/elon-musk-twitter-suspended-jet-tracker-posted-stalkers-license-plate-2022-12 | https://www.businessinsider.com/elon-musk-twitter-suspended-jet-tracker-posted-stalkers-license-plate-2022-12 |
Read the 9-page pitch deck that July, a 'talent manager in your pocket' for creators, used to raise $2.3 million from investors like Alexis Ohanian
Wells Douraghy.
July is a creator economy startup with a mission to simplify the brand deal process.
It just announced a $2.3 million pre-seed fundraising round led by Seven Seven Six.
Here's the pitch deck it used to get in front of investors as VC funding in the space cools.
Wells Douraghy, a 23-year-old CEO, isn't a stranger to creators.
"My friends and the people that I've been working with now for the past four years have been creators," Douraghy โ who also considers himself a content creator โ told Insider. "Hands down, the biggest problem that we have all run into was how can we effectively source and manage brand deals?"
Brand deals are a crucial revenue stream for creators, who often balance multiple incomes at once.
But the process of navigating brand deals and the plethora of tools to keep everything in order can be an "absolute nightmare," Douraghy said.
That's why Douraghy founded July, a new creator economy startup that helps influencers manage their own brand deals.
"July operates as a manager and simplifies that process by consolidating those tools into one place where creators can quickly and effectively manage their business s no matter what size or stage they're at," Douraghy said.
July launched to the public in November after testing for several months. Over the past year, Douraghy has been documenting how he's been building and growing the company on social media. Currently, the startup has four full-time staffers and just announced its first round of funding.
Led by Alexis Ohanian's Seven Seven Six fund, July raised a $2.3 million pre-seed round with participation from Genius Ventures, Z Fellows, and several angel investors.
"It's essentially a talent manager in your pocket," Ohanian said of July in a written statement.
The fundraising environment for creator economy startups isn't as ablaze as it was a year ago, however. This past year, many creator economy startups have either cut costs, slowed hiring, or laid off employees as a potential recession looms.
"It's definitely an interesting time to raise," Douraghy said. July closed its pre-seed round at the end of the summer, Douraghy added, "while the iron was hot."
Still, it wasn't easy. Douraghy said he was told by some investors that they'd "already made bets in the space," were "waiting to see how things turn out," or that they couldn't "get involved in another creator economy startup."
"That was difficult to hear," he said. But the tough landscape was also an opportunity. Douraghy said he felt that raising (and growing) during this time was "assuring that what we're working on is actually a viable solution."
Check out the 9-page pitch deck July used to raise its pre-seed round:
July starts the deck with an open-ended description of what the startup does.
When July got its first users testing its product during the spring of 2022, Douraghy began setting up initial calls with potential investors. That's where the pitch deck comes in.
"The deck was really a means to an end," he said. "It was to get in the door."
The deck then jumps into identifying a problem July is going to solve.
"Brand deals are the largest revenue source for creators, but are time-consuming and complex to manage," the slide says.
July illustrates a timeline of the brand deal process, starting with reaching out to a brand and ending with waiting for payment.
July says creators are "overwhelmed and underpaid."
"Existing solutions leave creators overwhelmed and underpaid," July says in the slide.
The slide then identifies other brand-deal management options out there, such as self-managing brand deals, enrolling in a marketplace, or hiring an actual talent manager.
July demonstrates its product with screenshots of how it works.
Creators can use July to organize the various steps and phases of brand partnerships, such as outlining the deliverables of a project or categorizing deals.
The deck demonstrates more examples of how July works on the creator's end.
The deck keeps it simple with product visuals and few words.
Then July breaks down how it will use funding to grow.
July plans to use the funds to hire more staffers, build out its sales and customer service strategy, and develop more tools to help creators navigate legal and financial hurdles.
July concludes with visualizing the growth trajectory of influencer marketing spend.
"The time is now โ creator economy growth is accelerating the brand deal market size," the slide says.
The estimated influencer-marketing spend on brand deals for 2022 was projected to reach $16.4 billion, according to Influencer Marketing Hub data.
July's investor deck ends with its slogan and website.
Features Creator economy Startup | 2022-12-15T13:34:36Z | www.businessinsider.com | Pitch Deck That July Creator Economy Startup Used to Raise $2.3M | https://www.businessinsider.com/pitch-deck-creator-economy-startup-july-raise-2-million-ohanian-2022-12 | https://www.businessinsider.com/pitch-deck-creator-economy-startup-july-raise-2-million-ohanian-2022-12 |
Twitter is predicted to lose over 32 million users in the next two years after Elon Musk's takeover, data from Insider Intelligence showed.
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It's almost Friday! Dan DeFrancesco in NYC here. I'm still laughing at more photos I'm finding from the Comedy Wildlife Photography Awards (which is a real thing).
Today we've got stories on a group of influencers being charged with organizing a pump-and-dump scheme, where the Google cofounders $438 million in donations went, and what it's like to fly on Blade's semi-private jet service.
But first, let's see what the youngsters think.
Tayfun Coskun/Anadolu Agency via Getty Images; Nicolas Economou/NurPhoto via Getty Images; Samantha Lee/Insider
1. How are the kids?
Junior bankers hold an interesting position on Wall Street. While these young investment bankers are often the butt of the joke โ something something Murray Hill something something Patagonia vests โ they also represent a key piece of the dealmaking machine.
Don't believe me? Ask any MD if they can spin up a financial model for a deal, navigate an Excel sheet, or create a pitch deck. You'll likely get a blank stare.
That's not to minimize executives roles โ the clients aren't going to take themselves out to dinner โ it's more so to demonstrate that while junior bankers might sit at the bottom of the totem pole, the work they do (however menial) is still important for deals to get done.
That's why I always find surveys of junior bankers so fascinating. Insider's Emmalyse Brownstein wrote about a recent poll of more than 2,500 first-year investment banking analysts across 50-plus firms.
Emmalyse examined 10 different slides from the poll, which was conducted by recruiting firm Odyssey Search Partners, that show what junior bankers like, and don't like, about their jobs.
A wide range of topics were covered, from return-to-office policies to how much sleep they're getting to what will be most important to them in their next job.
One of the more telling notes from the story was analysts' increased interest in heading to a venture-capital firm.
While private equity remains the favored landing space of analysts, the past two years have seen more young bankers flag VCs as another place they'd want to work after their analyst program ends.
Click here to learn more about what junior bankers love, and hate, about their jobs.
2. Stop. Taking. Investment. Advice. From. Influencers. The SEC charged eight social media influencers in what amounted to a $100 million pump-and-dump-scheme. It's just another example of why you shouldn't follow financial advice from someone who uses emojis to tout their returns. Read more about the charges here.
3. A former professional rugby player started this fintech focused on making payments between companies more cost efficient. London-based BondAval, which works with companies like Shell and BP, raised $15 million in Series A funding. Check out the pitch deck it used to raise the round.
4. Being vegan is not a Get Out of Jail Free card. A Bahamian judge reportedly denied FTX founder Sam Bankman-Fried's request to be released on bail due to his vegan diet. Instead, SBF will be housed in a Bahamian prison notorious for having some of the harshest conditions in the world. More on how overcrowded and unsanitary Fox Hill is.
5. Where does one donate $438 million? Insider's deep-dive profile on what Google cofounders Larry Page and Sergey Brin are up to these days, which you can read here, also unveiled the charities their foundations have donated to. Here's where all that money went.
6. How to put some funding in your cart. Some of the most active VC investors in the e-commerce space, which had a rocky 2022, shared thoughts on where they are placing their bets next year. Here's what 12 VCs are looking for in e-commerce.
7. The shining stars of adtech in 2022. Thanks to dozens of nominations, original reporting, and conversations with industry experts, Insider identified the hottest companies in advertising technology. Here's our list of the 12 that stood out.
8. If you can do any of this stuff, you can get hired as a freelancer. We mapped out the 7 top trending searches on Fiverr, the popular online marketplace for freelancers. See if any of your skills are in demand.
9. Here's what it's like to fly on Blade's semi-private jet from New York to Miami. For $2,750 for a one-way ticket, it won't be cheap, but there are plenty of benefits. Check out what the good life is like.
10. The do's and dont's of the barber shop. Two barbers told us the 8 rules all customers should follow. Read this so you won't look like a fool next time you get a cut. | 2022-12-15T13:34:54Z | www.businessinsider.com | First-Year Investment Banking Analysts Share Thoughts on Job | https://www.businessinsider.com/what-its-like-working-in-investment-banking-first-year-analyst-2022-12 | https://www.businessinsider.com/what-its-like-working-in-investment-banking-first-year-analyst-2022-12 |
Jordan Belfort, and Sam Bankman-Fried being arrested in the Bahamas on Monday.
Rob Kim/Getty Images; REUTERS/Dante Carrer
Jordan Belfort, the ex-trader dubbed the "Wolf of Wall Street," says Sam Bankman-Fried should "shut up."
Speaking to Fox News, Belfort said that Bankman-Fried has "diarrhea of the mouth."
Bankman-Fried gave numerous interviews after FTX's collapse, despite his lawyers saying he shouldn't.
Jordan Belfort โ better known as The Wolf of Wall Street โ didn't hold back with his criticism of Sam Bankman-Fried during a Fox News interview about the collapse of FTX.
"First of all, he's gotta shut up," Belfort said. "This guy has got diarrhea of the mouth."
Up until his arrest Monday, Bankman-Fried had done several interviews with journalists in the aftermath of the collapse, despite saying his lawyers had told him not to talk.
The Fox News commentator Jesse Watters had asked Belfort if he had any advice for Bankman-Fried to "stay out of trouble in prison." Bankman-Fried faces eight criminal charges including fraud and money laundering.
Belfort also spoke about his own conviction, having been imprisoned in 1999 for 22 months after running a stock market manipulation scheme.
He suggested Bankman-Fried would get "50 years, or something pretty serious like that."
On Tuesday, federal prosecutors charged the FTX founder with eight counts, which include wire fraud, money laundering, and conspiracy to defraud the US. They carry a maximum combined sentence of 115 years.
His lawyers argued for $250,000 bail because Bankman-Fried kept to a vegan diet, and took multiple medications such as Adderall.
"The vegan diet, or lack thereof, is the least of his problems," Belfort said. "It is not fun there, just locked up 23 hours a day, until he ultimately gets sentenced."
Watters and Belfort also discussed how FTX may have gotten away with fraud for so long, with the latter explaining that it's impossible to know "unless you can look inside their books."
However, he also added: "The people that actually did due diligence, they actually should have their heads examined."
"If I would have walked into this place and taken one look around, it would have taken me five seconds flat to say there is something amiss here."
Referencing reports that FTX executives were roommates who dated each other, Belfort said: "It's more like a frat house than a business." | 2022-12-15T14:00:37Z | www.businessinsider.com | Jordan Belfort Says Sam Bankman-Fried Needs to 'Shut up' | https://www.businessinsider.com/jordan-belfort-says-sam-bankman-fried-needs-to-shut-up-2022-12 | https://www.businessinsider.com/jordan-belfort-says-sam-bankman-fried-needs-to-shut-up-2022-12 |
Madison Hoff and Jacob Zinkula
Tatiana Buzmakova/Getty Images
A record number of Americans did freelance work in 2022, per an Upwork report.
Young Americans led the way โ over 40% of Gen Z workers and almost 50% of millennial workers freelanced.
Extra income and job flexibility were among the key factors pushing Americans to freelance.
A record number of Americans are opting for something other than the traditional 9-to-5 office job.
That's according to new survey results from freelance job and talent search site Upwork, which said a record 60 million Americans freelanced in 2022. The Freelance Forward survey was conducted from September 21, 2022 to October 7, 2022 and included 3,000 US working adults โ including 1,000 freelancers.
Thirty-nine percent, a survey high, of the total US workforce freelanced over the past year in 2022, including those who freelanced full time or part time. That's up from 36% in both 2021 and 2020. The shares were 34% almost a decade earlier in both 2014 and 2015.
The record share this year signals more Americans are turning to freelance work amid continued employer struggles to find workers. While sky-high inflation has led some workers to freelance to earn additional income, some are doing it full-time, and have found it to have a lot of benefits.
"The share of freelancers has been increasing because people more now than ever want to have choice and control over what they do and how they work and when they work and really over their quality of life," Margaret Lilani, vice president of talent solutions at Upwork, told Insider.
Lilani said one perk of freelancing is having control of work โ something that may not be true for all non-freelancing work.
"People can have control over what they do, when they do it, where they do it," Lilani said.
Younger Americans are interested in influencer content while older workers want flexibility and retirement options
Young Americans in particular are gravitating to this style of work. According to the survey, 43% of Gen Z workers and 46% of millennial workers performed freelance work in 2022, compared to 35% of Gen X workers who said the same. The share is even smaller for working Boomers, at 27%.
Per Upwork, one reason behind the higher shares for younger generations relative to older generations is because of the growth in influencer work. About a quarter, 23%, of freelancers create influencer-style content, with 27% of Gen Z saying this.
"They've grown up with the internet and they've grown up with social media," Lilani said about Gen Zers. "They have access to career paths and opportunities that exist outside of that traditional corporate world because of where they are. We see young professionals jumping right into freelance careers."
Outside of just freelance work, a separate McKinsey survey suggests that a higher share of those ages 18 to 24 are doing independent work compared to other employed workers. Fifty-one percent of this age group said this โ with independent work including freelance, contract, temporary, and/or gig work โ compared to 36% of all other ages.
"Young workers are also less likely to have partners and dependents to support, so they may have the flexibility to work multiple jobs or work in independent positions that those with families may avoid," the authors of the McKinsey article wrote.
Older generations may be interested in freelancing because of the flexibility and control it offers.
"Millennials and Gen X seem to be freelancing more for autonomy and flexibility," Lilani said. "So instead of being forced into offices and having that rigid 9-to-5, these groups value remote work and autonomy."
Older workers may also want to freelance as they head into retirement, according to Lilani.
"Some are gonna be freelancing in order to supplement their expenses until they reach 65 and others freelance in retirement because they wanna keep working," Lilani said. "They would rather be able to control that and dictate the when, the where, and the for whom they work to keep busy and to keep the earnings coming in as well."
Freelance work varies but about half are doing programming work and other knowledge work
Per the report, most freelancers are not influencers, nor are they the Uber drivers or food delivery workers typically associated with the gig economy. Fifty-one percent of freelancers said they provided knowledge services like computer programming, marketing, and business consulting. Thirty-seven percent said they provide "unskilled" services, while 31% said they sell goods as part of their freelance work.
Some people are freelancing in addition to a more traditional job. Per the report, 17% of US freelancers generate "income from a mix of traditional employment and freelance work."
"What we see with people who do this on the side is they may be investigating something that they're passionate about and exploring that step from corporate into freelance," Lilani said.
But while some have turned to freelancing in recent years because they prefer it over traditional work, the report suggests earning extra income is the primary motivator.
Eighty-three percent of respondents listed earning extra money as a reason for their freelancing, compared to slightly lower levels that listed things like a more flexible work schedule, being in control of their financial future, and being their own boss as reasons they've turned to freelancing.
If the US enters a recession or inflation remains elevated, even more workers might find themselves pursuing freelance work not because they want to, but because they need to.
"We certainly saw some preference-based self-employment over the pandemic," says Aaron Terrazas, chief economist for Glassdoor, previously told Insider. "But as economic conditions get a little bit more difficult, you can certainly imagine it shifting more toward survival strategy."
Economy Upwork Freelancing | 2022-12-15T15:32:11Z | www.businessinsider.com | Upwork: Nearly Half of Gen Z and Millennial Workers Freelanced in 2022 | https://www.businessinsider.com/freelance-work-upwork-gen-z-millennials-2022-12 | https://www.businessinsider.com/freelance-work-upwork-gen-z-millennials-2022-12 |
U.S. Sen. Elizabeth Warren (D-MA).
A new Student Borrower Protection Center report found illegal wage garnishment for student-loan borrowers during the pandemic.
Elizabeth Warren said it showed how the government "failed to protect some of the most vulnerable" borrowers.
The seizure of benefits continued even after Congress prohibited the practice during the pandemic, the report said.
A new report revealed student-loan borrowers weren't entirely protected from debt collection practices during the pandemic โ and it has Massachusetts Sen. Elizabeth Warren concerned.
On Thursday, the Student Borrower Protection Center released a report that found, via a Freedom of Information Act (FOIA) request submitted by advocacy group Student Defense, that the Education Department continued to garnish student-loan borrowers' wages after Congress required the department to cease those collection tactics when the pandemic began in March 2020.
Specifically, while the department's Inspector General reported in June 2021 that borrowers were still having their wages garnished as late as October 23, 2020, the report found the garnishments actually continued at least through August 2021, with "hundreds of borrowers having tens of thousands of dollars illegally removed from their paychecks in the intervening months."
"This alarming report reveals our government failed to protect some of the most vulnerable student loan borrowers from illegal wage garnishments during the COVID-19 pandemic," Warren said in a statement. "The U.S. Department of Education must halt these harmful debt collection practices once and for all and ensure compliance with the law."
Wage garnishment happens when student-loan borrowers falls behind on payments by more than 27o days, considered to be in default. That leaves them subject to not only wage garnishment, but seizure of other federal benefits like the Child Tax Credit and Social Security.
As part of the pause on federal student-loan payments first implemented through the CARES Act in March 2020, borrowers in default would be protected from debt collection during that time period. But despite the law, the report said the Education Department and its contractor, Maximus, didn't have a clear way of stopping seizure of benefits.
While the Inspector General noted in June 2021 that the Education Department had refunded most wage garnishments that had been improperly taken during the pandemic, consumer complaints within the FOIA documents found the refunds did not remedy the financial harm the impacted borrowers suffered.
"They keep calling my job and are still trying to garnish my check," one of the borrower complaints said. "I can barely feed my family and we are about to be homeless. Please make it stop!"
When those borrowers tried calling their student-loan servicer for assistance, they had trouble actually getting in contact with a representative and experienced weeks of delay, the report said โ something many federal borrowers have experienced over the past years.
The Education Department has not commented publicly on this report, but is has announced steps to help borrowers in default. It revealed a "Fresh Start" plan to help defaulted borrowers to return to good standing once repayment resumes, which is now scheduled for June 30, or whenever the lawsuits seeking to block President Joe Biden's broad student-debt relief plan are resolved โ whichever comes first.
Under Secretary of Education James Kvaal also acknowledged in August that "borrowers who default on their loans are people who have been failed by the policies and lagging investments in college affordability. They provide the most compelling evidence that the student loan system needs fundamental change."
But until that change is fully implemented, advocates argue debt collection practices should not resume.
"In the face of a pandemic that resulted in economic chaos for millions of families, borrowers were trapped in a garnishment system that is fundamentally incapable of operating within the lawโand a federal government unwilling and unable to hold it accountable for breakdowns," Persis Yu, deputy executive director and managing counsel at the Student Borrower Protection Center, said in a statement. "If ED can't guarantee that its debt collection tool can comply with consumer protections, it should never turn this machinery on again." | 2022-12-15T16:38:18Z | www.businessinsider.com | 'Vulnerable' Student-Loan Borrowers Had Wages Garnished: Warren, Report | https://www.businessinsider.com/elizabeth-warren-vulnerable-student-loan-borrowers-illegal-wage-garnishment-sbpc-2022-12 | https://www.businessinsider.com/elizabeth-warren-vulnerable-student-loan-borrowers-illegal-wage-garnishment-sbpc-2022-12 |
Apple iPad (10th Generation) review: Apple's entry-level tablet gets a modern facelift for a steep price
The 2022 iPad is and excellent tablet, but the higher price makes it a tough sell.
The 10th-generation iPad is a complete redesign from last year's model.
It has a bigger display, faster processor, a USB-C port, and it's better for video calls.
But it's $120 more expensive than previous entry-level iPads, making it hard to recommend.
There's a lot to like about the 2022 Apple iPad: The larger 10.9-inch display and long-awaited design upgrades, the new color options, the new placement of the front-facing camera, the USB-C port, and support for the new Magic Keyboard Folio that includes a trackpad.
But modernizing the base-model iPad comes at the expense of affordability.
Starting at $450, the 10th-generation iPad is $120 more than the previous model, the ninth-generation iPad, which Apple is still selling for $329. As there's little to suggest that the 10th-generation iPad provides an experience that justifies its $120 price hike, the question becomes whether you're willing to pay more for an updated design, a newer processor, and more color options.
Some people will justify the 10th-gen iPad's $120 premium if its upgrades accommodate their priorities. But for anyone looking for an inexpensive tablet, the ninth-generation iPad is still plenty capable for most people.
The 10th-generation iPad brings much-needed upgrades to Appleโs standard iPad lineup, including a modern design, faster A14 Bionic chip, and a relocated front camera for better video calls. However, its $120 price increase from the ninth-generation iPad makes it difficult to recommend.
Modernized design
Larger screen without increasing overall size
Relocated FaceTime camera
Fun color options
Significant price increase over previous model
Clunky and confusing Apple Pencil support
No more headphone jack
Spendy accessories
The redesign brings the base iPad up to speed with the rest of Apple's modern lineup
The 2022 iPad is a big leap forward in design.
From a design standpoint, the 2022 iPad is a culmination of design elements we've seen on other iPad Pro and Air models. There's no more Home button, and Touch ID has moved to the power button. The display's corners are round, bezels are smaller and uniform around the display, and the edges are flat. Gone is the Lightning port in favor of USB-C charging.
All told, the 10th-generation iPad is nearly indistinguishable from the 2022 iPad Air and iPad Pro models. In hand, the 10th-gen iPad feels identical to the iPad Air, just slightly thicker. Following in the footsteps of the Air, the 10th-gen iPad is also available in new color options, including silver, blue, pink, and yellow.
The 10th-gen iPad has a larger, more vivid display.
While the 10th-gen iPad is about the same size as the previous model in every aspect, it has a larger screen. The display has increased from 10.2 inches to 10.9 inches, which is not a dramatic change (the difference in screen resolution is miniscule), but still impactful. The extra real estate, especially in a familiar device size, is easy to like for everyday tablet tasks, like watching videos, running apps, playing games, or scrolling through the web.
The 10th-gen iPad's modernization also includes dual speakers in landscape mode for stereo audio, which make for a subtly nicer audio experience for watching videos compared to the 9th-gen iPad's mono audio. At the same time, Apple removed the headphone jack. If you're a wired headphone holdout, you'll need to pay up for a USB-C to 3.5mm headphone jack adapter.
The 10th-gen iPad has a USB-C charging port instead of a Lightning port.
The USB-C port means you can charge the 10th-gen iPad with the same charger and cable as USB-C Apple laptops. It's one step closer to parity within Apple's still-fragmented ecosystem โ you still need a Lightning cable for other Apple devices, like iPhones and AirPods.
The inclusion of USB-C allows for fast charging and support for USB-C accessories, but the 10th-gen iPad has slower data transfer speeds than the iPad Air and Pro โ something to consider if you plan on transferring large files to and from the iPad. It shouldn't be an issue for iPad buyers looking for a tablet to watch videos or play games.
A faster processor for all the power you need for apps and games
The 10th-gen iPad is equipped with Apple's A14 Bionic processor, the same as the iPhone 12 series and the 2020 fourth-generation iPad Air. No big surprises here: The 2022 iPad is very fast, with apps and games running smoothly.
The A14 Bionic processor offers a small-yet-typical performance boost over the A13 Bionic processor in the ninth-gen iPad, but don't count that towards the 10th-gen iPad's $120 premium โ iPads have been getting processor upgrades with every new generation without a price hike.
As for battery life, the 10th-gen iPad offers five and a half hours of constant video streaming at maximum brightness, which is consistent with Apple's 10 to 11-inch iPads of late.
No support for the second-generation Apple pencil is painfully baffling
The 10th-gen iPad is only compatible with with the first-gen Apple Pencil, which needs an adapter to charge.
Let's get this out of the way: The 10th-gen iPad doesn't work with the second-generation Apple Pencil. It only supports the first-gen Apple Pencil.
The problem is the 10th-gen iPad has a USB-C port, which means there's no Lightning port to plug the Pencil in for charging. Instead, you now have to connect the Pencil to a $9 USB-C adapter (the adapter comes with any newly purchased first-gen Apple Pencils), plug that to a USB-C cable, and then connect it to the iPad.
If you already own a first-gen Apple Pencil, the only other alternative is to charge it via an iPhone's Lightning port. Needless to say, it's a clunky experience.
It's all doable, but adapters are an inelegant solution that are begging to become lost, especially one as small as the first-gen Apple Pencil adapter. Still, it's actually slightly less clumsy than the original charging design, where the Apple Pencil comically stick out of an iPad.
Ideally, the 10th-gen iPad would support the second-gen Apple Pencil, which charges wirelessly on the edge of the iPad. But one of the 10th-gen iPad's best aspects may have gotten in the way, which I get to below.
A more convenient FaceTime camera makes a big difference
The 10th-gen iPad's FaceTime camera is on the top edge of the iPad, like you'd find on a laptop.
Among the improvements, Apple fixed what has been the most annoying feature in the era of video calls: The front-facing camera has moved from Portrait to Landscape position, meaning the camera is now centered above the screen when using the tablet like a laptop.
This is a huge improvement that makes the 10th-gen iPad a better option for video calls than any other iPad, past or current. You'll now appear to look straight ahead rather than streaming the left side of your face to whoever you're calling.
Apple Pencil users, however, may have the FaceTime camera's new placement to blame for the absence of second-gen Apple Pencil support. The FaceTime camera placement is exactly where the charging magnets for the second-gen Apple Pencil are found on other iPads. Apple may have sacrificed second-gen Apple Pencil support for a better video calling experience.
While the front-facing camera benefits from being relocated, the rear-mounted camera sees a hardware upgrade from eight megapixels to 12 megapixels. Photos are sharper, but let's be honest, the iPad is a backup camera if your iPhone isn't nearby, at best. Still, that extra sharpness is welcome.
The 10th-gen iPad's price is a downer when the ninth-gen iPad is still available for and is just as good.
Despite its positives and the fact that it's an exceptional tablet, the 10th-gen iPad's $450 price tag makes it a hard tablet to recommend when the ninth-gen iPad for $330 is still in the lineup.
And $450 is just the starting price for the 64GB model โ it's $600 for the next 256GB storage upgrade option. Add in accessories: $250 for the Magic Keyboard Folio, a couple of dongles here and there, and the cellular option if you need it, and you have to wonder where the line is for Apple's "entry-level" iPad.
Affordability and value made the ninth-gen iPad a no-brainer for people looking for an inexpensive tablet that "does it all." But the 10th-gen iPad's price, as well as the convoluted Apple Pencil charging experience, is a downer. Apple Pencil users should outright skip the 10th-gen iPad and look at the ninth-gen iPad instead, or the 2022 iPad Air that supports the second-gen Apple Pencil.
To justify its price, the 10th-gen iPad can be seen as a more premium version of the 9th-gen iPad. It's up to you, your budget, and your priorities to say whether its modern design, larger screen, better FaceTime camera placement, and USB-C port are worth the extra $120 over the 9th-gen iPad.
Apple iPad Tablets | 2022-12-15T16:38:20Z | www.businessinsider.com | Apple iPad (10th Gen) Review: All the Right Upgrades, but for a Higher Price | https://www.businessinsider.com/guides/tech/apple-ipad-10th-generation-review | https://www.businessinsider.com/guides/tech/apple-ipad-10th-generation-review |
Jennifer Streaks/Insider
Welcome to Personal Finance Insider, a biweekly newsletter that connects you with the stories, strategies and tips you need to be better with money.
Here's what: Meet Jennifer
Hello! I am Jennifer Streaks, Senior Reporter and Spokesperson for Personal Finance Insider. I have been a financial reporter and personal finance expert for years.
I've covered all financial topics from credit, mortgages, saving and spending, retirement, debt and entrepreneurship, but I'm known for my financial commentary. I have appeared as an on-air personal finance expert on national broadcast and cable networks including Cheddar, CBSN, Fox Business Network, MSNBC, TVOne, and financial talk shows and podcasts throughout the US. I am also the author of "Thrive! ... Affordably: Your Month to Month Guide to Living Your Best Life Without Breaking the Bank."
Over the course of my career, I have learned that people really want financial resources that can help them make the right decisions when it comes to handling their money. Most importantly, these resources should be well thought out and easy to understand.
By bringing my skills and experience to Personal Finance Insider, I am able to help readers make good choices around some of the most important financial decisions in their lives. This is not just a job for me; it's truly my calling.
I have been able to build this platform because I meet people where they are financially and help them increase their financial knowledge over time. I also help people understand that money and finance, from credit and home buying to saving and spending, and even how to prepare for a recession, while not easy, is not impossible.
In this new position, I will cover all things personal finance โ I started with credit and what not to buy during a recession โ with the goal of helping our audience with all of their questions and letting them know that Personal Finance Insider can be their go-to source for all of their money needs.
Learning how to handle your money is a skill that will follow you for the rest of your life.
You can follow me on Twitter @jstreaks, connect with me on Linkedin and contact me at jstreaks@insider.com for any of your personal finance needs.
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Personal Finance Insider Newsletter PFI Newsletter | 2022-12-15T16:38:22Z | www.businessinsider.com | Jennifer Is Here to Help With All Things Money | https://www.businessinsider.com/personal-finance/meet-jennifer-streaks-money-expert-2022-12 | https://www.businessinsider.com/personal-finance/meet-jennifer-streaks-money-expert-2022-12 |
TikTokers are increasingly using SEO to boost their reach on the app, which Gen Zers prefer over Google to search. Here are 3 techniques theyโre using to make their videos more discoverable.
From left to right: Abigail Akinyemi and Youssef Hasweh.
In September, research found that more Gen Zers use TikTok to access information compared to Google.
Some TikTokers have since started prioritizing SEO when planning their content.
Here are three techniques they're using to ensure their content is more visible to users on the app.
When 19-year-old Nadja Marrero first started posting on TikTok in August 2021, search-engine optimization, commonly known as SEO, wasn't on her radar at all. She understood what it was, but didn't think about it in relation to the app and how she could make her skincare-and-beauty-focused content more discoverable for users.
That changed in September when the New York Times reported on how TikTok is the new search engine for Gen Zers. The report showed that more young people are using the Chinese-owned social-media platform instead of leading search engine Google to access information, mainly because the platform personalizes what videos a user is shown based on what they're interested in.
The publication cited Google executive Prabhakar Raghavan, who said in July at Fortune's Brainstorm Tech conference that his company's research found roughly 40% of young people turn to TikTok or Instagram instead of Google Maps or Search when looking for a place to eat.
Gen Zers are also using TikTok to find recommendations for vacation spots, activities in their area, and to learn about concepts like non-fungible tokens or artificial intelligence.
Joe Gagliese, CEO and cofounder of the influencer marketing and technology company Viral Nation, has been urging creators and others in the industry to pay attention to this trend for the past five years.
"Creators need to focus on making content that aligns with their niche's search terms instead of posting what they like if they want to grow their business," he told Insider. "I think a lot of them aren't spending enough time planning their content, and that is what is going to make them stand out."
Creators including Marrero and mental-health TikToker Jorge Alvarez also told Insider that they believed the app had begun favoring videos that were more SEO friendly, based on their discussions with other creators who were struggling to maintain their engagement rates and get their videos in front of more users.
This shift, combined with the news about Gen Zers, has many creators planning and posting content more intentionally. Some of their tactics, like the ones Marrero is using, are already yielding great results.
"I've had a huge boost in engagement in the past two months, and some of my older videos have gone super viral," she told Insider.
Here are three SEO strategies that five TikTokers across the US are implementing to make their content more discoverable, and how the tactics have impacted their income:
Specific hashtags improve discoverability more than general terms
Twenty-year-old education TikToker Youssef Hasweh shifted his content-planning strategy after reading on LinkedIn about the trend of Gen Zers using TikTok to search. When he first started making videos about college admissions and scholarships in April 2020, he filmed content on the fly without thinking too much about how it would perform.
"I've never done that again," the Brooklyn, New York-based creator said. "Now, I write out a script for every single one of my videos and think about the best hashtags and captions I can use so that it's discoverable for as many high schoolers as possible."
He uses the hashtags #highschoolsenior and #classof2023 to improve the ranking of his videos when users search those terms in TikTok's discover page. He also tailors hashtags to the topic of the each video โ if he's talking about a specific university, he'll create a hastag for them. He also always turns his username, @youssefuniversity, into a hashtag, too.
Hasweh said that this has made it easier for current followers to find older videos that he's posted and engage with that content. Prioritizing SEO also boosted Hasweh's engagement rates and helped him earn a spot as one of ten creators in the Buzzfeed News & HuffPost Talent Residency Program.
Twenty-three-year-old Alvarez is also a lot more intentional with his hashtags after he learned about how Gen Zers are using the platform as a search tool.
"Before, I would use any hashtag that was related to any term mentioned in the video or general terms like mental health," he said. "Now, I use more specific keywords to frame the topic I'm discussing, like emotional damage or self-confidence."
He's still experimenting with the best hashtag strategy, but says that his new focus on SEO could help more mental-health organizations discover his work and reach out to discuss paid brand deals or speaking engagements.
"Older videos that I put a lot of work into are still circulating, so it's definitely increasing the visibility of my work," he said.
Turn those auto captions on
Twenty-six-year-old skincare creator Tosin Olaniyi said that when she first started researching SEO, she would go into the search engine in TikTok, type in "skincare," and see the captions and keywords used by the creators whose videos appeared first.
"I would try to put myself in the mind frame of whoever is searching and try to figure out what they would most likely type into the search bar," the Toronto, Canada-based creator said. "For the videos that popped up first, I noticed those influencers turned on auto-captions so I started doing that."
Olaniyi said that this technique in particular has helped her grow a lot faster on TikTok. She said double the number of brands have reached out to her to collaborate since incorporating this technique and the hashtags.
Solo travel creator Abigail Akinyemi used a similar technique to improve her SEO. Since most of her videos are about specific destinations that followers should travel to, the 27-year-old TikToker uses the app's discovery section to type in the name of the country she wants to make a video about, notes the keywords that other creators are using, and mentions those keywords when speaking in her videos. The automatic captioning feature in TikTok picks up on those keywords, and highlights them on the screen.
"Even if the video doesn't do well in the beginning, I know it eventually will because the content is SEO driven and could get picked up months down the line," she said.
Change your handle and bio to reflect your content niche
Marrero said that her videos became drastically more discoverable after she changed her TikTok handle to include what her content was about. Previously, her handle was her first name, but updating it to @h8myfacelovemyskin a few months ago has helped brands looking for skin care influencers find her. She also updated her bio to include the keywords: skincare, makeup, hair, and beauty.
"Brands used to tell me they just randomly found my page, but that's not the case anymore," she said. "One of them said they're always typing in the name of the industry when scouting influencers, so this could really help people get spotted."
Since changing her handle and bio, including hashtags, and turning on auto captions, Marrero said that seven brands have reached out to her for paid brand deals since September, compared to earlier when one brand would reach out every two months. | 2022-12-15T16:38:41Z | www.businessinsider.com | TikTokers Are Using These 3 SEO Strategies to Make Videos More Discoverable | https://www.businessinsider.com/tiktok-seo-strategies-influencers-use-make-videos-more-discoverable-2022-12 | https://www.businessinsider.com/tiktok-seo-strategies-influencers-use-make-videos-more-discoverable-2022-12 |
An ex-Twitter manager said being told to ignore his workers' concerns after Musk joined felt "evil."
Amir Shevat said Twitter failed to communicate with staff about what was going on.
Shevat, who said he looked after 150 staff, told Insider he was laid off with most of his team.
A senior Twitter employee who was laid off said it felt wrong to ignore questions and concerns from his team after Elon Musk acquired the platform.
Amir Shevat, the former head of product for Twitter's developer platform, told Insider on Tuesday that the company's management style changed immediately after Musk took over in late October.
"We got zero communication," Shevat said. "Not only that, we were told as managers not to gather our team and address their questions and concerns. It felt a little evil, I'm sorry to say, and bullish."
Shevat said there were 150 people on his team, but he was told that only two workers remained, post-layoffs. He said he found out he was laid off after he was locked out of Slack and work emails around 1 a.m. on November 4.
In the week between Musk joining and Shevat being laid off, Shevat said he was assigned random tasks that lacked any context.
One day, Twitter told Shevat to "stack rank" his team from top to bottom. When he asked whether this was based on performance, impact, or seniority, the higher-ups told him they didn't know.
Before Musk became the owner of Twitter, Shevat said he knew what was expected of him to be a good leader for his team.
"The Twitter post-Elon was 'sit there and don't do anything' basically, and 'don't talk to your team, don't calm them down, don't do anything'," Shevat said.
According to Shevat, Twitter leaders gave managers such as himself no answers about whether they should continue with the work they were doing. He described the approach as "inhumane."
Twitter's lack of communication seeped through into its layoffs, Shevat said, with many employees not being given notice they were getting fired.
"There wasn't any consideration for people with disabilities, visas, maternity leave and sick leave," said Shevat, who recently created a list of hiring companies for former Twitter staff.
Since being laid off, Shevat said he has filed an arbitration claim against Musk for not following through with the promise of providing severance, which includes pay and benefits for two months. His attorney, Lisa Bloom, told Insider it seemed that Musk cared "very little" about the employees who built Twitter and for those who still work there.
Shevat said it was shocking that his team received no communication and were mostly all fired, despite coming into Musk's Twitter with "an open heart" and being eager to create new features for the platform.
Twitter Trending UK Elon Musk | 2022-12-15T17:04:02Z | www.businessinsider.com | Laid-Off Twitter Manager Says It Felt 'Evil' to Ignore Staff Concerns | https://www.businessinsider.com/laid-off-twitter-manager-felt-evil-staff-questions-elon-musk-2022-12 | https://www.businessinsider.com/laid-off-twitter-manager-felt-evil-staff-questions-elon-musk-2022-12 |
Ad campaigns on Netflix's cheaper ad-supported tier have missed targets and the streamer is letting advertisers take their money back
"Emily in Paris."
Some advertisers' campaigns on Netflix's new ad-supported tier have fallen significantly short of expectations.
The streamer was aggressive in signing on advertisers but didn't market the tier with viewers before launch.
Netflix is letting advertisers take money back and looking to open up more content to ads.
One month into Netflix's launch of a cheaper, ad-supported tier, it's running into some growing pains.
Netflix is letting advertisers take money back after some ad campaigns fell short of their viewer targets, with some delivering around 70% of their estimated targets while others hit as little as half that, according to multiple ad agency execs.
Ideally, campaigns hit 100% of their targets, but wrinkles aren't uncommon with a new product. While Netflix's ad tier is just getting off the ground, the early results are something of a black eye for the service that was highly anticipated by marketers and is a key initiative for Netflix as it tries to expand its subscriber base. Netflix hasn't commented.
Insider Intelligence estimated Netflix would generate over $1 billion in ad revenue by 2024. Netflix estimated the ad tier would have 40 million viewers by late 2023, the Wall Street Journal reported.
Netflix was guaranteed to draw a lot of advertiser interest when it reversed its long-held opposition to taking ads. Anticipating strong advertiser demand for its $7-per-month, ad-supported offering, called Basic with Ads, the streamer initially sought a relatively steep price of up to $65 to reach 1,000 viewers. Some advertisers balked, given Netflix wasn't offering the kinds of targeting they expect from ad platforms and couldn't say how many people would subscribe. Still, at launch, Netflix said it signed on "hundreds" of advertisers, including Tiffany, L'Orรฉal, and Budweiser.
Netflix sought a wide array of advertisers, limited the number of ads per hour, and capped how frequently people would see a given ad to ensure a good viewing experience. It partnered with Microsoft to sell the ads while it built an in-house staff; advertisers who spoke to Insider said Microsoft staff are still handling negotiations.
Despite those steps, the early results have been a sign to advertisers that Netflix was too aggressive in selling ads based on the number of people who have signed up for its cheaper service so far. Netflix didn't do widespread consumer marketing of Basic with Ads ahead of launch.
Netflix is taking steps to assuage advertisers
Netflix is letting advertisers get their money back on unfulfilled campaigns or roll it into future ones, a common industry practice. It has also dropped its initial $65 rate ask to as low as $50, said one agency exec.
The streamer is looking to loosen its strict frequency caps, which are meant to prevent viewers from seeing the same ads over and over, to ensure campaigns reach their intended audience. It's also continuing to open up more shows and movies from its library to ads as it reaches agreements with distributors over licensed content, with the expectation that all content will be open to ads (except kid-aimed programming) by February. (The company recently said 10% of its content is unavailable for ads.)
Netflix is expected to free up more ad inventory by providing a "brand safety" tool that will let advertisers keep their ads away from, say, specific racy or violent scenes in a show rather than avoiding that show altogether, as some do now. And it has told agency sources it expects subscriber count for Basic with Ads to increase 200% in the first quarter of 2023, when it begins to crack down on password sharing, from Q4 2022.
The streamer also said it's planning consumer campaigns to drum up subscribers.
But Netflix still hasn't shared how many subscribers have signed up for Basic with Ads, info advertisers use to assess whether the platform makes sense for them.
For some advertisers that have been testing small levels of spending on Netflix and value the platform for its cachet, the early results are unlikely to change their strategy. For others, it might be enough to give them some pause about advertising on the app while it goes through these growing pains.
Still, ad execs see the stumbles as an indicator of Netflix's rush to put out an ad product in a short time rather than an indictment of the strategy.
"I think they are committed if you're already hearing Ted Sarandos talk about additional advertising tiers," said a second ad exec. Sarandos said at a UBS conference in early December that multiple ad tiers would be available over time. "They need the marketing to drive subscribers."
streaming tv OTT advertising | 2022-12-15T17:04:14Z | www.businessinsider.com | Ads on Netflix Missed Targets; It's Letting Advertisers Take Money Back | https://www.businessinsider.com/netflix-ad-campaigns-missed-targets-advertisers-taking-money-back-2022-12 | https://www.businessinsider.com/netflix-ad-campaigns-missed-targets-advertisers-taking-money-back-2022-12 |
Tubi CEO Farhad Massoudi on how FAST streamers superserve audiences and why Netflix and Disney+ have made the 'desperate' move to launch ad-supported tiers
Tubi CEO Farhad Massoudi.
Nolwen Cifuentes/Insider
Tubi CEO Farhad Massoudi, who is featured on Insider's list of 100 People Transforming Business, is bullish about the FAST player's future.
Tubi, which is owned by Fox, has 51 million monthly active users.
"We're competing with irrational players," Massoudi said of big-spending subscription streamers.
The streaming wars have been unkind to the major players in 2022, with share prices depressed and corporate cost-cutting paring the likes of Netflix and Warner Bros. Discovery. At the Walt Disney Co., the grim economics of streaming even lured CEO Bob Iger out of retirement. But as viewers watch their budgets and consider which paid subscription services to cut, Tubi co-founder and CEO Farhad Massoudi is bullish on the free ad-supported TV space, telling insider he believes the business is poised for growth.
With over 51 million monthly active users, mostly in the US, Fox-owned Tubi is beating all of its internal projections, Massoudi told Insider. The service relies largely on the 45,000-plus shows and movies in its library across over 200 linear and live channels.
On Monday, Tubi announced that it had inked a deal with entertainment company CJ ENM to bolster the streamer's portfolio with more than 75 Korean-language movies and K-dramas.
Tubi has also ramped up its original programming slate this past year, including a TMZ unscripted series and animated films from its sister Fox-owned company Bento Box Entertainment. But the bulk of its content remains licensed programming, which is drawing in new audiences, according to the company.
"It's one thing to license that massive library," Massoudi told Insider in an October interview. "Netflix has about 6,000 or 7,000. But it's another thing to actually drive viewership, which is really what we are good at โ getting engagement for that library of content."
As entertainment media consumption continues to become increasingly fragmented among multiplying networks and streaming platforms, Massoudi believes the fracturing of audiences is a positive trend, serving to amplify more diverse voices and cater to niche audiences.
"To give you an example, we have the best library of horror movies and the best library of documentary movies, which are drastically different users," he said. "We can superserve users in ways mainstream media is not built to serve."
The broader downturn, razor-thin profit margins of streaming, and industry consolidation have spurred paid streamers to tweak their strategy over the past year. Most are now embracing advertising in order to offer a lower-cost tier for viewers. Even Netflix, which once dismissed the idea of an ad-supported option, in November launched a $6.99-a-month tier that includes ads. Disney+ followed in December with its own ad-supported tier. And Warner Bros. Discovery, which sells an ad-free version of HBO Max on the upper end of the price range for $14.99 a month, plans to launch its own FAST offering next year.
"The truth is, most of these streaming services are not and were never a viable business," asserts Massoudi. "They're moving to ad-supported because they're desperate, because their current growth has flattened or slowed down to the point where it doesn't justify the investment, which I've been saying for years โ it's never going to pencil. I mean, the math is very simple. So the struggle for us has been that we're competing with irrational players who are offering their services at a fraction of the cost and really putting their head in the sand. That is coming to an end."
If anything, the paid streamers are headed for "a day of reckoning," in Massoudi's estimation, "and I think some of the changes and some of the mergers we've seen are just the canary in the coal mine โฆ We have a very viable business, and these guys are just batshit crazy."
Streaming Tubi Fox | 2022-12-15T17:04:20Z | www.businessinsider.com | Tubi CEO Farhad Massoudi Talks FAST Streaming Business, Netflix Ads | https://www.businessinsider.com/tubi-ceo-farhad-massoudi-talks-fast-streaming-business-netflix-ads-2022-12 | https://www.businessinsider.com/tubi-ceo-farhad-massoudi-talks-fast-streaming-business-netflix-ads-2022-12 |
Patrick Morrissey, the chief growth officer of HireVue.
HireVue's AI platform has conducted more than 32 million interviews and 5 million assessments.
The company says its new 30-minute assessment measures whether a candidate has an agile mindset.
In an environment where there are more than 10 million job openings โ with nearly two jobs for every applicant โ companies face increasing competition to attract job seekers.
To make the interviewing process more accessible to job candidates and speed up hiring, many are turning to technology, including artificial intelligence.
Companies like Amazon and Unilever are working with the hiring platform HireVue to scale and accelerate hiring. Founded in 2007 in Salt Lake City, HireVue works with companies to conduct video interviews, either live or recorded, any time of day, which works around candidates' schedules. Via AI, job seekers are assessed and scored based on skills like problem-solving and communication.
