BlackRock CEO Larry Fink: CEOs pulling supply chains out of China

Companies are moving their supply chains out of China instead of waiting for a resolution of the trade war between Washington and Beijing, BlackRock Chairman and CEO Larry Fink told CNBC on Friday. “We’re hearing from CEOs that more and more supply chains are moving out of China right now, ” Fink said on “Squawk Box.” “People are not waiting, companies are not waiting to see what the outcome is.” Companies began announcing in May that they would move from China to Vietnam, as China and the U.S.


Companies are moving their supply chains out of China instead of waiting for a resolution of the trade war between Washington and Beijing, BlackRock Chairman and CEO Larry Fink told CNBC on Friday. “We’re hearing from CEOs that more and more supply chains are moving out of China right now, ” Fink said on “Squawk Box.” “People are not waiting, companies are not waiting to see what the outcome is.” Companies began announcing in May that they would move from China to Vietnam, as China and the U.S.
BlackRock CEO Larry Fink: CEOs pulling supply chains out of China Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-19  Authors: jessica bursztynsky, matthew j belvedere
Keywords: news, cnbc, companies, chains, supply, trade, vietnam, starting, larry, companies, waiting, moving, blackrock, fink, china, ceos, ceo, pulling, worlds


BlackRock CEO Larry Fink: CEOs pulling supply chains out of China

Companies are moving their supply chains out of China instead of waiting for a resolution of the trade war between Washington and Beijing, BlackRock Chairman and CEO Larry Fink told CNBC on Friday.

“We’re hearing from CEOs that more and more supply chains are moving out of China right now, ” Fink said on “Squawk Box.” “People are not waiting, companies are not waiting to see what the outcome is.”

The trade fight between the world’s two largest economies has been going on for about a year, and businesses are starting to feel the repercussions.

President Donald Trump has slapped 25% tariffs on $200 billion worth of Chinese goods and continues to threaten duties on an additional $325 billion of goods as trade negotiations continue.

More than 50 multinational companies are moving production out of China, including Apple, Nintendo and Dell, CNBC previously reported. Companies began announcing in May that they would move from China to Vietnam, as China and the U.S. stepped up tit-for-tat duties.

Brooks Running — which is part of Warren Buffett’s Berkshire Hathaway — said in May it would be “predominantly in Vietnam by the end of the year,” adding that about 8,000 jobs will move there from China.

At the same, the Chinese economy is starting to lag, having grown just 6.2% in its second quarter. That’s the weakest rate in at least 27 years. Trade data released last week showed China’s June exports fell 1.3% year over year due to the tariffs.

“I do believe the trend in China continues to be downward, ” said Fink, co-founder of the world’s largest money manager. “I think long term, China knows they need to find ways to stimulate more of their domestic economy.”


Company: cnbc, Activity: cnbc, Date: 2019-07-19  Authors: jessica bursztynsky, matthew j belvedere
Keywords: news, cnbc, companies, chains, supply, trade, vietnam, starting, larry, companies, waiting, moving, blackrock, fink, china, ceos, ceo, pulling, worlds


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CEO of railroad giant CSX says the economy is the ‘most puzzling’ he’s seen as stock plummets

The CEO of giant East Coast railroad operator CSX is sounding alarm on the U.S. economy as it weighs on the company’s shipping volumes. “Both global and U.S. economic conditions have been unusual this year, to say the least, and have impacted our volumes. You see it every week in our reported carloads,” Chief Executive James Foote said on a conference call Tuesday after the earnings report. Foote has worked in the railroad industry for more than 40 years and has been CEO of CSX since 2017. CSX i


The CEO of giant East Coast railroad operator CSX is sounding alarm on the U.S. economy as it weighs on the company’s shipping volumes. “Both global and U.S. economic conditions have been unusual this year, to say the least, and have impacted our volumes. You see it every week in our reported carloads,” Chief Executive James Foote said on a conference call Tuesday after the earnings report. Foote has worked in the railroad industry for more than 40 years and has been CEO of CSX since 2017. CSX i
CEO of railroad giant CSX says the economy is the ‘most puzzling’ he’s seen as stock plummets Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-17  Authors: yun li
Keywords: news, cnbc, companies, csx, ceo, puzzling, weighs, economic, stock, reported, say, railroad, giant, economy, week, plummets, earnings, worked, seen, hes


CEO of railroad giant CSX says the economy is the 'most puzzling' he's seen as stock plummets

The CEO of giant East Coast railroad operator CSX is sounding alarm on the U.S. economy as it weighs on the company’s shipping volumes.

“Both global and U.S. economic conditions have been unusual this year, to say the least, and have impacted our volumes. You see it every week in our reported carloads,” Chief Executive James Foote said on a conference call Tuesday after the earnings report. “The present economic backdrop is one of the most puzzling I have experienced in my career.”

