What we’re reading (2/20)
“World’s Largest Food Company Warns Prices Will Continue To Rise” (Axios). “Nestlé, the world’s largest food company, said earlier this week that it is predicting that the prices of staple items will continue to rise this year…Nestlé itself increased prices by 8.2% in 2022, but that still wasn't enough to offset costs, [CEO Mark] Schneider said.”
“AI Is Starting To Pick Who Gets Laid Off” (Washington Post). “A January survey of 300 human resources leaders at U.S. companies revealed that 98 percent of them say software and algorithms will help them make layoff decisions this year. And as companies lay off large swaths of people — with cuts creeping into the five digits — it’s hard for humans to execute alone.”
“Inside Peloton’s Rapid Rise And Bitter Fall — And Its Attempt At A Comeback” (CNBC). “Since reaching a peak intraday share price of $167 in December 2020, Peloton’s stock has crumbled to $13.60 a share. That’s about half of its opening share price of $27, after the IPO was priced at $29. Its market cap, which once surged to more than $45 billion, has shrunk to about $4.7 billion. Shares are up about 71% so far this year, however.”
“Venture Fundraising Hits Nine-Year Low” (Wall Street Journal). “For much of the past decade, investors including pension funds, university endowments and family offices raced to pour cash into venture funds, buoyed by the belief that the industry could outpace the returns of other asset classes over time. In that frothy environment, startup investors accelerated the pace of their fundraising and raised multibillion-dollar funds that began to rival the size of some Wall Street investment firms.”
“Apple Wants To Move Its Manufacturing Out Of China” (Quartz). “Apple supplier Foxconn announced the creation of a major new factory in Vietnam and a $300 million investment to expand its current operations in the country. The decision comes as Apple attempts to move parts of its manufacturing process out of China. The new factory will sit on 111 acres just outside of Saigon, with Foxconn signing a 35-year lease worth approximately $62.5 million, according to a the South China Morning Post. The new factory will possibly make Macbooks, a first for the country that already produces AirPods, Apple Watches, and iPads.”
