Caracal Daily | August 6

Caracal Daily | August 6

Caracal Daily is geopolitical business news + intelligence for comms pros.

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Here’s today’s Caracal Daily:

*** Globalization + Geopolitics ***

Bloomberg: Iran says it wants to punish Israel but avoid all-out war

+ Tehran says it aims to reestablish ‘deterrence’ against Israel

+ Israel’s Netanyahu says his country is ready for any attack

FT: Iran will ‘definitely’ retaliate against Israel for killing of Haniyeh, says new president

Bloomberg: US, allies make frantic push to avert possible Mideast war

+ Tehran says it must restore deterrence but avoid a wider war

+ Israel activates a command bunker under Jerusalem’s hills

FT: UK rioters as young as 14 charged as government promises ‘swift justice’

How TikTok bots and AI have powered a resurgence in UK far-right violence: Experts warn growth of extremist influencers and ‘micro-donations’ could create even bigger wave of unrest. Guardian

UK PM slams Elon Musk for saying far-right riots ‘inevitable’: Politico reports Keir Starmer’s spokesperson said there’s ‘no justification’ for tech billionaire’s comments about a ‘civil war.’

Elon Musk clashes with Keir Starmer over claim of ‘civil war’: The Times reports the prime minister said there was ‘no justification’ for the billionaire’s comments about Britain in light of unrest prompted by the murder of three girls in Southport.

Where rich Brits and French might go to escape higher taxes: Wealth advisers see growing interest in migration after elections in both countries have created uncertainty about future policies. Bloomberg

Myanmar rebels claim regional military base in major victory: NYT reports the seizure of the military’s northeastern command post gives the resistance control of a city and airport on a crucial trade corridor to China.

Bangladeshi PM resigns and flees bloody protests: The Times reports Sheikh Hasina escapes to India in helicopter as protesters loot her residence.

Bangladesh PM Hasina quits, flees country as protesters storm residence: Nikkei reports army chief says interim government planned and calls for end to deadly unrest.

Bangladesh’s dictator flees—leaving behind a dangerous vacuum: The Economist reports the army tries to restore order after Sheikh Hasina, the country’s “iron lady”, escapes.

Bangladesh: What's next after PM Sheikh Hasina forced out? DW reports Hasina's 15-year rule came to an abrupt end after she was forced to resign and flee the country amid weeks of violent political unrest. It's unclear what comes next as the army prepares to set up an interim government.

Taiwan turns to own 'Iron Duke' Wellington Koo to deter China: Civilian defense minister aims to sharpen asymmetric warfare capabilities. Nikkei

AFP: Tokyo stocks surge 8% after record fall

Asian stocks rebound amid global volatility: FT reports Tokyo recovers ground after worldwide rout over concern that Fed is too slow to respond to signs of weakening US economy.

Air drills bring new thrust to India, Germany defense ties: DW reports the Indian Air Force is holding its first multinational air combat exercise. For the first time, Germany's Luftwaffe will also participate in military drills in India.

Bloomberg: Maduro calls Venezuelans to delete WhatsApp in growing crackdown

+ The messaging app is being used by “fascists,” Maduro says

+ The request comes as security forces arrest 2,000 people

How the US military cultivated — and then lost — a key African ally: Key events in the lead-up to the US troop withdrawal from Niger. WP

Fortune: US to ban Chinese software in self-driving cars amid national security fears

America isn’t ready for the wars of the future: And they’re already here. Mark A. Milley + Eric Schmidt

***  US Politics + Elections ***

Kamala Harris leads Donald Trump in The Economist's nationwide poll tracker: It is the first lead for a likely Democratic contender since October 2023.

Republicans cringe at Trump’s undisciplined attacks on Harris: ‘A public nervous breakdown’: Politico reports Republicans are reeling from Trump’s undisciplined approach to the opening stages of his race against Harris.

DFP: JD Vance headed to Macomb County on Wednesday

Michigan + Musk: Michigan’s secretary of state is investigating America PAC, a pro-Trump super PAC founded by Elon Musk, over a website that purports to help voters register to vote.

Fortune:  Donald Trump got a Tesla Cybertruck from a controversial influencer—right after the former president said EVs will ‘destroy the country’

Silicon Valley’s Trump supporters are making a big mistake Michael Moritz

Harris nears vice president pick after fierce lobbying from Democrats: NYT reports Vice President Kamala Harris is expected to reveal her running mate on Tuesday, capping a sprint that exposed some fissures within her party.

Harris prepares to name running mate and launch multistate tour: WP reports her selection will complete the Democratic ticket after the nearly unprecedented turmoil that followed President Biden’s withdrawal from the race.

‘Space aficionado’ Kamala Harris aims for moonshot presidency: As chair of the National Space Council, Harris has been a leading advocate of getting astronauts back to the moon to build a lunar base. Politico

The Biden administration is betting this CHIPS Act program can revitalize communities from the ground up: The Recompete program, another example of the Biden’s administration’s commitment to ‘place-based’ economic development, is also a corrective to the trickle-down economics of the Trump years. FC

X's AI chatbot spread election misinformation, US officials say: AFP reports five US states sent an open letter Monday to Elon Musk, urging him to fix his social media platform X's AI chatbot after it shared misinformation about the upcoming presidential election.