"The result is that we can improve candidate quality and double the number of interviews and hires a company can make, while cutting the time in half," Patrick Morrissey, the chief growth officer at HireVue, told Insider.
For example, Goldman Sachs worked with HireVue to add 100 schools to its intern-hiring program this year and attract a wider variety of candidates. This approach generated more than 236,000 applications across more than 600 universities and colleges. The financial firm was able to assess candidates more quickly and hired 3,700 interns, about 1.5% of the applications, Morrissey said.
HireVue says the platform boosts consistency and minimizes bias in hiring. But some experts have called the bias-elimination claims misleading.
Still, more than 32 million interviews and 5 million assessments have been conducted via HireVue. About half of these interviews took place outside regular business hours.
Insider spoke with Morrissey about HireVue's continued innovation and assistance in solving hiring challenges for major companies.
How do you continue to adjust your technology to stay innovative and meet clients' needs?
We think about innovation in three dimensions: candidates, customers, and compliance.
A great hiring experience starts with a great candidate experience, so we focus on what helps a person bring the best version of themselves to the interview. We have a whole section on our website focused on helping candidates get ready to shine in a HireVue interview. We have a candidate net promoter score [a measure of customer satisfaction] of 68, and we're always looking at how we can improve because those improvements add value to all of our customers.
Second, we deeply integrate with clients' candidate tracking and HR systems, so we're constantly helping talent teams move faster with higher quality. We push new platform releases weekly and major releases six times per year. This release cadence helps us move as fast as the market demands.
Finally, we set the standard for compliance and ethical best practices. One example is our AI explainability statement, which is designed to educate and provide transparency to stakeholders โ candidates, employers, and the public โ and outline how we follow regulatory best practices and policy compliance.
How do you look for new growth opportunities?
We're always on the lookout for new growth opportunities. We've aligned our science team, including data science, industrial, and organizational-psychology teams, the product management team, and the marketing team together so we can ideate, research, and consistently capture new ideas and data from across disciplines. Being more agile across departments helps us quickly identify and take advantage of new opportunities.
We're also fortunate to do business with almost half of the Fortune 100 companies, so we're constantly getting input from individual customers, our expert advisory board, our customer advisory board, and analysts to help us identify and think through new opportunities for growth.
What new products or technologies do you have in the pipeline?
Faced with resignations, talent shortages, and a looming recession, companies are desperate to identify candidates with a propensity for faster thinking, efficiency, and flexible ways of working.
Our team has designed and launched a new assessment, the Agile Mindset Assessment, that measures the core areas of an agile mindset in just under 30 minutes. The assessment features five interview questions and three games to measure four types of agility: people agility, results agility, mental agility, and change agility.
This new assessment is designed for professional roles and is perfect for identifying candidates for internal mobility. Companies are constantly changing, and there's a position you'll need tomorrow that could be filled by a high performer you already have in your organization.
Enterprise Tech Blueprint HireVue Hiring | 2022-12-15T18:09:27Z | www.businessinsider.com | HireVue Chief Growth Officer Shares How AI Can Speed up the Job Search | https://www.businessinsider.com/hirevue-chief-growth-officer-shares-how-ai-supports-companies-2022-12 | https://www.businessinsider.com/hirevue-chief-growth-officer-shares-how-ai-supports-companies-2022-12 |
Review: The $38,000 Kia Sorento Hybrid 3-row SUV is the affordable, stylish way to stop stressing about gas
The Kia Sorento Hybrid.
The Kia Sorento Hybrid, a traditional hybrid SUV, starts at $36,590 for the 2023 model year.
The Sorento Hybrid doesn't need to be plugged in, has 655 miles of range, and gets 37 mpg combined.
We drove one for a week and loved almost everything about it.
When I first saw the Kia Sorento Hybrid SUV, I didn't expect to love it as much as I do. It looked great, sure, and I could drive it across the state of Texas without needing to stop for fuel. But I didn't see myself getting hung up on a $38,000 hybrid SUV.
The Kia Sorento Hybrid: The perfect middle ground for our electric future
The Sorento is Kia's midsize SUV that comes in both front- and all-wheel drive. It slots in under the Telluride SUV, which has three rows and enough rear cargo space for a few suitcases. The Sorento trades much of that rear cargo space for a third row of its own, but the seats can collapse and make more room in the back.
The Sorento comes in a gas version, which starts at $29,990 for the 2023 model year; a traditional hybrid, which starts at $36,590; and a plug-in hybrid, which starts at $49,890. I got to test-drive a 2022 Sorento with a $445 coat of "Runway Red" paint, a light-gray interior, front-wheel drive, and a traditional hybrid system for a week. It came to $37,820 after the paint charge, a $210 set of carpeted floor mats, and fees.
We're moving into an era of cars with more sustainable power like electricity and hydrogen, and hybrids are the perfect middle ground. They use both gas and electricity, giving drivers more range, reduced emissions, and the ability to quickly fill up on the road instead of sitting at a charging station.
You'll notice the Sorento has two types of hybrid: the traditional one like I had, which charges the battery while you drive, and the more expensive plug-in version that charges at an outlet. The plug-in Sorento offers two major benefits over the traditional: It gets better fuel mileage, and it has 32 miles of electric-only range. That means the average commuter can drive to work with mostly electricity, go home and charge up, then do it again the next day.
Here's how all the powertrains compare on fuel efficiency in combined city-highway driving, according to the EPA:
Kia Sorento (gas only, FWD): 25 to 26 mpg combined
Kia Sorento (gas only, AWD): 24 mpg combined
Kia Sorento Hybrid (FWD): 37 mpg combined
Kia Sorento Hybrid (AWD): 35 mpg combined
Kia Sorento Plug-In Hybrid (AWD only): 79 mpg-e with electricity, 34 mpg without
(The numbers listed above are for the 2022 model year, because the EPA doesn't have all the numbers for 2023 yet.)
What stands out: Everything, really
Whenever I review a car, I make a bunch of notes on my phone. They're usually little things like: "Paint looks green in certain lights???" and "WOW this car feels so big in traffic." I paste those notes in a Google Doc and use them to write a review for you.
I have dozens of notes on the Sorento, and all but two are glowing.
Let's start with the appearance. From the outside, the Sorento looks like an averaged-sized SUV. Inside, it feels so much bigger.
My loaner car had three rows with two captains chairs in the middle, and even without a sunroof, its light-gray interior and high ceilings made it feel spacious and airy. The silver interior accents and simple geometric styling were upscale but not over the top, because the Sorento is middle-class luxury that knows its place.
My husband and I took a four-hour trip in the Sorento as soon as we got it, and it was a breeze. The car has 655 miles of hybrid range and got the EPA estimated 37 mpg combined, meaning we didn't have to worry about gas stations or mileage. We just sat back, turned on the car's driver-assistance systems, and enjoyed the drive.
The Sorento glides over dips, bumps, and imperfections in the road, and it has almost no wind noise, even at 80 mph. The steering wheel and gas pedal are effortlessly light, the brakes are grabby, and everyone inside the car has cup holders, pockets, ample storage space, and insulation from the world and road around them.
The Sorento feels ideal for a four-person family. You can have the parents in the front, two kids in the middle, and the occasional extra passenger in the back. The rear cargo area only holds two carry-on suitcases with the third row up, but when it's folded down โ like it would be with four people โ a whole new world of space opens up.
My favorite part about the Sorento is the context around it. We're in a car market that's obsessed with SUVs โ their size, ride height, and overall vibe โ and because of that, people will pay more for them.
The average price of a new car today is $48,300, and that number continues to climb. It would be so easy to add a hybrid system to the Sorento and hike the price, because its size and fuel mileage are perfect for a modern car buyer.
Instead, the Sorento Hybrid undercuts the market average by more than $10,000.
What falls short: Kia's infotainment system haunts me
I only had two frustrations in the Sorento, and both were with its infotainment system. The first is common in modern cars โ a glossy, touch-based center screen that gets dust, dirt, and nasty fingerprints all over it โ and the second is a Kia problem.
Automakers often carry infotainment systems between car models, and I feel very conflicted about Kia's tech. It's easy to learn and use, but when it connects to phones, it has a mind of its own.
Each time I got in the Sorento, it took six to seven seconds for my phone call to connect. That would be fine, except that my call audio ended up in purgatory for that time โ it wasn't on my phone or the car, so I couldn't hear the person on the other end until it connected. I never understood why the audio didn't just stay on the phone until the last possible second before flipping into the car's audio system, which is what most other vehicles do.
But that wasn't all. Each time I use a Kia infotainment system, it automatically brings up my Apple Music library to play songs. I don't use Apple Music or know how to delete things from it, so the only thing on there is the U2 album that randomly appeared on everyone's iPhones in 2014.
I feel low-level rage every time I see that album cover, mainly because it feels invasive that a band and a phone company can decide to put things on my phone whenever they want. I see the cover almost every time I get into a modern Kia.
This leaves three possible outcomes: Either Kia reprograms its infotainment to stop force-playing my Apple Music library, I google "How to delete that U2 album from my iPhone," or I continue to be haunted by it forever. I know which one I want see happen.
Our impressions: So good, I'm still thinking about it
I spent a week driving around in the Sorento, with no worries about needing to stop for gas or how much it would cost. Instead, I used that time to think about how upscale it felt, especially for a $38,000 SUV in a market where people buy SUVs for the sake of it.
The more I thought about the Sorento, the more I loved it. It's practical, reasonably priced, and knows what it is and who it's for โ and if it's for you, just know you've found a good one.
NOW WATCH: How one couple turned their pickup truck into a DIY camper
Kia Kia Sorento kia sorento hybrid | 2022-12-15T18:09:34Z | www.businessinsider.com | Kia Sorento Hybrid Review: Never Stress About Gas Again | https://www.businessinsider.com/kia-sorento-hybrid-suv-review-2022-12 | https://www.businessinsider.com/kia-sorento-hybrid-suv-review-2022-12 |
Marc Benioff, the cofounder and co-CEO of Salesforce, where managers are identify the bottom 10% of employees.
Tech workers who survived layoffs this year will likely face tougher performance reviews next year.
Salesforce and Meta are asking managers to tag 10% to 15% of people on teams as low performers.
CEOs may see industry-wide turmoil as a chance to "spring clean" workers considered "dead weight."
For Silicon Valley's army of workers still clinging to their jobs, reaching the end of 2022 will feel like a relief after a year that saw 150,000 tech workers laid off. But they might not be out of the woods just yet.
From Meta to Salesforce, tech firms across the board are looking to tighten their belts further in 2023 using a tactic unpopular with workers: stack ranking.
Stack ranking evaluates employee performance by comparing them and deeming a certain percentage of workers as top performers and a certain percent as low performing.
Demanding that managers find a larger percentage of their reports as low performers has already been used by tech firms as part of "quiet layoffs" to cut costs, avoiding the PR pain of large-scale layoffs by managing out people through performance reviews and internal restructuring,
But a tougher labor market for tech workers Silicon Valley CEOs are much more comfortable using stack ranking to put more people into a low-performance bucket, in a reversal of power as management gains the upper hand over labor after years of competing for workers.
CEOs see a chance to 'spring clean'
For Stevie Buckley, the cofounder of Talent Stuff, a hiring platform for tech firms, it's unsurprising to see firms get more aggressive about performance during times of economic turmoil.
"In these scenarios where there's an industry-wide impact in terms of mass redundancies and layoffs, it's pretty standard practice to use that opportunity as almost โ this is a horrific term โ but ultimately a 'spring clean' of your employee roster," he said.
Buckley noted that scenarios like this make it easier for companies to offer increasingly vague notions of what counts as low performance.
Employees who are "proving to be difficult" or "dead weight" among senior management, he said, can be added to that category as "there's question marks over the value you're getting" from those employees.
How Silicon Valley is stacking up workers
In November, Insider reported that the software giant Salesforce had implemented a quota system that gave sales teams "unrealistic goals and difficult accounts," with insiders saying they felt set up for failure.
Salesforce contended in November that its "sales performance process drives accountability," and that could "lead to some leaving the business."
At the start of December, Salesforce managers were reportedly asked to update a ranking of their bottom 10% of employees, despite laying off hundreds of workers last month.
Meta has also put performance front and center. The company told directors to identify 15% of their teams as "needs support" in October, shortly before Meta laid off 11,000 people in November.
Now the company wants to identify more low performers. Last week, Insider reported that the number of people finding themselves in the lowest-performance categories come annual performance reviews in January will roughly double.
Snap, the parent company of Snapchat, also used performance reviews prior to its layoffs. Managers were told to place 10% or more of their staff on performance-improvement plans at the beginning of summer. At the end of August, Snap cut roughly 20% of its full-time workforce.
Even Google's parent company, Alphabet, seen by many as the cushiest company to work for in Big Tech, has signaled it will be stepping up its performance reviews. Under a new system introduced this year, up to 6% of workers could be given a bad performance rating, up from 2% under the previous system.
Buckley said those who remain will likely have to meet higher expectations โ Salesforce teams, for example, have been given higher sales targets.
"If you've made a bunch of people redundant, it can be very common to then raise targets," he said. "That gives you the opportunity to include others into that low-performance category because you've arbitrarily raised the bar in terms of what's expected."
Meta Salesforce Marc Benioff | 2022-12-15T18:10:02Z | www.businessinsider.com | Stack Ranking, Performance Reviews Hit Tech Workers in Tough Lab | https://www.businessinsider.com/stack-ranking-examples-facebook-salesforce-google-2022-12 | https://www.businessinsider.com/stack-ranking-examples-facebook-salesforce-google-2022-12 |
Rep. Virginia Foxx, R-N.C.
Al Drago/CQ Roll Call
Rep. Virginia Foxx criticized Biden's student-debt relief plans on the House floor on Tuesday.
She said his plans to reform income-driven repayment plans would lead to "over-borrowing."
Biden plans to lower monthly payments on income-based plans for implementation in the summer.
A top Republican lawmaker is pleased President Joe Biden's broad student-loan forgiveness plan is held up in court โ but she wants to see his other proposed reforms to the industry struck down, as well.
On Tuesday, Rep. Virginia Foxx โ the top Republican lawmaker on the House education committee โ took to the House floor to criticize not only Biden's plan to forgive up to $20,000 in student debt for federal borrowers, but also his plans to reform targeted loan forgiveness and repayment programs.
"President Biden is turning the federal student loan program into a Titanic heading straight for an iceberg," Foxx said. "The Biden administration's changes to these programs will make a bad system worse."
After Biden announced his broad debt relief at the end of August, a number of conservative lawsuits arose seeking to block the plan, and two of those lawsuits are currently in the hands of the Supreme Court, which will hear arguments to the cases in February. Foxx has expressed support for those lawsuits, and while Biden extended the student-loan payment pause in response to the legal challenges, millions of federal borrowers will not see relief anytime soon.
But Biden's plans to reform income-driven repayment plans by lowering monthly payments for borrowers are not held up in court, and they're scheduled for implementation in the summer. Specifically, the changes would require borrowers to pay no more than 5% their discretionary income monthly on their undergraduate student loans โ down from the current 10% โ which Foxx said is "certainly not the plan Congress wrote and passed."
"These changes will have long term consequences because they create perverse incentives for over-borrowing," she said. "Why would students make smart financial decisions when they know Uncle Joe, or another administration, will pay off their loans?"
There is no indication yet that the reforms would lead to over-borrowing, and following recent reports that found income-driven repayment plans were failing borrowers because of issues with paperwork and tracking payment progress, many Democratic lawmakers and the Biden administration agreed a new plan was warranted.
While Foxx introduced legislation to block Biden from implementing new reforms, including ending the promise of loan forgiveness after at least 20 years of repayment through income-driven repayment plans and capping borrowing for graduate students, Biden's administration is moving ahead with targeted relief as borrowers wait for the Supreme Court to make an ultimate ruling on the broad loan forgiveness. | 2022-12-15T18:10:08Z | www.businessinsider.com | Student-Debt Relief Is 'Titanic Heading Straight for an Iceberg': Foxx | https://www.businessinsider.com/student-loan-debt-relief-titanic-heading-for-iceberg-overborrowing-foxx-2022-12 | https://www.businessinsider.com/student-loan-debt-relief-titanic-heading-for-iceberg-overborrowing-foxx-2022-12 |
Sam Bankman-Fried was arrested Monday in the Bahamas.
A federal indictment against Sam Bankman-Fried leveled multiple charges of fraud and conspiracy.
Prosecutors' next task is extraditing him from the Bahamas to appear at a federal court in New York.
If he pleads guilty or ends up being convicted, a federal judge will ultimately decide the length of any prison sentence.
US prosecutors closed in on Sam Bankman-Fried with astonishing speed, bringing criminal charges against the former FTX chief executive just about a month after the exchange shocked the crypto world by filing for bankruptcy.
And those charges come with potentially big penalties, if he's found guilty: In a sparse indictment unsealed on Tuesday morning, federal prosecutors in Manhattan listed eight criminal counts. Among the charges he's faced with are four counts relating to wire fraud: One count alone carries a statutory maximum of up to 20 years in prison, according to federal guidelines.
In a separate civil complaint on Tuesday, the US Securities and Exchange commission detailed what it called a "brazen, multi-year scheme" at FTX. The agency alleged that Bankman-Fried bilked investors of at least $1.8 billion and risked "billions of dollars" in customer funds.
Mark S. Cohen, an attorney for Bankman-Fried and a partner at the law firm Cohen & Gresser LLP, told Insider in an emailed statement that his client "is reviewing the charges with his legal team and considering all of his legal options."
Prosecutors leveled multiple conspiracy and wire fraud charges, some of which can be fairly straightforward as they don't require elaborate exposition to support, according to legal experts.
"Charges like wire fraud are prosecutors' best friends because they're clean and easy to use, and easy to explain to a jury," said Paul Coggins, a former US Attorney in Dallas who now co-leads the white collar group at the law firm Locke Lord LLP.
The next steps for prosecutors are already likely in motion since Bankman-Fried's arrest in the Bahamas on Monday. US prosecutors will have to extradite him so that he can appear before a federal court in New York for an initial appearance, where he would formally be read his charges and enter a plea. If the extradition goes without delay, that initial hearing could happen soon after he arrives in the US.
At that time, a judge would also determine whether Bankman-Fried could be considered a flight-risk and need to be held in custody until a trial or sentence, or whether to release him temporarily after imposing a bond.
And if Bankman-Fried pleads guilty or ends up being convicted in a trial, a federal judge in New York will ultimately decide on the length of any prison sentence.
That sentence is often a product of guidelines that a pre-sentence investigation department, which works for the court, will assess. Defendants and prosecutors can both raise any objections to that assessment, with the judge ruling on any disagreements.
It is too soon to tell what, if any, charges Bankman-Fried would be convicted on. But federal criminal statutes prescribe these maximum prison penalties for the following counts:
Four counts relating to wire fraud: Maximum sentence for each count is 20 years in prison.
One count relating to money laundering: Maximum sentence is 20 years in prison.
Three remaining conspiracy counts: Maximum sentence for each count is 5 years in prison.
Those maximums don't necessarily indicate the final outcome. Judges considering sentences look at a range of factors including the scope of losses to customers and investors, and what the defendant has admitted to, attorneys said.
"If the defendant were to work out a plea agreement, they could get points off for acceptance of responsibility," Coggins said, referring to a potential reduction in sentence.
The DOJ's unsealed indictment followed parallel civil complaints Tuesday morning by the Commodity Futures Trading Commission and the SEC.
US prosecutors could also follow up with a more detailed superseding indictment and potentially charge other defendants connected with the alleged conspiracy at FTX. | 2022-12-15T18:35:29Z | www.businessinsider.com | Criminal Charges Against Sam Bankman-Fried Can Carry Jail Time | https://www.businessinsider.com/criminal-charges-against-sam-bankman-fried-can-carry-jail-time-2022-12 | https://www.businessinsider.com/criminal-charges-against-sam-bankman-fried-can-carry-jail-time-2022-12 |
Jess Galica, the executive coach and founder of Reclaim Your Career.
courtesy of Galica
Employees redefine the "dream job" by weighing factors like work-life balance over name recognition.
They're also exploring what their "dream" job or title means in practice, a career coach said.
Here how's to find and land your dream job in today's environment.
Jess Galica said she collected a variety of "gold stars" in her career. Prominent companies like Bain and Apple were on her rรฉsumรฉ, along with an MBA from MIT. Despite this, she wasn't confident she was on the right career track.
"It was one of these wake-up moments where I thought, 'Why does this still not feel right when I've made it to the top of the mountain in so many people's eyes?'" she said.
Employees like Galica are redefining what a dream job is, weighing factors like work-life balance and finding meaning in their roles over brand-name recognition. That's because many employees are speaking up about being burnt out or fearful of layoffs after cuts at prominent companies like Twitter, Meta, and Amazon โ likely "dream" destinations for many people. In order to find a role that propels their careers forward in today's environment, Galica said they're exploring what their "dream" job or title means in practice.
"Get curious about why your dream job was to work at, insert the company," she said. She added to decide if you're attracted to the innovative environment, the potential to open doors, or the competitive pay and benefits. Defining those underlying factors will open up countless more doors, she added.
To help herself and others define the dream job and find meaning in a career, Galica launched an executive-coaching business, Reclaim Your Career, in January 2020.
Here are her tips for finding and landing your dream job in today's environment.
First, imagine your dream life
The hunt for a dream job must start with a change in mindset, Galica said.
"The biggest mindset shift for people is moving away from focusing on finding a dream job and moving toward getting clarity on a dream life," she said.
She suggested looking at three main themes while reflecting on an idyllic future: lifestyle aspirations, financial goals, and day-to-day responsibilities. These factors will help narrow down career options in your search.
For instance, Galica said working parents might need to prioritize a flexible or hybrid work model. Others might focus on paid-time-off policies so they can travel. Once you determine your nonnegotiables for life, only apply to jobs that will align with those requirements, Galica said.
Then, seek out peer references
Once you've started searching for roles and companies that could facilitate future life goals, talk with peers who work for or have worked for the companies you're applying to, Galica said. That way, you can better understand the company culture, understand the potential workload, and get any other questions you may have answered.
Start with your own network and people who know you, that way you're able to ask the questions that may be difficult to bring to a hiring manager, Galica said.
For example, Caitlyn Kumi, a product-marketing manager at Google, asks people for 15-minute coffee chats, she previously told Insider. She finds people via LinkedIn and focuses on building relationships as opposed to gaining referrals from those she speaks with.
Tell your story to land the job
When it's time to interview for dream jobs, storytelling will help you stand out, the two said.
There are subtle storytelling choices you can make to better position yourself as a candidate, she said. For instance, there's a difference between saying you want flexibility versus you work well when you have autonomy in your role.
"There's always a way to take what you're looking for and make it a competitive advantage," and that's a key to getting the dream job, Galica said.
Career Careers Dream job | 2022-12-15T18:35:35Z | www.businessinsider.com | How to Find and Get Your Dream Job, According to a Career Coach | https://www.businessinsider.com/how-to-land-dream-job-interviews-tech-founders-advice-career-2022-12 | https://www.businessinsider.com/how-to-land-dream-job-interviews-tech-founders-advice-career-2022-12 |
These Airbnb owners run short-term stays out of a school bus, tree house, yurt, and a fire station. They break down 5 tips for managing out-of-the-box properties.
One of the geodesic domes that the Kernohans host short-term guests in.
Courtesy of the Kernohans
Georgia couple John and Fin Kernohan welcome guests to unique properties that brought in $6,000 last month in revenue, they say.
Managing unusual properties creates unique challenges like fighting the elements and managing guest expectations.
The tiny home enthusiasts break down everything a new host of an atypical property needs to know.
In 2020, John and Fin Kernohan turned their love of tiny homes into a full-fledged portfolio of seven unique rental properties spread over 16.2 acres near Georgia's Lake Oconee.
The couple still live full-time on-site in their 300-square-foot home, which they built in 2011, and welcome visitors year-round to a variety of unusual short-stays, including two cabin-esque tiny homes, two geodesic domes, a yurt, a tiny home "firehouse," and a converted school bus.
According to the Kernohans, between 40 to 60 guests visit the campgrounds each month, where only adults are allowed. In November, the couple generated $6,000 in revenue through travelers from Airbnb and the vacation site Glamping Hub, which Insider verified through records they provided.
Competition among Airbnb hosts has increased as short-term rental supply reaches record highs. Offering a distinct travel experience with a unique abode is one way to stand out and is even boosted by Airbnb's recent changes to their homepage.
John breaks down tips for hosts interested in managing out-of-the box properties, from keeping structures stable to informing guests they don't have a traditional toilet.
1. Don't ignore moisture when you're braving the elements
Inside the Kernohan's glamping yurt in the Georgia wilderness.
Courtesy of the the Kernohans
While these unique structures may be furnished to look like real homes, it's important to remember they are interacting with the elements differently, says John.
To prevent a "damp" smell in the structure, the Kernohans run dehumidifiers between guest stays to keep the yurts and domes dry.
"You don't want someone stepping in a yurt and it smelling like an old tent. You want it smelling nice and fresh," John said.
Perishable items are also more likely to go stale, even if they're sealed in metal or ceramic containers. John says those hospitality touches that go a long way with guests, like providing fully-stocked coffee service with sugar and artificial sweeteners, require more supplies in non-traditional structures.
2. Constantly check unique structures to make sure they're level
The tiny home "firehouse" that the Kernohans rent out to travelers.
For these unusual properties, it's important to keep things in balance.
"If these houses aren't level, a guest will tell you," John told Insider.
John says some early guests in the converted school bus said they felt like they were "leaning downward" in the bed and woke up feeling "blood rushing." John went in to check with a leveler and discovered the bus was sitting on a small incline that was making a big difference.
So the Kernohans created a makeshift lift out of 2-by-10 boards and the front tires now sit 18 inches higher than the back tires for guest comfort.
John regularly checks the levels on all his properties, making the rounds monthly. He'll check the windowsill and the center of the floor for each structure and make the necessary adjustments accordingly.
3. Remember to set guest expectations for unorthodox amenities
The Kernohan's converted bus, which they decorated with a "French farmhouse" theme.
Guests might be excited for the adventure of staying in an atypical property, but they might also need a reality check.
John says out of hundreds of five-star reviews, their most negative feedback came from a guest who was expecting a modern air conditioner in her yurt made of canvas.
Clearly and repeatedly communicating what the structures provide early on will prevent any bitter guests, John says.
The correct framing for the experience can also go a long way. The Kernohan's geodesic domes, which look like half-sphere tents, come with "dry toilets," which means human materials are collected rather than flushed.
John says he's learned to rebrand them not as a difficulty, but rather a "toilet of convenience." There is a community house on site with running water, but John now emphasizes that the dry toilets are for the guest's comfort, in case they don't want to travel to the community house in the middle of the night.
"Guests realize, 'Oh, you're doing something for me to make my stay more convenient,' instead of 'Oh, what a pain in the butt,'" John explained to Insider.
4. Don't ignore the indoors
Inside one of the geodesic domes decorated to be an "art studio."
Guests will certainly be drawn to unique properties for their exteriors, but be careful not to skimp-out on the interiors, John cautions.
Fin chose to outfit their rental tiny homes with themes to give guests a fully immersive experience. One is inspired by J.R.R. Tolkein's "The Hobbit" and filled with vines, branches, and antique pottery to create an earthy environment. The other is inspired by Moroccan decor, complete with a 200-pound chandelier from 1937.
Even the converted school bus has a "French farmhouse" theme with white-lace decorations.
Guests are already seeking out a unique experience, so the Kernohans believe in investing all-the-way to guarantee positive reviews and return stays.
5. Don't be afraid of co-hosting first
One of the geodesic domes on the Kernohan's property.
For new hosts still wary of taking the leap into the business, the Kernohans recommend partnering up to share responsibility and learn the quirks of unique properties.
Currently, their converted school bus is actually a co-hosting partnership with a University of Georgia student whose mother originally owned the bus for her daycare. The student used to park the vehicle in front of his fraternity, but was eventually banned from doing so. In searching for a place to store it, he connected with Finn over Airbnb.
She eventually converted the bus into a rental and now the couple split revenue for the rental 70/30 with the student.
John believes a similar partnership could help get an aspiring host's feet wet, as they start to understand the logistics of maintenance and guest management.
Features Real Estate AirBnB | 2022-12-15T18:35:41Z | www.businessinsider.com | These Airbnb Owners Break Down 5 Tips for Managing Unique Properties | https://www.businessinsider.com/these-airbnb-owners-break-down-5-tips-for-managing-unique-properties-2022-12 | https://www.businessinsider.com/these-airbnb-owners-break-down-5-tips-for-managing-unique-properties-2022-12 |
A school bus sits in a parking lot of a resort town in the Chugach State Park during heavy rain in Girdwood, Alaska.
Broken up sea ice is seen from the window of a NASA research flight above the east coast of Greenland.
Winter rains atop of snow create a glaze on roads and parking lots, melting a popular ice-skating and pond-hockey site in Anchorage, Alaska.
Yereth Rosen/Reuters
Svalbard reindeer graze during a summer heat wave on Svalbard archipelago near Longyearbyen, Norway.
Remnants of Typhoon Merbok move over Alaska in September 2022.
Smoke rises from a hot spot in the Swan Lake Fire scar at the Kenai National Wildlife Refuge, Alaska.
Dan White/AlaskaHandout/Reuters
NOW WATCH: Look inside the Arctic 'doomsday' seed vault built to protect millions of crops from any disaster
Arctic Snow Rain | 2022-12-15T19:40:53Z | www.businessinsider.com | Rain Could Soon Overtake Snow in Parts of the Arctic, Scientists Warn | https://www.businessinsider.com/arctic-regions-changing-to-rainfall-instead-of-snow-2022-12 | https://www.businessinsider.com/arctic-regions-changing-to-rainfall-instead-of-snow-2022-12 |
House Minority Leader Kevin McCarthy and other House Republicans at a press conference on Wednesday.
The House passed a bill to allow Puerto Rico voters to choose independence, statehood, or free association.
Only 16 Republicans joined all Democrats in supporting the bill.
Republicans opposed the bill in part due to long-standing opposition to Puerto Rico's statehood.
The House of Representatives voted by a 233-191 margin on Thursday to pass the Puerto Rico Status Act, with all but 16 House Republicans voting against the measure. Every House Democrat voted for the bill.
Democratic Rep. Alexandria Ocasio-Cortez of New York, who worked on the bill and is of Puerto Rican descent, presided over the vote.
โbryan metzger (@metzgov) December 15, 2022
The bill would give voters in Puerto Rico the opportunity to vote in a plebiscite next November, allowing them to choose between statehood, independence, or to enter into a compact of free association with the United States.
Lawmakers had long been working on the bill, and its addition to the calendar this week was unexpected. A handful of Republicans had co-sponsored the legislation, including Reps. Maria Elvira Salazar of Florida and Don Bacon of Nebraska.
It also had the support of the territory's Republican Resident Commissioner Jenniffer Gonzรกlez-Colรณn who serves as a non-voting representative for the island in Congress.
Despite House passage, the bill is unlikely to pass the Senate, where it would need at least 10 Republican supporters.
House Republicans on Thursday cited a number of reasons for opposing the bill, including a lack of debate and the possibility that it would lead to statehood, which they've long opposed.
โTim Burchett (@timburchett) December 15, 2022
"At this point in time I'm not, you know, interested in going down that road," Republican Rep. Chip Roy of Texas told Insider. "We didn't have a debate about it, I haven't been a part of any of the debates on this. They're trying to jam this through right before Christmas."
Republican Rep. Marjorie Taylor Greene of Georgia told Insider that she didn't think the bill was "the right way to go about something like that."
"I'm just not interested in Puerto Rico being a state," she said, adding that she didn't believe people living in Puerto Rico should get to vote on that.
Here are the 16 Republicans who voted for the bill:
Rep. Don Bacon of Nebraska
Rep. Liz Cheney of Wyoming
Rep. Rodney Davis of Illinois
Rep. Brian Fitzpatrick of Pennsylvania
Rep. Mayra Flores of Texas
Rep. Andrew Garbarino of New York
Rep. Tony Gonzalez of Ohio
Rep. Jaime Herrera Beutler of Washington
Rep. Bill Huizenga of Michigan
Rep. Dave Joyce of Ohio
Rep. John Katko of New York
Rep. Dan Newhouse of Washington
Rep. Bill Posey of Florida
Rep. Maria Elvira Salazar of New York
Rep. Lloyd Smucker of Pennsylvania
Rep. Fred Upton of Michigan
Congress House Republicans Puerto Rico | 2022-12-15T19:40:58Z | www.businessinsider.com | All but 16 GOP Reps Vote Against Bill to Let Puerto Rico Decide Its Future | https://www.businessinsider.com/house-republicans-vote-against-puerto-rico-statehood-independence-2022-12 | https://www.businessinsider.com/house-republicans-vote-against-puerto-rico-statehood-independence-2022-12 |
Trendy fashion retailer Revolve owes its success to creators, but some say its influencer-marketing strategy needs an overhaul
Jack Harlow performs on stage during Revolve Festival in April 2022.
Vivien Killilea/Stringer/Getty Images
Fashion retailer Revolve has built an established customer base through leveraging influencers.
The brand is known for its flashy influencer trips and events, including Revolve Festival.
But some industry insiders say the company's influencer strategy feels out of touch.
Trendy online retailer Revolve owes its success to influencers.
No, really. The brand relies so heavily on social stars to promote its products that in the company's third quarter earnings report, it said its business depends on maintaining a strong relationship with them.
"We believe that much of the growth in our customer base to date has originated from social media and our influencer-driven marketing strategy," the company wrote.
Revolve, which launched in 2003, has a strategy centered around building awareness through sponsoring events and experiences such as Revolve Festival, Revolve Around The World, Revolve Gallery, as well as short-term retail experiences and influencer trips. The brand also works with influencers in creating their own clothing lines. In March, the brand launched a size-inclusive clothing line in collaboration with TikTok star Remi Bader (2.2 million followers).
But some influencer industry insiders said they feel the brand's influencer strategy has not matured as the market has.
Take its New York Fashion week strategy as an example. In September, the brand focused on working with TikTok-native influencers to promote its Revolve Gallery event. The immersive, four-day installation hosted 9,000 people, the company wrote, including celebrities like Kendall Jenner.
Weeks before the event, Revolve's influencer-marketing team reached out to TikTok, YouTube, and Instagram creators to offer them the opportunity to be dressed by Revolve. But some influencers told Insider they felt there was a problem: Revolve's "gifting" strategy felt out of touch with current influencer-marketing norms, and they'd rather be paid with money than with product or store credit.
Insider spoke with four creators and three creator talent managers about their experiences working with Revolve. The influencers and managers, whose identities are known to Insider, shared their experiences anonymously because they weren't authorized to speak publicly about Revolve's terms.
"I think for influencers it really comes down to 'is this trade worth it?' To me, it was not," said one influencer with fewer than 50,000 followers, who declined the NYFW offer. "$1,000 in clothing credit doesn't even begin to cover my rate for the deliverables they requested, never mind usage, exclusivity, etc. The contract is very intense."
A second influencer, with over 100,000 TikTok followers, told Insider that leading up to Revolve's NYFW festivities, they were asked to post several pieces of content including four TikTok videos, two Instagram posts, and three Instagram Stories in exchange for $1,000 in clothing credit (and no cash payment). They took the deal because they valued the opportunity to attend Revolve's coveted events but said they would normally charge $20,000 for that amount of content.
While Revolve does have paid deals with influencers, some creators and talent managers said they thought it was time for the brand to further expand beyond gifting, and offer more paying opportunities, particularly to micro influencers who have fewer than 100,000 followers.
Some influencers also questioned why they were asked to create more content for the brand than others with a similar follower count. But Alec Wagley, vice president of influencer partnerships at BEN Group, said that aspect of Revolve's strategy makes clear sense, as metrics like engagement, reach, platform, and niche are more important in determining cost than follower count.
"If creator A, let's say they have 50,000 followers, and creator B has 50,000 followers, it's not accurate for them to say 'oh the same brand paid me X amount of dollars and the other person was paid Y dollars,' and they'd be frustrated that they weren't paid the same," Wagley said. "The number of followers a creator has on social media does not accurately reflect their worth or the amount they should be paid for sponsored content."
Revolve declined to comment on specific partnership details.
Overall, the creators and managers who spoke with Insider said that Revolve has maintained its position as one of the top influencer brands thanks to the desirability of its events and products. But some influencers said that to remain competitive long term, they thought Revolve would have to offer higher rates, make more payments in cash versus in product, and send free products to more creators in its ambassador program.
Revolve Festival.
A strategy that revolves around product gifting and seasonal contests
Although Revolve offers paid contracts to some influencers, many creators who work with the company are part of its ambassador program that leans on product gifting and seasonal contests.
The seasonal contests were a particular point of contention among some influencers. The contests generally work by giving store credit or clothing to influencers who drive the most sales in a particular category. The catch, though, is that the influencer ideally should own products from Revolve in order to promote them, but these influencers are only sent clothing if they win the contest. A third influencer told Insider that they were frustrated with Revolve for not sending all of its influencers products ahead of the contest to display in their content.
"They are pitching it as an ambassador program but it's really just affiliate marketing," the third influencer said.
Amazon influencers expressed similar concerns to Insider earlier this year related to its live-shopping feature, Amazon Live. Unless the livestream was sponsored by a brand, Amazon didn't give influencers the products they talked about (and tried to sell), three creators told Insider.
Revolve's latest contest, which ran through the first 12 days of December, offered a variety of rewards, including $1,000 store credit to the influencer with the highest gross sales on Revolve in 24 hours. The most valuable reward was a trip worth up to $15,000 to the influencer who sold the most FWRD products (Revolve's sister store) between December 1 and March 31, according to emails viewed by Insider.
One influencer, who has about 30,000 followers on Instagram, said they didn't participate in the contest because, relative to the amount of work required, the payouts were lower than what they would normally charge: around $2,000 for a single sponsored Instagram post, and around $3,000 for a sponsored video.
As the creator economy matures, more influencers are craving pay transparency and a more standardized approach to marketing.
In May, Marketing Brew's Phoebe Bain wrote that sending an influencer products with no strings attached was a successful influencer marketing strategy for some DTC brands. But the difference with Revolve is that often the brand expects content in return. The fact that many influencers opt out of these types of programs because they prefer to be paid could be a sign that it's time that Revolve's strategy evolved, industry insiders said.
Still, some influencers are happy with Revolve's approach
Revolve does offer long-term deals with select influencers, and some say they have been happy with its terms.
One talent manager spoke highly about the brand's strategy, and said that their client had a six-month paid contract with Revolve this year, and part of that deal included an expenses-paid trip to Revolve's NYFW activities.
A fourth influencer, who has about 1 million followers on TikTok, told Insider that they were only required to post one TikTok video for NYFW, and in exchange they were given $2,000 worth of clothing from Revolve.
"For me, personally, I do like having a relationship with them," the fourth influencer said. "They haven't asked anything of me personally that's been particularly aggressive. One TikTok video plus clothing credit from them seems reasonable for me, especially because I am a fan of the brand on my own and I have ordered from them before."
Influencers analysis | 2022-12-15T19:41:00Z | www.businessinsider.com | Revolve Owes Its Success to Influencers, but Some Say It Has to Change | https://www.businessinsider.com/inside-revolve-ambassador-program-and-influencer-program-trips-rates-2022-12 | https://www.businessinsider.com/inside-revolve-ambassador-program-and-influencer-program-trips-rates-2022-12 |
An ex-Adidas designer who helped launch Yeezy's is trying to make it easy for anyone to start a sneaker brand
FCTRY LAb cofounders Omar Bailey and Abhishek Som
Carlos Acosta /FCTRY LAb
Omar Bailey is co-founder of Fctry Lab, a Los Angeles-based startup that makes sneaker prototypes.
Bailey previously worked at Adidas as head of the Yeezy Footwear Innovation Lab.
On Wednesday, Bailey and cofounder Abhishek Som announced a $6 million investment round.
A Los Angeles startup that hopes to "democratize sneaker production" on Wednesday announced a $6 million investment round.
Fctry Lab, cofounded by Omar Bailey and Abhishek Som, will work with new and existing brands to develop sneakers, including prototypes or models. Prototypes are a critical โ and expensive โ phase of sneaker-making. Fctry Lab also will help smaller brands get products to market through consulting and possibly investments. Industry experts said Fctry Lab will give young sneaker companies easier access to the tools and expertise needed to get sneakers to market.
"This is MUCH needed," said D'Wayne Edwards, founder of Pensole Lewis College of Business And Design and this year's Footwear News Person of the Year, in a text to Insider.
At Adidas, Bailey was head of the Yeezy Footwear Innovation Lab, managing a team of makers that included engineers and creators and that brought some smash hits to market, including the Foam Runner and Yeezy 450. Bailey's also developed footwear for entertainers ranging from Jay-Z to Lady Gaga.
Bailey left Adidas in May. (Adidas and Yeezy also have since split.)
There are other companies that help sneaker companies get off the ground, including Revobit, but factory resources are typically in Asia, which drags out production timelines. It can take 12 months or longer to design a sneaker, make a prototype, then place an order with a factory in Asia and get it on store shelves.
Fctry Lab's Los Angeles location could shorten the development timeline for sneakers from around a year to one to three months.
"Manufacturing is a very big, very heavy lift," Bailey told Insider. "The alternative (to Fctry Lab) is get on a plane, go to China, and figure it out."
Industry giants, such as Nike, have company-owned facilities where designers can quickly turn concepts into reality. The lack of similar options for smaller companies puts them at a disadvantage.
"This is the main area of footwear design that is the hardest part," Edwards said, via text. "Yes, having the right designers is the first step, but along with having the right designers to design something that can be manufactured, the prototyping process works out all of the engineering, sourcing, and pricing challenges before it can be manufactured."
Fctry Lab also has a venture arm that'll work more with brands, and less on specific projects.
"There are going to be lots of interesting projects that come up where not only can we help develop the shoe, but we might be able to help bring it to market and sort of co-own part of that and invest in part of that," Chief Operating Officer Ravi Bhaskaran told Insider.
Eventually, Fctry Lab could be turning out small batches of shoes and serving as a sort of music studio for sneaker-makers.
"We can invite collaborators and creators and they can come and cook and play and develop new ideas," Bailey said.
Industry experts said more places like Fctry Lab are needed.
"Anytime someone can do concepts and try stuff, it's great," said Aaron Miller, an 18-year Nike veteran and founder of SoleWorks, which provides product-development and branding services for athletes, artists, and brands.
Bailey hopes Fctry Lab's work leads to the development of more products that can be made in the United States. Most athletic footwear today is made in contract factories in Asia because of the cheap labor required for traditionally-made cut-and-sew athletic shoes.
Contract factories in Vietnam, Indonesia, and China accounted for 94% of Nike's footwear manufacturing in the company's most recent fiscal year, according to its last annual report.
But as shoes become more automated and less labor-intensive, more footwear could be made here.
In February, Edwards and Pensole announced a $2 million investment that would be used to open Jems by Pensole, a small footwear factory in Detroit. Edwards expects Jems and Fctry Labto to work together.
"There are so many obvious synergies," Bailey said.
The $6 million, which Fctry Lab considers a seed round, will be used to grow the business. Investors include co-founders of Tinder and WeWork and unnamed NBA and NFL players via Aurelien Capital. Slauson & Co. led the venture capital round.
The company formally launched this week and expects to be fully up-and-running in its roughly 3,000-square-foot space in January.
Som, Bailey's cofounder, previously worked in private equity and investment banking, according to his LinkedIn profile. Satyan Gohil, who worked on footwear prototyping and development for Adidas and Yeezy, is Fctry Lab's new head of innovation.
In a press release, the Fctry Lab called the investment one of the largest in a company with a Black founder this year.
"It's bigger than just shoes," Bailey said. "It's about empowering others, empowering creators, athletes, entertainers, the next Virgil Abloh, or the next Jerry Lorenzo, and having a platform to give these individuals to bring them to life."
Sneakers Retail Startups | 2022-12-15T20:06:54Z | www.businessinsider.com | Adidas-Yeezy Exec Launches Fctry Lab, an LA Sneaker Lab | https://www.businessinsider.com/adidas-yeezy-exec-launches-fctry-lab-an-la-sneaker-lab-2022-12 | https://www.businessinsider.com/adidas-yeezy-exec-launches-fctry-lab-an-la-sneaker-lab-2022-12 |
A video shows Washington Post staffers shouting at the company's CEO at a town hall meeting.
Fred Ryan said more layoffs would happen early next year and left without answering questions.
Last month, 11 staffers were laid off, including 10 from the magazine and a dance critic.
A video posted on Twitter shows Washington Post staffers shouting at CEO Fred Ryan after he announced impending layoffs at the company's all-employee town hall on Wednesday.
Annie Gowen, a national correspondent at The Washington Post, shared the video showing Ryan walking away as staffers asked questions after Ryan announced layoffs would come in the first quarter of next year. Gowen said the video is from a colleague, and she took it from the Washington Post Guild's chat.
โAnnie Gowen (@anniegowen) December 14, 2022
"We're not going to turn the town hall into a grievance session for The Guild," Ryan can be heard saying.
Another staffer asks Ryan what he will do "to protect people's jobs," and if laid-off employees "are going to be treated like the magazine staffers were."
Ryan replied that the company will have more information as it moves forward, then left amid other staffers' questions.
Last month, 10 staffers from the Post's Sunday Magazine were laid off after the company decided to stop publishing it. The paper also laid off Pulitzer Prize-winning dance critic Sarah Kaufman. The staffers were not offered other roles at the Post.
At the town hall, Ryan said job cuts will probably be in the "single-digit percentage." He also said The Post would add new jobs to replace the eliminated positions that were "no longer serving readers."
Ryan did not immediately respond to Insider's request for comment.
In an email to staff after the meeting, Ryan said the layoffs "in no way signals that we are scaling back our ambitions," but that "The Post cannot keep investing resources in initiatives that do not meet our customers' needs."
Dylan Byers wrote in his In The Room newsletter for Puck, that he was told The Post's union is drafting a letter of no confidence in Ryan, and hundreds of employees are expected to sign it. Byers also wrote that rhe Post has been losing subscribers and ad revenue since President Trump lost a second term and executive editor Marty Baron retired.