Foote has worked in the railroad industry for more than 40 years and has been CEO of CSX since 2017.

CSX is taking a hit from a “softer industrial environment” executives say and so it reported disappointing second-quarter earnings and a slashed revenue forecast.


Company: cnbc, Activity: cnbc, Date: 2019-07-17  Authors: yun li
Keywords: news, cnbc, companies, csx, ceo, puzzling, weighs, economic, stock, reported, say, railroad, giant, economy, week, plummets, earnings, worked, seen, hes


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Netflix CEO says the ‘streaming wars’ are good for business

Netflix CEO Reed Hastings doesn’t seem too worried about the influx of competitors into the streaming industry. A phenomenon that has been dubbed “the streaming wars” is a hot topic in the entertainment world. As Disney, NBC and WarnerMedia, among others, gear up to launch their own standalone streaming services, analysts have questioned if Netflix will take a hit. Hastings said Wednesday these streaming wars are a good thing. “The advantage of having something be catchy like ‘the streaming wars


Netflix CEO Reed Hastings doesn’t seem too worried about the influx of competitors into the streaming industry. A phenomenon that has been dubbed “the streaming wars” is a hot topic in the entertainment world. As Disney, NBC and WarnerMedia, among others, gear up to launch their own standalone streaming services, analysts have questioned if Netflix will take a hit. Hastings said Wednesday these streaming wars are a good thing. “The advantage of having something be catchy like ‘the streaming wars
Netflix CEO says the ‘streaming wars’ are good for business Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-17  Authors: sarah whitten
Keywords: news, cnbc, companies, ceo, content, tv, net, company, business, million, netflix, good, wars, hastings, streaming, companys


Netflix CEO says the 'streaming wars' are good for business

Netflix CEO Reed Hastings doesn’t seem too worried about the influx of competitors into the streaming industry.

A phenomenon that has been dubbed “the streaming wars” is a hot topic in the entertainment world. As Disney, NBC and WarnerMedia, among others, gear up to launch their own standalone streaming services, analysts have questioned if Netflix will take a hit.

Hastings said Wednesday these streaming wars are a good thing.

“The advantage of having something be catchy like ‘the streaming wars’ is that it draws more attention, and because of that, consumers shift more quickly from linear TV to streaming TV,” Hastings said during the company’s earnings call Wednesday.

After the company’s second quarter earning report Wednesday, shares of the company fell more than 10% as Netflix revealed global net adds of 2.7 million, well below its guidance of 5 million. Still, Netflix forecast 7 million global paid net adds for the next quarter.

The company blamed price hikes and a lackluster slate of new content for the lower-than-expected subscriber growth. However, Netflix has said that the third quarter’s content, including the recently released third season of “Stranger Things,” will help turn the tide.

Netflix has acknowledged it will soon lose two of its most-watched shows, “The Office” and “Friends,” but that not having these costly programs will free up the company’s budget and allow it to spend more on its own original content.

“I think everybody gets that people will subscribe to multiple [platforms],” Hastings said. “I’d wager that most Netflix employees are HBO subscribers. We love the content they do and that spurs us on to want to be even better.”

“Competition grows the industry,” he said.

Disclosure: Comcast is the parent company of NBCUniversal and CNBC.


Company: cnbc, Activity: cnbc, Date: 2019-07-17  Authors: sarah whitten
Keywords: news, cnbc, companies, ceo, content, tv, net, company, business, million, netflix, good, wars, hastings, streaming, companys


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Dimon plays down Facebook’s crypto: ‘We’re going to be talking about Libra’ years from now

Jamie Dimon, Chairman and CEO of JP Morgan Chase speaking at the New York Economic Club on Jan. 16th, 2019. Jamie Dimon isn’t losing sleep over Facebook’s bid to create a new global financial system. When asked on Tuesday about Facebooks’ Libra cryptocurrency project, which has been lambasted recently by President Trump and his administration, the J.P. Morgan Chase CEO replied that he didn’t see it as a near-term threat. “We’re going to be talking about Libra three years from now. Of course, Dim


Jamie Dimon, Chairman and CEO of JP Morgan Chase speaking at the New York Economic Club on Jan. 16th, 2019. Jamie Dimon isn’t losing sleep over Facebook’s bid to create a new global financial system. When asked on Tuesday about Facebooks’ Libra cryptocurrency project, which has been lambasted recently by President Trump and his administration, the J.P. Morgan Chase CEO replied that he didn’t see it as a near-term threat. “We’re going to be talking about Libra three years from now. Of course, Dim
Dimon plays down Facebook’s crypto: ‘We’re going to be talking about Libra’ years from now Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-16  Authors: hugh son
Keywords: news, cnbc, companies, crypto, facebooks, dimon, ceo, libra, plays, chase, talking, coin, going, morgan, jp, global


Dimon plays down Facebook's crypto: 'We're going to be talking about Libra' years from now

Jamie Dimon, Chairman and CEO of JP Morgan Chase speaking at the New York Economic Club on Jan. 16th, 2019.

