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CNBC's Inside India newsletter: Will AI make or break India?
  + stars: | 2024-05-02 | by ( Ganesh Rao | ) www.cnbc.com   time to read: +9 min
But one that could foreshadow India's growth story. Can Teleperformance's stock plunge be the canary in the coal mine for what is likely to happen to India because of AI? But it's likely to be a blip for India's growth trajectory, given the macro forces at play. Besides creating jobs that are less likely to be immediately disrupted by AI, India could also be a net beneficiary of artificial intelligence. The Indian stock market indexes, Sensex and Nifty 50 , are heading for a positive week again — up by 1% and 1.2%, respectively.
Persons: Findlay Kember, Klarna, ChatGPT, K Krithivasan, Krithivasan, Narendra Modi, It's, Shilan Shah, Goldman Sachs, Vinay Dwivedi, Ashok Gulati, Nomura, League Pickleball, Karine Jean, Pierre, Jerome Powell, Raghuram Rajan, Ashish Jain, CNBC's Ayushi Jindal Organizations: AFP, Getty, India's Tata Consultancy Services, Financial Times, TCS, World Bank, International Monetary Fund, University of Oxford, Capital Economics, Investment, Nomura, Qualcomm, Powerchip Semiconductor Manufacturing, UPI, India, Commission, Agricultural, United Pickleball Association, Global Sports, PPA, League, Washington Post, White, U.S ., Federal, CNBC, Reserve Bank of India, University of Chicago Booth School of Business Locations: Swedish, Paris, India, Chennai, U.S, Europe, China, Singapore, South Korea, Canada, United States
Last night data security firm Rubrik priced 23.5 million shares at $32, above the price talk of 23 million shares at $28-$31, raising $752 million. Rubrik is the first tech unicorn IPO since last fall. Marex Group, a UK-based financial services company known for its global clearing business, priced 15.4 million shares at $19, the midpoint of the price talk of $18-$21, raising $292 million. Loar Holdings, which makes aerospace and defense components, priced 11 million shares at $28, above the range of $24-$26, raising $308 million. All eyes on Rubrik Rubrik is an important test of the tech IPO market.
Persons: Matt Kennedy, Rubrik, Kennedy, Ingram, Del Organizations: Marex, Nasdaq, Loar Holdings, New York Stock Exchange, Viking Holdings, Arm Holdings, Renaissance Capital, UL, Astera Labs, Forge, Companies, Ingram Micro, Epic Locations: Del Monte
Now you can put your Botox on Affirm
  + stars: | 2024-04-24 | by ( Katie Notopoulos | ) www.businessinsider.com   time to read: +3 min
Buy now, pay later company Affirm is starting to offer loans for elective cosmetic procedures. Advertisement"Buy now, pay later" company Affirm has identified a new category for growth, according to a new report from Reuters: elective medical procedures like Botox, nose jobs, and even dental treatments. Buy now, pay later options like Klarna and Affirm have become ubiquitous at checkouts on e-commerce retail sites for some time. I know: It can be hard to sympathize with someone who's using lip filler they can't afford by putting it on Affirm. But go back to what it's actually being used for: "cosmetic treatments, dental services, medical devices, and veterinary procedures."
Persons: It's, , Klarna, Pat Suh, Affirm's, BNPL, it's Organizations: Service, Business Locations: San Francisco
Rafael Henrique | SOPA Images | LightRocket via Getty ImagesKlarna on Wednesday announced a global partnership with Uber to power payments for the ride-hailing giant's Uber and Uber Eats apps. The partnership will see the Swedish financial technology firm added as a payment option in the U.S., Germany, and Sweden, Klarna said in a statement. In the U.S., Germany, and Sweden, Klarna will roll out its "Pay Now" option, which lets customers pay off an order instantly in one click, in the Uber and Uber Eats apps. The company will also offer an additional payment option for Uber users in Sweden and Germany which allows users to bundle purchases into a single, interest-free payment that gets taken out of their monthly salary. The firm recently launched a monthly subscription plan in the U.S. to lock in "power users" ahead of its anticipated IPO.