Ryan's comments in the town hall could have been restricted by typical protocols regarding communications outside of a formal meeting with union representatives.
The Washington Post Guild did not immediately respond to Insider's request for comment ahead of publication.
"The Washington Post is evolving and transforming to put our business in the best position for future growth," Kathy Baird, chief communications officer at The Washington Post, said in a statement on Tuesday. "We are planning to direct our resources and invest in coverage, products, and people in service of providing high value to our subscribers and new audiences. As a result, a number of positions will be eliminated. We anticipate it will be a single digit percentage of our employee base, and we will finalize those plans over the coming weeks. This will not be a net reduction in Post headcount."
Baird added that the company will continue investing in 2023.
The Washington Post Layoffs Media | 2022-12-15T20:07:06Z | www.businessinsider.com | VIDEO: Washington Post Staffers Shout at CEO After Layoffs Announced | https://www.businessinsider.com/washington-post-staffers-shout-at-ceo-after-announces-more-layoffs-2022-12 | https://www.businessinsider.com/washington-post-staffers-shout-at-ceo-after-announces-more-layoffs-2022-12 |
Biden mocks Trump's major announcement' on NFT 'trading cards' by touting his administration's recent wins
President Joe Biden, left, and former President Donald Trump, right, in a composite image.
Former president Donald Trump used Truth Social to tease what he called a "MAJOR ANNOUNCEMENT."
It turns out he's selling NFT "trading cards" featuring himself for $99 each.
President Joe Biden mocked Trump by tweeting he has had some "MAJOR ANNOUNCEMENTS," too.
President Joe Biden mocked what his predecessor billed as a "MAJOR ANNOUNCEMENT!" on Thursday with one of his own, releasing a checklist of his administration's recent accomplishments.
Shortly after Donald Trump announced that he's selling NFT "trading cards" for $99 each, Biden tweeted, "I had some MAJOR ANNOUNCEMENTS the last couple of weeks, tooโฆ"
He listed the easing of inflation, signing the Respect for Marriage Act, bringing home WNBA star Brittney Griner from Russian custody, lower gas prices and "10,000 new high-paying jobs in Arizona."
It's not the first time Biden has made fun of Trump on Twitter.
On the day Trump announced his 2024 presidential bid, Biden tweeted a video of Trump talking about infrastructure reform โ and of Biden signing infrastructure legislation. "The difference between talking and delivering," Biden tweeted.
Writing "Donald Trump failed America," Biden also released another video that day criticizing Trump on jobs, health care, the economy, and for "coddling extremists."
Trump's big announcement came a day after he teased it on Truth Social, leaving people to speculate about whether he would announce a 2024 running mate.
Instead, the former president released a cartoon image of himself dressed as a superhero and announced on Truth Social that his "limited edition" digital trading card NFTs "feature amazing ART of my Life & Career!" He directed customers to a new website to purchase the cards and explained that they're "very much like a baseball card, but hopefully much more exciting."
He introduces himself in a video on the website as "hopefully your favorite president of all time, better than Lincoln, better than Washington." The "artwork" displayed in the video portrays his likeness on Mount Rushmore, holding a torch near the Statue of Liberty, riding an elephant or shooting laser beams from his eyes as he rips open his shirt to reveal a superhero body.
Each card comes with a chance to win prizes, such as dinner with Trump or golf at one of his "beautiful" courses. "This makes a great Christmas gift," he says. | 2022-12-15T21:12:12Z | www.businessinsider.com | Biden Mocks Trump's NFT 'Major Announcement' by Touting Wins | https://www.businessinsider.com/biden-mocks-donald-trump-nft-major-announcement-2022-12 | https://www.businessinsider.com/biden-mocks-donald-trump-nft-major-announcement-2022-12 |
Rents are falling in housing markets across the country.
Rent prices are dropping across the country as supply begins to outpace rental demand.
Data from listing search site Zillow shows that US asking rents fell 0.4% month-over-month in November.
Falling rents could help bring inflation down, leading to less mortgage interest rate hikes.
As the housing downturn continues into the winter months, homebuyers aren't the only Americans benefiting from cheaper prices. Rents have begun falling in markets across the country and are likely to fall even further in 2023. And if this trend continues, it could even help ease inflation and ultimately lead to lower mortgage rates.
US asking rents fell just 0.4% month-over-month in November, according to a rental report released this week by Zillow. Although rent prices remain at higher levels than the pre-pandemic market โ the current national average being $2,008 per month โ the recent decline is significant in the sense that it marks the largest pullback in rents since Zillow started tracking rental data in 2015.
"Americans' demand for housing has waned this year, after booming in 2021, thanks to higher costs of rent and generally high inflation," Zillow's researchers wrote in the report. "More people are doubling up with roommates or family, pushing up the rental vacancy rate and thereby putting some pressure on landlords to keep rent hikes in check."
Indeed, fading demand has translated to cheaper rents in many markets. In a separate rental report from real estate brokerage Redfin, researchers found that rents are now growing at half the pace that they were during the summer, which was a period where demand outpaced rental supply. Data from the brokerage shows that in November, 14 of the 50 largest US metro areas it tracks posted annual price declines. Cities that saw the biggest year-over-year drops were Milwaukee, WI at 13.1%, Houston at 6.3%, Austin at 5.3% and Baltimore at 4.4%.
"Rent growth is likely to continue cooling," Chen Zhao, research lead with Redfin Economics, said in the December report, adding that Redfin expects "declines to become more common in the new year."
Another important component in the slowing rent growth is that it could lead to cheaper mortgage rates. That's because housing counts for roughly a third of the Consumer Price Index โ a measure of the average change in prices paid over time by consumers for goods and services โ making it the single most influential component of the inflation measure. In other words, a continued trend of lowering rents could help convince the Federal Reserve that inflation is easing and encourage them to cut back on interest rate hikes, thus reducing borrowing costs for prospective homebuyers.
"Asking rents are already down annually in 14 of the metros Redfin tracks," Chao said, adding that this should "ultimately help slow inflation further" and "lead to lower mortgage rates, which should also bring more homebuyers back to the market."
Slowing inflation has already translated to lower mortgage rates, which peaked at over 7% in October. After a lower-than-anticipated reading of November's consumer price index, the average rate on a 30-year fixed-rate mortgage fell to 6.31% this week, Freddie Mac indicated in a Thursday report. Over the last five weeks, mortgage rates have declined by more than three quarters of a point โ marking the largest drop since 2008.
"Mortgage rates continued their downward trajectory this week, as softer inflation data and a modest shift in the Federal Reserve's monetary policy reverberated through the economy," Sam Khater, chief economist at Freddie Mac, said in the report. "The good news for the housing market is that recent declines in rates have led to a stabilization in purchase demand."
rents Inflation CPI | 2022-12-15T21:12:23Z | www.businessinsider.com | Lower Rents Could Translate to Cheaper Mortgage Rates | https://www.businessinsider.com/lower-rents-could-translate-to-cheaper-mortgage-rates-2022-12 | https://www.businessinsider.com/lower-rents-could-translate-to-cheaper-mortgage-rates-2022-12 |
File Claims with ASPCA
ASPCA vs. Embrace
ASPCA vs. Lemonade
Find the Best
The American Society for the Prevention of Cruelty to Animals (ASPCA) is a non-profit organization working to protect animals. It focuses primarily on dogs, cats, and other domestic pets. In line with those efforts, it also lends its name to pet insurance.
ASPCA Pet Health Insurance is underwritten by United States Fire Insurance Company and administered by Crum & Forster, one of the oldest pet insurance providers in the US. While the ASPCA focuses on rescues, awareness, etc., Crum & Forster handles pet insurance claims, takes your premiums, and manages your insurance experience. Despite the name, the ASPCA does not own ASPCA Pet Health Insurance. It simply collects royalties for the use of its name.
ASPCA Pet Health Insurance gives customers various coverage options, including accident-only plans. In addition, it has pet insurance plans available not just for cats and dogs but horses. Unfortunately, ASPCA Pet Health Insurance does not offer coverage for other "exotic pets."
Pet insurance plans from ASPCA Pet Health Insurance
ASPCA Pet Health Insurance offers two insurance plans for cats and dogs: the Complete Coverage plan and the Accident-Only plan.
Complete Coverage will cover your furry friend for accidents and illnesses like arthritis, epilepsy, and cancer. With the Accident-Only plan, pets are only covered for accidents. These include things like torn ligaments, bites, and broken bones.
Both plans are customizable. So you can choose your annual limit, deductible, and coinsurance (how much your insurance company pays for each claim). This allows you flexibility in finding a premium for your budget.
Unlike many other pet insurance providers, ASPCA Pet Health's accident and illness plans are available to all cats and dogs, regardless of age. So whether you're bringing a new puppy home or caring for your senior dog in their twilight years, ASPCA Pet Health Insurance has pet insurance coverage options.
ASPCA Pet Health Insurance also offers horse insurance plans, which is uncommon with pet insurance providers. In addition, those plans can provide complete or accident-only coverage.
Lastly, all plans come with a 24/7 veterinary helpline you can access after logging into your member portal for help with any questions about your pet's health.
Additional coverage options from ASPCA Pet Health Insurance
Since the main plans from the ASPCA Pet Health Insurance don't cover preventative care, you can add it for an additional fee. However, unlike accident and illness plans, a pet wellness plan or rider would not have a deductible or coinsurance payment. Generally, the provider applies limits for individual preventative treatments.
The preventative care add-on comes in a few varieties, including basic and prime for dogs and cats and routines and platinum for horses.
With each plan, you'll know your annual maximum payout for the various covered services. Then you'll have to submit a claim to ASPCA Pet Health Insurance for reimbursement.
How much does pet insurance from ASPCA Pet Health Insurance cost?
The cost of pet insurance will depend mainly on the type of coverage you choose and your pet's age and breed. Insurance premiums may also increase if your pet has a known history of certain medical conditions. While it does not cover preexisting conditions, ASPCA pet insurance's definition of preexisting is different than many competitors. According to its website:
"ASPCA Pet Health Insurance plan states that a condition will no longer be considered pre-existing if it's cured and free of symptoms and treatments for 180 days, with the exception of knee and ligament conditions."
With ASCPA pet insurance, you can choose from the following levels of coverage:
Policy coinsurance: ASPCA pays 70%, 80%, or 90% of each eligible bill
Annual deductible: Buyers pay up to $100, $250, and $500. or $1,000 per year before ASPCA Pet Health Insurance coverage kicks in
Annual maximum: ASPCA pays up to $3,000, $4,000, $5,000, $7,000, and $10,000 per year
Let's look at quotes for a 1-year-old female retriever mix living in Kansas.
Below you'll see the premiums for both Complete and Accident-Only coverage with average coverage limits, reimbursements, and deductibles.
ASPCA Pet Insurance Quote
The complete coverage comes in at $29.40 per month. So pet parents who choose accident-only coverage save a little over $10 on pet insurance premiums each month.
If you raise the annual limit and reimbursement amounts, you'll also see monthly premiums rise. Remember, when a claim occurs, you're engaging in a tradeoff. The higher your monthly premiums, the less you'll pay out of pocket in the event of an accident or illness. Conversely, the lower your monthly premiums, the more you can expect to pay when you need the vet.
Business Insider found the average pet insurance premium ranges from $20 to $50. Unsurprisingly, accident-only policies are cheaper than coverage for accident and illness policies. So both of these quotes are in line with the average national pet insurance premiums.
How do I file claims with ASPCA Pet Health Insurance?
You can submit a claim online, on the ASPCA Pet Health Insurance app, or through phone, email, or fax. Afterward, you can track your claim's progress online or through the app.
In terms of payment options, you can receive your reimbursement via direct deposit or check. Most claims are processed within 30 days from start to finish. For additional peace of mind, know ASPCA Pet Health Insurance will send periodic updates via email as your claim moves through our system.
Customers can reach ASPCA Pet Health Insurance's customer service using the following methods:
Email: cservice@aspcapetinsurance.com
Compare ASPCA Pet Health Insurance vs. Embrace
The coverage offered by ASPCA Pet Health Insurance and Embrace is similar in many ways. For example, both providers' accident and illness plans cover things like congenital conditions, exam fees, and behavior therapies. However, ASPCA Pet Health Insurance plans differ because it also covers alternative treatments like supplements and prescription food.
As for age limits, ASPCA Pet Health Insurance's accident-only plan is available to any pet, regardless of age. However, Embrace offers an accident-only plan for pets 15 years or older.
In comparing the waiting periods of both companies, you'll find Embrace's 48-hour waiting period for illnesses is much shorter than ASPCA Pet Health Insurance's 14-day waiting period for all conditions. But when it comes to orthopedic issues, Embrace requires a more extended 6-month waiting period than ASPCA Pet Health Insurance's 14-day waiting period. As noted above, ASPCA Pet Health Insurance also defines preexisting conditions as "cured" if your pet is symptom-free for six months for most conditions. Recurring conditions could then be covered like any other accident or illness. At this time, Embrace requires a 12-month waiting period for a condition to be "cured." The website also notes future coverage of known conditions is "at its discretion."
All in all, the company you go with will depend on your pet's needs.
Compare ASPCA Pet Health Insurance vs. Lemonade
Both ASPCA Pet Health Insurance and Lemonade pet insurance are well-known providers in the pet insurance space. Insurance products between the two providers are similar. Both offer choices of injury and illness plans with additional wellness and preventative care add-ons like dental illness, certain vaccines, and exam fees.
With Lemonade, you have options for 70% or 80% coinsurance. ASPCA Pet Health Insurance offers these reimbursement levels plus an option for 90% reimbursement.
In comparing annual maximums, Lemonade pays up to $100,000 in benefits annually based on your chosen plan. Cheap plans may only offer up to $5,000 in payouts annually. ASPCA Pet Health Insurance offers annual limits of $5,000 to $20,000 for dogs and cats. But in terms of availability, ASPCA Pet Health Insurance is available throughout the US. Lemonade is only available in 37 states and Washington, DC.
ASPCA Pet Health Insurance's plans are more customizable, but Lemonade may be a less expensive option. The right provider for you and your pet will depend on your needs and budget.
There are a few primary factors to consider when purchasing a pet insurance policy: cost, policy limits, ease of sign-up, claims processing, reimbursement levels, and available add-ons.
Customization is critical because it gives the consumer more control in choosing a policy that makes sense for their family. So whether you have multiple pets, concerns about specific genetic conditions, or strict budgetary limits, we understand your neighbor's preferred pet insurance plan may not meet your needs.
While we understand the appeal of a $10 policy, it could leave pet families vulnerable in an accident or illness. Therefore, we consider all these factors in reviewing and comparing pet insurance products.
Does ASPCA Pet Health Insurance cover spaying and neutering? Chevron icon It indicates an expandable section or menu, or sometimes previous / next navigation options.
Whether or not your ASPCA Pet Health Insurance covers spaying and neutering depends on your policy. The Prime Preventative Care add-on wraps in spay and neuter coverage and more for $24.95 per month. The Preventative Basic Add-On includes a shorter list of preventative wellness services for just $9.95 per month.
Does ASPCA Pet Health Insurance cover preexisting conditions? Chevron icon It indicates an expandable section or menu, or sometimes previous / next navigation options.
ASPCA Pet Health Insurance doesn't cover preexisting conditions. But it defines preexisting differently than many other pet insurance providers. So if your pet is symptom-free for 180 days, excluding particular bone and joint issues, your pet could qualify for future coverage.
How long is the waiting period for coverage with ASPCA Pet Health Insurance plans? Chevron icon It indicates an expandable section or menu, or sometimes previous / next navigation options.
The waiting period for accident and illness coverage through an ASPCA Pet Health Insurance plan is 14 days.
Do ASPCA Pet Health Insurance premiums help shelter pets? Chevron icon It indicates an expandable section or menu, or sometimes previous / next navigation options.
According to the ASPCA website, the ASPCA receives royalty fees from insurance companies using its name. The ASPCA, in and of itself, does not act as an insurer. While funds may help shelter pets and other animals the ASPCA helps, the royalties received are not considered donations. | 2022-12-15T21:12:38Z | www.businessinsider.com | ASPCA Pet Health Insurance Review: Plans, Rates, Benefits, and FAQ | https://www.businessinsider.com/personal-finance/aspca-pet-insurance-reviews | https://www.businessinsider.com/personal-finance/aspca-pet-insurance-reviews |
sinology/Getty Images
By Shashank Sabhlok, Product Manager for Data and AI at IBM
In today's supply chains, business objectives often come down to delivering quality products to customers in the most efficient way possible. But obtaining that level of efficiency today requires heavy data analytics and predictive modeling. So how can an organization do that effectively across the board?
Data agility โ the ability to store and access your data from wherever makes the most sense โ has become a priority for enterprises in an increasingly distributed and complex environment, but especially when managing supply chains. The time required to discover relevant data, get access to that data, and use it to drive decision-making can have a major impact on an organization's ability to manage inventory or deliver quality products and services.
To take advantage of the disparate data sets created within supply chain workflows, you first need to focus in on that key business objective for a supply chain organization: delivering better quality products more efficiently at scale. Then design a data strategy and architecture that helps your organization achieve that goal.
With a clear focus, you can look at your current IT state to understand the types of internal and external data and identify gaps that will serve as inspiration for your target modern data architecture that increases supply chain efficiencies and production quality. But the modern landscape requires data and IT leaders to look beyond traditional data best practices and shift toward modern data management agility solutions that are powered by AI to address issues like reducing production delays, human errors, and overall costs. That's where the data fabric comes in.
A data fabric can simplify data access in an organization to facilitate self-service data consumption, while remaining agnostic to data environments, processes, utility, and geography. A data fabric automates data discovery, governance, and consumption, enabling enterprises to use data to maximize their value chain by providing the right data at the right time, regardless of where it resides. This architecture also unifies tools, processes, and talent to build and automate trustworthy AI models at scale, which is a game changer for areas like inventory management.
To truly understand the data fabric's value, let's look at a retail supply chain use case where a data scientist wants to predict product back orders so that they can maintain optimal inventory levels and prevent customer churn.
Traditionally, developing a solid backorder forecast model that takes every factor into consideration would take anywhere from weeks to months as sales data, inventory, or lead-time data and supplier data would all reside in disparate data warehouses. Gaining access to each data warehouse and drawing relationships between the data slows down the process even further. Additionally, as each stock keeping unit (SKU) is not represented uniformly across the data stores, data scientists need to create a golden record for each item to avoid data duplication and misrepresentation.
A data fabric introduces significant efficiencies into the backorder forecast model development process by seamlessly connecting all data stores within the organization, whether they are on-premises or in the cloud. Its self-service data catalog auto-classifies data, so that not only will the data scientist be able to use the catalog to quickly discover necessary data assets, but the semantic knowledge graph within the data fabric makes relationship discovery between assets easier and more efficient.
Additionally, you can generate golden records that ensure product data consistency across the various data sources and enable a smoother experience when integrating data assets for analysis within a data fabric architecture. By exporting an enriched, integrated data set to a notebook or AutoML tool, data scientists can spend less time wrangling data and more time optimizing their machine learning model. This prediction model could then easily be added back to the catalog (along with the model's training and test data, to be tracked through the ML lifecycle) and monitored for AI governance purposes.
With the newly implemented backorder forecast model that's built upon a data fabric architecture, the data scientist has a more accurate view of inventory level trends over time and predictions for the future. Supply chain analysts can use this information to ensure that out-of-stocks are prevented, which increases overall revenue and improves customer loyalty. Ultimately, the data fabric architecture can help significantly reduce time-to-insights by unifying fragmented data on a singular platform in a governed manner in any industry, not just the retail or supply chain space.
Learn more about how data fabric architecture can benefit your organization.
Studios Enterprise Studios Tech Supply Chain | 2022-12-15T21:12:44Z | www.businessinsider.com | How a Data Fabric Can Help Streamline Supply Chain Workflows | https://www.businessinsider.com/sc/how-a-data-fabric-can-help-streamline-supply-chain-workflows | https://www.businessinsider.com/sc/how-a-data-fabric-can-help-streamline-supply-chain-workflows |
Schwarzman wishes you a happy holiday season.
Private-equity giants Blackstone and Apollo released their holiday-themed videos on Thursday.
Blackstone's video features top executives dancing and CEO Steve Schwarzman in a Santa hat.
In Apollo's, employees are chefs and cook up a holiday meal for the firm at the CEO's request.
Junior staffers sleep in designated analyst quarters, where they're woken up by a drill sergeant.
"It's Sunday, so we like to let them start a little later," a smiling employee explains as the clock turns to 6:05 a.m. A row of suited-up analysts stand in a row as the employee adds: "Oh, and we're business casual now!"
Elsewhere, an economist offers a vague view of the situation as he looks at his colleagues scrambling to cook a meal in a kitchen: "It's very difficult to see what's going to happen."
So it goes in the world of private-equity firms' holiday videos, where straight-laced investors and billionaire chief executives get very into their starring roles and the jokes are a little on the nose.
On Thursday the private-equity giants Apollo and Blackstone each released their holiday-themed videos within a few hours of each other โ fictional, promotional mini-films trying to show viewers that even buyout firms want to spread some holiday cheer.
In Apollo's video, CEO Marc Rowan comes up with the idea that employees should cook the company a holiday meal, so he sends co-presidents Jim Zelter and Scott Kleinman an email with the subject line: "GUYS. I HAVE A GREAT IDEA :). Let's chat!!"
Employees get cooking. "Not everyone has the same needs. This meal needs to be designed accordingly," Apollo's chief client and product development officer, Stephanie Drescher, said in the kitchen wearing a chef's hat. Her colleague chimes in: "Let's just syndicate it."
"Well first, we need a model. We need to predict what we think will happen, and that requires that all the ingredients need to be lined up," Apollo's chief economist, Torsten Slok, explains as people slice and sautรฉ.
Blackstone's video focuses on answering the question: "What is Blackstone's secret?"
Jon Gray, the firm's president, becomes obsessed with finding what the company's secret sauce is. He rushes to a colleague's office, where she's meditating using Headspace (yes, a Blackstone portfolio company), and urges her and others to join him in the conference room. "Does anyone know we got here?" he asks once they gather.
"The 6 train?" says Joan Solotar, global head of private wealth solutions.
"No. The secret thing that makes Blackstone, Blackstone," he responds. Executives spend the next few scenes making suggestions about what makes the company unique. Is it the alphabet soup of acronyms the company uses? Is it the company's TikTok channel? Portfolio companies Spanx, Crown Resorts, and Supergoop make cameos.
Finally, as he puts on a Santa hat, Blackstone CEO Steve Schwarzman says the secret is the great people they hire.
It's that, he says, and what's hidden in the basement. Byron Wien, the longtime investor and vice chairman of the firm's private wealth solutions group, sits wearing a cloak in a mysterious room. He looks up and hands two employees a mysterious scroll and says: "Invest wisely."
Blackstone Apollo Private Equity | 2022-12-15T21:38:20Z | www.businessinsider.com | Apollo, Blackstone Unveil Holiday Videos With Starring Roles for Their CEOs | https://www.businessinsider.com/blackstone-apollo-holiday-video-schwarzman-rowan-2022-12 | https://www.businessinsider.com/blackstone-apollo-holiday-video-schwarzman-rowan-2022-12 |
When ChatGPT went viral, people began using it as an alternative to Google Searches.
Investors started seeing a world where generative AI would disrupt Google by taking some search traffic away.
But Google has a first mover advantage and also heavily invests in AI โ challenging it will be difficult.
ChatGPT, the viral internet AI chatbot, has brought the world of artificial intelligence closer to more than a million people since it launched.
As ChatGPT's potential became clear, some began thinking of what legacy technology companies it could disrupt. One possibility being floated: Google's search engine.
People have been using ChatGPT not just to cheat on homework or figure out the best burger recipe, but also to ask questions they'd usually ask Google. ChatGPT still has a long way to go โ it does not have direct access to search engines, it confidently gives incorrect information, and it struggles with math. But its ability to understand questions and follow-ups makes it like a version of Ask Jeeves that never stopped improving.
In a recent analyst note, Morgan Stanley analyst Brian Nowak pointed out that while Google will face threats from new emerging services like ChatGPT, Google still has a stronghold in the space as it has billions of users.
Morgan Stanley says the pessimistic case for Google is natural language search models like ChatGPT could swipe users that would otherwise use Google to find information. "We are not dismissive of threats from new, unique consumer offerings," wrote Nowak, but says Google is still essentially the entry point for most internet users.
ChatGPT has a lot of catching up to meet the same number of users Google gets in a day. Google sees an estimated 4 billion daily users and answers billions more search queries. ChatGPT operator OpenAI said it got 1 million users in one week since launching. Morgan Stanley said disruptors have to offer solutions ten times better than even the second-best tool in order to get users to abandon something like Google. Right now, ChatGPT isn't there.
There are some areas where ChatGPT could challenge Google's dominance. Providing travel recommendations, which isn't a simple search query and involves a little bit more creativity on the part of the software, is one example.
But Google invests heavily in AI and machine learning. Morgan Stanley said the company is considered the leading tech giant in research and investment into the space, which will not change. It may even challenge a lot of what ChatGPT can do.
Google spent $100 billion in the past three years on AI and machine learning research and development. The company's R&D spending is expected to grow 13% annually until 2025. It's building natural language models like LaMDA and invested in a machine learning program called BERT that helps machines better understand the context of conversations. It also launched a project that teaches computer code to write, fix and update itself, which could reduce the number of engineers Google will hire.
It's even developing projects that are a lot like ChatGPT. For example, DeepMind, a Google-owned AI research lab, announced a new app called Dramatron that generates film scripts.
What is becoming clear, Morgan Stanley said, is that the interest in ChatGPT will attract more money into AI. Companies that have been working with the technology for years, and have the capital to continue putting money into it, like Google, have an advantage as AI continues to evolve.
ChatGPT OpenAI Google | 2022-12-15T21:38:32Z | www.businessinsider.com | OpenAI's ChatGPT Not Likely to Replace Google, Says Morgan Stanley | https://www.businessinsider.com/openai-chatgpt-not-likely-to-replace-google-says-morgan-stanley-2022-12 | https://www.businessinsider.com/openai-chatgpt-not-likely-to-replace-google-says-morgan-stanley-2022-12 |
Warner Bros. Discovery is planning to run ads on HBO originals on HBO Max, a move that could be controversial in Hollywood
"Game of Thrones."
Warner Bros. Discovery is exploring running ads on HBO originals like "Game of Thrones."
HBO is protective of its content and such ads could be controversial.
They could be valuable to some advertisers because of the limited, premium nature of the shows.
Warner Bros. Discovery is exploring running ads in HBO originals like "Game of Thrones" and "House of the Dragon" on the HBO Max ad-supported tier, in a reversal of its earlier streaming strategy.
HBO Max launched its ad-supported tier in June 2021 for $10 a month versus the streamer's $15 ad-free version. The cheaper service lacks features like the functionality to download content and see same-day release films. HBO Max capped ads at four minutes per hour, limited how often users would see the same ad, and said no ads would run on original HBO programming. Andy Forssell, who was HBO Max EVP and GM at the time, called the plan an effort to create an "elegant, tasteful ad experience that is respectful of great storytelling."
Since then, HBO Max parent WarnerMedia has been acquired by Discovery, and under new CEO David Zaslav, the merged entity Warner Bros. Discovery is racing to make streaming profitable and slash billions in debt. Executives are working on a plan to combine HBO Max with sibling Discovery+ into a new streaming service that will launch in the spring of 2023.
Ads running in HBO original shows and movies would be a controversial change to creators and others in Hollywood given how staunchly protective HBO is of its content.
Ad agency execs who have been briefed on the idea of ads in HBO content said they expected spots to start running on HBO Max soon and also to be part of the combined streamer. WBD has already been preparing for the new streamer by moving some Discovery+ content to HBO Max.
The spots would take the form of preroll ads at the beginning of current HBO originals and pre- and midroll ads in library content. The ad load would be in line with the current ad-supported HBO Max approach.
HBO has had ads run on its originals after they've ended and have been licensed to other distributors, like "Sex and the City" on E!
But HBO originals weren't created with ads in mind, so ads inserted in the middle of content could compromise the viewing experience and be controversial in Hollywood. When Netflix started running ads on the streamer, top Hollywood creators like Shonda Rhimes expressed displeasure, CNBC reported.
It's also unclear whether WBD will charge a premium for ads appearing in HBO originals โ and if so, how much. One option would be to upsell HBO originals as a separate offering, as Hulu has done.
"There could be a premium associated with it because it's limited," one advertising source said.
While some advertisers would leap at the chance to be associated with HBO's prestigious originals, others wouldn't consider certain HBO originals suitable for their brands (think the Red Wedding scene on "Game of Thrones").
Advertisers who are already buying spots on HBO Max also might ask what the benefit is since they're already reaching the streamer's audience.
"For the right client, it could be right," another advertising source said.
Warner Bros. Discovery HBO | 2022-12-15T21:38:38Z | www.businessinsider.com | Warner Bros. Discovery Plans to Run Ads on HBO Originals on HBO Max | https://www.businessinsider.com/warner-bros-discovery-planning-streaming-ads-on-hbo-originals-2022-12 | https://www.businessinsider.com/warner-bros-discovery-planning-streaming-ads-on-hbo-originals-2022-12 |
Republican Rep. Adam Kinzinger of Illinois at a January 6 committee meeting on December 1, 2021.
Stefani Reynolds for The Washington Post via Getty Images
GOP Rep. Adam Kinzinger spoke on the House floor for the last time, having declined re-election.
He condemned his own party on Thursday, saying it has "embraced lies and deceit."
He also criticized Democrats for boosting election-denying candidates in GOP primaries this year.
Republican Rep. Adam Kinzinger of Illinois spoke on the House floor for the final time on Thursday after declining to seek re-election.
Kinzinger, a member of the January 6 committee and one of 10 House Republicans who voted to impeach former President Donald Trump for incitement of insurrection following the Capitol riot, has emerged as a key critic of the GOP from within the party.
In his farewell speech, Kinzinger declared that "our democracy is not functioning" and said Republicans have "embraced lies and deceit." Despite not mentioning Trump by name, he made numerous references to the assault on the Capitol.
"Republicans once believed that limited government meant lower taxes and more autonomy," he said. "Today, limited government means inciting violence against government officials."
He also criticized the leadership of the Republican National Committee, which used the phrase "legitimate political discourse" as it moved to censure him and Republican Rep. Liz Cheney of Wyoming for their participation in the January 6 committee.
"Our leaders today belittle, and in some cases justify attacks on the US Capitol as 'legitimate political discourse,'" Kinzinger added. "We shelter the ignorant, the racist, who only stoke anger and hatred to those who are different than us."
Kinzinger also criticized Democrats for helping to boost election-denying candidates in Republican primaries this year in order to produce weaker general-election nominees, a controversial tactic that some top Democrats publicly defended.
"To my Democratic colleagues, you must too bear the burden of our failures. Many of you have asked me: where are all the good Republicans? " he said. "Over the past two years, Democratic leadership had the opportunity to stand above the fray."
"Instead, they poured millions of dollars into the campaigns of MAGA Republicans, the same candidates Biden called a national security threat, to ensure these good Republicans did not make it out of their respective primaries," Kinzinger continued. "This is no longer politics as usual. This is not a game." | 2022-12-15T22:43:35Z | www.businessinsider.com | Kinzinger: GOP's 'Limited Government' Means 'Violence Against Government Officials' | https://www.businessinsider.com/adam-kinzinger-republican-party-farewell-speech-violence-government-officials-2022-12 | https://www.businessinsider.com/adam-kinzinger-republican-party-farewell-speech-violence-government-officials-2022-12 |
8 ways to fix a call failed message on your iPhone
By Dave Johnson and Kyle Wilson
It's common for iPhone calls to fail from time to time.
A call failed message could be a problem with your cellular provider or your iPhone.
You should toggle Airplane mode, restart your phone, and reset your SIM card.
You can also reset your iPhone's network settings, but that will erase passwords.
There was a time when it was relatively common for calls to fail on your iPhone, but the "Call Failed" message is a somewhat more rare sight these days. Even so, calls still fail, and it isn't always obvious why.
The fault can lie with your cellular network or the iPhone itself. If you're trying unsuccessfully to place a call, here are the most common ways to fix a call failed message if, in fact, the problem lies with your iPhone.
Try your call again
Of course, the first thing you should do is to try making the call again. Often, a call will fail thanks to an intermittent network glitch, and the call will work just fine a minute later. Before you do anything else, tap the dial button to redial your last number.
One of the most common reasons a call fails is because of a glitch with your cellular connection. You can generally fix this by toggling it off and then back on again. To do this, enable Airplane Mode.
1. Swipe down from the top right of the screen to see the Control Center.
2. Tap the Airplane mode icon at the top left, and then wait about 30 seconds.
3. Tap the Airplane mode icon again to re-enable your cellular network.
Try resetting your cellular connection by turning Airplane mode on and off again.
After it reconnects, try your call again.
Try moving your location
It's possible that you're in a location that has poor service โ good enough that your phone thinks it has cellular service, and you'll see a bar or two of signal strength at the top of your phone โ but bad enough that it can't actually complete a connection. If you're indoors, go outside, or otherwise try to change your location and dial again.
Make sure the number isn't blocked
Make sure that the number you're calling isn't blocked. If it is, you will need to unblock it in order to make the call from this phone.
Sometimes, the problem is related to a software problem on your iPhone, but toggling Airplane mode didn't do the trick.
In a situation like this, try turning your iPhone off, wait a minute, and then turn it back on again. Restarting the phone can flush out any misbehaving software or corrupted data and restore it to full operation. As a reminder, here is how to restart any iPhone.
Restart your iPhone to see if that solves your cellular connection problem.
Reset your SIM card
It's possible that there's a problem with the way your iPhone's SIM card is seated in its tray, and the phone can have trouble reading all the contacts on the card.
As long as you are careful, it's not hard to remove the SIM card from your iPhone โ pop it out, gently dust it off, and then place it back on its tray and re-insert it in your iPhone.
If you've tried everything else and you can't complete any phone calls due to the Call Failed error, you might need to reset your iPhone's network settings.
Save this as a last resort, because this troubleshooting step will erase all your network settings, including saved Wi-Fi network passwords and paired Bluetooth devices, so in some ways it'll be like you have a new iPhone again.
1. Start the Settings app and tap General.
4. In the pop-up menu, tap Reset Network Settings and then confirm this is what you want to do.
As a last resort, you can reset your network connections, but that entails losing all your Wi-Fi passwords and paired Bluetooth devices.
You might need to contact your service provider for assistance; this can typically be done by calling 611 or *611 on your iPhone. In the event that you are unable to call them using your iPhone, you might need to visit the provider's store.
Kyle Wilson is an editor for the Reference team, based in British Columbia, Canada. Outside of Insider, his work has also appeared in publications like The Verge, VICE, Kotaku, and more. He periodically guest co-hosts the Saturday tech show "Tech Talk" on the iHeartRadio station C-FAX 1070. Feel free to reach out to him on Twitter, where he can be found most of the time, @KWilsonMG.
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iPhone Call Failed Troubleshooting | 2022-12-15T22:43:41Z | www.businessinsider.com | iPhone Call Failed? 8 Ways to Fix It | https://www.businessinsider.com/guides/tech/call-failed-iphone | https://www.businessinsider.com/guides/tech/call-failed-iphone |
The single most effective way to speed up Windows 10 or 11 is to use a solid state drive.
You should also uninstall useless programs, disable effects, and change startup settings.
Make sure Windows is fully updated and that your computer is running at full power.
People sometimes wonder how it was possible for the computer inside of Apollo 11 โ a computer with less memory than the cheapest Windows PC in use today โ to reach the moon. The answer: It didn't waste any processing power on a fancy interface or unnecessary apps.
You can eke some extra performance out of your own Windows computer by following NASA's lead. Even the oldest PC can probably benefit from removing bloated programs, clearing out the hard drive, and removing viruses.
But of course, the best way to speed up any Windows computer is by upgrading the hardware. Here are 17 ways to speed up Windows 10 and Windows 11.
Install a solid state drive
SSDs like this one are often much smaller than hard drives.
Andrii Atanov/Getty Images
The single best way to speed up any older Windows computer โ and any device that still uses a traditional hard disk drive โ is to install a solid state drive, or SSD for short.
An SSD will allow Windows to boot several times faster, and programs to start in a fraction of the time. And since it has no moving parts, it usually lasts for longer than your average hard disk drive. Adding an SSD can even make a bigger difference than upgrading to a computer with a faster processor.
Depending on what kind of computer you have, and whether it's a desktop or laptop, you might be able to install the SSD yourself. Otherwise, a computer repair shop can almost certainly do it for you.
Disable apps that run at startup
If your computer takes ages to turn on, chances are that you have too many apps set to open at startup. All these apps compete with each other and your PC's essential features for processing power, which can slow things to a crawl or even make the computer crash.
To configure which apps get to open at startup, right-click the Windows icon in your taskbar and select Task Manager, then click Startup at the top of the window. You'll get a list of every app that has permission to start alongside your computer, and a rating of how much power they take up.
When you find a program that you don't want to open at startup, just right-click it and select Disable.
Quick tip: If you open Task Manager but don't see the Startup option, click the More details option in the bottom-left corner first.
Uninstall bloatware and other useless programs
When you buy a computer from the store, either online or in-person, it usually comes with a suite of third-party apps already installed. Most of these apps are what's known as "bloatware" โ useless programs that run in the background, hogging your computer's power.
And as you use your computer over the years, chances are that you'll install one or two programs that you don't end up needing in the long run.
In both cases, you should occasionally take a few minutes to go through your PC's apps and uninstall the ones you don't want or need anymore.
To do this, open the Settings app on your computer and click Apps, and then Apps & features. You'll get a list of all your apps.
In Windows 10, click an app's name and then Uninstall. In Windows 11, click the three dots to the right of the app's name, and then Uninstall. If the Uninstall button is grayed out, it usually means the program is built into Windows and can't be removed.
Select an app you don't want and click "Uninstall." You might need to confirm your choice.
Quick tip: For more details, check out our article on how to properly uninstall programs in Windows.
Close apps that you're not using
Multitasking is great, and most modern computers can run multiple apps at once without any issues. But if you're running several high-impact apps at the same time โ maybe Google Chrome, Zoom, and Adobe Photoshop โ it can put a strain on the processor.
If you're looking to make your PC as fast as it can be, close apps when you're not using them, and avoid running too many big apps at once. This might mean you can't multitask as effectively as you like, but it'll help you avoid freezes and crashes.
Most apps will close when you click the X button in the top-right. But some apps, like Spotify and Discord, stay open even when all their windows are closed. In these cases, you can close them by clicking the upwards-pointing arrow at the end of your taskbar, or by opening the Task Manager.
Disable special effects
Windows is a prettier operating system than its predecessors, largely due to its special effects. These include small animations when you minimize or maximize a window, keeping the taskbar transparent, and more. They're subtle, but make the OS look much smoother.
Unfortunately, they can also take up more power than they're worth. Luckily, both Windows 10 and Windows 11 let you disable them.
Open the Settings app and click System, then scroll down to select About. Click the Advanced system settings option. In the new window that appears, find the Performance box and click Settingsโฆ
A menu will open that lets you pick which special effects and animations you want, and which ones should be turned off. You can also use the preset buttons at the top to quickly adjust for the best performance.
You can pick and choose effects, or just disable them all.
Turn off window transparency
On a similar note, you might have noticed that some menus in Windows are transparent. Open the Start menu, for example, and you should see a faint, blurred impression of whatever lies behind it.
If you don't want to sacrifice speed for such a small effect, you can turn it off entirely and probably not notice the difference.
Open Settings and click Personalization, and then Colors. You'll find a small switch titled Transparency effects that you can use to turn the feature on or off.
Turn off Game Mode
If you play games on your computer, Game Mode can be both a blessing and a curse. This setting detects when you have a game open, and will reroute processing power to help the game run as smoothly as possible.
When you're only focusing on the game, this isn't bad. But if you're trying to run another app alongside the game, or if you're playing a game that runs in the background (like an idle clicker), Game Mode can cost you speed for no reason.
You can turn Game Mode on or off by opening the Settings app, clicking Gaming, and then Game Mode.
Keep Windows updated
Updates can be annoying, we know. If you're working on an important project, racing against a deadline, you don't want to be told to restart your computer.
But keeping your PC up-to-date is incredibly important. These patches include fixes and updates for your computer's security and performance, which will help your PC stay speedy.
You can check to see if there are any updates waiting for you by opening the Settings app and clicking Update & Security (Windows 10) or Windows Update (11). The menu will check for any pending updates, and download them if they're available.
The page will check for updates and let you install them.
As time goes on, more apps and more parts of your PC depend on the internet to work. This means that if you have a shoddy internet connection, these apps and features will run slower. In some cases, they might not work at all.
Check your internet speed and see if it matches what you're paying for. If it's not, it means that either there's an issue with your internet router or your ISP is cheating you. Reset the router and contact your ISP for help.
And if it's possible, connect your computer to the internet using an ethernet cable instead of Wi-Fi. Ethernet connections are far faster and more stable, meaning that you shouldn't have to worry about drops in internet speed.
Delete any viruses
You don't hear about computer viruses as often as you used to these days. But malware, spyware, and other kinds of malicious software are still lurking out there, waiting for a computer to land on. And while we usually associate viruses with catastrophic computer failures, some viruses are more subtle.
Instead of deleting your data, these viruses will just sit on your device and steal processing power (often to mine for bitcoin). This means that even a couple of infected files can lead to a much slower computer.
Modern Windows users are lucky, because both Windows 10 and Windows 11 come pre-installed with Windows Defender. Defender is one of the best anti-virus programs on the market, and should catch the overwhelming majority of viruses before they ever have a chance to reach you. This is in addition to the anti-virus features built into apps like Google Chrome and Microsoft Edge.
Still, it never hurts to check. You can actively scan for viruses by opening the Windows Security app on your PC, clicking Virus & threat protection, and selecting Quick scan. And while Windows Defender is very good, there's never any harm in double-checking your system using a third-party app like Malwarebytes.
Turn off Windows tips and tricks
Windows keeps track of what you're doing in order to give you context-appropriate tips and tricks while using your computer. This can, however, slow down your system. Here's how to turn off these suggestions.
1. Click on Start and open Settings.
2. Click on System and select Notifications & actions.
3. Uncheck Get tips, tricks, and suggestions as you use Windows.
Run your computer at full power
If you're on a laptop, your computer might not be running at full speed. Nearly every Windows laptop offers "power plans" that make your computer run slower in exchange for longer battery life.
To check your power plan, right-click the battery icon in your taskbar and select Power Options (Windows 10) or Power and sleep settings (Windows 11). On the page that opens, you'll find settings to change how much power your laptop uses.
You'll want to pick the option that gives you the best performance.
Clean up your disk
Both versions of Windows come with a program called Disk Cleanup. This app isn't very pretty, but it's a fantastic โ and quick way โ to get rid of junk files that your computer doesn't need. This includes temporary internet files, old error reports, and more. Unless you're really hurting for space, this probably won't make too much of a difference, but it's worth trying.
To find this feature, just search your computer for Disk Cleanup and open it when it appears in the results. Check off all the types of data that you want to delete, then click OK.
Quick tip: You can also set Windows to run this process automatically when you're low on space. Open the Settings app and click System, then Storage, and turn on the Storage Sense feature.
Defrag the hard disk
Similarly, if you use your computer a lot, you should occasionally defragment your hard drive. This process organizes your hard disk, storing files closer together so it doesn't take as long to fetch them.
Just note that this will only work if you have a hard disk drive (HDD). If you're using a solid state drive, there's no point in defragmenting it, since it can't be fragmented in the first place.
To defragment your hard drive, search your computer for "defrag" and open the Defragment and Optimize Drives app when it appears. Select the hard drive that you want to fix, and then click Optimize.
Keeping your drivers up to date is a good idea and can often resolve issues.
Clean your computer
If your fans get too dusty, the entire computer can suffer.
Krasnikova Kat/Shutterstock
We mean "clean" in the literal sense this time. Like any object that sits in one place for a long time, your computer gathers loads of dust and dirt. This is especially true if you have a desktop, and keep the computer tower against a wall or under your desk.
When too much dirt builds up inside the computer, it becomes harder for Windows to run. This isn't only because the parts can get damaged, but also because it can block up the fans and cause the system to overheat.
Occasionally โ at least once a year โ you should take time to clean your computer. This might mean opening up the case and blowing out the dust with a can of compressed air. If you don't feel confident opening the computer on your own, take it to a computer repair shop. They'll clean your PC safely, and can even repair any broken parts they find inside.
This might sound ridiculous after all the technical advice we gave above, but trust us: Turning your computer off and then back on again can fix a lot of issues.
Modern PCs are designed to stay on 24/7, but you should still consider restarting your computer occasionally. You'd be surprised at how fast a PC can get when it's just given a moment to refresh.
And if restarting doesn't do anything, and none of the other options we suggested have worked, you can go a step further by restoring or resetting Windows. Fully resetting the PC will reinstall Windows and totally clear out any damaged files.
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Tech How To Windows Windows 10 | 2022-12-15T22:43:53Z | www.businessinsider.com | 17 Ways to Speed up Windows 10 and 11 | https://www.businessinsider.com/guides/tech/how-to-speed-up-windows-10 | https://www.businessinsider.com/guides/tech/how-to-speed-up-windows-10 |
Twitter suspended several journalists' accounts on Thursday.
Many of the affected writers had been covering or criticizing Elon Musk in the preceding days.
But in a Thursday tweet, Musk suggested the suspensions were related to the tracking of his private jet.
Twitter on Thursday suspended several accounts belonging to prominent journalists who have been covering Elon Musk and his tenure at the social media website.
Among the affected accounts were Donie O'Sullivan with CNN, Drew Harwell of The Washington Post, independent journalists Aaron Rupar, Keith Olbermann, and Tony Webster, The New York Times' Ryan Mac, and other writers on the tech and Twitter beat.
Rupar told Insider that he was still in the dark as to why his account was suddenly suspended. A notice at the top of his account as of Thursday said he had been "permanently suspended" and restricted to read-only mode, leaving him unable to DM or tweet, he said.
