Monday, 1 May 2023

Hakeem Jeffries is enjoying an early honeymoon leading House Democrats. But one day, he'll have to make 'hard commitments.'

House Minority Leader Hakeem Jeffries is a Democrat from New York.
House Minority Leader Hakeem Jeffries is a Democrat from New York.
  • House Democrats say Hakeem Jeffries is a better listener and is more consensus-oriented than Pelosi.
  • He's forged strong bonds with swing-district Democrats who voted against Pelosi's speakership.
  • But the real test for Jeffries, progressives warn, will come when their party retakes the majority.

Hakeem Jeffries has officially been their new leader for just four months, and House Democrats are still trying to figure out what the future holds for their caucus.

The New York Democrat, who rank-and-file lawmakers have described as a gifted orator, a highly attuned listener, and a dogged consensus builder, is enjoying a period of goodwill following the end of Nancy Pelosi's 20-year tenure as the House Democratic leader.

There's one big reason for it: House Democrats can't pass any of their own bills right now. And interviews with more than a dozen of those lawmakers revealed that the real test for the House Minority Leader will be how he leads the caucus when his party holds the majority again.

"I think it's good that he gets to start out with the minority," said Rep. Scott Peters of California, who arrived in Congress alongside Jeffries in 2012. "There's less pressure. You know you're going to lose every vote."

"Hakeem is still building his alliances here," said Rep. Angie Craig, who represents a Minnesota swing district. "He's figuring out who he wants, around him, to take guidance from."

Perhaps the biggest early coup for Jeffries has been winning over the party's politically vulnerable, intermittently restive "front-line" members — including those who had long had an adversarial relationship with Pelosi, including Rep. Abigail Spanberger of Virginia.

"He's always receptive to people's opinions, he will always hear people out," said Spanberger as she described the "significant differences" between Jeffries and Pelosi. "He's encouraged dialogue."

But while progressives spoke warmly about their new leader, there's a history of distrust between Jeffries and members of the party's furthest-left flank. And when it's time to elect him to the position of Speaker, progressives are likely to demand hard commitments from him, including on committee assignments and scheduling floor votes on bills regarding Medicare For All and tuition-free public college, in exchange for their votes.

Pelosi and Jeffries after she announced she would step down from party leadership on November 17, 2022.
Pelosi and Jeffries on the House floor after she announced she would step down from party leadership on November 17, 2022.

"The fact that he didn't have to go through an election, the fact that there was sort of a coronation, I think that he's gonna have to make real concessions to that wing," said one progressive lawmaker who was granted anonymity to speak freely about internal party matters. 

Still, don't expect a Kevin McCarthy-level meltdown from his caucus or any of the personal, vitriolic infighting that took place among House Republicans during the first week of this year.

"It won't be 14 ballots, but it won't be easy," the lawmaker added.

Jeffries declined to be interviewed for this article. Pelosi's office did not respond to repeated inquiries.

'He gets it'

Jeffries, 52, has enjoyed a rapid ascent to the top of the Democratic caucus.

Born in Brooklyn to a social worker and a substance-abuse counselor, Jeffries graduated in 1992 from Binghamton University, where he was active in campus politics. 

Jeffries speaks during impeachment proceedings against President Donald Trump in the Senate chamber on January 23, 2020.
Jeffries speaks during impeachment proceedings against President Donald Trump in the Senate chamber on January 23, 2020.

He later broke into elected politics in 2006, when he was elected to the New York State Assembly after an unsuccessful attempt six years earlier. 

He then ran for and won election to a Brooklyn-based US House district in 2012, and just four years later, he joined party leadership as a co-chair of the party's messaging apparatus. 

In 2018, Jeffries was elected as the party's caucus chair, a messaging-centric role that serves as a stepping-stone to the top job. He defeated Rep. Barbara Lee of California — an iconic progressive known for her lone vote against authorizing the use of military force in the wake of 9/11 — in a contentious and close election marred by rumors that Lee had backed Rep. Alexandria Ocasio-Cortez's insurgent primary campaign earlier that year.

His chief legislative accomplishment is the First Step Act, a bipartisan package of criminal-justice reforms that former President Donald Trump signed into law in 2018. He then served as an impeachment manager during Trump's first impeachment in 2020, playing a high-profile role that naturally suited his skills as a communicator.

In November, when Pelosi announced that she would step down from leadership, Jeffries immediately announced his bid to succeed her — and faced no opposition. He was formally elected to the job as House Democratic Leader just two weeks later, becoming the first Black lawmaker to lead a party in Congress. 

"I take great pride in calling him 'Leader Jeffries,'" said Rep. Steven Horsford of Nevada, the chair of the Congressional Black Caucus who also first arrived in Congress at the same time as Jeffries. "I believe he's the best communicator that we have in our party."

