Market Beats | McKinsey Plans to Cut Up to 10% of Support Roles; Netflix CEOs Defend Warner Bros. Deal; Hollywood Director Rob Reiner Found Dead; Dutch Pension Fund PME Ends Relationship With BlackRock; GM Brings Apple Music to Chevrolet and Cadillac Vehicles; iRobot Files for Bankruptcy; Brompton Revenue Holds Steady as Sales Slide

—— McKinsey Plans to Cut Up to 10% of Support Roles; Netflix CEOs Defend Warner Bros. Deal; Hollywood Director Rob Reiner Found Dead; Dutch Pension Fund PME Ends Relationship With BlackRock; GM Brings Apple Music to Chevrolet and Cadillac Vehicles; iRobot Files for Bankruptcy; Brompton Revenue Holds Steady as Sales Slide

1. McKinsey Plans to Cut Up to 10% of Support Roles

When McKinsey partners gathered in Chicago in late October to celebrate the consulting firm’s 100th anniversary, Global Managing Partner Bob Sternfels declared, “We will kick some ass as we start our second century.”

But away from the celebrations, a more pragmatic message was being delivered: the firm needs to get leaner.

According to people familiar with the discussions, McKinsey leadership has informed managers across non–client-facing departments that the firm plans to cut about 10% of headcount in support functions. This reduction could total several thousand jobs phased over the next 18 to 24 months. After a decade of aggressive expansion, revenue growth has stagnated over the past five years, prompting a reset.

“As we mark our 100th year, we’re operating in a moment shaped by rapid advances in AI that are transforming business and society,” a McKinsey spokesperson said. “Just as we’re helping clients strengthen their organizations, we’re on our own journey to improve the effectiveness and efficiency of our support functions.”

From 2012 to 2022, McKinsey’s workforce expanded dramatically from 17,000 to as many as 45,000. It has since declined to around 40,000. Firmwide revenue has hovered between $15 billion and $16 billion during the past five years, though Sternfels told partners that growth is improving.

The spokesperson noted that it is still too early to determine the net impact on overall headcount.

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2. Netflix CEOs Defend Warner Bros. Deal

Netflix Inc.’s two chief executive officers laid out the company’s justification for acquiring Warner Bros Discovery Inc. in a Monday letter to employees, addressing industry concerns after rival Paramount Skydance Corp. went public with a hostile, competing bid.

Greg Peters and Ted Sarandos sought to reassure staff and Hollywood stakeholders by emphasizing that Netflix is committed to maintaining Warner Bros.’ theatrical film releases, despite the company’s historic focus on streaming. Sarandos had previously described cinema-going as an “outdated” experience, raising fears the acquisition could sideline theatrical distribution.

“We haven’t prioritized theatrical in the past because that wasn’t our business at Netflix,” the co-CEOs wrote. “When this deal closes, we will be in that business.”

They also pledged no overlap or studio closures, addressing anxiety that a mega-merger could prompt sweeping job cuts in an industry already pressured by streaming and artificial intelligence.

“This deal is about growth,” they wrote. “We’re strengthening one of Hollywood’s most iconic studios, supporting jobs, and ensuring a healthy future for film and TV production.”

Netflix is pushing ahead with its $82.7 billion agreement, even as Paramount has launched a hostile bid offering a higher payout and seeking to buy all of Warner Bros. Discovery. Peters and Sarandos said the rival move was “entirely expected” but affirmed that Netflix has “a solid deal in place.”

Regulatory scrutiny is emerging as a major unknown. The CEOs pointed to Nielsen view-share data indicating that a Netflix–WBD combination would still have a smaller share than YouTube—or than a hypothetical Paramount–WBD merger—suggesting the transaction shouldn’t raise outsized antitrust concerns.

Senator Elizabeth Warren of Massachusetts called Paramount’s bid a “five-alarm antitrust fire,” after previously labeling Netflix’s bid an “anti-monopoly nightmare.”