"That's the only information from Twitter, no email, no info about what rule I might have broken," he said.
Neither Musk, nor a representative for Twitter immediately responded to Insider's request for comment.
The deluge of suspensions comes one day after Twitter suspended the account of 20-year-old student Jack Sweeney, who created a tool that automatically posted updates about Musk's private jet's location, and threatened legal action against him. The company soon after changed its rules to forbid posting a person's "live location."
Later Thursday evening, Musk seemed to suggest the reporter suspensions were also related to the private jet suspension. The billionaire CEO responded to a user's tweet saying they had confirmed "about half" of the suspended accounts had posted links to the jet tracker.
"Same doxxing rules apply to 'journalists' as to everyone else," Musk wrote.
Some of the suspended journalists had previously tweeted about @ElonJet and its ongoing presence on Mastodon, a social media platform that has marketed itself as an alternative to Twitter. Twitter also suspended the account for Mastodon on Thursday.
But Rupar told Insider that he didn't believe he had tweeted or even retweeted anything about the ongoing private jet saga. Nor did he think he had posted any material that would have violated copyright law โ another cause for suspension. Rupar did, however, tweet critically about Musk the night before his account was suspended, he said.
"That leaves me inferring I guess it was something critical I posted of Elon," he said of the reason behind his suspension. "Maybe that's why I received no information from Twitter; they're probably not going to come out and say that."
Micah Lee, a journalist covering tech at The Intercept, told Insider that he believes he was suspended because he posted about Twitter suspending its competitor, Mastodon. Lee said he has yet to receive any notice from the company explaining its decision.
NBC News reporter Ben Collins compiled an ongoing list of at least eight accounts that were suspended as of Thursday evening. Nearly all of them had been reporting on Twitter, covering Musk, or writing critically about the billionaire in the days leading up to their suspension.
The suspensions are the latest development in Musk's ongoing backtracking on his promise to be a "free speech absolutist." But in another Thursday night tweet reply, Musk insisted that the suspensions were not prompted by critical coverage.
The flight data Musk is trying to keep off Twitter is available online to anyone and relatively easy to track.
Twitter Elon Musk Suspended | 2022-12-16T03:17:39Z | www.businessinsider.com | Twitter Suspends Multiple Journalists Who'd Been Covering Elon Musk | https://www.businessinsider.com/twitter-suspends-multiple-journalists-whod-been-covering-elon-musk-2022-12 | https://www.businessinsider.com/twitter-suspends-multiple-journalists-whod-been-covering-elon-musk-2022-12 |
A $13 dress under the Serra brand that Aldi advertised has become a viral hit.
A limited-edition Aldi dress gained traction in a Facebook group of 1.5 million members.
Aldi customers across the US traveled to different locations to buy the dress.
The dress was a feature in the Aldi Finds aisle, which is responsible for about 20% of total sales.
Aldi customers are doing whatever it takes to get their hands on a $12.99 dress that's only available in stores.
The wrap-style dress from the brand Serra was featured in Aldi's weekly "Aldi Finds" advertisement for the week of November 9. The budget grocery chain puts out an ad every week โ in print and online โ advertising discounts and new items, including products destined for the aisle of miscellaneous curiosities found in the middle of its stores. What's on the shelves in these aisles changes regularly.
The knot-front dress, available in three colors, took off through the cheekily named "Aldi Aisle of Shame Community" Facebook group, which has more than 1.5 million members. Members began posting photos of themselves in the dress and raving about it โ and then the hunt was on
"It's like the sisterhood of the traveling pants. Everyone looks good" in the dress, Denise League of Texas told Insider.
Some customers weren't satisfied with just one version, and went to great lengths to find the in-demand dress.
"I own three brand-new sparkly dresses and have been to probably six different Aldi stores this season," group member Rachel Medlin told Insider.
Tracie Nicole Helms in central Mississippi doesn't have any nearby Aldi stores, so she made two separate trips โ of three hours each โ to find the "sparkling gem" only to come up empty, she said. Stacey Somich in Florida had her mother in Illinois ship her the dress when she couldn't find one locally, she said.
After more than 100 posts in the Aldi Aisle of Shame group, moderators stepped in to corral praise for the dress under one master post because it was taking over the group. In the comments, would-be dress buyers shared their sizes and asked strangers in other parts of the country to send them dresses available in their local stores.
Aldi's "Aldi Finds" aisle is a grab bag of products that changes throughout the year.
Business Insider/Hayley Peterson
The dress's massive popularity among Aldi superfans shows a key part of the budget chain's strategy is working, even as consumers are tightening their belts and cutting down on nonessential purchases.
Aldi's well-known "Aldi Finds" aisle โ which some superfans jokingly call the "Aisle of Shame" โ changes offerings regularly to new themes, like outdoor items in the summer and Advent calendars ahead of the holidays. Items are divided about 50-50 between food and other goods, RetailWire reported, with the store using the aisle as a testing ground for new food items before extending them to the main area of the store.
These items make up about 20% of all sales, Nils Brandes, the coauthor of the book "Bare Essentials: The Aldi Success Story," previously told Insider. The items are advertised beforehand and only stocked in limited numbers, so they become a "treasure hunt" for shoppers, according to Suzy Monford, an executive at retail technology firm Focal Systems.
Shannon Vissers, an analyst at product review site Merchant Maverick, said that the aisle is a "smart business model" with a "great return" because products are typically overstock items from suppliers that Aldi buys at a discount.
Aldi did not respond to Insider's request for comment, but as Aldi plans to continue its rapid expansion, its Aldi Finds aisle likely will remain a key part of future store designs.
Retail News Grocery | 2022-12-16T10:54:09Z | www.businessinsider.com | Aldi Shoppers Scramble to Snag a $13 Dress in the 'Aisle of Shame' | https://www.businessinsider.com/aldi-13-dress-shows-power-of-the-aisle-of-shame-2022-12 | https://www.businessinsider.com/aldi-13-dress-shows-power-of-the-aisle-of-shame-2022-12 |
The auto industry's race to hire EV-focused talent could be good news for workers, experts say.
JD Adams for General Motors
Automakers and battery companies are desperate for talent to make their EV ambitions a reality.
They're looking for lots of workers โ and the current automotive workforce can leverage its skills.
There are a variety of new opportunities available, industry experts say.
An ongoing battery supply crunch could inhibit the auto industry's transition to all-electric vehicle lineups. But equally as pressing as getting the materials necessary for EVs is the talent crisis the business is facing. That could be good news for workers hoping to tap into today's opportunities.
Auto- and battery-makers are desperate for new kinds of workers โ and they're willing to pay for it. But a sense of urgency and willingness to invest doesn't mean any type of talent will do.
The industry has very specific needs as billions of dollars of investment flow to EV powertrains. That means workers with skills in construction, manufacturing, and engineering, especially those willing to be flexible, could see plenty of opportunities, experts say.
What's in demand?
Engineers, chemists, and supply chain experts are at the top of the list. After all, mining raw materials, processing them, and eventually getting them into batteries is pretty new for the auto world.
But first, the industry needs factories to build those batteries โ and workers to construct them.
With every new announcement comes job opportunities, though they may require workers to be flexible location-wise, according to Andreas Breiter, an automotive-focused partner at McKinsey.
"What the industry is doing here is putting measures in place to attract more talent โ either more talent to enter into that field of construction or just moving crews across the country from areas where more talent is available to areas where the bottleneck is," Breiter said. "The other thing I think, is also just using the talent more efficiently.
"That just needs some planning, so ahead of time, starting to work in the local communities to build up the infrastructure, to build up the labor pool," Breiter added. "For some large factories, that will also mean that probably, people will just move to that area."
Does this mean my current skills aren't needed?
Electric vehicles are notably less complex to build and maintain than gas-powered cars. As a result, questions about the current automotive workforce and whether today's skills will become obsolete come into play, Chris McCarthy, VP and global transportation lead at North Highland, a management consulting firm, told Insider.
"What happens to that skill? You're not going to necessarily take somebody that's working on an assembly line and now you need software production experts," McCarthy said. "That's not realistic. So what are those bridges going to be?"
A few solutions have come into play.
"A lot of the discussion that we've heard is around the reskilling and upskilling," Diana Pรกez, an energy and mobility researcher at the University of Michigan, said. "But also thinking about the talent pipeline and how fast can you get people with the right skills to the factory floors or manufacturing plant."
That means capitalizing on existing skill sets, bolstering workers with new ones, and fostering a brand-new workforce.
Leveraging today's opportunities
Automakers and their battery companies need to move fast, and are doing so in a couple of ways.
"You can see the auto manufacturers certainly moving in what I would call more of an agile way of doing car production, and training workforces in agile means of doing things," McCarthy said.
"Some manufacturers, as they hit certain points, are not refilling those positions. It's not necessarily that there's mass layoffs, but they're not filling those positions again," he added.
So there are a few things for workers to keep in mind.
"You can take somebody that is doing some form of work that is fairly sophisticated in a combustion engine and move them over to the battery side," McCarthy said. "If we are going to increase US production of key drivetrain components, the batteries, the systems that now we get the majority of overseas, that has to rise in the US if we're going to be competitive." | 2022-12-16T10:54:15Z | www.businessinsider.com | Automakers Need Workers With New Skills to Build Electric Cars | https://www.businessinsider.com/automakers-jobs-desperate-workers-fuel-electric-vehicle-transition-batteries-2022-12 | https://www.businessinsider.com/automakers-jobs-desperate-workers-fuel-electric-vehicle-transition-batteries-2022-12 |
Panic over sex toy sales at CVS and Target is overblownโ they've been sold at the retailers for years
Avery Hartmans and Alex Bitter
Conservative lawmakers and pundits criticized stores like Target and CVS for stocking sex toys.
But national chains began carrying the brands in 2021 and are adding more products all the time.
The sexual wellness market is worth about $10 billion annually and brands are cashing in.
The sex toy market came under fire this week after Georgia Rep. Marjorie Taylor Greene and pundit Tucker Carlson criticized chains like Target and CVS for stocking the products in their stores. The products, most of them made by direct-to-consumer companies, have inked partnerships with major retailers over the past few years and started selling their products on store shelves and online.
"You can pick up a butt plug or a dildo at Target and CVS nowadays," Taylor Greene said during a speech Saturday at a young Republican club. "I don't even know how we got here ... this is the state that we're living in right now." Meanwhile, earlier this month on Tucker Carlson Tonight, correspondent Trace Gallagher said one of the show's producers "happened to notice" that CVS is now selling sex toys.
Taylor Greene's and Carlson's comments were mocked by late-night hosts and criticized by people online, with so many tweets devoted to the topic that it started trending, according to Glossy.
While the right-wing pundits' ire may be recent, sex toys and sexual wellness products have long been sold at mainstream retailers. But these products are only now coming out of the shadows. The direct-to-consumer sexual wellness brands that CVS, Walmart, and Target have recently begun selling in-store no longer hide behind euphemisms such as "personal massagers." Their bright packaging and cheeky messaging make these products hard to miss on store aisles.
These retailers and startups are cashing in on a growing industry. The sexual wellness market is worth about $10 billion annually, according to Grand View Research.
โPreston Max ๐ณ๏ธโโง๏ธ (@prestonmaxallen) December 11, 2022
Cake, the brand that which drew ire from Carlson, raised a Series A round this fall worth $8 million, bringing the total amount of money that it has raised from investors to $16 million. The brand, which sells products like sex toys and erectile dysfunction medication, sells its products at Walmart, Target, and CVS. Bloomi โ a startup that sells vibrators, body oil, intimate wash, and lubricants โ debuted in 1,000 Target stores in March 2022.
Cake's website tells visitors that the brand exists "to help the world have more fun sex," while Bloomi highlights founder Rebecca Alvarez Story's credentials, including a masters degree in sexual wellness from UC Berkeley.
Walmart, Target, CVS, Bloomi, and Cake did not immediately respond to Insider's request for comment.
But Alvarez Story previously discussed how sex toys had become more mainstream.
"Intimacy is something we need in order to survive and feel good," Alvarez Story previously told Insider. "This industry, in general, intimacy and sexual wellness, has been becoming more normalized over the years over the last decade, for sure."
CVS Target Sexual Wellness | 2022-12-16T10:54:21Z | www.businessinsider.com | Sex Toys at CVS, Target Part of Strategy to Tap $10 Billion Market | https://www.businessinsider.com/cvs-target-selling-sex-toys-business-strategy-2022-12 | https://www.businessinsider.com/cvs-target-selling-sex-toys-business-strategy-2022-12 |
Netflix, NBCUniversal, BuzzFeed, Vice, and other media companies have laid off thousands in 2022, and there could be more cuts ahead in 2023
Lucia Moses, Claire Atkinson, Elaine Low, and Steven Perlberg
Layoffs are impacting a wide range of media companies.
After a year of layoffs across media and entertainment companies, more cuts could come in 2023.
A pull-back of advertising tied to the declining economic outlook has affected all media.
From studios like Paramount to news stalwarts like the Washington Post, a range of companies are impacted.
In the blink of an eye, the media and tech jobs market has gone from hot to not. HR managers have gone from figuring out ways to lure employees to mass firings amid a general pull-back of ads tied to the declining economic outlook.
"The common wisdom is when the economic outlook turns bad, the very first thing to go is marketing and advertising," Andy Challenger, SVP at outplacement and executive coaching firm Challenger, Gray & Christmas, told Insider.
More than 3,300 media jobs were lost through November this year, according to Challenger, Gray & Christmas data โ though this was down from an unprecedented 2020, when Challenger data showed 30,000 media sector jobs were lost.
The cuts have hit companies of all stripes, from entertainment giants like Warner Bros. Discovery and Paramount Global that are racing to make their streaming businesses profitable to digital media companies such as BuzzFeed and Vice that are trying to bolster their valuations. Also affected were legacy journalism stalwars like the Washington Post and USA Today owner Gannett, which laid off 400 staff and axed a further 400 positions in early December.
And many more job losses are expected in another wave early next year, including at Disney where a hiring freeze and other cost controls are already in effect.
"The hottest labor market in American history inevitably is going to cool a little bit," Challenger said.
Here are 15 media and entertainment companies that have laid off staff as of December 2022:
AMC: 20% of 1,000+ staff, or around 200 people
"The Walking Dead."
AMC Networks, the parent company of the cable network behind "The Walking Dead," "Mad Men" and "Breaking Bad," is laying off 20% of its 1,000 American staffers, or about 200 people, according to a report in the Wall Street Journal. Its CEO, Christina Spade, the former AMC CFO who was in the top position for just three months, is also exiting, and is entitled to a cash severance payout of at least $10.5 million.
"It was our belief that cord cutting losses would be offset by gains in streaming. This has not been the case," AMC company chairman James Dolan wrote in a note to network staffers in late November, the Journal reported. AMC Networks subsidiaries also include IFC, Sundance TV and streaming services AMC+, Shudder, and Acorn TV.
Buzzfeed: 12% of staff, or 180 people
Jonah Peretti.
BuzzFeed on December 6 laid off 12% of staff or 180 people, citing challenging economic conditions, opportunities to consolidate following its 2021 acquisition of Complex Networks, and a lag in monetizing the audience's shift to vertical video. The cuts focused on BuzzFeed and Complex, not HuffPost or BuzzFeed News, which had staff reductions in 2021 and earlier in 2022, respectively. "It's grim watching this happen to this company people really care about," one staffer told Insider.
BuzzFeed went public via a SPAC in late 2021 and its life as a public company has been rocky. Its stock price has plunged to below $1 and its first earnings call was marked by cuts to its workforce, a call for voluntary buyouts in its vaunted but money-losing news division, and the exit of three top editors. Looking ahead, the company said it was working to boost growth by ramping up its vertical video output and focusing on creator-driven content that has advertiser appeal.
Gannett: 600 staffers
Gannett announced widespread layoffs this year.
Media giant Gannett has spent the last few months making deep cuts to its fleet of newspapers, which includes flagship title USA Today as well as regional papers like The Indianapolis Star.
In August, the company cut 400 people and said it would not fill hundreds of open roles. Then this month, Gannett said it was cutting about 6% of its roughly 3,440-person media unit, or about 200 staffers. That news followed an announcement from Gannett CEO Mike Reed in October mandating unpaid leave as well as voluntary buyouts.
Gannett has been under pressure as it tries to shift its business from print to digital, but the crunch in the ad market has hit the publicly-traded newspaper company hard. Its stock has fallen more than 60 percent this year.
G/O Media: 3% of staff, or 11 people
G/O Media.
Digital media publisher G/O, which comprises 11 brands, laid off 11 people โ or about 3% of its staff โ in December. G/O formed in 2019 when private equity firm Great Hill Partners acquired the former Gawker Media sites including Gizmodo, Jezebel, and Kotaku. This past summer, G/O also acquired business news site Quartz.
CEO Jim Spanfeller wrote in a memo to staff, reviewed by Insider, that the layoffs were spread across the company's legacy and newer properties and were meant to eliminate redundancies in roles following the Quartz acquisition. "In no way is this a reflection on these people or their talents and abilities. It is simply a reflection of the final stages of incorporating a new business with some amount of acceleration due to the economic headwinds every company is currently facing," he wrote.
Morning Brew: 14% of staff, or 300 people
Morning Brew founders Alex Lieberman, left, and Austin Rief.
Morning Brew, a millennial-focused media company that was acquired by Insider Inc. in 2020, laid off 14% of its staff of about 300 in November.
Cofounder and CEO Austin Rief wrote in an email to staff that "a lot of fear and uncertainty" is scaring marketers, and that Morning Brew has felt the effects of the ad environment. Those impacted included Daniel Bentley, a managing editor overseeing two newsletters at Morning Brew, "Sidekick" and "Money Scoop;" reporter Katie Canales, who had joined Morning Brew from Insider; reporter Sherry Qin; executive producer Brian Henry; and senior editor Stassa Edwards.
NBCUniversal: reportedly seeking $1 billion in cuts across TV networks
The NBC logo and Comcast branding on 30 Rockefeller Plaza in New York.
While NBCUniversal conducted a restructuring in 2020 aimed at streamling its huge broadcast and cable business, the Comcast-owned giant is looking to keep costs under control in 2022 and told managers to keep their budgets stable.
That's resulting in a cull which is currently underway and has impacted NBC Sports, E! Entertainment as well as NBC Group but is expected to hit much wider come January, according to senior insiders at the company. Bloomberg has reported that Comcast is looking for a billion dollars in cuts across the Philadelphia-based cable to satellite player.
Netflix: 450-plus staffers
Photo by STR/NurPhoto via Getty Images
Once a high-flying rocket ship, Netflix saw its wings clipped this year as the dominant streaming platform clocked subscriber losses and a subsequent hit to its share price. In the spring, the company slashed 450 full-time positions, then cut around 30 animation jobs and 70 animation contract roles.
The moves shook Netflix insiders, who noted a shift to "fear-based" decision-making among executives who were stretched thin. The streamer's subscriber figures have since rebounded, and the company is hiring in targeted areas such as gaming.
Outside Media: 12% of staff in November, on top of 15% of staff in May
Outside.
Outside Media, the enthusiast publisher of titles including Backpacker, Ski, and Climbing laid off 12% of its staff in November, mainly in content and journalism roles. Founder and CEO Robin Thurston cited slowing consumer appetite and a softening digital ad market. Thurston also conceded that the company expanded too rapidly during the pandemic, when it went on a shopping spree to capitalize on people's growing interest in the outdoors, and that some of the titles it bought were "extremely challenged." Outside previously laid off 15% of staff in May.
Paramount Global: 100 roles this quarter
Paramount Global CEO Bob Bakish.
Paramount Global, under CEO Bob Bakish, has been trying to figure out how to integrate its premium cable offering, Showtime, with streamer Paramount+ and make savings at the same time. This quarter, Paramount axed an estimated 100 positions in marketing, international and ad sales, according to Deadline.
Protocol: shuttered, 60-plus staffers laid off
Politico founder Robert Allbritton.
Brad Barket/Getty Images for POLITICO
Former Politico owner Robert Allbritton launched tech-focused web publication Protocol in early 2020, with the goal of making it the "ESPN of technology." But the outlet shuttered just two short years later and laid off a staff of more than 60 people amid a downturn in the industry that it covered, as Amazon, Meta and others also are letting go of thousands of staffers.
"I expected layoffs because of the economy, but the full shutdown was a surprise," one impacted staffer told Insider in November, shortly after the layoffs. Protocol faced steep competition from the likes of Wired and The Verge, and insiders said there was a sense that business had begun to slow in the second half of 2022.
Allbritton in 2021 sold Politico โ and Protocol along with it โ to Axel Springer, the parent company of Insider.
Recurrent Ventures: 52 staffers
Alex Vargas stepped up as Recurrent Ventures' CEO in October.
Recurrent Ventures
Recurrent Ventures was once a bright spot in the digital media industry, a new kid on the block buying up legacy media brands like Popular Science as well as digital standouts like MEL Magazine.
But in September, the private-equity backed media company announced a round of layoffs, Insider first reported. Shortly thereafter, Recurrent's CEO and chief revenue officer both stepped aside. Alex Vargas, who joined the company in April as COO, stepped up as CEO in October.
The round of cuts โ 52 people in total โ followed Recurrent's decision in July to shutter MEL, the beloved men's lifestyle publication that it once hoped would be the backbone of a growing lifestyle division.
The company, which grew aggressively as it charted an acquisition-heavy strategy, cited market forces when it announced the layoffs. As Insider reported, disorganization in the ad sales department and an unclear strategy also led to low morale and a struggling business. Now, however, the company is ready to use its $300 million war chest โ backed by private-equity giant Blackstone โ to make more media deals in 2023.
Roku: 200 positions
After high hopes of expansion this year, Roku appeared to pause aspirations and ended the year making cuts. The company said that economic conditions meant that it would cut 200 of its 3,000 employees. CEO Anthony Wood, speaking on the company's third quarter earnings call, said the holiday period was an unusual one this year in that advertisers who typically spent with the company were not spending with anyone.
Vice Media: plans to cut costs by 15%
Vice CEO Nancy Dubuc.
Vice Media has quietly been trimming its staff this year as it faces a softening advertising environment and sale speculation. In October, Vice laid off a handful of staffers at its games and tech verticals, Waypoint and Motherboard. In November, it laid off about a dozen editorial staffers out of a few hundred following an editorial reorg. Next came news of cuts at its food vertical Munchies and music destination Noisey. CEO Nancy Dubuc warned of more reductions, emailing in November that the company would look to reduce staff by 15%, citing ongoing cutbacks by brands and advertisers.
The once high-flying digital darling cofounded in 1994 by Shane Smith was valued at $5.7 billion at its 2017 peak but has struggled under the weight of massive debt payments to private equity giant TPG. CNBC reported in May that Vice hired bankers to explore a sale of all or parts of the company.
Washington Post: plans to lay off single-digit percent of workforce
The Washington Post building in Washington.
The Washington Post will lay off a single-digit percentage of its workforce in early 2023 to set itself up for the future, publisher Fred Ryan told staff in a town hall in December. Ryan said the size of the newsroom wouldn't shrink as a result of the cuts; a spokesperson said the paper would invest in coverage, products, and people to serve its subscribers and reach new audiences. A video posted on Twitter captured staffers yelling at Ryan at the town hall.
The news followed the Post's announcement in November that it would shutter its standalone print Sunday magazine and eliminate 10 staff positions.
Sally Buzbee, the editor of the Post, told staffers in an email that the move was part of the paper's "global and digital transformation" and that the Post "will be shifting some of the most popular content, and adding more, in a revitalized Style section that will launch in the coming months," according to a Post story about the cuts.
Newspaper print magazines on Sunday are something of a dying breed โ though The New York Times and Boston Globe still offer the product. The Post's magazine has been publishing in some form for over six decades, according to the story. After the layoffs, the union representing staffers at the paper hit back at the organization, saying, "There is no economic justification for layoffs in a year when The Post has hired a record number of new employees."
Warner Bros. Discovery: more than 700 positions across divisions
Discovery acquired WarnerMedia in April to form Warner Bros. Discovery.
Perhaps no entertainment company has undergone as much corporate turmoil in 2022 as Warner Bros Discovery, which is still digesting a megamerger that has combined WarnerMedia's HBO, HBO Max, CNN, and DC with Discovery's HGTV, Food Network, and other cable networks.
As CEO David Zaslav looks for at least $3 billion in synergies, the company, which employs some 40,000 people worldwide, is shedding staff from nearly every major division. CNN has cut 400 positions including open job roles, on top of another 239 cuts following the short life of news streaming platform CNN+. At Turner Sports and Bleacher Report, 70 people have lost their jobs, while WBD has axed 100 in ad sales as that division shrinks by 30% globally.
Even at crown jewel HBO, Zas trimmed headcount by 14%, or about 70 people, over the summer, scrapping HBO Max's original unscripted team and yanking a plethora of titles from the streaming platform.
Features Media | 2022-12-16T10:54:51Z | www.businessinsider.com | Media Layoffs Rattle Netflix, NBCU, Roku, Vice, BuzzFeed, and More | https://www.businessinsider.com/media-layoffs-rattle-netflix-nbcu-roku-vice-buzzfeed-wbd-disney-2022-12 | https://www.businessinsider.com/media-layoffs-rattle-netflix-nbcu-roku-vice-buzzfeed-wbd-disney-2022-12 |
ChatGPT got all the buzz, but beneath it is a $1B developer framework that's quietly fueling the new era of lifelike AI at OpenAI and beyond
Anyscale founders Philipp Moritz, Ion Stoica, and Robert Nishihara
OpenAI's ChatGPT, which produces life-like responses to text prompts, is taking the internet by storm.
Beneath the buzz, next-generation developer framework Ray was key in the viral model's training.
Ray comes from $1 billion startup Anyscale and is also the likely framework behind GPT-4.
Another new AI tool has created a firestorm on the internet: a chat bot, called ChatGPT, that provides immensely detailed, near-life like responses to almost any question you can imagine. But while ChatGPT and other viral tools like Prisma Labs' Lensa catch all the buzz, there's a little-known distributed framework powering this new generative AI revolution that's flying under the radar.
Ray, the framework from A16Z-backed startup Anyscale, was key in enabling OpenAI to beef up its ability to train ChatGPT and models like it. Ray operates under the hood for all of OpenAI's recent large language models โ and it's also the likely framework behind OpenAI's highly anticipated next act, commonly referred to as GPT-4. Industry insiders think it could create a new wave of billion-dollar businesses by generating near-human-like content.
Ray is already earning top marks in the field. Prior to deploying it, OpenAI used a hodgepodge set of custom tools to develop early models and products. But as the weaknesses became more apparent, the company made the switch to using Ray, OpenAI president Greg Brockman said at the Ray Summit earlier this year.
Lukas Biewald, CEO of Weights & Biases, which helps companies track machine learning experiments and is considered a hot rising star in the AI world, said his company's most forward-thinking customers love the product โ OpenAI included. This makes him think Ray is very promising, he said.
"The idea that you could run the same code on your laptop and on a huge distributed set of servers is a huge deal and the importance of it increases as models get bigger," Biewald told Insider. "I think the devil is in the details and they appear to have done a good job with them."
A billion-dollar bet on Ray
Anyscale has proved to be such a prized commodity that Ben Horowitz, of the Andreessen Horowitz and A16Z namesake, is a board member. Its most recent round, an extension of its Series C that valued it at more than $1 billion, closed in a matter of days, people with knowledge of the deal said.
Some investors described Anyscale as Horowitz's hopeful "next Databricks" โ an apt description given one of the startup's founders, Ion Stoica, was a co-founder of the $31 billion data giant.
"AI is incredibly fast-moving and new approaches and people are trying new approaches all the time," Anyscale CEO Robert Nishihara told Insider. "ChatGPT combined a lot of the previous work on large language models with reinforcement as well. Underlying this you need to have infrastructure that enables that flexibility and innovate quickly and scale different algorithms and approaches. A lot of the flexibility Ray provides comes from the ability to use both tasks and actors in Python."
Because these buzzy new tools like ChatGPT require increasingly massive models, companies have had to re-think the way they develop them from the ground up. Ray fills that gap, making it easier to train these colossal models and possible to include the hundreds of billions of data points that give every response a quasi-lifelike feel to it.
How Ray become a go-to tool for machine learning
Ray provides an underlying infrastructure that manages the complex task of distributing the work of training a machine learning model. Machine learning experts can often run small models that use limited sets of data โ say, a model to predict if a customer will stop buying a product โ on their own laptop. For something like ChatGPT, however, a laptop isn't going to cut it. Instead, those models require an army of servers to train their tools.
But one of the biggest challenges is to orchestrate that training across all those different pieces of hardware. Ray provides a mechanism for managing disparate pieces of hardware as a single unit for a programmer โ determining what data goes where, how to handle failures, and others. Ray extends a key programming concept, "actors," in other languages to Python, the language of choice for machine learning.
Sometimes it's not even the same hardware โ and can contain a mix of products like Google Cloud, AWS, and others working on the same problem.
Prior to deploying Ray, OpenAI used a hodgepodge set of custom tools built on top of "neural programmer-interpreter" model (or NPI). As the company scaled, it found itself creating new custom tweaks to its developer tools and infrastructure, said OpenAI president Greg Brockman.
"It was the bare minimum investment we could make and still not be unhappy," Brockman said about deploying NPI models at the talk. "If something is not your core competence, you think, 'why am I shuffling around the bits and dealing with a TCP stream with pickles in it.' That's not our burning passion."
Tapping Ray removes that immense layer of complexity, opening up more time and energy for a company like OpenAI to focus on their key competency.
A new generation of AI demands new developer tools like Ray and JAX
Ray is just one in a series of rapidly emerging next-generation machine learning tools that are quickly upending the way development happens. Google's JAX framework, for example, is also gathering enormous traction. Many expect JAX to become the backbone of Google's core machine learning tools, as it's already achieved widespread adoption in its DeepMind and Google Brain divisions.
It also isn't the only tool focused on a problem like this. Another startup backed by FirstMark Capital and Bessemer Venture Partners, Coiled, develops a framework called Dask to manage distributing this problem.
All these tools, Ray and JAX included, are in service to a new generation of combustion engines for the internet called large language models. These tools, trained on billions of data points, try to predict the structure of sentences and responses and spit out life-like text responses to inbound queries. Multiple companies, both startups and giants, are building their own large language models including Meta, Hugging Face, OpenAI, and Google.
"It is profoundly important to understand how difficult it is to break up work (large models) and spread it across lots of little chips," Andrew Feldman, CEO of AI chip startup Cerebras Systems, told Insider. "It's a punishingly difficult problem across the board."
ChatGPT Spark Databricks | 2022-12-16T10:54:57Z | www.businessinsider.com | How OpenAI Uses A16Z-Backed Anyscale's Ray to Train Tools Like ChatGPT | https://www.businessinsider.com/openai-chatgpt-trained-on-anyscale-ray-generative-lifelike-ai-models-2022-12 | https://www.businessinsider.com/openai-chatgpt-trained-on-anyscale-ray-generative-lifelike-ai-models-2022-12 |
The godfather of the inverted yield curve breaks down why his famous recession indicator with a perfect track record won't be accurate this time around
Cam Harvey
The inverted yield curve has preceded the last eight recessions.
The curve has been inverted since October this year.
But Cam Harvey, who discovered the recession indicator, doesn't think a downturn is coming.
With calls for a recession in 2023 now the base-case scenario for many economists, the inverted yield curve looks primed to keep its perfect track record as a predictor.
If yields on the 3-month Treasury bill remain higher than those on the 10-year Treasury note in the new year, Cam Harvey says it will be "code red" territory for the famous indicator, which has preceded the last eight downturns.
That's because, historically speaking, the curve needs to stay inverted for a quarter for the indicator to perform its best, according to Harvey, who discovered the phenomenon as a recession indicator in the 1988 published version of his doctoral thesis. The curve's inversion started on October 18 this year.
Harvey, now a professor at Duke University and the head of strategic research and product development for Research Affiliates, believes that will happen, with the curve the most inverted its been since 2000. Yields on the 3-month Treasury bill sit at 4.32% while 10-year Treasury yields are at 3.45%.
Yield curve inversions have preceded the last eight recessions, which are marked in pink.
There's only one problem: Harvey doesn't believe a recession awaits the US economy in 2023.
"Do I expect a recession? No," Harvey told Insider. "Each episode is different, and this episode is just so different."
Why the inverted yield curve will be wrong this time
Harvey said there are three reasons why this time is different and a recession likely isn't ahead, despite that his indicator is flashing warning signs of an economic slump.
One is the excess demand for labor. The number of job openings in the US is remarkably high at more than 10 million, while unemployment remains historically low at 3.7%. As such, workers who lose their jobs find themselves quickly employed again.
The amount of tech workers, for example, that now find jobs within 3 months of being laid off is 75%.
Another is that the yield curve is inverted on a nominal basis, but not on a real basis. So, while shorter-term yields, on their face, are higher than longer-term yields, it's a different story when inflation expectations are taken into account. Harvey's dissertation focused on yield curve inversions on a real basis, though the indicator has a perfect track record since 1968 on a nominal basis.
Right now, short-term inflation expectations are much higher than long-term inflation expectations, which means the real-yield on longer-duration bonds are higher.
Below are the Federal Reserve's current inflation expectations (blue line) for a year from now through the next three decades.
The third reason is psychological. Yield curve inversions have gotten so good as a recession indicator that when they happen, people begin to adjust their outlook and behavior to prepare for a recession, Harvey said. Doing so then helps to prevent a recession from happening.
"There's this adage that once a signal for forecasting becomes popular it stops working," he said. "You've got an inverted yield curve โ people know that that's got a very strong track record. That impacts their expectations, it changes their behavior, and people become more cautious, and yes, economic growth slows."
He continued: "But given that people are more cautious, they actually provide themselves โ and companies also โ that when the economy does turn down, they're somewhat insulated because they're prepared. They've exercised risk management. And that enables the economy to have a so-called soft landing."
While Harvey doesn't see a recession playing out, he also urged the Fed not to overdo it on rate hikes. While the exact breaking point is unknown, Harvey said raising the fed funds rate too high will eventually send the economy into recession.
The inverted yield curve's legacy
The inverted yield curve has come to be revered as an extremely reliable harbinger of economic pain.
The thinking behind it goes that when investors fear that a downturn is coming, they pile into the safehaven 10-year Treasury note in order to lock in returns. Demand for the asset then drives up its price and pushes down its yield. It can also be a symptom of short-term rates mirroring a expectations for the Fed funds rate.
Here's a comparison of today's yield curve versus 2012, when the curve was more normal.
www.ustreasuryyieldcurve.com
As for what Harvey thinks for the future of the yield curve as a recession indicator?
"Do I believe the model will continue to be a perfect forecaster of recessions? No. Come on. It's a model with one variable," he said. "I'm very pragmatic about this. I'm not hyping any model."
Investing Recession | 2022-12-16T10:55:03Z | www.businessinsider.com | Recession Signal With Perfect Record Will Fail: Yield Curve Godfather | https://www.businessinsider.com/recession-indicator-inverted-yield-curve-godfather-famous-wont-work-harvey-2022-12 | https://www.businessinsider.com/recession-indicator-inverted-yield-curve-godfather-famous-wont-work-harvey-2022-12 |
Retail advertising surged in 2022 โ but in 2023, these new ad businesses will need to steal TV ad budget to survive
Retailers will face more competition for ad dollars with smaller ad budgets from marketers in 2023.
Retailers are eyeing the TV industry to cash in on advertising.
Marketers want standards for how to measure retail media.
2022 was the year every major retailer seemed to build ad-selling businesses to compete with Amazon's dominance. While Walmart, Instacart, and Kroger beefed theirs up with new features, others like BJ's and Lord & Taylor started up ad businesses for the first time.
These retailers are all grappling for big money. WPP's media buying unit GroupM said that retail media brought in $110 billion this year and is on track to generate $160 billion by 2027.
But 2023 will be the year that determines which retail ad businesses will win and which will lose. While retailers are bullish on advertising's high margins, experts say marketers don't have ad budgets to support the growing number of retailers turned ad sellers, especially during 2023's likely recession, and they will consolidate spend with a handful of retailers.
"The challenge for a brand is that their money isn't growing at the rate that retail media networks are growing," said Melissa Burdick, president and cofounder of Pacvue, an e-commerce adtech firm that manages ad programs with 30 retailers.
Amazon will likely continue to be the big winner. Its size and advertising tools dwarf those that other retailers can provide, making it hard for other retailers to grab significant ad budgets, according to experts. For instance, Amazon has rich analytics and data tools, like clean room technology, to enable precise targeting and measurement.
"Amazon is so much larger and you can put more dollars to work," said Russ Dieringer, founder and CEO of Stratably, an e-commerce research and analyst firm.
Walmart and Target have also emerged as heavy hitters in retail media.
Brands are devoting more of their budget to retail media
Traditionally, retail ads were part of so-called trade budgets, meaning they were lumped into distribution deals negotiated between brands and retailers. But some retailers are trying to grow their retail media businesses by separating those two, so retail ads are no longer part of the distribution deal.
Brands are not entirely happy about this new dynamic.
"If you want to have good shelf space on some of these retailers, you need to spend on retail media โ that is a tension point that exists," said an advertising executive who spoke on background to protect business relationships.
But brands also benefit from separating retail ad buys from distribution deals, which locks in the spend. Having a separate budget for retail media gives brands the flexibility to move spend quickly or pause it, said Pacvue's Burdick.
Brands like P&G are already making moves to dedicate budget specifically to retail media. Its Chief Brand Officer Marc Pritchard said during an investor day event in November that retail-based search ads make up 11% of P&G's total media spend and is growing at a double-digit rate. He noted that retail media is important for P&G to "accelerate market growth."
Retailers are coming for TV budgets
If retail media budgets increase, other types of ad budgets must get cut.
"Retailers need to think of their competition as TV, search, and social media," said Stratably's Dieringer.
Retailers like Kroger claim their ads perform better than TV and programmatic ads because they can target and measure ads using data about what people buy.
In 2022, Kroger Precision Media โ the grocer's ad arm โ signed streaming TV deals with adtech firms including Xandr and Magnite that use Kroger's shopper data to target ads. Cara Pratt, SVP and head of the Kroger Precision Marketing, said that she expects Kroger to cut into large upfront TV ad spend next year.
Retailers are also trying to grab budget from big-spending "non-endemic" advertisers, or companies that don't sell their products through e-commerce platforms. Amazon in particular has been aggressively courting non-endemic advertisers this year.
Proper measurement will be critical in keeping the retail media industry alive
In 2022, each retailer had its own way of measuring if someone bought a product after seeing an ad.
Pacvue's Burdick said that differing metrics prevent advertisers from measuring ad performance across retailers, which is why they focus ad spend on select retail media platforms instead of distributing it across all of them.
If this continues, then there will soon be a winnowing of retail media platforms.
Industry group the Interactive Advertising Bureau formed a retail media working group this year with 80 members from retailers, advertisers, and adtech firms, said Jeffrey Bustos, VP of the programmatic and data center at the IAB.
Next year, the IAB plans to launch a retail media group specifically looking at measurement with the goal of launching a set of standards for public comment from marketers by the end of 2023.
"The biggest ask is measurement standards," he said.
E-commerce advertising kroger Walmart | 2022-12-16T10:55:09Z | www.businessinsider.com | Retailers Are Aiming to Steal TV Ad Budgets | https://www.businessinsider.com/retailers-are-aiming-to-steal-tv-ad-budgets-2022-12 | https://www.businessinsider.com/retailers-are-aiming-to-steal-tv-ad-budgets-2022-12 |
On Thursday, the Los Angeles Police Department said "LAPD's Threat Management Unit is aware of the situation and Tweet by Elon Musk and is in contact with his representatives and security team."
"No crime reports have been filed yet," it added.
Journalists from the likes of CNN, The Washington Post, and New York Times were all suspended from Twitter on Thursday evening, after sharing links to ElonJet's Instagram or Mastodon accounts.
However, some of the reporters say they never shared such links, like independent journalist Aaron Rupar. He told Insider's Erin Snodgrass: "That leaves me inferring I guess it was something critical I posted of Elon." | 2022-12-16T11:20:15Z | www.businessinsider.com | Elon Musk Hasn't Filed Police Report on 'Crazy Stalker' Says LAPD | https://www.businessinsider.com/elon-musk-hasnt-filed-police-report-crazy-stalker-says-lapd-2022-12 | https://www.businessinsider.com/elon-musk-hasnt-filed-police-report-crazy-stalker-says-lapd-2022-12 |
Meet the 20 private-credit power players shaping the $1.2 trillion asset class as it faces uncharted waters
The private-credit market's expansion has underscored the growing influence of top dealmakers at firms like Ares, Apollo, and HPS Investment Partners.
Susan Kasser/ Neuberger Berman, Nicholas Hunt/ Getty, John Zito/ Apollo Global Management, Mark Jenkins/ Carlyle Group, NBCUniversal/ Getty, Tyler Le/ Insider
The expansion of private credit underscores the growing influence of the market's dealmakers.
Sixth Street, Golub Capital, Ares, Blackstone, and other firms are major private-debt players.
Insider has pinpointed influential private-credit executives and top dealmakers to watch.
The private-credit industry has ballooned to $1.2 trillion as big investors have sought out returns in what was, until recently, a near-zero interest-rate world.
Private-credit markets, overall, have fared better than their public counterparts this year. While 10-year bonds and leveraged loans had dropped by 4.6% and 10.6% respectively as of the second-quarter, private credit logged returns of 2.3%, according to Swiss bank UBS.
But it's a market that investors say is entering a turbulent period. Last week UBS Global Wealth Management recommended that investors "be more selective" with private-credit investments as interest rates rise, economists forecast a recession, and defaults are likely to increase and spur investor losses.
Deutsche Bank strategists also recently warned on the state of private markets, noting to clients in a report last month that the upcoming "year-end valuation process may well become a trigger point for some sort of reset โ given the lags to public markets and the sector concentration risk."
More investors than ever have piled into these strategies through fund managers including Sixth Street, Ares, Blackstone, and HPS Investment Partners. They have turned into major lenders since banks pulled back on riskier lending in the wake of post-financial-crisis crackdowns. Private debt made up 2% of the aggregate capital that leveraged companies borrowed in 2012, a percentage that's now at more than 20%, according to Bank of America analysts.
That growth has cast a spotlight on the growing influence of top executives, chief investment officers, and dealmakers in the private-debt space. Some of these top officials run investment vehicles known as business-development companies, which often invest in private companies' debt and have grown common across the credit-investing ecosystem. Retail investors can buy into them, a perk for private-equity firms increasingly trying to market themselves to individuals.
Insider has pinpointed influential private-credit executives and top dealmakers to watch. Their firms are listed in alphabetical order, and selections for this list were based on Insider's reporting and a review of large private-debt fundraises and firms' activity, according to data provided by Preqin and PitchBook.
Apollo: John Zito
Zito oversees the private-equity firm Apollo's credit business.
Investors have long known Apollo as a private-equity giant carrying out big buyouts of companies like Yahoo, Tenneco, and Michaels.
But with a $373 billion yield business, Apollo is one of the world's largest credit managers. The business is now the largest segment of the $523 billion firm by assets under management, and Zito, a partner and deputy chief investment officer of credit who joined the firm a decade ago, oversees it.
Zito is running the business at a particularly active time. Last month, representatives said the firm raised $2.4 billion in commitments for a commingled multi-asset opportunistic-credit fund, and earlier this year Apollo launched an Asia Pacific credit strategy.
Last week, Apollo said it had structured a bond for the music publisher Concord, an offering it said was the largest music-asset-backed bond deal ever at $1.8 billion.
"Access to capital has shrunk, and we've been a large participant in any sort of new financing that's come to market" recently as the Federal Reserve has raised interest rates, Zito said in an interview with Bloomberg in October. He pointed to recent deals Apollo has been involved in with Citrix and Royal Caribbean.
The performance of Apollo's structured credit and corporate credit declined by 6% and 3.8% this year through September 30, respectively, while its direct-origination investments rose by 10.6%.
In October, the firm made a bet on another smaller firm's private-credit-investing prowess when it announced that its funds acquired a 5% equity interest in Diameter Capital Partners, an alternative-money manager specializing in credit.
Ares: Michael Arougheti, Kipp deVeer
DeVeer, left, runs the credit group at Ares, the firm Arougheti, right, cofounded.
Heidi Gutman/CNBC/NBCU Photo Bank/NBCUniversal via Getty Images)
Arougheti, the CEO of Ares, cofounded the firm just 25 years ago, but it's grown into a $341 billion behemoth that's now synonymous with private-credit investing. About 60%, or $204.5 billion, of its assets under management are in credit as of September 30, and it reported some $88 billion of dry powder.
DeVeer runs the Ares Credit Group, one of the largest credit businesses in the world. He joined Ares in 2004 from RBC Capital Partners.
DeVeer's group has been active in the market, with funds closing some $5.7 billion in US direct-lending commitments across 45 transactions in the third quarter, according to Ares.
Arougheti sits on key decision-making bodies including the investment committees for the credit group's US direct-lending and sports, media, and entertainment business. He and DeVeer, also a member of the US direct-lending investment committee, regularly represent the firm at industry events and in the press.
DeVeer said during an industry conference in October that he expects an increase of credit-market defaults into next year and that in an attempt to tamp down inflation the US will create an environment of slow growth "and, or, a modest recession."
"With higher rates to do that, we're going to see depression in valuations. That's the stock market, real estate, private companies, and everything else. And like most credit cycles, you'll see defaults go up," DeVeer said. "I think most of us can handle that, right?"
On a call in October to discuss the firm's earnings, an analyst suggested investors may be in a "golden age for private credit" and told management they were at the forefront.
Still, the analyst asked Arougheti, with growing competition and fund managers vying for allocation across big investors like pension funds and endowments, how is Ares strategizing?
Arougheti said the firm is navigating a landscape where companies are staying private for longer periods and investors are reevaluating the value of liquidity in the public market, with more capital flowing into private markets.
"The leveraged-loan market is largely unavailable. The high-yield market is largely unavailable," he said, according to a transcript from Sentieo. "So from a competitive-positioning standpoint, having the amount of dry powder that we have across the platform, I think we feel great about the competitive positioning."
