Weekly Snapshot - October 07, 2024

Welcome to the latest edition of the Weekly Snapshot! Get ready to dive into this week’s highlights and insights. Don’t forget to share with anyone who might find it interesting!

?? Yes, they can

? Why does it matter?

Reopening a nuclear power plant that was completely shut down, as Microsoft will do, is unprecedented. The Palisades plant in Michigan, set to reopen by 2025, will be the first. This signals a fundamental trend of our time: the world needs clean energy, and AI is hungry for it. Big tech companies have committed to the energy transition, but where will the energy come from? It’s hard to imagine a scenario where nuclear isn't part of the equation. New technologies are emerging in the nuclear space—small reactors, fusion energy, and the revival of old nuclear plants. Expect more from the nuclear front.

? My thoughts on it

Three Mile Island is emblematic—the accident there was the worst in U.S. commercial nuclear power history. There’s fear about nuclear energy, as seen in movies like The China Syndrome and documentaries on Chernobyl, Fukushima, and Three Mile Island. But this debate is necessary. We need energy... and we fly planes despite of the risks—we’ve learned to manage risks in critical technologies. This announcement also highlights the influence and resources that big tech companies wield today. Big tech is taking on big projects and investing in research. Currently, 80% of U.S. R&D and about a third of basic science research comes from industry. The rise of big tech shapes a new reality and leaves many questions on the table.

? Read more here ??

https://bit.ly/4eXhEyt

?? Japan has a new Prime minister

? Why does it matter?

The election of the new Prime Minister in Japan marks a significant shift in economic policy, signaling the end of Abenomics. Prime Minister Ishiba also suggests a tougher stance on China and an expanded mandate for the Self Defense Forces, which could oversee US bases in Japan and potentially establish bases in the US. Ideas like forming a NATO-like alliance in the Pacific are unlikely to sit well with China. This is not only significant for Japan but also a critical global security issue. The administration will likely face pressure from abroad, and the coalition's stability will be tested.

? My thoughts on it

Japan needs change. It no longer has the economic strength it once did and has become a follower in key areas like semiconductors. The issue with China isn't just a Japanese or American concern—it’s a global one, and we will all feel the consequences. Paying attention is crucial. The big questions are: (i) Is there clarity on the structural transformations needed to revitalize the economy and society? (ii) Can a relatively weak political coalition undertake such changes?

? Read more here ??

https://bit.ly/3YebELZ

https://bit.ly/3zCcvwM

?? No time to loose in China

? Why does it matter?

Semiconductors are crucial for any nation aiming to play in the major leagues. Last week’s announcements of new advanced chips designed and manufactured in China matter a lot. The prospect of China catching up in this area is remarkable. The computer chip competition between China and the U.S. is one of the most significant of our times. It’s possible that U.S. sanctions have actually accelerated China's semiconductor development. This is an intricate dynamic, with lessons to be learned by policymakers, business strategists, entrepreneurs, investors, and scientists alike. Facts are unfolding.

? My thoughts on it

China has set up several specialized funds to advance technology and drive growth in various business areas. But how much was invested? Was the money used wisely? Perhaps the most relevant question isn’t about that, but about the value China is gaining—or even more, what it would lose if it gave up on advanced chip technology. From a distance, and given my limited expertise in semiconductors, it’s hard to tell what’s real or not. I’d love to see unbiased technical assessments of China's new chips. Will experts in the West have access to them? This is a long game—stay tuned. A curiosity: how did China achieve this without Western lithography technology? Any thoughts?

? Read more here ??

https://bit.ly/3U1jxBV

https://bit.ly/3XULWLa

?? This past week in history

• Oct 1: Ford introduced the Model T in Detroit (1908)

?? To keep an eye on this week

• Russia: How will they react to the bombing in Syria?
• Elections in Brazil: Any learnings about the role of social media in public debate?
• Amazon Prime Big Deal Days: Consumer spending patterns during this period are crucial for forecasting retail performance in Q4.