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Tag: capital

  • xAI's legal chief steps down after whirlwind year

    Robert Keele’s Big‑Family Move: Head of Legal Bids Farewell to xAI

    In a heartfelt post on X and LinkedIn, Robert Keele announced that he’s stepping down as xAI’s chief legal officer after just over a year. He wanted to rewrite the story of his days—turning the spotlight back onto his two toddlers.

    Why the Switch?

    “I love my big‑sized little ones and I haven’t seen enough of them lately,” Keele told his followers, acknowledging a “daylight between our worldviews” with boss Elon Musk—who, amen, has yet to say a word about the exit.

    While he praised his stint at the AI startup as “incredible” and the adventure of a lifetime, he admitted the difficulty of being bound to two workloads: “I can’t keep riding two horses at once—family and the job.”

    From Fractional to Full‑Time

    When he first joined the row in May 2024, Keele had just launched his own lean legal outfit—Keele Law—which lasted a fleeting ~3 weeks. “I wasn’t going to pass on the chance to run legal at xAI,” he wrote, describing himself as “beyond stoked, and insanely lucky.”

    Big Bucks & Quick Growth

    Shortly after Keele’s arrival, xAI raised a whopping $6 billion in a Series B round, with the likes of Andreessen Horowitz and Sequoia Capital on board, pitching the company at $24 billion. By March this year, xAI had an acquisition of Musk’s social media platform X in a deal that valued xAI at a mind‑blowing $80 billion and X at $33 billion.

    Keele’s Legal Footprint

    • Elroy Air – Head of Legal for an autonomous aircraft maker
    • Airbus – General Counsel at the Silicon Valley innovation hub
    • Yea, he’s got a track record that’s short‑but‑sweet and deep‑in‑the‑law‑field.

    The New Captain for Legal—Lily Lim

    Taking the reins is Lily Lim, a former NASA rocket scientist who helped chart the surface of Venus. Her transition to law saw her spending time at ServiceNow and other firms before landing a role as a privacy and IP specialist at xAI in late 2024.

    Musk‑Style Turnover: A Recurring Theme

    xAI isn’t the only place shaking hands with fresh faces. X’s CEO Linda Yaccarino exited last month, and Tesla recently lost several key executives. Musk’s empire is known for its demanding culture—long hours, the occasional office sleep session, and a relentless push for speed.

    And That’s the Wrap‑Up!

    With Keele’s departure, xAI will keep navigating the wild terrain of AI innovation while carving out its own path in the tech galaxy. For now, the law department will be steered by Lily Lim—rocket scientist turned lawyer—seeking to keep the ship on course while keeping an eye on the stars.

    Tech and VC heavyweights join the Disrupt 2025 agenda

    Netflix, ElevenLabs, Wayve, Sequoia Capital, Elad Gil — just a few of the heavy hitters joining the Disrupt 2025 agenda. They’re here to deliver the insights that fuel startup growth and sharpen your edge. Don’t miss the 20th anniversary of TechCrunch Disrupt, and a chance to learn from the top voices in tech — grab your ticket now and save up to $600+ before prices rise.

    Tech and VC heavyweights join the Disrupt 2025 agenda

    Netflix, ElevenLabs, Wayve, Sequoia Capital — just a few of the heavy hitters joining the Disrupt 2025 agenda. They’re here to deliver the insights that fuel startup growth and sharpen your edge. Don’t miss the 20th anniversary of TechCrunch Disrupt, and a chance to learn from the top voices in tech — grab your ticket now and save up to $675 before prices rise.

    San Francisco
    |
    October 27-29, 2025

    REGISTER NOW

    Some newer companies appear to have adopted a similar mentality to get ahead of rivals, including AI coding startup Cognition, which is looking to aggressively shrink its team. In fact, its CEO recently told employees in an email that he doesn’t believe in work-life balance.

  • Growth fades in Europe: Is the recovery already running out of steam?

    Growth fades in Europe: Is the recovery already running out of steam?

    The eurozone economy barely grew in the second quarter. Germany and Italy contracted, while Spain continued to shine.

