Federal Reserve Chair Jerome Powell gave his strongest signal yet that interest-rate cuts are coming soon, saying the central bank intends to act to stave off a further weakening of the U.S. labor market. From a report: "We do not seek or welcome further cooling in labor market conditions," Powell said in prepared remarks for a speech at the central bank's annual gathering in the Grand Teton National Park on Friday. "The time has come for policy to adjust." Fed officials' next policy meeting is scheduled for Sept. 17-18. They are widely expected to lower the benchmark federal-funds rate at that meeting.

Powell's comments Friday all but bring to a conclusion the Fed's historic inflation-fighting campaign, one that Powell amplified from the same stage two years ago when he signaled his readiness to accept a recession as the price of lowering inflation. The Fed held rates steady at its most-recent meeting in late July, though several officials saw a case for cutting at that meeting. Two days later, the Labor Department reported that unemployment rose to its highest rate in nearly three years. Inflation, while still above the Fed's 2% target, has been falling steadily in recent months.

Australia's competition regulator has announced that it will closely monitor domestic air fares between metropolitan cities after local carrier Regional Express withdrew from the market last month as it entered voluntary administration. From a report: Rex is the second domestic airline to take that route this year. Low-cost airline Bonza was the first. It said in April it had suspended flights, and would assess the viability of its business. The collapse of Bonza and the withdrawal of Rex between metropolitan cities means that no domestic route had more than two competing airline groups as of July, the Australian Competition and Consumer Commission said.

Uber and General Motors' Cruise have partnered to offer driverless rides to Uber users as early as soon as next year. CNBC reports: Both Cruise CEO Marc Whitten and Uber CEO Dara Khosrowshahi hailed the partnership in a press release, stressing that the companies believe autonomous vehicles can be deployed safely. "Cruise is on a mission to leverage driverless technology to create safer streets and redefine urban life," Whitten said in the release. "We are excited to partner with Uber to bring the benefits of safe, reliable, autonomous driving to even more people, unlocking a new era of urban mobility." Khosrowshahi said in the release that Uber is "thrilled to partner with Cruise and look forward to launching next year."

On Uber's most recent earnings call, analysts asked the company how the emergence of robotaxis would likely impact the ridehailing giant's business long-term. Khosrowshahi said on the call that "AV players" experience much higher utilization with Uber than they do "without a network on a first-party basis." He also predicted there will be a "pretty long hybrid period as autonomous is developing and regulators are trying to figure out exactly how to regulate it." He added, "We don't think this will be a winner-take-all market."

Wind and solar energy producers in Brazil have warned they are reconsidering future investments there after the national grid operator repeatedly capped how much energy they could deliver in the past year, which squeezed their profits. From a report: Brazil has made big strides encouraging companies to invest in wind, solar and other renewable power generation sources, offering generous financing and subsidies. But all the electricity they generate has taxed the grid. More than a dozen executives and industry representatives said renewable energy investments were less viable under the National Electric System Operator's (ONS) current "curtailments" policy, which temporarily caps how much power ONS accepts from wind and solar plants.

The pressure has been most acute in northeast Brazil, a hot spot for renewable energy investment. There are bottlenecks in transmission lines carrying electricity to Sao Paulo, Rio de Janeiro and elsewhere in the more populous southeast region. ONS has managed the grid more cautiously since August 2023, when a power outage in the northeast spread over most of the country. That has meant more curtailments when electricity generation exceeds consumption or there is a lack of transmission capacity. ONS has said curtailments were not excessive, and were necessary for safety. The operator said its data shows only 3% of electricity generated was lost to curtailments last month.Volt Robotics, a power sector consultancy, analyzed ONS numbers.

