Google paid $2.7 billion to rehire an artificial intelligence genius who left the tech giant in a huff three years ago to found his own startup, according to a report.Noam Shazeer, a 48-year-old software engineer who was first hired by Google as one of its first few hundred employees back in 2000, left the company in 2021 after it refused his request to release a chat bot that he had developed with a colleague, Daniel De Freitas.Shazeer and De Freitas went on to found Character.AI, which grew to become one ...

Hundreds of employees at Amazon’s corporate offices have expressed their displeasure over CEO Andy Jassy’s directive for them to return to the office five days a week beginning early next year, according to a report.A survey that has been circulated internally among Amazonians finds that the average employee at the company is “strongly dissatisfied” with the return-to-office edict, according to Fortune.The survey was created by Amazon employees who then shared it to at least 30,000 members who logged into a ...

Google will be tied up in court for “many years” as it attempts to avoid a crackdown in a pair of major federal antitrust cases targeting its business model, CEO Sundar Pichai admitted in a new interview.US District Judge Amit Mehta ruled in August that Google operates an illegal monopoly over online search, where it controls a 90% share of the market. The case is currently in the remedy phase, with Mehta expected to decide on a punishment by next summer.When asked about the judge’s verdict during an upcomi ...

A Johnson & Johnson subsidiary filed for bankruptcy protection for the third time in an effort to resolve the tens of thousands of lawsuits claiming its baby powder and other talc products caused cancer.Red River Talc LLC filed a voluntary prepackaged Chapter 11 bankruptcy case in the U.S. Bankruptcy Court for the Southern District of Texas to end all current and future claims related to ovarian cancer arising from its products. Under its latest settlement proposal, Red River agreed to pay $8 billion to cla ...

Boeing upped its wage proposal to thousands of striking workers on Monday, offering a 30% general wage increase over four years in what it called its “best and final” offer as the strike drags on.The planemaker is also offering to reinstate a performance bonus, improve retirement and double a ratification bonus to $6,000, if the workers accept by Friday.The Seattle-area Boeing workers who build the planemaker’s strongest-selling 737 MAX jet and other planes assembled in its Washington state factories went o ...

European Union regulators are reportedly preparing to put Google on notice that it must make changes to its dominant search engine or face massive fines.The EU watchdogs are prepping a “formal chargesheet” that is focused on how Google displays links to its competitors within embedded search services like Google Flights or Google Hotels, Bloomberg reported, citing people familiar with the matter.Antitrust officials could announce its preliminary move by the end of October – though the timeline could be dela ...

Boeing said Friday the head of the company’s troubled defense, space and security unit is leaving the planemaker effective immediately.New Boeing CEO Kelly Ortberg in his first significant move since taking over in August, said Ted Colbert would be leaving and Steve Parker, the unit’s chief operating officer, would assume Colbert’s responsibilities until a replacement is named at a later date.Boeing’s space business has suffered setbacks, notably NASA’s recent decision to send Boeing’s Starliner capsule hom ...

Qualcomm made a takeover approach to chipmaker Intel in recent days, the Wall Street Journal reported on Friday, citing people familiar with the matter.Intel’s shares reversed course to rise 8%, while Qualcomm fell 4% in afternoon trade.Qualcomm recently approached Intel about a takeover, according to a report. REUTERSIntel has been attempting to turn its business around by focusing on its chip foundry unit and artificial intelligence processors, but its shares have plummeted in recent months as it cut jobs ...

Core Allegations - The Federal Trade Commission (FTC) sued the three largest pharmacy benefit managers (PBMs) in the US, accusing them of steering diabetes patients towards higher-priced insulin to earn millions in rebates from pharmaceutical companies [1] - The PBMs allegedly excluded lower-cost insulin products from insurers' drug coverage lists, harming patients with coinsurance and deductibles who did not qualify for rebated prices [1] Market Dominance - The three PBMs—UnitedHealth Group's Optum, CVS Health's CVS Caremark, and Cigna's Express Scripts—administer 80% of all prescriptions in the US [2] Company Responses - CVS defended its efforts to make insulin more affordable, calling the FTC's allegations "simply wrong" and emphasizing its record of protecting patients from rising drug prices [2] - Cigna criticized the FTC for pursuing political points, arguing that forcing PBMs to include higher-cost drugs would increase overall drug prices [2] - Optum Rx dismissed the lawsuit as baseless, claiming it has reduced insulin costs for customers to an average of less than $18 per month [2] Stock Market Impact - CVS shares fell 1.6% in midday trading, while UnitedHealth and Cigna shares saw marginal declines [3] FTC's Perspective - The FTC described the PBMs as "medication gatekeepers" that have extracted millions from patients needing life-saving medications [4] - The agency criticized the role of major insulin manufacturers—Eli Lilly, Sanofi, and Novo Nordisk—in a "broken system" but did not sue them, reserving the right to do so later [4] Industry Dynamics - CVS Caremark argued that limiting PBMs' ability to negotiate drug prices would primarily benefit pharmaceutical companies [5] - The PBMs accused the FTC of bias, with Express Scripts suing the agency earlier in the week to withdraw a report claiming PBMs profit at the expense of smaller pharmacies [5] - The case will be heard by an FTC administrative law judge, with the process expected to move quickly and involve extensive evidence exchange [5]

Nike CEO Transition and Market Reaction - Nike's stock surged more than 8% following the announcement of CEO John Donahoe's departure, with shares rising over 5% on Friday alone [1][2] - Elliott Hill, a former Nike executive with over 30 years of experience, returned as the new CEO, aiming to boost employee morale and focus on consumer-centric strategies [1][3] - Under Donahoe's leadership, Nike lost nearly $40 billion in market capitalization, and its shares have declined by almost 20% since January 1 due to inflation and competition [2][5] Financial Performance and Challenges - Nike achieved over $50 billion in annual sales for the first time in fiscal 2023, but analysts project a decline to $48.87 billion for fiscal 2025 [4] - The company faces challenges from inflation-weary consumers reducing discretionary spending and slower-than-expected recovery in China [5] - Intensifying competition from brands like Hoka and On is pressuring Nike's market dominance in the athletic and leisure industry [5] Leadership Compensation and Investor Influence - John Donahoe earned nearly $104 million in pay and benefits during his tenure, with $35 million tied to equity awards, placing him in the top 0.1% of US CEOs [2][5] - Bill Ackman's Pershing Square Capital Management acquired 16.3 million Nike shares, signaling support for Hill as the new CEO [2] Strategic Focus and Employee Engagement - Hill plans an all-hands meeting on October 14 and encouraged employees to share their concerns and questions directly with him [3] - He emphasized the need for speed, urgency, and a consumer-first approach in his introductory video message to employees [3]