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    Europe’s economic momentum nearly stalled in the second quarter of 2025, with growth barely registering and industry output sliding sharply—raising concerns over whether the region’s recovery is already running out of steam.
    According to Eurostat’s second estimate released on Thursday, seasonally adjusted GDP in the euro area rose by just 0.1% in the three months to June, unchanged from the initial flash reading. The wider European Union (EU) grew by 0.2%, also in line with earlier estimates.

    These figures mark a stark slowdown from the robust first quarter, when GDP expanded by 0.6% in the eurozone and 0.5% across the EU thanks to strong export growth.
    In contrast, the United States economy bounced back strongly, posting a 0.7% quarterly expansion following a slight contraction in the first quarter. On an annual basis, eurozone GDP rose 1.4%, well behind Washington’s 2.0% pace.

    Diverging national performances

    Beneath the headline figures, the recovery remains highly uneven across the bloc.
    Spain led the pack with 0.7% quarterly growth, fuelled by strong domestic demand and capital investment. Portugal followed with a 0.6% gain, while France managed a modest 0.3% expansion.
    However, both Germany and Italy, the eurozone’s largest and third-largest economies, slipped by 0.1%.

    For Germany, the contraction reflects continued weakness in investment, particularly in construction and capital goods, while Italian output suffered from subdued consumption and softening industrial activity.
    Ireland saw the steepest drop, with output contracting by 1%.
    Elsewhere in the EU, growth was more robust in Eastern Europe, with Romania and Poland expanding by 1.2% and 0.8%, respectively, helped by resilient domestic demand and inflows from the Next Generation EU (NGEU) programme.

    Related

    Global personal wealth: Which countries have the highest shares in Europe?Tariff revenue fails to curb US deficit as July spending hits record highs

    Industrial downturn clouds outlook

    Adding to the worries, industrial production in the euro area dropped by 1.3% in June, reversing a 1.1% rise in May and missing expectations of a more moderate decline by 1%.
    The fall was broad-based, with capital goods production down 2.2% and non-durable consumer goods plunging 4.7%.
    In the wider EU, output fell by 1%. Among member states, Ireland recorded the largest monthly drop in industrial production at -11.3%, followed by Portugal and Lithuania.
    In contrast, Belgium, France and Sweden posted notable gains.

    US outpaces Europe, but sentiment is shifting

    While the euro area continues to lag behind the US, in terms of both output and productivity growth, Goldman Sachs believes that the sentiment is shifting towards Europe.
    Economists Giovanni Pierdomenico and Sven Jari Stehn note that Germany’s fiscal policy pivot and heightened macroeconomic uncertainty in the US are helping shift investor attitudes.
    Goldman Sachs has upgraded its euro area growth forecast for 2027 by 1.2% since the start of the year, while downgrading its US projection by 1.7% over the same period.
    Portfolio flows into Europe have picked up, and the euro has strengthened notably against the dollar.

    Related

    Warning signs in Europe’s job market: Workers now brace for tariff effectsSpain’s Ibex-35 conquers 15,000 points and reaches the highest level since 2007

    Europe’s long-term challenges and opportunities

    Despite the improved mood, Europe still faces deep structural challenges.
    Elevated energy costs—particularly for gas and electricity—continue to erode competitiveness.
    Low investment in high-growth sectors, regulatory fragmentation, and sluggish productivity gains further weigh on potential.
    In addition, China, once a key export market, has increasingly become a competitor, squeezing Europe’s manufacturing base.
    Yet there are reasons for optimism. Increased public investment, driven by the NGEU programme and Germany’s €500bn infrastructure plan, could support medium-term growth.
    Europe also remains a global leader in pharmaceuticals and has significant untapped potential in capital markets integration, digitalisation and green infrastructure.
    “Europe has opportunities to improve its economic performance through increased public investment, leadership in growth industries such as pharmaceuticals and green technologies, financial market reforms, and further integration of the internal market,” Pierdomenico said.
    Efforts to deepen the single market—spurred by the European Commission’s Competitiveness Compass, informed by the Draghi and Letta reports—are seen as vital steps to unlocking future growth.
    “European policymakers have a window of opportunity to build on this improved macro picture with reforms that lead to a lasting improvement in Europe’s economic performance,” Pierdomenico added.
    Goldman Sachs remains constructive on Europe’s medium-term outlook, forecasting euro area growth above consensus for 2025–2028.