Blackstone: Dwight Scott, Brad Marshall
Marshall, right, runs the Blackstone Private Credit Fund, which has drawn scrutiny from analysts in recent weeks.
Scott, the global head of Blackstone Credit, runs one of the world's largest credit managers, with $234 billion in assets under management as of September 30.
Earlier this year, Blackstone formed a sustainable-resources platform within Blackstone Credit that focuses on investing in and lending to companies involved in renewable energy and the energy transition. The group and M&T Bank provided a $525 million credit facility to the marine terminals-and-logistics company Enstructure, Blackstone said in October.
Marshall runs Blackstone's private-credit business for North America and is the CEO of both the Blackstone Private Credit Fund, known in the industry as BCRED, and the Blackstone Secured Lending Fund. Both Scott and Marshall joined Blackstone through the 2008 acquisition of GSO Capital Partners, now named Blackstone Credit.
Blackstone, known as the largest real-estate and private-equity investor that oversees a total of $951 billion in assets, is increasingly known for its private-credit business that caters to big institutional investors and, more recently, to individuals seeking exposure to private markets.
In recent weeks the $50 billion BCRED has drawn scrutiny from investors and analysts over redemptions from the fund. Blackstone said in a filing on December 5 that the fund is seeing positive net flows for the fourth quarter and for 2022 so far, but the fund faced redemptions of 5% of outstanding shares.
"BCRED is well positioned with 100% floating rate and 94% senior secured loans and zero payment defaults," a spokesperson said, adding that the firm plans to honor all repurchase requests this quarter.
Blue Owl: Marc Lipschultz
Lipschultz cofounded Blue Owl, a large private-credit investor.
Blue Owl
Lipschultz, a cofounder and co-president of Blue Owl, is the face of the firm. He is also a cofounder and the president of the private-credit firm Owl Rock. This summer, the Owl Rock business led the financing for the software investor Thoma Bravo's big $10.7 billion buyout of Anaplan.
Before founding Owl Rock, which now has some $66 billion of assets under management, Lipschultz worked at KKR for more than two decades.
"Today we are seeing the best risk-reward opportunities we have ever seen in direct lending," Lipschultz told Insider in a recent interview. He added: "We have firms that, pre-pandemic, never used to use direct lenders โ who use us for almost everything now."
The private-credit heavyweight Blue Owl went public last year through a transaction that made even some of the more complex private-equity industry deals look straightforward.
The investment-management firms Owl Rock Capital Group and Dyal Capital Partners merged with Altimar Acquisition, a special-purpose acquisition company set up by the blank-check company Altimar Sponsor, to form the alternative-asset manager Blue Owl. Altimar is an affiliate of HPS Investment Partners, another big private-credit player.
Blue Owl has expanded since it made its debut as a public company. A Goldman Sachs research analyst introduced Blue Owl during a conference it held last week as one of the fastest-growing companies in his coverage of asset managers.
The 520-person firm, based in New York, now has $132 billion of assets under management as of September. In late 2021 Blue Owl acquired another business, the Chicago-based Oak Street, which specializes in real-estate investments.
Carlyle: Mark Jenkins
Jenkins joined Carlyle from the Canada Pension Plan Investment Board.
Jenkins, Carlyle's global-credit business head, has been busy. Carlyle plans to raise at least $8.5 billion for a new private-credit fund, according to a Bloomberg report last month that cited people with knowledge of the matter.
If it's successful, it would place the fund, which Bloomberg's report said is called Carlyle Credit Opportunities Fund III, among the largest funds of its kind raised in the past year. The report said Carlyle has held early discussions with investors ahead of a formal fundraising launch next year. A Carlyle spokesperson declined to comment to Insider.
Like other private-investment firms, Carlyle has brought environmental, social, and governance considerations into its credit business. In August, Jenkins and his team announced a decarbonization-linked financing program that incentivizes Carlyle's borrowers to achieve climate-related targets.
"I've been on the road talking with our investors," Jenkins told analysts on a call last month to discuss third-quarter earnings. "There is a sense of opportunity when we talk to our investors about what's going on in the credit markets in particular, as they've seen a repricing of risk, and we're taking advantage of that."
Jenkins joined the firm in 2016 from the Canada Pension Plan Investment Board, where he formed the pension plan's multi-strategy credit-investment platform. Of Carlyle's $369 billion of assets under management, some $141 billion is in credit as of September 30.
Churchill Asset Management: Ken Kencel
Kencel founded Churchill Financial Group, his firm's first incarnation, in 2006.
Churchill Asset Management
In October, Kencel's Churchill Asset Management said that it raised some $12 billion in committed capital from outside investors for its latest program focused on making senior loans.
Kencel said in an interview with Bloomberg later that week that as investors head into a potential recession with rocky markets, "the more conservative managers are going to be the ones in favor, and I certainly think that's the case with our capital raise."
"Our investors are looking for us to focus on defensive industries โ companies that are reasonably leveraged with traditional covenants and better structures, and certainly that's where we've focused historically," he said.
Churchill is a private-capital business of Nuveen, the asset-management arm of the financial-services firm TIAA. The 140-person firm manages some $41 billion of committed capital and is known for its specialty in private debt.
In 2006, Kencel founded and ran what was then called Churchill Financial Group. In 2011 the private-equity firm Carlyle bought Churchill from its previous private-equity owner. Kencel and other executives ended up leaving the Churchill team at Carlyle, Reuters reported at the time, and in 2015 TIAA announced that Kencel's Churchill would become part of its asset-management business.
Clearlake Capital Group: Josรฉ E. Feliciano, Behdad Eghbali
Feliciano, left, and Eghbali cofounded Clearlake Capital Group in 2006.
Feliciano and Eghbali run Clearlake Capital Group, which was thrust into the mainstream by a major deal it struck this year.
The firm, along with Todd Boehly, the CEO of Eldridge Industries, led a group of investors to purchase Chelsea Football Club.
The Santa Monica, California-based firm has some $70 billion of assets under management and focuses on the technology, industrials, and consumer sectors. Before founding Clearlake in 2006, Feliciano and Eghbali worked for Tennenbaum Capital Partners and TPG, respectively.
In September, Clearlake said it raised about $2.5 billion of commitments for an oversubscribed new fund, Clearlake Opportunities Partners III. The fund will focus on non-control special-situations investments and drew limited partners including public- and corporate-pension funds and family offices, according to Clearlake.
In 2020 Clearlake acquired the credit-focused investment firm WhiteStar Asset Management, which is now the firm's collateralized loan obligation, structured products, and broadly syndicated credit-investing arm.
In an interview with Bloomberg in October, Feliciano said about 75% of the firm's assets under management is in private equity and about 25% is in private-credit investments. Clearlake is among the very few minority-run private-equity firms based in the US.
Goldman Sachs Asset Management: Kevin Sterling, James Reynolds
Sterling, left, and Reynolds together run private credit within Goldman Sachs' asset-management arm.
Reynolds and Sterling are global co-heads of private credit within Goldman Sachs Asset Management. Reynolds and Sterling both joined Goldman as analysts about two decades ago.
Goldman Sachs is gearing up to close a mezzanine-debt fund with some $15 billion, according to a Bloomberg report in September that cited people with knowledge of the matter. That's a massive sum that would make the fund, GS Mezzanine Partners VIII, the largest private-debt fund raised this year, according to data Preqin provided to Insider.
Reynolds said in a Goldman-hosted podcast this summer that direct lenders like his business have stepped in to loan out money to companies as banks have pulled back since the financial crisis of 2007 to 2009.
"Things are accelerating, actually, to the point where you can say that private credit has become a very large asset class today. And to some extent it's become a lender of first choice as opposed to a lender of last resort," he said. "That's been one of the most meaningful changes that, certainly, I've witnessed in the last 15 years."
Goldman manages its alternative-investments strategies like private equity and private credit out of Goldman Sachs Asset Management, or GSAM, which reported $1.76 trillion of assets under supervision as of September 30.
It has some $100 billion of private-credit assets under management, a spokesperson said. Stephanie Rader, another partner within GSAM who is key to the private-credit operation, oversees global capital raising, strategic partnerships, and product strategy for private credit and hedge-fund strategies.
Golub Capital: Lawrence Golub
Golub founded his namesake firm in 1994.
Golub Capital
Golub Capital, a major direct lender based in New York focused on middle-market companies, managed some $55 billion of capital under management โ that's invested capital, including leverage โ as of October 1. Golub is the CEO and his brother, David, is president.
Golub Capital called 2021 the best year on record for the firm, closing some $36 billion of commitments for the full year and participating in nearly 400 transactions. Its default rate was about 0.16% for 2021, according to the company. Golub now has some 725 employees.
David said on a call to discuss results with analysts last month that a slowing economy and rising interest rates will together challenge borrowers in the coming months. But he feels confident in the company's position and its focus on catering to healthy companies, he said.
"We don't play in highly cyclical or volatile areas like energy or crypto or real estate or aviation," he said. "And so far, the data shows our strategy is working."
Last week Golub Capital said South Korea's sovereign-wealth fund, the Korea Investment Corporation, had acquired a passive, non-voting minority stake in Golub Capital's management companies. Lawrence founded Golub Capital in 1994.
HPS Investments: Scott Kapnick
Kapnick founded HPS Investments in 2007.
HPS Investments
In 2007 Scott Kapnick founded credit-investing firm HPS Investment Partners, which now has $95 billion of assets under management. The firm was initially part of a JPMorgan Asset Management unit, Highbridge Capital Management, and in 2016 HPS principals bought the firm from JPMorgan.
"The larger and larger deals is what we've positioned the firm to do," Kapnick, who is the CEO and a governing partner of HPS, said in October during a conversation with Goldman Sachs.
Indeed, HPS Investment Partners was among the direct lenders on a $2.6 billion loan that the software investor Thoma Bravo used to help finance its big $8 billion buyout of Coupa Software, Bloomberg reported on Monday, citing people with knowledge of the matter.
And earlier this year HPS Investment Partners loaned about 500 million euros, or about $505 million at the time, to the private-equity firm CVC Capital Partners to help fund its investment in the French professional soccer league.
Of HPS's overall assets under management, $72 billion is in private credit and $23 billion is in public credit. The firm has about 540 employees. Earlier in his career, Kapnick was a top executive at Goldman, where he spent two decades and achieved the position of partner in 1994.
KKR: Matthieu Boulanger, Daniel Pietrzak
Boulanger, left, and Pietrzak oversee private credit at the private-equity firm KKR.
Pietrzak and Boulanger, who are based in New York and London, respectively, co-lead KKR's private credit business.
Pietrzak is also the chief investment officer and co-president of FS KKR Capital Corp., the firm's large publicly traded business-development company. He joined the firm in 2016 from Deutsche Bank. Boulanger joined KKR in 2017 from HPS Investment Partners.
"The coming quarters will be an interesting challenge for the private debt space. But I think you're going to see who was able to source and underwrite deals in a high-quality manner," Pietrzak said in a recent interview with Insider.
This spring KKR said it raised $1.1 billion for its first private-credit fund out of Asia. In the third quarter, KKR said deployment across its credit and liquid-strategies segment was most active within private credit and direct lending.
Credit is a significant focus for the $496 billion asset-management company known historically as a buyout firm. KKR runs about $186 billion in its overall credit business as of September 30, according to its website. It runs $73 billion in private credit.
Joseph Bae, the co-CEO of KKR, said last week during a conference that Goldman Sachs held in New York that chief investment officers across other firms expressed demand for private-credit strategies in a recent investor survey KKR conducted.
"The key takeaway from the survey in terms of asset allocation is really this insight around rates โ where the number one shift, I would say, that the CIOs have articulated is more exposure to private credit and to liquid credit," Bae said, pointing to widening credit spreads and rising interest rates that dynamic investment chiefs are taking into consideration.
Neuberger Berman: Susan Kasser, David Lyon
Kasser, left, and Lyon co-lead the private-credit business at the New York-based Neuberger Berman.
Neuberger Berman is far from the largest private-debt investor, but this fall it raised one of the largest private-debt funds of 2022, according to data from Preqin.
The privately held asset manager said in September that it raised $8.1 billion for NB Private Debt Fund IV, which includes leverage, from about 110 institutions.
Kasser and Lyon, the co-heads of the private credit business, led this effort. Kasser joined Neuberger Berman from Carlyle and Lyon joined from Ellis Lake Capital, a credit hedge fund.
"While we remain cautious about the general economic backdrop in 2023, we believe there are still compelling opportunities in direct lending for disciplined managers with a quality bias," Lyon told Insider. "In our capital-solutions business, we believe there are potential attractive returns available in scaled, quality issuers, as access to traditional capital markets remains challenged."
The firm's private-debt business focuses on performing, senior-secured loans to companies that typically have $20 million to $100 million of cash flow and are owned by private-equity firms based in North America.
Neuberger Berman manages $13.1 billion of private debt, while the firm manages $56 billion across its private-credit platform which includes assets like collateralized-loan obligations.
Oaktree: Armen Panossian
Panossian, a top Oaktree executive, joined the firm in 2007.
Oaktree, the $163 billion private-investment firm that the widely followed investor Howard Marks cofounded, is finding opportunities in a volatile market.
"We are seeing some cracks in the economy," Panossian, Oaktree's head of performing credit, said in an interview with Bloomberg last month. He said that's leading to opportunities for investors: "There are some bargains to be had. It is a credit-picker's market."
Panossian is the CEO and chief investment officer of Oaktree Specialty Lending, the firm's business-development company. He joined Oaktree in 2007 from the now-shuttered hedge fund Pequot Capital Management, where he worked on its distressed-debt strategy.
In February, Oaktree said it raised its third global real-estate-debt fund, the largest of its kind for the firm, with total capital commitments of some $3 billion. A few months prior, Oaktree said it raised its largest fund ever, with total commitments of $15.9 billion from investors.
"We continue to target larger, more mature businesses that operate in non-cyclical, defensive or structurally growing industries that tend to be diversified companies with lower amounts of leverage," Panossian told analysts last month on a call to discuss Oaktree Specialty Lending's earnings, adding that its borrowers were "navigating the current inflationary environment very well."
Oaktree was founded in 1995 with a focus on distressed-debt investing and has expanded to other asset classes. Today the firm invests across credit, private equity, real assets, and publicly listed stocks, though the lion's share of its assets under management remain in credit โ 71% as of September.
Sixth Street: Joshua Easterly
Easterly is now the CEO of Sixth Street Specialty Lending, the firm's business-development company that went public in 2014.
In 2009, 10 partners, including Sixth Street co-president Easterly and Sixth Street CEO Alan Waxman, founded the firm as what was then the global credit-investing platform of private-equity firm TPG. Sixth Street spun out of TPG as an independent company in 2020.
Easterly is now the CEO of Sixth Street Specialty Lending, the firm's publicly traded business-development company, which it formed in 2011 as an early player in the direct-lending business-development-company market. He also runs Sixth Street Lending Partners, the firm's non-traded business-development company.
Easterly has had a busy year. His team at Sixth Street led a group of large direct lenders on a $2.6 billion loan that the software investor Thoma Bravo used to help finance its big $8 billion buyout of Coupa Software, Bloomberg reported on Monday, citing people with knowledge of the matter.
The San Francisco-headquartered firm has some $60 billion of assets under management across classes including credit, growth equity, and infrastructure.
This October the investment firm known across Wall Street for its credit-investing prowess co-led a private loan that Blackstone used to help finance its majority stake in Emerson Electric's climate-technology unit. The month before, Sixth Street led the financing for CommerceHub's acquisition of ChannelAdvisor.
When asked about the market environment, Easterly told analysts on a conference call to discuss Sixth Street Specialty Lending's earnings in November that some investors are writing smaller checks โ not the $500 million to $2 billion checks investors were once writing, he said as an example โ and demand for credit is generally expected to decline in a slowing economy.
"While rising rates will be beneficial to the sector in the near term, long-term outperformance is ultimately driven by the ability to avoid credit costs through the cycle," Easterly said. "We believe we will continue to achieve this by following our same playbook that resulted in cumulative net-realized gains since inception. As one of our favorite bands once put it, 'Nothing else matters.' I'm sure Metallica will appreciate the callout on our earnings call today." | 2022-12-16T11:20:27Z | www.businessinsider.com | 20 Influential Execs Shaping the $1.2 Trillion Private-Credit Industry | https://www.businessinsider.com/private-credit-power-players-debt-executives-blackstone-kkr-ares-2022 | https://www.businessinsider.com/private-credit-power-players-debt-executives-blackstone-kkr-ares-2022 |
Anddddd it's Friday! Phil Rosen here, writing to you just before boarding my flight from New York to Los Angeles.
I've been keeping close tabs on FTX and its disgraced founder, Sam Bankman-Fried.
The more details that emerge, the more I feel like this is going to make a great Michael Lewis book (and movie) one day.
Today, I'm breaking down the latest on the tee-shirt-and-shorts wearing video-gamer and former billionaire.
And tomorrow: Keep an eye out for another special weekend Q & A edition of Opening Bell, featuring one of the foremost energy experts in the business.
WASHINGTON, DC - DECEMBER 08: CEO of FTX Sam Bankman-Fried testifies during a hearing before the House Financial Services Committee at Rayburn House Office Building on Capitol Hill December 8, 2021 in Washington, DC. The committee held a hearing on "Digital Assets and the Future of Finance: Understanding the Challenges and Benefits of Financial Innovation in the United States."
1. Bankman-Fried was meant to testify before Congress this week, but for obvious reasons (he was arrested, in case you missed that somehow), the show had to go on without him.
A deep roster of crypto voices sounded off in this week's testimony in Washington DC, as the Senate Banking Committee asked to hear more about the debacle.
We heard from Kevin O'Leary again, who said the market simply needs more (any?) regulation in order to thrive and move on from this fiasco. O'Leary has avoided laying any blame at SBF's feet, and also testified he believes rival exchange Binance intentionally put FTX out of business.
It'd be impressive if you guessed who showed up next โ none other than early 2000s heartthrob-turned-crypto critic, Ben McKenzie. The star of "The O.C." has been among the loudest skeptics, and he had a lot to say about the industry, none of it good.
Among the highlights from his testimony include his assertion that the crypto market is "the largest Ponzi scheme in history."
Meanwhile, Congressman Ritchie Torres called Bankman-Fried a "pathological liar" during an interview with CoinDesk. He likened FTX to a college fraternity, with haphazard, reckless bookkeeping.
That aligns with the characterization by new FTX CEO, John Ray III: "I've just never seen an utter lack of record keeping."
Recall that Ray had been brought in to clean up bankrupt energy firm Enron in the early 2000s. He knows a thing or two about accounting scandals.
In his testimony to the House Financial Services Committee on Tuesday, Ray said it could take months to secure all the company's assets, and that his team has secured over $1 billion so far.
According to Ray, under Bankman-Fried's leadership the global conglomerate used QuickBooks to do its accounting.
However, one of the most intriguing anecdotes from this week, as Insider's Morgan Chittum writes, was something from Bankman-Fried's past, long before the fraud allegations.
Long before Bankman-Fried was in the crosshairs of regulators, he attended Crystal Springs Uplands, a top Silicon Valley prep school, and his senior class prank reportedly included making $100 bills with his face on them.
The kicker? The bills were called "Bankmans," Puck reported earlier this week.
His old school had a $56,620 annual tuition, its website shows, and there Bankman-Fried had a reputation as one of the top math students, and also led the "Puzzle Hunt Club," which Puck described as a "particularly nerdy group at an already nerdy high school."
After a month of FTX and Bankman-Fried drama, what are your thoughts? Tweet me (@philrosenn) or email me (prosen@insider.com) to let me know.
2. US stock futures sink early Friday, setting up for another day of big losses as investors face the reality that Fed hikes will push up borrowing costs. Here are the latest market moves.
3. Earnings on deck: Accenture, Darden Restaurants, and more, all reporting.
4. Goldman Sachs, JPMorgan, Credit Suisse and eight other top Wall Street giants have given their predictions for stocks and the economy in 2023. Bank of America, for one, is calling for a recession next year, but maintains an upbeat outlook for the S&P 500. See all of the boldest takes and economic outlooks here.
5. The Fed's inflation forecast was wrong, according to RBC. The bank's chief economist said Jerome Powell's economic projection for 2023 was hard to justify. And since some Fed officials already see a recession in the cards, Powell shouldn't try to water down risks of a downturn.
6. Elon Musk's Tesla stock sales are throwing gas on a burning fire. That's what Wedbush's Dan Ives said, and he thinks shares of the EV-maker are oversold. In his view, the billionaire is using "Tesla as his own ATM machine to keep funding the red ink at Twitter." At the same time, Tesla's third largest individual shareholder called for a new CEO.
7. A top FTX exec blew the whistle on Sam Bankman-Fried's moves just two days before the crypto exchange collapsed. A filing showed that FTX Bahamas' co-CEO, Ryan Salame, told local authorities that customer funds were being used to cover losses at Alameda. Get the full details here.
8. The "ultimate buy-and-hold" investment fund is beating 96% of its competitors this year with the same stocks it's held since 1935. The Voya Corporate Leaders Trust Fund is outperforming peers with a risk-averse, Great Depression-driven strategy. Here's how it's still pulling in returns.
9. This retired football player turned-trader said it took him four years to nail down a profitable process. Ellis Hobbs started trading stocks from his phone in 2016, and believes that trading guidelines aren't meant to make you earn money, but to prevent you from huge losses. Here are his four top strategies.
10. Morgan Stanley's Mike Wilson said the stock market could fall further in 2023. Investors have yet to fully price in a growth slowdown with inflation set to throttle corporate profits, in the bank's view. Wilson warned that the S&P 500 could drop to 3,000 in the first half of the year. | 2022-12-16T12:25:48Z | www.businessinsider.com | Sam Bankman-Fried's Senior Class Prank Makes His Story Even Weirder | https://www.businessinsider.com/sam-bankman-fried-senior-class-prank-ftx-crypto-investing-markets-2022-12 | https://www.businessinsider.com/sam-bankman-fried-senior-class-prank-ftx-crypto-investing-markets-2022-12 |
Far-right podcaster Steve Bannon mocked Donald Trump's superhero-themed NFT release on December 15, 2022.
Steve Bannon ridiculed Donald Trump's NFT announcement Thursday.
Trump posted a picture of himself in a superhero costume in announcing the NFT release.
Bannon said that the people who put together the Trump launch need to be fired.
Donald Trump ally Steve Bannon ridiculed a much-hyped announcement from the former president that turned out to be the sale of NFTs.
Trump on Wednesday teased a "major announcement" โ setting high expectations given he is a former world leader with an active presidential campaign and a slew of high-profile legal fights on his hands.
But when the announcement came it was for a line of $99 NFTs, a kind of digital artwork, featuring Trump depicted in heroic poses, like as a sportsman, an astronaut, or as a superhero with fire shooting from his eyes.
โJustin Horowitz (@justinhorowitz_) December 15, 2022
The announcement drew mockery and derision, even from usually steadfast allies such as Bannon, a far-right podcaster and former Trump advisor.
"I can't do this anymore," Bannon said on his podcast Thursday.
"He's one of the greatest presidents in history, but I gotta tell you: whoever โ what business partner and anybody on the comms team and anybody at Mar-a-Lago โ and I love the folks down there โ but we're at war. They oughta be fired today."
Bannon wasn't the only Trump ally dismayed by the announcement.
"Whoever told Trump to do this should be fired," Keith and Kevin Hodge, two Trump-supporting comedians said on Twitter.
โHodgetwins (@hodgetwins) December 15, 2022
Some observers had expected an announcement to reboot his faltering 2024 election campaign, with Trump having been mired in controversy in recent weeks over his dinner with white nationalist Nick Fuentes and anti-Semitic rapper Kanye West.
The former president is also facing mounting criticism in the Republican Party over his midterms strategy, in which a series of scandal-plagued candidates he endorsed were defeated in key races.
Donald Trump Steve Bannon NFT | 2022-12-16T13:56:58Z | www.businessinsider.com | Steve Bannon Mocks Trump NFT Sale, Says Aides Should Be Fired | https://www.businessinsider.com/bannon-mocks-trump-nft-sale-says-aides-should-be-fired-2022-12 | https://www.businessinsider.com/bannon-mocks-trump-nft-sale-says-aides-should-be-fired-2022-12 |
Twitter owner Elon Musk says journalists get no special treatment on the platform.
Patrick Pleul/POOL/AFP via Getty Images)
Elon Musk has said that journalists are "not special" and are "Twitter citizens."
Speaking briefly in a Twitter Spaces chat, he said users would be suspended if they doxed.
It comes after Twitter suspended the accounts of some journalists who reported on Musk.
Elon Musk on Thursday said journalists won't get special treatment on Twitter.
It comes after Twitter suspended several accounts of prominent journalists who reported on him, including those from The New York Times, The Washington Post, and CNN.
Musk briefly spoke during a Twitter Spaces chat, an audio feature on the platform, hosted by BuzzFeed News tech reporter Katie Notopoulos. Other journalists, including those who had just been suspended from Twitter, joined the Space.
"Showing real-time information about somebody's location is inappropriate," Musk said in the Space, according to a recording shared online.
"There is not going to be any distinction in the future between journalists and regular people. Everyone is going to be treated the same," Musk said.
"They're not special because you're a journalist," the billionaire said, adding that they're "just a Twitter citizen."
"You dox, you get suspended, end of story," he said, per the clip.
Musk warned in the Space that trying to be "clever" by posting a link to any real-time information was no different from providing the real-time information.
After two and a half minutes, Musk abruptly left the Space.
His comments come after Twitter suspended the account of Jack Sweeney, the 20-year-old student who created a tool that tweeted updates about the live location of Musk's private jet. Twitter has changed its rules to ban users from posting a person's "live location."
CNN called the suspension of some of its journalists' accounts "concerning, but not surprising." Meanwhile, The Post said in a statement that the suspension of its reporter Drew Harwell's account undermined Musk's plans to make sure Twitter was a platform for free speech. | 2022-12-16T13:57:04Z | www.businessinsider.com | Musk Tells Journalists They're Not Special, Just 'Twitter Citizens' | https://www.businessinsider.com/elon-musk-twitter-journalists-no-special-treatment-citizen-dox-spaces-2022-12 | https://www.businessinsider.com/elon-musk-twitter-journalists-no-special-treatment-citizen-dox-spaces-2022-12 |
Vฤra Jourovรก, an EU vice president, has warned Elon Musk about sanctions.
Thierry Monasse/Getty Images; Michael Gonzalez/Getty Images
Vฤra Jourovรก, a European Union vice president, criticized Elon Musk's "arbitrary" bans on journalists.
She said that Twitter could face sanctions, citing the union's laws on free speech.
After Musk's laid off thousands of staff, Twitter closed its Brussels office responsible for complying with EU laws.
A top European Union official has warned Elon Musk he could face sanctions, while criticizing his "arbitrary" suspensions of the Twitter accounts of a number of journalists.
Vฤra Jourovรก, the EU vice president for values and transparency, tweeted on Friday morning: "News about arbitrary suspension of journalists on Twitter is worrying."
She said that Musk should be aware of the union's laws which require "respect of media freedom and fundamental rights."
"There are red lines. And sanctions, soon," Jourovรก added.
An EU spokesperson gave Insider an explanation of the EU's Digital Services Act, which regulates disinformation and aims to protect free speech.
It says that platforms must ensure their terms and conditions "are clear, understandable and transparent."
But after Twitter changed its rules on Thursday, several journalists were confused as to why they were suspended.
Musk said that the reporters had shared links to the now-banned ElonJet account, which tracked the billionaire's private jet flights.
But some say they never shared such links, like independent journalist Aaron Rupar. He told Insider's Erin Snodgrass: "That leaves me inferring I guess it was something critical I posted of Elon."
The act also adds that, for platforms endangering people's safety by refusing to comply with important obligations, "it will be possible as a last resort to ask a court for a temporary suspension of their service."
Since Musk's takeover, Twitter has increasingly clashed with the EU, which represents 447 million people in 27 countries.
Mass layoffs last month, which saw the company's workforce reduced by nearly 70%, led to the closure of Twitter's office responsible for complying with EU laws.
An EU report on November 24 then condemned Twitter for removing less hate speech. Platformer then report that users could be forced to share their data with Twitter, something that may also violate the union's laws.
Musk was also condemned by the German foreign office for suspending the journalists, while a senior government official threatened to leave the platform.
Twitter did not respond to Insider's request for comment.
Trending UK EU Elon Musk | 2022-12-16T13:57:05Z | www.businessinsider.com | Elon Musk Warned About Sanctions Over Twitter Bans by Top EU Official | https://www.businessinsider.com/elon-musk-warned-sanctions-over-twitter-bans-top-eu-official-2022-12 | https://www.businessinsider.com/elon-musk-warned-sanctions-over-twitter-bans-top-eu-official-2022-12 |
As a money coach from a South Asian family, I've seen how cultural narratives keep young women from building wealth
Parween Mander
Parween Mander.
Sukhdeep Grewal
As a woman in South Asian culture, I was taught that I wasn't supposed to be good with money.
Women in my culture are taught to be "good," and that has financial implications.
We have to unlearn harmful narratives to achieve financial independence.
It was a summer night, Bhangra music bumping in the background of my cousin's pre-wedding celebration. An aunty came up and asked me what I did for work. I had no idea who she was, but I was accustomed to random aunties and their questions.
When I told her about my work in finance and running a business, she replied, "You shouldn't get too busy with your career; that's what your husband will do. How can you manage a household and a business at the same time? Your responsibility is to become a good housewife."
In fact, I can recall several conversations with aunties in our community advocating that we younger South Asian girls just "marry a rich Indian boy, from a good family."
When it comes to South Asian women's relationship with money and their ability to attain financial agency, it's important to understand cultural context. Any differences are often overlooked in the landscape of traditional personal finance advice.
"Our culture has countless strict gender roles, one of which is that men manage money and women don't," Aashka Piprottar, the founder of Boss Betis, told me over email. "So while men get to discuss money openly and proudly, women, if they ever discuss it, do so in hushed, quick voices."
Those gender roles convinced Aashka from a young age "that I was just destined to be 'bad with money' and I would just have to rely on my father โ and then in the future, probably my husband โ to manage the money for me," she said.
How being a 'good' daughter impacts our finances
As daughters, we were constantly bombarded with messages of being "good and honorable" growing up. To be good, however, meant being of service to others no matter the cost or inconvenience to us.
This shows up in financial enabling โ a money disorder where we overcompensate and provide for others financially, even if it harms our ability to save or attain our financial goals. We use money as a way to people please, so whenever our parents ask us for money or we're told to send money to a random relative back in India, we will comply โ even if it hurts us financially.
"It became standard to try and pick up the bill, even when I knew I couldn't afford to, because this was something I'd seen up front and center in South Asian culture. I footed the bill for family members for things like car payments, eating out, shopping expenses, and buying gifts when I wasn't in a position to," said Natasha Khawja, the founder of Purpose and Chai.
"I think a lot of it was centered around the idea of people pleasing and trying to ensure others were happy, even if I was doing so at the detriment of my own finances," she added. "Many of these financial decisions were often based on guilt."
Some daughters are also prohibited from working a part-time job. If they do work, they are forced to either share a bank account with a parent or contribute to the household financially, both of which inhibit financial agency.
One of my financial coaching clients, whom I'll call Anaya, struggled to set financial boundaries with her father, who would ask for a portion of her full time income and reviewed her bank statements, asking where her money was going. This made it difficult for her to assert financial independence and work towards her goals of moving out, as her family constantly got in the way.
How to be 'good' while building financial independence
"Growing up seeing so many examples of women in our community stuck in toxic or abusive situations due to a lack of financial agency, I realized how financial independence could play a strong role in protecting us from these situations in the future," Aashka said.
She added that she's unlearned the harmful money narratives of her childhood through working in the wealth management and financial wellness space.
Some of us may feel strongly about providing our parents with money, as they've sacrificed a lot to build a life for us in another country. By age 27, I built a $150,00 net worth, and part of that journey is so I can provide for myself and my parents without feeling overwhelmed.
But remember, we need to put on our own financial oxygen masks first. I recommend starting a specific savings goal in an account titled "Parent fund" where you can stash away money for your family in the event they need it. This is a way to set a financial boundary so that you don't feel resentful or sabotaged if they require funds from you.
Understanding the complexity of our culture, I helped my client, Anaya, set up strategic savings accounts to separate her money, while still contributing funds when her parents asked for it.
Cultural expectations and narratives play a huge role in our ability as South Asian women to make different decisions, especially when it comes to our money and building wealth.
Millennial Money Coach
Parween Mander is a millennial money coach, a trauma of money facilitator, and the founder of the Wealthy Wolfe, a digital financial coaching & education platform for women of colour from immigrant upbringings specifically.
PERSONAL FINANCE I'm a financial planner and a woman of color, and I can tell you firsthand that investing is the way to build generational wealth
PERSONAL FINANCE A 26-year-old who's helped women of color earn more than $3.5 million in the stock market answers the 2 most common investing questions she gets
PERSONAL FINANCE 2 money questions people of color shouldn't be afraid to ask their white friends, according to a 27-year-old Asian American millionaire
PERSONAL FINANCE 2 ways Black Americans can start building generational wealth today, according to father-son financial advisors
Generational Wealth Personal Finance Insider PFI Freelance | 2022-12-16T13:57:09Z | www.businessinsider.com | How South Asian Cultural Narratives Keep Women From Building Wealth | https://www.businessinsider.com/personal-finance/south-asian-women-wealth-cultural-narratives-2022-12 | https://www.businessinsider.com/personal-finance/south-asian-women-wealth-cultural-narratives-2022-12 |
TGIF! It's Dan DeFrancesco checking in from NYC.
Today we've got stories on dueling holiday videos from rival investment firms, the tech companies PE firms might be on the hunt for deals for, and a peak inside one of the most exclusive neighborhoods in the world.
But first, let's underwrite some loans.
1. Meet the new-age lenders.
Private credit is a topic du jour on Wall Street.
While loans being privately negotiated outside traditional, public channels might not seem like the sexiest of topics, it's something that continues to crop up across the Street.
Take one of the most high-profile deals involving a financially-focused firm โ splitting up EY's audit and consulting businesses โ which is now considering borrowing money from the private markets, according to The Wall Street Journal.
But it's not all sunshine and daisies when it comes to private credit.
As interest rates continue to rise and a recession looms, everyone expects loan defaults to increase as well. And while the status of traditional debt is somewhat more telegraphed due to its public nature, it's a lot harder to discern the status of private debt due to the fact it's, well, private.
So who's behind this mysterious market that has now swelled to $1.2 trillion and accounts for more than 20% of the aggregate capital leverage companies borrowed?
Insider's Rebecca Ungarino mapped out 20 of the most powerful people in the space from firms like Sixth Street, Golub Capital, Ares, and Blackstone.
I spoke to Rebecca about what stood out to her while compiling the list. She mentioned how these asset managers are essentially becoming the new banks via their lending operations.
Take Sixth Street and HPS Investment Partners, two firms that were somewhat niche a few years ago but have grown into bigger players thanks to the rise of private debt being seemingly everywhere, Rebecca said.
And while there might be some signs on the horizon of tough times ahead, these executives seem nonplussed.
"While rising rates will be beneficial to the sector in the near term, long-term outperformance is ultimately driven by the ability to avoid credit costs through the cycle," Sixth Street co-president Joshua Easterly, who made our list, told analysts last month. "We believe we will continue to achieve this by following our same playbook that resulted in cumulative net realized gains since inception. As one of our favorite bands once put it, 'nothing else matters.' I'm sure Metallica will appreciate the callout on our earnings call today."
Click here to check out the 20 executives leading the charge in the private-credit markets.
Blackstone's Stephen Schwarzman wishes you a happy holiday season.
2. Happy holidays from your friendly, neighborhood PE firm. Blackstone and Apollo released their annual holiday-themed videos, which included top executives poking fun at themselves and plenty of cameos. Check them both out here.
3. When PE firms start hunting for deals, these are the tech companies they'll target. Everyone is anticipating private-equity firms to go on a buying spree next year as companies' valuations continue to plummet. We identified the 34 tech companies that might be high on their list. Check them all out here.
4. A new family office enters the fray. The Mills family, which amassed its fortune from the sale of Medline Industries, is launching a family office to help manage some of its money, Bloomberg reports. Here's more on what the $5 billion firm will be focused on.
5. Meet the agents and managers helping the world's best athletes become content creators. There is plenty of money to be made on the court or field, but athletes can enjoy long-term financial success in media as well. Here are the 24 people helping to make that happen.
6. Just because you didn't get laid off doesn't mean you should feel safe. Some tech companies are instructing managers to label low performers on their teams, potentially signally more cuts at some point in 2023. More on why some companies are deploying a tactic known as "stack rating."
7. Artificial intelligence might play a big role in whether you get your next job. HireVue helps companies like Amazon, Unilever, and Goldman Sachs speed up the hiring process by using AI to assess job seekers. Here's how it works.
8. If your New Years' resolution is to find a new job, read this first. To land your dream job you need to figure out what it is first. An executive coach shares tips for how you to figure out what is the perfect gig for you.
9. Take a tour of the most expensive neighborhood in the US. Miami's Indian Creek Village, also known as "Billionaire Bunker," has a median listing price of $21.2 million. Take a peak at the island whose residents include Carl Icahn and Adriana Lima.
10. Wait, you ONLY have a wine cellar? Turns out, having one room dedicated to booze isn't enough for the ultra-wealthy, The Wall Street Journal reports. From whiskey lounges to tequila tasting rooms, take a look at the rooms the wealthy have dedicated to alcohol.
Edited by Michelle Abrego (tweet @Mabrego) in New York and Hallam Bullock (tweet @hallam_bullock) in London. | 2022-12-16T13:57:18Z | www.businessinsider.com | Private Credit Top Executives Shaping the $1.2 Trillion Market | https://www.businessinsider.com/private-credit-market-top-executives-lending-2022-12 | https://www.businessinsider.com/private-credit-market-top-executives-lending-2022-12 |
The DEA is alleging Truepill, Cerebral's former pharmacy partner, broke the law in filling prescriptions for highly regulated drugs
Shelby Livingston, Blake Dodge, and Rebecca Torrence
Truepill CEO Sid Viswanathan.
The DEA just put Truepill on notice that it may revoke its ability to fill controlled substances.
The agency alleges that the pharmacy startup unlawfully dispensed stimulants used to treat ADHD.
Truepill partnered with the mental-health startup Cerebral to send prescriptions to its patients.
The US Drug Enforcement Administration just put Truepill on notice that it may revoke its ability to fill controlled substances, citing allegations that the online pharmacy startup unlawfully dispensed stimulants used to treat ADHD, including Adderall.
The Order to Show Cause requires that Truepill show evidence to justify its prescribing practices for controlled substances, which are highly regulated drugs. If the evidence isn't convincing, the pharmacy startup could have its DEA license revoked, which would leave the company unable to fill prescriptions for controlled substances.
It's the first public signal that the DEA is paying attention to the rise of companies profiting from online prescriptions for controlled substances.
Truepill filled controlled medications for multiple online mental-health startups thatfaced scrutiny for providing easy access to such drugs, including Cerebral and Done. Truepill also created its own ADHD medication startup, called Ahead, before shutting it down in June 2022.
Truepill and Cerebral didn't immediately respond to requests for comment.
In a December 15 press release, the DEA alleges Truepill filled more than 72,000 controlled substance prescriptions, many of which were for stimulants, between September 2020 and September 2022.
In "numerous instances," the startup dispensed prescriptions that weren't issued for a legitimate medical purpose, the DEA alleges. The DEA said an investigation also found that Truepill filled prescriptions that exceeded the 90-day supply limits, or that were written by prescribers who lacked licenses in the relevant states, the agency said.
Several pharmacies including Truepill and CVS moved to cease dispensing controlled-substance prescriptions from Cerebral, the mental-health startup under several federal investigations, in May.
The DEA's December order is a sign that the agency isn't just focused on the providers behind the risky prescriptions, but also the pharmacies that issued them.
"DEA will relentlessly pursue companies and pharmacies that seek to profit from unlawfully dispensing powerful and addictive controlled substances at the expense of the safety and health of the American people," DEA Administrator Anne Milgram said in a statement.
"The men and women of the DEA remain committed to ensuring that every American can access essential medicines when they are lawfully prescribed and dispensed," she added.
Truepill Cerebral DEA | 2022-12-16T15:28:21Z | www.businessinsider.com | DEA Alleges Truepill Filled Prescriptions for Adderall Illegally | https://www.businessinsider.com/dea-order-truepill-prescriptions-controlled-substances-adderall-illegal-2022-12 | https://www.businessinsider.com/dea-order-truepill-prescriptions-controlled-substances-adderall-illegal-2022-12 |
Wall Street's shift to the public cloud hasn't come cheap. From dashboards to automation, here's how firms like Morgan Stanley and Vanguard are keeping costs down while using the tech.
Vanguard's Michael Carr, Morgan Stanley's Allison Gorman Nachtigal, Capital One's Anne Johnston
Vanguard, Morgan Stanley, Capital One
The world's biggest financial firms have embraced the public cloud for its scalability and speed.
But companies are increasingly taking a careful, pragmatic approach to spending on cloud.
Wall Street execs detailed their approach to the growing trend of cloud expense management.
When Vanguard first made a push into the public cloud, Michael Carr, the firm's chief technology officer, knew realizing savings was a key part of the move. Carr even created a group focused on understanding the pricing discounts it could arrange with providers as it migrated to the new tech.
But it wasn't long before that group, known as the Cloud Business Office, added to its mandate figuring out ways to save money by keeping its usage of the tech down. The team went as far as creating a weekly top 10 list of the applications consuming the most cloud services, and now awards badges to frugal developers.
"More and more, to be a good cloud engineer means to know how to manage the cost of your application," Carr told Insider.
The giant asset manager, which counts some $7.8 trillion in assets under management as of July, according to regulatory filings, isn't alone in its fight to manage cloud expenses. Finance firms have embraced the public cloud partly due to promises of cost savings, but many tech leaders across the industry have learned the hard way that's not always the case.
"The disadvantage with the cloud is if you make it easier for people to consume infrastructure, they will have a tendency to consume more," Carr said.
The cloud brings cost savings for companies that do away with expensive data centers. The tech also allows users to quickly adjust compute capacity depending on needs โ no easy task to do on-premโ and gives them ready-to-use software tools to create new applications and products.
But the pay-as-you-go subscription model associated with the cloud can also lead to higher expenses when usage goes unchecked.
It's an issue all companies, regardless of industry, are grappling with.
Cost control was noted as the most frustrating challenge posed by the cloud, according to research from the IT consultancy firm Gartner, which surveyed 850 IT professionals across a variety of industries, including financial services, government, and retail. Gartner also estimates that 60% of infrastructure and operations leaders will experience public-cloud cost overruns by 2024.
Part of the issue stems from the fact that one of the cloud's greatest assets โ how quickly a new app or tool can be created โ is also one of its biggest risks, from a cost perspective.
With an on-premise infrastructure, tech teams need to go through sourcing and procurement departments and undergo cost-recovery analysis, which can take weeks or months to do, Wells Fargo Chief Technology Officer Steve Hagerman told Insider.
"In the cloud environment, a developer can make a change to their terraform script and in seconds or minutes, provision a whole new set of infrastructure," Hagerman said.
As finance firms settle into their cloud strategies and get used to the new pricing model, technology and operations leaders are coming up with new solutions to keep track of cloud usage and costs.
Dashboards, automation, and re-architecting applications
At Wells Fargo, Hagerman hosts daily meetings with cloud business teams to review a detailed dashboard that surfaces daily expense trends and identifies anomalies or spikes.
Viewing the usage patterns helps Wells identify which cloud workloads can be automatically powered off during off-hours, such as dialing down the US-branch banking systems overnight and coming back online at the start of the next day. "That drives a good bit of our assumption on cost benefit," Hagerman said.
At Morgan Stanley, the bank saves money by buying in bulk. In certain instances, the firm will commit to pay for one or three years of cloud compute at a time, Allison Gorman Nachtigal, managing director and head of the bank's cloud program, told Insider.
"If you know you're going to have a steady-state run, that can be a nice way to reduce your bill," she said.
On the flip side, for applications with short-lived processing, like risk calculations or testing workloads, the bank can leverage spot pricing. Through spot pricing, Morgan Stanley can tap into cloud providers' excess compute at a lower price until another customer is willing to pay a higher premium.
"We actually have our development teams modify the applications, because you need to use an application architecture that can handle the interruptions which come with using spot capacity," Gorman Nachtigal said.
In another case, Morgan Stanley re-configured a tool that monitored the performance of an app to take smaller snapshots, as opposed to tracking the app continuously. The change resulted in "a material reduction in our bill overnight," Gorman Nachtigal said.
"By dialing down the percentage of telemetry we saw a direct impact to our bill. We have seen as much as a 50% reduction in the analytics service in cases where the defaults collected far more data than our applications required," she said.
Capital One, which was a first-mover on Wall Street to fully embrace the public cloud beginning in 2014, noticed one of the faster growing costs was data storage, according to Anne Johnston, the senior director of the bank's Cloud Evolution team that oversees cloud spend.
The bank leveraged an AWS automation tool to move datasets that aren't accessed frequently to different tiers of storage options that are cheaper.
"If you have not accessed it in a certain amount of time, things will age and actually move through those tiers and ultimately it lands in a tier that is cheap," she said. Such implementation has seen the bank decrease its S3 storage cost by 35%.
As with most technology applications, there's a human behavior element to cloud cost savings.
At Capital One, it took years to build a culture of collaboration between technology and finance teams within the bank's centralized cloud expense management division, Johnston said. Before, the finance team would send the tech team an aggregate bill at the end of each month and "that was kind of the end of the story," Johnston said.
Bringing the teams together has opened up conversations they weren't previously having. Now, a finance employee can talk about the type of data the bank is storing, and a developer can speak to the bank's month-over-month change in financial reporting, Johnston said. Speaking the same language has instilled a greater sense of empathy across different teams, like finance, technology, business, and others.
Similarly at Morgan Stanley, the centralized cloud team under Gorman Nachtigal shares the responsibility of cost ownership with the application development teams, and both are involved with addressing usage spikes and anomalies.
