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Congress unloads on TikTok’s CEO... March 24, 2023 [View Online]( | [Sign Up]( | [Shop]( [Morning Brew]( TOGETHER WITH [SmartAsset]( Good morning. Wanna retire young? Be more like Ash Ketchum. The beloved Pokémon trainer is retiring from the Japanese anime series today at the sprightly age of 10—the same age that he was in the pilot episode 25 years ago. Ash is one of the best-known examples of the “[Not Allowed to Grow Up](” TV trope, which originated in early sitcoms to preserve the comedic dynamics of the nuclear family. Of course, it’s a little easier to pull off with an animated character. Jamie’s thought experiment: Which characters across TV have stayed the same age the longest? (Besides the Simpsons family.) —Neal Freyman, Jamie Wilde, Matty Merritt MARKETS Nasdaq 11,787.40 +1.01% S&P 3,948.72 +0.30% Dow 32,105.25 +0.23% 10-Year 3.422% -2.2 bps Bitcoin $28,042.05 +2.18% Accenture $271.66 +7.26% *Stock data as of market close, cryptocurrency data as of 2:00am ET. [Here's what these numbers mean.]( - Markets: Stocks were [extra jumpy]( as investors chewed over the implications of the Fed’s latest interest rate hike, but still closed higher. Accenture, the professional services giant, popped after it said it was cutting 19,000 jobs, or about 2.5% of its workforce, in the next 18 months to trim costs.  TECH [TikTok CEO gets no likes in Congress]( [TikTok CEO on Capitol Hill ]( Tasos Katopodis/Getty Images At a [spicy hearing]( on Capitol Hill yesterday, TikTok CEO Shou Zi Chew fought for the app’s survival in the US. With calls to ban TikTok gaining momentum, the company dispatched its head honcho—a Harvard Business School grad—to alleviate concerns that the Chinese-owned social media app could be used as a spying tool far more potent than any balloon. He didn’t make much progress The first lawmaker to speak, House Energy and Commerce Committee Chair Cathy McMorris Rodgers, fired up the grill by calling for a ban on TikTok: “ByteDance is beholden to the CCP, and ByteDance and TikTok are one and the same,” she said, referring to the Chinese Communist Party’s ability to force ByteDance (TikTok’s parent company) to give it information. In his testimony, Chew didn’t exactly instill confidence that TikTok had a firewall against China. For instance, he couldn’t unequivocally deny that Chinese ByteDance employees can access US user data. “I think quite frankly your testimony has raised more questions for me than answers,” Democratic Rep. Lisa Blunt Rochester said. But lawmakers didn’t just focus on TikTok’s ties to China. They attacked the app over problems like misinformation, addiction, and dangerous viral trends—issues that Chew [pointed out]( plague US social media companies as well. TikTok has launched a full-court press to defend itself Not only in the halls of Congress, but also in the court of public opinion. - This week, TikTok sent an army of influencers to Washington, DC, to make the case that the app was a net positive for society and allowed them and other creators to make a living. - Chew also noted that TikTok now has 150 million monthly users in the US, equivalent to 45% of the population. His not-so-subtle message: Do you really think you can take away something nearly half of Americans love and still expect to be reelected? Still, analysts watching the hearing gave Chew’s performance two thumbs down. Wedbush’s Dan Ives called it a “[disaster](” that only accelerates a TikTok ban or a sale. Where things stand: The Biden administration has demanded that ByteDance sell its stake in TikTok or get booted from the US. China has responded that it will “firmly oppose” a forced sale.—NF �  �  �  TOGETHER WITH SMARTASSET [Channeling that retirement energy]( [SmartAsset]( Life should be a balance of adventure and relaxation—without spending too much time worrying about finances. Which is why SmartAsset raised $161m to help people plan for retirement. Their no-cost tool makes it easy to [find vetted financial advisors]( who serve your area. And it may be worth your while, since research suggests people who work with a financial advisor could end up with 15% more money to spend in retirement.