Javier Milei scores Argentina economy win

Key takeaways

Microsoft's acquisition of Nvidia chips significantly positions it ahead of competitors in the AI space.
Argentina is seeing economic recovery under President Javier Milei, though challenges like high poverty and underperforming sectors remain.
KPMG is narrowing the gap with its competitors through effective investments in technology.
Huawei's strategy to pivot to EVs could reshape its global ambitions despite existing sanctions.
The unexpected popularity of Guinness has led to shortages, highlighting shifts in consumer behavior.

Summary

Microsoft's AI Chip Hoarding

Microsoft has made headlines by hoarding nearly half a million Nvidia chips, specifically their flagship Hopper model. This strategic move gives Microsoft a significant leg-up in the competitive AI market, where demand for these chips currently outweighs supply, far surpassing what rivals like Meta, Amazon, and Google have acquired.

Argentina's Economic Recovery

Argentina has recently emerged from a severe recession, marking a significant milestone for President Javier Milei, who has implemented strict austerity measures and significant cuts in public spending. Analysts report a GDP growth of almost 4% in the last quarter, alongside a notable decrease in inflation rates. However, challenges remain as many sectors of the economy are still underperforming, and poverty levels have worsened despite the positive developments.

KPMG's Revenue Growth

KPMG has reported the strongest revenue growth among the Big Four accounting firms, with gains over 5% in the past year. This growth is attributed to investments in technology and training, narrowing the gap with competitors Deloitte, EY, and PWC.

Huawei's Foray into Electric Vehicles

Amid US sanctions, Huawei is pivoting towards the electric vehicle sector without producing its own cars. Instead, it is forming partnerships with established car manufacturers to provide technology and components that enhance EV capabilities. This marks a significant shift as Huawei seeks to leverage its existing tech to support the EV industry globally.

Guinness Shortages in the UK and Ireland

A surge in demand for Guinness leading up to Christmas has resulted in notable supply shortages, prompting the owner, Diageo, to impose purchasing limits on pubs. This unexpected demand is largely attributed to younger demographics and an increased interest in non-alcoholic options.

Show notes

Argentina emerged from a severe recession in the third quarter, Microsoft buys twice as many of Nvidia’s chips as any of its largest rivals, KPMG narrows the gap with the other Big Four firms, and Huawei sets sights on becoming a big supplier to the electric car industry. Plus, pub chains express frustration over shortages of Guinness in the run-up to Christmas.

Mentioned in this podcast:

Microsoft acquires twice as many Nvidia AI chips as tech rivals

Argentina’s economy exits recession in milestone for Javier Milei

KPMG outpaces Big Four rivals as audit and tax units shine

‘A different animal’: inside Huawei’s nascent EV business

Diageo ‘better get brewing’, says Wetherspoons head amid Guinness shortage

The FT News Briefing is produced by Niamh Rowe, Fiona Symon, Sonja Hutson, Kasia Broussalian and Marc Filippino. Additional help from Breen Turner, Sam Giovinco, Peter Barber, Michael Lello, David da Silva and Gavin Kallmann. Our engineer is Joseph Salcedo. Topher Forhecz is the FT’s executive producer. The FT’s global head of audio is Cheryl Brumley. The show’s theme song is by Metaphor Music.

Read a transcript of this episode on FT.com

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