"I don't want to come across as disrespectful, but he's like a brother," said Rep. Jamaal Bowman of New York. "He's from New York, he's of the hip-hop culture, just like me — we were both raised in the culture."

"When I mention Hakeem's name, particularly to Black audiences in the Bronx, it elicits a palpable enthusiasm," said Rep. Ritchie Torres of New York. "There is immense pride in what he represents and what he has achieved."

For others, such as Rep. Marcy Kaptur of Ohio — who has served under six different House Democratic leaders since her election to Congress in 1982 — Jeffries represents a return to the party's working-class roots, particularly after 20 years of having a leader from San Francisco with an estimated net worth of over $100 million.

"He comes from the working class," said Kaptur. "You have to grow up in it to properly relate, and to understand, and he has that depth."

The long-serving Ohio lawmaker, who maintains a chart that lists every US House district by median income, said Jeffries "pored over" the document when she first gave him a copy.

According to that chart, Pelosi's district is the seventh-wealthiest in the country. Jeffries' is the 371st.

"So he gets it," said Kaptur, rapping her fist on the table for effect. "He gets the struggle."

An 'unusually gifted listener'

After taking the reins from Pelosi, Jeffries is earning plaudits for his ability to listen closely to his members and foster understanding between Democrats of different stripes.

"It's the secret of his success," said Torres. "He is an unusually gifted listener."

Some saw Pelosi, by contrast, as less accessible to the rank-and-file members and less interested in taking the time to work through disputes — maintaining a "pretty centralized model," according to Peters.

"There was a formality and a seniority to her office that gave it kind of this vaunted quality," said Rep. Elissa Slotkin, a swing-district lawmaker now running for US Senate in Michigan. "You could ask for a meeting, but you weren't always going to automatically get it within the time that you needed. Hakeem is just much more approachable for a pull-aside on the House floor, for a quick text exchange, for a quick phone call."

Reps. Spanberger and Slotkin have both offered high praise for Jeffries — after refusing to support Pelosi's leadership bid in both 2019 and 2021.
Reps. Spanberger and Slotkin have both offered high praise for Jeffries — after refusing to support Pelosi's speakership bid in both 2019 and 2021.

"It'd be hard to say she was a consensus builder," said Craig. "She just understood what buttons to push across the ideological spectrum in order to get things done with a very slim majority."

Over the last several months, Republicans have held floor votes on bills that have, at times, put Democrats in tough spots, including a resolution denouncing the "horrors" of socialism and nullifying an overhaul of Washington, DC's criminal code.

That's forced swing-district Democrats, in particular, to vote for the Republican-proposed bills.

But intraparty feuding about those measures has been at a minimum, lawmakers have said, because the new leadership team has done more to foster trust and understanding between members.

Spanberger, elected in December as the party's "battleground leadership representative," recalled an instance in the early weeks of the year when Jeffries' leadership team asked her to address the caucus and explain to other House Democrats why some front-line members might be about to vote for a GOP bill. 

"There were always very different views within the Democratic caucus on people who voted their district," said Slotkin. "Some people understood it but didn't like it — and told you that. Some people never understood it, particularly people who are from deeply blue districts."

Spanberger, for her part, said the discussion contributed to an atmosphere of mutual understanding that she felt had been lacking before, allowing members to "generally understand each other or generally be on the same page, even if they don't agree."

Jeffries appears to have even applied those same principles toward his chief congressional adversary, House Speaker Kevin McCarthy, including reportedly texting with his Republican counterpart and holding regular meetings with McCarthy to keep lines of communication open.

'He's going to have to build that trust'

Four years after Jeffries defeated her, Lee — who's now running for California's open US Senate seat — said it's all water under the bridge now. "I think we're the grown-ups in the room," she said.

But tensions remain between Jeffries and some of his ultra-progressive colleagues, even as he remains a co-sponsor of Medicare For All and remains a member of the Progressive Caucus. In 2021, he told The Atlantic that there would "never be a moment where I bend the knee to hard-left democratic socialism."

That same year, he cofounded "Team Blue PAC," an effort to protect Democratic incumbents from progressive primary challengers. Though the group's expenditures ended up being minimal by the standards of electoral politics, the mere presence of the PAC and its endorsements drew accusations of "bullying" from the insurgent left.

"I think there are places where he will have to work hard to build relationships," said Rep. Pramila Jayapal, the chair of the Congressional Progressive Caucus, adding that she feels "he has that willingness" based on her own interactions with Jeffries.

While the official progressive caucus currently accounts for nearly half of the broader Democratic caucus, a key group for Jeffries to focus on will be the eight or so "Squad" members, some of which consider themselves to be Democratic Socialists.

Jeffries and Ocasio-Cortez speaking on the House floor on January 3, 2023.
Jeffries and Ocasio-Cortez speaking on the House floor on January 3, 2023.