An anonymous reader quotes a report from NBC News: The former CEO of a small Kansas bank was sentenced to more than 24 years in prison for looting the bank of $47 million -- which he sent to cryptocurrency wallets controlled by scammers who had duped him in a "pig butchering" scheme that appealed to his greed, federal prosecutors said. The massive embezzlement by ex-CEO Shan Hanes in a series of wire transfers over just eight weeks last year led to the collapse and FDIC takeover of Heartland Tri-State Bank in Elkhart, one of only five U.S. banks that failed in 2023. Hanes, 53, also swindled funds from a local church and investment club -- and a daughter's college savings account -- to transfer money, purportedly to buy cryptocurrency as the scammers insisted they needed more funds to unlock the supposed returns on his investments, according to records from U.S. District Court in Wichita, Kansas. But Hanes never realized any profit and lost all of the money he stole as a result of the scam. Judge John Broomes on Monday sentenced Hanes to 293 months in prison -- 29 months more than what prosecutors requested after he pleaded guilty in May to a single count of embezzlement by a bank officer. [...]

[P]rosecutors and bank regulators said that Hanes, who has three daughters with his school teacher wife, began stealing after being targeted in a pig-butchering scheme in late 2022. That scheme was described in a court filing as "a scammer convincing a victim (a pig) to invest in supposedly legitimate virtual currency investment opportunities and then steals the victim's money -- butchering the pig." Hanes, who had served on the board of the American Bankers Association, and been chairman of the Kansas Bankers Association, in December 2022 began making transactions to buy cryptocurrency, which "appeared to be precipitated by communication with an unidentified co-conspirator on the electronic messaging app 'WhatsApp,'" prosecutors wrote in a court filing. "To date, the true identity of the co-conspirator, or conspirators, remain unknown," the filing notes. Hanes initially used personal funds to buy crypto, but in early 2023 he stole $40,000 from Elkhart Church of Christ and $10,000 from the Santa Fe Investment Club, according to prosecutors and a defense filing. He also used $60,000 taken from a daughter's college fund, and nearly $1 million in stock from the Elkhart Financial Corporation, his lawyer said in a filing.

In May 2023, he began to make wire transfers from Heartland Tri-State Bank to accounts controlled by scammers, at first with a $5,000 transfer. Two weeks later, on May 30, Hanes wired $1.5 million and a day after that, he sent another transfer of the same amount the following day, filings show. Three days later he directed two wire transfers totaling $6.7 million to be sent by the bank to the crypto wallet, and a whopping $10 million less than two weeks later, and another $3.3 million days afterward. Hanes told bank employees to execute the wire transfers, and "made many misrepresentations to various people" to get access to the funds so they could be transferred, prosecutors wrote. Heartland Tri-State employees circumvented the bank's own wire policy and daily limits to approve Hanes' wire transfers, according to a report by the Office of the Inspector General of the Board of Governors of the Federal Reserve System.

Gartner is warning that any prospect of Artificial General Intelligence (AGI) is at least 10 years away and perhaps not certain to ever arrive. It might not even be a worthwhile pursuit, the analyst says. From a report: AGI has become a controversial topic in the last couple of years as builders of large language models (LLMs), such as OpenAI, make bold claims that they've established a near-term path toward human-like intelligence. At the same time, others from the discipline of cognitive science have scorned the idea, arguing that the concept of AGI is poorly understood and the LLM approach is insufficient.

In its Hype Cycle for Emerging Technologies, 2024, Gartner says it distills "key insights" from more than 2,000 technologies and, using its framework, produces a succinct set of "must-know" emerging technologies that have the potential to deliver benefits over the next two to ten years. The consultancy notes that GenAI -- the subject of volumes of industry hype and billions in investment -- is about to enter the dreaded "trough of disillusionment." Arun Chandrasekaran, Gartner distinguished VP analyst, told The Register: "The expectations and hype around GenAI are enormously high. So it's not that the technology, per se, is bad, but it's unable to keep up with the high expectations that I think enterprises have because of the enormous hype that's been created in the market in the last 12 to 18 months."

However, GenAI is likely to have a significant impact on investment in the longer term, Chandrasekaran said. "I truly still believe that the long-term impact of GenAI is going to be quite significant, but we may have overestimated, in some sense, what it can do in the near term."

Software engineers at Microsoft earn an average total compensation ranging from $148,436 to $1,230,000 annually, depending on their level, according to a leaked spreadsheet viewed by Business Insider. The data, voluntarily shared by hundreds of U.S.-based Microsoft employees, includes information on salaries, performance-based raises, promotions, and bonuses. The highest-paid engineers work in Microsoft's newly formed AI organization, with average total compensation of $377,611. Engineers in Cloud and AI, Azure, and Experiences and Devices units earn between $242,723 and $255,126 on average.