Persons: Rafael Henrique, Uber, giant's Uber, Klarna, Sebastian Siemiatkowski, Siemiatkowski, SoftBank Organizations: Getty, Wednesday, Klarna, Bloomberg News, CNBC, Nike, Instacart Locations: Swedish, U.S, Germany, Sweden, Ukraine
If you have your heart set on investing in up-and-coming private companies, options exist, but are limited. Obviously, there is a strong desire to get into hot private market tech companies, even if at an irrational cost. The simplest way to do this would be to float an exchange traded fund, or ETF, that held these private shares. Forge Global launched the Forge Accuity Private Market Index, a market capitalization weighted index that tracks the performance of 60 late-stage venture-backed private companies like SpaceX and Epic Games. Bottom line: there is no easy way to access private shares.
Persons: Tech100, Cathie Wood, Howe Ng, Brett Winton Organizations: New York Stock Exchange, SpaceX, Klarna Bank, Tech100, ARKVX Venture, Forge Global, Epic Games, ARK Investment, Edge
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailWatch CNBC's full interview with Klarna CEO Sebastian SiemiatkowskiSebastian Siemiatkowski, Klarna co-founder and CEO, joins CNBC's 'The Exchange' to discuss Klarna's new credit card, consumer spending, and more.
Persons: Sebastian Siemiatkowski Sebastian Siemiatkowski, Klarna
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailKlarna's new credit card is a 'healthier alternative' to others, says CEO Sebastian SiemiatkowskiSebastian Siemiatkowski, co-founder and CEO of Klarna, joins CNBC's 'The Exchange' to discuss the launch of Klarna's new credit card, the potential for an IPO, and more.
Persons: Sebastian Siemiatkowski Sebastian Siemiatkowski
The U.S. government is considering laws to help society adapt to the introduction of artificial intelligence. Economists have worried for years that artificial intelligence could sink job prospects for white-collar workers, similar to the effects globalization has had on blue-collar workers in the past. In 2023, lawmakers in the New York State Assembly put forward a measure to limit the expected impact of tech-driven layoffs with robot taxes. Many economists have said that robot taxes, if used at all, should be set at a relatively low level. Watch the video above to learn more about the U.S. government's plan to regulate artificial intelligence.
Persons: Sebastian Siemiatkowski, Sora, Sam Altman, Erik Brynjolfsson, Brynjolfsson Organizations: CNBC, Force, European Union, Stanford Institute for, International Monetary Fund, New York State, Massachusetts Institute of Technology Locations: U.S, Brussels, United States
Two months ago, I wrote a story entitled, "The IPO market is looking very shaky and facing challenges galore." Two months later, the IPO market is still shaky, but there are definite signs of improvement. Second, three $100 million IPOs have filed to go public in the past week, including Viking (the cruise line operator) and Rubrik, a data management platform. Greg Martin at Rainmaker Securities told me that the recent performance of Reddit and Astera Labs, "Were nice shots in the arm for the IPO market. Even with markets at new highs, the specter of interest rates creeping up is still hanging over the IPO market.
Persons: Matt Kennedy, Reddit, Greg Martin, Ibotta, Ingram, Del, Viking, Howe Ng, I'm, Martin, Rainmaker, Santosh Rao Organizations: IPOs, Viking, Renaissance Capital, Astera Labs, Rainmaker Securities, NYSE, UL Solutions, Underwriters Laboratories, Nursing, Centuri Holdings, Labs, Companies, Ingram Micro, Epic, Manhattan Venture Partners Locations: IPOs, Del Monte
But the $6,000 in BNPL loans she'd racked up over roughly two years felt frivolous, she said, especially because they're planning to buy their first home. Many are seeking cover from high credit card interest rates. After trimming her discretionary spending and sticking to home-cooked meals, she said she's been able to whittle down her BNPL debt to about $1,200. Klarna said it had responsible spending limits for its users, whose average outstanding balance is $150, compared to the more than $6,000 for credit card users. Baird, for her part, acknowledged BNPL services can make inflation and high interest rates feel "easier" for those who can keep their shopping impulses under control.