  • The Secret Origins of Capital Allowances

    The Secret Origins of Capital Allowances

    Unveiling the Secrets of Capital Allowances

    Back in 1946, the London Labour benches rolled out a brilliant idea to warm up Britain’s post‑war engine: capital allowances. These were designed to give the economy a turbo boost, turning downtime into dynamic growth. The 1945 Income Tax Act handed out a tax scheme that nudged businesses to rebuild and expand, encouraging fresh factories and modern machinery.

    From “Wear and Tear” to the New Age

    • 1939‑1945: The old “wear and tear” rule simply let firms deduct the apparent decline of equipment – a pretty modest approach.
    • 1946 onwards: Capital allowances stepped in, giving a generous 25% annual credit for plant and machinery – a far cry from the “fair” depreciation rates of yesteryear.

    Why Should You Care?

    Simply put, capital allowances are a tax‑cut that can shrink your bill. Rough estimates suggest that roughly 90% of commercial property owners are sitting on big rebates – think thousands, sometimes tens of thousands, of pounds waiting to be released.

    Our latest figure? £70 billion worth of capital allowances are still unclaimed. Feels like a fortune left in the dusty corners of a hallway, doesn’t it?

    Counting the Catch

    The 2012 Finance Bill is about to tighten the screws. By April, advisers must actively gather and keep track of every allowance. Any slip‑up and your residue vanishes, taking future owners along for the ride.

    Spotting the Gold

    Finding eligible assets in a commercial property isn’t just the realm of the tax wizard. Even seasoned advisors can overlook hidden treasures such as:

    • HVAC systems
    • Lighting and security panels
    • Pipework & drainage
    • Embedded electrical fittings

    Our team at Catax Solutions acted for a hospitality venture and discovered almost £400 k in savings. Here’s the breakdown:

    • £32 k – Disposal & drainage
    • £35 k – Water installations
    • £95 k – Heating systems
    • £130 k – Electrical fittings
    • £68 k – Fixed internal fittings

    Your Tax Right

    If you’ve bought or upgraded a commercial space, you deserve the tax benefit. Now’s the time to act – lock in those allowances before the next tax season rolls around.

  • Russian allies Belarus and Iran agree to boost defence as part of raft of agreements

    Russian allies Belarus and Iran agree to boost defence as part of raft of agreements

    Lukashenka, a close ally of President Vladimir Putin, allowed Russia to use Belarusian territory as a staging ground for Moscow’ full-scale invasion of Ukraine in 2022 and later allowed the deployment of Russian tactical nuclear missiles.

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    Two of Russia’s closest allies – Belarus and Iran – signed agreements on Wednesday to boost bilateral ties in key areas including defence, both governments said.
    Presidents Aliaksandr Lukashenka and Masoud Pezeshkian signed a package of 13 documents in Belarus’ capital, Minsk.

    Both governments have been placed under heavy international sanctions, limiting potential trading partners.
    Pezeshkian said Iran would help Belarus to “neutralise” such measures, citing Tehran’s decades of experience circumventing Western economic restrictions.
    Lukashenka told Pezeshkian that Belarus was “ready to cooperate with you on all issues — from providing your country with food to military-technical cooperation,” calling the Iranian president a “friend.”The presidents of Belarus and Iran talk to each other during their meeting in Minsk, 20 August, 2025The presidents of Belarus and Iran talk to each other during their meeting in Minsk, 20 August, 2025
    AP Photo

    The two parties did not disclose any further details on how the countries intend to cooperate in the defence sector.

    Other areas covered by the agreement include industry and tourism, as well as joint initiatives in science, technology and education.
    The two presidents also said their countries would start work toward a strategic partnership treaty.