Peloton on Thursday said it will start charging new subscribers a one-time $95 activation fee if they bought their hardware on the secondary market as more consumers snag lightly used equipment for a fraction of the typical retail price. From a report: The used equipment activation fee for subscribers in the U.S. and Canada comes as Peloton starts to see a meaningful increase in new members who bought used Bikes or Treads from peer-to-peer markets such as Facebook Marketplace. During its fiscal fourth quarter, which ended June 30, Peloton said it saw a "steady stream of paid connected fitness subscribers" who bought hardware on the secondary market. The company said the segment grew 16% year over year.

"We believe a meaningful share of these subscribers are incremental, and they exhibit lower net churn rates than rental subscribers," the company said in a letter to shareholders. "It's also worth highlighting that this activation fee will be a source of incremental revenue and gross profit for us, helping to support our investments in improving the fitness experience for our members," interim co-CEO Christopher Bruzzo later added on a call with analysts.

An anonymous reader quotes a report from Bloomberg: Blue Origin sustained failures in recent weeks of testing including a factory mishap that damaged a portion of a future New Glenn rocket, the long-awaited centerpiece of the Jeff Bezos-backed startup's push to take on SpaceX. The upper portion of one rocket crumpled into itself, in part due to worker error, while it was being moved to a storage hangar, according to people familiar with the situation.

In a separate incident, another upper rocket portion failed during stress testing and exploded, the people said. Repairs are underway, another person said, noting there were no injuries during either episode. The previously unreported incidents illustrate the hurdles Blue Origin is grappling with while ramping up production of New Glenn, which is four years overdue. At the same time, new Chief Executive Officer Dave Limp has hired a slate of executives to shake the company out of a years-long R&D slump.

An anonymous reader quotes a report from Reuters: U.S. oilfield services firm Halliburton on Wednesday was hit by a cyberattack, according to a person familiar with the matter. Halliburton said it was aware of an issue affecting certain systems at the company and was working to determine the cause and impact of the problem. The company was also working with "leading external experts" to fix the issue, a spokesperson said in an emailed statement.

The attack appeared to impact business operations at the company's north Houston campus, as well as some global connectivity networks, the person said, who declined to be identified because they were not authorized to speak on the record. The company has asked some staff not to connect to internal networks, the person said. Houston, Texas-based Halliburton is one of the largest oilfield services firms in the world, providing drilling services and equipment to major energy producers around the globe. It had nearly 48,000 employees and operated in more than 70 countries at the end of last year.

According to Bloomberg's Mark Gurman (paywalled), App Store vice president Matt Fischer is departing the company in October as Apple prepares for organizational changes in response to regulatory pressure. MacRumors reports: Apple plans to split its App Store group into two teams, one that handles the App Store and a second team that oversees alternative app distribution. As of earlier this year, Apple has supported iOS app downloads from alternative app stores and from websites in the European Union, a change that the company had to make to comply with the Digital Markets Act. To handle ongoing compliance with EU regulations for app distribution and alternative payment methods, App Store chief Phil Schiller is changing the App Store's hierarchy.

Fischer joined Apple in 2003 to oversee iTunes marketing, but he has served as the vice president of the App Store since 2010. In an email to Apple employees today, Fischer said that he had been thinking about leaving Apple for some time, and the reorganization provided the right opportunity. With Fischer leaving, App Store senior director Carson Oliver will oversee the App Store, and Ann Thai, a director who oversees App Store features, will head up the team that handles alternative app distribution.

In a tragic update to Monday's story, authorities have recovered the bodies of former Autonomy CEO Mike Lynch and his teenage daughter Hannah. The Register reports: Italian divers are said to have found the billionaire father and his daughter, 18, inside one of the sunken vessel's cabins, according to The Telegraph. The capsized ship presently rests 49 meters below the surface, about half a mile from the coast. [...] Angela Bacares, Lynch's wife, was rescued at sea and is recovering.