Persons: Tia Whiteside, Whiteside, she'd, Dyson, she's, Marcus, whittle, Ben Lourie, Lourie, aren't, I've, Amy Baird, Baird, Kevin Mahoney, Mahoney, , Afterpay, Klarna, Sen, Sherrod Brown, Raphael Warnock, John Fetterman, Brown Organizations: LexisNexis, Solutions, University of California, UC Irvine, Singapore Management University, PayPal, Consumer Financial Protection Bureau, Financial, D.C, Sens, NBC News Locations: Greenville , South Carolina, Irvine, Stanford, Dallas, Washington, Ohio
Earlier this month, the adtech firm Kevel announced that it had raised $23 million in a Series C round of funding to help retailers set up and run advertising businesses. Fourteen-year-old Kevel, formerly known as Adzerk, sells software that brands, including Klarna and Delivery Hero, pay a monthly fee for to manage advertising businesses on e-commerce websites. Kevel's products help retailers sell search ads on e-commerce websites, provide an ad server to manage and place ads, and give access to an audience tool that collects retailers' first-party data. Kevel competes with a growing number of adtech firms that help retailers stand up ad businesses, like Criteo, Epsilon, and Microsoft. Kevel doesn't sell ads, which Avery said the firm benefits from as more retailers like Target's Roundel take their ad businesses in-house.
Persons: Kevel, James Avery, Puja Rios, , Avery, Morgan Stanley Organizations: Business, Walmart, Epsilon, Microsoft, Interactive, Fulcrum, Partners, Godwin Capital Group, Iberis, Dunnhumby Ventures, Commerce Ventures
One of the leading emerging use cases for artificial intelligence could be automating customer support requests, according to Barclays. At a time when some investors are beginning to doubt the AI momentum, some companies are now experimenting with AI for customer support and consumer-facing features. These support levels involve escalations from solving simple customer service problems, and can entail trouble-shooting with support technicians and the involvement of engineers, if needed. Lyft stands to be the biggest beneficiary of AI automating customer support requests, assuming that it can move just over a third of its Level 2 and 3 human-based customer service requests to AI. To be sure, it's still early days for companies that could benefit from deploying AI as part of their customer support, Barclays found.
Persons: Ross Sandler, Klarna, Sandler, GoDaddy, Roblox's, it's, We've Organizations: Barclays, Web Services, Google, FactSet
Shares of Teleperformance plunged 23% on Thursday, after the French call center and office services group missed its full-year revenue target and flagged a "volatile economic environment." Teleperformance shares dropped 16% last week, according to LSEG data, after Swedish financial services company Klarna said its Open AI-powered customer service assistant was handling two-thirds of customer service calls. But Teleperformance CEO Daniel Julien on Thursday said that AI would be a positive for its business model — and that it will never fully replace the value of human interaction. "AI is part of the solutions we provide to the clients," Julien told CNBC's "Squawk Box Europe." So we perceive AI as enhancing the job that our human employees do, but absolutely not replacing them."
Persons: Klarna, Daniel Julien, Julien, CNBC's, It's
download the appSign up to get the inside scoop on today’s biggest stories in markets, tech, and business — delivered daily. In today's big story, we're looking at how Google has gone from the tech industry's vanguard of cool to just another boring company . AdvertisementGoogle has long stayed atop Silicon Valley's volatile popularity contest — but the best place to work in tech is starting to feel like any other business , Business Insider's Hugh Langley and Lara O'Reilly write. Bureaucracy, an aversion to risk, and deference to Wall Street over employees — things Google long eschewed — have become the norm. The latest example is the debacle surrounding Gemini — its flashy new AI model that faced backlash for being too "woke."
Persons: , Rebecca Zisser, Hugh Langley, Lara O'Reilly, Alistair Barr, Sundar Pichai, Hugh, Lara, Mateusz Wlodarczyk, BI's Peter Kafka, it's, David Rosenberg, Gary Shilling, Snowflake's Frank Slootman, Ozgur Hakan Aslan Toyota, Boxabl, Elon Musk, Tesla, Hewlett Packard, Dan DeFrancesco, Hallam Bullock, Jordan Parker Erb Organizations: Service, Google, Business, Gemini, Meta, Big Tech, OpenAI, Corporations, Nvidia, SEC, Universal Music Group, Universal, BI Locations: , New York, London
For a second year, CNBC and independent research firm Statista are working together to identify the world's top fintech companies, to be named in a published CNBC report this July. Nominations are now open for the top global fintech companies list. You can check out last year's list of the top 200 fintech companies, which includes the likes of Chinese tech giants Ant Group and Tencent, U.S. fintech firms PayPal and Stripe, and European companies like Klarna and Revolut. In addition to the fintech list, CNBC is also launching a separate list showing the top insurance technology (insurtech) companies globally, planned to be published in August. Insurance has proven a market ripe for digital disruption, as a wave of new digital-native companies have done away with the paper-based processes that previously dominated the industry.
