| |
| Hello Insiders!! Today's Business newsletter covers: - 👚 Fast fashion resale: Minimal impact on emissions
- 🧠 Deep Dive: Broadcom's AI business dominant
- 💬 Meta launches chatbots for its apps
If you enjoy reading this newsletter, please share it with your friends and colleagues. Make sure to continue reading for Quick Hits and the Knowledge Hub. Thank you!! Shriram
p/Shriram | |
| 1 | | A study suggests that resale platforms employed by fast-fashion retailers like H&M, Shein, and Zara will likely have a negligible impact on reducing carbon emissions. The study contends that these businesses may have a more significant environmental impact by emphasizing sustainable materials and recycling programs in their supply chains. More: - Fast-fashion companies emit about 11.5 kilograms of carbon dioxide for every item they produce, while resale initiatives are only estimated to lower emissions by 0.7%.
- While high-end clothing companies like Tory Burch and Ralph Lauren produce about 16 kilograms of CO2 per item, resale initiatives have the potential to cut emissions by 14.8%.
- Emissions from outdoor clothing companies like Patagonia and The North Face, which generate 12.5 kilograms of CO2 per item, could be cut by 15.8%.
- Increased sales of previously owned goods may counter reduced manufacturing of new goods due to resale programs.
- Resale programs promote sustainability by reducing the demand for new production, but additional measures may be necessary to improve sustainability significantly, given the criticism fast-fashion retailers have faced regarding their environmental impact.
- Gayle Tait, Trove's CEO, stated that fast-fashion companies should invest in recycling technology, sustainable materials, and other emission-reducing techniques to reduce their environmental impact.
Q: Which is more important to you: fast fashion brands that promote resale or those with sustainable supply chains? Join the conversation here. |     | |
| 2 | | 
What the numbers say: The share price of Broadcom has increased 38% since March and a further 22% since late May. While analysts anticipate a 9% growth in Broadcom's overall semiconductor revenue this year, Stacy Rasgon of Bernstein expects the company's "compute offload" business will earn roughly $3B in income for this fiscal year, a 50% increase from last year. Relevance: With its Google business, which enjoys strong gross margins of roughly 75%, Broadcom is notorious for its aggressive approach to pricing. Although Broadcom's complicated semiconductor products and proprietary technology make it difficult to replace, the company's track record of keeping customers despite pricing disagreements is remarkable. Broadcom is one of the companies that Google is investigating alternatives to for specialized data-center chips. More data: After Broadcom's fiscal third-quarter report showed that its anticipated revenue for the fourth quarter would meet Wall Street expectations, the stock fell more than 5%. The information reported indicates that analysts believe Broadcom's partnerships with significant clients like Google are likely to persist despite sensitivity to apparent faults. | | | |
| A message from our sponsor, Guidde. |  | | Tired of explaining the same thing over and over again to your colleagues? It’s time to delegate that work to AI. guidde is a GPT-powered tool that helps you explain the most complex tasks in seconds with AI-generated documentation. Turn boring documentation into stunning visual guides: - Save valuable time by creating video documentation 11x faster
- Share or embed your guide anywhere for your team to see
- Simply click capture on our browser extension and the app will automatically generate step-by-step video guides complete with visuals, voiceover and call to action.
The best part? Our extension is 100% free. Try it for free | |
|
| 3 | | Meta is introducing AI-powered persona chatbots on Instagram, Facebook, and WhatsApp, featuring 28 chatbots representing characters portrayed by celebrities. These AI chatbots can handle queries, provide recipes, and involve users in text-based adventures, while developers can craft their AI assistants for Meta's messaging services. More: - Additionally, Meta announced that Quest 3, a virtual and augmented reality headgear by Meta, will be available for $499.99 starting next month.
- Since November 2022, Meta's share price has increased threefold as the business concentrates on AI and metaverse development.
- The business intends to add avatars that are AI characters to the metaverse.
- Live streaming and translation features will be available on the upcoming iteration of the Ray-Ban Meta smart glasses.
| | | |
| 4 | | Orders for durable U.S. manufactured goods increased by 0.2% in August, driven by an increase in machinery and other products that more than made up for a drop in orders for civilian airplanes. Capital goods shipments rebounded last month, suggesting resilience in business investment and the overall economy, although higher prices may have influenced the rise in orders and loads due to inflation. More: - While economists had anticipated a 0.5% decrease in durable goods orders for August, the year-on-year data shows a notable 4.2% increase in orders during the same month.
- Electrical equipment, appliances, and component bookings increased by 1.1%, while machinery orders increased by 0.5%.
- Despite survey results suggesting a recession, the manufacturing sector, which accounts for 11.1% of the economy, seemed stable.
