Caracal Daily | December 11

Caracal Daily | December 11

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

Geopolitics is disrupting every business and industry. Caracal is here to help.

Always Be Communicating.

Happy Wednesday.

Here’s today’s Caracal Daily:

*** Globalization + Geopolitics ***

Hayat Tahrir al-Sham, the Islamist group that toppled Bashar al-Assad in Syria, appointed Mohammed al-Bashir as caretaker prime minister. 

New Syrian prime minister calls for 'stability and calm': DW reports Syria's new caretaker prime minister has said the time has come for Syrians to enjoy a period of calm after over a decade of war. He also met with members of a transitional government. 

Israel says Syrian navy and weapons stockpiles wiped out in strikes across country: WP reports more than 350 Israeli strikes across Syria Monday and Tuesday “successfully destroyed the Syrian fleet” and hit “most of the strategic weapons stockpiles” in the country, Israel said.

+ Over 300 Israeli airstrikes on Syria since Assad's fall

Israel takes advantage of Syrian regime's fall to extend its control of strategic areas: Le Monde reports claiming to aim to guarantee its own security, Israel has deployed troops beyond the UN-monitored buffer zone with Syria. While 'temporary,' according to Israel's Foreign Minister, the move raises several questions.

Exploiting disarray in Syria, Israel grabs more of the Golan Heights: The incursions are neither justified nor necessary. Economist

US scrambles to contain Syrian chaos: WP reports the sudden rebel offensive leading to the collapse of Assad’s government and military forces has left governments around the world reeling. 

Russian forces stay put at key military bases in Syria: FT reports satellite imagery shows no signs of withdrawal from air and naval facilities.

Syrian rebels have dealt a blow to Vladimir Putin’s naval ambitions: The loss of a key Mediterranean port could hobble the Russian navy. Economist

In Syria, the fight to preserve evidence of Assad regime's crimes: Le Monde reports several organizations are calling on the rebels not to destroy evidence of the regime's crimes, partly to help in the search for the thousands of people who disappeared in Assad's prisons. 

+ A senior Russian official told US broadcaster NBC on Tuesday, December 10, that deposed Syrian leader Bashar al-Assad is being hosted in Russia, giving Moscow's first public confirmation of his whereabouts.

In Indonesia, smartphone makers want sales, Jakarta wants investment: Nikkei reports Oppo, Samsung, and Apple see growth potential but the price is more local manufacturing.

Japan's digital trade deficit heads for record high of over $39bn: Nikkei reports the country embraces services from Google, Netflix but new value creation lags.

Japan plans to provide defense equipment to the Philippines, Indonesia, Mongolia, and Djibouti under its official security assistance to the armed forces of like-minded countries that share its values, a government source said Saturday.

Nobel Peace Prize laureate Nihon Hidankyo accepts honors: NHK reports a Japanese group of atomic bomb survivors has received one of the world's highest honors. Nihon Hidankyo accepted this year's Nobel Peace Prize in Norway. It comes as tensions rise around the world -- raising fears over the use of nuclear weapons.

AFP: US offers $10 mn reward for wanted Chinese hacker

+ Guan Tianfeng, 30, is believed to be living in China's Sichuan Province, according to the State Department.

From TikTok to Nvidia, the tech war is getting uglier: ByteDance's current dilemma is a taste of what's to come as more firms will get pinched from both the US and Chinese sides. Catherine Thorbecke

Xi Jinping says China will remain world’s ‘growth engine’: FT reports stocks rise after Beijing signals more measures to boost economy.

China loosens monetary policy stance for first time in 14 years: FT reports markets rally as Communist party officials to meet in coming days to discuss country’s economic policy.

China launches antitrust investigation into Nvidia: Nikkei reports Beijing alleges chipmaker also violated terms of Mellanox acquisition approval.

From Apple to Starbucks, Western firms’ China dreams are dying: Economic growth is slowing, competition is stiffening, and geopolitical tensions loom. Economist

NHK: China President Xi says there will be no winners in trade war

China reveals its playbook for dealing with impending Trump trade war: Beijing is responding to Biden administration actions decisively and swiftly — a warning to Donald Trump that it will play hardball this time, analysts say. WP

Chinese carmakers are taking Mexico by storm while eyeing US: NYT reports BYD and other manufacturers are importing cars from China and scouting factory sites in Mexico as part of a global expansion that, for now, excludes the United States.

Russia’s elite sound the alarm on the economy amid high interest rates: WP reports squeezed by Western sanctions and astonishingly high interest rates, Russia’s businesses fear bankruptcies as Putin pushes ahead with the Ukraine war.

Fortune: Russia has disciplined 30,000 soldiers for corruption this year as bribery threatens to undermine Putin’s war economy

Le Monde: US disburses $20 billion Ukraine loan backed by profits from Russian assets

Ukraine asks if Telegram, its favorite app, is a sleeper agent NYT

+ Roughly 70 percent of Ukrainians use Telegram as a primary news source, according to a recent survey.