"Are we excessively logging or are we potentially leaving environments up that we could be spinning down? We share that responsibility with people that actually understand the workloads," Gorman Nachtigal said.
"We've had no real problem motivating people to be mindful of their costs as long as we have put the dashboards in front of them so that they can see them move," she added.
NOW WATCH: WATCH: Executives from Morgan Stanley, Citi, and Barclays explain how they encourage innovation within big, unwieldy banks
Wells Fargo Vanguard | 2022-12-16T15:28:27Z | www.businessinsider.com | How Banks, Investment Firms Handle Cloud Expense Management | https://www.businessinsider.com/finance-firms-cloud-expense-management-strategy-morgan-stanley-vanguard-2022-12 | https://www.businessinsider.com/finance-firms-cloud-expense-management-strategy-morgan-stanley-vanguard-2022-12 |
What is credit card delinquency?
Stages of credit card delinquency
How to remove delinquency from credit report
How to dispute credit report
How to get out of delinquency
You can write a goodwill letter to your creditor to see if they'll remove a delinquency on your credit report.
David Sacks/Getty
A delinquency on your credit report refers to a payment that is at least 30 days past due.
Your credit score drops exponentially as your credit account falls deeper into delinquency.
Most adverse information on your credit report, delinquencies included, falls off after seven years.
When you apply for a loan or a credit card, these creditors evaluate your credit history to see how risky of an investment you are to them. One of the red flags that these lenders are looking for is delinquencies, a period where you had an overdue payment for an extended period of time.
It's in your best interest to avoid these and the subsequent late fees, higher APRs, and hits to your credit score. However, if you find you're already in this situation, you still have options to salvage your credit.
What is a delinquency on your credit report?
A delinquency on your credit report refers to a missed minimum payment on borrowed money, on either a loan, mortgage, or line of credit. Technically, your credit account falls into delinquency the first day your payment is past due. However, creditors usually don't report a missed payment to the credit bureaus until that payment is 30 days past due, at which point it appears on your credit report.
This has serious ramifications for your credit score, which indicates to potential lenders how likely you are to repay a debt. If a lender sees an extended period of time on your credit history where you didn't make a required payment, it might lead them to think that if you've done it once, you're likely to do it again.
Stages of credit delinquency
Credit card delinquency comes in stages if you continue to miss payments for multiple months. Each stage comes with a kick to your credit score, which compounds exponentially as you fall further into delinquency, and additional consequences.
30 days past due: At 30 days without payment, your missed payment officially falls into delinquency. Your credit card company will report the payment to the three major credit bureaus, and you'll see that reflected in your credit score, which will take a hit.
60 days past due: The consequences start compounding the longer a bill is left unpaid. After 60 days, most credit card companies will hit you with a penalty APR for failing to make a payment on time. The penalty APR period will vary depending on your credit card company. Most penalty APRs end after you make a certain number of consecutive on-time payments; others are applied indefinitely.
90 days past due: A credit card company might send your debt to a third-party collections agency after 90 days of delinquency. These agencies will hound you with phone calls in an attempt to push you to make good on your outstanding debt. On top of this, keep in mind that with each passing month, your credit score continues to decline.
180 days past due: At 180 days into delinquency, credit card companies are required to charge off your debt, meaning they write the debt off as a loss and close your account off to future charges. However, this doesn't mean you're free of your debt. A credit card company may send your debt to a third-party collection agency. If your debt is above a certain amount deemed sufficient for legal action โ usually over $8,000 โ a credit card company may also sue you.
How do I get rid of credit delinquency?
While you cannot remove a correctly reported delinquency from your credit report on your own, your creditor can. You can try asking your creditor to forgive the late payment and remove it from your credit history through a goodwill letter. This scenario is most probable if you have a good reason for missing your payment such as an illness or disaster out of your control. If for some reason, the late payment wasn't your fault and you can provide documented proof, that may also be a reason for your creditor to forgive your late payment.
Even if you don't fall into these categories, if you have a good relationship with your creditor or otherwise spotless payment history, your creditor may agree to make a goodwill adjustment.
Creditors are under no obligation to grant your adjustment request. If your creditor refuses to remove a missed payment from your credit report, you're stuck with the delinquency until it drops off your credit report. Fortunately, your credit history is constantly cycling.
A delinquency will fall off your credit report seven years after the date your account first fell into delinquency, also known as the original delinquency date. Even before that seven-year mark, as a delinquency ages on your credit report, its effect on your credit score will fade.
If a delinquency is accurately reported, going through your creditor is your only option to remedy the situation. However, you may find that a delinquency was incorrectly recorded on your credit report. Perhaps you made the payment on time, or it's been over seven years since your account first fell into delinquency. In that case, you will need to dispute the delinquency with each of the three major credit bureaus: Experian, Transunion, and Equifax.
The first thing you will need when you file a credit report dispute is a copy of your credit report. You're normally entitled to one free report per year from each credit bureau, which you can request at AnnualCreditReport.com.
Note: You're entitled to a free credit report from each of the three credit bureaus once every 12 months. Until December 31, 2023, you can access your free credit report from each bureau once every week.
Before you file your dispute, you will want to prepare the following documents and information:
Your name, addresses you've lived in over the past two years, date of birth, and social security number
A list of the mistakes you want to be rectified with the corresponding account number and why they should be rectified
A copy of your credit report with each mistake circled
A copy of a government-issued ID
A utility bill or bank statement
Documents that support the information you've given
With those documents in hand, you should file a dispute with each bureau.
Experian: You can file a dispute at Experian through their online disputes hub or the phone number listed on your credit report. You can also file your dispute through the mail at Experian, PO Box 4500, Allen, Texas, 75013
Equifax: You can dispute an Equifax credit report through their credit report services hub. You can file disputes over the phone at 888-397-3742 or by mail at PO Box 740256, Atlanta, Georgia, 30374-0256
TransUnion: File a dispute through TransUnion's credit disputing hub. You can call 833-395-6941 for a dispute expert at TransUnion or through the mail at TransUnion Consumer Solutions, PO Box 2000, Chester, Pennsylvania, 19016-2000
To get out of delinquency, you will need to settle all the minimum payments that have accrued while you were in delinquency.
For example, let's say you're 90 days into delinquency with a minimum payment of $35 each month. Even if you've finally paid off that first $35 that initially put you into delinquency, you still have two minimum payments, one that is 60 days overdue and one that is 30 days overdue, left outstanding. You need to pay those off to finally be free of delinquency.
Note: Making contributions below the minimum payment will not affect your delinquency status. It's much more worth your time and money to wait until you have a full installment on hand before making a payment.
If you're finding it difficult to make your payments, it is also possible to negotiate with your creditor and set up a payment plan. You may also qualify for a hardship payment program that some credit card companies offer. In any case, it's best to communicate with your creditor so they aren't left in the dark with a debt to settle with you.
Credit card delinquency frequently asked questions (FAQ)
What are the consequences of credit card delinquency? Chevron icon It indicates an expandable section or menu, or sometimes previous / next navigation options.
After you've missed a minimum payment by 30 days, your credit score will take a hit. With each passing month, the drops in your credit score increase exponentially. How far your score drops will depend on where it was initially. A higher credit score will experience a bigger drop than a credit score that was already subpar. You will also incur late fees and potentially a penalty APR, which can be as high as 29.99%.
Are credit report disputes free? Chevron icon It indicates an expandable section or menu, or sometimes previous / next navigation options.
Yes, disputing an item on your credit report, even if your dispute is rejected, is entirely free.
PERSONAL FINANCE How to get your credit report for free
PERSONAL FINANCE How to read a credit report | 2022-12-16T15:28:57Z | www.businessinsider.com | What Is a Delinquency on Your Credit Report? | https://www.businessinsider.com/personal-finance/delinquency-on-credit-report | https://www.businessinsider.com/personal-finance/delinquency-on-credit-report |
Nationwide pet insurance cost
Nationwide pet insurance vs. Healthy Paws
Nationwide pet insurance vs. Figo
Nationwide pet insurance
On Nationwide's website
Coverage for vet exam fees available
24/7 telehealth vet line
Discounts for multipet and new plans
12 month waiting period for joint injuries
Only one annual deductible available
No coverage for end-of-life expenses
Nationwide pet insurance is a well-known company offering pet owners customized pet insurance coverage at competitive rates. Nationwide has provided homeowners, auto, and other insurance products since 1926. However, its pet insurance has only been on the market since 1999. Still, many families trust Nationwide products to reimburse them for pet fees, cover wellness care, and more.
Nationwide pet insurance offers customizable plans and discounts, including discounts for multiple pets, healthy lifestyle choices, and preexisting condition coverage options. In addition, buyers with a home, auto, renters, or other insurance policies through Nationwide may qualify for multi-policy discounts.
The company is accredited by the Better Business Bureau and has achieved an A+ rating, which speaks volumes about its trustworthiness and commitment to providing quality service. Additionally, Nationwide pet insurance is available in all 50 states, making it easy for pet owners to find coverage regardless of where they live.
Pet insurance plans from Nationwide
Nationwide offers three pet insurance plans you can choose from: major medical, major medical with wellness, and whole pet.
The major medical plan provides pet insurance coverage for illnesses and injuries. The coverage amount will depend on the treated condition (up to the annual reimbursement limit).
It's the least expensive of the Nationwide pet insurance options but offers the lowest coverage. In the event of an accident or illness, your out-of-pocket expenses would be higher. You can add the wellness plan to it for a more comprehensive package.
With major medical with wellness coverage, you'll get reimbursed for preventative services like heartworm tests, vaccinations, illnesses, and injuries. This is an excellent option if you don't need coverage for hereditary and congenital conditions with the benefits of wellness coverage. In addition, premiums are affordable for the average pet parent providing significant financial relief in an emergency without a massive strain on their wallets.
Whole pet is the most comprehensive and expensive plan compared to the other two coverage options.
The whole pet plan will cover illnesses, injuries, accidents, exams, and testing, up to the allowed annual maximum. It will also cover treatment for congenital conditions. But you'll have to add pet wellness coverage if you want more preventative stuff included in your policy. Nevertheless, a growing number of pet parents choose this option to be prepared for the worst. While we all hope it will never be us, the whole pet Plan could save pet parents thousands in veterinary bills.
Additional coverage options from Nationwide pet insurance
Nationwide doesn't offer any additional coverages or add-ons outside of being able to combine the pet wellness plan with the major medical plan.
How much does pet insurance from Nationwide cost?
The price of your pet insurance with Nationwide will depend on a variety of factors, including your pet's age, breed, gender, and where you're located.
For this review, we used a handful of different pet profiles to get an idea of the typical cost of coverage.
This first example will examine coverage options for a 4-year-old Australian Shepherd living in Colorado.
As you can see, the major medical plan is the least expensive at $34.66 per month, with the major medical with wellness being the most expensive at $53.68 per month.
The price of the whole pet plan falls in the middle, but the premium will depend on the reimbursement level chosen. The per-pet rate may be lower for households with multiple pets.
These are the premiums for a large 2-year-old mixed-breed dog living in New York.
Dog insurance quote
As you can see, the premiums in this example are higher, mainly influenced by the dog's size.
Now let's look at two examples of coverage for cats.
Below is what you'll pay for coverage for a 3-year-old medium-haired mixed-breed cat living in South Carolina.
Cat insurance quote
Again, the prices vary, going from the least expensive option, major medical, at $13.54 per month, to the most costly, major medical with wellness, at $36.16 per month. If shopping for the lowest price product, the $7 difference between major medical and whole pet is explained by full coverage for hereditary and congenital diseases (not preexisting conditions) with the whole pet plan. The jump in rates between whole pet and major medical with wellness is because you're technically getting two plans (wellness and medical).
Lastly, below are the premiums for a 6-year-old mixed-breed short-haired cat living in California.
Like the other examples, the price of the policies increases as coverage increases, with major medical coverage costing $23.76 per month on up to $41.76 for major medical with wellness. The cost of a whole pet plan is in the middle, but it depends on your chosen reimbursement level.
How do I file a claim with Nationwide pet insurance?
Nationwide's claims process is pretty straightforward. You can either file a claim online or download the claims form. Then email it, fax it, or mail it in.
Nationwide's claims department can be reached by email at submitmyclaim@petinsurance.com. By fax at 714-989-5600. Or by mail at:
Nationwide Claims Department
Brea, California 92822
Claims are typically processed within 30 days, and you can choose between a paper check or electronic payment. For speedier claims, submit your documents and application, including vet's invoices.
Nationwide's pet insurance customer service number is 800-540-2016, and agents are available Monday through Saturday.
Compare Nationwide pet insurance vs. Healthy Paws
While both companies offer comparable coverage, there are a few key differences. Nationwide Nationwide pet insurance's plans include vet exam fees for covered conditions, whereas Healthy Paws does not. However, Healthy Paws does not have limits on its coverage like Nationwide does.
Compared to Nationwide, Healthy Paws is more affordable and will accept pets up to 14 years old. The only downfalls are no wellness plan options and no coverage for exotic pets. In addition, to be covered by Healthy Paws, a vet must complete a clinical exam. With Nationwide, it's sometimes possible to use records for enrollment.
For some parents, two distinguishing features could be the breaking point. First, Nationwide customers already signed up for auto, home, or other insurance policies may qualify for multi-policy discounts. Familiarity is key. While Healthy Paws discounts and premiums vary, the company donates part of its profits to homeless pets. Healthy Paws believes it's about more than business, and many of its customers agree.
Compare Nationwide pet insurance vs. Figo
On Figo's website
3 popular pet insurance plans
Riders available for preventative care and routine vet services
Excludes certain genetic issues and preexisting conditions
Insurer recommends submitting 12 months of vet records with your application
Both Nationwide and Figo are well-known in the pet insurance space and offer many similar types of coverage.
Figo's offerings are more flexible than Nationwide's as you have more annual coverage limit options to choose from with Figo. You can also select various reimbursement levels and deductibles with Figo. While some pet parents choose yearly limits of $5,000-$10,000, Figo is among a shrinking list of pet insurance companies offering unlimited coverage options.
Nationwide offers coverage for exotic pets, while Figo does not. But Figo's premiums are generally slightly less expensive than Nationwide when comparing coverage options.
In reviewing Nationwide, we looked at a variety of factors, including:
Options for customization
When considering cost, we compared Nationwide's premiums to industry averages. Then, in looking at coverage and add-ons, we factored in the various levels of coverage offered by the company and whether or not it provided additional coverage.
Of course, customization was also a factor in our review because people want a pet insurance policy fitting their personal needs and wants. Customer service is also an essential factor. Pet parents looking for pet insurance will want to know they're taken care of if they need to use their policy. Our primary question in pet insurance reviews is whether the plans make sense for the average user.
Does Nationwide pet insurance cost more for older pets? Chevron icon It indicates an expandable section or menu, or sometimes previous / next navigation options.
Yes, like most insurances, the cost of your pet insurance premium will increase as your cat or dog ages. Insurance companies know the older your pet is, the more likely it will face an illness. Higher premiums reflect this. In addition, there are some age limits for certain types of coverage depending on the provider. With average premiums between $20 and $60 with many pet insurance companies, these exclusions help companies avoid rate increases across the board.
What is Nationwide's pet insurance reimbursement rate? Chevron icon It indicates an expandable section or menu, or sometimes previous / next navigation options.
The reimbursement rate on your Nationwide pet insurance policy will depend on which plan you get. For example, Nationwide's whole pet plan with the wellness plan add-on offers varying reimbursement levels of 50%, 70%, or 90%. Your premium increases as your reimbursement level increases. Remember that reimbursement starts once you've met your deductible.
How long has Nationwide pet insurance been around? Chevron icon It indicates an expandable section or menu, or sometimes previous / next navigation options.
Nationwide has been offering pet insurance for over 20 years, starting in 1999. As the largest pet insurance provider in the US, you can rest assured knowing you're getting quality coverage backed by a reputable company. | 2022-12-16T15:29:03Z | www.businessinsider.com | Nationwide Pet Insurance Review: Plans, Rates, Benefits, and FAQ | https://www.businessinsider.com/personal-finance/nationwide-pet-insurance-reviews | https://www.businessinsider.com/personal-finance/nationwide-pet-insurance-reviews |
Bankman-Fried's lawyers asked a magistrate judge during a Tuesday court hearing in the Bahamas to consider releasing him on a $250,000 bail so he could keep his vegan diet and stick to his medications, but the judge denied Bankman-Fried bail and remanded him to custody in Fox Hill correctional facility in Nassau until February.
Bankman-Fried's parents have stuck close by his side since FTX's collapse. Bankman and Fried attended their son's hearing in Nassau and The Wall Street Journal reported that they've been in the Bahamas for more than a month. The publication reported that they couple has told friends they expect their son's legal bills to wipe them out financially and that Bankman is postponing a class he teaches at Stanford to the spring. | 2022-12-16T15:29:09Z | www.businessinsider.com | SBF's Parents Visited Bahamas Prison Where He's in Custody | https://www.businessinsider.com/sam-bankman-fried-ftx-sbf-parents-visited-bahamas-prison-alameda-2022-12 | https://www.businessinsider.com/sam-bankman-fried-ftx-sbf-parents-visited-bahamas-prison-alameda-2022-12 |
Small businesses can innovate to stand out to job seekers.
LumiNola/Getty Images
Big companies are revisiting pre-pandemic policies like requiring employees to work from the office.
But small-business owners that can offer flexibility have a competitive edge in hiring.
A founder, an HR exec, and a professor shared how small businesses can innovate in the job market.
In June 2021, after more than a year of enduring COVID-19-related challenges as a restaurant owner, Meghan Lee needed a new way to sustain her business.
"I was watching our momentum die," said Lee, who runs a restaurant called Heirloom in Lewes, Delaware. "Everyone was exhausted, I was exhausted, and I was like, 'I need to change my model because something's not working.'"
She parted ways with her executive chef, restructured her staff, and implemented a collaborative kitchen where everyone had the opportunity to be the head chef. Lee said the changes have led to a more cohesive work environment and employees who feel valued.
Meanwhile, behemoth companies like Snap have been revisiting pre-pandemic policies and requiring employees to work from the office again, leading to backlash from some workers.
"We are in a moment where now more than ever we are seeing people very willing to articulate what their expectations are," Joan McGrail, chief human-resources officer at New Balance, told Insider. "It does have us really ensuring that we are ready to respond and continue to be competitive."
Angela Lee, a professor at Columbia Business School and faculty director at the school's entrepreneurship center, said small-business owners like Meghan Lee have an opportunity to build a positive culture, offer creative benefits, and provide the transparency that many workers are prioritizing. She added that those things would give them an edge in hiring or retaining employees.
She suggested that small-business owners can more precisely tailor things like remote-work opportunities and mental-health benefits based on their employees' needs.
Here's how Meghan Lee, Angela Lee, and McGrail suggest small-business owners innovate their policies to compete with big companies for talent.
Build a collaborative and transparent environment
Angela Lee said that especially in an uncertain or nerve-wracking economy, "you should not decrease the quality of your hires." After all, she added, "culture is set at a company by the 10th employee."
Meghan Lee said that before she made the changes in her restaurant, she made a promise to herself to never hire someone just to fill a space. She said that setting standards from the beginning had helped with employee hiring and retention because everyone works well with those around them.
Angela Lee said that while small-businesses owners can't always promise stability, they can promise to be transparent with employees about what they're working through and invite employees to be part of the decision-making.
Be creative with remote-work opportunities
As more workers require flexibility in their jobs, small-business owners can innovate on remote-work policies to compete with companies that may be requiring a return to the office.
"What we're hearing commonly is a desire for flexibility as a foundational element," McGrail said.
Angela Lee said entrepreneurs who understand the importance of flexibility can find creative ways to offer that to workers. Employees who don't need to be in an office will value remote or work-from-anywhere options โ but if managers do need people to work from a specific location, they should make the rationale clear, she added.
"The idea of a five-day, 40-hour in-office workweek, that's very antiquated," Angela Lee said. "It can't just be because it's always been this way โ you have to explain why."
Provide opportunities for employees to care for their well-being
Along with a collaborative org chart, Meghan Lee offers a $300 stipend for flights to incentivize her employees to travel during their monthlong break in January, when the restaurant is closed. She said that while it's not the single reason employees stay, it helps boost morale and productivity and shows her employees she cares about them.
Angela Lee suggested small-business owners invest in benefits like mental-health packages or stipends. "Give them a $2,000 mental-health budget and say you can use it for executive coaching or yoga," she said. "Your money has so much more impact when you do things like that."
She also suggested owners tailor benefits, bonuses, and gifts to their employees. "That's much easier to do when you have a 20-person organization than when you have a 20,000-person organization," she said.
Talent Insider Companies Hiring | 2022-12-16T15:50:32Z | www.businessinsider.com | How to Incentivize Hiring and Retention As a Small-Business Owner | https://www.businessinsider.com/incentivize-hiring-and-retention-small-business-owner-remote-work-benefits-2022-12 | https://www.businessinsider.com/incentivize-hiring-and-retention-small-business-owner-remote-work-benefits-2022-12 |
Jack Sweeney said he started tracking Elon Musk's jet because he was a fan of the Tesla CEO.
On Wednesday, Musk threatened to take legal action against the college student who runs @ElonJet.
Sweeney has expressed admiration for Musk in the past.
Jack Sweeney said he started tracking Elon Musk's private jet in 2020 because he was a fan. Over two years later, the billionaire is threatening to sue him after suspending his Twitter accounts.
Since its launch, Sweeney's account that tracks Musk's plane, @ElonJet, has garnered nearly 500,000 followers and spawned over 30 jet-tracking accounts that follow numerous celebrities โ from Mark Zuckerberg and Donald Trump to Taylor Swift and Kim Kardashian. The 20-year-old has made headlines and even gotten job offers as a result of his jet-tracking accounts.
"I don't mean any harm and that's never the intended purpose of the accounts," Jack Sweeney told Insider on Thursday. "I'm literally just sharing public information and the whole intended purpose of the account was originally because I was a fan of him."
The 20-year-old has expressed his admiration for Musk in the past and even said when the billionaire bought Twitter that it would be "probably good" for the platform โ though perhaps not for his jet-tracking accounts. Now, Sweeney said he's disappointed that the relationship has turned sour and had initially hoped when Musk first reached out to him about @ElonJet earlier this year that the billionaire would understand.
"If he was the same age, I could see him doing something similar too," Sweeney said on Wednesday.
On Wednesday, Twitter suspended Sweeney's account that track's Musk's private plane as well as his personal account, and over 30 other jet-tracking accounts. Later that day, @ElonJet was temporarily reinstated and Sweeney received an email saying the account had been suspended to "prevent real time location sharing" and telling the 20-year-old to "please refer to our updated policy regarding location sharing to prevent further account restrictions." Only a few hours later, the account was once again suspended after @ElonJet tweeted asking how long he would need to delay the location data to avoid violating the policy.
Twitter updated its private information policy to prohibit users from sharing people's live locations on Wednesday.
The same night, Musk tweeted that a "crazy stalker" followed the car in which his two-year-old son, X ร A-Xii, reportedly was. He then said that legal actions against Sweeney and "organizations who supported harm to my family" were being taken.
Musk and a Twitter spokesperson didn't immediately respond to a request for comment by Insider.
Sweeney told Insider he'd never call for people to stalk or hurt Musk.
"I've never supported harm," he said. "I ran an account that posts public information and I wasn't saying 'go follow this person' or stuff like that."
Sweeney uses bots to scrape and post publicly available flight data that people would otherwise be able to find on their own via ADS-B Exchange. The college student also shares the tracking data on accounts on Instagram, Facebook, and Mastodon.
Sweeney added he was "not really concerned" for the moment about the legal action threat because he believes there "isn't much ground for him [Musk] to stand on."
Erik Gordon, a business law professor at the University of Michigan, told Insider that while Musk doesn't have a good legal case, a lawsuit could be costly for Sweeney.
Elon Musk Jack Sweeney jet tracking | 2022-12-16T15:50:38Z | www.businessinsider.com | Student Tracking Elon Musk's Jet Said He Started As Fan of CEO | https://www.businessinsider.com/jack-sweeney-started-tracking-elon-musk-jet-twitter-as-fan-2022-12 | https://www.businessinsider.com/jack-sweeney-started-tracking-elon-musk-jet-twitter-as-fan-2022-12 |
Sindhu Sundar and Emmalyse Brownstein
Goldman Sachs plans to lay off up to 8% of its employees.
CEO David Solomon previously said the firm is seeing "headwinds on our expense lines."
The layoffs show the impact on Wall Street of broader economic forces.
Goldman Sachs is set to lay off up to 8% of its staff โ and the hammer could come down as soon as January, a person familiar with the cuts told Insider.
There's still no final decision yet on the total number of people to be laid off, as discussions are ongoing, according to the person.
The layoffs at Goldman were previously reported by Semafor, which reported that some 4,000 employees could be laid off, marking more potential losses than at other banking firms. Goldman's headcount was 49,100 as of September.
The move by the investment banking giant is the latest sign of trouble on Wall Street after a historic surge of deal activity last year gave way to a downturn in 2022 amid persistent supply chain issues and inflation. Goldman Sachs has also been hit by losses to its burgeoning consumer banking division.
Goldman has struggled with losses in its consumer banking business, resulting in a restructuring earlier this year that signaled a major retreat of its ambitions for that unit.
This month, Goldman Sachs CEO David Solomon suggested that tough decisions could be ahead, saying at the firm's financial services conference that the firm wasn't immune to economic forces.
"We continue to see headwinds on our expense lines, particularly in the near term," Solomon said at the conference last week. "We've set in motion certain expense mitigation plans, but it will take some time to realize the benefits. Ultimately, we will remain nimble and we will size the firm to reflect the opportunity set."
Goldman Sachs previously laid off a number of bankers and others across departments including its tech, health care and media teams, Insider previously reported in September.
Godlman Sachs Layoffs | 2022-12-16T16:59:42Z | www.businessinsider.com | Goldman Sachs to Lay Off up to 8% of Workforce | https://www.businessinsider.com/goldman-sachs-layoffs-job-cuts-up-to-8-percent-2022-12 | https://www.businessinsider.com/goldman-sachs-layoffs-job-cuts-up-to-8-percent-2022-12 |
Senator Bob Menendez (D-NJ).
Alex Brandon-Pool/Getty Images
Sen. Bob Menendez urged the CFPB to investigate student-loan company MOHELA.
MOHELA manages accounts for public servants, and it has been criticized for bad customer service.
Borrowers have reported hours-long wait times and delays processing PSLF paperwork.
One student-loan company is responsible for the entire debt portfolio for public servants โ and its track record managing communications with those borrowers is far from adequate, a Democratic lawmaker says.
On Thursday, New Jersey Sen. Bob Menendez criticized student-loan company MOHELA during a Senate Banking committee hearing on the Consumer Financial Protection Bureau (CFPB) and called for the agency to investigate its practices.
As of July, MOHELA became the only company responsible for overseeing borrowers within the Public Service Loan Forgiveness (PSLF) program โ which forgives student debt for government and nonprofit workers after ten years of qualifying payments โ but since then, many borrowers have reported hours-long wait times to get help from a customer service representative and delays processing paperwork, among other things.
"I continue to hear from my constituents about customer service issues with MOHELA ," Menendez told CFPB Director Rohit Chopra.
"Complaints range from telephone wait times of up to four hours, six month or longer processing delays for PSLF applications and Employee Certification Forms, and the issuing of conflicting, misleading, and inaccurate information about the right to receive refunds for payments made during the COVID-19 payment pause," Menendez continued. "I cannot overstate the negative economic impacts caused by MOHELA's abysmal servicing for public service employees."
The transfer of accounts over to MOHELA came at a critical time for public servants. They were trying to take advantage of a waiver the Education Department implemented that included significant reforms to PSLF, like allowing previously ineligible payments to count toward forgiveness progress, which expired on October 31.
But, as Insider previously reported, the company created a number of barriers for borrowers seeking relief. One borrower, Nathan, told Insider in October that he simply wanted to confirm with MOHELA that the payments he made while serving in the Marine Corps would qualify for forgiveness. It ended up being a much more time-consuming task than he anticipated.
"The first time I tried to call was a 144 minute estimated wait time," Nathan said. "The second time I called was a 149 minute wait. And then most recently, I tried to call and it was 50 minutes. And each of these times I didn't have time to wait. I thought it would be a quicker call. And one time I stayed on the call for nearly three hours."
MOHELA was also named in a lawsuit filed by six Republican-led states who sued President Joe Biden's broad student-loan forgiveness plan, arguing the relief would hurt their states' tax revenues, along with that of MOHELA. MOHELA denied any involvement in the lawsuit, but the lawsuit ended up getting the debt relief blocked as it awaits a Supreme Court ruling.
Although the PSLF waiver expired, the Education Department announced additional and permanent reforms to the program, including a one-time account adjustment to give borrowers one more chance to credit past payments toward forgiveness progress, along with simplifying criteria for qualifying employers. | 2022-12-16T17:00:06Z | www.businessinsider.com | Student-Loan Company's 'Abysmal Servicing' Needs Investigation: Menendez | https://www.businessinsider.com/student-loan-company-mohela-abysmal-servicing-pslf-investigation-menendez-cfpb-2022-12 | https://www.businessinsider.com/student-loan-company-mohela-abysmal-servicing-pslf-investigation-menendez-cfpb-2022-12 |
HANNIBAL HANSCHKE /Getty Images
Elon Musk is upping the ante in his battle with the media, but his beef could kill off the platform.
Twitter itself knows news and journalists are major drivers of user engagement on its platform.
Permanently barring even a small group of media risks having a chilling effect and scaring off advertisers.
Elon Musk's war against the media continues.
Twitter on Thursday suspended the accounts of several journalists such as New York Times reporter Ryan Mac and CNN's Donie O'Sullivan, possibly permanently, concluding that they had violated a new rule on doxxing.
The new policy, as Musk explained it, bars users from sharing real-time information on a person's whereabouts. It coincides with Twitter suspending @ElonJet, an account that tweets out the location of Musk's private jet based on publicly available flight data. The journalists' only misstep seems to have been linking to this tracker โ but both Mac and O'Sullivan said they hadn't been given a reason for their bans.
The clampdown on media has alarmed peer journalists, press freedom groups, and regulators. Ryan Mac's employer, the New York Times, described the suspensions as "questionable and unfortunate." CNN said it has "asked Twitter for an explanation" for Donie O'Sullivan's ban and will reevaluate its relationship with the social media company depending on the response it gets.
โIndex on Censorship (@IndexCensorship) December 16, 2022
Press freedom concerns aside, the move makes little business sense. By barring journalists, Musk is openly demonstrating his resentment towards one of Twitter's most active and important userbases, hurting the platform further.
Journalists depend on Twitter, and Twitter depends on them too
By Twitter's own estimates, journalists count for a lot on its platform.
Around 85% of users turn to Twitter to watch, read, or listen to the news once a day, while 83% of people tweet about the news, according to research the company conducted in the US with YouGov and Sparkler between December 2021 and May 2022.
The relationship between reporters and users is symbiotic, it found. Users "regularly follow news-related Twitter accounts, and around 4 in 5 young journalists rely on the platform for their jobs.
Journalists use Twitter more than any other social media platform, according to research from Pew in June, treating it as a real-time source of information. It offers vital resources for reporters to chase the stories that matter.
The advantage for Twitter is that it gets a bunch of content from professional reporters for free and, at its best, becomes easily more powerful than any single TV channel or publication. But Twitter is less important to news organizations, which gain more readers from Google and Facebook. Twitter needs the news, but the news doesn't always need Twitter.
Musk has repeatedly shown he misunderstands the importance of journalists to the company and how the news media treats public figures such as himself.
Defending the bans, he contended that iโf anyone posted the real-time locations and addresses of reporters, the "FBI would be investigating" and that Joe Biden would "give speeches about end of democracy."
Musk has himself revealed his own PO box on Twitter before (albeit accidentally) in a tweet showing a letter he received from a Stanford professor.
Confusingly, he has also previously suggested that he does, in fact, want Twitter to be a place of real-time news.
Bans on reporters will exacerbate what is already a bad development for Twitter: The company is losing its most active users, it told staff in an internal report in October seen by Reuters. Heavy tweeters, accounting for around 10% of Twitter's user base but 90% of all tweets, account for half of Twitter's global revenue, according to the report. It's tough to attract advertisers if you're driving away your own content creators.
Advertisers are also likely to feel jittery if more journalists are thrown off the service. Advertisers want a healthy, active platform to capture attention. A gutted, inconsistently moderated service dominated by one individual is a less attractive proposition.
Less than a month into Musk's reign, Twitter was forced to reduce its ad revenue projection for the final quarter of the year from $1.4 billion to $1.1 billion as advertisers had already vastly reduced its spending on the platform, according to The New York Times.
Musk's inconsistent stance on free speech will bite him
Musk is adamant that he is a "free speech absolutist", but his decisions this past week throw that stance into question.
Vฤra Jourovรก, the EU Commission's vice president for values and transparency, tweeted on Friday that arbitrarily suspending journalists "is reinforced under our #MediaFreedomAct. @elonmusk should be aware of that. There are red lines. And sanctions, soon."
โTaylor Lorenz (@TaylorLorenz) December 16, 2022
Several other prominent journalists have spent the past weeks tweeting about where followers can find their work, posting links to their profiles on alternative apps such as Substack, Post News, and Mastodon, alarmed by the apparently random suspensions of peers.
Despite his best efforts, Musk can't force consensus hatred against the media.
In a poll, Musk asked users if he should "unsuspend accounts who doxxed my exact location in real-time." A rough majority of 60% of respondents say he should unsuspend the accounts now.
Elon Musk Twitter New York Times | 2022-12-16T17:25:55Z | www.businessinsider.com | Elon Musk's Fights With Journalists Only Hurts Twitter | https://www.businessinsider.com/elon-musk-bans-on-journalists-only-hurts-twitter-2022-12 | https://www.businessinsider.com/elon-musk-bans-on-journalists-only-hurts-twitter-2022-12 |
Entrepreneur Ellie Diop pays each of her four kids up to $500 a month to do small tasks around the office.
Courtesy of Ellie Diop
Entrepreneur Ellie Diop is passing down to her kids three money lessons she wishes her parents had taught her early on.
She wants to teach her kids the importance of good credit and investing.
Diop also wants her kids to learn how it feels to be paid fairly for their work.
Ellie Diop is an entrepreneur who turned the $1,200 coronavirus stimulus check she received two years ago into a business with over $1 million in annual revenue. Now the 30-year-old is passing down generational wealth to her four children.
Diop, a business coach and consultant, lived with her kids at her mother's house while she was getting started. First, she hired a financial planner to help her manage her earnings. Her financial planner helped her take the next steps toward buying a new home, and start custodial Roth IRA accounts for each of her children to give them a head start on retirement savings.
Diop pays each of her children $250 to $500 a month for small tasks like cleaning or recording videos. She deposits 50% of their paychecks in their custodial Roth IRAs. The investment accounts allow kids to put as much as $6,000 a year of their earned income in their retirement savings.
Today, Diop is teaching her children three key lessons about building wealth that she wishes she learned from her parents.
1. Diop is teaching her kids how to make passive income
"I certainly wish my parents would have taught me about investing much sooner," Diop says. While her parents didn't teach her about passive income growing up, she's starting early with her own children.
By investing $125 a month in retirement accounts for each of her children, ages 8, 6, and twins age 3, Diop estimates each account will reach six figures by the time they turn 20.
Of the wealth-building lessons she wants to pass down to her children, she says: "How to build wealth is not just what you do to earn the money. Once you have it, what does the money do to earn more on its own?"
2. She wants to teach her children how credit works as soon as possible
Diop tells Insider that she was 18 when she got her first credit card. She adds: "I didn't know what a credit score was until we were all about to graduate college. We were like, 'Oh, what's this? What do you mean my credit will go down if I miss a student loan payment?'"
She wishes that her parents would have added her as an authorized user on their credit cards five years sooner at age 13. Adding children as authorized users on their credit cards is a technique many parents use to give their children a head start on building good credit. Once her kids are 13, she plans on adding them as authorized users to her accounts.
When her children are old enough, Diop wants to teach them the power of leveraging credit to build wealth. "I lost time because I had to build my credit versus if I had already been educated on what credit is. So that's something I'm doing different with my kids."
3. Diop wants her kids to learn how to properly manage their money
"I grew up with a single mother," Diop says. "Me and my dad are close, but my parents weren't of means. I always remember seeing money as very transactional."
By paying her kids for small tasks around the office, Diop wants to teach them how to have a different relationship with money than she did growing up. After depositing half of their paychecks in retirement accounts, Diop puts the rest of their money in a kids' checking account to use for toys or books.
Diop adds: "I wish I would have learned the power in delayed gratification. Now I've come to learn that sometimes, even if you don't see a return on something right away, it doesn't mean that what we invested in is not valuable. We have to condition ourselves to play the long game."
PERSONAL FINANCE How a 28-year-old single mom turned her $1,200 stimulus check into a $1.3 million business
PERSONAL FINANCE A 28-year-old single mom who started a $2 million business says she relies on 5 strategies to build more wealth for the future
PERSONAL FINANCE 2 siblings worth over $325,000 say 3 strategies got them out of poverty and helped build generational wealth
PERSONAL FINANCE The 7-step investment strategy a 27-year-old used to build a $150,000 net worth on a teacher's salary
Generational Wealth investing 101 investing for children | 2022-12-16T17:26:07Z | www.businessinsider.com | Ellie Diop Teaches Her Kids 3 Key Generational Wealth Lessons | https://www.businessinsider.com/personal-finance/ellie-diop-millionaire-entrepreneur-generational-wealth-lessons-children-2022-10 | https://www.businessinsider.com/personal-finance/ellie-diop-millionaire-entrepreneur-generational-wealth-lessons-children-2022-10 |
Twitter Spaces was taken offline after suspended journalists were still able to access it.
Elon Musk joined one of the conversations and was confronted by journalists about the suspensions.
After Spaces stopped working, Musk tweeted that Twitter is "fixing a Legacy bug," and it should return Friday.
Twitter took its Spaces feature offline after Elon Musk joined one and was confronted by suspended journalists, who still were able to access the feature, about their removal from the platform.
Musk abruptly left the Space hosted by Buzzfeed News tech reporter, Katie Notopoulos, and afterwards, Notopoulos tweeted that the Space was shut down.
A little after 2 a.m. Eastern, actor Sir Maejor, tweeted at Musk, asking what happened with Twitter Spaces.
"It's glitching and won't allow ppl in rooms," Maejor tweeted.
Musk replied that Twitter is "fixing a Legacy bug. Should be working tomorrow."
The feature was not back on Twitter as of early Friday morning.
Twitter suspended more than six journalists from the platform on Thursday, all of whom report on Musk regularly. The journalists, including Drew Harwell and Ryan Mac, are from prominent news outlets like The Washington Post, The New York Times, and CNN. Independent journalists including Aaron Rupar and Keith Olbermann were also suspended.
Rupar told Insider he didn't know why he was suspended, and has no information from Twitter about what rule he violated.
But some of the suspended accounts, including Harwell and Jack Sweeney, the college student who runs @ElonJet that tracks Musk's private jet, found they were able to take part in Notopoulos's Twitter Space despite their suspension.
During his appearance in the Space, Musk said "everyone's going to be treated the same, you're not special cause you're a journalist."
"You dox, you get suspended. End of story," Musk said.
He also said "ban evasion" by posting a link to real-time information "is obviously simply trying to evade the meaning." He said it was "no different" than showing the information.
Notopoulos pointed out that Harwell and Mac were reporting on links from @ElonJet showing Musk's location, but Musk said it was still ban evasion, "obviously." Harwell followed up with Musk, saying Twitter is using the same link-blocking technique that Musk criticized when The New York Post's story about Hunter Biden came out in 2020, by blocking links to @ElonJet, and marking the account's Instagram and Mastodon as "harmful."
Musk repeated that users who dox will get suspended, then left the Space.
After the Space was shut down, Notopoulos tweeted that the recording of it was "strangely not available."
Twitter Twitter Spaces Elon Musk | 2022-12-16T17:26:13Z | www.businessinsider.com | Twitter Takes Spaces Offline After Suspended Reporters Access | https://www.businessinsider.com/twitter-spaces-audio-feature-offline-suspended-journalists-confront-elon-musk-2022-12 | https://www.businessinsider.com/twitter-spaces-audio-feature-offline-suspended-journalists-confront-elon-musk-2022-12 |
An electric vehicle connected to a charger in Sweden in 2019.
There are three main types of EV chargers.
Any electric vehicle can use multiple charger types.
Tesla's proprietary plugs exclude other cars from its branded Superchargers.
Before buying an electric vehicle, the first thing you'll want to know is how to charge up.
There are two main things to know about EV charging: charger types and connector types. Any electric vehicle, Tesla or otherwise, can use all three types of chargers.
However, Teslas are equipped with a proprietary connector that excludes other types of EVs from using the company's vast Supercharger network.
Among connectors or plugs, there are two categories: AC and DC, short for alternating or direct current. Type 1 and Type 2 AC plugs are standard on EVs from America and Asia and deliver charge speeds between 7.4 and 43 kilowatts, depending on the charger you're plugged into. At these speeds, a full charge would typically take several hours.
For a faster charge, you'll want to look for DC plugs. Of those, there are two standard types, plus Tesla's. One type of DC is essentially an enhanced type of AC charger with two additional prongs to support faster charging. The other type, CHAdeMO, has fewer prongs, provides a faster charge, and supports bidirectional charging.
Once you have identified your plug type, there are three different types of chargers providing various levels of speed.
Most electric vehicles are sold with a Level 1 charger equipped. It can look similar to an outdoor extension cord in size and length.
While this is likely the most convenient charging option for a new EV buyer โ it's compatible with a standard 120-Volt wall outlet โ this is the slowest way to charge. It's best when your car will be plugged in for a long period, like overnight or during the weekend.
A Level 2 charger can often be found in public areas, like parking garages, restaurants, and grocery store parking lots. These slightly faster chargers โ averaging about 25 miles of range per hour โ can also be installed in your home.
Level 2 chargers can be either hardwired or plugged into an existing 240-volt outlet, the same type of outlet used to plug in your home dryer. These are great for overnight charging, as they can usually deliver a full charge in 8 to 10 hours.
DC Fast Charger
These are the best chargers for long trips, as they can provide the most juice in the shortest amount of time.
Depending on the size of your battery, a DC fast charger can replenish an empty battery to about 80% in a half hour. Tesla's Superchargers, which only work on Tesla vehicles because of the proprietary connector, are DC fast chargers. But non-Teslas can also plug into a DC fast charger that is not owned by Tesla.
How to find public charging stations
Many EVs now have software built in that can help you locate the nearest charger, and apps like Plugshare and ChargeHub are helpful tools for finding the closest compatible charger in a pinch.
Tesla is the only EV maker with a dedicated charging network, which has been a big draw for buyers. Other car companies have relied more on partnerships to build out charging infrastructure, which has made the proliferation of much-needed plugs for non-Tesla drivers a much slower process.
General Motors, for example, is just getting started on its Ultium Charge 360 charging network in North America โ a joint effort with its dealer network and charging startup FLO.
EVs EV charging EV charging station | 2022-12-16T17:30:10Z | www.businessinsider.com | EV Charging Explained: How Different Charger Types and Levels Work | https://www.businessinsider.com/ev-charging-stations-explained-levels-plugs-tesla-supercharger-2022-12 | https://www.businessinsider.com/ev-charging-stations-explained-levels-plugs-tesla-supercharger-2022-12 |
Leaked video shows the CEO of $3 billion GoStudent announcing fresh layoffs. Insiders and Slack screenshots suggest hundreds of staff have been cut.
Riddhi Kanetkar and Tasmin Lockwood
GoStudent CEO Felix Ohswald addressing staff via video at an all-hands meeting on Thursday.
GoStudent held a company-wide all-hands meeting Thursday after a fresh wave of layoffs.
The cofounders blamed the macroeconomic environment for its restructure, which included office closures.
The number of employees affected isn't clear, but Slack screenshots show members dropping by 370 over two days.
SoftBank-backed education startup GoStudent has been forced to slash jobs for a second time in three months due to the economic downturn impacting its aggressive expansion plan, the cofounders told staff during a videoed all-hands meeting on Thursday.
Explaining the changes to staff during the meeting, chief executive Felix Ohslwald and chief operating officer Gregor Muller attributed the firm's restructuring to the rocky economic climate and lower consumer confidence.
"We had our first changes in September of this year while we revised our targets for 2023," Ohswald said. "We truly believed at that point in time that we had done enough, given the information we had at that time."
Ohswald said the economic environment had "significantly worsened" since then and that the company had to "evaluate the growth targets for 2022 and 2023."
"In Europe, we're facing the lowest consumer confidence levels in the last 80 years, and we've all seen this uncertainty in our own ways," he said.
Insider first reported on the new round of layoffs on Wednesday. In the Thursday meeting, the cofounders said the company will close its Latin America and Canada operations but did not reveal the exact number of employees impacted by the cuts.
Muller acknowledged employees would want "concrete answers" on how many people were affected. A question-and-answer session is scheduled for Tuesday next week.
In the meantime, rank-and-file workers are speculating on how many people have been impacted. Sources who spoke to Insider estimate that between 400 and 600 jobs will end up being cut, basing their calculations on the declining number of employees listed in GoStudent's Slack and their knowledge of teams impacted. Screenshots of GoStudent's Slack seen by Insider show the number of members dropping by 370 over two days. However, company execs have not confirmed figures.
In a second internal meeting with GoStudent's product team on Friday, SVP of engineering Dan Maunder was asked directly how many employees would be cut but declined to say.
The two cofounders said this week they intended to brief remaining employees in January on a plan for the company's future, which they have "100% confidence" in.
GoStudent u-turned on perks intended to combat rising inflation
Screenshots of the company's Slack channels show employee confusion in response to the layoffs. One staffer questioned how they are meant to believe in the 2023 plan when teams have been "massacred."
The company had earlier cut employee benefits, u-turning on a previous offer of meal vouchers and pay increases in line with inflation, according to three sources. The cancellation was announced at an all-hands two weeks ago, during which the company also announced its acquisition of in-person tutoring company Studienkreis.
