Core Insights - Palantir Technologies Inc. has acquired over 4.4 million shares of Surf Air Mobility Inc., establishing a 10%+ ownership stake for just over $2 million, resulting in a 20% increase in Surf Air's stock price shortly after the announcement [1][2][4] Company Developments - Surf Air is focused on reinventing regional air travel through AI software and electric propulsion, developing an AI-enabled platform called SurfOS for charter brokers, operators, and aircraft owners [2][4] - Palantir's Foundry and AIP software will be integrated into Surf Air's operations, indicating a significant partnership beyond mere investment [2][4] Strategic Positioning - This acquisition aligns with Palantir's broader strategy to become a key player in the future aviation infrastructure, positioning itself as a digital nervous system for next-generation aviation [3][4] - Palantir's investment strategy typically involves early-stage entry, leveraging its technology to scale operations and create value, as evidenced by this investment in Surf Air [4][5] Market Context - Despite Surf Air's stock being down 61% year-to-date, the partnership with Palantir could signal a turnaround and potential growth in the electric aviation sector [2][5] - Palantir has previously engaged in partnerships with other aviation companies, such as Archer Aviation and Airbus, indicating a commitment to shaping the future of air travel through technology [8]

Core Viewpoint - Archer Aviation aims to alleviate urban traffic congestion through electric vertical takeoff and landing (eVTOL) taxi networks, which could significantly reduce travel times in metropolitan areas [1][2]. Company Overview - Founded in 2018, Archer Aviation has focused on developing its Midnight model aircraft and has received some Federal Aviation Administration (FAA) approvals for air taxi services [4]. - The company has established partnerships, including one with United Airlines for a point-to-point network in New York City, and is involved in the Los Angeles Olympic Games in 2028 [5]. Financial Position - As of Q1 2025, Archer Aviation had paid-in capital of $2.79 billion and recently raised $850 million through a common stock offering at $10 per share, estimating $2 billion in liquidity for growth [6]. - The company reported a negative free cash flow of $450 million this year, indicating significant cash burn [6]. Business Model - The Midnight aircraft is estimated to sell for $5 million each, with potential slim profit margins, especially if bulk discounts are applied [9]. - Each eVTOL could generate $1.46 million in annual revenue if fully booked, but profitability is uncertain due to high operating costs and the need for higher ticket prices [10]. Market Challenges - The demand for eVTOL services is uncertain, particularly if potential customers are already paying for traditional airline tickets [10][11]. - The FAA's full approval is necessary before Archer can begin operations, and the company faces significant hurdles in establishing a viable business model [8][11]. Industry Outlook - Even with progress, it may take years for eVTOLs to significantly impact urban traffic, with estimates suggesting that 10,000 air taxi trips a day would still be insufficient to alleviate congestion in major cities [13]. - The current market cap of Archer Aviation is $6.5 billion, with zero revenue generated to date, raising concerns about the stock's valuation and future earnings potential [15].

Financial Data and Key Metrics Changes - Revenue for Q3 FY2025 was $17.7 billion, reflecting a 7% growth in local currency and exceeding the guided range [5][10][12] - Operating margin expanded by 40 basis points to 16.8% compared to adjusted results from the previous year [10][18] - Diluted earnings per share (EPS) grew by 12% to $3.49 compared to adjusted EPS of $3.13 in Q3 FY2024 [10][18] - Free cash flow for the quarter was $3.5 billion, with a cash balance of $9.6 billion at the end of the quarter [19] Business Line Data and Key Metrics Changes - Consulting revenues were $9 billion, up 7% in U.S. dollars and 6% in local currency [13] - Managed services revenues reached $8.7 billion, reflecting a 9% increase in both U.S. dollars and local currency, driven by double-digit growth in technology managed services [14] - New bookings totaled $19.7 billion for the quarter, with consulting bookings at $9.1 billion and managed services bookings at $10.6 billion [11][12] Market Data and Key Metrics Changes - Revenue growth in The Americas was 9% in local currency, led by banking and capital markets, industrial, and health sectors [14][15] - EMEA region saw a 6% growth in local currency, driven by life sciences, banking, and insurance [15] - Asia Pacific revenue grew by 4% in local currency, with growth in public service and banking, partially offset by declines in chemicals and natural resources [15] Company Strategy and Development Direction - The company aims to be the preferred partner for client reinvention, focusing on GenAI as a key driver for transformation [5][22] - A new integrated business unit called Reinvention Services will be established to enhance service delivery and embed data and AI into solutions [36][75] - The company is committed to investing in talent and capabilities, with significant training hours and strategic acquisitions to support growth [6][7] Management's Comments on Operating Environment and Future Outlook - Management noted heightened uncertainty in the global economic and geopolitical environment, impacting client interactions and spending [21][22] - The focus remains on helping clients navigate challenges and drive reinvention, with GenAI being a critical tool for achieving better results [22][23] - The outlook for Q4 FY2025 anticipates revenues between $17 billion and $17.6 billion, with a growth expectation of 1% to 5% in local currency [37][39] Other Important Information - The company has invested over $297 million in four strategic acquisitions and increased its workforce in data and AI to approximately 75,000 [6][7] - The brand value increased by 27% to $103.8 billion, reflecting strong market recognition [7] - The company plans to return at least $8.3 billion to shareholders through dividends and share repurchases [41] Q&A Session Summary Question: Talent retention and leadership changes - Management noted a slight increase in attrition but emphasized that it remains within normal ranges and that leadership changes are common as leaders pursue new opportunities [43][44] Question: Impact of heightened uncertainty on revenue generation - Management highlighted the resilience of their model, noting that clients are focusing on significant projects despite economic challenges [45][48] Question: GenAI demand and acquisition pace - Demand for GenAI remains strong, though growth has slightly slowed. The acquisition strategy is consistent, targeting about 2% inorganic contribution annually [53][55][62] Question: Changes in acquisition strategy and focus - The acquisition strategy remains aligned with business needs, focusing on building capabilities internally when necessary [61][62] Question: Federal contracting impact on bookings - Federal contracting had an immaterial impact on bookings, with Q4 headwinds arising from both slower procurements and cancellations [89][90]