- Non-defense capital goods orders, excluding aircraft, experienced the most significant increase since January, serving as a barometer for business expenditure.
- Shipments of essential capital goods increased by 0.7%, supporting third-quarter GDP growth projections.
| | | |
| A message from our sponsor, Ahrefs. |  | | Improve your website’s SEO performance and get more traffic from searches. For free! Not all websites are created to make money. But quality information deserves to be found. This is why we want to support website owners who can’t justify investing in a professional SEO tool. Monitor your SEO health: - Scan your website for 100+ common SEO issues that might hurt its performance in search engines.
- Get advice on fixing those issues and keep an eye on your website’s SEO health over time.
Know your backlinks: - Browse your website’s backlink data, collected by the industry’s favorite third-party backlink crawler.
- Get actionable insights from your inbound and outbound link profiles with various user-friendly reports and filters.
See keywords that bring you traffic: - Learn what keywords your website ranks for and compare how you stack up against competitors in the SERPs.
- Get a better understanding of your website’s SEO potential with the help of actionable SEO metrics like Search Volume, Keyword Difficulty, and Traffic Value.
Sign Up for Free | |
|
| 5 | | Peloton and Lululemon have revealed a five-year strategic partnership that will see Peloton develop digital fitness content for Lululemon's fitness app, and Lululemon will become the primary supplier of athletic apparel for Peloton. Although the deal's financial terms have not been disclosed, the announcement led to a notable increase of over 15% in Peloton's stock during after-hours trading. More: - By the end of the year, Lululemon intends to stop selling their Mirror exercise wear.
- Although the future of the Mirror gadget is unclear, Peloton's content will be accessible through it.
- With over 13 million users, Lululemon's app has almost twice as many users as Peloton, which has about 7 million users worldwide.
- Peloton's co-founder and Chief Product Officer, Tom Cortese, is leaving after almost 12 years, with Silicon Valley veteran Nick Caldwell, formerly at Twitter, Google, and Microsoft, stepping in.
| | | |
| 6 | | Chongqing Ant Consumer Finance Co., affiliated with Ant Group, aims to secure $616M in funding, with Ant Group providing $308M. Sunny Optical Technology Group Co. and Transfar Zhilian Co. are the additional investors involved in the initiative. More: - In July 2023, regulators brought an almost three-year investigation into the Ant Group to a close by fining the company around $1B.
- Subject to regulatory approval, Chongqing Ant Consumer Finance Co. will increase its registered capital to 23B yuan ($3.15B).
- The consumer finance company will continue to be owned by Ant Group at a 50% stake.
- The online lending businesses of Ant Group, Huabei, and Jiebei, which were significant growth drivers before regulatory attention, are combined under the name Chongqing Ant.
- After the regulatory crackdown, the corporation is concentrating on developing language models and artificial intelligence to spur growth.
| | | |
| 7 | | Quick Hits: - No-code development is here to stay, according to industry experts. Gartner predicts 80% of technology products will be built by those who are not IT professionals by 2024.*
- Elon Musk's SpaceX has secured its initial confirmed contract from the Pentagon for the development of the Starshield network, with a one-year agreement worth up to $70M, according to a Space Force spokesperson.
- Hyundai and Kia are recalling 3.37 million U.S. vehicles over the potential for fires and advising owners to park them outdoors and away from structures until fixes are made.
- China's Commercial Aircraft Corp. received an order for 100 C919 single-aisle aircraft from China Eastern Airlines Corp., potentially challenging Boeing, which hasn't lately received significant orders from Chinese carriers.
- Electric vehicle manufacturer Lucid Group announced the opening of its inaugural international manufacturing facility in Jeddah, Saudi Arabia, as part of a partnership to advance the country's electric mobility initiatives.
- NEXT WEEK in LA, redefine development at DockerCon! Use DCHALF for 50% off in-person registration, or participate online for free. Come learn with us!*
*This is a sponsored listing. | | | |
| Upcoming Events | | OCT
16 | | Meet Our Fund 5, Building and Investing in AI | | | | | | * This is a sponsored event | | | |
Term of the Day Backorders: Backorders refer to orders placed for products that are currently out of stock. Question of the Week Do you share details about your salary with your coworkers? Join the conversation |
INSIDE BUSINESS LEADERBOARD (7 DAYS) |
 | Freelance Writer | | Shriram is pursuing Master’s in Business with Marketing at Warwick Business School. He worked as a Senior Consultant in Tech and Political Consultancies before his Masters. He is passionate about Tech, Marketing, Strategy, Anthropology and Politics. He is also the Postgraduate Ambassador for Warwick Business School. | | This newsletter was edited by Aaron Crutchfield | |
| |
 | Magically create video documentation with AI. For Free. | |
|
| |
|
| |