"He's going to have to build that trust with everyone, and that doesn't exclude progressives," Jayapal added. "There are going to be things that members of our caucus disagree on. I think what's important is: Does he respect, and does he work to build the relationships?"

In November, as Jeffries faced no opposition to becoming the Democratic leader on the heels of Pelosi's retirement, Rep. Alexandria Ocasio-Cortez told The New York Times there was "a lot of healing that needs to be done in our caucus."

When Insider asked in March how she assessed Jeffries' tenure as leader so far, Ocasio-Cortez — who is said to have once mulled backing a primary challenger to the new leader — declined to speak about it at length.

"You know, I think it's so early," she said. "I don't think there's been any catastrophes, so we're proceeding in good faith."

'Hard commitments once we're in the majority'

As McCarthy struggled to win the votes to become Speaker of the House in early January, Jeffries managed to hold the votes of all 212 members of his caucus for 15 straight ballots, something several Democrats noted with pride when speaking with Insider. 

But the Democrats' failure to hold their majority in the House made that feat easier.

"Hakeem, I've got to warn you," said McCarthy after finally winning the gavel. "Two years ago, I got 100% of the vote from my conference."

Coming just a handful of seats short in 2022, Democrats are exuding confidence in their ability to win back the majority next year. But progressives openly acknowledge that holding that majority — particularly if it's slim — will bring new challenges. 

"We haven't had any actual moments that have called for a display of leadership yet," said Rep. Ilhan Omar of Minnesota, the deputy chair of the progressive caucus.

Rep. Jamaal Bowman said Jeffries is "like a brother" to him. But he also said progressives like him will "absolutely" be making demands when their party retakes the majority.
Rep. Jamaal Bowman said Jeffries is "like a brother" to him. But he also said progressives like him will "absolutely" be making demands when their party retakes the majority.

"There hasn't been that much contention, because it's sort of opposition to crazy Republican proposals on the floor," said Rep. Ro Khanna of California, a longtime ally of the insurgent progressive wing of his party. "It's a much harder task when you're having to say: what should the agenda of the party be if we're in the majority?"

And that agenda, according to progressives, will include certain demands.

"I don't know what those demands are going to be," said Bowman. "But absolutely, yes."

Jayapal, for her part, identified "getting progressive bills on the floor" and "representation on key committees" as key priorities in future negotiations with Jeffries. "The relationship is incredibly important, but so is the action," she said.

"I mean, the spectrum [of demands] is huge, I think," said Omar. "I can tell you; those conversations are not easy."

"I think the question is still: How will we advance our progressive priorities on Medicare For All, free public college, and a Green New Deal?" Khanna added. "Progressives will want hard commitments once we're in the majority."

When the day arrives, it will be Jeffries' job to steer a fractious ship — and prevent the intraparty enmity that defined McCarthy's first days in the majority.

Read the original article on Business Insider


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It's JPMorgan to the rescue

Welcome back! Dan DeFrancesco in NYC.

Today, we've got stories on job cuts at Lazard, why the payment industry is broken, and how to get a jump start on Mother's Day.

But first, the banking crisis that just won't end.


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Illustration of Jamie Dimon on a white horse extending an arm out

1. It's déjà vu all over again.

Stop me if you've heard this one before: A regional bank that caters to a specific set of clientele was saved at the 11th hour.

JPMorgan Chase is buying First Republic Bank after it was put into receivership from regulators earlier today. It's the third US bank to fail since March, following Silicon Valley Bank and Signature Bank. 

Similar to SVB, First Republic had strong ties to a specific clientele: the rich. The California-based lender lured wealthy customers with ultra-low-rate mortgages that ended up backfiring as rates skyrocketed over the past year.

The deal represents another chance for JPMorgan Chase CEO Jamie Dimon to come to the rescue. As Dimon said in the press release announcing the deal: "Our government invited us and others to step up, and we did."

For more details on JPMorgan's acquisition of First Republic, click here.

Plus:


In other news:

sandra bullock oceans 8 casino

2. Lazard is writing off 2023 for dealmaking.  The investment bank, which reported a loss for its first quarter,  is cutting its workforce by 10% this year. "Candidly, things have really deteriorated," Lazard CEO Ken Jacobs said. Why its Wall Street rivals could follow suit.

3. Payments are hard. Whether it's between businesses or consumers, moving money is tricky. Experts at a recent fintech conference discussed the issues that plague the industry, from fraud to political hurdles. Here's some of the biggest point points. And for more on the fraud issues fintechs seem to constantly grapple with, click here.

4. The Fed blew it! A new report by the Federal Reserve on the collapse of Silicon Valley Bank found that it didn't address issues at the bank soon enough. (No kidding!) Read more on the report in The Wall Street Journal. One issue regulators faced: The Fed and FDIC both feel they were too short-staffed, Reuters reports.

