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On Tuesday, Spotify founder and CEO Daniel Ek announced he will step down from his leadership role after nearly two decades. Ek will serve as the company’s executive chairman, and two former co-presidentsGustav Söderström and Alex Norströmwill share the role as co-CEOs. Over the last few years, Ive turned over a large part of the day-to-day management and strategic direction of Spotify to Alex and Gustavwho have shaped the company from our earliest days and are now more than ready to guide our next phase,” Ek said in a news release. Ek continued: “This change simply matches titles to how we already operate. In my role as Executive Chairman, I will focus on the long arc of the company and keep the Board and our co-CEOs deeply connected through my engagement. Sharing the top position at a major company is still a relatively uncommon practice. But more corporations are testing the arrangement. This week, Comcast announced that a second CEO, Mike Cavanagh, will be stepping in come January to share the role with Brian Roberts. Oracle recently made a similar announcement. (Despite that back in 2020, Oracle had actually pivoted away from a co-CEO model. Salesforce and SAP similarly ditched co-CEO setups.) Meanwhile, Netflix has been led by two CEOs for more than five years, the current partnership being Ted Sarandos and Greg Peters. Deciding who becomes the CEO is an incredibly involved, high-stakes process. And nowadays, more seems to be riding on CEOs than ever: Shareholders and customers alike expect more from them, their brand is the organizations brand and their decisions can make or break a company. So do things get muddled when theres two people splitting authority and responsibilities at the highest, most visible level? Why firms do it The co-CEO trend hasn’t been studied extensively. But a 2022 Harvard Business Review report found that from 1996 to 2020, out of 2,200 companies listed in the S&P 1200 and the Russell 1000, fewer than 100 had dual leaders. Some say the arrangement is a surefire way to stay focused on the company’s mission, rather than personal accolades. Chip Kaye, a former co-CEO of Warburg Pincus, told HBR it forces leaders to keep their egos in check. Likewise, the research pointed to some promising findings, like a greater annual shareholder return. Companies led by joint CEOs generated 9.5% compared to 6.9% for solo led companies. In fact, around 60% of the joint CEO-led companies outperformed the ones with solo leaders. But some co-leaders argue its a positive arrangement. Netflixs Sarandos told Fast Companys Amy Wallace last September: Having someone to talk to who is not an employee or a board member who is your peer is so helpful. He also said having a partner to share authority with is a relief: It is that lonely-at-the-top thing. The saying came from somewhere. Still, the offbeat arrangement requires careful consideration. A delicate balance Partnerships like these need to be executed carefully, as sole CEOs tend to remain in power longer than co-CEO partnerships do, an analysis from the Wall Street Journal found. Don Yaeger, executive coach, author, and host of the Corporate Competitor podcast, tells Fast Company that co-CEOs have to put their egos aside for the setup to work and ideally, have “opposing skillsets” in order to best serve the company. “You need two people who do not feel less than when someone else is the focal point of interviews or stage time,” Yaeger explains. “The second one starts resenting the other, the wall comes crumbling down.” Likewise, Yaeger says that companies need to have a “clear delineation” of the responsibilities of each CEO. He cites the Netflix example as one company that is paving the way for how to put that into practice. “Sarandos is outward-facing with marketing, while Greg Peters is more inwardly focussed on product and operations.” Still, Yaeger presses that the relationship is a “delicate balance” that requires trust between co-CEOs. “If companies arent careful, the dual CEO arrangement can become somewhat like parenting,” Yaeger says. “When your child doesnt like your answer, they immediately go looking for the other parent. Thats messy at home and really messy at a Fortune 500.” In some cases, that messiness shows itself in public ways. Chipotle, which had co-CEOs from 2009 through 2016, returned to the more mainstream arrangement after a number of food safety incidents plagued the chain, and foot traffic failed to recover. Steve Ells, who stepped into the role solely told AP News at the time that it was vital for the brand to have “one CEO, one voice, and a very focused approach.” Of course, quite simply, there’s no denying that two heads are often better than one. Yaeger says that’s especially true as companies grow and become “more complex.” The job becomes too big for just one leader, who may not have all of the knowledge and skills to make the company thrive. But, if co-CEOs are able to put their egos aside, communicate effectively, and “respect the space of each other,” Yaeger says, the company and the CEOs themselves might be able reap the rewards.