Organizations: CNBC, Ant Group, PayPal, Insurance
Klarna says its AI assistant is doing the equivalent work of 700 people. Not everyone's impressed, but the assistant is another sign of the company's enthusiasm for AI. AdvertisementKlarna says its AI assistant is doing "the equivalent work of 700 full-time agents." One user, Gergely Orosz, a software engineer and author of The Pragmatic Engineer newsletter, said he was skeptical of the news after trying out Klarna's AI assistant. Advertisement"There will be a shrinking of the company," Siemiatkowski said in December.
Persons: Klarna, Swedish fintech, everyone's, , Gergely, Sebastian Siemiatkowski, Siemiatkowski, We're Organizations: Service, Business, Telegraph Locations: Swedish
Klarna CEO on potential IPO in 2024: 'It's not impossible'
  + stars: | 2024-02-27 | by ( ) www.cnbc.com   time to read: 1 min
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailKlarna CEO on potential IPO in 2024: 'It's not impossible'Sebastian Siemiatkowski, Klarna CEO, joins 'Closing Bell Overtime' to talk an IPO timeline, the state of the consumer, it's AI partnership with OpenAI and more.
Persons: Sebastian Siemiatkowski Organizations: OpenAI
It's a chess move by one of the savviest long-term thinkers in American finance, Capital One CEO Richard Fairbank. Fairbank, who became a billionaire by building Capital One into a credit card giant since its 1994 IPO, is betting that buying rival card company Discover will better position the company for global payments' murky future. The deal, if approved, enables Capital One to leapfrog JPMorgan as the biggest credit card company by loans, and solidifies its position as the third largest by purchase volume. By 2027, the bank expects to add at least $175 billion in payments and 25 million of its cardholders onto the Discover network. The Discover network alone would be worth up to $6 billion if sold to Alphabet, Apple or Fiserv , Sakhrani wrote Tuesday in a research note.
Persons: Richard Fairbank, Marvin Joseph, It's, Fairbank, Sanjay Sakhrani, Sakhrani Organizations: Washington Post, Getty, Capital, Discover Financial, U.S, JPMorgan Chase, Independence, Discover, JPMorgan, Visa, Mastercard, American Express, One's, PayPal Locations: Wall, U.S
Shares of European online payments giant Adyen jumped on Thursday, after the company reported strong sales growth and better-than-expected profit for 2023. Here's how the company did in its full-year results:Net revenue: 1.626 billion euros ($1.75 billion), up 22% year-on-year. That's broadly in line with expectations of 1.636 billion euros, according to LSEG, formerly RefinitivEBITDA (earnings before interest, tax, depreciation, and amortization): 743.0 million euros, up 2% year-on-year. The company also said it "significantly expanded" its partnership with a single, unnamed existing digital customer, which contributed to better sales growth overall. The move intended to address investor concerns that the company was spending too aggressively on hiring while peers were cutting back on their capital expenditure.
Persons: Adyen, Jefferies Organizations: PayPal, Analysts, Spotify Locations: Amsterdam, Klarna
NEW YORK (AP) — Ever-present on the lips of Taylor Swift and the uniforms of both Super Bowl teams. The color red has gone boom as loud as TNT. The phenom that is Taylor Swift at boyfriend Travis Kelce's Kansas City Chiefs games was a red-hued wonder of a lead-up to Super Bowl LVIII. You can wear red accessories to add color to a more neutral look or throw on a red lip or red nail polish. THE RED VS. RED SUPER BOWLThe 49ers have some skin in the red fashion game, too, in running back Christian McCaffrey's fiancee, Olivia Culpo, and in Kristin Juszczyk, fullback Justin Juszczyk's wife.