5. Credit Suisse is offering to pay extra for a select few to stay. Nothing like a little cash to make a bad situation seem tolerable. The bank has offered retention bonuses to some employees it views as vital to combining Credit Suisse with UBS, Bloomberg reports. More on what is being offered.

6. The wife of the top judge in the US reportedly made a boatload of money recruiting for law firms. Jane Roberts, Chief Justice John Roberts' spouse, made $10.3 million in commissions between 2007 and 2014 recruiting attorneys for elite law firms and corporations, according to internal documents from her employer. Here's why a whistleblower is questioning the ethics of it. 

7. This former Citadel quant is now fighting for the little guy. Dave Lauer is the cofounder of the advocacy group We the Investors, which is in favor of making changes to US market structure, The Wall Street Journal reports. More on what he's pushing for.

8. Steve Cohen's next adventure: Casinos. The billionaire founder of Point72 and New York Mets owner has his eyes set on nabbing one of the three licenses to build a casino in New York City, Bloomberg reports. Here's why he's willing to spend big for it.

9. ChatGPT + Microsoft Excel: A match made in heaven. We break down how you can use the buzzy chatbot to improve your Excel skills. Learn more here.

10. Get a head start on Mother's Day. May 14 will be here before you know it. Here's a guide of some fool-proof gifts. Check them out.


Curated by Dan DeFrancesco in New York. Feedback or tips? Email ddefrancesco@insider.com, tweet @dandefrancesco, or connect on LinkedIn. Edited by Jeffrey Cane (tweet @jeffrey_cane) in New York.

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Jamie Dimon says JPMorgan rescued First Republic because the government asked his bank 'to step up, and we did'

Jamie Dimon, Chairman and CEO of JPMorgan Chase & Co., speaks at the Economic Club of Washington September 12, 2016 in Washington, DC. Dimon joined a discussion on the state of U.S., global and regional economies.
Jamie Dimon is CEO of JPMorgan.
  • Jamie Dimon says JPMorgan bought First Republic after the US government asked it to "step up."
  • The bank picked up most of First Republic's assets, including about $92 billion in deposits.
  • First Republic was taken over by regulators days after revealing the extent of its run on deposits.

Jamie Dimon said JPMorgan's acquisition of First Republic came after the US government asked the bank to "step up" in a deal that will "modestly" benefit America's biggest bank.

JPMorgan acquired a substantial majority of First Republic's assets after the regional lender was seized by the Federal Deposit Insurance Corporation (FDIC). 

The bank's stock price jumped as much as 4.2% in pre-market trading following the announcement early Monday, with JPMorgan saying it would pick up $92 billion in customer deposits. 

"Our government invited us and others to step up, and we did," JPMorgan CEO Dimon said in a press release.  

"Our financial strength, capabilities and business model allowed us to develop a bid to execute the transaction in a way to minimize costs to the Deposit Insurance Fund.

"This acquisition modestly benefits our company overall, it is accretive to shareholders, it helps further advance our wealth strategy, and it is complementary to our existing franchise."

First Republic was caught up by the collapse of Silicon Valley Bank (SVB) in early March as investors cast doubt on its loan book, wiping out most of the bank's stock market value.

While a $70 billion credit line from the likes of JPMorgan and the Federal Reserve kept the wolves from the door, last week's first-quarter earnings release revealed the extent of the run on the San Francisco-based bank. 

Deposits fell 41% in the first three months of 2023 to $104.5 billion, sending its share price plummeting further. With no white knight riding to its rescue, First Republic fell into FDIC receivership at a cost of $13 billion to the regulator.

JPMorgan was reported to be in contention with competitor PNC Financial Group to take control of First Republic following its collapse, after being heavily involved in attempts to help rescue the ailing lender.

In addition to most of First Republic's deposits, JPMorgan will pick up about $173 billion in loans and about $30 million of securities. It said it won't assume First Republic's corporate debt or preferred stock.

JPMorgan said it will record a post-tax gain of approximately $2.6 billion, which doesn't reflect a $2 billion restructuring bill anticipated over the next 18 months.

First Republic's shares slumped more than 40% to $2.10 in pre-market trading, while JPMorgan rose 2.5% to $141.70.

Dimon will host a call with reporters at 8 a.m. ET to give more details of the acquisition.

Read the original article on Business Insider


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Jack Ma, who disappeared from public view in 2020, just accepted a teaching position in Japan. Here's how the Alibaba and Ant Group founder got started and amassed a huge fortune.

Jack Ma
Jack Ma.
  • Jack Ma, the billionaire founder of Alibaba and Ant Group, accepted a teaching role in Japan.
  • Ant Group said Ma would give up control of the fintech company amid closer scrutiny from Beijing.
  • He grew up poor and faced multiple job rejections but amassed billions. Here's a look at Ma's life.

Alibaba and Ant Group founder Jack Ma, who disappeared from public view in 2020 and resurfaced in Thailand in January, has accepted a teaching role in Japan. 

