1. Nearly 40% of US Homeowners Are Mortgage-Free
2. Amazon Lays Off Hundreds in Alexa Division
3. Eli Lilly to Build $2.5 Billion Plant in Germany
4. Ransomware Gang Lockbit Hits Two More Firms
5. Citigroup to Announce First Layoffs Post-Restructuring
6. OpenAI Board Ousts CEO
7. UK Billionaire Buys Stake in Manchester United
1. Nearly 40% of US Homeowners Are Mortgage-Free
New data shows that from 2012 to 2022, the percentage of fully paid-off homes in the US rose by 5%, reaching a historic high of nearly 40%.
Over half of these mortgage-free homeowners are of retirement age and can now enjoy more financial security.
Since the early 1990s, the 30-year mortgage rate steadily fell below 10%. Many homeowners refinanced multiple times over the years, securing lower rates and paying off their loans faster.
As of 2022, among the 84.6 million owner-occupied homes, about 33% of homeowners were over age 65—up 4.6% from a decade ago.
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2. Amazon Lays Off Hundreds in Alexa Division
According to internal communications, Amazon is laying off several hundred employees in its Alexa smart device division.
Daniel Rausch, VP of Alexa and Fire TV, said the cuts are meant to refocus resources on strategic areas like generative AI.
Voice assistants like ChatGPT have outpaced Alexa in capabilities, and Alexa’s team has struggled to expand beyond home applications.
Investors welcomed the cost-cutting. Amazon shares rose 1% today.
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3. Eli Lilly to Build $2.5 Billion Plant in Germany
Eli Lilly announced plans to invest $2.5 billion in a new injectable drug manufacturing facility in Germany.
Construction will begin next year, with operations expected to start in 2027. The company will also invest $100 million in early-stage German biotech firms.
Skyrocketing demand for Eli Lilly’s weight-loss and diabetes drugs has strained supply chains, prompting the need for more production capacity.
Due to shortages, Eli Lilly has started limiting purchases of its best-selling diabetes drug Trulicity in Europe.
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4. Ransomware Gang Lockbit Hits Two More Firms
Lockbit, the hacker group behind the recent attack on ICBC, claimed it has also infiltrated Chicago Trading Company and Alphadyne Asset Management.
Alphadyne has continued operations despite the threats, sources say.
CTC is cooperating with law enforcement and boosting its cybersecurity. A spokesperson said no ransom demand had been received and operations remain unaffected.
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5. Citigroup to Announce First Layoffs Post-Restructuring
Sources say Citigroup will announce the first major round of layoffs under its restructuring plan, named “Bora Bora,” as early as next Monday.
So far, only 1% of employees—about 2,400 people—have been reviewed. Many more layoffs are expected.
Laid-off employees will be given some time and support to transition or find other roles.
CEO Jane Fraser aims to complete the restructuring by the end of Q1 next year.
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6. OpenAI Board Ousts CEO
OpenAI announced that CEO Sam Altman has been dismissed due to a breakdown of trust with the board, citing his lack of candor during communications.
Altman, 38, became a global AI icon after the launch of ChatGPT.
He tweeted today that he “loved his time at OpenAI” and valued working alongside the team.
CTO Mira Murati will step in as interim CEO.
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7. UK Billionaire Buys Stake in Manchester United
Billionaire Jim Ratcliffe has offered to buy shares of Premier League club Manchester United at $33 apiece—representing a 78% premium over Thursday’s closing price and valuing the club at $5.5 billion.
The Glazer family, which owns 69% of the club, has agreed to sell a 25% stake.
The Glazers first expressed interest in selling a minority stake last October. After over a year of negotiations, the deal is close to final.
Ratcliffe beat out a Qatari consortium that was bidding for full ownership.
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This content is sourced from Financial Times, Bloomberg, and The Real Deal, among other financial news outlets.