Macron aims to name prime minister 'within 48 hours': Le Monde reports French President Emmanuel Macron met with party leaders on Tuesday for talks on the formation of the new government.

'The Paris AI summit will act against the risks and for the benefits of AI': Anne Bouverot is tasked by the Elysée Palace with organizing an AI summit in February, bringing together companies, NGOs, and 100 heads of state. Le Monde

DR Congo mystery illness: What we know: An undiagnosed 'Disease X' is spreading in a remote region of DR Congo. Can it be treated? DW

Brazil President Lula 'stable' after emergency surgery: BAT reports Brazil's 79-year-old President Luiz Inácio Lula da Silva is recovering from emergency surgery after suffering an intracranial hemorrhage.

Tirades and trolls: How Milei changed Argentina's political rhetoric: According to a September poll by consulting firm Zuban Córdoba, 65.7% of Argentines believe that "hate and intolerance are on the rise" since Javier Milei took office. BAT

A year into office, Milei’s ‘shock’ therapy takes hold on Argentina: President Javier Milei marks his first year in office Tuesday and intends to celebrate his government's achievements in a national broadcast later this evening. BAT

Argentina: Has Javier Milei proved his critics wrong? In his first year, the libertarian president has stabilised a turbulent economy, while retaining the support of half the population. But big challenges loom. FT

Trump has a new favorite foreign leader. He’s known as ‘the madman.’ Michelle Goldberg

Donald Trump is not as tough as he thinks: Bullying allies who need good relations with America is easier than intimidating rulers with far darker aims. Economist

With tariff threat looming, Michigan's Pete Hoekstra is in the hot seat John Lindstrom

US Steel + Nippon: President Joe Biden plans to formally block the $14.1 billion sale of United States Steel Corp. to Nippon Steel Corp. on national security grounds once the deal is referred back to him later this month, people familiar with the matter said.

***  US Politics + Elections ***

US aim to lead on AI threatened by land shortage: Power-hungry high-tech industries are driving demand for sites with ready access to the power grid. FT

+ In a 2024 survey by the Site Selector's Guild, nearly two-thirds of the people involved in securing US industrial sites cited their scarcity as the top factor impeding new projects. 

+ President-elect Donald Trump said his administration would help expedite permits for any person or company that invested at least $1 billion in the US.

Who is David Sacks, Trump’s pick for AI and crypto czar? The tech investor made his money through early bets on Uber and other startups. He built his reputation as a conservative provocateur. WSJ

The PayPal Mafia is taking over America’s government: America’s right-wing tech bros are celebrating Donald Trump’s victory. Economist

‘Friendlier climate toward new technology’ expected under Trump, venture capitalist says. What that means for AI, crypto CNBC

Eric Trump promises the ‘most pro-crypto president’ in history: NYT reports speaking at a Middle East conference, President-elect Donald J. Trump’s son said his family had embraced cryptocurrency because some banks stopped doing business with them after Jan. 6.

AP: Elon Musk signifies he’ll go beyond supporting Trump to serve as his political enforcer

+ Elon Musk said his political action committee would “play a significant role in primaries.”

Kennedy’s war on corn syrup brings a health crusade to Trump country: NYT reports when Donald J. Trump said Robert F. Kennedy Jr. could “go wild” on health, he might not have expected his pick for health secretary doing battle against the president-elect’s own voters.

CNBC: Trump’s mass deportation plan could threaten workforces in industries from agriculture to health care

AP: Republican-led states are rolling out plans that could aid Trump’s mass deportation effort

+ @Redistrict: Fact: in 2024, the House majority was decided by just 7,309 votes across three districts (#IA01, #CO08 and #PA07) out of 148 million votes cast nationwide.

Don’t assume AI is always the answer, says US Space Force data and AI chief: Generative AI technology is exciting and full of sci-fi potential, but it’s good old GPS and weather data that keeps Chandra Donelson up at night. Fortune

Detroit News: Pete Buttigieg weighs political future with top Michigan Democrats

+ US Transportation Secretary Pete Buttigieg has met in recent months with several prominent Michigan Democrats, some of whom believe the former presidential candidate is considering a campaign for governor.

BGov: Kroger’s $24.6 Bbillion Albertsons deal blocked by federal judge

US moves to add monarch butterfly to the endangered species list: WP reports the major US Fish and Wildlife Service’s proposal would declare the iconic species as threatened, with federal scientists saying the species is on the decline.

*** Disruption + Innovation ***

An AI companion suggested he kill his parents. Now his mom is suing. WP reports a new Texas lawsuit against Character dot ai, alleging its chatbots poisoned a son against his family, is part of a push to increase oversight of AI companions.