Ma is expected to conduct research on sustainable agriculture and food production, Tokyo College said in an announcement on May 1.

Jay Fai restaurant in Bangkok, Thailand, posted a photo of Ma when he resurfaced. The caption read: "Incredibly humble, we are honored to welcome you and your family to Jay Fai's."

The billionaire faced a crackdown from Chinese regulators in 2020 that resulted in an antitrust investigation, a suspended IPO, and Ma losing $12 billion of his fortune in just a few months.

The billionaire has reportedly been laying low amid intense scrutiny. His net worth is now estimated to be $33 billion, per Bloomberg Billionaires Index.

This isn't Ma's first rodeo facing difficulties, however. He grew up poor in communist China, failed his university entrance exam twice, and was rejected from dozens of jobs, including one at KFC, before finding success with his third internet company, Alibaba.

Here's how Ma got his start and made his fortune.

Jillian D'Onfro, Charles Clark, and Taylor Nicole Rogers contributed to an earlier version of this post.

Jack Ma — born Ma Yun — was born on September 10, 1964, in Hangzhou, southeastern China. He has an older brother and a younger sister.
jack ma
Jack Ma in 2014.

 Source: 60 Minutes, USA Today

He and his siblings grew up at a time when communist China was increasingly isolated from the West, and his family didn't have much money when they were young.
Hangzhou china
Hangzhou, China, where Ma was raised.

 Source: 60 Minutes, USA Today

Ma was scrawny and often got into fights with classmates. "I was never afraid of opponents who were bigger than I," he recalls in "Alibaba," a book by Liu Shiying and Martha Avery.
Jack Ma

Source: USA Today, Business Insider

As a kid, Ma liked collecting crickets and making them fight, and was able to distinguish the size and type of cricket just by the sound it made.
alibaba Jack Ma
Ma in 2016.

Source: USA Today, Business Insider

After President Nixon visited Hangzhou in 1972, Ma's hometown became a tourist destination. As a teenager, Ma started waking up early to visit the city's main hotel, offering visitors tours of the city in exchange for English lessons. The nickname "Jack" was given to him by a tourist he befriended.
Richard Nixon
Richard and Pat Nixon.

Source: 60 Minutes

After high school, he applied to go to college — but failed the entrance exam twice. He finally passed on the third try, going on to attend Hangzhou Teachers Institute. He graduated in 1988 and started applying to as many jobs as he could.
jack ma

Source: 60 Minutes

He received more than a dozen rejections — including from KFC — before being hired as an English teacher. Ma was a natural with his students and loved his job — though he only made $12 a month at a local university.
jack ma frustrated upset alibaba

Source: Business Insider

At the World Economic Forum in 2016, Ma revealed he has been rejected from Harvard — 10 times.
Jack Ma Alibaba

Source: Business Insider

Ma had no experience with computers or coding, but he was captivated by the internet when he used it for the first time during a trip to the US in 1995. He had recently started a translation business and made the trip to help a Chinese firm recover a payment. Ma's first online search was "beer," but he was surprised to find that no Chinese beers turned up in the results. It was then that he decided to found an internet company for China.
alibaba jack ma

Source: Business Insider, USA Today

Though his first two ventures failed, four years later, he gathered 17 of his friends in his apartment and convinced them to invest in his vision for an online marketplace he called "Alibaba." The site allowed exporters to post product listings that customers could buy directly.
FILE PHOTO: A logo of Alibaba Group is seen at the company's headquarters in Hangzhou, Zhejiang province, China, November 18, 2019. REUTERS/Aly Song
Alibaba's headquarters in Hangzhou.

Source: Business Insider, 60 Minutes

Soon, the service started to attract members from all over the world. By October 1999, the company had raised $5 million from Goldman Sachs and $20 million from SoftBank, a Japanese telecom company that also invests in technology companies. The team remained close-knit and scrappy. "We will make it because we are young and we never, never give up," Ma said to a gathering of employees.
Alibaba2

Source: Business Insider

He was known for maintaining a sense of fun at Alibaba. In the early 2000s, when the company decided to start Taobao, its eBay competitor, he had his team do handstands during breaks to keep their energy levels up.
The home page of Chinese e-commerce site Taobao is seen on a computer screen in Beijing, Thursday, April 11, 2019. The mother of a Chinese child model has apologized after videos of her appearing to beat her daughter appeared online, sparking outrage and debate about the country's highly competitive child modeling industry. Internet users identified the child as Niuniu, a 3-year-old girl who models clothes sold on e-commerce website Taobao. (AP Photo/Mark Schiefelbein)
The home page of Chinese e-commerce site Taobao.