Jamie Dimon isn’t losing sleep over Facebook’s bid to create a new global financial system.

When asked on Tuesday about Facebooks’ Libra cryptocurrency project, which has been lambasted recently by President Trump and his administration, the J.P. Morgan Chase CEO replied that he didn’t see it as a near-term threat.

“To put it in perspective, we’ve been talking about blockchain for 7 years and very little has happened,” Dimon said during a conference call with analysts. “We’re going to be talking about Libra three years from now. I wouldn’t spend too much time on it.”

Of course, Dimon is making his own bet on a digital coin that could transform the global payments landscape: JPM Coin. That effort, reported first in February by CNBC, would remain within the regulated confines of the biggest U.S. bank.


Company: cnbc, Activity: cnbc, Date: 2019-07-16  Authors: hugh son
Keywords: news, cnbc, companies, crypto, facebooks, dimon, ceo, libra, plays, chase, talking, coin, going, morgan, jp, global


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GM CEO to United Auto Workers: ‘Our collective future is at stake’

DETROIT — General Motors CEO and Chairman Mary Barra on Tuesday pleaded for United Auto Workers union leaders to assist, not hinder, the company’s ongoing restructuring efforts to better position GM for the future. Barra, speaking during a ceremony to officially begin negotiations with the union, said the company and union need to be “agile, decisive and disciplined” together more than ever amid a “rapidly” changing auto industry. “We will fight to keep these union plants open and allocate more


DETROIT — General Motors CEO and Chairman Mary Barra on Tuesday pleaded for United Auto Workers union leaders to assist, not hinder, the company’s ongoing restructuring efforts to better position GM for the future. Barra, speaking during a ceremony to officially begin negotiations with the union, said the company and union need to be “agile, decisive and disciplined” together more than ever amid a “rapidly” changing auto industry. “We will fight to keep these union plants open and allocate more
GM CEO to United Auto Workers: ‘Our collective future is at stake’ Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-16  Authors: michael wayland
Keywords: news, cnbc, companies, workers, united, auto, collective, ceo, gms, plants, leaders, lordstown, position, stake, future, gm, need, negotiations, union


GM CEO to United Auto Workers: 'Our collective future is at stake'

DETROIT — General Motors CEO and Chairman Mary Barra on Tuesday pleaded for United Auto Workers union leaders to assist, not hinder, the company’s ongoing restructuring efforts to better position GM for the future.

Barra, speaking during a ceremony to officially begin negotiations with the union, said the company and union need to be “agile, decisive and disciplined” together more than ever amid a “rapidly” changing auto industry.

“Today, we are at a turning point when it comes to the transformation of the industry and this company,” she said during the event inside GM’s global headquarters in Detroit. “Our collective future is at stake. We cannot move forward without one another.”

UAW leaders took a different position, pledging to use contract negotiations this year with GM to fight the company’s plans to potentially close four U.S. plants.

“Speaking on behalf of my brothers and sisters, know this, we will not leave no stone unturned,” UAW President Gary Jones said during the event. “We will fight to keep these union plants open and allocate more products here on American soil. It can be done.”

His comments came as about 80 laid-off workers and supporters from Lordstown Assembly, a plant in Ohio that GM idled in March, picketed outside GM’s headquarters.

Barra did not directly address Lordstown or the other impacted plants in Michigan and Maryland during her remarks. She instead cited a need to be “proactive on all fronts because we are not here merely to survive, we are here to lead it and we are here to win.”


Company: cnbc, Activity: cnbc, Date: 2019-07-16  Authors: michael wayland
Keywords: news, cnbc, companies, workers, united, auto, collective, ceo, gms, plants, leaders, lordstown, position, stake, future, gm, need, negotiations, union


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As Juul grapples with teen vaping ‘epidemic,’ CEO tells parents ‘I’m sorry’

The Food and Drug Administration has declared teen vaping an “epidemic,” citing federal survey data that showed nearly 21% of high school students vaped last year. Former FDA Commissioner Scott Gottlieb and health care advocates blame the surge in teen vaping on Juul. Grace told CNBC that a friend of hers bought the Juul pods and devices from a gas station. Yet Juul’s critics point to the company’s initial advertising campaign, which featured bright colors and young looking models, as evidence t