Years of Reddit posts have made the company an AI darling: WSJ reports the social-media veteran is profiting from feeding artificial-intelligence companies’ insatiable appetite for conversational text.

OpenAI’s video generator, Sora, aims to kickstart the AI video era: WP reports the artificial intelligence video creation tool can be used to make commercials, films — and maybe deepfakes.

In 2025, AI will elevate the CIO role. Here’s why: In 2025, internal pressures within enterprises will accelerate the move to mandatory AI governance. FC

Fortune: Motorola Solutions CTO says AI-powered ‘smart’ surveillance cameras will make the world safer

Gentrace makes it easier for businesses to test AI-powered software: The company’s new framework lets even non-coders tweak parameters and find ways to optimize AI performance. FC

CNBC: Alphabet shares jump 6% after Google touts ‘breakthrough’ quantum chip

Alphabet, Meta, + Amazon now account for 41% of global ad sales. More than $400 billion in sales.

+ The emergence of ad-supported tiers for streaming services such as Netflix Inc. and Comcast Corp.’s Peacock is “great news” for the advertising industry.

+ Global advertising revenue is projected to climb 9.5% to $1.04 trillion this year, topping that milestone for the first time, according to a new report from ad buyer GroupM.

WSJ: Walgreens in talks to sell itself to private-equity firm Sycamore

CNBC: Mondelez made a takeover approach for Hershey, sources say

How an app selling secondhand clothes went from near collapse to worth $5 billion: Vinted is wildly popular in Europe and disproving the conventional wisdom about the resale market. Can it eventually crack the US? WSJ

LVMH is betting on a small but high-end French hotel group with properties in tourist hot spots like Tuscany and Minorca for its latest expansion in luxury travel. LVMH Moët Hennessy Louis Vuitton SE has bought a stake of about 20% in Les Domaines de Fontenille.

A24 is giving its club members tickets to all its movies on opening weekend: A24’s AAA24 2.0 membership club seeks to deepen the relationship between fans of the studio and its movies. FC

Detroit News: GM halts funding for Cruise robotaxi program

Detroit Free Press: GM dumps Cruise robotaxi plans; shifts autonomy work to personal cars

+ The Detroit automaker cited the increasingly competitive robotaxi market, capital allocation priorities and the considerable time and resources necessary to grow the business as reasons for its decision.

+ GM said it plans to instead “realign its autonomous driving strategy” to focus on advanced driver assistance systems and autonomous systems for use in personal vehicles.

*** Culture ***

Catholic church in Switzerland finds an opportunity for a spirited debate about AI: NPR reports an art installation by a Catholic church in Switzerland allowed visitors to step into a confessional and have a conversation with a digital Jesus that gave AI generated answers.

A filmmaker, a spy, and France’s richest man meet in a Paris court: Bernard Arnault, the head of LVMH, squared off with a documentary maker in a case of espionage gone wrong, a showdown that had been brewing for years. NYT

Sugarcane — an outstanding documentary about Canada’s brutal treatment of indigenous children: National Geographic film is an uncompromising interrogation of systemic abuse in the country’s residential schools. FT

Michelin New York finally welcomes a Korean restaurant to the three-star club: The Seoul transplant Jungsik is the big winner in this year’s rankings, and a famed French dining room gets demoted. Bloomberg

San Francisco, Paris named best cities for urban transportation: Technology and innovation weighed heavily in this year’s assessment of the global cities best preparing for future mobility. Bloomberg

*** Sport ***

Caitlin Clark is Time's athlete of the year.

Bill Belichick is considering an offer to become the next coach at North Carolina, four people briefed on the situation told The Athletic on Tuesday.

Ski racers keep crashing. So they’ve been fitted with airbags. The international ski federation now requires World Cup racers in the speediest disciplines to wear the crash-sensing tech. WSJ

FIFA bends own rules to give Saudi Arabia coveted 2034 World Cup: NYT reports critics have objected to the bidding process, and human rights groups have raised concerns about workplace safety for the migrants who will build the stadiums needed to host the event.

Gianni Infantino finally delivers his dream: A Saudi World Cup: Saudi Arabia will be confirmed as 2034 World Cup host at special FIFA Congress on Wednesday with no vote and fears of ‘unimaginable human cost’ to migrant workers. Martyn Ziegler

Why the Saudis want a second World Cup in the Gulf Bloomberg

NHL near 2026 Olympic deal and seek 2028 Hockey World Cup: AFP reports NHL officials said Tuesday they are nearing a deal with the International Olympic Committee (IOC) and International Ice Hockey Federation (IIHF) on sending players to the 2026 Winter Olympics in Milan-Cortina, Italy.

How the Olympics helped transform Salt Lake City into a tech hub CNBC


Enjoy the ride + plan accordingly.

-Marc 

Marc A. Ross | Chief Communications Strategist @ Caracal