The US-China ‘cat and mouse game’
2Digest
This Financial Times podcast episode covers several key business and technology news stories. The first story focuses on the Japanese owner of 7-Eleven seeking special government protection to avoid a takeover bid from a Canadian company, Kushitar. This would be the largest foreign takeover of a Japanese company ever, highlighting the growing influence of foreign companies in Japan's economy. The second story discusses the ongoing trade war between the US and China over semiconductors and materials. The US and other Western countries are restricting China's access to high-end semiconductors, while China is retaliating by limiting exports of key materials needed for semiconductor production, such as gallium and germanium. This has created a "cat and mouse game" with potential global supply chain disruptions. The third story examines Swedish fintech company Clarna's decision to cut almost half of its staff and replace their jobs with artificial intelligence, particularly in customer service and marketing. This move reflects the growing trend of automation in the workplace, raising concerns about job displacement and the future of work. The final story covers the recent malfunction of a Boeing spacecraft, which stranded two US astronauts on the International Space Station. This is a major setback for Boeing, which is already facing challenges in its core aircraft business. The incident highlights the challenges facing the US space program in maintaining its leadership position in space exploration, particularly in the context of growing competition from other countries.
Outlines
Business and Technology News
This podcast episode from the Financial Times covers several key business and technology news stories, including a Japanese conglomerate's attempt to avoid a takeover, the US-China semiconductor and materials trade war, and Boeing's struggles with its Starliner spacecraft.
7-Eleven Takeover Attempt
The Japanese owner of 7-Eleven is seeking special government protection to avoid a takeover bid from a Canadian company, Kushitar. This would be the largest foreign takeover of a Japanese company ever.
US-China Semiconductor Trade War
The US and other Western countries are restricting China's access to high-end semiconductors, while China is retaliating by limiting exports of key materials needed for semiconductor production, such as gallium and germanium. This has created a "cat and mouse game" with potential global supply chain disruptions.
Clarna's AI-Driven Staff Cuts and Boeing's Starliner Issues
Swedish fintech company Clarna is planning to cut almost half of its staff and replace their jobs with artificial intelligence, particularly in customer service and marketing. This comes as the company prepares for an IPO. Two US astronauts are stranded on the International Space Station after a Boeing spacecraft malfunctioned, forcing them to return on a SpaceX vehicle. This is a major setback for Boeing, which is already facing challenges in its core aircraft business.
Keywords
Buy Now, Pay Later (BNPL)
A financial service that allows consumers to purchase goods and services and pay for them in installments over a period of time. BNPL providers typically charge interest or fees on the outstanding balance.
Semiconductor Materials
Materials used in the production of semiconductors, such as gallium, germanium, and antimony. These materials are essential for advanced technologies, including artificial intelligence, electric vehicles, and defense applications.
Core Rating
A designation given by a government to a company or industry that is deemed critical to national security or economic stability. This rating can provide protection from foreign takeovers or other threats.
Export Controls
Government restrictions on the export of certain goods or technologies. Export controls are often used to protect national security, prevent the proliferation of weapons, or promote economic interests.
Artificial Intelligence (AI)
A branch of computer science that deals with the creation of intelligent agents, which are systems that can reason, learn, and act autonomously. AI is being used in a wide range of applications, including customer service, marketing, and healthcare.
Spacecraft Malfunction
A failure or breakdown of a spacecraft's systems or components. Spacecraft malfunctions can occur due to a variety of factors, including design flaws, manufacturing defects, or environmental hazards.
Q&A
What is the significance of the potential takeover of 7-Eleven by Kushitar?
This would be the largest foreign takeover of a Japanese company ever, highlighting the growing influence of foreign companies in Japan's economy.
How are the US and China using export controls as leverage in their trade dispute?
The US is restricting China's access to high-end semiconductors, while China is limiting exports of key materials needed for semiconductor production, creating a "cat and mouse game" with potential global supply chain disruptions.
What are the implications of Clarna's decision to replace staff with AI?
This move reflects the growing trend of automation in the workplace, raising concerns about job displacement and the future of work.
What are the implications of Boeing's Starliner spacecraft issues for the US space program?
This setback highlights the challenges facing the US space program in maintaining its leadership position in space exploration, particularly in the context of growing competition from other countries.
Show Notes
The Japanese operator of 7-Eleven is discussing ways to defend itself against a takeover bid by Canada’s Alimentation Couche-Tard, Chinese export controls on crucial semiconductor materials are starting to hit supply chains, and the fintech company Klarna plans to axe almost half of its staff in favour of artificial intelligence. Plus, Nasa is turning to Elon Musk’s SpaceX after Boeing’s Starliner, which was meant to bring two US astronauts home, suffered technical problems.
Mentioned in this podcast:
7-Eleven’s Japanese owner explores protected status to thwart foreign bid
China’s export curbs on semiconductor materials stoke chip output fears
Klarna aims to halve workforce with AI-driven gains
How will Nasa return two US astronauts stranded in space?
The FT News Briefing is produced by Niamh Rowe, Fiona Symon, Sonja Hutson, Kasia Broussalian and Marc Filippino. Additional help from Breen Turner, Sam Giovinco, Peter Barber, Michael Lello, David da Silva and Gavin Kallmann. Our engineer is Monica Lopez. Topher Forhecz is the FT’s executive producer. The FT’s global head of audio is Cheryl Brumley. The show’s theme song is by Metaphor Music.
Read a transcript of this episode on FT.com
Hosted on Acast. See acast.com/privacy for more information.
Table of contents
United States