The Food and Drug Administration has declared teen vaping an “epidemic,” citing federal survey data that showed nearly 21% of high school students vaped last year. Former FDA Commissioner Scott Gottlieb and health care advocates blame the surge in teen vaping on Juul. Grace told CNBC that a friend of hers bought the Juul pods and devices from a gas station. Yet Juul’s critics point to the company’s initial advertising campaign, which featured bright colors and young looking models, as evidence t
As Juul grapples with teen vaping ‘epidemic,’ CEO tells parents ‘I’m sorry’ Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-13  Authors: angelica lavito
Keywords: news, cnbc, companies, vaping, company, pods, parents, grapples, tells, teen, epidemic, burns, sorry, ceo, ecigarettes, nicotine, juul, im, fda, products


As Juul grapples with teen vaping 'epidemic,' CEO tells parents 'I'm sorry'

Kevin Burns, CEO, JUUL, left, and CNBC’s Carl Quintanilla Source: CNBC

Kevin Burns, CEO of Juul Labs ⁠— the maker of the bestselling e-cigarette in the U.S. and center of federal regulators’ crackdown into what they’re calling a teen vaping “epidemic” ⁠— has a message for parents whose children are addicted to his company’s products: “I’m sorry.” Since launching in 2015, Juul has quickly come to dominate the e-cigarette industry with roughly 40% of the market, becoming such a dominant player that Altria, the top U.S. cigarette company, invested $12.8 billion for a 35% stake in the San Francisco-based start-up. But the company has a problem: Its vapes are incredibly popular with teenagers. The Food and Drug Administration has declared teen vaping an “epidemic,” citing federal survey data that showed nearly 21% of high school students vaped last year. Former FDA Commissioner Scott Gottlieb and health care advocates blame the surge in teen vaping on Juul. CNBC’s Carl Quintanilla interviewed Burns for a documentary, “Vaporized: America’s E-cigarette Addiction,” which premiers Monday at 10 p.m. ET. Quintanilla, who toured one of Juul’s manufacturing facilities in Wisconsin with Burns, asked him what he would say to a parent with a child who was addicted to Juul. “First of all, I’d tell them that I’m sorry that their child’s using the product,” said Burns, who joined Juul in late 2017. “It’s not intended for them. I hope there was nothing that we did that made it appealing to them. As a parent of a 16-year-old, I’m sorry for them, and I have empathy for them, in terms of what the challenges they’re going through.”

The company has tried to combat youth use by shutting down its social media accounts and pulling fruity flavors like creme and mango from retailers. So far, that hasn’t stopped criticism. The company’s hometown of San Francisco banned sales of e-cigarettes last month. E-cigarettes are being marketed to adults to help them quit smoking while still getting their nicotine fix. But they’ve come under fire in recent months for their growing popularity among teens. Federal data shows about 3 million U.S. high school students vaped last year. That is prompting fears e-cigarettes are addicting a new generation of nicotine after decades of cigarette smoking rates plummeting. Pam Debono’s daughter Grace picked up a Juul in the summer of 2017. At the time she was 15 and Juul was starting to take off. Pam Debono calls it “the summer of Juul,” when she started finding plastic covers everywhere that she “didn’t really have a clue what they were.”

Grace told CNBC that a friend of hers bought the Juul pods and devices from a gas station. Both girls were 15 at the time. Grace said she would hit her Juul first thing in the morning and would puff on it all day, going through one nicotine pod per day — about as much nicotine as a pack of cigarettes. “It would always be in my hands,” she said. “Like, it would always just be with me, you know? And so I would always just, like, hit it ’cause it was just so easy.” Stanford pediatrics professor Bonnie Halpern-Felsher said her research team found kids are “more addicted” to Juul than other products because the nicotine level in Juul pods is “astronomically high.” Juul pods contain 5% nicotine, whereas other pods before Juul’s introduction contained between roughly 1% and 2.4% on average, according to the Truth Initiative, a nonprofit dedicated to eradicating tobacco. The company has since introduced lower dosages with 3% nicotine for some of its flavors. Juul says its products are meant for adults, not minors like Grace. The company supports raising the minimum smoking age to 21 to keep teenagers from buying its e-cigarettes. Yet Juul’s critics point to the company’s initial advertising campaign, which featured bright colors and young looking models, as evidence that Juul fueled the surge in teen vaping. Co-founder Adam Bowen said in retrospect the ads were “inappropriate.”