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3. Hollywood Director Rob Reiner Found Dead

Rob Reiner, the acclaimed Hollywood director and actor behind 1980s classics such as The Princess Bride and This Is Spinal Tap, was found dead on Sunday under circumstances that prompted a police investigation. He was 78.

Reiner and his wife, Michele Singer Reiner, were discovered in their Los Angeles home with apparent stab wounds, according to NBC News and other US outlets citing sources close to the family. Representatives for Reiner did not immediately respond to requests for comment.

Investigators were questioning a family member, the Associated Press reported, citing an unnamed law enforcement official briefed on the case. Los Angeles police said officers responding to the Brentwood residence located two deceased individuals and are treating the matter as a “death investigation.” No suspect has been detained.

“We’re going to try to speak to every family member that we can to get to the facts of this investigation,” Deputy Chief Alan Hamilton said.

The AP reported that detectives with the Robbery-Homicide Division were investigating an “apparent homicide,” according to LAPD Captain Mike Bland.

Celebrities and political figures took to social media to mourn Reiner, whose work shaped decades of American film and television. Those expressing condolences included former US President Barack Obama, actor James Woods, California Governor Gavin Newsom and Elijah Wood. “This is a travesty. Praying for swift justice. Sympathies to their family and children,” comedian and talk-show host Roseanne Barr posted on X.

The son of legendary comedian and writer Carl Reiner—one of the pioneers of 1950s TV comedy—Rob Reiner started with small television roles in the 1960s. His breakthrough came as Michael “Meathead” Stivic, the liberal son-in-law on the long-running sitcom All in the Family.

Reiner later moved into directing, where he helmed a series of enduring classics such as The Princess Bride and Stand by Me, based on a Stephen King story.

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4. Dutch Pension Fund PME Ends Relationship With BlackRock

PME, a Dutch pension fund overseeing about $70 billion, has severed ties with BlackRock Inc. after determining that the world’s largest asset manager no longer acts in its best interests on critical issues such as climate risk.

The decision removes a €5 billion ($5.9 billion) equity mandate from BlackRock’s control. PME said via email that the portfolio will instead be transferred to UBS Group AG and MN, an investment manager based in The Hague, with a decision on the allocation between the two firms to be made in the coming months.

As part of an ongoing review covering multiple asset classes, PME said it “decided to end our relationship with BlackRock.” While the New York-based manager has provided “many years of high-quality services,” including money market fund management, PME no longer sees it as a partner capable of acting in line with its long-term vision.

PME manages retirement savings for workers in the Dutch metals and technology sectors. Earlier this year, the fund signaled concerns after BlackRock withdrew from a major net-zero coalition. In May, senior responsible-investment strategist Daan Spaargaren told Bloomberg that PME seeks partners who can stand firm against what it views as the Trump administration’s growing anti-climate and anti-judiciary agenda.

“Full alignment with our ambitions is not always possible,” PME Chair Alae Laghrich told Bloomberg. “However, we do expect clear commitment and progress in the right direction,” adding that the newly selected managers offer stronger alignment.

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5. GM Brings Apple Music to Chevrolet and Cadillac Vehicles

General Motors Co. has struck a deal with Apple Inc. to bring the Apple Music app to Chevrolet and Cadillac models starting Monday via an over-the-air software update. The move restores access to one of Apple’s most popular apps after GM began phasing out Apple CarPlay in 2023 — a decision that drew widespread backlash, with some consumers saying they wouldn’t buy a GM vehicle without CarPlay. Some third-party companies even tried to restore CarPlay functionality through adapters, though older GM models still offer CarPlay.

“We recognize it’s a hot-button topic,” said Sterling Anderson, GM’s chief product officer. He noted that while CarPlay was valuable in vehicles with limited native application access, GM’s latest infotainment platforms now provide the services customers want without relying on external projection systems.