Canadian Broadcasting Company News has reported that the body of Recaldo Thomas, a Canadian-born man who resided in Antigua and served as the ship's cook, has been recovered. Other missing individuals have been identified by The Independent as: Christopher Morvillo, a lawyer who had represented Lynch and wife Neda Morvillo; Jonathan Bloomer, chairman of investment bank Morgan Stanley International and wife Judy Bloomer. The Register has published an obituary for Mike Lynch.

Rotten Tomatoes and Fandango are rolling out a new "Verified Hot" rating for users who actually bought a ticket to the movie being reviewed. "The designation is only given to theatrical movies that have reached an audience score above 90 percent among user ratings," adds IndieWire. From the report: Movie ticketing app Fandango is the parent company to Rotten Tomatoes, so if you bought your ticket through Fandango and then rated a movie using that same user info on Rotten Tomatoes, RT is able to confirm you bought a ticket and can filter out anyone else who may just be rating things blindly. A rep for RT tells IndieWire the goal is to work with other partners so that other people who don't use Fandango can still be considered verified.

Rotten Tomatoes also expanded its Popcornmeter designations. Anything with an audience score above 60 percent of people rating it as 3.5 stars or higher will be labeled "Hot," and movies below that 60 percent threshold are now "Stale." The "Certified Fresh" badge for movies that achieve a strong enough critics score has been around for a while, but in 2020 RT introduced a "Top Critics" feature such that you could filter out the dozens or hundreds of aggregated critics from unreliable sources who could be skewing a film's score. Anyone can vote or rate movies on Rotten Tomatoes if you're an audience member, but you can also filter out ratings from those not considered "verified."

Rotten Tomatoes made some other tweaks too under the hood: Both the Popcornmeter and Tomatometer need to meet a new minimum number of reviews published for a score to appear. Not everything gets reviewed widely, so the threshold varies depending on a film's total projected domestic box office forecast. A full list of "Verified Hot" films can be found here.

South Africa's telecoms industry body is pushing for digital content and service providers to help pay for the roll out of network infrastructure because they generate a huge part of the internet traffic. From a report: The Association of Comms and Technology (ACT) CEO Nomvuyiso Batyi said that the revenues generated by over-the-top (OTT) platforms and the continued success of the OTT model was dependent on the availability of high-quality, reliable and efficient network infrastructure. So "what we're saying is that the OTTs should contribute towards the network upgrades, the network building," she added. OTT platforms or services deliver digital content such as video, audio and messaging directly to consumers over the internet. "Fair share" arrangements ensure that OTT providers contribute to the costs of building, maintaining, and upgrading the infrastructure that supports their business.

U.S. District Judge Ada Brown in Dallas blocked the FTC's rule banning noncompete agreements, arguing the FTC lacks authority to implement such broad regulations and did not adequately justify the sweeping prohibition. Reuters reports: Brown had temporarily blocked the rule in July while she considered a bid by the U.S. Chamber of Commerce, the country's largest business lobby, and tax service firm Ryan to strike it down entirely. The rule was set to take effect Sept. 4. Brown in her ruling said that even if the FTC had the power to adopt the rule, the agency had not justified banning virtually all noncompete agreements. "The Commission's lack of evidence as to why they chose to impose such a sweeping prohibition ... instead of targeting specific, harmful non-competes, renders the Rule arbitrary and capricious," wrote Brown, an appointee of Republican former President Donald Trump.

FTC spokesperson Victoria Graham said the agency was disappointed with the ruling and is "seriously considering a potential appeal." "Today's decision does not prevent the FTC from addressing noncompetes through case-by-base enforcement actions," Graham said in a statement. The Democratic-controlled FTC approved the ban on noncompete agreements in a 3-2 vote in May. The commission and supporters of the rule say the agreements are an unfair restraint on competition that violate U.S. antitrust law and suppress workers' wages and mobility.