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E-Commerce
“Butterfly in the sky, I can go twice as high . . . take a look, its in a book“: Reading Rainbow, PBS iconic kids show, is back after 20 years off the air. This time around, its hosted by beloved TikTok librarian Mychal Threets. But you dont have to take my word for it. The news was announced on September 29 through an Instagram post shared by Threets, the official Reading Rainbow account, and Buffalo Toronto Public Media. Episodes of the new series will premiere at 10 a.m. ET every Saturday during October on the KidZuko, a kids’ YouTube channel from Sony Pictures Television, as well as on Reading Rainbows website. Reading Rainbow was first launched in 1983 as a response to summer loss phenomena, in which “a child loses some of his or her reading abilities because they tend not to read during the summer, Reading Rainbows website explains. Each episode featured a different childrens picture book, often narrated by a celebrity, as well as guest interviews and book reviews. Over the course of the shows 26-year run, it became the most-watched PBS program in the classroom, earning awards including the George Foster Peabody Award and 26 Emmys. A large part of Reading Rainbows success was thanks to host LeVar Burton, whose charismatic personality and comforting cadence set the shows tone. Burtons successor, Threets, has already cultivated a devoted audience of his own for his love of books and friendly communication style. Heres what to know as Threets steps in to take viewers along the Reading Rainbow. Who is Mychal Threets, a.k.a. Mychal the Librarian? Threets, known on social media as Mychal the Librarian, has spent the last few years amassing a sizable following (including 829,000 followers on TikTok and 895,000 on Instagram) by sharing his love for reading with the world. When Threets first started his social media pages several years ago, he was working as a librarian in Solano County, California, at the same library that cultivated his own passion for reading. In 2024, he stepped down from that role and took up a new position as PBS resident librarian, a position that allows him to continue producing videos that encourage kids to develop healthy reading habits. Some of Threet’s most popular videos include heartwarming storytimes about his experiences as a librarian, book reviews, and calls for viewers to invest in their local librariesall delivered with his signature smile. Dear Solano County Library, I just want to say Thank you, Threets begins in one TikTok post with over two million views. Thank you for raising me as a homeschool library kid. This is the place where Ive always felt safe, Ive always felt like I belong, Ive always felt like I have friends. Now, Threets is bringing that same sense of safety and belonging to fellow library kids through the Reading Rainbow reboot. I was raised on Reading Rainbow, LeVar Burton is my hero, Threets wrote in an Instagram post about the series. I am a reader, I am a librarian because LeVar Burton and Reading Rainbow so powerfully made us believe we belong in books, we belong everywhere. I am so happy for all of us that Reading Rainbow is returning! YOU all did this! Were flying twice as high, butterflies in the sky!
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E-Commerce
The U.S. government is taking a minority stake in Lithium Americas, a company that is developing one of the worlds largest lithium mines in northern Nevada. The Department of Energy will take a 5% equity stake in the miner, which is based in Vancouver. It will also take a 5% stake in the Thacker Pass lithium mining project, a joint venture with General Motors. Thacker Pass is considered crucial in reducing U.S. reliance on China for lithium, a critical material used to produce the high tech batteries used in cell phones, electric vehicles and renewable energy. Both Republicans and Democrats support the project and narrowing the production gap. China is the worlds largest lithium processor. U.S. Energy Secretary Chris Wright said in a statement that the deal with Lithium Americas helps reduce our dependence on foreign adversaries for critical minerals by strengthening domestic supply chains and ensures better stewardship of American taxpayer dollars. Thacker Pass is expected to produce 40,000 metric tons of battery-quality lithium carbonate per year in its first phase, enough to help power 800,000 EVs. The equity stake in Lithium Americas is the latest example of the direct intervention by the Trump administration with private companies. The government is getting a 10% stake in Intel through the conversion of billions in previously granted government funds and pledges. The administration spent $400 million of taxpayer money in July on MP Materials stock to make the U.S government the biggest owner in the Las Vegas rare earths miner. Trump also made a deal with Nvidia and AMD to give the U.S. government a 15% cut of revenue from selling certain chips to China. Lithium Americas said Wednesday that it reached a non-binding agreement in principle with the DOE to advance the first draw of $435 million on the federal loan. The DOE has agreed to defer $182 million of debt service over the first five years of the loan. The White House and Canada’s Lithium Americas seemed to be moving forward with the deal late