Persons: Taylor Swift, Trav, Travis Kelce's, We've, we've, Pat McGrath, , Laurie Pressman, Stuart Semple, Erin Jaeger, it’s, Christian McCaffrey's, Olivia Culpo, Kristin Juszczyk, Justin Juszczyk's, Kristin, Jaeger, I’m, Sabato De Sarno, Gucci Rosso, ” Jaeger, Bianca Betancourt, Semple, Anish Kapoor, It's, , Geothe, Michel Pastoureau's Organizations: Super Bowl, TNT, Travis Kelce's Kansas City Chiefs, Media, Chiefs, San Francisco 49ers, Pat McGrath Labs, FOOTBALL AS, North America, 49ers, Swift, Vogue Locations: Taylor, British, North, Paris, Milan, China, India
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailKlarna CEO on subscription service: It further accelerates the growth of the businessSebastian Siemiatkowski, Klarna CEO, joins 'Closing Bell: Overtime' to discuss the company's subscription service, consumer spending and buy now, pay later outlook.
Persons: Sebastian Siemiatkowski
Swedish fintech firm Klarna is launching a monthly subscription plan in the U.S. to lock in its heaviest users ahead of an expected initial public offering this year, the company told CNBC. Buy now, pay later services such as Klarna and Affirm have surged in popularity in recent years as more Americans rely on a new, fintech-enabled form of credit. When Klarna users shop outside the firm's network of 500,000 retailers — at places such as Walmart, Target, Amazon and Costco — they pay $1 to $2 in transaction fees. "The main proposition of Klarna Plus right now is that you don't pay any service fees," Sandstrom said. "So if you love Klarna and if you love shopping at Target and Walmart, it makes a ton of sense financially."
Persons: David Sandstrom, Sandstrom Organizations: Swedish, CNBC, Nike, Instacart, Walmart, Target, Costco Locations: U.S, Stockholm
Yet the main IPO ETF, the Renaissance Capital IPO ETF ( IPO ), has been for sale most of the month. "For the IPO market to open up, it would help not to have our IPO ETF down 9%," he said. Forge Global maintains a Private Market Index , a measure of 75 late-stage pre-IPO companies. "This tells you valuations are getting reset in the private market," Ng told me. Can AI save the IPO market?
Persons: Matt Kennedy, Homebuilder Smith Douglas, Don Short, Salomon, Wilson, Howe Ng, Ng, Del, Waystar, Kim Kardashian's, Short, Vincent Harrison Organizations: Renaissance Capital, Nasdaq, Amer Sports, Arc'teryx, Forge, SEC, Companies, Reuters, Auto, Turo, CNBC, Microsoft, Gaming, SpaceX, Forge Global Locations: Kazakhstan, IPOs, Pitchbook
So she turned to a novel solution to get through the season: Buy now, pay later. It's tough to say how buy now, pay later fits into the country's overall debt picture. Klarna, PayPal and Affirm all declined to share buy now, pay later delinquency rates with CNBC. Affirm has said the short-term and high-velocity nature of its buy now, pay later service makes traditional credit metrics less relevant. Klarna said its global default rate for its overall business including buy now, pay later is less than 1%.
Persons: Kiki Andersen, Andersen, I've, I'm, It's, Ted Rossman, delinquencies, who've, Klarna Organizations: PayPal, CNBC, Adobe, Federal Reserve Locations: Los Angeles, U.S
Buy now, pay later plans — installment loans that allow you to spread out payments over time — aren't exactly new, but they've seen explosive growth over the last several years. AdvertisementBut Chloe Moore , a certified financial planner based in Atlanta, Georgia, says that buy now, pay later is still debt and that most people should steer clear of it. Here are three reasons why she advises her clients against using buy now, pay later:1. Since buy now, pay later is so easy to use, some consumers have multiple installment plans that they are paying in a month. If you have multiple installments that you are paying with a buy now, pay later plan, you may be eliminating any breathing room in your budget.
Persons: BNPL, Chloe Moore, , Moore Organizations: Consumer Financial Protection Bureau, PayPal, Finance Locations: Atlanta , Georgia
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