    The Ukraine connection

    Lukashenka, a close ally of President Vladimir Putin, allowed Russia to use Belarusian territory as a staging ground for Moscow’ full-scale invasion of Ukraine in 2022 and later allowed the deployment of Russian tactical nuclear missiles.
    Iran has supplied Russia with drones, notably the Shahed, for use in the war and Pezeshkian signed a strategic cooperation treaty with Putin in January, although it did not include a mutual defence clause.Soldiers aged 18 to 24 practice military skills on a training ground near Kharkiv, 19 August, 2025Soldiers aged 18 to 24 practice military skills on a training ground near Kharkiv, 19 August, 2025
    AP Photo

    The Iranian president’s visit to Minsk has been postponed several times due to US and Israeli strikes on Iran’s nuclear facilities.
    Lukashenka called the strikes on Iran’s nuclear infrastructure “a serious threat to regional and international stability and security.”
    “We support Iran’s legitimate right to develop peaceful nuclear energy,” Lukashenka said.

  • Europe\’s Growth Stalls – Is the Recovery Already Exhausted?

    Eurozone Economy: A Mixed Bag in Q2

    When you look at the big picture of the eurozone, you’ll see a story with an HMS—HereSomeMall—tossed in a few surprises. The region barely pulled a growth win in the second quarter.

    Crunchy Breakdown by Country

    • Germany – The powerhouse of Europe slipped into contraction, bringing a sigh that could be heard across the continent.
    • Italy – The last breath of the economy was also a contracting one, leaving some eyebrows raised.
    • Spain – The bright star kept on dazzling, maintaining its positive momentum and pulling a few smiles from business folks.

    What Does This Mean?

    It turns out that the eurozone’s growth curve is more like a gentle undulating beach slope than a steep staircase. While the big players are feeling a bit lurch, Spain’s steady climb offers a morale boost to the region’s overall sentiment.

    Bottom Line for Policymakers

    With shrinking output in Germany and Italy, economic architects have to fine‑tune policies, whereas Spain’s resilience can serve as a model. A push is needed to turn the paragraphs into clear prose on the road to stronger recovery.

    Europe’s Economy Is Taking a Chill Pill in Q2 2025

    According to the latest reading from Eurostat, the euro zone’s GDP barely nudged forward—just a 0.1% jump in the three months ending June. In the broader EU ring, it stood at 0.2%, matching what was first reported.

    Slow‑Mo vs. Fast‑Go

    • First quarter of 2025: euro area GDP raked up 0.6% thanks to an export storm.
    • EU overall: 0.5% rise, powered by another exporting win.
    • Europe’s slowdown punches a face in Q2, with growth barely touching the surface.

    Why It Matters

    Even though the U.S. pulled out a 0.7% quarterly gain after a slight dip in Q1, it still lags behind American growth:

    • Annual eurozone GDP: +1.4%
    • Annual U.S. GDP: +2.0%

    With the European crunch intensifying, many are wondering if the continental comeback is finally hitting a dead stop.

    Diverging national performances

    EU Economy in 2024: A Patchwork of Gains and Glitches

    While the headline numbers paint a rosy picture, the real story under the surface is a bit more uneven. Some countries are dancing and others are stumbling.

    The Standouts

    • Spain topped the charts with a 0.7 % quarterly jump – thanks to a boost from both hungry domestic shoppers and a surge in capital projects.
    • Portugal was close behind, pulling in 0.6 % growth, proving that a little mild weather can still keep the economy humming.
    • France eventually managed a modest 0.3 % expansion, which looks like a polite nod rather than a standing ovation.

    The Downers

    • Germany and Italy, the eurozone’s biggest and third‑largest players, both slipped by 0.1 %—a gentle fall that indicates stubborn lagging in construction and capital goods.
    • Even Italy’s output felt the chill, hampered by sluggish consumer spending and a gentle dip in industry.
    • Ireland hit the hardest, with output shrinking by 1 % — a sizable dip that surely made market analysts squint.

    Eastern Europe’s Surprise

    The East side of the EU turned out to be a bright spot, boasting healthier growth thanks to resilient local demand and a steady flow of funds from the Next Generation EU (NGEU) programme.

    • Romania showed a solid 1.2 % uptick.
    • Poland managed 0.8 % growth.

    What’s Next?

    With these mixed figures, policymakers face a balancing act—boosting the lagging giants while keeping the bright eastern stars on their merry way.

    Stay tuned for more updates and remember – the European economy isn’t a straight line; it’s a rollercoaster of nuance.