last month, as both parties agreed on changes to an approximately $2.3 billion federal loan that could allow the project to move forward to extract the silver-white metal used in electric vehicle batteries. GM has pledged more than $900 million to help develop Thacker Pass, which holds enough lithium to build 1 million electric vehicles annually. Dan Ives, an analyst with Wedbush, called Thacker Pass is a massive opportunity for the U.S. to reduce its reliance on China and other foreign adversaries for lithium. Despite having some of the largest deposits, the U.S. produced less than 1% of the global lithium supply but this deal helps reduce dependence on foreign adversaries for critical minerals strengthening domestic supply chains and ensuring better stewardship of American taxpayer dollars with lithium production set to grow exponentially over the coming years, he wrote. Shares of Lithium Americas spiked more than 30% Wednesday. Michelle Chapman, AP business writer
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E-Commerce
The federal government shut down after midnight last night. Capitol Hill is snarled by a partisan impasse, with no word as to which side might cave, work across the aisle, and try to garner the votes needed to pass a new spending bill. The last government shutdown was at the end of 2018during President Trump’s first term in officeand lasted into the early part of 2019. At 35 days, it was the longest shutdown in four decades. As for what caused this latest shutdown? In the simplest terms, a previously passed bill to fund the federal governments operations expired as of Wednesday, October 1. The House and Senate need to pass a new spending bill, which then needs to be signed by the president, to keep the federal government operating. That hasnt happened, and may not happen anytime soon. But while government shutdowns are not all that unusual, this shutdown is differentand for a simple reason: the Republican Party, which has majorities in both the House and Senate, as well as the White House, may have little or no motivation to reopen the government. ‘It’s very difficult to see what the exit strategy is’ Traditionally, politicians and elected officials have incentives to keep the government operating as smoothly as possible. This shows that theyre effective leaders, for one, and that they are capable of actually governing. If theyre unable to handle those basic aspects of their job descriptions as elected officials, conventional wisdom suggests that voters will make them pay for it at the ballot box. However, despite the prospect of electoral blowback, the majority party, in this case, appears to actually be relishing in the current circumstances. The administration has historically been motivated to minimize the harm to the public . . . and that was even true for the previous shutdown during the first Trump term, says Max Stier, president and CEO of the nonprofit Partnership for Public Service, who has worked in all three branches of the federal government starting in the early 1980s. This time, the administration appears interested in using the shutdown to do extra damage to the government and the public, Stier adds. Its very difficult to see what the exit strategy ison one hand, you have an administration that wants to use the government to diminish the government, and the other side is motivated by an enraged base that wants them to make a stand. This is how [the Democrats] have chosen to do so. Since Trump took office early this year, he has presided over widespread spending cuts and reductions in government services. The shutdown, in some ways, actually works toward his administration’s goals of reducing the size and scope of the government. The president has even threatened mass layoffs in the event of a shutdown, something that goes way beyond the typical funding impasse rhetoric. And now that the government has in fact shut down, key services, far and wide, are either reduced or mothballed until a new spending bill is passed. Tens of thousands of government employees are or will be furloughed, laid off, or made to work without pay. The White House and its supporters in the GOP-controlled Congress appear unfazedat least for now. Democrats, conversely, are incentivized by their own voters, and those voters have been clamoring for the party to stop making concessions. In terms of specific sticking points, Democrats want Republicans to fund healthcare subsidies to reduce premium costs for millions of Americans, which Republicans have, so far, balked at. So negotiations have devolved into a partisan blame game, with both parties hoping that voters will blame the other side for the shutdown. For evidence of how much worse the rhetoric is this time around, visit the website of the U.S. Department of Housing and Urban Development (HUD), whose home page currently displays a bright-red banner denouncing the “Radical Left in Congress.” Screenshot via HUD.gov What the parties are saying about blame In a joint statement, Democratic House Minority Leader Hakeem Jeffries and Senate Minority Leader Chuck Schumer said that after months of making life harder and more expensive, Donald Trump and Republicans have now shut down the federal government because they do not want to protect the healthcare of the American people. Democrats remain ready to find a bipartisan path