+ Five secretaries of state plan to criticize Grok, the chatbot run by Musk’s xAI, for falsely suggesting that Kamala Harris wasn’t eligible to appear on the 2024 ballot.

Anti-AI lawsuits in the music industry pose novel questions for courts: FC reports country musician Tift Merritt’s most popular song on Spotify, “Traveling Alone,” is a ballad with lyrics evoking solitude and the open road. Prompted by Reuters to make “an Americana song in the style of Tift Merritt,” the artificial intelligence music website Udio instantly generated “Holy Grounds,” a ballad with lyrics about “driving old backroads” while […]

The power of choosing your words wisely: Taking care when describing ideas is more important than ever in both politics and economics. Rana Foroohar

*** Disruption + Innovation ***

WSJ: Dow sinks more than 1,000 points in global selloff

Canon zooms in on China's Gen Z to boost digital camera sales: Nikkei reports marketing push taps into desire for more eye-catching social media feeds.

FT: Lucid receives further $1.5bn in Saudi funding ahead of SUV EV launch

FT: Mars in talks to buy $22bn Pringles maker Kellanova

Coca-Cola will pay $6 billion in back taxes and interest to the IRS while it appeals a federal tax court decision.

Bloomberg: Google monopolized search through illegal deals, judge rules

+ Google’s deals with Apple and others violate law, judge says

+ Google paid billions to make search engine default on phones

US judge rules Google broke antitrust law in search case: Reuters reports Alphabet's Google broke the law to cement its dominance over online searches and related ads, a federal judge ruled on Monday in the US Justice Department's first victory against a monopoly in more than 20 years.

‘Google is a monopolist,’ judge rules in landmark antitrust case: NYT reports the ruling on Google’s search dominance was the first antitrust decision of the modern internet era in a case against a technology giant.

Google is an illegal monopoly, federal court rules: WP reports the ruling hands the Justice Department its biggest victory in more than two decades in limiting the power of Big Tech companies to control and dominate the huge markets they have created.

Google loses its massive antitrust case against the DOJ: The court’s decision marks a new way of thinking about antitrust in the internet age. FC

Fortune: Forget Apple, the biggest loser in the Google search ruling could be Mozilla and its Firefox web browser

Why Apple could be a loser in Google's antitrust defeat BI

Bloomberg: Apple’s shift to AI is poised to soften blow from Google ruling

+ Judge’s decision puts Google payments to Apple in jeopardy

+ In future, Apple could handle searches via Siri and chatbots

Bloomberg: Nvidia’s next-generation AI chip rollout slowed by engineering snags

+ Stepped-up pace of product releases has added pressure

+ Company looks to extend its dominance in AI computing

Bloomberg: AI chip startup Groq gets $2.8 billion valuation in new funding round

+ Cisco and Samsung invested in the $640 million deal

Bloomberg: Xiaomi-backed AI chipmaker Black Sesame prices Hong Kong IPO at bottom of range

+ AI chipmaker raises $133 million at low end of price band

+ Listing marks second debut under city’s specialist tech regime

AI is changing the future of CAPTCHAs: FC reports CAPTCHA is one more battleground in the seemingly endless battle between AI and humans.

FT: Google hires founders of chatbot start-up Character AI

Bloomberg: OpenAI co-founders Schulman and Brockman step back

+ Researcher Schulman is leaving for rival startup Anthropic

+ OpenAI president Greg Brockman is going on extended leave

Musk revives lawsuit against OpenAI and Sam Altman: WSJ reports billionaire Elon Musk alleged he was manipulated into believing the artificial-intelligence company he was helping launch was a nonprofit.

WP: Elon Musk renews legal war on OpenAI, two months after dropping lawsuit

Why AI researchers are worried about ‘model collapse’ Bloomberg

Bloomberg: Musk’s X to close San Francisco office, relocate workers

*** Culture ***

Alanis Morissette is not aloof: Celebrating the 25th anniversary of her second worldwide album, the singer and songwriter spoke about being destabilized by sudden fame — and how she got her center back. The Times

Colleges race to ready students for the AI workplace: WSJ reports non-techie students are learning basic generative-AI skills as schools revamp their course offerings to be more job-friendly.

*** Sport ***

Le Monde: France's Kauli Vaast wins Olympic gold in men's surfing

Le Monde: France beats Egypt 3-1, faces Spain in men's soccer final at Paris Olympics

Why Olympic sharpshooters insist on looking like cyborgs: The gold medal for badass Olympics gear goes to shooting glasses—cyborgian specs that looked Broadcasters fly in TikTokers and YouTubers to generate Olympic buzz: NBC and Eurosport among those using ‘creators’ to spur interest and reach wider audiences. FT

Wait, why is the Paris Olympic running track so purple? The brightly colored surface at the Stade de France is a shock to track-and-field traditionalists, but the athletes aren’t complaining. ‘It’s gorgeous.’ WSJ

Bloomberg: US Fencing Team wants to turn gold rush into corporate dollars

+ Sport aims to lure sponsors with access to high-income members

+ Women’s foil athletes took home first team gold medal in Paris


Enjoy the ride + plan accordingly.

-Marc 

Marc A. Ross | Chief Communications Strategist @ Caracal