¹ SmartAsset can help you kick-start your retirement plans today. [Try their free quiz]( to get matched with up to 3 financial advisors serving your area, each legally bound to work in your best interest. [It’s never too late to work toward financial freedom](. WORLD Tour de headlines [Tour de headlines]Character.AI Character.AI lands $1 billion valuation. A chatbot startup even younger than Ash Ketchum just [became a unicorn]( after scoring a $150 million funding round led by Andreessen Horowitz. Founded 16 months ago by ex-Googlers, Character.AI made a [chatbot]( that lets you message with AI-generated versions of real people (dead or alive) or made-up characters. If it wasn’t apparent already, VCs are ready to plow all kinds of $$$ into startups working on generative AI. Crypto fugitive arrested and charged with fraud. Do Kwon, the co-founder of Terraform Labs who oversaw a $40 billion cryptocurrency wipeout last May, was [arrested]( and charged with fraud by US prosecutors. An international search had been underway for months, and when authorities finally caught him and Terraform’s CFO, the scene was straight out of a movie: They were in Montenegro, attempting to fly to Dubai under fake Costa Rican traveling documents, and also had South Korean and (falsified) Belgian travel docs with them. Apple’s investing in waaaayyy bigger screens. Apple plans to spend $1 billion per year to [produce movies]( that will be released in theaters, Bloomberg reported yesterday. The tech company is answering Nicole Kidman’s call in order to win over Hollywood’s best talent (who still care about Oscar noms) and snag buzzier projects. Plus, theatergoers might be tempted to sign up for Apple TV+ after they clean the butter off their fingers. Apple’s CODA won the Academy Award for best picture in 2022, but the film brought in less than $2 million at the box office. FINTECH [Hindenburg goes after Dorsey]( [Jack Dorsey]( Marco Bello/Getty Images Hindenburg Research sank its teeth into its next victim: Block, a fintech giant led by former Twitter CEO Jack Dorsey. The short seller, known for digging up corporate dirt, released a report yesterday alleging that Block is [letting fraud flourish]( on its mobile payment service Cash App to pad its growth data. Block’s stock crumpled nearly 15% after Hindenburg released its two-year investigation. The biggest allegations: - According to Hindenburg, former Cash App employees estimate that 40%–75% of accounts on the app were either fake or fraudulent and could be traced back to one person. - It also claimed Cash App played host to numerous scams conducted by users involving Covid stimulus and unemployment payments. - Hindenburg pointed to rappers bragging about paying for drugs—and in one case, potentially murder—via Cash App in their songs. Block called the report “inaccurate and misleading” and threatened potential legal action. Big picture: You might remember Hindenburg for exposing sketchy behavior at EV startup Nikola, which ultimately led to former CEO Trevor Milton getting convicted of fraud. But its most damning [accusation]( was lobbed at Indian conglomerate Adani Group in January for “pulling the largest con in corporate history.” Adani denied the claims, but the report still caused a $100+ billion wipeout in market value.—MM �  �  �  TOGETHER WITH MICROSOFT [Microsoft]( A whole new workplace: As the workplace evolves, it’s getting smarter. Join Microsoft’s Viva Summit on April 20 to learn from Microsoft leaders about how [smart tech empowers]( modern workplaces. Get inspired by expert-led panels and a showcase of Microsoft Viva’s AI-powered innovations. [Register now](. MEDIA [Is ChatGPT the next Aaron Sorkin?]( [The Hollywood sign in cyber-looking font]( Francis Scialabba This week the Writers Guild of America, a labor union that reps film and TV writers, [proposed]( that AI be allowed to help write scripts. The idea arose during routine negotiations between the WGA and the Alliance of Motion Picture and Television Producers, which reps studios, [over writers’ pay](. And while letting ChatGPT in the writers room sounds like a job threat, the details of the WGA’s proposal could ensure we won’t see a robot giving an Oscars speech anytime soon. AI could do some of the work but get none of the credit The union [tweeted]( that it considers AI to be merely “research material,” noting that “AI software does not create anything. It generates a regurgitation of what it’s fed.” Therefore, the WGA proposes that AI could be used to help write scripts. But the writer who turns AI-generated text into a show or movie would get all the credit—and compensation. Zoom out: Creative industries everywhere are discussing what guardrails should be established around using AI to produce content. While the WGA’s proposal could set a precedent for materials created with AI, some are wondering…what happens when AI gets good enough to write a screenplay without a human co-writer?