Source: Business Insider

When the company first became profitable, Ma gave each employee a can of Silly String to go wild with.
silly string

Source: Business Insider

In 2005, Yahoo invested $1 billion in Alibaba in exchange for about a 40% stake in the company. This was huge for Alibaba — at the time it was trying to beat eBay in China — and it would eventually be an enormous win for Yahoo too, netting it $10 billion in Alibaba's IPO alone.
Yahoo Alibaba

Source: TechCrunch

In 2014, Ma told Bloomberg he knew Alibaba had made it big when another customer offered to pay his restaurant bill. The customer, Ma said in the interview, had left Ma a note that read: "I'm your customer of Alibaba group, I made a lot of money and I know you don't make any money. I'll pay the bill for you."
jack ma

Source: Business Insider

Ma stepped down from his post as CEO in 2013, staying on as executive chairman.
Jack Ma Alibaba
Alibaba Group Holding Ltd founder Jack Ma (2nd L) poses as he arrives at the New York Stock Exchange for his company's initial public offering (IPO) under the ticker "BABA" in New York September 19, 2014.

Source: Tech Crunch

Alibaba went public on September 19, 2014. "Today what we got is not money. What we got is the trust from the people," Ma told CNBC at the time.
jack ma alibaba
Ma arrives at the New York Stock Exchange in 2014.

Source: CNBC, NYSE

The company's $150 billion IPO was the largest offering for a US-listed company in the history of the New York Stock Exchange. It also made Ma the richest person in China, with an estimated worth of $25 billion at the time.
Alibaba IPO Jack Ma
Ma after his company's initial public offering.

Source: Bloomberg

Ma's fortune comes from his 4.2% stake in Alibaba and a 10% stake in payment-processing service Alipay, which rebranded to Ant Group in 2014.
An Alipay logo is seen at a train station in Shanghai, China February 9, 2015. REUTERS/Aly Song/File Photo
Alipay logo is seen at a train station in Shanghai.

Source: Bloomberg

Alibaba employees threw a big party at the company's Hangzhou headquarters to celebrate the IPO. One employee even took the party as the perfect opportunity to propose. Ma told employees at a press conference that he hopes they use their newfound wealth to become "a batch of genuinely noble people, a batch of people who are able to help others, and who are kind and happy."
alibaba ipo

Source: QQ.com, USA Today

The biggest day in the calendar for Alibaba is China's "Singles' Day" — a retaliation to Valentine's Day — which supposedly celebrates the country's singletons. In 2016, the site recorded nearly $20 billion in sales in 24 hours.
jack ma alibaba
Ma looks back at a giant electronic screen showing real-time sales figures on the "Singles' Day" online shopping festival.

Source: CNBC

In 2020, the total value of Alibaba orders placed on Singles' Day topped $56 billion.
taylor swift alibaba singles day 2019
Taylor Swift performs at a show to mark Alibaba's Singles' Day global shopping festival in 2019.

Source: CNBC

Alibaba's success may have made Ma an extremely wealthy man, but he has made very few flashy purchases, and he still has some pretty modest hobbies. "I don't think he has changed much, he is still that old style," Xiao-Ping Chen, a friend of Ma, told USA Today. He likes reading and writing kung fu fiction, playing poker, meditating, and practicing tai chi.
alibaba
Jack Ma

Source: USA Today

His big splurge was a vineyard and a chateau in Bordeaux, France, in 2016.
italian vineyard
Ma's vineyard not pictured.

Source: Forbes, CNBC

In March 2013, Alibaba spent a reported $49.7 million on a Gulfstream G550, mostly for Ma's use.
gulfstream g550

Source: China Daily

One of his greatest passions is the environment. According to Fortune, Ma developed an interest in environmentalism when a member of his wife's family became sick with an illness that Ma suspected was caused by pollution. He sits on the global board of The Nature Conservancy and spoke during a session of the Clinton Global Initiative in 2015. He has also, according to Fortune, been instrumental in funding a 27,000-acre nature reserve in China.
jack ma chelsea clinton
Chelsea Clinton, left, and Jack Ma.

Source: Fortune

Ma has largely kept his family life out of the spotlight. He married Zhang Ying, a teacher he met at school, after they graduated in the late 1980s. They have two children — a daughter and a son.
jack ma alibaba
Alibaba founder Jack Ma in January 2018.

Source: Bloomberg

In 2017, Ma made headlines after meeting President Donald Trump. Despite Trump's protectionist attitude towards trade, Ma said China and the United States were not about to be drawn into a trade war. "Give Trump some time. He's open-minded," Ma told a panel at the World Economic Forum in January 2017.
Trump Jack Ma
Donald Trump with Jack Ma.