During Thursday's all-hands, Ohswald said GoStudent was stepping away from any "nice-to-have" projects and would instead focus on its core offering of one-to-one tutoring classes. He said the company had reduced travel and renegotiated rent on its offices.
GoStudent pairs tutors with up to college-age students for one-to-one virtual tuition in classes across more than 30 subjects. Founded in 2016, the company was last valued at $3 billion after a fundraise at the beginning of 2022 and counts US hedge fund Coatue, Japanese investor SoftBank, and China's Tencent among its backers.
The startup, which employed around 1,600 people before Wednesday's layoffs, announced a first round of job cuts in September, affecting a tenth of its staff.
EdTech Layoffs | 2022-12-16T18:31:19Z | www.businessinsider.com | GoStudent Details Fresh Layoffs in Leaked All-Hands Meeting | https://www.businessinsider.com/gostudent-details-fresh-layoffs-in-leaked-all-hands-meeting-2022-12 | https://www.businessinsider.com/gostudent-details-fresh-layoffs-in-leaked-all-hands-meeting-2022-12 |
On Thursday, Twitter suspended the accounts of multiple high-profile journalists who cover owner Elon Musk.
Elon Musk later dropped into Twitter Spaces, where reporters asked why the accounts were suspended. He spoke a few times before abruptly leaving.
Listen to the full exchange below.
Twitter suspended the accounts of several high-profile journalists late Thursday, and a Twitter Spaces discussion on the matter, featuring Elon Musk himself, followed shortly after.
Multiple reporters, many of whom cover tech, including Musk and Twitter, saw their Twitter accounts suspended without warning or explanation on Thursday. They include Ryan Mac of The New York Times, Donie O'Sullivan of CNN, Drew Harwell of The Washington Post, Matt Binder of Mashable, Micah Flee of The Intercept, Steve Herman of Voice of America, and independent journalists Aaron Rupar, Keith Olbermann, and Tony Webster.
Several of them had recently tweeted about the @ElonJet Twitter account, which is run by college student Jack Sweeney and tracks flights by Musk's private jet using public flight data available online. Twitter suspended that account on Wednesday despite Musk, who has called himself a free-speech absolutist, tweeting in November that he wouldn't do so.
Musk said on Wednesday, "Any account doxxing real-time location info of anyone will be suspended, as it is a physical safety violation. This includes posting links to sites with real-time location info."
Despite the suspensions, the reporters were still able to use Twitter Spaces. Several of the reporters, along with Jack Sweeney of the @ElonJet account, gathered in a Spaces call hosted by BuzzFeed News tech reporter Katie Notopoulos to discuss the suspensions, and Musk himself briefly joined the call. When pressed for answers about the suspensions, Musk repeatedly said, "You dox, you get suspended." He abruptly left later.
Twitter Spaces later stopped working, which Musk says happened to fix a "legacy bug," but several Twitter users recorded the exchange between Musk and the reporters. You can watch it here:
โBradley Eversley (@ForeverEversley) December 16, 2022 | 2022-12-16T18:31:25Z | www.businessinsider.com | Hear Elon Musk's Twitter Spaces Call With Reporters About Suspensions | https://www.businessinsider.com/hear-elon-musk-twitter-spaces-call-with-journalists-account-suspensions-2022-12 | https://www.businessinsider.com/hear-elon-musk-twitter-spaces-call-with-journalists-account-suspensions-2022-12 |
Rep. Jim Clyburn of South Carolina is the chair of the House Select Subcommittee on the Coronavirus Crisis.
A federal investigation blames fintechs for rampant Paycheck Protection Program loan fraud.
The resulting report named fintechs and lenders it said failed to screen for fraudulent claims.
It could jeopardize fintechs' participation in future federal lending programs.
America's fintech darlings became the MVPs of the Paycheck Protection Program by easing the process for troubled small-business owners, but now they're in hot water over suspicions that they facilitated fraud.
The US House Select Subcommittee on the Coronavirus Crisis released a report this month that named Blueacorn, Womply, Bluevine, and Kabbage among fintechs and small-business lenders that failed to prevent fraudulent loans.
Small businesses benefited most from fintechs' participation in the program because easier online applications meant increased access to government funding, especially for underrepresented founders who were largely left out of initial PPP rounds. Now, the report's findings put fintechs under scrutiny and may jeopardize their participation in future government programs.
The Paycheck Protection Program was a federal rescue program intended to help the 7.5 million US small businesses at risk of closing permanently in the first year of the COVID-19 pandemic. The Small Business Administration awarded nearly $800 billion in PPP loans to 11.47 million businesses.
Since then, the Justice Department has charged several business owners over accusations that they fraudulently obtained forgivable PPP loans, alleging they never used the funds for eligible purposes, such as employee payrolls or certain business expenses. In two notable examples, one man pleaded guilty to purchasing a Lamborghini with one of the government-funded loans, and the Justice Department charged another man over accusations that he bought an alpaca farm with PPP money.
In a two-year investigation into PPP use, the House subcommittee interviewed witnesses, executives, and former employees and obtained internal company communications. The resulting report places much of the blame on the fintech companies and lending partners, saying they failed to screen for fraudulent claims and "abdicated that responsibility, in many cases recklessly."
Kabbage, Blueacorn, and Womply did not immediately respond to Insider's request for comment.
Here are the biggest takeaways from the federal investigation.
Kabbage, Bluevine, Blueacorn, and Womply are among fintechs accused of facilitating 75% of fraudulent loans
Bluevine's logo.
The House subcommittee started its investigation into the companies in May 2021, following news reports that a significant number of fraud cases were connected to loans approved by fintech companies.
Bloomberg reported that fintechs handled only 15% of PPP loans overall but accounted for 75% of the fraudulent PPP loans investigated by the Justice Department. Bluevine, one of the fintechs in this group, processed over $4.5 billion in PPP loans for at least 155,000 businesses, a letter from its CEO says.
Kabbage, which processed over $7 billion in PPP loans to at least 300,000 businesses, accounted for 20% of all suspicious loans, the Miami Herald reported.
As of October, the Justice Department had prosecuted more than 235 defendants in more than 162 criminal cases of pandemic-related fraud, according to an email from the department to the subcommittee referenced in the report.
Banks are also accused of facilitating fraudulent loans
Oscar Gutierrez Zozulia/Getty
Some of the banks that partnered with fintechs to facilitate PPP loans are being scrutinized. The report found lenders largely relied on their fintech partners to monitor fraud and that the ones that worked with Womply and Blueacorn conducted little oversight of their activities.
An investigation from the Project on Government Oversight found that Cross River Bank and Celtic Bank were involved in 30% of the Justice Department's fraudulent PPP loan prosecutions.
According to a May press release from the House subcommittee, Cross River Bank approved more than 280,000 PPP loans, worth over $6.5 billion, and Celtic Bank funded nearly 100,000 PPP loans, which totaled more than $2.5 billion.
Fintech and bank executives anticipated fraud early on and watched as it grew out of control
Fintechs saw an uptick in fraud early on.
According to internal communications obtained by investigators, executives at the fintechs and bank partners anticipated and acknowledged the fraud was happening early on in the PPP rollout. The report said lenders knew it "was not well controlled."
In April 2020, Cross River's chief risk officer said in an email to staff: "There will be fraud rings going after these [PPP] funds." In October 2020, the CEO of Celtic Bank wrote in an email that the high level of fraud was "not surprising" because of the program's guidelines.
In a November 2020 email, a Celtic Bank compliance manager said there was an "uptick in fraudulent and money laundering activities" as a result of the lender's participation in the program.
One exec described taxpayer losses as a 'helluva lot of money,' and companies estimated the sum was between $10 billion and $80 billion
Fintech companies and lending partners estimated the total cost of fraud.
In an August 2020 email, Celtic Bank's president and chief operating officer estimated that fraud losses from PPP loans could have reached "over $10 billion" and described the total loss to taxpayers as well below the expected rate but still a "helluva lot of money."
In September 2020, a Kabbage executive wrote in an email that the consumer-credit-reporting agency Equifax found a PPP fraud rate between 4 and 10%, which amounted to as much as $80 billion in fraudulent funds through the lifetime of the program.
Blueacorn's owners pocketed nearly $300 million in loan-processing fees, and the House subcommittee report found they may have fraudulently received PPP loans themselves
Blueacorn's homepage.
Blueacorn
The House subcommittee investigation found that the fintech Blueacorn in 2021 processed most of the loans facilitated by Capital Plus and Prestamos, the top two PPP lenders by volume that year.
According to the subcommittee investigation, Blueacorn made more than $1 billion from taxpayer-funded processing fees, of which $8.6 million funded the company's fraud-prevention efforts. Meanwhile, the report said the company gave $300 million in profits to its owners and $666 million to a marketing firm controlled by its senior leadership.
Former Blueacorn employees told the subcommittee that they received "poor training" and that they were pressured to "push through" PPP loans even if they suspected inauthentic applications.
The subcommittee investigation found that the Blueacorn founders Nathan Reis and Stephanie Hockridge received nearly $300,000 in PPP loans for themselves, facilitated through their own company. The report added: "In one application, Mr. Reis claimed to be an African American and a veteran, both of which appear to be false."
Womply generated over $1 billion in profits from PPP loans, and lenders described its fraud prevention systems as 'put together with duct tape and gum'
Womply's homepage.
The fintech Womply generated more than $2 billion in loan-processing fees and had a gross profit of $1.8 billion in 2021, according to the report. Lending partners said the company allowed "rampant fraud" and described its fraud-prevention systems as "put together with duct tape and gum."
The subcommittee investigation found Womply received $5 million in PPP loans. The SBA later determined the company was not eligible for the loans and required the company to pay them back in full. That year, Womply's CEO and president earned salaries of more than $400,000 and received PPP loans.
Womply's CEO, Toby Scammell, who was convicted in 2014 of insider trading, led the company's fraud prevention
In April 2014, Toby Scammell pleaded guilty to insider trading in Walt Disney's acquisition of Marvel Entertainment.
Erik Von Weber/Getty
Womply's CEO, Toby Scammell, was convicted of insider trading in 2014 and has been barred from the securities industry. But he led the company's PPP fraud-prevention efforts.
The report said he resisted the federal government's efforts to gain information and told his staff not to cooperate with investigators.
Womply transferred millions of tax documents and bank data from PPP applicants to its cofounders' new business
Personal and financial data was collected by fintech companies when business owners applied for loans.
In May, Womply notified customers that it had changed its privacy policy in order to transfer sensitive data to its founders' new business, Solo Global Inc., a mobile-payment platform.
In an email to staff, Scammell confirmed this included millions of tax documents and bank-account information from PPP-loan applicants. This meant that customers' sensitive information such as bank-account numbers, full credit-card numbers, geolocation data, tax-return details, Social Security numbers, and income information could be used to market and sell additional products, the report said.
Scammell did not tell the House subcommittee whether the company had transferred the data or how it's being used.
Kabbage employees were confused and concerned by the company's loan-review process
The Kabbage cofounders Kathryn Petralia and Rob Frohwein.
According to the House subcommittee report, Kabbage facilitated more than 310,000 PPP loans. Meanwhile, between May and June 2020, the company cut its risk- and account-review teams by about half.
According to the subcommittee report, one employee told her supervisor that she was "really uncomfortable with the review procedures" and that she believed "the level of fraud we're reviewing is wildly underestimated."
In October 2020, American Express acquired a majority of Kabbage's assets and a spinoff company took over PPP loan processing. That company had just one full-time employee handling fraud prevention. The report did not name that company.
Bluevine reduced fraud rates by improving software and review processes
Eyal Lifshitz, the founder and CEO of Bluevine.
The subcommittee report found that the fintech Bluevine initially saw high fraud rates but that its lending partner Celtic Bank stepped in with oversight and prevention measures. Bluevine implemented new software and manual-review processes that significantly reduced fraud cases.
But both Bluevine and Celtic Bank lacked timely reporting of fraud and suspicious activity to law enforcement, the report said.
Bluevine provided the following statement to Insider: "We are proud to have participated in the PPP program during a time that was truly extraordinary. As the subcommittee noted, all fintech companies are not the same, and Bluevine 'adapted to the ongoing threats better' than some of the other fintech companies examined in the inquiry."
Fintech and bank executives passed the buck to the SBA
Isabel Guzman, the Small Business Administration administrator.
The report concluded that there was little incentive for fintechs to monitor fraud because of the low risk to lenders who approved questionable loan applications.
In a May 2020 email, the CEO of Celtic Bank wrote: "The industry should push hard to make sure the SBA accepts the fraud risk."
Another bank executive said the Trump administration was too slow in providing guidance to prevent fraud.
The head of policy at Kabbage wrote in a September 30, 2020, email that it was "the SBA's shitty rules that created fraud," not Kabbage.
The CEO of the Florida mortgage lender Benworth, which provided PPP loans, expressed his concern about what he described as fraud unchecked by his fintech partner.
"When the party is over and the lights turn on, we will be the only ones at the party (and it seems standing naked)," he wrote in an email.
Fintechs face continued scrutiny
A page from the PPP loan application.
Fintechs may have blown their chance to be a part of future government loan programs.
The report called for "stricter oversight during emergency programs" and urged the Small Business Administration to examine whether unregulated businesses like fintechs should be allowed to participate in federal lending programs.
The report also called for further investigation into these companies and their contribution to fraud.
PPP fraud Paycheck Protection Program (PPP) Kabbage | 2022-12-16T18:31:43Z | www.businessinsider.com | PPP-Loan Investigation Links Fraud Loans to Fintech Companies | https://www.businessinsider.com/ppp-loan-investigation-links-fraud-loans-to-fintech-companies-2022-12 | https://www.businessinsider.com/ppp-loan-investigation-links-fraud-loans-to-fintech-companies-2022-12 |
Warner Bros. Discovery's new streamer could keep the name HBO Max as execs wrestle over pricing, timing, and content mix
HBO's "Succession."
Warner Bros. Discovery is considering the name "HBO Max" as well as "Max" for its forthcoming streamer.
Insiders are scrambling to meet a spring launch date and to figure out pricing for the service.
They're also debating how to effectively promote all the Discovery and HBO content on one platform.
Warner Bros. Discovery is still debating the name for its forthcoming streaming app that will combine Discovery+ and HBO Max.
"Max" is in the mix, as CNBC previously reported, but execs are also considering sticking with "HBO Max," the name of the streamer launched under WarnerMedia leadership in May 2020.
WBD announced plans last summer for the combined app, which it hopes will reduce churn, cut costs, and grow subscriptions by combining the content and features of both brands. The company said HBO, known for its premium scripted series like "Game of Thrones" and "Succession," skews male โ while Discovery has a strong female viewership and is known for its unscripted fare like "90-Day Fiancรฉ" and franchises like "Shark Week."
Some CNN shows, like "Anthony Bourdain: Parts Unknown," have already moved to Discovery+ as an interim step to merging the company's content for the new service. And HBO Max is planning to run ads on HBO originals for the first time, a change that's expected to carry over to the combined service.
Keeping HBO in the new streamer's name would trade on the cable brand's prestige, and internal research showed HBO Max subscribers consider the streamer a must-have, according to a source familiar with the findings. Internally, there's concern that just "Max" could present trademark challenges and be hard to win in online search.
Timing, price, and content are being debated
WBD in November moved up the timeline for the streamer launch to spring 2023 from its original target of summer, and it plans to use the Discovery+ tech backbone with some HBO Max features mixed in. One advantage to being out earlier is that it'll have time to get established in the market before people go to watch big summer film releases on streaming.
Insiders shared concerns that the streamer won't have all the intended features ready at launch, however, and could leave consumers disappointed.
From an ad sales perspective, the timing also isn't ideal for WBD since advertisers will have committed a lot of their annual TV ad spending by then.
The price for the combined streamer is up in the air. Currently, Discovery+ costs $7 a month for an ad-free version and $5 a month for an ad-light version. For HBO Max, it's $15 and $10.
The combined app will also have an ad-free and an ad-light version. (Separately, WBD is also planning to launch its own free, ad-supported streaming TV channel, or FAST.)
WBD believes it could charge more for an ad-free version than it currently charges for HBO Max, leadership said during its most recent earnings call, noting that HBO Max hasn't raised its prices since launch. HBO Max is the second-priciest major streamer on the market after Netflix, whose premium tier is $20 per month.
Execs are mindful that HBO Max ad-free subscribers are already paying at the top of the market while Discovery+ subscribers pay significantly less. The plan is to keep the Discovery+ streamer around while trying to get subscribers to migrate to the new streamer, noted an insider.
Figuring out how to present the entire WBD content catalog on the combined streamer without losing the prestige factor of HBO is another huge challenge.
Some high-profile HBO titles, including "Westworld" and "The Nevers," are being taken off of HBO Max as WBD plans to license them to other platforms, including possibly FAST platforms.
WBD has been preparing for the new streamer launch by moving some Discovery+ content to HBO Max. The HBO Max platform has historically relied heavily on human curation to determine which content to suggest to users, but teams are working on adding some data-driven personalization into the mix.
Warner Bros. Discovery streaming tv | 2022-12-16T18:31:49Z | www.businessinsider.com | Warner Bros. Discovery's New Streamer Could Keep the HBO Max Name | https://www.businessinsider.com/warner-bros-discovery-new-streamer-name-hbo-max-price-timeline-2022-12 | https://www.businessinsider.com/warner-bros-discovery-new-streamer-name-hbo-max-price-timeline-2022-12 |
Albert Elliott, an Amazon warehouse worker in Raleigh, North Carolina, recently started a second job as a janitor at a community college.
Amazon dialed back its logistics plans earlier this year in a sign the e-commerce boom was over.
Even so, Amazon's warehouse footprint is "remarkable" compared to competitors, analysts say.
Amazon added roughly half of Walmart's distribution network this year and will keep adding in 2023.
Amazon added roughly 79 million square feet of warehouse space this year and plans to add 63 million more next year, according to Wells Fargo analysts based on conversations with Marc Wulfraat โ President of MWPVL International, a logistics consulting firm, and the preeminent chronicler of Amazon's immense logistics empire.
Launching nearly 1,400 football fields worth of logistics capacity in a single year would seem impossible to most other e-commerce or logistics powerhouses, but it's actually a much smaller undertaking than Amazon planned at the beginning of 2022. The company delayed new building openings and canceled 11 million square feet of projects this year, according to Wells Fargo, citing Wulfraat.
But Amazon's moves are by no means a retreat since the company continues to improve delivery speeds and dominate the US market in terms of warehouse footprint.
Between 2020 and 2022, Amazon added more than 200 million square feet of warehouse space, doubling its physical footprint in the United States. When online orders slowed, the company ended up with $2 billion in unused space and another $2 billion in overstaffing
The subsequent slowdown in warehouse development, announced alongside the company's stock-tanking earnings in April, was one of the first major warnings of an economy entering shaky ground.
It also revealed a theme that continues to repeat across e-commerce and tech businesses in 2022: overbuilding to keep up with explosive demand during the pandemic resulted in dramatic pullbacks and layoffs.
"We've built a physical fulfillment center footprint over 25 years that we doubled in 24 months. And we made that decision even though we knew we might be overbuilding because it took two years to build fulfillment centers at that time," CEO Andy Jassy said in November. "Given that we're going to always shade on the side of customers, I would have done it again."
Now, with the rest of the year's data in, Amazon exiting its "overbuilding" phase was "far from a complete stop," the Wells Fargo analysts say.
Amazon's additions this year are equivalent to half of Walmart's entire distribution center footprint, according to the analysts. And the moves to slow or cancel some planned developments increased efficiency within the existing network. Existing fulfillment centers have been running at 85% utilization and the moves to slow growth of the warehouse network could help Amazon get back to the record profitability of 2021, according to Wulfraat via Wells Fargo
This year's additional square footage went mainly to last-mile delivery facilities, indicating Amazon's intention to keep delivery speeds improving even as order volume drops. Before the pandemic, Amazon was briskly headed toward one-day Prime service and has been trying to get claw back that progress ever since.
"Delivery speeds are getting very close to where we want them to be," CFO Brian Olsavsky said in October.
The 63 million of additional square feet expected next year represents 11% growth โ most of that going to fulfillment centers and more delivery facilities.
BITranspo Logistics Amazon | 2022-12-16T20:02:27Z | www.businessinsider.com | Amazon Slowed Warehouse Expansion, but Still Towers Over Competitors | https://www.businessinsider.com/amazon-warehouse-expansion-slowed-still-towers-over-competitors-2022-12 | https://www.businessinsider.com/amazon-warehouse-expansion-slowed-still-towers-over-competitors-2022-12 |
ChatGPT is too limited and way too expensive to even come close to replacing Google search
OpenAI's ChatGPT often produces wildly inaccurate responses and presents them as if they were correct.
The few cents it costs per chat query would be exorbitant if they scaled to the billion of searches Google handles daily.
The technology may surface as results from a search, rather than the wholesale replacement of search.
The hype around ChatGPT, the sophisticated chatbot from OpenAI, has flooded all corners of the tech world since it was publicly released last month. OpenAI's CEO Sam Altman tweeted that it has already crossed one million daily active users, dozens of people are tweeting screenshots of its lengthy and humanlike responses to questions, and the company's valuation may push even higher into the billions despite reports of relatively meager revenue.
The highest ambition of this hype has been that ChatGPT can replace Google. "Scary" read a headline in the New York Post, quoting experts who said ChatGPT could "eliminate Google within two years." A prominent Twitter account Doomberg declared Google "obsolete" after using the technology for five minutes.
"It seems clear to me which of these two approaches looks more like the future of search. And it isn't Google's," declared journalist Casey Newton in his newsletter praising the technology.
The hysteria around the threat to Google has even made its way into Google. At a recent all-hands meeting, Google's head of AI Jeff Dean faced a question about whether Google had missed the moment on ChatGPT and its underlying technology of Large Language Models. "No," essentially, was his response, according to a report by CNBC.
A Google search executive who spoke to Insider on background said he definitely wasn't worried about the threat from ChatGPT.
There are several shortcomings in LLMs, a technology that is unlikely to be a replacement for Google search, but it may also struggle to go beyond the current phase of an interesting, but deeply flawed novelty tool, according to multiple AI experts, search experts, and current and former Google employees.
Namely: LLMs often render incorrect answers to questions, the cost of running it is exorbitantly high compared to Google search and it doesn't do much of what people have come to expect of search.
"It's easy to get seduced into thinking that Large Language Models are the Star Trek computer, but they're not," said Gary Marcus, an entrepreneur, and professor at New York University's school of engineering.
Marcus, who's been critical of Google in the past, described ChatGPT and LLMs as a magic trick. The technology works by ingesting billions of words across the internet to generate a string of words that would seemingly make sense in response to a question. He calls it "autocomplete on steroids."
The technology can't verify the accuracy of what it's saying and can't differentiate between a verified fact and misinformation that it ingested, Marcus said. Worse, it has a tendency to make up an answer for itselfโa phenomenon that AI researchers call "hallucinations."
For example, someone can ask an LLM several times who the author of a book was. Sometimes it gives the correct response, sometimes it says "I don't know" and sometimes it says the wrong person.
That last option could be the most harmful.
"What's unnerving is it looks as good and confident when it's wrong and when it's right," said Daniel Tunkelang, a search consultant and former employee on Google's search team.
A Google spokesperson declined to comment. An OpenAI spokesperson told Insider that ChatGPT is still learning.
"The motivation for making ChatGPT available as a research preview is to learn from real-world use โ which we believe is a critical part of developing and deploying capable, safe AI systems โ so we iteratively incorporate lessons and make the system safer and more reliable."
Search experts are worried that technology like ChatGPT and other LLMs could soon flood the web with mediocre and inaccurate information. That concern has already caused Google to bolster its algorithm to root out low-quality pages it believes were written by an AI. It has the potential to set off an AI versus AI war across the web as Google's internal AI tech tries to identify and downrank pages it believes were AI-generated.
Google search is, of course, not immune to misinformation, and regularly surfaces links to pages that contain inaccuracies. But unlike Google search, which links to sources for information when it answers a question, an LLM runs into major problems there.
"It will give you references but it makes them up. It doesn't keep track of where it gets its information from," Marcus said.
Altman has been upfront about ChatGPT's limitations, tweeting that it is still a "preview in progress" and still has a lot of work to do in terms of accuracy and truthfulness.
Arguments that ChatGPT or other LLMs could replace Google often miss a major use case of search, not to find an answer to a question but to navigate to a webpage, one former Google executive noted. It's the reason why publishers invest heavily in optimizing their web pages to appear at the top of Google searches.
Even if ChatGPT were a direct threat to Google, it's cost prohibitive. Altman tweeted that each chat costs "single-digits cents" in terms of computing power. That might not sound expensive, and OpenAI reportedly has a deal with major investor Microsoft to offset the computing costs via credits for its cloud computing service Azure.
But if ChatGPT queries reached a comparable amount to the billions of searches that a Google spokesperson said the site handles daily, costs would soar upwards of a hundred million per day. It's a wildly inefficient way to handle queries, according to a former Google executive.
LLMs potential as a search tool continues to spark skepticism and intrigue. One possibility would be integrating LLMs as one of many responses to a search query. For example, You.com, a startup search engine led by the former chief scientist at Salesforce, has incorporated a tool that uses AI to generate text responses to a question, in addition to a list of links to outside web pages.
Even in that situation, Google's search results would be well positioned. The company has spent years investing in large language models and has been testing them internally. It already incorporates elements of LLMs into its search technology.
The jury may be out for a while as to whether LLMs are the future of search. But it's a future that Google should be ready for.
AI ChatGPT | 2022-12-16T20:02:39Z | www.businessinsider.com | The Hype Around ChatGPT Replacing Google Misses the Tech's Limitations | https://www.businessinsider.com/chatgpt-hype-replacing-google-misses-how-limited-the-tech-is-2022-12 | https://www.businessinsider.com/chatgpt-hype-replacing-google-misses-how-limited-the-tech-is-2022-12 |
Alex Nicoll and Rebecca Ungarino
Steve Schwarzman, the chief executive of Blackstone.
Investors are pulling their money from big real estate funds at a quick pace.
Blackstone and Starwood recently limited investors' ability to withdraw.
The SEC is now asking for details about these decisions, according to Bloomberg.
Blackstone and Starwood Capital Group are drawing attention from the Securities and Exchange Commission for their recent moves to limit the ability of individual investors to take their money out of the companies' real estate investment trusts, according to Bloomberg.
The real estate funds have recently seen a surge in withdrawal requests amid a broad drop in investor sentiment and potential economic downturn. This led both private equity giants to pause redemptions after monthly and quarterly withdrawal limits were reached.
Investors in and outside of the funds took notice, as has, apparently, the SEC. The regulatory agency reached out to both Blackstone and Starwood this month to assess the market impact and specific circumstances of the pauses, according to Bloomberg, which cited multiple anonymous sources.
The agency was looking into how the firms served redemptions to their clients, and if any affiliates of the two companies sold their shares before the clients, according to one of the sources. The inquiries are not indications that either firm is under investigation or committed any wrongdoing, the report said.
A Blackstone spokesperson declined to comment to Insider. Representatives for the SEC and Starwood did not immediately return requests for comment on Friday.
Individual investors deal a blow to Blackstone's stock
Blackstone launched the Blackstone Real Estate Income Trust, known in the industry as BREIT, in 2017 as a way to cater to rich individuals โ beyond the firm's typical large institutional client โ who were in search of better returns in what was then a near-zero-interest rate world.
By the assets that flowed into the fund, it was a success. It has amassed $68 billion, and last year the firm looked to replicate the fund for private-credit investors with the Blackstone Private Credit Fund, known as BCRED.
But this year has brought challenges as the real estate market sours and more investors are turning bearish. Bill Katz, a research analyst at Credit Suisse who tracks Blackstone, raised concern over the funds' growth in a report to clients and downgraded the stock to the equivalent of a "sell" rating. Blackstone shares are down 21% in the past month, compared with a 3% drop for the S&P 500.
In recent statements to Insider, a Blackstone representative said BREIT returns have been strong. The fund has posted a return of 8.4% so far this year and a three-year annualized return of 14.9%, according to its website, representing respectable performance to some analysts.
"In response to BREIT redemption limits, our experts agree that the fund is delivering on its mandate from both a performance and liquidity perspective," Morgan Stanley research analysts said in a report to clients on Friday.
Blackstone Starwood Private Equity | 2022-12-16T20:28:33Z | www.businessinsider.com | The SEC Is Asking Blackstone, Starwood About Withdrawal Pause: Report | https://www.businessinsider.com/the-sec-is-asking-blackstone-starwood-about-withdrawal-pause-report-2022-12 | https://www.businessinsider.com/the-sec-is-asking-blackstone-starwood-about-withdrawal-pause-report-2022-12 |
Apple Watch Ultra review: A highly capable smartwatch aimed at sports enthusiasts and anyone willing to splurge
The Apple Watch Ultra is designed with fitness and outdoors enthusiasts in mind.
The Ultra is Apple's new high-end smartwatch designed for athletes and outdoor enthusiasts.
But anyone can benefit from its best features, which include long battery life, the Action button, and a durable titanium build.
The Ultra offers the most advanced Apple Watch experience to date, but its cost and niche functionalities won't appeal to all.
Make no mistake: The Apple Watch Ultra is geared toward avid outdoors people and endurance athletes. But even if you're not either of those types, there are plenty of reasons you might want Apple's rugged high-end wearable.
The Ultra stands out from the rest of the Apple Watch lineup for its long battery life, durable titanium casing, unique functions (deep-sea diving, anyone?), large display, and a customizable Action button. After testing it for several weeks, I believe its everything Apple promises it to be.
But the Ultra costs a whopping $800, which is almost twice the price of the aluminum 45mm Series 8, the model that it's based on. This makes the Ultra tricky to recommend. The Apple Watch Series 8 is not only more affordable, it also offers everything most people want in a smartwatch. But if you're willing to pay up, the Ultra is certainly worth the splurge.
The Apple Watch Ultra is the ultimate choice for iPhone users who need long battery life, whether to track long-duration activities or casual daily usage. Its larger, chunkier, and more durable design also appeals to adventurers, especially divers, as much as it does to casual city slickers.
Longest battery life of any Apple Watch
Action Button is a game-changer
No smaller option
Action Button could offer more options
Extra features (diving and safety) don't benefit everyone
The Apple Watch Ultra is a rugged version of the Series 8
The Apple Watch Series 8 has similar features and capabilities as the Apple Watch Ultra, but the Ultra has unique traits.
The Ultra shares the main specs and features with the Apple Watch Series 8, including the S8 processor. Both models have Apple's new safety features, including Emergency SOS and Crash Detection. The Ultra and Series 8 also have the same health features, including the new sensor that can track your temperature while you sleep, which can be used for ovulation cycle tracking.
Save for battery life, the Apple Watch Ultra and the Series 8 are identical in everyday use, which I cover later.
But the Ultra isn't a Series 8 clone. It represents the most significant advancements to the Apple Watch in years. It has a corrosion-resistant titanium case with a hardened glass display โ not just for durability, but also for water resistance of up to 328 feet and certified depth-gauging and water temperature sensing for diving down to 130 feet in saltwater (it can be used as a dive computer via the Oceanic+ app). For extra safety, the Ultra has an 86-decibel siren and a more precise, dual-frequency GPS for location tracking.
If you don't need the extra features, then the Ultra is a niche Series 8. That's not to say the Ultra isn't worthwhile for its intended user, but the Series 8 (and even the new SE) should satisfy most people. However, there are three features found only in the Ultra that may appeal to the mainstream: Styling, the handy Action button, and the superb battery life.
It looks good on and off the trails
The Apple's Watch Ultra's design is chunkier and larger than the 45mm Series 8, but it still looks appropriate for everyday wear.
For many, the Apple Watch Ultra's size will be an appealing characteristic. Large watches allow for bigger screens, which means more information that's easier to read, especially when combined with a bright, always-on display.
For others, the Ultra's chunkier design could be a deal-breaker, and there's no smaller size option available.
The 49mm Apple Watch Ultra looks significantly bigger than the 45mm Series 8. The bigger appearance is mostly due to the Ultra's flat glass design compared to the curved glass edges of regular Apple Watches. Even the Digital Crown is bigger than usual. According to Apple, that makes the Ultra easier to use while wearing gloves.
While the Ultra is more rugged than regular Apple Watches, the titanium exterior looks appropriate for everyday wear as it would while running on a trail or climbing a cliff. When paired with Apple's stainless steel Link Bracelet, the Ultra made such a strong style statement that it reminded me of a pricier Tag Heuer watch, even though fashion isn't the Ultra's selling point.
Weighing 2.16 ounces, the Ultra is the heaviest Apple Watch to date โ the 45mm Series 8 weighs 1.36 ounces โ but it's surprisingly lighter than it looks. It's comfortable to wear for daily use, and despite its size, it doesn't feel cumbersome when worn during sleep.
Every Apple Watch should have an Action button
The Apple Watch Ultra has a second button called the Action Button that acts as a shortcut for certain features, but it needs more options.
In addition to the standard Digital Crown and right side button on all Apple Watch models, the Ultra has an Action button, which is located on the opposite side of the casing.
The Action button can be programmed to perform a specific task, whether it's starting a workout, setting a waypoint, enabling backtrack, starting a dive, or turning on the flashlight. This makes performing tasks much speedier, and it's particularly useful if you're in the middle of exercising or some outdoor activity.
For example, I use the Action button to quickly turn on the flashlight rather than swiping up on the screen to find the flashlight button. In fact, the Action Button with the flashlight shortcut is easier than using my phone's flashlight, which I use on a daily basis.
I hope to see the Action Button incorporated in all future Apple Watch models because it can be very useful, but in its infancy, it falls short in the way of options. While you can also add a custom function via the the Shortcuts app, it's a convoluted experience. I'd like to see more presets like measuring heart rate or opening the weather app. However, I imagine this could be expanded through a software update.
The Apple Watch Ultra's battery life is phenomenal
The Apple Watch Ultra basically has twice the battery life of the 45mm Series 8.
Apple says the Ultra gets 36 hours of battery life, but I can easily get three days and two nights with normal usage if I'm just checking the time and receiving notifications. That's basically an extra day-and-a-half compared to the battery life I get with the Series 8.
The Ultra's extended battery life is also appealing for tracking fitness metrics during lengthier activities, like long-distance running or a triathlon, where a standard Apple Watch's battery life may not suffice.
Apple's new Low Power Mode extends that battery life even further โ around an extra day. And you can still track certain functions with the mode enabled, like heart rate and pace for workouts and activities like hikes, which comes especially handy when you're on a weekend trip with limited access to a charger.
However, Low Power Mode is not a feature I'd use on an everyday basis, as it dramatically reduces the Ultra's core functionality. Features like the always-on display and background heart-rate measurements are disabled, complications (widgets) are updated less frequently, and notifications are disabled when your iPhone isn't nearby.
Apple Watch Ultra vs. Series 8 vs. SE: Specs at a glance
Utra Series 8 SE (2nd Generation)
Battery life 36 hours 18 hours 18 hours
Case size 49mm 41mm or 45mm 40mm or 44mm
Always-on display Yes Yes No
Processor S8 S8 S8
Storage 32GB 32GB 32GB
Customizable Action button Yes No No
Health features High and low heart rate notifications, irregular rhythm notification, and atrial fibrillation notification (ECG) High and low heart rate notifications, irregular rhythm notification, and atrial fibrillation notification (ECG) High and low heart rate notifications, and irregular rhythm notification
Safety features International emergency calling, Emergency SOS, Crash Detection, and Fall Detection International emergency calling, Emergency SOS, Crash Detection, and Fall Detection International emergency calling, Emergency SOS, Crash Detection, and Fall Detection
Fitness features Temperature sensor, blood oxygen sensor, ECG, and third-generation optical heart sensor Temperature sensor, blood oxygen sensor, ECG, and third-generation optical heart sensor Second-generation optical heart sensor
Water resistance Up 100 meters Up to 50 meters Up to 50 meters
Special features Precision dual-frequency GPS, Depth gauge, Oceanic+ app and dive computer, 86-decibel siren N/A N/A
The Apple Watch Ultra comes recommended if you value its design, large screen, and battery life, but it's no bargain at $800.
The Apple Watch Ultra is an excellent smartwatch, but I can't outright recommend that you should spend $800 on it, especially when Apple's other less expensive smartwatches are so good.
The biggest, most appreciable aspects of the Apple Watch Ultra for most people are its design, large screen, Action Button, and battery life. If any combination of these aspects appeals to you, and your budget allows for it, you could justify the Ultra's cost.
If $800 is too much to spend, the aluminum Apple Watch Series 8 offers a pretty much identical experience in Apple's sleek original Watch design, and the only difference would be the need to charge it more often. | 2022-12-16T21:33:54Z | www.businessinsider.com | Apple Watch Ultra Review: Why It's Not Only for Sports Enthusiasts | https://www.businessinsider.com/guides/tech/apple-watch-ultra-review | https://www.businessinsider.com/guides/tech/apple-watch-ultra-review |
How to record the screen on your iPhone or iPad
To screen record on iPhone or iPad, enable the recording feature and select it in the Control Center.
All your screen recordings will be saved to the Photos app, where you can edit or share them freely.
Your screen recordings can include audio, as well as your own narration.
Taking a screenshot โ a single still image of your device's screen, whether it is an โ iPhone, Mac computer, or Apple Watch โ is pretty easy. But if you're using an iPhone or iPad and wondering how to record your screen, the process might not be so obvious.
Luckily, taking a screen recording โ a video of your iPhone or iPad's screen โ is just as easy as taking a screenshot, once you know how to enable it.
Here's how to screen record on your iPhone or iPad, and edit the video once it's saved.
How to allow screen recordings on your iPhone and iPad
Before you can record your screen, you'll need to turn on the screen recording feature.
1. Open the Settings app and then tap Control Center.
2. In the Included Controls section, check to see if Screen Recording is there. If it isn't, scroll down to the More Controls section and tap the green plus sign next to it. You should see it move to the Included Controls section, meaning it's now available in the Control Center.
"Screen Recording" will be available in the Control Center if it's in the "Included Controls" section in the Settings.
Quick tip: To disable screen recording again, return to the Control Center screen in the Settings app and tap the red minus sign next to it. The Screen Recording option will slide to the left, revealing a red Remove button, so tap on that to remove it from the Control Center.
How to screen record on your iPhone and iPad
Once you've turned the feature on, taking a screen recording is as easy as pressing a button.
1. Open the Control Center by swiping down from the top-right corner of the screen โ or, if you have a home button, swipe up from the bottom of the screen.
2. Tap the Record button.
Tap the "Record" button.
3. After a three-second countdown, the Record button will turn red and everything you do will be recorded, even if you close the Control Center. You'll know you're still recording because the will be a red bar at the top of your iPhone's screen.
The "Record" button will turn red to signal that you're now recording.
4. To stop recording, tap the red bar at the top left of the screen and then tap Stop in the pop-up.
Quick tip: You can also stop the recording by opening the Control Center and tapping the Record button again.
5. By default, your screen recording will just include the audio coming out of your iPhone or iPad. If you want to narrate your screen recording, press and hold the Record button, and then tap the microphone icon to turn on narration โ the icon will turn red.
How to find or edit your screen recording
Your new recording will appear in the Camera Roll. To see it, open the Photos app and it should be the newest item. From here, you can share or edit it like any other photo or video.
If you're a perfectionist, you might want to trim the start or end of your video. You can edit the video and save it as a new clip โ it won't affect the original video, but will give you an edited version you can share.
1. Find the video in the Photos app and tap it.
2. Tap Edit in the top-right of the screen.
Tap "Edit."
3. At the bottom of the screen, tap and drag the arrow at the very start of the video to the right. It will become a yellow frame.
Tap and drag this arrow to bring up the yellow frame.
4. Size the frame to trim the video down to just the part you want to keep. You can press the Play button at any time to ensure you like the edit.
5. Once you're finished editing, tap Done in the bottom-right corner.
After you're done trimming the video, tap "Done."
6. In the pop-up, tap Save as New Clip.
Tips for improving your screen recording on iPhone
While it's easy to start recording your iPhone's screen, you might want to do some additional things to get the best results. Here are a few ways you can improve your screen recordings:
Close any app you're not using: Screen recording is a resource-intensive process that can cause performance issues on your phone. To help erase the burden on your phone's processor and RAM, try closing any iPhone apps that you're not using so your screen recording goes smoothly.
Turn on Do Not Disturb mode: There's nothing more annoying than getting a call or message notification in the middle of recording the perfect video. To prevent that from happening, you can enable Do Not Disturb mode by opening the Control Center and tapping the half moon icon. Keep in mind that the mode does not block calls or notifications โ it just silences them instead.
Lock your iPhone's orientation: You also don't want your iPhone's screen to change orientation, open the Control Center and tap the lock icon. Check out our guide on how to rotate the screen on your iPhone.
Add captions with iMovie: Captions make your videos better in many ways, including enhancing video comprehension for viewers and making them more accessible to people who are hard of hearing. You can add text to your videos on iPhone using the iMovie app.
Use an external microphone: While the iPhone's mic is no slouch in the audio quality department, you'll need something better if you want to record something more professional. Luckily, iPhones allow you to connect external microphones so you can record the best audio for your audience.
TECH How to share your screen on FaceTime using an iPhone, iPad, or Mac
TECH How to disable Screen Recording on your iPhone in 4 simple steps
TECH How to screen record a FaceTime call with audio on your iPhone or Mac | 2022-12-16T21:34:12Z | www.businessinsider.com | How to Turn on Screen Record on Your iPhone & iPad | https://www.businessinsider.com/guides/tech/screen-record-iphone | https://www.businessinsider.com/guides/tech/screen-record-iphone |
Shopping startup Nate has abruptly paused its creator program and influencers are wondering what's happened to their credits
Amanda Perelli and Sydney Bradley
Screen shot of Nate.tech
Shopping startup Nate has abruptly paused its creator program.
The company sent out an email about the change on December 16.
The startup had raised a total of $51 million.
Nate, a New York-Based shopping startup, has paused its creator program that pays influencers for promoting the app, according to an email obtained by Insider.
The app became known for its "lists" โ landing pages where creators could highlight products they use or like.
The company informed members of its creator program about the change on December 16.
"Today we have some unfortunate news," the company wrote in an email to creators. "Nate is going through some unpredictable and turbulent times, and we've had to halt some operations for the time being including pausing the Creator Program."
The creator program primarily paid creators through a commission model. If an influencer shared a link to the Nate app, they could receive a 5% commission from any sales driven. On top of commissions, Nate also would reward creators for meeting certain milestones in the form of cash bonuses. The bonuses range from $500 to $5,000, according to the company's website.
The startup had raised a total of $51 million after its Series A round closed at $38 million in 2021, according to a press release from the company.
Some influencers noticed changes with the app's creator program early last week.
Libby Rasmussen, a social-media marketing director for Living Colorful Media, told Insider that last week she noticed the store credit she accumulated, called Nate Cash, was missing from her app.
Rasmussen said she had $700 in Nate Cash, which was the company's way of rewarding creators, and now she's unsure if she will get that credit back.
"I was annoyed, and I was thinking about all these people and my friends who had stuck their necks out for this company," Rasmussen said. "I also felt really bad for all of the content creators who created this content and then weren't getting compensated like they were told they would."
"I didn't have a ton of Nate Cash in my account, but I feel cheated," content creator Haylee-Rae told Insider. "I can't imagine how the creators with thousands of more feel."
The email viewed by Insider said that creators wouldn't be able to continuing getting cash back or milestone rewards, and also said that Nate Cash had been "disabled for now."
Nate did not respond to Insider's request for comment.
Influencers Creator economy | 2022-12-17T00:36:47Z | www.businessinsider.com | Shopping App Nate Pauses Creator Program for Influencers | https://www.businessinsider.com/shopping-app-nate-pauses-creator-program-for-influencers-2022-12 | https://www.businessinsider.com/shopping-app-nate-pauses-creator-program-for-influencers-2022-12 |
Peter Kalmus (left) and Rose Abramoff (right) unfurled a banner onstage during a lunchtime plenary at the fall meeting of the American Geophysical Union.
Courtesy of Rose Abramoff
Rose Abramoff, seen here on the last day of the American Geophysical Union's fall meeting, which she said she's now barred from attending.
Morgan McFall-Johnsen/Insider
Peter Kalmus is a climate scientist who's deliberately gotten himself arrested in calls for action.
Rachel Jessen/Insider
NOW WATCH: Companies ignoring climate change will be on the 'wrong side of history,' says World Economic Forum executive chairman
American Geophysical Union Climate Change scientists | 2022-12-17T01:02:35Z | www.businessinsider.com | Climate Activist-Scientists Ejected From AGU Conference in Chicago | https://www.businessinsider.com/climate-researchers-ejected-from-agu-fall-meeting-banner-activism-interview-2022-12 | https://www.businessinsider.com/climate-researchers-ejected-from-agu-fall-meeting-banner-activism-interview-2022-12 |
Elon Musk reinstates journalists who were suspended from Twitter after conducting a poll about how to handle accounts that 'doxxed' his location
Musk conducted a Twitter poll Thursday asking his followers when he should "Unsuspend accounts who doxxed my exact location in real-time," with the options being "Now" or "In 7 days." A day later, nearly 59% of poll respondents voted "Now." | 2022-12-17T08:13:12Z | www.businessinsider.com | Elon Musk Reinstated Journalists Who Were Suspended From Twitter | https://www.businessinsider.com/elon-musk-reinstated-journalists-who-were-suspended-from-twitter-2022-12 | https://www.businessinsider.com/elon-musk-reinstated-journalists-who-were-suspended-from-twitter-2022-12 |
Sam Tabahriti and Beatrice Nolan
Insider spoke to economists to identify some of the safest and most-at-risks jobs.
US employees are worried about their jobs amid a looming recession.
While a truly recession-proof job is elusive, some industries are safer than others.
Insider spoke to economists to identify some of the safest jobs, and the ones most at risk.
A recent report from the investment management company BlackRock warned that a worldwide recession unlike any other is now just around the corner.
The grim economic outlook has caused employee concerns about layoffs to skyrocket, Lauren Thomas, a UK-based economist for Glassdoor told Insider.
She said that on the company review website, "October mentions of layoffs doubled, discussion of inflation tripled, and talk of recession increased nearly tenfold from last October."