Core Insights - Hexiang Insurance Brokers has launched specialized insurance products for China's low-altitude economy, marking a significant expansion into this emerging sector [1][2] - The company aims to develop customized risk management products for various aviation operators, reinforcing its commitment to industry growth through innovation [4] - The low-altitude economy presents substantial opportunities for the insurance sector, and Hexiang is strategically positioned to capitalize on this trend [5][6] Key Achievements in 2025 - In March 2025, Hexiang sold its first low-altitude aviation insurance policy to Xinjiang Tianying General Aviation, covering commercial Robinson R44 helicopters with comprehensive insurance solutions [8] - In April 2025, Hexiang signed an insurance contract for an all-scenario helicopter insurance covering an Airbus R66, providing over RMB 17 million in protection tailored for low-altitude tourism and business commutes [8] - In June 2025, Hexiang was appointed as a Council Member of the Jiangsu Aviation Industry Association, enhancing its position within the aviation industry ecosystem [8]

Group 1 - Federal regulators issued an urgent warning regarding the risk of Boeing 737 MAX engines malfunctioning, which could allow smoke to enter the airplane cabin or cockpit, posing a significant danger to pilots [1] - The warning was prompted by two incidents involving Southwest Airlines flights where CFM International LEAP-1B engines malfunctioned after bird strikes, resulting in smoke entering the cabins [2] - The NTSB reported that in December 2023, a Boeing 737-8 experienced "acrid white smoke" shortly after takeoff, severely impairing the captain's visibility, and another incident in March 2023 also involved smoke entering the passenger cabin [3] Group 2 - The NTSB recommended modifications to the engines used on Boeing 737 MAX planes and Airbus A32 jets, urging the FAA to assess whether LEAP-1A and LEAP-1C engines could face similar issues [4] - The NTSB expressed concerns that flight crews may be unaware of the smoke hazard and lack knowledge on how to respond, urging the FAA to require operators like Boeing to inform crews about the risks [4] - Boeing has revised its flight manuals to guide pilots on preventing smoke from entering the cockpit or cabin, and is collaborating with CFM International on a software design update in response to the NTSB's recommendations [6]

Core Insights - The popularity of the "Su Super" football league in Jiangsu is attracting both local and out-of-province tourists, significantly boosting tourism and consumption in the region [1][2][3] Group 1: Ticket Sales and Attendance - The match between Changzhou and Nanjing on June 21 sold out quickly, with a ticket reservation count reaching 760,000, leading to a low success rate for purchases [1] - The attendance at the match between Xuzhou and Zhenjiang reached 30,823, marking the first time a single match in the Su Super exceeded 30,000 spectators, with 6,902 out-of-province attendees [4] Group 2: Tourism and Economic Impact - From June 14-15, the number of out-of-province visitors to five main cities in Jiangsu increased by 48.28%, with a 15.15% rise in tourism spending through UnionPay channels [3] - Jiangsu's summer tourism bookings have increased by 41% year-on-year, with the province leading the nation in tourism order volume during the weekend of June 14-15 [3] Group 3: Transportation and Accessibility - The development of high-speed rail and highways has made it easier for fans from neighboring provinces to attend matches, with travel times as short as 18 minutes from nearby cities [5] - The number of out-of-province taxi orders to the matches increased by 576% compared to last year, with 52% of these orders coming from outside Jiangsu [6] Group 4: Air Travel Trends - Since the start of the Su Super league, air travel to Jiangsu has seen a 5% increase, with over 2.62 million passengers traveling to the province [7] - Jiangsu has nine civil transport airports, providing high accessibility for both domestic and international travelers [7][8]