Source: Business Insider

Ma is something of a celebrity in China, and crowds of people show up to listen to him speak. The company also hosts annual talent shows, and Ma is a natural entertainer. At a company anniversary event, he dressed up as a punk rocker for a performance in front of 20,000 Alibaba employees.
jack ma

Source: 60 Minutes

Company lore has it that Ma came up with the name "Alibaba" while sitting in a San Francisco coffee shop. In "Ali Baba and the Forty Thieves," a secret password unlocks a trove filled with unbelievable riches. Ma's company has, in a way, revealed the potential of small and mid-sized businesses across the globe.
alibaba jack ma

Source: Entrepreneur

Ma stepped down as Alibaba's chairman on September 10, 2019, his 55th birthday. The company threw him a farewell party in an 80,000-seat stadium in Hangzhou, and Ma performed with other Alibaba executives.
alibaba jack ma retirement party

Source: Business Insider

Ma picked Daniel Zhang, who has been the CEO of Alibaba since 2015, to replace him as chairman. According to CNN Business, Ma decided to pivot to full-time philanthropy.
daniel zhang alibaba

Source: Business Insider, CNN Business

When the coronavirus pandemic brought the world to a halt in March 2020, Ma sourced and shipped N95 face masks and COVID-19 testing kits to over 100 countries dealing with shortages, including the US.
jack ma coronavirus donations

Source: Business Insider

In May 2021, SoftBank announced that Ma would resign from the troubled investment fund's board of directors.
FILE PHOTO: SoftBank Group Corp Chairman and CEO Masayoshi Son speaks during their joint news conference with Toyota Motor Corp President Akio Toyoda (not pictured) in Tokyo, Japan October 4, 2018. REUTERS/Issei Kato
Masayoshi Son, SoftBank's chairman and CEO.

"Stepping down from SoftBank Group's Board, I believe, and he said to me actually, was something that he decided on his own," SoftBank CEO Masayoshi Son said during the firm's earnings announcement. "That's sad, but we still keep in contact directly and right before the COVID-19, we met face-to-face every month to have dinner, to talk about businesses, to talk about lives. And we will remain friends for the rest of our life, I believe."

Source: Business Insider

In October 2021, Ma made headlines again in relation to Ant Group's highly anticipated IPO. Ant Group was expected to raise $37 billion with a valuation reportedly surpassing $300 billion. But then, Ma publicly snubbed China's financial regulatory system, calling it 'an old people's club.'
ant group
The mascot of Ant Financial.

Source: Business Insider

Soon after, regulators introduced new online lending rules that directly impacted Ant's business. Officials then said there were "major issues" with Ant's listing, and by November, the IPO was suspended.
Ant Group
Ant Group's headquarters in Hangzhou.

Source: Business Insider

Once China's richest man, Ma's net worth has fallen by more than $25 billion since he disappeared from public view, according to the Bloomberg Billionaires Index. His net worth is now estimated at $34.1 billion, making him China's ninth-richest person.
Jack Ma
Jack Ma

Source: Bloomberg,Forbes

Chinese regulators opened an antitrust investigation into Alibaba in December 2020, yet another crackdown on Ma's empire.
Alibaba

Source: Business Insider

In January 2021, Yahoo Finance reported that Ma hadn't been seen publicly in more than two months and had been replaced as a judge on the TV talent show he founded, which raised the question of whether Ma had gone missing.
Jack Ma

Source: Business Insider, Yahoo Finance

Ma's absence mirrored similar situations where Chinese businessmen had disappeared after battling with regulators, but multiple sources said that Ma was not missing — he was simply "laying low" amid the government scrutiny and new regulations.
Jack Ma

Source: Business Insider, Business Insider

Ma appeared to resurface in Thailand in January after Jay Fai restaurant in Bangkok, Thailand, posted a photo of him on Instagram. The caption read: "Incredibly humble, we are honored to welcome you and your family to Jay Fai's."

A post shared by JAY FAI (เจ๊ไฝ)⭐️ (@jayfaibangkok)

 

Source: Insider

His reappearance came as Ant Group said it was streamlining voting rights to prevent any one shareholder from having a controlling vote.
A scene of AI technology and digital smart Life at the Booth of Alibaba and Ant Group at the World Intelligence Congress in Shanghai, China, in July 2021.
A scene of AI technology and digital smart Life at the Booth of Alibaba and Ant Group at the World Intelligence Congress in Shanghai, China, in July 2021.

Source: Insider

On May 1, Ma accepted a teaching role at Tokyo College and is expected to conduct research on sustainable agriculture and food production.
Jack Ma

Source: Insider

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A deep tech investor predicts these 3 AI startups will become the decacorns of this decade with valuations of over $100 billion

Robot typing code onto a computer
Amir Khan thinks that there will be a significant increase in AI and machine learning technologies in the commercial sector by 2030.
  • Amir Khan is a deep tech investor who's known about ChatGPT for 10 years.
  • He lists three startups he wishes he had invested in years ago. 
  • Khan says that by 2030 AI and machine learning tech development will be commonplace.

As a venture capitalist in the deep tech sector and the managing partner at MARL Accelerator, I've reviewed over 5,000 early-stage companies and have been exposed to the latest technological advancements over the past few years.