    Industrial downturn clouds outlook

    Euro‑Area Industry Takes a Dip: A Rough June 2023

    Industrial output in the euro zone slumped 1.3 % in June, flipping an upswing of 1.1 % from May and falling short of analysts’ more modest 1 % expectation.

    What Went Down

    • Capital goods: Down 2.2 %, a clear sign factories are pausing machinery orders.
    • Non‑durable consumer goods: Plummeted 4.7 %, indicating slower sales of everyday items.

    Across the European Union, production sank by 1 % overall. A few countries felt the pinch more severely:

    • Ireland: Biggest drop at a staggering -11.3 %—raw, brutal.
    • Portugal and Lithuania: Both recorded sizable declines.

    Meanwhile, some nations were more than a little buoyant:

    • Belgium, France, and Sweden each saw a solid uptick in industrial activity.

    Looking Ahead

    As the week wraps up, economists will be watching closely for signs of resurgence—or a deeper slide—as Europe ramps up its recovery strategy.

    US outpaces Europe, but sentiment is shifting

    European Economy Gains Momentum Over the US

    While the euro zone has traditionally lagged behind the United States in output and productivity growth, Goldman Sachs is sounding the alarm that the tides are turning.

    Chief economists Giovanni Pierdomenico and Sven Jari Stehn point to Germany’s new fiscal strategy and the mounting uncertainty in the US economy as key drivers that are nudging investor sentiment from “US‑centric” to “Europe‑centric.”

    • Goldman Sachs Upgrade: The firm recently lifted its 2027 growth forecast for the euro area by a solid 1.2% since the year’s start.
    • US Cutback: Conversely, the US projection was trimmed by 1.7% over the same period.
    • Capital Flows: Portfolio investments flowing into Europe have surged, and the euro has given the dollar a solid repulse.

    Why the Shift?

    Germany’s fiscal pivot appears to be the midwife of this change, while the US feels the chill of tightening macroeconomic uncertainty. Investors are taking notes and diversifying their portfolios, giving Europe a much‑needed boost.

    Related Buzz

    Keep an eye on the following:

    • Warning signs in Europe’s job market: Workers now brace for tariff effects.
    • Spain’s Ibex-35 conquers 15,000 points and reaches the highest level since 2007.

    Shortly, the euro is stepping up, the dollar’s footing is wobbling, and all eyes are on Europe’s economic revival. Stay tuned!

    Europe’s long-term challenges and opportunities

    Europe’s Economic Rumble: Challenges, Glimmers, and a Call to Action

    Stiff Reality Check

    Even though people’s spirits have lifted a bit, the continent is still grappling with stubborn structural hiccups.

    • Fueling the Fire: Energy bills, especially for gas and electricity, are sky‑high, eating into competitiveness.
    • Missing the Growth Beat: Investment in high‑growth sectors lags behind, while fragmented rules slow progress.
    • Productivity Power‑Out: Gains are sluggish, dragging potential down.
    • China’s Newcomer Status: Once a key exporter, China now competes and squeezes Europe’s manufacturing bedrock.

    Sparks of Hope

    But all isn’t gloom. A few bright spots shine through.

    • Public Money Matters: The Next Generation EU (NGEU) programme, paired with Germany’s €500 bn infrastructure push, could boost medium‑term growth.
    • Pharma Power: Europe remains a heavyweight in pharmaceuticals.
    • Untapped Wealth: Massive potential exists in capital‑market integration, digitalisation, and green infrastructure.

    “Europe can level up its economic game by boosting public spend, leading growth sectors like pharma and green tech, revamping financial markets, and tightening the internal market together,” said Pierdomenico.

    Deepening the Single Market

    Crafting a tighter single market is seen as the key to unlocking tomorrow’s growth.

    • European Commission’s Competitiveness Compass is steering policy.
    • These moves draw on the Draghi and Letta reports, giving fresh momentum.

    “Policymakers have a golden window to leap into reforms that secure lasting economic improvements,” Pierdomenico added.

    Goldman’s Take

    Goldman Sachs stays upbeat, predicting that euro‑area GDP will outpace consensus from 2025 to 2028.