May 7th - The BESA Times
Fifty-third Edition - Monday, 7th Every week, a complete snapshot of what happened around the world in the past seven days
The annual Berkshire Hathaway meeting was held this Saturday. Quite a few things were different this year. Mr. Warren Buffet has stayed away from investing in tech companies for the simple reason that he didn’t understand them. However, during the meeting he said that he made a mistake by not investing in two dominant technology companies Google and Amazon. He added that Jeff Bezos has achieved a miracle with Amazon. Secondly, a new accounting rule also lead his company to report the first quarter loss in more than nine years. The new regulation requires the company to include in its earnings the gains and losses on the stocks it holds but has not sold. Mr. Buffet suggested that investors should look at Berkshire’s operating income which excludes gains and losses for Berkshire’s investment for a more accurate picture. Mr. Buffet is also increasing his stake in Apple, which he first invested in two years ago. He said he went into Apple, not because it was a tech stock but because; “I came to certain conclusions about the value with which the capital was being deployed and about the ecosystem.”
Quartz has reported that AI (Artificial Intelligence) is the new space race. While US and China have dominated the race so far through their own means, other countries such as UK and Canada are following closely behind. US’s academic system has been the leader in providing the research which has advanced AI to the level as it is today. While it doesn’t have a central AI policy, most of the funding is received from the military and private space. Whereas in China, the government has been a major channel for investments along with private companies. The government will be investing at least $7 billion through 2030, along with $2 billion for a research park in Beijing. The Chinese government predicts the AI industry to be worth $150 million by that time and has the most comprehensive national plan to become a leader in the technology. A shot of Xi Jingping’s office and his bookshelf explicitly carries this message through, as one found books not only on communism but also on artificial intelligence. Chinese startups also received 48% of total funding for AI investments. Last week, UK announced a deal between the private and public sector that would bring more than $200 millions of AI investments into the country. Another report outlines a $24 billion investment between 2018-2020 in the European union.
What to remember of last week's news?
Kanye West is back on twitter, and since his April 21 tweet praising USA staffer Candace Owen, he has found a new right-wing fan base. He further extended his love for President Donald Trump, which the President reciprocated. However, the black population responded to Kanye with eye rolls. Kanye’s appearance on TMZ live this Tuesday, could have gotten him into the largest controversy yet, underlying that he doesn’t quite know much about history. He commented: “When you hear about slavery for 400 years – for 400 years? That sounds like a choice.” West argues that he is a free thinker, but with each comment, it just shows how little he knows.
Did you know?
A new World Economic Forum article highlights a serious issue: That the world has made spectacular progress in every measure of human being, yet no one knows about it. It’s easy to see why, every day we are surrounded by news stories about terrorism, wars, crime, pollution, inequality and other social issues. Major news outlets simply lack information on the latest progress that is taking place around the world. This begs the question: why is our news not more positive?
Our Homemade Article
T-Mobile and Sprint agree on $164bn deal by Simon Constantin Schoenheer
What to expect for next week:
NAFTA talks to continue in the coming week. President Donald Trump wants to come up with a deal by the end of this month, any time after would mean it’s too late for lawmakers to ratify it before the midterm elections in November. The next few days could determine whether a deal is achievable by the end of this year and how extensive such an agreement might be. The agenda of talks reflects the President’s fixation on bilateral trade deficits. US and its neighbors are at least trying to keep and grow automobiles production in North America.
WRITTEN BY ANA DARUKA
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