With the way technology is advancing, things that exist now were once science fiction in the 80s and 90s. These technologies will continue to shape our world and enhance our lives in ways that we can't yet fathom.

Amir Khan with arms crossed
Amir Khan is the founder and managing director of MARL 5G Accelerator.

By 2030, I think there will be a significant increase in the development of artificial intelligence (AI) and machine learning (ML) technologies in the commercial sector.

One of the most notable advancements is the rise of Natural Language Processing technologies such as OpenAI's ChatGPT and Google's BARD, which I have been following for almost 10 years.

There are a few startups at the forefront of technology in their respective sectors that I believe have the potential to be the decacorns — a company valued over $100 billion — of this decade. I'm not invested in any of these. I missed the boat, but if I had the cash years ago, I would've invested.

1. Owkin 

A health tech startup called Owkin, based in Paris, France, is working to build an AI model in partnership with top academic researchers and data scientists. By studying millions of patients' data, they hope to find patterns in disease diagnosis and develop new treatments tailored to each patient's genetic makeup.

Because we rely on human doctors, there's a risk of misdiagnosis and mistreatment. This issue is near and dear to me because I have been misdiagnosed many times — and I'm not alone. According to The Leapfrog Group, a national watchdog organization focused on healthcare safety, diagnostic errors contribute to 40,000 - 80,000 deaths per year in the US, and over 250,000 Americans experience a diagnostic error in hospitals. 

Owkin started working on healthcare diagnostics in the mid-2000s, and they're ahead of the pack even though there is substantial research in this area.

The development of new technology, like Owkin's platform for medical research, can have downsides as well as benefits. For one, Owkin's platform may be affected by data bias, meaning the models created may be biased or incomplete, despite their efforts to use diverse data.

Additionally, only a limited number of researchers and institutions have access to Owkin's platform, which could be costly, and regulatory and ethical challenges need to be addressed to ensure data privacy, security, and compliance. 

Owkin will need to operate transparently and ethically to address concerns related to patient consent and transparency while navigating complex regulations.

2. Motional

Motional is a Boston-based autonomous tech startup that is gaining traction by successfully running the world's first robotaxi pilot program. Motional has completed over 100,000 self-driving rides without any accidents as of 2021.

This success has excited Uber, leading to the announcement of a 10-year commercial partnership between the two companies to launch their public full self-driving robotaxi service in Las Vegas, NV. This service follows the successful launch of autonomous deliveries with Uber Eats in Greater Los Angeles.

I grew up in India, and self-driving seemed like a dream. If you've seen the old Batman movies, you would know self-driving vehicles were promised to us in the early 2000s. Even today, we're not quite there yet — the technology isn't fully developed. And I think the reason for that is that the car itself doesn't have enough processing power. But I think the evolution of 5G technology may change that. 

Motional is already performing successfully and securing partnerships. They have changed the game in commercialization. 

As amazing as Motional sounds, there are some concerns that need to be addressed before the technology can be widely adopted. Safety is one of the biggest concerns, although Motional's technology has been shown to be safe in testing. Driverless vehicles are also vulnerable to cyberattacks. 

Cost is another concern, as Motional's vehicles are currently expensive to produce and not yet affordable for most people. Lastly, there are ethical concerns, such as who is responsible if a driverless vehicle causes an accident. 

While Motional has a lot of potential, these shortcomings need to be addressed before the technology can be widely adopted.

3. Nexar

Nexar, a New York-based startup, is also a company working to realize our self-driving car dreams. 

It is a leader in the dash cam market and has the vision of creating the world's first "safe driving network." They plan to build a hive mind by connecting all the dash cams already on the road to provide a single source of truth for events that occur on the road. 

So the car can see what the car in front of me is seeing, what the car behind me is seeing in a "hive mind." The car network sensors simultaneously plug into a cloud sending data and receiving data. That is why Nexar will be able to succeed in cities. like New York and San Francisco, while vehicles like the Tesla tend to freeze in these kinds of areas. 

The points of concern regarding Nexar's autonomous driving technology are that it is still under development and not yet fully autonomous. 

While Nexar's dash cams can identify dangerous situations, they cannot drive the car autonomously. The technology is expensive and may have bugs that need to be fixed. 

It is also important to check local regulations before using it, as its legality is not yet established in all jurisdictions.

AI will change our lives in other areas too

But I'm only scratching the surface of AI and Machine learning capabilities and how they will transform our lives.

Their impact will go far beyond the healthcare and transportation sectors. For example, we are facing a huge climate crisis, and AI could be our last hope to reverse the effects of climate change. 

Amir Khan is the founder and managing director of MARL 5G Accelerator. MARL 5G focuses on creating and connecting early-stage investors, startup founders, and corporate venture teams in the space of mobility, autonomy, robotics and logistics.

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