Tesla Is Set To Cut More Than 10% Of Its Global Workforce 🚗 Israel Prepares Response to Iranian Missile Strikes 🧨

Good morning. It's Tuesday, Apr. 16, and we're covering, Investor Caution Marks New Phase for AI Industry, Tesla Is Set To Cut More Than 10% Of Its Global Workforce, Israel Prepares Response to Iranian Missile Strikes, and much more. First time reading? Sign up to get this newsletter: Sign up here. 

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MARKETS

Cryptocurrency Prices by Market Cap

• The global cryptocurrency market cap today is $2.3 Trillion, a 4.95% decrease in the last 24 hours.

• The total crypto market volume over the last 24 hours is $114.75B, which makes a 1.70% decrease.

• The total volume in Defi is currently $9.11B, 7.94% of the total crypto market 24-hours.

• The volume of all stablecoins is now $107.2B, which is 93.42% of the total market 24-hour volume.

• Bitcoin’s dominance is currently 54.03%, an increase of 0.13% over the day.

The recent decline in Bitcoin and other cryptocurrencies, despite expectations of a pre-halving rally, has caught the attention of experienced analysts like Markus Thielen. ( Read More )

BUSINESS & FINANCE

Investor Caution Marks New Phase for AI Industry

The AI industry, once hailed as the beacon of technological innovation, is now facing a period of introspection as global investment in AI experiences a decline for the second consecutive year, according to a recent report from Stanford’s Institute for Human-Centered Artificial Intelligence (HAI). The report reveals that global investment in AI experienced a second consecutive year of decline in 2023, with both private and corporate investments dwindling compared to the previous year. AI-related mergers and acquisitions saw a significant drop from $117.16 billion in 2022 to $80.61 billion in 2023, while private investment dipped from $103.4 billion to $95.99 billion.

Takeaway: The slowdown in AI investment reflects a maturing market and a growing recognition of the challenges inherent in scaling AI technologies. Seth Rosenberg, partner at Greylock, attributes the decline in investment to a shift in focus towards AI applications and agents that require less capital-intensive funding compared to foundational models. ( Read Deeper )

Finmid Raises $24.7M to Expand Embedded Fintech Solutions for SMBs

Finmid has secured €23 million ($24.7 million) in a Series A funding round aimed at bolstering its product development and market expansion efforts. The funding round, which values the company at €100 million ($107 million) post-money, will enable Finmid to further penetrate the European market and enhance its suite of embedded fintech solutions. As a provider of embedded finance solutions, Finmid targets marketplaces seeking to offer their own payment and financing options to customers and merchants.

Why it matters: Despite initial challenges in pitching its embedded finance model to investors, Finmid has garnered support from backers who recognize the long-term potential of its approach. With €35 million in equity funding raised to date, including pre-seed and seed rounds, Finmid is poised for further growth and expansion. ( Read Deeper )

TECHNOLOGY & SCIENCE

Tesla Is Set To Cut More Than 10% Of Its Global Workforce

The electric car giant Tesla is set to cut more than 10% of its global workforce, according to an internal memo sent by CEO Elon Musk. The announcement comes as Tesla's stock closed down more than 5% on Monday, reflecting broader concerns about the company's performance. In the memo, Musk stated, "As we prepare the company for our next phase of growth, it is extremely important to look at every aspect of the company for cost reductions and increasing productivity." The decision to reduce the workforce globally by over 10% was described as a difficult one but deemed necessary as part of efforts to optimize costs and enhance efficiency.