“When we launched Juul, we had a campaign that was arguably too kind of lifestyle-oriented, too flashy,” he said. “It lasted less than six months. It was in the early days of the product introduction. We think it had no impact on sales.” Gottlieb, the former FDA commissioner, says the surge in teen vaping caught the FDA by surprise. While at the agency, Gottlieb delayed a key deadline that would have forced e-cigarettes to undergo FDA review by now and could have removed some from the market. He now isn’t sure if he made the right decision. “It’s a good question [whether the delay was a mistake], and it’s a question I get all the time,” Gottlieb said. “And we struggle with it.” The FDA review process calls for the agency to weigh the net public health benefit — meaning it needs to weigh how many adults will benefit from them versus how many teens might be harmed — when deciding whether to allow products to stay on the market.


Company: cnbc, Activity: cnbc, Date: 2019-07-13  Authors: angelica lavito
Keywords: news, cnbc, companies, vaping, company, pods, parents, grapples, tells, teen, epidemic, burns, sorry, ceo, ecigarettes, nicotine, juul, im, fda, products


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How being a female tech founder prepared this CEO to fight the medical system when she got cancer

Leila Janah, a social impact entrepreneur, was diagnosed with cancer at 36 Leila JanahLeila Janah, 36, thought she was doing everything right. But in the spring, she discovered a lump that turned out to be a type of cancer called a sarcoma. Sarcomas account for about 1 percent of adult cancers, and she has a particularly rare variety that showed up in her reproductive system. For Janah, going public with her experience has helped her find both high-quality doctors and potential treatments, which


Leila Janah, a social impact entrepreneur, was diagnosed with cancer at 36 Leila JanahLeila Janah, 36, thought she was doing everything right. But in the spring, she discovered a lump that turned out to be a type of cancer called a sarcoma. Sarcomas account for about 1 percent of adult cancers, and she has a particularly rare variety that showed up in her reproductive system. For Janah, going public with her experience has helped her find both high-quality doctors and potential treatments, which
How being a female tech founder prepared this CEO to fight the medical system when she got cancer Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-13  Authors: christina farr
Keywords: news, cnbc, companies, social, medical, janah, tech, health, fight, doctors, ceo, patients, share, thats, female, cancer, founder, system, prepared, access


How being a female tech founder prepared this CEO to fight the medical system when she got cancer

Leila Janah, a social impact entrepreneur, was diagnosed with cancer at 36 Leila Janah

Leila Janah, 36, thought she was doing everything right. She started two tech companies with a strong sense of social mission, and she balanced that by exercising every day, eating well and seeing the doctor for regular check-ups. The last thing she expected was a cancer diagnosis. But in the spring, she discovered a lump that turned out to be a type of cancer called a sarcoma. Sarcomas account for about 1 percent of adult cancers, and she has a particularly rare variety that showed up in her reproductive system. In the months since her diagnosis, Janah has shared her experiences as a patient on social media, despite the potential risks that come from investors and customers being aware of her health challenges. In the U.S. health care system, there are many barriers that prevent patients from accessing the treatment they need, whether it’s the cost, lack of specialists or the shortage of resources. For Janah, going public with her experience has helped her find both high-quality doctors and potential treatments, which could save her life. In a phone interview, Janah said her entrepreneurial experiences have helped her navigate the complexities of the health care system, in part because she’s had a lot of practice advocating for herself as a female founder in Silicon Valley. “I’ve had to be pushy,” Janah said. “If there’s anything this experience has taught me, it’s to not take no for an answer.”

‘I’m conditioned to trust my gut’

Before she was diagnosed, Janah had a feeling something that there was wrong. Her lump, which doctors reassured her was likely benign given her age and lack of symptoms, felt “ominous,” she said. “Because of my work with start-ups, I’m conditioned to trust my gut,” she said, as entrepreneurs are often told that their ideas lack merit, or they won’t work by people in positions of authority. “And that’s especially true when something feels wrong.” Janah insisted on further medical tests, and the results came back quickly. It was cancer. And it was rare and aggressive. So finding out sooner rather than later probably made a big difference. Another lesson learned from her entrepreneurial career was to try to get as many opinions as possible, and then bring in a team to evaluate her options. “That’s basically what you to when you’re shopping for a financing round,” she said. But she quickly hit a wall. Her doctors all offered conflicting advice, which she suspects is because her cancer is so rare that there aren’t many previous cases to draw from. Despite her best efforts, she couldn’t get them to agree to a conference call together to discuss her case. Another challenge was in pulling her medical information into one place, including charts, labs and imaging, so that she could make sure all her doctors had access to the same ground truth. That’s not surprising. Even today, it’s a laborious process for hospitals and clinics to exchange patient health information. Doctors still rely on legacy technologies, like fax machines and CD-ROMs, and their IT systems were not set up to make it easy to share data. At one point, Janah had to FedEx her imaging from California to New York because it was faster than getting two Manhattan-based hospitals to share a file. For a tech entrepreneur, that’s been a particular source of frustration. “The admin has been the hardest thing,” she said. “I’ve got two medical experts who disagree, but they can’t even share a CT scan between two different hospitals down the street from each other.”

