Abu Dhabi-based AI company MGX acquires a share in American semiconductor company Altera.
In a rapidly changing world, here are some key developments from August that have shaped the global landscape.
European Tensions
Russia and Belarus stirred unease across Europe with military drills that included rehearsals involving the launching of tactical nuclear weapons. The war games involving Russian and Belarusian troops have spurred unease in Europe, with some fearing a potential escalation of tensions.
Technology and Investments
In the tech sphere, OpenAI announced a version of ChatGPT for teens, as tech companies face growing pressure to protect minors who use chatbots. Meanwhile, MGX, an Abu Dhabi AI investment firm, co-invested with Silver Lake to acquire 51% of California chipmaker Altera for $3.3 billion. The deal was valued at $3.3 billion, far below the nearly $17 billion Intel paid in 2015.
US President Donald Trump's state visit to the UK was characterized by lavish ceremony, promises of mutual investment, and protests from a British public with whom he is deeply unpopular. Trump was joined by Silicon Valley top brass on his state visit, highlighting a wave of tech investments in Washington's leading European ally.
Economic Developments
US retail sales rose in August for a third straight month, the latest sign of consumer resilience despite other gloomy economic signals. The Federal Reserve's interest rate trim decision may increase fears of a recession, as the economy continues to navigate through the pandemic.
Political Developments
In Africa, experts fear the growing age gap between rulers and the ruled could lead to unrest. Three African leaders, including Mutharika, are running for reelection despite their advanced ages, a trend that highlights the gerontocracy leading the world's youngest continent. Malawi's former leader Peter Mutharika is poised to return to power in elections that underscore this issue.
Conflicts and Humanitarian Crises
Israel launched its ground offensive into Gaza City, further eroding prospects for a ceasefire in the enclave, which is already facing a humanitarian catastrophe. The EU unveiled plans to impose sanctions and tariffs on Israel as it expands its war in Gaza.
Russia announced that the US military struck another Venezuelan ship allegedly carrying drugs, part of Washington's expanding crackdown on Latin American cartels. The suspect in the assassination of conservative US activist Charlie Kirk was charged with aggravated murder among other counts, as Utah prosecutors vowed to seek the death penalty in the case.
Energy and Infrastructure
A $19-billion refinery in Nigeria sent its first shipment of gasoline to the US, marking a new chapter for the country as a major fuel exporter. Saudi Arabia's sovereign wealth fund found a partner for its aircraft leasing unit: the kingdom's pension fund. The joint venture will be majority owned by Hassana, the $320 billion pension fund.
Sports and Entertainment
In the world of sports and entertainment, Kelsey Warner is reportedly coming out of retirement to play flag football in Saudi Arabia. Mike Tyson and YouTube star MrBeast will participate in the Riyadh Season festival's "Six Kings Slam" tennis event. Tom Brady will join current and former NFL stars at the Fanatics Flag Football Classic in Riyadh in March.
International Relations
The US, Mexico, and Canada began consultations ahead of a high-stakes review of their $2-trillion trade agreement. Countries globally are beginning to eschew partnerships with Washington - or acting in clear defiance of the White House - suggesting that US President Donald Trump's aggressive foreign policy approach is not paying off as he hoped.
AI and Employment
Jeronimo Gonzalez, CEO of Anthropic, predicts that AI will wipe out jobs. Three-quarters of companies working with Anthropic's chatbot Claude use it for "full task delegation".
Financial Aid
The International Finance Corporation will put an additional $1 billion into Iraq to help boost the country's private sector. Saudi and Omani firms are looking to make investments to boost Iraq's crude oil exports.
In summary, August 2021 was a month marked by significant developments across various sectors, from geopolitics and technology to economics, conflicts, and sports. As we move forward, it will be interesting to see how these developments unfold and shape the world in the coming months.
