&w=3840&q=100)
Trump wants Musk's firms to thrive in US, says he won't pull subsidies
Reuters
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
7 minutes ago
- Time of India
Trump, EU's Von Der Leyen cite conflicting details on trade deal
President Trump and European Commission President Von der Leyen's new trade agreement reveals discrepancies in key details, highlighting the challenges in its implementation. The EU agreed to a 15% tariff on most exports to the US, but disagreements persist regarding pharmaceuticals, steel, and aluminum. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads President Donald Trump and European Commission President Ursula von der Leyen appear to differ on some key details in their new trade agreement, underscoring the difficulty they may have in turning this deal into a European Union said it would accept a 15% tariff on nearly all its exports to the US. Trump told reporters that the bloc also agreed to open up its 'countries to trade at zero tariff.'After he met with von der Leyen Sunday, Trump said that the deal would not include pharmaceuticals, a contentious point in the negotiations, seeming to imply they would be subject to a higher a separate news conference, von der Leyen said, 'The EU agreed we have 15% for pharmaceuticals.' But she added, 'Whatever decisions later – by the president of the US – that's on a different sheet of paper.'Senior US officials later said that the two sides agreed on a 15% tariff level for the EU's pharmaceutical exports. A separate Section 232 probe on pharmaceuticals is still coming over the next three weeks, but the EU tariff level will remain at 15%, the officials US has initiated investigations into whether the import of certain products, such as aerospace and semiconductors, poses a national security threat to the country. This could lead to separate tariffs on some accords typically require years of negotiations and can run thousands of pages long. Talks on the preliminary agreement clinched on Sunday began in April and concrete details appear EU and US also diverged on another controversial sector, with Trump saying that the 50% tariff on steel and aluminum 'stays the way it is.' Von der Leyen said that metal 'tariffs will be cut and a quota system will be put in place.'The deal doesn't cover the EU's steel and aluminum exports, which will remain subject to 50% tariffs, according to senior US officials. Aerospace tariffs, meanwhile, will remain at 0% pending the outcome of a Section 232 probe, the officials der Leyen argued that she won certainty and stability for companies on both sides of the Atlantic. But it's far from clear that the EU and US will be able to iron out all their differences on the many contentious issues yet to deal with.'The focus will now turn to interpretation and implementation risk, posing a mix of political and technical questions,' Carsten Nickel, deputy director of research at Teneo, wrote in a note. 'Given the nature of the deal, major uncertainties are likely to persist.'
&w=3840&q=100)
First Post
7 minutes ago
- First Post
Why is TCS letting go of 12,000 of its employees? Is AI the reason?
Tata Consultancy Services (TCS) announced that it would reduce its global workforce by approximately two per cent, a move that will affect over 12,000 employees, primarily at the middle and senior levels, over the next year. The IT giant said the decision is part of a broader strategy to make TCS 'more agile and future-ready' read more Tata Consultancy Services, one of India's biggest IT companies, has decided to axe 2 per cent of its global workforce, impacting about 12,000 jobs in the financial year 2025-26, the company announced on Sunday. This marks one of the biggest workforce shakeups in the company's history. Those affected include a large number of mid-to-senior-level professionals, although some junior-level staff have also been impacted, especially those who have been on the bench for an extended period. STORY CONTINUES BELOW THIS AD TCS chief executive officer and managing director K Krithivasan called the decision a hard but necessary reckoning. The development has left many wondering, why is the IT behemoth known for its stability among most Indians, suddenly letting go of thousands? Is this just about performance, or is the rise of artificial intelligence playing a role? Here's what we know. Why is TCS firing 12,000 employees? According to Reuters, TCS, the most profitable company in the Tata Group, is going through a major restructuring phase as it expands into new markets, adopts fresh technologies, and leans into AI integration. As part of this shift, around 12,200 employees will lose their jobs, even as the company insists it's doing everything possible to minimise disruption. 'This transition is being planned with due care to ensure there is no impact on service delivery to our clients,' the company said, reports Reuters. The layoffs won't be geography or domain-specific and will be concluded over the next three quarters of FY26. Earlier this month, Executive Vice President and Chief Human Resources Officer (CHRO) Milind Lakkad stated in a company call that the workforce stood at 6,13,069 by the end of the first quarter. 'Net attrition during the quarter was over 5,000 employees. We have honoured all the job offers, and we'll do so for the rest of the year. Lateral hiring will be recalibrated based on the demand outlook,' he was quoted as saying in The Indian Express report. STORY CONTINUES BELOW THIS AD Lakkad also mentioned that TCS plans to keep investing in its business to stay in sync with the fast-evolving needs of its clients. Is AI the reason behind TCS's job cuts? In an exclusive conversation with Moneycontrol, TCS CEO K Krithivasan explained that the job cuts are not driven by artificial intelligence efficiency gains but are actually a part of a larger vision that aims to make the company 'more agile and future-ready'. 