At that point, Janah took matters into her own hands again. She saw that her busy specialists would all be attending a high-profile cancer conference, the American Society of Clinical Oncology, dubbed ASCO, in the fall. So she decided to fly out to Chicago on her own dime. She also hoped to meet with some of the executives behind a venture-backed bio-tech start-up called Epizyme. Epizyme has a drug in development called Tazemetostat, which is designed for sarcoma patients. It remains an experimental drug, meaning it has not been approved by federal regulators. Patients can access such drugs on a case-by-case basis, and it’s a hotly debated issue among bio-ethicists about whether promising therapies that are still in late-stage clinical trials should be made available. Janah’s trip was a success. She was granted access to the drug through the company’s Expanded Access Program, and she was able to get her doctors on the same page about her course of treatment. An Epizyme spokesperson declined to comment on her case, but did confirm that she met the criteria established by its policy.

Entrepreneurial patients, experimental drugs


Company: cnbc, Activity: cnbc, Date: 2019-07-13  Authors: christina farr
Keywords: news, cnbc, companies, social, medical, janah, tech, health, fight, doctors, ceo, patients, share, thats, female, cancer, founder, system, prepared, access


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Ford, VW to announce new partnership to invest billions in autonomous and electric vehicles

Jim Hackett (r), CEO of Ford, and Herbert Diess, CEO of VW, at the Detroit auto show last January. Ford and Volkswagen plan to announce Friday new joint ventures on autonomous and electric vehicles, two technologies considered critical to the future of the auto industry. Ford and VW have been discussing ways to team up on a variety of business operations for more than a year. The collaboration on autonomous and electric vehicles has taken longer than many observers had expected, some anticipatin


Jim Hackett (r), CEO of Ford, and Herbert Diess, CEO of VW, at the Detroit auto show last January. Ford and Volkswagen plan to announce Friday new joint ventures on autonomous and electric vehicles, two technologies considered critical to the future of the auto industry. Ford and VW have been discussing ways to team up on a variety of business operations for more than a year. The collaboration on autonomous and electric vehicles has taken longer than many observers had expected, some anticipatin
Ford, VW to announce new partnership to invest billions in autonomous and electric vehicles Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-11  Authors: paul a eisenstein
Keywords: news, cnbc, companies, billions, executives, partnership, ford, vehicles, ceo, companies, electric, vehicle, joint, autonomous, vw, volkswagen, announce, invest


Ford, VW to announce new partnership to invest billions in autonomous and electric vehicles

Jim Hackett (r), CEO of Ford, and Herbert Diess, CEO of VW, at the Detroit auto show last January.

Ford and Volkswagen plan to announce Friday new joint ventures on autonomous and electric vehicles, two technologies considered critical to the future of the auto industry.

The deal calls for “billions of dollars” in investments and will allow the companies to share both intellectual property and hardware, according to company executives with first-hand knowledge of the negotiations.

The companies have scheduled a joint press conference at 8 a.m. ET in New York Friday, saying they will “provide an update on their global alliance” and “share details of new collaborations also aimed at better serving their customers while improving each company’s competitiveness and capital efficiency.”

The companies declined to provide further details on their announcement.

But the executives, who asked not to be identified because the deal wasn’t yet public, say Volkswagen will provide Ford with access to the underlying platform that will anchor dozens of electric vehicles the German automaker plans to bring to market by mid-decade.

VW also will become an investor in Argo AI, a Pittsburgh-based research firm specializing in autonomous vehicle development, the executives said. Ford became a lead investor in Argo in 2017 with an initial investment of $1 billion.

Ford and VW have been discussing ways to team up on a variety of business operations for more than a year. In January, they announced their first tie-up, a joint venture focused on commercial vehicles, such as the Ford Transit van.

At the time, officials from both companies confirmed they were looking at other opportunities.

“In such [a competitive] environment, it just makes sense to share investments, pool innovation capabilities and create scale effects that are clearly defined,” Volkswagen CEO Herbert Diess said at the time.

Scale will be one of the benefits the two manufacturers hope to leverage with the joint ventures, both of which are being presented to the Ford and VW boards for final sign-off Thursday, the executives said. Together, the automakers produced about 18 million vehicles in 2018, or roughly 20% of the global new vehicle market.

As part of the new joint venture, Volkswagen will also invest in Argo, which operates as an independent company. One of the executives said VW’s investment in Argo will “be in the billions,” reflecting the significant increase in value of the tech firm since Ford took its stake more than two years ago.

The collaboration on autonomous and electric vehicles has taken longer than many observers had expected, some anticipating the expansion of the alliance would come by early to mid-Spring.

