Tensions Rise Between Musk and Trump, Plus Developments in Tech and Business
In today’s ETtech Top 5, we explore the escalating tensions between Elon Musk and Donald Trump, alongside developments from the tech and business world.
Online Feud Escalates: Musk vs. Trump
The feud between billionaire Elon Musk and U.S. President Donald Trump took a dramatic turn recently, with both parties trading barbs and accusations publicly.
Turning Point in Their Relationship
Previously allies, Musk publicly criticized Trump’s “big, beautiful” Budget Bill, claiming it would inflate the U.S. fiscal deficit by trillions. In a particularly heated social media post, Musk went as far as to suggest Trump’s name appeared in the Epstein files.
Trump Strikes Back
In retaliation, Trump labeled Musk as “wearing thin,” alleging that Musk had to be “asked to leave.” He also followed through on threats to revoke government contracts and subsidies that benefited Musk’s ventures.
A Glimmer of Resolution
In a surprising turn, Musk hinted at a desire to “cool off” the conflict, signaling a potential ceasefire in their ongoing spat.
Market Reactions: Tesla’s Plunge
The backlash to the Musk-Trump feud was swift, with Tesla shares plummeting over 14%—marking their largest decline since March—and erasing $153 billion in market value. However, following a slight easing of tensions, Tesla shares rebounded during pre-market hours on Friday.
Biopeak’s Successful Funding Round
In other news, wellness and longevity startup Biopeak announced it has raised $3 million in seed funding from prominent investors, including Ranjan Pai’s Claypond Capital and Accel’s Prashanth Prakash.
Rishi Pardal, CEO, Biopeak
Significance of this Funding
Biopeak aims to redefine preventive healthcare in India by using AI and diagnostics to make longevity mainstream. According to co-founder and CEO Rishi Pardal, the startup offers predictive healthcare solutions rather than reactive ones.
Expansion Plans
- First clinic launched in Bengaluru.
- Plans for expansion to major metros within a year.
- Utilizes advanced diagnostics, including MRI and CT scans.
Emerging Trends in India’s Longevity Sector
With India’s longevity scene heating up, several initiatives, including Zomato’s Deepinder Goyal’s new performance optimization venture and partnerships with renowned institutions, are making strides toward improved health technologies.
Investment Insights
Delhi-based venture capital firm HealthKois has plans for a $400 million fund, aimed at backing innovative healthcare companies in India. Meanwhile, health-tech firm Medibuddy is eyeing $130 million in a pre-IPO capital round.
Amazon’s Job Cuts in the Books Division
On another front, Amazon has announced job cuts affecting its books division, impacting under 100 employees across its Kindle and Goodreads teams.
Reasons Behind the Layoffs
The layoffs aim to improve operational efficiency and streamline business operations, according to Amazon officials.
Infosys Introduces Employee Recruitment Incentives
In a bid to boost morale, IT giant Infosys has launched a new incentive program for employees who assist with recruitment interviews, offering cash rewards for each interview conducted.
Policy Details
- 700 points, equivalent to Rs 700, for each interview.
- Aimed at employees conducting interviews for lateral hiring.
- Participants must be outside HR and top leadership roles.
Motivation Behind the Initiative
This scheme responds to employee discontent following modest pay hikes and performance bonuses. While uncommon, similar incentives are in place at other major firms like Honeywell and Accenture.
OpenAI Challenges NYT Lawsuit Order
Lastly, OpenAI has announced plans to appeal a court order in a lawsuit filed by the New York Times, which demands the preservation of all user chats on ChatGPT.
Sam Altman, CEO, OpenAI
Potential Implications
OpenAI’s CEO, Sam Altman, criticized the order as an overreach that compromises user privacy, while asserting it could set a dangerous precedent regarding the confidentiality of AI interactions.
Who Will Be Affected?
- ChatGPT Free, Plus, Pro, and Team subscribers may be impacted.
- OpenAI API users might experience changes to their data handling depending on existing agreements.
Conclusion
The recent developments showcase a complex landscape in technology and business, highlighting the intricate relationship between high-profile figures and the implications of their actions on the market and public perception.
FAQ
- What triggered the feud between Musk and Trump?
The feud intensified after Musk criticized Trump’s Budget Bill for inflating the U.S. deficit. - How did the market react to the Musk-Trump feud?
Tesla shares fell over 14%, erasing $153 billion in market value but later showed some recovery. - What is Biopeak focused on?
Biopeak aims to offer predictive healthcare solutions tailored to South Asian biology using AI and diagnostics. - Why did Amazon cut jobs in its books division?
The layoffs are part of efforts to improve operational efficiency and simplify processes within the organization. - What incentives has Infosys introduced for recruitment?
Infosys has introduced cash rewards for employees who participate in recruitment interviews to boost morale.