Takeaway: Tesla, which had 140,473 employees as of December 2023, faces increasing competition in the electric vehicle market, particularly from Chinese manufacturers. The company's shares have experienced a decline of 31% year-to-date amid slowing sales growth. China's BYD temporarily surpassed Tesla as the world's top EV maker at the end of 2023, highlighting the intensifying competition in the industry. ( Read Deeper )

Baidu's AI Chatbot "Ernie Bot" Surpasses 200 Million Users Milestone

Baidu, the leading Chinese technology company, revealed that its artificial intelligence chatbot "Ernie Bot" has achieved a significant milestone, attracting over 200 million users. The number of users has witnessed a remarkable doubling since the last update provided by the company in December. Launched to the public eight months ago, Ernie Bot has swiftly gained traction among users seeking efficient and intuitive AI-powered solutions.

Why it matters: Despite facing competition from other domestic AI services, such as the "Kimi" chatbot developed by Moonshot AI, Ernie Bot continues to maintain its lead in the market. While rival services are rapidly gaining traction, Ernie Bot's consistent growth and expanding user base reaffirm its dominance in China's AI Space. ( Read Deeper )

AROUND DE WORLD & POLITICS

Croatia Prepares for Contentious Parliamentary Election Amid Political Tensions

Croatia braces itself for a crucial parliamentary election on Wednesday, amid escalating political tensions fueled by fierce exchanges between the nation's top officials. Incumbent Prime Minister Andrej Plenkovic's conservative Croatian Democratic Union (HDZ) faces off against an alliance of centrist and left-wing parties led by populist President Zoran Milanovic and the Social Democratic Party (SDP). The campaign has been characterized by acrimonious debates, highlighting a deepening political crisis in the Balkan country, a member of both the European Union and NATO.

Takeaway: Accusations of corruption and mismanagement have dominated the electoral discourse, with Milanovic accusing Plenkovic and the HDZ of systemic corruption and financial malfeasance. Plenkovic, in turn, has portrayed Milanovic as irresponsible and accused him of endangering Croatia's interests by advocating for closer ties with Russia. ( Read Deeper )

Israel Prepares Response to Iranian Missile Strikes

Israeli Minister of Defense Yoav Gallant has conveyed to U.S. Defense Secretary Lloyd Austin Israel's determination to retaliate against Iran following a recent missile and drone attack, according to sources briefed on the call. The recent Iranian attack, launched in retaliation for an earlier airstrike by Israel, has escalated tensions, raising concerns about the potential for further violence.

Why it matters: While urging caution to avoid further escalation, the Biden administration, along with Western allies aligned with Israel, has emphasized the importance of a measured response. Secretary of State Antony Blinken show the need for strength and wisdom in addressing the situation, signaling a coordinated diplomatic effort to defuse tensions. ( Read Deeper )

ENTERTAINMENT & SPORTS

Pochettino Reprimands Chelsea Players After Penalty Dispute

Mauricio Pochettino, Chelsea's manager, expressed his frustration after a dispute over penalty-taking marred their 6-0 victory against Everton. Pochettino warned his players against such behavior, emphasizing the need for a collective mindset to foster team success. The incident unfolded when Nicolas Jackson and Noni Madueke engaged in a heated argument over who would take the penalty, despite Cole Palmer being the designated taker. Pochettino was visibly displeased with the situation, stating, "I can't accept this kind of behavior." ( Read Deeper )

Keanu Reeves to Voice Shadow in Sonic the Hedgehog 3

In exciting news for Sonic the Hedgehog fans, Keanu Reeves is set to join the cast of the upcoming film as the voice of Shadow. This darker and more sinister character will add depth to the franchise, alongside returning stars Ben Schwartz as Sonic and Idris Elba as Knuckles. Shadow, introduced in Sega's Sonic video games in 2001, brings a new dynamic to the story, and Reeves' iconic voice is sure to enhance the character's presence on screen. ( Read Deeper )

PODCAST(WHAT WE ARE LISTENING TO)

• Ever wondered how anticipation and scarcity could supercharge a product or service’s appeal? ( Listen )

EXTRA BREVITI

• Threads is finally testing a recent filter for search results ( Read More )

• Judge dismisses some claims against Meta's Zuckerberg over social media harm. ( Read More )