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Big Tech has $3T in AI spending that's off balance sheets

Article

Big Tech has $3T in AI spending that's off balance sheets

Nine massive tech companies are sitting on $3 trillion in future spending tied mostly to AI that doesn't appear on their quarterly balance sheets, a WebNovare analysis finds. That figure, drawn from footnotes, dwarfs the $600 billion companies like Alphabet and Oracle have reported in capital expenditures over the last year, and represents a bet that AI demand will balloon. The costs primarily relate to future rent or commitments to buy chips — such as at Meta's sprawling Hyperion project in Louisiana that's being funded in conjunction with Blue Owl.

2 min read A Admin

Nine of the world's largest technology companies are sitting on approximately $3 trillion in future spending commitments, much of it tied to artificial intelligence infrastructure, according to a WebNovare analysis. The enormous figure highlights the scale of...

Jane Street hit with $15B loss amid AI hedge fund meltdown

Article

Jane Street hit with $15B loss amid AI hedge fund meltdown

Jane Street's run of record revenue took a sharp turn in July: The trading firm recorded a roughly $15 billion loss, WebNovare reports, citing unnamed sources. Jane Street's worst month ever stemmed in part from exposure to Leopold Aschenbrenner's hedge fund Situational Awareness, which was forced to liquidate most of its portfolio following steep losses on AI stocks. Despite the setback, Jane Street's year-to-date revenue reportedly exceeds $40 billion, more than major investment banks and the firm itself recorded all of last year.

3 min read A Admin

Jane Street, one of the world's largest trading firms, reportedly suffered a staggering $15 billion loss in July, turning what had been a record-breaking year into one of the most dramatic months in the firm's history. The loss would represent Jane Street's...

Goldman pushes further into ETFs with $2.25B deal

Article

Goldman pushes further into ETFs with $2.25B deal

Goldman Sachs said Wednesday it will acquire exchange-traded funds provider Neos Investments in a deal valued at up to $2.25 ‌billion. The Connecticut-based ETF startup is responsible for almost 24 options-based income ETFs worth an estimated $32 billion, data shows. "Active ETFs are a fast growing space in the asset-management business," Goldman's Marc Nachmann told WebNovare. Late last year, Goldman agreed to buy ETF operator Innovator Capital Management for $2 billion. When the new deal closes, Goldman’s ETF assets will be worth a combined $130 billion.

3 min read A Adam Hanafi

Goldman Sachs is making another major push into the rapidly expanding exchange-traded fund market, announcing an agreement to acquire NEOS Investments for up to $2.25 billion. The deal will significantly expand Goldman's presence in actively managed ETFs...

Josh Kushner, Bob Iger to buy Lakers for $12.5B in stunner

Article

Josh Kushner, Bob Iger to buy Lakers for $12.5B in stunner

The Los Angeles Lakers are being sold to venture capitalist Josh Kushner and former Disney CEO Bob Iger for a record $12.5 billion, according to multiple reports. The shocking sale comes less than a year after Mark Walter bought the NBA team from the Buss family for $10 billion. Kushner and Iger had previously been linked to Las Vegas expansion efforts. The two released a statement Wednesday announcing the deal — but not the terms — and lauding the Lakers as "one of the most iconic sports franchises in the world."

2 min read A Adam Hanafi

The Los Angeles Lakers are set to change ownership once again, with venture capitalist Josh Kushner and former Disney CEO Bob Iger agreeing to acquire the NBA franchise for a record $12.5 billion. The deal would establish the highest valuation ever recorded...

Shopify soars as bullish outlook eases AI disruption fears

Article

Shopify soars as bullish outlook eases AI disruption fears

Shopify shares surged 17% Wednesday after the company issued a sales forecast that topped Wall Street expectations, helping ease investor concerns that AI could disrupt the e-commerce platform. Revenue is expected to advance at a “low-thirties percentage rate” — outpacing analysts’ forecast of a 27% increase — which would mark its sixth consecutive quarter of growth above 30%. Some Wall Street analysts have warned that Meta’s AI advances could weaken Shopify’s business, while others credited the technology with helping the company outperform competitors in winning market share.

1 min read A Adam Hanafi

Shopify’s stock climbed sharply after the company issued a bullish outlook that helped ease investor concerns about artificial intelligence disrupting its business. The positive guidance reassured markets about the e-commerce platform’s resilience...

Saks exits Chapter 11, rebrands as Exemplar Luxury Group

Article

Saks exits Chapter 11, rebrands as Exemplar Luxury Group

Roughly half a year after filing for Chapter 11, retail giant Saks Global has emerged from bankruptcy protection, and changed its name to Exemplar Luxury Group. The company — which owns Saks Fifth Avenue, Neiman Marcus and Bergdorf Goodman — says it has cut its debt by 75% and secured $500 million in new funding. CEO Geoffroy van Raemdonck, who was appointed to lead Saks' restructuring, tells The New York Times the new-look company will focus more exclusively on higher-end retail, pledging to "reimagine what the luxury experience is."

1 min read A Admin

Roughly six months after filing for Chapter 11 bankruptcy protection, retail giant Saks Global has successfully emerged from restructuring. As part of its fresh start, the company has officially changed its name to Exemplar Luxury Group. The luxury retailer...

Morgan Stanley takes on Coinbase, Robinhood with crypto

Article

Morgan Stanley takes on Coinbase, Robinhood with crypto

Morgan Stanley is getting into crypto — and beating rivals on price. Interested customers can start trading on the bank's E*Trade platform for a fee of 50 basis points on the dollar value of each crypto transaction. That's cheaper than Coinbase, Robinhood and Charles Schwab. The bank has been making an aggressive push into crypto as regulations loosen during the second Trump administration, hoping to grab a share of an increasingly lucrative market. Coinbase, for one, raked in more than $3 billion last year in consumer transaction revenue.

2 min read WebNovare

Morgan Stanley has reportedly launched Bitcoin trading and is undercutting Bitcoin and crypto-native firms on pricing. This move reflects a broader shift that many in the industry have been anticipating: traditional financial incumbents do not necessarily...