Core Insights - Joby Aviation's stock has experienced volatility due to a downgrade by Cantor Fitzgerald, which has created caution among retail investors, despite the company's strong fundamental progress [1][3][4] - Recent regulatory developments, including a White House mandate and an international agreement among five nations, are paving the way for significant advancements in the eVTOL sector, which may be overlooked by short-term market analysts [2][5][6] Group 1: Analyst Actions and Market Reactions - The downgrade from Overweight to Neutral by Cantor Fitzgerald on June 12, 2025, was based on valuation concerns rather than technology critiques, leading to an immediate stock price drop of over 8% [3][4] - The downgrade's timing appears disconnected from the positive regulatory changes that followed, suggesting that the analyst's view may not fully reflect the evolving business landscape for Joby [6][11] Group 2: Regulatory Developments - The White House's Executive Order on June 6, 2025, initiated the eVTOL Integration Pilot Program, providing a government-backed path for Joby to commence limited commercial flights [5] - An international agreement among the FAA, UK, Canada, Australia, and New Zealand aims to streamline the certification process for new eVTOL aircraft, significantly reducing business risks for Joby [6][13] Group 3: Financial Position and Future Outlook - Joby Aviation ended its first quarter with over $812 million in cash, bolstered by an additional $250 million investment from Toyota in the second quarter, positioning the company strongly for future operations [8][10] - Analysts maintain a mixed outlook, with some affirming a Buy rating and raising price targets, indicating confidence in Joby's long-term potential despite short-term market fluctuations [9][12]

Market Trends & Geopolitical Impact - Oil prices initially surged to their highest level since January but pulled back following signals from Iran about de-escalating tensions and potential nuclear talks [1][18][20][21] - Defense stocks continued to climb amid the Israel-Iran conflict, though analysts suggest investor behavior is more of a "safe haven" move than a direct correlation to company bottom lines [1][70][71][72] - The Paris Air Show is expected to be muted due to the ongoing conflict and a recent Air India crash, with Boeing CEO skipping the event [59][61] Economic Indicators & Fed Policy - The market is shifting focus to Fed policy, earnings, and factors impacting the earnings picture, with the FOMC meeting being a key event [5][8] - There's discussion around the potential for a dovish Fed pivot, driven by inflation being cooler than in 2019 when the Fed last cut rates [35][36] - Real-time housing inflation is falling, suggesting the official measure has room to decline, potentially signaling a green light for the Fed to turn dovish [38][39] Company Specific & Sector Analysis - Meta is introducing ads to WhatsApp, focusing on user data for targeting but aiming to avoid content analysis, with the bigger opportunity being the race to artificial general intelligence [44][45][47] - Reddit is launching AI-driven advertising tools, leveraging human engagement data to inform generative AI and improve ad targeting [50][51] - Victoria's Secret is facing pressure from activist investors to overhaul the board and focus on the core bra business, while also navigating consumer spending habits and recent leadership changes [53][56][57] - China is stimulating its consumer market to offset export dependency, with Apple being a notable loser as domestic brands like Huawei gain market share [76][78][79][80] Global Investment Strategies - There's a potential shift in global equity leadership away from the US, with capital repatriation expected to benefit Europe, Asia, and emerging markets [87] - The US dollar showed no reaction to market surprises, and there was no rally in treasuries, indicating a lack of appetite for US assets [84][85] - TPW Advisory is overweight Chinese equity, favoring US-listed ETFs, and constructive on a global growth cycle extending through 2027-2028 [82][83] AI & Technology - AI is a major theme at the Can Lions International Festival of Creativity, with discussions on how it's changing the advertising and media industries [95] - Time Inc is embracing AI, launching Time AI with Scale AI to create personalized content and audio versions of their journalism [96][97][98][101][102] - Hyperscalers are investing heavily in the race to artificial general intelligence, even without knowing the ultimate prize [48] Energy Sector - Energy stocks may present an opportunity, as they have diverged from oil price trends and offer potential dividends [105][106] - AI's energy demands are creating a large energy problem, with hyperscalers investing in creative solutions like "behind the meter" energy sources [16][17] - Gas prices are still about 33 cents a gallon below last year, and diesel prices hit their lowest level since 2021 prior to Middle East escalations [23][32][33]

Welcome back to Squawkbox. Let's get to Phil Leau. He's at the Paris Air Show as you know, and he's now joined by Transportation Secretary Sean Duffy.Hey, Phil. Thank you, Joe. Transportation Secretary, thank you for joining us here today.Good to be with you. Lots to talk about. I want to start first off with the Air India crash.Yeah. You are not you're NTSB FA are not leading the investigation, but you're assisting. Yeah.And if there was any whiff of, hey, there's a systemic problem with Boeing or GE, you ...

Overall, the battery capacity for this aircraft is something like one and a half Model X Teslas, just to kind of put it in a in a ground vehicle reference. The idea is to sell this by the seat. So, when you open the app, you'll be able to select the ride.A car will come and get you to wherever you are, take you to the nearest takeoff and landing spot, and then other people will be kind of brought just in time at the same time to fill the other seats within the aircraft. One of the things we um I probably ha ...