__You’ve got Email...__ Elon mail. It's the day after Thanksgiving. __SpaceX__ employees are still digesting pecan pie, when Elon Musk [sends](https://spaceexplored.com/2021/11/29/spacex-raptor-crisis/) a company-wide email that would give anyone indigestion: The lack of progress in developing Raptor rocket engines has created a “genuine risk of bankruptcy” for SpaceX. Employees spit out their pie as Elon intensifies:

- __Not to make you feel bad,__ but Elon was going to take his first weekend off in *forever*, yet instead he’ll be “on the Raptor line all night and through the weekend."
- __Cancel Black Friday.__ Elon’s not sugarcoating it: “We need all hands on deck to recover from… a disaster."

__Starships were meant to flyyy...__ Nicki Minaj's 2012 banger is also the name of SpaceX's next-generation rocket being developed in Texas. Starship will first be used to take humans to the moon for NASA's Artemis program. Then the fully reusable rocket will launch cargo and people on missions to Mars. But before Starship can fly, SpaceX needs to fix issues plaguing production of its Raptor engines.

- Starship rockets are also necessary to launch the next generation of SpaceX’s Starlink satellites. The first gen are major money losers. 
- With its Falcon rocket, SpaceX has launched 1.7K *first*-gen satellites, with 140K customers paying $99/month for high-speed internet. But only Starship can launch the next version.

When Elon cancels Thanksgiving [Cavan Images via Getty Images]

Ping

__Sometimes pressure is the greatest motivator...__ SpaceX has raised billions, leading it to cross a massive $100B valuation. Investors are eager to continue funding it, plus its CEO is Earth’s richest person. And Elon has conceded that even if a global recession were to hit, a SpaceX bankruptcy is unlikely. But he has *also* [underscored](https://twitter.com/elonmusk/status/1465793233729069063?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1465795739104206853%7Ctwgr%5E%7Ctwcon%5Es2_&ref_url=https%3A%2F%2Fd-41966254304092310471.ampproject.net%2F2111152338002%2Fframe.html): *"Only the paranoid survive."* Elon knows that fear sometimes drives results more than complacency. So he's raising alarms to motivate employees to reach SpaceX's ambitious goal of flying Starships at least once every two weeks next year.

Elon says SpaceX faces a “bankruptcy” crisis, but it’s more about pressure than $$$

__Scrambling for Baby Yoda toys…__ The force isn’t with you this holiday season. For the first time ever recorded, online shoppers spent *less* on Black Friday and Cyber Monday than the year before. But it isn’t because Americans aren’t splurging: Holiday shopping is expected to hit a record $843B this season. And while online sales *dropped* during Cyber Week (Thanksgiving through Cyber Monday), online sales from all of November *rose* from last year.

__Extra pricey *and* extra delayed…__ As the global economy recovers from the pandemic, inflation has [hit](https://www.wsj.com/articles/us-inflation-consumer-price-index-october-2021-11636491959) a 31-year high and global-supply [clogs](https://www.nytimes.com/2021/10/31/business/economy/global-shipping-delays-shortages.html) have led to major shipping delays. Two shopping trends have emerged:

- __Early sales:__ __[Target](https://robinhood.com/stocks/TGT)__, __[Amazon](https://robinhood.com/stocks/AMZN)__, __[Macy’s](https://robinhood.com/stocks/M)__, and __[Best Buy](https://robinhood.com/stocks/BBY)__ launched Black Friday-style deals in *October* to get ahead of shortages, so buyers started shopping earlier and spreading their purchases out over time. 
- __BNPL boom:__ To help pay for pricier products (#flated), shoppers [paid](https://www.retaildive.com/news/winners-and-losers-of-black-friday-2021/610601/) with “buy now, pay later” 5X more in November than pre-pandemic. __[PayPal](https://robinhood.com/stocks/PYPL)__ saw a 5X increase in installment payments on Black Friday vs. last year, and rival __Klarna__ saw a 4X increase.

Spread

__The holiday “spread” is replacing the holiday crunch…__ And we’re not talking Nutella and gingerbread cookies. Two global economic issues — inflation and supply disruptions — are transforming shopping habits. Holiday shopping is lasting longer and being paid for in installments more often. Still, spread out doesn’t mean small: Spending is expected to keep rising next year despite supply constraints and rising prices.

