AT&T's Massive Cyber Attack and Tesla's Robotaxi Delay | Bloomberg Technology

AT&T Data Breach

• AT&T disclosed a significant cyberattack between May and October 2022, compromising customer data, including phone numbers and call logs.
• The SEC is investigating the hack, and regulators are examining AT&T's data storage practices, potentially exposing the company to consumer lawsuits.
• AT&T's data was stored with a third-party cloud provider, Snowflake, which found no evidence suggesting the breach was caused by a vulnerability or breach of its platform.

Tesla Robotaxi Delay and Analyst Outlook

• Tesla's unveiling of its robotaxi has been delayed by two months, but analysts remain bullish on the company's long-term prospects, particularly in AI and robotics.
• Dan Ives believes Tesla needs to stabilize demand, avoid major price cuts, and deliver on the Robotaxi project to maintain his bullish stance.
• Ives compares Tesla's AI Day to Apple's Robotaxi Day, emphasizing Apple's role in catalyzing the next upgrade cycle with its intelligence and AI.
• Ives does not view the potential Tesla Robotaxi fleet as a zero-sum game for Uber and Lyft, predicting that both companies will eventually have their own Robotaxi fleets.

Tech Stock Rally and AI Phenomenon

• Anna Rathbun believes the tech stock rally is not just an AI phenomenon but also a quality phenomenon, with tech stocks poised to perform well despite economic pressure.
• Rathbun attributes the recent rotation out of tech stocks to investors seeking cash-heavy tech stocks and predicts the rotation will continue as the Fed lowers interest rates.
• Rathbun acknowledges the valuation of tech stocks is a challenge, as it's difficult to determine how much of the valuation is based on earnings and how much is based on AI.

Concerns over Microsoft-G42 AI Partnership

• Key Republican lawmakers are calling for a formal intelligence probe into the budding AI partnership between Microsoft and Abu Dhabi firm G42 due to concerns about human rights and the potential diversion of American technology to China.
• Lawmakers are frustrated by the lack of transparency from the Biden administration and want the intelligence community to evaluate the national security risks associated with the partnership.

OpenAI's Progress in Building AGI

• OpenAI has developed a set of five levels to track its progress in building AI software capable of outperforming humans, with the company currently believing they are at level one, similar to chatbots like ChatGPT.
• The ultimate level five of artificial general intelligence (AGI) is still a subject of debate, with different opinions on how far we could get in the next decade.

StubHub IPO Delay and Bitcoin's Weekly Gain

• StubHub has delayed its plans for an initial public offering (IPO) until at least September due to choppy market conditions.
• Bitcoin is showing a weekly gain of 1.6%, potentially indicating a return to being a risk asset in a risk-on environment.

Factors Influencing Cryptocurrency Market

• Thomas Perfumo, Head of Strategy at Kraken, discusses four key catalysts in the short run: the macroeconomy, crypto market trends, the U.S. election, and the ongoing adoption of Bitcoin and crypto ETFs.
• The U.S. election is a significant factor due to its potential impact on cryptocurrency legislation and regulatory clarity.
• Kraken's partnership with Atletico Madrid aims to increase global brand recognition and accessibility of crypto in Latin America.
• The market sentiment is focused on the potential impact of Ethereum ETFs on capital inflows and the overall cryptocurrency ecosystem.
• Thomas Perfumo highlights the importance of gauging capital inflows from Ethereum ETFs and notes that surpassing the estimated $750 million to $1 billion monthly inflows could lead to positive support for the industry.

SpaceX Falcon Nine Rocket Failure and Investigations

• The recent failure of SpaceX's Falcon Nine rocket, which deployed Starlink satellites into the wrong orbit, has prompted an investigation by the FAA.

SoftBank's Chip Investment and Samsung's AI Memory Chip Plant Walkouts

• SoftBank strengthens its chip investments by acquiring a U.K. semiconductor startup, operating as a subsidiary while retaining its management team.
• Samsung faces more walkouts at one of its advanced AI memory chip plants as workers demand higher wages, targeting smaller but important complexes to increase pressure.

Concerns about Missing Underwater Cables and Potential Sabotage

• A worrying pattern of missing underwater cables raises concerns about potential sabotage and the implications for global communication and data transmission.
• A Bloomberg report highlights concerns about damage to undersea data cables, which could have severe consequences for global communication and financial systems.
• Recent incidents involving undersea cables raise suspicions of sabotage, prompting investigations into potential malicious intent.

Standard BOTS Funding and Approach to Robotics

• Standard BOTS, a robotics startup, has secured $63 million in funding, primarily from General Catalyst, to develop and market American-made robots.
• Standard BOTS aims to create robots that are easier to use, more affordable, and capable of performing various tasks, unlike traditional robots with rigid programming.
• The company focuses on a new paradigm where robots can learn autonomously from human demonstrations, accelerating their market readiness.
• Standard BOTS believes their approach can address the shortage of workers in manufacturing and bring back production to the United States, creating jobs and enhancing national security.
• The startup has doubled its team and experienced a 20-fold increase in robot orders in the past year, reflecting its rapid growth and market demand.

Israel-Hamas Conflict and European Commission Warning to X

• President Biden discusses progress in achieving a ceasefire and bringing hostages home in the Israel-Hamas conflict, highlighting a framework agreed upon by both parties.
• The European Commission has issued a warning to X, stating that it is the first breach of the Digital Services Act.
• X has been criticized for its handling of checkmarks, with concerns that they are misleading users and allowing malicious actors to abuse the system.
• X's push into high-quality, professionally produced video shows has not materialized as expected, with many shows failing to launch or gain traction.
• Advertisers are hesitant to invest in X's video content due to concerns about viewership and lack of progress in meeting advertiser demand.
• X is continuing to cut costs, with Steve Davis brought back to oversee further layoffs.
• Elon Musk has engaged in a back-and-forth with EU officials on Twitter regarding the warning.
• X has not responded to requests for comment on the warning.