'It is not because that we need less people. We will continue to look for high (quality) talent, acquiring talent, training talent. That continues to happen. This is more about where there is a feasibility of deployment,' he said. TCS CEO K Krithivasan explained that the job cuts are not driven by AIefficiency gains but are actually a part of a larger vision that aims to make the company 'more agile and future-ready' in the face of rapid technological shifts. Image for Representation. Reuters TCS has already trained over 550,000 employees in basic AI skills and around 100,000 in advanced AI, hoping to prepare its workforce for the next tech wave. However, not all employees, especially those in senior positions, have been able to transition smoothly into new-age roles. The challenges are particularly stark for those accustomed to older project models. STORY CONTINUES BELOW THIS AD 'When we did programs in the old waterfall method, we had multiple leadership teams. That's changing,' Krithivasan noted. Despite this, experts suggest that AI and automation are silently reshaping the job market in IT. Roles like manual testing are increasingly being replaced by AI, and those who struggle to keep up with the pace of technological change are the ones most at risk. And this trend isn't unique to TCS. For the past couple of years, major tech companies have been slashing roles and leaning into automation. Earlier, Silicon Valley giant Microsoft said that roughly 30 per cent of the code is now AI-generated. What will TCS offer the affected employees? TCS has said the layoffs won't happen abruptly. Instead, the company plans to carry them out in a phased and considerate manner, ensuring those impacted are given a chance at redeployment within the company before any final decisions are made. 'It will be coming through the year. We won't do it in a hurry. We will first talk to the people that could be impacted. We will provide them an opportunity. When we are not able to provide the opportunity, then we will do what we need to do,' Krithivasan told Moneycontrol. STORY CONTINUES BELOW THIS AD For those who do end up leaving, TCS has promised to support them through a structured exit process. The company said it will follow its standard HR policies, which include notice-period pay, extended insurance coverage, severance benefits, outplacement support, and access to counselling services. 'We will do it in a very, very compassionate way,' Krithivasan added. While the company hasn't shared specific dates, the entire process is expected to roll out over the course of FY26. With input from agencies
&w=3840&q=100)
Business Standard
7 minutes ago
- Business Standard
Asian shares mixed as Wall Street rally lifts US stocks to fresh records
Stock markets in Asia were mixed on Monday after US stocks rose to more records as they closed out another winning week. US futures and oil prices were higher ahead of trade talks in Stockholm between US and Chinese officials. European futures rose after the European Union forged a deal with the Trump administration calling for 15 per cent tariffs on most exports to the US. The agreement announced after President Donald Trump and European Commission chief Ursula von der Leyen met briefly at Trump's Turnberry golf course in Scotland staves off far higher import duties on both sides that might have sent shock waves through economies around the globe. Tokyo's Nikkei 225 index lost 1 per cent to 41,056.81 after doubts surfaced over what exactly the trade truce between Japan and US President Donald Trump, especially the $550 billion pledge of investment in the US by Japan, will entail. Terms of the deal are still being negotiated and nothing has been formalized in writing, said an official, who insisted on anonymity to detail the terms of the talks. The official suggested the goal was for a $550 billion fund to make investments at Trump's direction. Hong Kong's Hang Seng index gained 0.4 per cent to 25,490.45 while the Shanghai Composite index lost 0.2 per cent to 3,587.25. Taiwan's Taiex rose 0.3 per cent. CK Hutchison, a Hong Kong conglomerate that's selling ports at the Panama Canal, said it may seek a Chinese investor to join a consortium of buyers in a move that might please Beijing but could also bring more U.S. scrutiny to a geopolitically fraught deal. CK Hutchison's shares fell 0.6 per cent on Monday in Hong Kong. Elsewhere in Asia, South Korea's Kospi was little changed at 3,195.49, while Australia's S&P/ASX 200 rose 0.3 per cent to 8,688.40. India's Sensex slipped 0.1 per cent. Markets in Thailand were closed for a holiday. On Friday, the S&P 500 rose 0.4 per cent to 6,388.64, setting an all-time for the fifth time in a week. The Dow Jones Industrial Average climbed 0.5 per cent to 44,901.92, while the Nasdaq composite added 0.2 per cent, closing at 21,108.32 to top its own record. Deckers, the company behind Ugg boots and Hoka shoes, jumped 11.3 per cent after reporting stronger profit and revenue for the spring than analysts expected. Its growth was particularly strong outside the United States, where revenue soared nearly 50 per cent. But Intell fell 8.5 per cent after reporting a loss for the latest quarter, when analysts were looking for a profit. The struggling chipmaker also said it would cut thousands of jobs and eliminate other expenses as it tries to turn around its fortunes. Intel, which helped launch Silicon Valley as the U.S. technology hub, has fallen behind rivals like Nvidia and Advanced Micro Devices while demand for artificial intelligence chips soars. Companies are under pressure to deliver solid growth in profits to justify big gains for their stock prices, which have rallied to record after record in recent weeks. Wall Street has zoomed higher on hopes that President Donald Trump will reach trade deals with other countries that will lower his stiff proposed tariffs, along with the risk that they could cause a recession and drive up inflation. Trump has recently announced deals with Japan and the Philippines, and the next big deadline is looming on Friday, Aug 1. Apart from trade talks, this week will also feature a meeting by the Federal Reserve on interest rates. Trump again on Thursday lobbied the Fed to cut rates, which he has implied could save the US government money on its debt repayments. Fed Chair Jerome Powell has said he is waiting for more data about how Trump's tariffs affect the economy and inflation before making a move. The widespread expectation on Wall Street is that the Fed will wait until September to resume cutting interest rates. In other dealings early Monday, US benchmark crude oil gained 24 cents to $65.40 per barrel. Brent crude, the international standard, also added 24 cents to $67.90 per barrel. The dollar rose to 147.72 Japanese yen from 147.71 yen. The euro slipped to $1.1755 from $1.1758. (Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