There proved to be a number of potential roadblocks. Among other things, Ford President Jim Farley told CNBC earlier this year that the timing of the separate electric vehicle programs run by the two manufacturers didn’t initially sync up.

The race to come up with self-driving vehicles has been joined by dozens of global automakers, as well as tech companies like Waymo and China’s Pony.ai. A study released by AlixPartners last month estimated the industry’s annual spending on autonomous driving and electric vehicles will reach a combined $85 billion and $225 billion, respectively, by 2025.

That is something that will strain corporate budgets, drive down profits and lead to even more joint ventures like the one Ford and VW are announcing, said Mark Wakefield, the head of the consulting firm’s auto practice.

It could also lead to “consolidation happening in the next couple of years,” James Peng, the co-founder and CEO of Pony.ai said on an interview on CNBC that aired Wednesday.

Volkswagen has committed 9 billion euros, or more than $10 billion, on its “electrification” program so far. That includes hybrids, plug-ins and pure battery-electric vehicles, or BEVs, with for nearly 50 different hybrid and electric vehicles by 2025 through its various brands, including its flagship VW, as well as Porsche, Audi and Bentley.

In March, CEO Diess increased the German automaker’s estimate of BEV sales over the next decade from 15 million to 22 million euros, declaring, “The supertanker is picking up speed.”

The joint venture, as it currently stands, calls for VW to provide Ford with access to its MEB platform which serves as a base for the ID.3, the first long-range all-electric Volkswagen model, as well as a range of other products to be sold by brands such as Audi. The deal isn’t expected to give Ford access to a more advanced electric vehicle platform that will be used for VW’s high-line models such as the Audi e-tron GT set to go on sale in a couple years.

Argo AI will set up its first office in Europe to work closely with VW, said one of the executives. The company’s currently testing modified Ford products in 5 U.S. cities and will add similar programs in Europe.

Ford, which has committed $11 billion to battery-car development will share some of its own know-how, but not all of it. The U.S. automaker is developing its own long-range BEV platform which will make its debut later this year in a high-performance, “Mustang-influenced” SUV. And VW will not participate in the new joint venture pairing Ford with Rivian, a battery-electric vehicle start-up based in the Detroit suburbs.


Company: cnbc, Activity: cnbc, Date: 2019-07-11  Authors: paul a eisenstein
Keywords: news, cnbc, companies, billions, executives, partnership, ford, vehicles, ceo, companies, electric, vehicle, joint, autonomous, vw, volkswagen, announce, invest


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Verizon CEO: We’re doing just fine without using any equipment from Chinese tech giant Huawei

Verizon CEO Hans Vestberg said Thursday that he’s not worried about the ongoing U.S.-China trade war impacting the company’s success. “We don’t use any Huawei equipment, and we have no impact from the Chinese trade war,” he explained. In May, the Trump administration effectively blacklisted China-based Huawei from doing business in the U.S., citing national security concerns. Huawei was pulled into the trade dispute between Washington and Beijing as the two nations race to construct next-generat


Verizon CEO Hans Vestberg said Thursday that he’s not worried about the ongoing U.S.-China trade war impacting the company’s success. “We don’t use any Huawei equipment, and we have no impact from the Chinese trade war,” he explained. In May, the Trump administration effectively blacklisted China-based Huawei from doing business in the U.S., citing national security concerns. Huawei was pulled into the trade dispute between Washington and Beijing as the two nations race to construct next-generat
Verizon CEO: We’re doing just fine without using any equipment from Chinese tech giant Huawei Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-11  Authors: jessica bursztynsky
Keywords: news, cnbc, companies, tech, trump, chinese, worried, equipment, vestberg, using, china, fine, doing, giant, war, ceo, products, administration, hes, verizon, trade, huawei


Verizon CEO: We're doing just fine without using any equipment from Chinese tech giant Huawei

Verizon CEO Hans Vestberg said Thursday that he’s not worried about the ongoing U.S.-China trade war impacting the company’s success.

“We are executing our strategy with our Western European vendors,” Vestberg told CNBC’s Julia Boorstin from the annual Sun Valley media conference in Idaho. “It seems that you can do that without Huawei.”

Verizon has no reliance on China, he stressed. “We don’t use any Huawei equipment, and we have no impact from the Chinese trade war,” he explained. “So for us, this is a non-event.”

In May, the Trump administration effectively blacklisted China-based Huawei from doing business in the U.S., citing national security concerns. While President Donald Trump agreed last month to allow Huawei to purchase some U.S. commercial products as an incentive to restart trade talks with China, the White House remains adamant that the move is not a total reprieve.

