Caracal Daily | August 7
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 ***
Hamas named Yahya Sinwar, the group’s boss in Gaza and an architect of the October 7th attack, its overall leader.
Vladimir Putin has paid dearly for the return of his spies to Russia: The prisoner exchange benefitted both the West and the Russian resistance, as the head of the Kremlin had to make concessions to his intelligence services. Marie Mendras
Mali breaks diplomatic ties with Ukraine: DW reports Mali breaks diplomatic ties with Ukraine after Bamako criticized remarks by Ukraine's military intelligence about an attack killing Malian soldiers and Russian mercenaries. Ukraine said Mali's decision is 'shortsighted.'
Deals signed by Italy and China after PM Meloni's trip: Reuters reports Italian Prime Minister Giorgia Meloni visited China at the end of July to boost co-operation with the world's second-largest economy and reset trade ties after leaving the Belt and Road infrastructure investment scheme.
Democracy and innovation could set India on a different development path: The emphasis should be on new companies, ideas, and products that allow the country to own the high end of the value chain. CBR
Microcredit pioneer Muhammad Yunus to lead caretaker Bangladesh government: WSJ reports the role marks a change in fortunes for the economist, who faced legal proceedings under the government of Sheikh Hasina.
Bloomberg: Nobel winner Yunus to lead Bangladesh after shunning politics
+ Yunus to lead after protests drive prime minister from country
+ Microfinance pioneer has focused career on alleviating poverty
Venezuela election: Army stands by Maduro despite opposition: DW reports the Venezuelan military has rejected calls by the opposition to intervene after President Nicolas Maduro won another term in a contested vote.
US convicts academic of being Chinese 'foreign agent': DW reports federal prosecutors said the accused portrayed himself as a proponent of democracy in China to gain the trust of dissidents. He was convicted of sharing information with Beijing's Ministry of State Security.
*** US Politics + Elections ***
WP: Harris picks Tim Walz for running mate
Le Monde: Kamala Harris chooses Tim Walz as running mate in hope of winning over Great Lakes region voters
+ The Minnesota governor and veteran has a record of wins on conservative terrain
+ @kaylatausche: In private text messages discussing VP candidates, Harries allies often compared Walz to Friday Night Lights coach Eric Taylor - an upstanding motivator from middle America - who popularized the phrase many Dems are quoting today.
+ The Democratic ticket is scheduled to appear in seven battleground states in the coming days
How Shapiro lost out to Walz in the race to be Harris’s VP pick: Kamala Harris opted for folksy Minnesota Gov. Tim Walz over Josh Shapiro, the centrist governor of Pennsylvania. WSJ
Harris’s whirlwind, high-pressure process in selecting a running mate WP
Why Kamala Harris picked Tim Walz as her running-mate: Compared with a bolder but more divisive alternative, the Minnesota governor was the easier choice. Economist
In Walz, Harris sees a battleground strategy dressed in Carhartt: Democrats think Gov. Tim Walz’s cultural ties are needed to talk to rural and working-class voters. But Republicans are not going to let his folksy style obscure a liberal record. NYT
Bloomberg: Harris VP pick Walz’s long history with China may prove awkward
+ Past statements may draw criticism from China and Republicans
+ He’s cited room for cooperation but also lauded the Dalai Lama
That boring new Harris-Walz logo? It’s actually pretty historic: The new Harris-Walz logo references Harris’s historic candidacy in the most low-key way possible. FC
How 2024 became the Zoom election: Hastily assembled mega-rallies conducted over Zoom are raising millions to elect Kamala Harris, giving the videoconferencing app an unexpected role in this year’s campaign. NYT
The politics of electric vehicles looms large in swing states: Trump’s anti-EV rhetoric is a gift to Kamala Harris. Errol Louis
NYT: Elissa Slotkin and Mike Rogers will face off in key Michigan Senate race
US to invest $2.2 billion to overhaul national power grid: Reuters reports the Biden administration said on Tuesday it is investing $2.2 billion to revamp the nation's power grid to protect it against growing threats of extreme weather events.