—JW �  �  �  GRAB BAG Key performance indicators [Jennifer Coolidge in White Lotus]The White Lotus/HBO Stat: If you film it, they will come. In a [survey]( from American Express, 70% of Gen Z and millennials said they were inspired to travel to a destination after seeing it in a TV show, movie, or news source. HBO incepting your next vacation is best showcased by The White Lotus, the hit series set in posh hotels in Maui and Sicily. The Four Seasons Maui’s website saw a 425% annual increase in traffic during season one, and good luck finding a place to stay in Taormina this summer. Quote: “The current development, where billionaire sheiks and oligarchs take over clubs and control them as their personal playgrounds, is not a healthy trend.” To reverse this trend in soccer, Finnish entrepreneur Thomas Zilliacus said he wants to [go halfsies]( with fans on a bid to purchase Manchester United—his company would buy 50% of the club, while MUFC fans would grab the rest. Zilliacus calculated that if all fans participated, the cost would amount to less than $3 per supporter. The only other known bidders for Manchester United are British billionaire Jim Ratcliffe and Qatar’s Sheikh Jassim. Read: Thirty of the best short films and novels. ([The Guardian]() QUIZ [You have got to be quizzing me]( [Weekly news quiz]( The feeling of getting a 5/5 on the Brew’s Weekly News Quiz has been compared to lowballing a Depop seller and them accepting the offer. It’s that satisfying. [Ace the quiz](. NEWS What else is brewing - [Utah Gov. Spencer Cox]( signed two measures to restrict teens’ access to social media platforms. Utah is the first state to enact this kind of legislation. - [Beyoncé]( and Adidas have mutually agreed to end their creative partnership, per The Hollywood Reporter. - [Ford]( expects to lose $3 billion on its electric vehicle business this year. It’s the first time the automaker has released financials by business unit instead of by region. - [The Bank of England]( followed up the Fed by raising interest rates a quarter-percentage point. RECS [Friday to-do list] SEO tip: Just do what this [dentist’s office]( did. Wanna feel small? Here’s a video of the [scale of the universe](. Startups to watch: A list of the [top 100 consumer marketplace startups]( and private companies. Corn kid, wya? Little Caesars has a new [corncob crust pizza](. Future of Work: HR Brew’s weekday newsletter delivers industry news, how-to guides, and event opportunities to help HR pros grow their impact. [Subscribe for free](. 2X your rewards: Take the guesswork out of picking which card to use at checkout with [Kudos](, a free shopping extension that now doubles your credit card rewards. [Get Kudos and shop smarter today](.* *This is sponsored advertising content. GAMES The puzzle section Picdoku: Enjoy a guilt-free breakfast of burgers and fries in today’s Picdoku. [Play it here](. Friday puzzle Which name from Group B best fits with those in Group A? Group A 1) Timothy Isaac Mathers 2) Jennifer Elizabeth Napier 3) Richard Ivan Christopher King 4) Susan Ursula Zoe Young Group B 1) Fredrick Adam Thompson 2) Elizabeth Lorraine French 3) Jacob Alan Keegan Edwards 4) Zachary Oscar Otto Miller 5) Debra Alicia Tracy Elms 6) Zelda Irene Potter AROUND THE BREW [New managers: listen up]( [New managers: listen up]( Wedding Crashers/New Line Cinema Recently promoted to mAnAgEmEnT? The Brew’s one-week online course, New Manager Bootcamp, will give you the tools to kick butt in your new role. [Register now](. Microsoft is so bullish on solar power that it believes it will occupy 50% of the company’s energy mix by 2025. Why? [Find out here](. Looking for a CFO job? Check out [this guide to the hiring process]( from CFO Brew. SHARE THE BREW [Share Morning Brew]( with your friends, acquire free Brew swag, and then acquire more friends as a result of your fresh Brew swag. We’re saying we’ll give you free stuff and more friends if you share a link. One link. Your referral count: 0 [Click to Share]( Or copy & paste your referral link to others: [morningbrew.com/daily/r/?kid=a905682a]( ANSWER Jacob Alan Keegan Edwards. The initials of the names in Group A spell a common short form of the first name in each entry. ([Source]() ✢ A Note From SmartAsset 1. [“Journal of Retirement Study Winter”]( (2020). The projections or other information regarding the likelihood of various investment outcomes are hypothetical in nature, do not reflect actual investment results, and are not guarantees of your future results. Please follow the link to see the methodologies employed in the [Journal of Retirement study](. � � � � � Written by [Neal Freyman](, [Matty Merritt](, and [Jamie Wilde]( Was this email forwarded to you? Sign up [here](. Get smarter in just 5 minutes - Money & Career: [Money Scoop](  [Money With Katie](  [Raise]( Business education without the BS - Programs in [Business Essentials](, [Analytics](, and [Leadership]( Interested in podcasts? - Check out ours [here]( [ADVERTISE]( // [CAREERS]( // [SHOP]( // [FAQ]( Update your email preferences or unsubscribe [here](. View our privacy policy [here](. Copyright © 2023 Morning Brew. All rights reserved. 22 W 19th St, 4th Floor, New York, NY 10011