US stocks plunge over China’s AI threat, Polestar to get ‘brand reboot’
US stock markets have plunged at their sharpest pace in five months after a China AI start-up unveiled a new chatbot which threatens to match its major global competitors at a lower cost. The tech-heavy Nasdaq Composite index on Wall Street plummeted by 3.6pc at the opening bell – its biggest fall since September – as DeepSeek’s new artificial intelligence chatbot triggered market turmoil. AI-focused shares in the US and Europe were at one point on track for $1 trillion to be wiped off their valuation, according to Bloomberg, after the China app soared to the top of the Apple Store’s download charts. Telegraph
Polestar suffered badly financially in 2024, but the brand is starting the year under a new CEO with a plan that involves, among other changes, acknowledging that even EV start-ups need to embrace some of the more time-proven ways of operating. “A lot of things need to change,” Michael Lohscheller told analysts on a call ostensibly to mark Polestar’s delayed third-quarter results but mainly to lay out the parameters of its reboot. Lohscheller, a former CFO and CEO of Opel-Vauxhall, joined in October to replace Thomas Ingenlath. Autocar
Ministers have shut down or dropped at least half a dozen artificial intelligence prototypes intended for the welfare system, the Guardian has learned, in a sign of the headwinds facing Keir Starmer’s effort to increase government efficiency. Pilots of AI technology to enhance staff training, improve the service in jobcentres, speed up disability benefit payments and modernise communication systems are not being taken forward, freedom of information (FoI) requests reveal. The Guardian
Tesla investors will look for more details on the automaker’s lower-priced model when it reports quarterly results on Wednesday as some expect the cheaper car to help the company hit its goal to increase deliveries by up to 30% this year. The world’s most valuable automaker has seen its stock market valuation soar more than 60% to $1.3 trillion since President Donald Trump won November’s election with the financial backing of Tesla CEO Elon Musk. Investors are betting the new administration will ease regulation on self-driving vehicle systems that Tesla is developing. Reuters
Blu-ray is on its way out, and Sony just hammered another nail in the format’s coffin. Sony of Japan published a terse and simple statement this week, saying plainly that it would no longer manufacture recordable Blu-ray discs starting in February. MiniDV cassette tapes, recordable MiniDiscs, and MD-Data discs will also be officially terminated next month. Keep in mind that Sony will no longer produce recordable Blu-ray discs. Standard Blu-ray discs used by retailers to sell movies, games, and other media will still be produced. Notebook Check
Renault will preserve the new 5 supermini’s retro design for as long as possible but keep the car competitive throughout its life cycle with upgrades to its drivetrain and technology. Company CEO Fabrice Cambolive outlined his plans for the Renault 5 on the sidelines of the 2025 What Car? Awards, where the supermini was named Car of the Year – just days after also being named the European Car of the Year. He attributed the 5’s early acclaim to its striking, 1970s-inspired design, technological capability and distinctive handling characteristics. Autocar
Microsoft says it’s shutting down its UK “experience center” in London next month, nearly six years after it first opened as a 21,000-square-foot Microsoft store. “To better align with its focus on digital growth, Microsoft has decided to exit the lease at the Microsoft Experience Centre in London early,” says an unnamed Microsoft spokesperson in a statement to Windows Central. The store originally opened in July 2019, just months before the pandemic lockdowns began. Microsoft then quickly transitioned it to an “experience center” alongside closing its stores in the US in 2020. The Verge