Chuck Schumer eyes opportunities to pass deepfake and AI bills as 2024 elections near: In an interview with NBC News, Schumer suggested deepfake election bills could hitch a ride on a funding bill, while AI national security bills could be linked to a big defense policy package.
Sens. Rounds, Heinrich offer bicameral bill to test AI for financial services: Inside AI Policy reports Sens. Mike Rounds (R-SD) and Martin Heinrich (D-NM) have unveiled bicameral legislation that would set up testing “sandboxes” at financial regulatory agencies to allow banks and other institutions to safely explore how AI could benefit consumers and the financial services industry.
MITRE urges government ‘red teaming’ of high-risk AI systems: Inside AI Policy reports the federal government should implement requirements for artificial intelligence “red teaming” to ensure AI products procured by agencies are secure, according to a memo from MITRE’s Center for Data-Driven Policy outlining AI security recommendations and advice for implementation.
‘The Godmother of AI’ says California’s well-intended AI bill will harm the US ecosystem Fei-Fei Li
*** Disruption + Innovation ***
Fortune: Monday’s stock market crash shows that the AI revolution isn’t quite here yet
A history-lover’s guide to the market panic over AI: Past technologies offer clues to what comes next. Economist
10 reasons why AI may be overrated Planet Money
When the AI bubble bursts: The boom in AI investment since ChatGPT’s launch has been accompanied by constant claims that the technology will transform our world. Will it? Will Dunn
Tencent + Alibaba have reportedly led a new funding round for Moonshot, a Chinese generative AI start-up, at a $3.3 billion valuation.
Yup, AI is basically just a homework-cheating machine: Two new reports confirm what we all know deep down: Lots of people are using Sam Altman's ChatGPT to "help" with their homework. BI
Fortune: Nvidia chip delays risk eroding its AI edge
Bloomberg: Super Micro's weak profit fuels AI server margin anxieties
+ Quarterly revenue, earnings miss analysts’ estimates
+ Company says it’s well-positioned to gain from AI investments
You can take it easy. Your Apple Watch is ready to embrace rest. For years, Apple’s popular smartwatch has emphasized the importance of being active. Now, new software will give you the chance to slow down. WP
WSJ: Musk’s X sues advertising group over boycott that allegedly cost the platform billions
Microsoft days Delta was largely responsible for flight cancellations: NYT reports the software company said in a letter that Delta Air Lines had falsely blamed Microsoft for its decision to cancel thousands of flights after a tech outage.
Fortune: Microsoft: Satya Nadella emailed Delta CEO Ed Bastian during IT outage, Bastian never replied
Kenya's Mobius Motors, maker of rugged, low-priced SUVs designed for Africa's roads, has decided to call it quits, citing financial challenges.
Britain's auto industry body the Society of Motor Manufacturers and Traders has cut its forecast for new car sales in 2024, saying weak demand from consumers for EVs remains an overriding concern.
Honda has new alliance, but can it match Toyota on this stock metric? Nikkei reports automaker needs to deliver on cost cuts, shareholder returns as it pursues EV scale.
Big truckmakers bet on hydrogen to extend combustion engine life Reuters
Florida’s Space Coast braces for impact—from Elon Musk: WSJ reports SpaceX wants to launch the world’s largest and most powerful rocket dozens of times annually in an area that has gotten crowded with people and cruise ships since the Apollo era.
*** Culture ***
Nothing says ‘party!’ to Gen Z quite like a 50-deck PowerPoint and a remote clicker: Forget beer pong and karaoke, 20-somethings are throwing presentation parties. “I felt seen.” WSJ
WSJ: Bloomberg to donate $600 million to four historically black medical schools
*** Sport ***
AFP: USA and Brazil to meet in Olympic women's football final as Spain stunned
Mountain bikers are rewilding land by paying the government to do it: A new nature-restoration project in Wales is being funded by an unusual source: thrill-seeking downhill lovers. Wired
Enjoy the ride + plan accordingly.
-Marc
Marc A. Ross | Chief Communications Strategist @ Caracal
Caracal Daily | August 6
Caracal Daily | August 6
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.
HappyTuesday.
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