Workers have been wary about how an economic downturn may affect their employment opportunities for some time. This summer, almost 80% of US workers surveyed by Insight Global said they were worried about losing their employment if the country entered another recession.
While a truly recession-proof job is elusive, some industries are typically safer than others. Insider spoke to labor experts and economists to identify some of the safest and most-at-risk jobs.
Most at-risk jobs
Courtesy of ShelterTech
After a pandemic-inspired hiring boom, layoffs have been spreading across the tech sector in recent months, with major job cuts hitting tech giants such as Meta, Twitter, and Amazon.
Tech companies are suffering an early economic hit sparked, in part, by a slowdown in online ad spending.
However, Glassdoor's Thomas says those in tech with highly specialized skills are still largely in demand across the board, and will likely be rehired quickly if they are laid off.
Much of the working-age population over the age of 16 isnโt returning to the workforce, and Americans over the age of 64 arenโt picking up the slack.
Construction, which relies heavily on borrowed funds, tends to get hit hard early on during a recession, experts told Insider.
Construction-sector jobs are not only vulnerable because of their reliance on debt, but also because they are often less flexible than other businesses when it comes to scaling back operations, Brian Greenberg, CEO and founder of insurance company Insurist, told Insider.
"For example, if you're a construction worker whose company lays off half its workforce during a recession, you may be able to find work elsewhere, even if your employer doesn't come back. But if you're an architect who specializes in designing buildings for new developments, there's likely nowhere else for you to go when your firm lays off staff," Greenberg said.
E-commerce and social media
Experts are already starting to see a drop in demand for some digital-facing roles post-pandemic.
"Pandemic-induced demand for certain technologies like e-commerce or social media has fallen in the past year," Glassdoor's Thomas said, as e-commerce and social-media jobs rea affected by a change in consumer demand following the COVID-19 pandemic that forced much of marketing and shopping online.
She said "while the fundamentals of the industry are strong," companies that are still adjusting to the new post-pandemic normal may see a slight downturn in the short term.
The most recession-proof jobs
Professionals who have the most job security in a recession include doctors, physicians, and nurses but also, for example, pharmacists, physiotherapists, or carers for the elderly and disabled, Bartosz Sawicki told Insider.
Sawicki, a market analyst at currency fintech Conotoxia and macroeconomic forecaster, said the same was true for veterinarians, "as we care more and more for our dogs, cats, and other pets as our civilization develops."
LinkedIn senior economist Kory Kantenga also found that healthcare is a field that will likely to be least exposed to business cycle fluctuations.
Teaching is an in-demand profession and teachers rarely work remotely, making them harder to recruit, according to Thomas.
"The growing number of university graduates is likely to increase even further, which translates into a demand for lecturers, especially in the fields of technology, ICT, medicine, or law," Sawicki said.
Public safety and social services
A Met Police officer
Public safety and social services jobs "tend to remain stable and sometimes even grow during recessions as governments spend more on programs like job seeker-training to stabilize downturns," LinkedIn's Kantenga said.
These roles include governmental positions, law enforcement officers, firefighters, emergency medical technicians, correctional officers, security guards, and occupational health and safety specialists.
"Withdrawing government, educational, and health and social services in a recession is generally unpopular," he added.
Weekend BI UK News Weekend BI UK Recession | 2022-12-17T08:13:24Z | www.businessinsider.com | Recession 2023: Here Are Some of the Safest and Most-at-Risks Jobs | https://www.businessinsider.com/recession-2023-safest-jobs-at-risks-economists-2022-11 | https://www.businessinsider.com/recession-2023-safest-jobs-at-risks-economists-2022-11 |
Traders work on the floor of the New York Stock Exchange
The Federal Reserve this week reiterated its commitment to fighting inflation.
The central bank's hawkish stance is worrying some on Wall Street.
If a recession plays out, stocks may see more significant declines, strategists say.
Is a recession coming for the US economy in 2023? It depends on who you ask.
Even Jerome Powell, the chair of the Federal Reserve charged with overseeing the US economy, acknowledged this week his inability to forecast what will happen next year, despite his optimistic outlook.
"I don't think anyone knows whether we're going to have a recession or not and, if we do, whether it's going to be a deep one or not," Powell said at a press conference following the Federal Open Market Committee's December meeting on Wednesday. He added: "it's not knowable."
Still, as the central bank has raised rates much higher than investors had expected at the start of 2022 with inflation remaining historically elevated, the risks of a downturn have grown. The Consumer Price Index was 7.1% in November, and the Fed brought the fed funds rate ceiling up to 4.5% this week. FOMC committee members say they expect to bring that rate to above 5% in 2023, as inflation is still far above their 2% target.
Higher rates threaten consumer spending and economic growth, which raises the risk of layoffs. This in mind, many economists at major banks have called for a recession ahead. If that scenario does play out, more trouble is likely ahead for stocks, which have already suffered sizable losses in 2022. Year-to-date, the S&P 500 is down 19.6%.
Below we've compiled what four major Wall Street banks believe stocks will do if a recession plays out.
UBS economists are predicting a recession starting in Q2 2023, and the bank's Chief US Equity Strategist Keith Parker therefore sees a hit to earnings ahead.
The market's forward price-to-earnings ratio will drop from 17.1x currently to 14.5x in Q2, which will put the S&P 500 at 3,200, he predicts. That's more than 16% downside from the index's current level around 3,830.
"The setup for 2023 is essentially a race between easing inflation and financial conditions versus the coming hit to growth+earnings. History shows that growth and earnings continue to deteriorate into market troughs before financial conditions ease materially, " he wrote in a note to clients.
Parker sees the market then recovering to 3,900 by the end of 2023.
Morgan Stanley economists haven't given a full-throated call on a recession, but the bank's Chief US Equity Strategist Mike Wilson still sees a big earnings decline coming.
"If we were forecasting a modest 5% forward EPS decline and a reacceleration off of those levels, we'd concede that the earnings risk is probably priced, but we're modeling a much more significant 15-20% forward earnings downdraft, which should demand a more recessionary type 13.5-15x multiple on materially lower EPS," he said in a November note to clients.
Wilson sees the S&P 500 falling to a range between 3,000-3,300 before finishing 2023 at around 3,900.
Goldman Sachs economists, meanwhile, see a soft landing as the most likely scenario for the US economy in 2023. This means they believe the Fed will succeed in bringing down inflation while sparing the labor market from serious damage.
But if a recession does come, David Kostin, the bank's chief US equity strategist, sees the S&P 500 falling to 3,150 in Q1 of next year, representing almost 18% further downside. A recession would be the result of the Fed's cumulative tightening, Kostin said.
In that scenario, he sees the index recovering to 3,750 by the end of 2023.
Even in a soft landing scenario, Kostin sees near-term downside to 3,600.
Bank of America's economists see a recession in the first half of 2023.
In her bear-case scenario for stocks, Savita Subramanian, the bank's head of US equity, quantitative, and ESG strategy, sees the market falling as much as another 21% in the first half of next year.
"We think the market could drop as low as 3000 based on a panoply of indicators, given a host of risks we face as payback continues and a recession unfolds," she said in a video included with the bank's 2023 stock market outlook note. "Investors hoping for a fed pivot may want to rethink this. A Fed easing cycle amid tightening credit conditions (i.e. recession) has been one of the worst templates for stocks."
Subramanian sees the index recovering to 4,000 by the end of 2023. | 2022-12-17T10:10:35Z | www.businessinsider.com | Stock Market Crash: 4 Banks Share When Stocks Will Bottom in Recession | https://www.businessinsider.com/stock-market-crash-recession-sp500-prediction-bear-market-bottom-inflation-2022-12 | https://www.businessinsider.com/stock-market-crash-recession-sp500-prediction-bear-market-bottom-inflation-2022-12 |
19 of the best stocks to own in 2023 that are set to produce returns for the next 20 years as consumer favorites, according to Morningstar
Goldman Sachs predicts that stocks will flatline next year due to zero earnings growth.
One way to ride out a potential recession is to play it safe with defensive stocks.
Morningstar compiled a list of companies they rate as "best" due to their competitive advantages.
On Wednesday, the Federal Reserve announced that it would be raising interest rates yet again, this time by 0.5 percentage point.
The hike wasn't as steep as the last four rounds, which were 0.75 percentage point each. However, the increase threatens to extend the liquidity crunch that has engulfed the stock market over the past year and sent investors fleeing from high-risk assets.
But whether we hit a soft or hard landing, there might not be any rip-roaring bull runs anytime soon. Goldman Sachs predicts that stocks will flatline next year due to zero earnings growth. This means investors may not have much volatility to play off of.
One way to ride out a potential recession is to play it safe. And what better way to do that than to piggyback off the brands that provide necessities such as food, beverages, and household and personal products?
Companies within the consumer defensive sector are somewhat cushioned from economic turmoil because they provide products that are in consistent demand.
Morningstar compiled a list of 19 consumer defensive stocks that they rate as being among the "best companies" to own in 2023. These brands are considered "best" because they have a competitive edge that's either steady or increasing against other companies in their sector. They also have predictable cash flows and effectively manage and invest their money.
Finally, Morningstar took into consideration companies that have business models that can effectively navigate evolving environmental, social, and governance (ESG) issues, which adds to their longevity.
The firm says it's confident that these stocks will produce returns that outweigh their costs for the next 20 years.
1. Walmart Inc
Ticker: WMT
Market Cap as of Nov. 30, 2022 ($ million): 411,046.26
Ticker: PG
3. Nestle Inc
Ticker: NSRGY
Ticker: KO
Ticker: PEP
Ticker: UL
Ticker: BUD
9. Diageo PLC
Ticker: DEO
10. Mondelez International Inc
Ticker: MDLZ
Market Cap as of Nov. 30, 2022 ($ million): 92,329.47
11. Estรฉe Lauder Companies Inc
Ticker: EL
12. Colgate-Palmolive Co
Ticker: CL
13. Reckitt Benckiser Group PLC
Ticker: RBGLY
14. The Hershey Co
15. Ambev SA
Ticker: ABEV
16. Constellation Brands Inc
17. Brown-Forman Corp
Ticker: BF.B
18. McCormick & Co Inc
Ticker: MKC
19. Clorox Co
Ticker: CLX | 2022-12-17T11:15:49Z | www.businessinsider.com | Best Stocks to Own in 2023 for 2 Decades of Growth: Morningstar | https://www.businessinsider.com/best-stocks-to-own-2023-decades-growth-morningstar-consumer-favorites-2022-12 | https://www.businessinsider.com/best-stocks-to-own-2023-decades-growth-morningstar-consumer-favorites-2022-12 |
Juliana Kaplan and Marguerite Ward
Howard Schultz, the interim CEO of Starbucks, is one of the most vocal business leaders against unions.
Amazon's Andy Jassy and Starbucks' interim CEO Howard Schultz are vocal on their anti-union views.
But a growing portion of workers are unionizing, and public support for them tops 70%, per Gallup.
CEOs who fight unions will have trouble competing at a time when hiring is tough.
A growing portion of America's workforce is unionizing, and CEOs are not happy about it.
Amazon's Andy Jassy and Starbucks' interim CEO, Howard Schultz, have been among the most vocal in sounding the alarm on the movement, saying unions slow company operations and negatively change the customer experience. Meanwhile, federal labor officials have accused Apple of anti-union practices and workers at Chipotle have complained about what they see as anti-union practices.
It seems that many of these leaders are taking it personally, journalists have noted.
America's unionization wave doesn't show signs of dissipating, and CEOs would be better suited adjusting their leadership style to meet it, especially as the war for talent continues. The new model employer needs to listen to and engage with the conversations and demands of their workers โ or find themselves staring down distrustful, disgruntled employees. After all, the best leaders are the most adaptable, as Insider previously reported.
With today's tighter labor markets, companies will have to work harder to keep the people they want โ and need.
The most effective leaders will recognize America's new, evolving employee-employer contract, Kate Bronfenbrenner, a senior lecturer and the director of labor-education research at the Cornell School of Industrial and Labor Relations, said.
"Taking it very personally, and making it very personal, has been a huge mistake that employers have made," Bronfenbrenner told Insider. "Unionization is not a measure of an employer's failure. It's a measure that workers want things that employers can't give them and only a union can give them."
Working with unions can mean a happier workforce that sticks around longer
Supporters of Amazon workers attempting to win a second union election at the LDJ5 Amazon Sort Center join a rally in support of the aunion on April 24, 2022 in Staten Island, New York.
Anti-union rhetoric has always had a home in the US, a country with individualistic ideals, but support for unions is at a 57-year high with more than 70% of surveyed Americans saying they approve of them, according to a Gallup poll from August. Support might be up, but union membership among US workers stood at 10.3% in 2021, about half what it was in the early 1980s, federal figures show.
CEOs โ who workers have increasingly held accountable since the start of the pandemic โ would be remiss to ignore rising sentiment about unions. Employees are speaking out on social media about bad workplace experiences and are leaving jobs that don't fulfill them. The Great Resignation has lost steam, but hasn't died out.
CEOs have long viewed unions as the ultimate "bete noire," the untouchable topic, Adam Lashinsky, Fortune Magazine's former executive editor, wrote in a September op-ed about labor organizing. But that may soon need to change.
"With today's tighter labor markets, companies will have to work harder to keep the people they want โ and need," he wrote. "That might mean finding partners where they least expect them, making a hear-no-union, see-no-union attitude something they can no longer afford."
Higher pay boosts worker retention, and unions increase wages. The Bureau of Labor Statistics reported non-union workers earn just 83% of what unionized workers earn.
"When more workers have unions, wages rise for union and non-union workers," Janelle Jones, the chief economist at the Department of Labor, wrote on the department's website. "The converse is also true: when union density declines, so do workers' wages."
Data the UK government published in May found that unionized workers were more likely to stay at a company for 10 years or more compared with non-unionized workers.
Embracing unions can potentially help CEOs combat labor shortages and increase retention, according to the left-leaning think tank Brookings Institution. In a still-tight labor market where workers might have few qualms about quitting, companies could have little choice but to embrace employees' demands.
"Is going union going to cost the company? Yes," Bronfenbrenner said. "But there are other measures โ if you have a union, you'll have lower turnover, workers will be more productive. You're less likely to see your best workers quit."
Leadership Strategy Economy | 2022-12-17T11:15:55Z | www.businessinsider.com | Why CEOs Shouldn't Fight America's Unionization Movement | https://www.businessinsider.com/ceos-should-embrace-union-movement-busting-starbucks-amazon-2022-12 | https://www.businessinsider.com/ceos-should-embrace-union-movement-busting-starbucks-amazon-2022-12 |
Elon Musk says he doesn't have a home.
Elon Musk told a Twitter user asking when the FBI would raid his home that he doesn't own one.
The Tesla CEO sold his seven homes between June 2020 and November 2021 for a total of $128 million.
He's since been living in a "very small" $45,000 home located in Boca Chica, South Texas.
Elon Musk responded to a Twitter user asking when the Federal Bureau of Investigation would raid his home on Saturday claiming he didn't have one.
"I don't have a home," the Tesla CEO tweeted on Saturday.
Another user was quick to ask whether Musk had gotten rid of a prefab tiny house he's alluded to owning to which he responded: "It's a rental."
Musk sold all of his seven California homes between June 2020 and November 2021 for $128 million after vowing to "own no house" in 2020, Insider previously reported.
โElon Musk (@elonmusk) May 1, 2020
He previously said he moved out of California and closer to a launch site in Texas to focus on two of his companies; Tesla's new manufacturing complex and SpaceX, Insider reported.
This summer Musk told The Full Send podcast he now lives in a "very small" house in Boca Chica, Texas, that only cost $45,000. Although Musk denies having a main residence, he often stays in the three-bedroom house in South Texas and tweeted that smaller houses felt more "homey."
He added that the 900-square-foot house "used to be a two-bedroom" until he converted the garage into a third room โ where his mother, Maye Musk, said she slept when visiting her son.
"My friends come and stay and they can't believe I'm staying in this house," Musk said on the podcast in August.
Musk didn't immediately respond to a request for comment by Insider.
Elon Musk SpaceX Maye Musk | 2022-12-17T11:16:01Z | www.businessinsider.com | Elon Musk Repsonded 'I Don't Have a Home' When Asked About FBI Raids | https://www.businessinsider.com/elon-musk-said-he-does-not-have-home-twitter-fbi-2022-12 | https://www.businessinsider.com/elon-musk-said-he-does-not-have-home-twitter-fbi-2022-12 |
Nearly 150,000 tech workers have lost their jobs in 2022, data shows.
Allison Hemming started "pink-slip parties" in the early aughts after the dotcom bust.
The events helped laid-off techies network with hiring managers and learn about opportunities.
Hemming, the CEO of a tech-recruiting firm, says younger gens would benefit from their return.
Gather round, ye laid-off Gen Zers and millennials, and put down your phones. For this is a tale about how people of yore โ Gen Xers and younger baby boomers โ found reemployment after getting the ax.
Our story begins with the bursting of the dot-com bubble in 2001: Internet euphoria faded, venture capital dried up, and stocks slumped. Back then, like now, tech workers lost their jobs en masse.
One of those laid-off employees was Allison Hemming, a plucky New Yorker with a side hustle as a tech-talent scout. One spring evening, Hemming planned a get-together with some friends who'd also lost jobs. At a bar in Manhattan's Chelsea neighborhood, they commiserated, laughed, drank, and talked shop. The gathering was both cathartic and productive.
It also sparked an idea. Hemming began running regular meetups for laid-off tech workers โ misery loves company, after all โ giving them an opportunity to network and meet prospective hiring managers. Voila, the "pink-slip party" was born. (Note to readers born after the invention of the iPod: A pink slip is a notice of termination.)
Will the latest tech layoffs spur a return of pink-slip parties? Bloomberg raised the question, citing Big Tech's recent worker purge.
There's perhaps no one better to pose that question to than the originator of the concept. Insider caught up with Hemming, who today is the CEO of The Hired Guns, a tech-recruiting agency, to get her thoughts on everything from the current hiring landscape to Gen Z's social and professional mores to the importance of glow-in-the-dark bracelets at networking events.
This transcript has been edited for clarity.
"Pink-slip parties" make getting laid off seem sort of fun. Or is that romanticizing the idea?
The parties were fun! We had live music and stand-up comedy, and there was a real esprit de corps.
Sounds like a "good-vibes only" atmosphere.
As much as the parties were lovely and fun, they were also compassionate. When the turn happened, it happened quickly. There was an element of schadenfreude from people outside of tech โ there was a feeling that we were getting our comeuppance.
So we were really about trying to help people find new jobs to feed their families. If you'd been laid off, you got a hot-pink glow bracelet. Hiring managers got green bracelets, and you got a blue bracelet if you were there in solidarity. In the early days, some pink-slippers told me they didn't want recruiters there. I said, "No, you want them there. Trust me." A lot of people got hired out of those parties.
Do the tech layoffs today give you a feeling of dรฉjร vu?
No. The industry is totally different. Back then, tech was its own little bubble. Now tech is everywhere, and overall, the layoffs are small relative to the sector. The tech workers losing their jobs today have a nice runway because a lot of big nontech companies are still hiring. They view these layoffs as an opportunity to upgrade their tech-talent pools and go after people they wouldn't otherwise have had access to.
Do you think there's a role for pink-slip parties to play today?
Yes. I look at what's happening at Musk's Twitter, and I think, "They could use a pink-slip party." But more importantly, I think Gen Zs and millennials would benefit from them. And they'd make the parties their own, which is as it should be. But I'm willing to help, so call me. Let's mix in the old-schoolers with the new-schoolers!
But would such a shindig translate for younger generations who perhaps might be more comfortable networking online?
Absolutely. Gen Z and younger millennials want camaraderie and togetherness. Of all workers, they feel most vulnerable at this moment. Many of them have worked remotely during the pandemic, and they've missed out on critical networking and mentoring relationships.
In my recruiting practice, I'm seeing that this group wants to be back in the office or work hybrid. They want to be with people and to be in the room where it happens.
Could there even be an equivalent online pink-slip party?
Nobody's found one yet. The live experience is what made these parties special. During the pandemic, we tried every machination of Zoom and people still craved being together.
Tech Layoffs Networking | 2022-12-17T11:16:31Z | www.businessinsider.com | Pink-Slip Parties Could Help Laid-Off Tech Workers Network, Find Jobs | https://www.businessinsider.com/pink-slip-parties-laid-off-tech-workers-network-jobs-2022-12 | https://www.businessinsider.com/pink-slip-parties-laid-off-tech-workers-network-jobs-2022-12 |
Investors can grow their portfolios in 2023, even though markets may choppy.
Top investment firms see plenty of risks to stocks and the economy next year.
But even in a bear market, there are still many investing opportunities.
Here are the investment strategies Wall Street recommends following in 2023.
Investors are hoping that 2023 will be a better year for markets after stocks disappointed to the downside in 2022, but Wall Street isn't convinced.
Just five of the 11 top investment firms that Insider recently surveyed expect the S&P 500 to end 2023 above 4,000, which is where the index traded as of December 14, while two others expect the index to stay at about that level. However, even fewer firms are calling for substantial losses, as three firms think the S&P 500 will slip to 3,900, while only one sees downside to 3,400.
While Wall Street's best strategists differ in their expectations for US stocks, all of them agree that there are profitable opportunities for investors who put their money in the right places.
Below is a summary of views about stocks and the economy from each firm that Insider polled, as well as where they recommend investing in 2023. Firms are listed in alphabetical order.
1, Bank of America
2023 outlook: Bank of America expects US stocks to stay flat in 2023 as corporate earnings slide in a recession. Strong consumer and corporate balance sheets, steady wage growth, and already-bearish sentiment are a few reasons why the firm isn't more pessimistic.
High interest rates and geopolitical risks will cause US growth to fall 0.4% on a GDP basis next year as the unemployment rate climbs by 2 percentage points to 5.5%. Inflation, which has plagued stocks and the economy this year, will recede to 3.2%, in the firm's view.
Where to invest: In a weaker economy, Bank of America recommends quality stocks, small caps, and companies in the energy, consumer staples, financials, and utilities sectors.
Quality companies and small caps hold up better in recessions, according to the firm, which also believes energy will continue to thrive as supply shortages keep oil prices high. Staples are a defensive stalwart with pricing power, financials are cheap but high quality, and utilities are a bond proxy that should perform well as inflation falls and fixed income makes a comeback.
2023 outlook: BMO is bullish on stocks in 2023 despite its conviction that earnings will drop by 5% next year. Gains will come from multiple expansion as bond yields and interest rates fall, though the firm says there's serious downside risk if earnings plunge or multiples don't grow.
A recession in the US is "almost inevitable" next year, according to BMO, though the fact that the labor market and consumers are still healthy suggests that a downturn wouldn't be severe.
Where to invest: Brian Belski, the chief investment strategist at BMO, is cautiously optimistic about equities in 2023 but firmly believes foreign investors will seek the stability of US stocks.
Small caps and mid caps each received an overweight rating from BMO. Small caps are a "forgotten asset class" that has beaten-down valuations and consistent growth, Belski wrote in a note about his 2023 outlook, while mid caps have more appealing valuations and cash flow.
Value stocks are preferable to their growth peers, as Belski wrote that "macro, fundamental and sentiment all favor value for the first time in decades" after interest rates shot up in 2022.
As for sectors, BMO is overweight three groups: communication services, financials, and healthcare. Plenty of cash and healthy dividend growth makes communication services Belski's "favorite contrarian play," he wrote, while financials' earnings, cash flow, and dividends make it an ideal value sector, and healthcare is a reasonably valued group with a defensive orientation.
2023 outlook: Citi is calling for slight declines for stocks as higher interest rates cause earnings estimates to fall, though lower earnings multiples have already priced in some of that pain.
The US will likely follow Europe and enter a recession in the second half of the year as interest rates rise, according to Citi, which also predicted that global growth will slip under 2% next year. However, the firm expects the downturns to be short-lived and said growth can resume in 2024.
Where to invest: Citi may not be constructive on US stocks, but the firm does have an overweight rating for the healthcare, information technology, and materials sectors.
Citi favored healthcare throughout 2022 because of its unique offering of defensiveness and growth. By contrast, the firm only became bullish on tech this fall out of a conviction that its growth tilt will aid it in a recession. Materials is a long-held favorite of Citi and is the firm's preferred way to benefit from inflation over energy stocks.
2023 outlook: Credit Suisse sees US stocks ending 2023 little changed from mid-December levels as interest rates keep a lid on markets. The firm expects corporate earnings to fall 3% to 4% next year as inflation lingers and pressures profits.
But while Europe and the United Kingdom are set for downturns, the US can avoid a recession as slowing inflation allows the Federal Reserve to stop lifting interest rates sooner than it's signaling. However, the firm still sees a 40% chance of a hard landing.
Where to invest: While stocks will continue to struggle, bonds will rebound from a disastrous 2022 and provide downside protection, diversification benefits, and better returns in the new year as inflation falls and monetary policy loosens, according to Credit Suisse.
"The performance of bonds and equities should again diverge, as we expect equity markets could still be volatile in the first half of 2023 as slower economic growth hits company earnings," Credit Suisse strategists wrote in a report detailing their 2023 outlook.
Investors looking to stay in stocks should get defensive and find companies that can protect their profit margins by passing on higher costs and are in industries with high barriers to entry, according to Credit Suisse. And when rates stabilize, quality growth stocks should outperform.
Defensive sectors to target, in the firm's view, include healthcare, consumer staples, and utilities, while communication services, financials, information technology, and some parts of consumer discretionary should perform better next year.
2023 outlook: Deutsche Bank sees double-digit upside for the S&P 500 and unusually high volatility next year. The firm predicts the index will swing from massive losses in the middle of the year as recession fears grip markets to significant gains by year's end as optimism sets in.
Key economic indicators for consumers and the housing market suggest that the US could fall into a recession in the second half of 2023, but labor market strength provides hope that there may not be a contraction at all, according to the firm.
Where to invest: With stocks set to rally for much of the year, Deutsche Bank recommends investing in stocks in the financials, technology, and consumer discretionary sectors, is underweight defensives, and is neutral on cyclicals like energy and industrials.
Financials are already pricing in a growth slowdown and can rally if recession fears abate while interest rates stay relatively high, in the firm's view. Meanwhile, tech and consumer discretionary names have been crushed this year but can benefit as their risk-reward prospects improve.
Deutsche Bank also prefers European stocks after they've outperformed US names despite rampant inflation and the Russia-Ukraine war. The firm noted that European equities are trading at record lows relative to US names, which suggests the group still has more upside.
2023 outlook: Goldman Sachs sees flat earnings growth and stock returns next year, even as the Federal Reserve's monetary policy tightening cycle comes to an end.
However, economic growth in the US and globally should stay in positive territory in 2023, in the firm's view. Goldman Sachs predicts just a 30% chance of a US recession as inflation retreats.
Where to invest: Goldman Sachs doesn't believe investors should stay on the sidelines entirely next year, even though its bear case is for the S&P 500 to tumble to 3,150 and its base case doesn't include a material upside for the index.
Stocks in defensive sectors with low interest rate risk like healthcare, consumer staples, and energy are worth owning, in the firm's view, as are stocks that will benefit from lower inflation and those that have resilient profit margins as the economy weakens. Conversely, unprofitable firms and those with weak margins should be avoided.
2023 outlook: JPMorgan sees stocks rising modestly next year but getting off to a rocky start by falling about 10% in the first quarter as both earnings and valuations decline. But optimism will prevail later in the year, in the firm's view, as interest rates fall and fundamentals improve.
Market gains will come despite what will likely be economic downturns in the US and Europe, according to JPMorgan. For recoveries to occur, inflation must fall so that rates can follow.
Where to invest: Investors should focus on cheap stocks in 2023, both in an absolute sense and based on relative valuations, according to JPMorgan.
The firm favors the healthcare sector as a value play with growth qualities, and within defensives prefers utilities over real estate. With recessions on the horizon as interest rates keep rising, JPMorgan is less optimistic about cyclical sectors like industrials in the US.
2023 outlook: Morgan Stanley expects another lackluster year for US stocks as an earnings recession causes a sharp selloff early in the year. But like many of its peers, the firm sees potential for a big rally late in the year as investors grow more optimistic about future growth.
The US economy should avoid a downturn next year, according to Morgan Stanley, but lofty interest rates, slower job growth, and a higher unemployment rate will still hang over markets.
Where to invest: Investors should stay defensive as long as earnings estimates remain unsustainably high, wrote Mike Wilson, the top US equity strategist at Morgan Stanley.
Sectors to target in a challenging market environment include consumer staples, healthcare, utilities, and energy with a defensive tilt, in Wilson's view. He also likes high-quality firms that can execute in a weak economy.
"We still prefer high operational efficiency and high cash flow factors which should continue to outperform as expense discipline and cash flow generation is rewarded," Wilson wrote.
2023 outlook: Oppenheimer predicts that US stocks will rise by double-digit percentage points next year โ even without earnings growth โ as the S&P 500's earnings multiple expands again to 19x while inflation falls and interest rates stabilize.
The US economy is more resilient than many give it credit for and can avoid a recession altogether, according to Oppenheimer. And even if the economy contracts, the firm doesn't envision a deep or long downturn.
Where to invest: Oppenheimer's favorite sectors right now are industrials, technology, and consumer discretionary, John Stoltzfus, Oppenheimer's chief market strategist, told Insider in an interview. Within each, he prefers quality stocks with solid earnings and management teams, and sell products or services that are hard to live without.
"What we like are companies that are deeply embedded in the lives of both business and consumers on a day-to-day basis," Stoltzfus said.
2023 outlook: Truist provided a broad range of 3,400 to 4,300 for the S&P 500 next year instead of an exact prediction, but the average of its range โ 3,850 โ would be the Street-low target. Weak earnings, a shaky economy, and unappealing valuations skew investors' risk-reward proposition to the downside, in the firm's view.
Although the US economy will probably contract next year, Truist believes such a downturn would likely be short and shallow, given the strength of consumers and of the labor market. Still, the firm sees geopolitical risk and high rates leading to a historically bad year for global growth.
Where to invest: Although US stocks may have limited upside in 2023, market volatility will still give investors who look in the right places plenty of opportunities, according to Truist.
Equities broadly garnered a "less attractive" rating from the firm, with both emerging markets and international developed markets landing a "least attractive" rating. Foreign stocks may be cheap, but Keith Lerner, Truist's co-investment chief, noted that valuation alone isn't a catalyst.
US large cap stocks scored a "most attractive" rating, while US small caps and mid caps were seen as "neutral." Value names are also preferable to their growth peers, according to Truist, as their relative price trends improve after a decade of lagging. Cyclicals like energy and industrials look attractive, as do defensives like healthcare and consumer staples, in Lerner's view.
2023 outlook: UBS has one of the lowest S&P 500 targets among top investment firms. It sees corporate earnings falling by 11% next year as financial conditions remain uncomfortably tight.
The US won't be able to escape a global recession and will struggle to grow its economy in 2024 as well, according to the firm. Lower consumer savings will lead to a drop in spending, which will result in a higher unemployment rate as businesses struggle, in the firm's view.
Where to invest: In a hard landing scenario, UBS is defensive and prefers quality stocks, US companies, and growth names over value-oriented ones. The firm is also bullish on stocks that will benefit from lower inflation, specifically these 33 names it listed in a November note. | 2022-12-17T11:41:55Z | www.businessinsider.com | 2023 Investment Strategy, Advice From Top Wall Street Firms | https://www.businessinsider.com/2023-investment-outlook-where-to-invest-economy-recession-wall-street-2022-12 | https://www.businessinsider.com/2023-investment-outlook-where-to-invest-economy-recession-wall-street-2022-12 |
Burger King and Wendy's both just debuted new Italian-style sandwiches as the chicken sandwiches wars heat back up. Here's how they compare.
The chicken sandwich wars are heating back up with Wendy's vs. Burger King.
Wendy's and Burger King released similar Italian-style chicken sandwiches at the same time.
Both brands are taking advantage of decreased chicken prices and working with popular flavors, an analyst told Insider.
The Wendy's sandwich sounded good but had poor execution, but Burger King's was delicious.
After two years of high poultry prices, chicken is once again affordable โ prompting the fast-food chicken sandwich wars to rev back up.
Burger King France
Along with a whole slate of new chicken items across fast food companies, Burger King and Wendy's are both selling Italian-inspired chicken sandwiches.
Wendy's entrance.
It's not very surprising that the competing burger chains would roll out such similar items right now, CEO and president of Kalinowski Equity Associates Mark Kalinowski told Insider.
Burger King rebrand.
Kalinowski said Italian flavors are "widely popular" with broad appeal, and the two biggest casual dining chains, Applebee's and Olive Garden, both serve plenty of Italian food.
Patrons enter an Olive Garden Restaurant.
Chains usually have a good idea of what items their competitors are testing, so that may have spurred one of them to speed up the rollout to put the items head to head, according to Kalinowski.
Wendy's sign.
Dan Tian/Xinhua/Getty Images
I tried both to see how they compare.
First, I went to Burger King for the Italian Royal Crispy Chicken Sandwich.
The sandwich comes on a shiny potato bun.
It includes a chicken breast, marinara sauce, and a few slices of mozzarella.
Burger King does chicken sandwiches really well, and this was no exception.
The chicken was juicy, with crispy breading, and the amount of cheese felt generous.
There was just enough marinara sauce to get the taste in every bite without becoming messy or making the sandwich soggy.
It's simple, with just three ingredients between the buns, but it works really well.
I'd eat it again for sure.
I paid $10.09 for a meal with fries and a drink, but the sandwich sells by itself for $5.89 in Rochester, New York.
Next I tried the Italian Mozzarella Chicken Sandwich from Wendy's.
It's similar to the Burger King sandwich, with a breaded chicken breast, marinara sauce, asiago cheese, and what Wendy's calls "Ooey-gooey fried mozzarella cheese."
That's all served on a garlic knot bun.
I was really excited to try this sandwich when Wendy's announced it.
The fried mozzarella is essentially like adding a mozzarella stick to a chicken sandwich, which sounded like a great combination to me.
Unfortunately, it was a major disappointment.
It sounds like a good idea, but the sandwich was just too dry and had far too much bread compared to anything else.
Between the bun, the breaded chicken, and the breading on the mozzarella, it was too much.
Maybe more sauce and cheese would have helped.
Wendy's take on the sandwich was considerably more expensive, at $7.99, and I wouldn't order it again.
As fast food chains continue to invest in chicken sandwich deals and prices stay low, it's possible there will be more experimentation with chicken dishes on menus in 2023.
Wendy's chicken sandwich
Chicago Tribune / Contributor
Features Retail Fast Food | 2022-12-17T12:47:14Z | www.businessinsider.com | Burger King Vs Wendy's Italian Chicken Sandwich: Reviews, Photos | https://www.businessinsider.com/burger-king-vs-wendys-italian-chicken-sandwich-review-photos-2022-12 | https://www.businessinsider.com/burger-king-vs-wendys-italian-chicken-sandwich-review-photos-2022-12 |
Alex Stamos joined others in predicting activist investors could push Elon Musk out of Tesla if the stock continues to fall.
Elon Musk could face activist investors as Tesla's stock falls, an ex-Facebook exec warns.
Tesla shares have plummeted by more than 60% so far this year.
On Thursday, a major Tesla shareholder said the company needs a CEO more like Apple's Tim Cook.
Former Facebook security chief Alex Stamos warned that activist investors could start buying up Tesla shares โ and even attempt to wrest control of the company from Elon Musk โ if the electric car maker's stock doesn't start to turn around: It's down more than 62% so far this year.
Activist investors buy up big stakes in public companies and then agitate for change โ sometimes in the board room.
"If it continues to drop this hard, then you're going to end up with activist investors getting in, and those activist investors are going to push to get onto the board and then to put pressure on Musk โ or even to maybe kick Musk off as CEO," Stamos said of Tesla's big stock drop in an episode of the "Moderated Content" podcast that was published on Monday.
If an activist does come along โ and so far, there's no indication of that happening โ they could finally "be the brake on Musk's behavior," Stamos said, pointing to his controversial reign as Twitter's chief so far. "That might be the thing that kind of slaps him in the face of whether or not its worth it to do this," Stamos said.
Musk and a Tesla spokesperson did not respond to a request for comment from Insider ahead of publication. Stamos was previously Chief Security Officer at Facebook and he was also previously Chief Information Security Officer at Yahoo. He last spoke out against rumbling of an activist investor trying to unseat a founder when some people were making noise that Mark Zuckerberg should be deposed from the top seat at Facebook in 2019.
Stamos made the comments after Musk made a series of erratic statements on Twitter โ from calling for White House chief medical advisor Anthony Fauci to be prosecuted and mocking the LGBTQ+ community to insinuating Twitter's former security chief Yoel Roth has a permissive view of pedophilia. Stamos didn't return Insider's request for comment ahead of publication.
Over the past week, Tesla shares have hit their lowest value since November 2020. The electric-car maker's stock has plummeted more than 60% this year amid falling demand from China and Musk's preoccupation with Twitter.
Last week, some Tesla investors expressed concern that Twitter had become too much of a distraction for the carmaker's CEO. Meanwhile, Musk sold more of his Tesla holdings to help fund his $44 billion Twitter purchase on Wednesday โ offloading nearly $40 billion worth of Tesla stock in the past 14 months. Tesla's stock was trading a little over $150 a share late Friday.
Stamos isn't the only one warning that Musk could face a reckoning. On Wednesday, major Tesla shareholder Leo KoGuan called for a new CEO to takeover. KoGuan has amassed about 22.6 million Tesla shares as of September. Not much is known about how he spends his wealth, but according to Bloomberg, he's spent years making donations to Chinese universities.
He called himself "Elon's fanboy" in an interview with Forbes last year, but has since appeared to change his tune.
"An executioner, Tim Cook-like is needed, not Elon," he tweeted. KoGuan said an executive like the Apple CEO, who's known as a quiet operations genius, would be a better fit, saying "Elon abandoned Tesla."
On Monday, Wedbush tech analyst Dan Ives said Tesla is a ripe target for activist investors, adding that the company is likely to face increased pressure from activist investors in 2023 to launch a stock buyback program, improve profit margins, or make "strategic moves." Ives has been critical of Musk's preoccupation with Twitter in the past. Though, the tech analyst said in a note on Thursday that he maintains his outperform rating on the stock due to his optimism around the future of the EV industry.
William Klepper, a management professor who teaches an executive leadership course at Columbia Business School, told Insider that if Tesla's board doesn't step up and bring Musk's focus back to Tesla, the company will be "infiltrated by activist investors."
"The market is speaking to the board," Klepper said of Tesla's recent stock drop. "It's simple as that." | 2022-12-17T12:47:44Z | www.businessinsider.com | Elon Musk Could Lose Control of Tesla, Alex Stamos Says | https://www.businessinsider.com/elon-musk-tesla-control-stock-ceo-alex-stamos-2022-12 | https://www.businessinsider.com/elon-musk-tesla-control-stock-ceo-alex-stamos-2022-12 |
The 15 deadliest jobs in America
Tetra Images - Noah Clayton/Getty Images
Logging workers had the highest fatal injury rate in 2021 among occupations.
Fishing and hunting workers also had a high rate last year based on Bureau of Labor Statistics data.
There were nearly 2,000 transportation incidents in 2021 that were fatal.
Logging workers have the most dangerous job in the US, based on the government's most recent fatal injury rate figures.
That's according to the Census of Fatal Occupational Injuries from the Bureau of Labor Statistics for 2021. There were 82.2 fatalities per 100,000 full-time equivalent workers for logging workers. Fishing and hunting workers followed behind, with a rate of 75.2 per 100,000 full-time equivalent workers. In 2020, the fatal injury rate for logging workers was slightly higher, at 91.7.
Construction jobs can also be deadly. Construction trade helpers, for instance, was among the occupations with the highest fatal injury rates. This job had a rate per 100,000 full-time equivalent workers of 22.9.
Overall the fatal injury rate per 100,000 full-time equivalent workers was 3.6 in 2021, which BLS notes in its news release was the highest overall rate since 2016.
Transportation incidents made up the largest number of fatal incidents, which has also been the case in previous years. In 2021, there were 1,982 fatal transportation injuries. There were 850 fatal falls, slips, or trips. Both these numbers are below their pre-pandemic 2019 figures but above 2020 figures.
The following are the 15 most deadliest jobs in America based on 2021 fatal injury rates. Fatal injury rates noted below are fatal injuries per 100,000 full-time equivalent workers.
Fatal injury rate per 100,000 workers: 17.1
14. Farmers, ranchers, and other agricultural managers
13. First-line supervisors of landscaping, lawn service, and groundskeeping workers
12. Grounds maintenance workers
11. First-line supervisors of mechanics, installers, and repairers
10. Electrical power-line installers and repairers
9. Construction trade helpers
8. Underground mining machine operators
7. Refuse and recyclable material collectors
6. Driver/sales workers and truck drivers
5. Structural iron and steel workers
4. Aircraft pilots and flight engineers
3. Roofers
2. Fishing and hunting workers
1. Logging workers
Features Economy Injury | 2022-12-17T13:13:19Z | www.businessinsider.com | The Deadliest Jobs in America, Per Bureau of Labor Statistics Data | https://www.businessinsider.com/deadliest-jobs-in-america-bls-2022-12 | https://www.businessinsider.com/deadliest-jobs-in-america-bls-2022-12 |
Procrastinators, rejoice: Super Saturday is here and it could bring major discounts to shoppers
Super Saturday, the last Saturday before Christmas, could draw a record 158 million shoppers.
Shoppers have more time to buy this year thanks to the calendar.
Retailers have too much inventory and they need to offload it before the end of the year.
Super Saturday is here, and it's likely to be a great day for everyone who procrastinated their holiday shopping.
More than 158 million people are expected to shop on Saturday, 10 million more than last year at this time and the most since this data was first tracked in 2016, according to a survey by the National Retail Federation of 7,857 consumers.
The reason for these holiday procrastinators? The calendar, according to at least one major retailer.
"There is a sense of customers holding back, and some of that is the way the calendar falls this year," Nordstrom CEO Erik Nordstrom said at Morgan Stanley's Consumer & Retail Conference last week, according to Retail Dive. "It's an extra Saturday before Christmas, Hanukkah is later. There's some calendar reasons for holiday to be pushed back a bit."
But shoppers who take advantage of that extra time to buy are in for another treat: major discounts. Retailers are swamped with too much inventory this year, and with only about two weeks to go until 2022 ends, it's crunch time for retailers who want to get that merchandise off their balance sheets.
All of this means good news for shoppers, who, unlike last year, won't be trapped by "limited product options and high prices" this year, according to Ross Steinman, a professor at Widener University who studies consumer behavior.
"It might be the case this year that those who are willing to wait will secure the lowest prices," Steinman said in a statement. "Retailers staring down time-limited inventory surpluses will do whatever they can to liquidate before the holiday season has expired."
Shoppers could see major discounts on Super Saturday
Major retailers have been lamenting their inventory positions throughout 2022.
The supply chain challenges that squeezed retail brands last holiday season have subsided, leaving a pandemic-induced hangover in their wake. Some retailers, encouraged by pandemic demand, placed big orders that got held up in supply chain hell and arrived late, leaving those companies with more stuff than they needed. Plus, not only do shoppers no longer want hot "pandemic products" like home goods and loungewear, but inflation has meant they've also had less money to spend in general.
It's left retailers like Gap, American Eagle, and Abercrombie & Fitch, big box chains like Target and Walmart, and even toy stores overloaded with inventory for much of this year. The best way to get rid of all those products? Discounts.
Gap Chief Financial Officer Katrina O'Connell pledged during the company's earnings call last month that it would "rely heavily on markdowns and discounting" to clear through those products before the start of 2023 โ CFOs from Bath & Body Works, Macy's, and more have pledged similarly.
Apparel and footwear has already been heavily discounted this holiday season, Business of Fashion reported last month, citing data from retail intelligence firm Edited. Discounts on those items are averaging 49%, the deepest level in three years. As of November, 58% of styles were on sale, up from 35% in 2021 and beating even prepandemic levels, BoF reported โ and that was before the last-minute holiday crunch.
Now, heading into the last week before Christmas and the start of Hanukkah, retailers like Amazon, Walmart, and Target are running sales to lure shoppers.
Which means if you're heading to the shops this weekend, or buying online, or some combination of both, as 46% of consumers are, according to the NRF, you probably timed it just right.
Super Saturday Holiday Shopping Holidays 2022 | 2022-12-17T13:13:31Z | www.businessinsider.com | Super Saturday Could Bring Big Deals for Holiday Shoppers | https://www.businessinsider.com/super-saturday-holiday-shopping-deals-due-to-inventory-excess-2022-12 | https://www.businessinsider.com/super-saturday-holiday-shopping-deals-due-to-inventory-excess-2022-12 |
An unusual lake in Canada.
Volcanic lightning at Mount Sakurajima, Japan.
A fire rainbow in Pennsylvania.
An ice crystal halo.
A large fire whirl
Penitentes in front of the Atacama Large Millimeter/submillimeter Array telescope and the Licancabur volcano in northern Chile.
Pele's hair lava from Hawaii's Mt. Kilauea
Salar de Uyuni in Bolivia.
A 13-year cicada in Chapel Hill, N.C.
Iridescent bismuth crystals.
Blood Falls in Antartica.
A desert rose, which is a special form of the mineral gypsum.
A giant hole in the Siberian permafrost.
Rainbow eucalyptus, which hails from the Philippines and Indonesia.
Richtat structure, also known as "the Eye of the Sahara."
A snake orgy in Manitoba, Canada.
Lake Natron, in Tanzania.
A waterspout near Singapore.
Pando, one of the oldest and largest organisms in the world.
Lightning occurs over and around Lake Maracaibo.
A shoot of fire behind an upstate New York waterfall.
Goats in Morocco are climbing trees.
Nacreous clouds, which form very high in the atmosphere.
Green Sand Beach, in Hawaii.
A murmuration of starlings in Britain.
Features Weather Volcano | 2022-12-17T14:18:27Z | www.businessinsider.com | 25 of Earth's Coolest Natural Phenomena | https://www.businessinsider.com/25-of-the-coolest-natural-phenomena-2016-6 | https://www.businessinsider.com/25-of-the-coolest-natural-phenomena-2016-6 |
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