Huawei was pulled into the trade dispute between Washington and Beijing as the two nations race to construct next-generation 5G wireless technologies. The Trump administration is worried about Huawei products getting embedded into U.S. networks and the potential for them to be used by China’s communist government for spying. Huawei has repeatedly denied that would ever happen.

As for Verizon’s 5G plans and the competition to build out U.S. capabilities? Vestberg said he’s not concerned. “We’ll compete, we already have the best 4G market.” He added, “We’ll just hammer on and execute.”


Company: cnbc, Activity: cnbc, Date: 2019-07-11  Authors: jessica bursztynsky
Keywords: news, cnbc, companies, tech, trump, chinese, worried, equipment, vestberg, using, china, fine, doing, giant, war, ceo, products, administration, hes, verizon, trade, huawei


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Deutsche Bank CEO says he reprimanded executives for having $1,800 suits fitted day of mass layoffs

Christian Sewing, chief executive officer of Deutsche Bank AG, pauses as Germanys biggest bank announces full year earnings in Frankfurt, Germany, on Friday. Photographer: Krisztian Bocsi/Bloomberg via Getty ImagesDeutsche Bank CEO Christian Sewing says he reprimanded executives for having expensive custom suits tailored the day that mass layoffs hit the troubled bank’s offices in London, New York and Tokyo. Two tailors were photographed coming out of the German bank’s London office on Monday. D


Christian Sewing, chief executive officer of Deutsche Bank AG, pauses as Germanys biggest bank announces full year earnings in Frankfurt, Germany, on Friday. Photographer: Krisztian Bocsi/Bloomberg via Getty ImagesDeutsche Bank CEO Christian Sewing says he reprimanded executives for having expensive custom suits tailored the day that mass layoffs hit the troubled bank’s offices in London, New York and Tokyo. Two tailors were photographed coming out of the German bank’s London office on Monday. D
Deutsche Bank CEO says he reprimanded executives for having $1,800 suits fitted day of mass layoffs Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-11  Authors: spencer kimball
Keywords: news, cnbc, companies, day, banks, layoffs, troubled, bank, having, deutsche, suits, christian, mass, fitted, ceo, sewing, german, billion, executives, london, reprimanded


Deutsche Bank CEO says he reprimanded executives for having $1,800 suits fitted day of mass layoffs

Christian Sewing, chief executive officer of Deutsche Bank AG, pauses as Germanys biggest bank announces full year earnings in Frankfurt, Germany, on Friday. Feb. 1, 2019. Deutsche Banks revenue contracted for an eighth straight quarter in the final months of last year, complicating Chief Executive Officer Christian Sewings plan to turn around the lender through cost cutting. Photographer: Krisztian Bocsi/Bloomberg via Getty Images

Deutsche Bank CEO Christian Sewing says he reprimanded executives for having expensive custom suits tailored the day that mass layoffs hit the troubled bank’s offices in London, New York and Tokyo. Two tailors were photographed coming out of the German bank’s London office on Monday. Originally, the men were incorrectly identified as employees who had been sacked. In reality, they were at Deutsche’s London office to fit $1,800 suits for senior staff who were not hit by the job cuts, according to a report in Financial News. “That someone would let a tailor come on such a day is disrespectful,” Sewing said in an interview with the German newspaper Handelsblatt on Thursday. “In no way is this behavior in keeping with our values.”

When asked if there would be any personnel consequences, Sewing said only that he called the “colleagues” involved and discussed the incident with them.

“I assume in any case that the two colleagues will not forget my telephone call,” Sewing said, suggesting he gave them a tongue-lashing.

Deutsche Bank announced Sunday that it was shutting down its global stock trading business and slashing 18,000 positions in a massive restructuring to improve the troubled bank’s profitability.

Deutsche once sought to compete with large American banks on Wall Street, a strategy that began with its $10 billion acquisition of Bankers Trust in the late 1990s.

But the German bank’s aggressive and ambitious strategy to become a global power house ultimately backfired. Deutsche has been severely weakened by a series of costly scandals related to business practices in the run-up to the 2008 financial crisis as well as other alleged wrongdoing.

Deutsche reached a $7.2 billion settlement with the U.S. Justice Department in January 2017 for allegedly misleading investors in the sale of mortgage-backed securities. The bank was also slapped with a $630 million fine over allegations of Russian money laundering.

Those penalties came two years after the bank paid a $2.5 billion fine to U.S. and U.K. regulators for allegedly participating in a scheme to rig interest rates.

WATCH: DB wealth manager says morale positive despite job cuts


Company: cnbc, Activity: cnbc, Date: 2019-07-11  Authors: spencer kimball
Keywords: news, cnbc, companies, day, banks, layoffs, troubled, bank, having, deutsche, suits, christian, mass, fitted, ceo, sewing, german, billion, executives, london, reprimanded


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