OpenAI has announced a partnership with Conde Nest, allowing the company's AI products to display content from Vogue, The New Yorker, Conde Nast Traveler, GQ, Architectural Digest, Vanity Fair, Wired, Bon Appetit and other outlets. CNBC reports: "With the introduction of our SearchGPT prototype, we're testing new search features that make finding information and reliable content sources faster and more intuitive," OpenAI wrote in a blog post. "We're combining our conversational models with information from the web to give you fast and timely answers with clear and relevant sources." OpenAI added that the SearchGPT prototype offers direct links to news stories and that the company plans "to integrate the best of these features directly into ChatGPT in the future." It is the latest in a recent trend of some media outlets joining forces with AI startups such as OpenAI to enter into content deals.

Nothing, a British startup seeking to challenge Apple's smartphone dominance, is hauling its employees back to the office full-time in the quest for growth. From a report: In a lengthy email disparaging remote work, which had been a tenet of Nothing CEO Carl Pei's workplace policy since its creation four years ago, Pei explained why his 450 employees needed to come to the office five days a week. "Remote work is not compatible with a high ambition level plus high speed," Pei said in an email to staff, which he shared on LinkedIn.

Pei gave three reasons for the strict return-to-office mandate. First, he said, the logistics of developing a smartphone, where design, engineering, and manufacturing departments collaborate, weren't conducive to remote working. He added that creativity and innovation worked better in person, allowing the company to do more with fewer resources. Third, Pei said Nothing's ambitions to scale to become a "generation-defining company" wouldn't be achievable with remote work.

According to Pei's email, the new mandate will take effect in two months, and he intends to hold a town hall in London to answer employees' questions. In his email, the Nothing CEO also suggested that employees who could not commit to five days in the office look for other employment. "We know it's not the right type of setup for everybody, and that's okay. We should look for a mutual fit. You should find an environment where you thrive, and we need to find people who want to go the full mile with us in the decades ahead."

North America's eight primary data center markets added 515 megawatts (MW) of new supply in the first half of 2024 -- the equivalent of Silicon Valley's entire existing inventory -- according to a new report real-estate services firm CBRE. From a report: All of Silicon Valley has 459 MW of data center supply, while those main markets have a total of 5,689 MW. That's up 10% from a year ago and about double what it was five years ago. Data center space under construction is up nearly 70% from a year ago and is currently at a record high. But the vast majority of that is already leased, and vacancy rates have shrunk to a record low of 2.8%. In other words, developers are building an insane amount of data center capacity, but it's still not enough to meet the growing demands of cloud computing and artificial intelligence providers.

A new paper on the National Bureau of Economic Research: Using more than 4,900 assessments, we study changes in the characteristics and objectives of CEOs and top executives since 2001. The same four factors explain roughly half of the variation of assessed CEO characteristics in this larger sample of executive assessments as in Kaplan and Sorensen (2021). After the global financial crisis (GFC), the average interviewed CEO candidate has lower overall ability, is more execution oriented / less interpersonal, less charismatic and less creative/strategic than pre-GFC. Except for overall ability and execution oriented/interpersonal, these differences persist in hired CEOs. Interpersonal or "softer" skills do not increase over time, either for CEO candidates or hired CEOs. Pre- and post-GFC, we find a positive correlation between the ability of assessed CEOs and other C-level executives assessed at the same company, suggesting that higher-ability executives complement each other. Finally, we look at the relation between the objectives for which the CEOs are interviewed and CEO characteristics.

Global technology giants are pushing back against attempts by India's telecom networks to bring internet services under stricter regulation, rejecting arguments that such measures are necessary to create a "level playing field" and address national security concerns. From a report: The Asia Internet Coalition (AIC), a powerful industry body that represents Amazon, Apple, Google, Meta, Microsoft, Netflix and Spotify, has forcefully argued against inclusion of the so-called over-the-top (OTT) services in the proposed regulatory framework for telecom operators. In a submission to the Telecom Regulatory Authority of India (TRAI), the AIC said there are fundamental differences in technology, operations and functionality between OTT services and traditional telecom operations.

[...] This resistance comes in response to a coordinated push by India's top telecom operators -- Bharti Airtel, Reliance Jio and Vodafone Idea -- to bring OTT services under a new authorization framework. Jio, India's largest telecom operator with more than 475 million subscribers, along with other telco operators have recommended that OTT providers contribute to network development costs based on their traffic consumption, turnover and user base.