Apple Music will first roll out to the Cadillac Vistiq, Escalade IQ EV, and CT5 sedan. Chevrolet will add it to the Equinox, Blazer, and Silverado EVs, as well as the Corvette, Tahoe, and Suburban. Buick and GMC will also gain access later.

Customers of all 2025 model-year vehicles and newer in the US and Canada will be able to stream Apple Music at no additional cost for eight years through GM’s OnStar Basics telematics platform. Some Cadillac models will support Apple’s Spatial Audio with Dolby Atmos, enabling an immersive multi-speaker listening experience — something CarPlay cannot provide.

Apple announced a similar integration with Mercedes-Benz in 2022, and both Tesla and Rivian offer native Apple Music without CarPlay.

GM is moving away from CarPlay in favor of a proprietary system that integrates deeper vehicle controls, aiming to reduce the need for drivers to switch between vehicle menus and smartphone projection interfaces.

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6. iRobot Files for Bankruptcy

iRobot Corp., maker of the Roomba robot vacuum, filed for bankruptcy in the US and proposed transferring control of the company to its primary Chinese supplier, Shenzhen PICEA Robotics Co., and its subsidiary. The Massachusetts-based firm listed between $100 million and $500 million in assets and liabilities in its Chapter 11 filing. Under the proposed restructuring plan, iRobot’s common stock will be wiped out.

Founded in 1990 by MIT engineers, iRobot rose to prominence after launching Roomba in 2002, a product that became synonymous with autonomous home cleaning. However, earnings declined after the Covid era due to supply-chain disruptions and intensifying competition from lower-cost rivals. The company warned earlier this month that bankruptcy was possible. Shares plunged as much as 75% on Monday, reaching an all-time low.

Amazon.com had attempted to acquire iRobot in 2022, but the deal collapsed amid objections from European Union competition regulators. Although iRobot received more than $90 million in compensation for the failed transaction, much of it went toward advisory fees and repayment of a bridge loan provided by Carlyle Group Inc.

Last month, PICEA’s subsidiary Santrum Hong Kong acquired roughly $191 million in outstanding principal and interest on that loan. PICEA has since been in negotiations with iRobot to inject capital and address the remaining debt.

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7. Brompton Revenue Holds Steady as Sales Slide

Brompton’s annual bike sales fell to their lowest level since 2021, marking another difficult year for the cycling industry. But the UK manufacturer expects revenue growth to return next year as post-pandemic headwinds ease and newer, more expensive models contribute more meaningfully to sales.

For the year ended March 31, Brompton sold 78,530 bicycles, down 7.5% from 84,899 the year before. However, total revenue dipped less than 1% to £121.5 million, thanks to the strong performance of its new G Line off-road model and expansion of its subscription service.

The company recorded a pre-tax profit of £130,500, a notable improvement from just £4,602 in 2024, according to financial results shared with the Financial Times. The UK’s largest bicycle maker has softened the impact of the post-Covid slowdown by focusing on higher-priced models such as the G Line, launched in October 2024 with a starting price of £2,599 versus £1,399 for the standard C Line four-speed. Brompton said revenue for the first half of the year ending March 2026 is already up 10% year over year.

Chief executive Will Butler-Adams said 2025 was affected by ongoing industry challenges, but he expects both revenue and profit to grow next year after three years of difficult trading.

Brompton’s subscription plan, which allows customers to rent a folding bike for £35 a month, grew 45% in 2025. The G Line, featuring larger wheels and stronger brakes, accounted for nearly 10% of annual turnover. With the G Line’s recent launch in Asia and the introduction of the new e-Motiq electric range in Europe this October—set to debut in the US early next year—Brompton expects these premium lines to be key growth drivers.

Bike manufacturers have struggled to clear excess inventory in recent years, facing what Butler-Adams called the “worst cold wind in 50 years.” The industry shifted from a pandemic-driven boom to deep discounting amid inflation pressures and supply-chain disruptions, pushing many brands and retailers out of business.

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