Issue #36

eBay removes UK seller fees, LVMH Sponsors Formula 1, Google buys founders for $2.7 billion, and more.

News from September 26 - October 3, 2024

eBay Removes UK Seller Fees 

eBay has scrapped selling fees for private UK sellers across most categories to outpace rivals like Depop and Vinted, following a successful fee removal for second-hand clothes that led to a surge in listings.

A survey found nearly a quarter of UK households have unused items worth over £500, including clothing, DVDs, and tech gadgets, with an estimated £9 billion in resale value across the country. 

Source 

Oil Boss Warns US

US shale magnate Harold Hamm has warned that the Biden administration’s energy policies have left the US vulnerable to potential oil price shocks from Middle East conflicts. He criticized the draining of the strategic petroleum reserve (SPR) and restrictions on domestic oil and gas production, stating these actions have weakened the US shale industry’s ability to quickly increase output. 

Hamm: “It’s very important that we don’t crash this industry any further than the administration has crashed it already.”

Despite these criticisms, US officials maintain that strategic releases from the SPR and record domestic production have stabilized the market.

Source

LVMH Sponsors Formula 1

LVMH has signed a 10-year global sponsorship deal with Formula 1, starting in 2025. Luxury brands like Louis Vuitton, Moët Hennessy, and TAG Heuer will be featured, with TAG Heuer set to benefit immediately. 

The partnership ends Rolex’s reign as Formula 1’s Global Partner and Official Timepiece. LVMH and Formula 1 aim to leverage the sport’s growing popularity, creating new experiences for fans. 

Source

Bulletin Board

• LVMH Sells Off-White. LVMH announced the sale of Off-White to Bluestar Alliance on what would have been Virgil Abloh's birthday, nearly three years after his death. The streetwear brand has faced challenges, including a difficult upmarket shift and declining demand. Additionally, Off-White's licensing agreement with New Guards Group, owned by financially troubled Farfetch, added complications. Despite these hurdles, Bluestar aims to continue Abloh’s creative legacy, as Off-White seeks revival through new partnerships and runway shows. Source 
• Google Buys Founders for $2.7 Billion. Character AI has halted its AI model development after a $2.7 billion deal with Google, which poached its co-founders. The company is now focusing on its chatbot platform, known for simulating conversations with celebrities and fictional characters. This move mirrors similar actions by Microsoft and Amazon, which have hired AI leaders from startups in multi-billion-dollar deals, raising potential antitrust concerns. Source 
• Parrots Attack Argentinian Village. An overwhelming flock of displaced parrots has descended on the Argentinian town of Hilario Ascasubi, disrupting daily life after deforestation destroyed their natural habitats. Tens of thousands of parrots, outnumbering residents 10 to 1, have damaged power lines, caused outages, and bombarded the town with droppings. Efforts to deter the birds, such as loud noises and lasers, have failed. The invasion highlights Argentina's environmental crisis, particularly the deforestation of the Gran Chaco forest, which has forced the birds closer to human settlements in search of food and shelter. Source
• Junk Dealer Finds Picasso in Basement. A painting found by junk dealer Luigi Lo Rosso in 1962 in a Capri villa basement has been authenticated as a Pablo Picasso original. Initially dismissed and hung in the family's home, the artwork, believed to depict Picasso's lover Dora Maar, is now valued at around €6 million ($6.6 million). After decades of doubt, a graphologist confirmed the signature as authentic. The Lo Rosso family hopes for final certification from the Picasso Foundation, which could further increase the painting's value before they auction it in their father's honor. Source 
• Switzerland Goes After President’s Family. Swiss authorities have frozen nearly $500,000 in bank accounts belonging to Hashim Djojohadikusumo, brother of Indonesia’s president-elect Prabowo Subianto, in a dramatic escalation of efforts to recover $154 million in unpaid taxes. The Swiss Federal Supreme Court rejected Hashim's claims of insolvency, despite his argument that he had spent hundreds of millions bailing out Prabowo's business and funding his campaigns. This follows the auction of two luxury villas owned by his wife, as authorities intensify their decades-long crackdown on the influential family’s assets. Source  

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