forward to reopen the government in a way that lowers costs and addresses the Republican healthcare crisis. But we need a credible partner, the statement continued. Senate Majority Leader John Thune has cast the blame on Democrats, as reported by Fox News. We simply asked Democrats to extend existing funding levels to allow the Senate to continue the bipartisan appropriations work that we started, he said. “And Senate Democrats said no, he added. “Why? Because far-left interest groups and far-left Democrat members wanted a showdown with the president. And so, Senate Democrats have sacrificed the American people to Democrats’ partisan interests. Senator Ted Cruz, another stalwart Republican, echoed Thune in a statement of his own. Senator Schumer and the Democrats have made it clear that they intend to shut down the federal government,” he said. “Their demands include taxpayer-funded healthcare for illegal aliens and a reversal of the Republican reforms blocking handouts to able-bodied adults who refuse to work.” As for whether the back-and-forth is making a meaningful impact, it remains to be seen. A poll, published on Tuesday by NPR/PBS News/Maris, showed that 38% of respondents blame Republicans for the shutdown, 27% blame Democrats, and 31% blame both. Whats next? Its difficult to predict what happens next. In all likelihood, itll depend on which side blinks first, and which side sees members signal their willingness to vote for a new funding bill. Reporting from Punchbowl News, published Wednesday morning, notes that three Democratic senators have agreed to vote for a Republican-backed stopgap funding bill. But five more would need to come on board to pass it, as it would need a total of 60 votes in the Senate. And then the House would need to pass it as well. While there may be movement in response to voter sentiment in the days ahead, in the more immediate term, the back-and-forth public blame game will likely continue. But experts like Stier expect the country is in for a lengthy shutdown. The American people, he says, will start to feel the effects as the shutdown drags on. In time, that could incentivize legislators to move toward a solution, even if it means ending up with egg on their face. Everybody gets hurt, and therell be some direct damage to people losing services, Stier says. I worry were not looking at a day-long shutdown, or even a lengthy one, like we had at the end of 2018. This could be much longer.
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E-Commerce
President Donald Trump’s administration said Wednesday it was putting a hold on roughly $18 billion to fund a new rail tunnel beneath the Hudson River between New York City and New Jersey and the city’s expanded Second Avenue subway project because of the government shutdown. The White House budget director, Russ Vought, said on a post on X that the step was taken due to the Republican administrations belief the money was based on unconstitutional diversity, equity and inclusion principles. In a statement, the U.S. Transportation Department said that it had been reviewing whether any unconstitutional practices were occurring in the two massive infrastructure projects but that the government shutdown had forced it to furlough the staffers conducting the review. “This is another unfortunate casualty of radical Democrats reckless decision to hold the federal government hostage to give illegal immigrants benefits,” the statement reads. The suspension of funds is likely meant to target Senate Democratic leader Chuck Schumer of New York, whom the White House is blaming for the shutdown. In a 2023 interview with The Associated Press, Schumer said he and then-President Joe Biden were both giddy over the rail tunnel project, adding that it was all they talked about in the presidential limousine as they rode to the site. New York Gov. Kathy Hochul, a Democrat, reacting to the development at a news conference about the federal government shutdown, told reporters, The bad news just keeps coming, adding that “theyre trying to make culture wars be the reason why. Thats what a partnership with Washington looks like as were standing here. Weve done our part. Were ready to build. Its underway, she said. And now we realize that theyve decided to put their own interpretation of proper culture ahead of our needs, the needs of a nation. The Hudson River rail tunnel is a long-delayed project whose path toward construction has been full of political and funding switchbacks. Its intended to ease the strain on a 110-year-old tunnel connecting New York and New Jersey. Hundreds of Amtrak and commuter trains carry hundreds of thousands of passengers per day through the tunnel, and delays can ripple up and down the East Coast between Boston and Washington The Second Avenue subway was first envisioned in the 1920s. The subway line along Manhattans Second Avenue was an on-again, off-again grail until the first section opened on Jan. 1, 2017. The state-controlled Metropolitan Transportation Authority is working toward starting construction on the second phase of the line, which is to extend into East Harlem. Josh Boak, Associated Press Associated Press writers Anthony Izaguirre and Jennifer Peltz contributed to this report.
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E-Commerce
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