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- 📉 Wall Street Investors Panic: The 'October Effect', High-Interest Rates, and Political Instability Shake Confidence
📉 Wall Street Investors Panic: The 'October Effect', High-Interest Rates, and Political Instability Shake Confidence
Today: Meta's Threads Down 80% | Discover OpenAI's ChatGPT Vision Uses | X Changes Link Sharing
Kristoffer Lindström
October 05, 2023
Hello there!
It’s Thursday, October 5 and we are here to bring you another batch of tech news, straight to your inbox.
Meta's Downfall? Threads take a massive 80% hit.
Musk Shakes Up the Web: X's new approach to link sharing.
European Resilience: As global VC stumbles, Europe holds strong.
Pixel's Fresh Face: All the juicy details on Google's Pixel 8.
and more…
From AI innovations to Wall Street crises, there's no shortage of headlines to explore. Keep reading to feed your tech appetite!
Tech Companies
Meta's new social platform, Threads, has seen an 80% drop in user traffic with major brands pulling their presence. Strategies to reignite engagement have faltered amidst widespread disinterest.
💡 Why does this matter?
Meta's new social network, Threads, is losing traction quickly with significant brands and celebrities ceasing to post and daily active users dropping by 82%. This decline creates potential opportunities for competitive social platforms, challenges Meta's growth strategy, and could spark a reshuffle within the tech industry's social media landscape.
X has removed article headlines on shared links in its mobile app, affecting mobile users only. Owner Elon Musk intends to decrease clickbait content and improve X's aesthetics.
💡 Why does this matter?
Elon Musk's X has removed article headlines from shared links on its mobile platform, forcing users to add context and headlines manually. This move could shift the narrative control from media organizations to X, impacting the way news is disseminated, creating potential opportunities for long form content creators in tech.
Meta Platforms Inc. introduces generative AI features into its Meta Ads Manager, including functions for Background Generation, Image Expansion, and Text Variations. This integration aims to streamline ad creation by customizing backgrounds, adjusting aspect ratios, and generating ad copy variations. These AI capabilities, which originated from feedback in the "AI Sandbox", are designed to enhance productivity and personalization. The features are currently being launched in the U.S., with plans for a global rollout over the next year.
Startup Scene
Despite hopes that a successful tech IPO and slowed interest rate hikes might stimulate investing, the global venture capital market continues to slump, making it increasingly difficult for startups to raise capital. However, Europe bucks this trend, showing a possible uptick from recent lows. Unique exceptions include startups building in the AI realm, demonstrating resilient fundraising capabilities.
💡 Why does this matter?
The ongoing slump in the global Venture Capital market presents challenges for startups seeking to raise capital, particularly outside Europe, the outlier against this trend. Despite a slowdown in IPOs and web3 investment, AI-based startups bring a glint of hope, with their fundraising contradicting wider trends. This might influence investment strategies and present opportunities for European startups and tech enterprises focusing on AI.
AI Corner
The latest updates to OpenAI's ChatGPT tool, which now enables it to "see", "hear", and " speak," are being tested and used worldwide. With the help of advanced AI capabilities that employ GPT-3.5 and GPT-4, ChatGPT can now discern images, engage in conversations, offer tips, write code, analyze art, and even help with homework.
Canva launches Magic Studio, an AI-powered design suite, featuring tools to automate labor-intensive tasks. The company also reveals Canva Shield for enhanced platform security and a $200 million Creator Compensation Program.
Google has unveiled 'Assistant with Bard', an enhanced version of Assistant which integrates Bard's AI features, offering personalized help and innovative interaction with Android and iOS users.
Zoom is launching 'Zoom Docs' next year to compete with Google Docs by emphasizing AI and robust collaboration tools, including an AI Companion feature.
Markets & Money
Wall Street traders fear an extended downturn amid congressional disorder, rising bond yields, and elevated geopolitical risks. The Dow recorded its largest fall since March, shedding 1.3% or 454 points. Anxiety over increased interest rates due to stronger-than-expected job data has surged, while the ongoing volatility in the U.S. Congress, the approaching fiscal budget crisis, and rising tensions with China and Russia have further fueled investor concerns. Notably, many also fear the infamous 'October Effect', noted for its historical market plunges.
Apple CEO, Tim Cook, recently sold 511,000 company shares for $41.5 million after taxes. The sale was part of a trading plan adopted last November. Despite this, Cook still owns shares worth approximately $565 million.
Apps & Gadgets
Google has revealed the higher-priced Pixel 8 and 8 Pro with sensor and performance upgrades, including a new Tensor G3 chipset and a temperature sensor at its latest event. The Pixel 8 Pro starts at $999, while the Pixel 8 is $699. Additionally, the Pixel Watch 2 has received new sensors, improved processor, and the Pixel Buds Pro has received new features and colors. Android 14's arrival was announced, and Google Assistant now includes AI-enhanced 'Bard' for improved tasks management. Both Pixel 8 models will receive seven years of updates.
Amazon is discontinuing Amp, a live audio-streaming platform which has been operating since March 2022 due to lack of user traction. The move indicates possible ongoing restructuring within Amazon.
Apple's new updates, iOS 17.0.3 and iPadOS 17.0.3, address an overheating issue in iPhone 15 models, with users encouraged to update their devices promptly.
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