In today’s top stories, Spotify has purged its platform of tens of thousands of AI-generated songs. Elsewhere, Mitsubishi’s Indian arm is to invest in a manufacturing facility in Tamil Nadu, while construction has begun on Tesla’s Texas lithium refinery. Six years after its initial release, Nintendo’s Switch console is facing a sharp slowdown in sales, and LinkedIn has become the latest tech firm to cut jobs. Lastly, Goldman Sachs, Microsoft, Deloitte, and Cboe Global Markets are part of a group of firms seeking to launch a blockchain-based network.
Mitsubushi to invest $231m in Indian factory
Mitsubishi Electric Corp’s [6503.T] Indian arm is to invest 18.91bn rupees ($231.2m) in a manufacturing facility in Tamil Nadu. Iveco Group [IVG.MI] is to acquire full ownership of its electric and hydrogen truck joint venture with troubled US start-up Nikola [NKLA], saying the deal will have a one-off €44m negative impact on its income statement. Elsewhere, construction of Tesla’s [TSLA] Texas lithium refinery began on Monday, while Glencore [GLEN.L] is considering the construction of Europe’s largest battery recycling facility.
Switch hit by falling demand
Six years after its initial release, Nintendo’s [7974.T] Switch console is facing a sharp slowdown in sales, according to its end-of-year earnings report. After having sold 28.8 million units in the year to March 2021 and over 23 million units in the year to March 2022, the company sold just 18 million over the past year, and is forecasting 15 million in the coming year, short of analysts’ expected 15.7 million units.
LinkedIn latest tech firm to cut jobs
LinkedIn [LKI.F] is to cut 716 jobs out of its 20,000 workforce, as well as winding down its Chinese local jobs app InCareers. CEO Ryan Roslansky says the cuts will create 250 new jobs, to which those affected will be able to apply. Elsewhere, Paypal’s [PYPL] share price fell on reduced annual adjusted operating margin guidance, despite a 20% profit growth forecast.
Spotify attempts to mute AI
With artificial intelligence-generated music flooding its streams, Spotify [SPOT] has purged its platform of tens of thousands of songs from AI music start-up Boomy. The removals represent approximately 7% of Boomy’s content on Spotify. AI could make scams harder to spot, according to Apple [AAPL] co-founder Steve Wozniak. Twitter is set to remove and archive inactive accounts, CEO Elon Musk tweeted on Monday.
Financial institutions to launch blockchain network
Goldman Sachs [GS], Microsoft [MSFT], Deloitte, and Cboe Global Markets [CBOE] are part of a group of firms seeking to launch a blockchain-based network to link various institutional applications. Dubbed the Canton Network, the system is expected to offer superior privacy and controls alongside performance at scale. The system will begin testing in July, and could encourage broader blockchain adoption in the financial sector.