Black Friday sales looked darker this year, as two trends reshape shopping habits

SpaceX’s “bankruptcy” alarm, the holiday-shopping “spread,” and more of today’s top Snacks stories

Dow Jones

S&P 500

Nasdaq

Bitcoin

🚀 SpaceX’s “bankruptcy” alarm

__Time to fire up the popcorn.gif…__ __[Facebook’s](https://robinhood.com/stocks/FB)__ purchase of __Giphy__ is turning into a [thriller](https://tenor.com/view/thriller-michael-jackson-eating-popcorn-watching-gif-5577709). Yesterday the UK’s antitrust regulator [ordered](https://techcrunch.com/2021/11/30/faecbook-giphy-cma-order/) Meta (formerly Facebook) to sell Giphy, the GIF-sharing platform that FB [acquired](https://snacks.robinhood.com/newsletters/1kPSsi3ynqeUj7WZlEwOGg/articles/g6csPyNDoJerrDLhfKQk6/) last year for $315M. Refresher: Giphy doesn't own the rights to the vids used in GIFs, so it made money by showing sponsored results to searches (you search "glow up" and get a glossy mouth with Maybelline branding).

- __2 whammies:__ Regulators say the merger reduced ad competition by killing Giphy’s ad service in the US *and* hurt social competition by giving Meta control over __[Snap](https://robinhood.com/stocks/SNAP)__, __[Twitter](https://robinhood.com/stocks/TWTR)__, and __TikTok’s__ access to GIFs.
- __4 options:__ Meta can appeal, sell Giphy, leave the UK, or get fined. The UK *already* fined Meta $70M for failing to cooperate with the investigation. The social giant said it’s considering an appeal.

__Zuck never Meta tougher regulator…__ The company formerly known as Facebook has received plenty of antitrust criticism before, but this lawsuit is unprecedented because it involves a UK regulator trying to break up a *completed* tech merger between *American* companies. Still, global regulators have targeted US tech giants before. __A few examples:__

- London regulators ordered __[Uber](https://robinhood.com/stocks/UBER)__ to shut down in 2019, but Uber won the legal battle.
- Australia passed a law to make Facebook and __[Google](https://robinhood.com/stocks/GOOGL)__ pay for news content, and both eventually struck deals with Aussie media companies after getting the legislation amended. Oz is expected to announce a new inquiry into Big Tech companies today. 


Popcorn

__Precedent is powerful…__ Since Meta faces ongoing antitrust lawsuits worldwide, regulators will be watching its every move. If Meta *doesn’t* appeal, other regulators may be emboldened to crack down too. President Biden has appointed several regulators in the past year — like FTC Chair Lina Khan — who can’t wait to challenge monopolistic practices at Meta, Google, __[Apple](https://robinhood.com/stocks/AAPL)__, and __[Amazon](https://robinhood.com/stocks/AMZN)__. Meta doesn’t want to set a precedent that could break up its biz, so it may take extra care to guard its GIFs. 

UK regulators ordered Facebook to sell Giphy — and it could set a powerful precedent 

__Wool shoes and hydro flasks…__ Throw in a Patagonia, and you’ve got yourself a tech uniform. __[Allbirds’](https://robinhood.com/stocks/BIRD)__ eco-friendly shoes have become a Silicon Valley staple. Think: $98 kicks made from wool, sugarcane, and South African eucalyptus pulp. Shares of the direct-to-consumer company have fallen 33% since going public last month. Allbirds’ first public earnings report didn’t wow investors, and the stock dropped 6% after hours. 

- __Step up:__ Allbirds' quarterly sales [rose](https://ir.allbirds.com/news-releases/news-release-details/allbirds-reports-third-quarter-2021-financial-results) 33%, to $63M, thanks to strong demand for its new athleisure clothing line and fresh sneaker styles (like limited-edition Runner Fluffs).
- __Step down:__ Allbirds’ loss nearly doubled from last year, to $14M, as it splurged to expand its brick-and-mortar stores to 31 locations. 

__Plastic-bottle shoestrings…__ and carbon-negative soles. Allbirds has put sustainability at the center of its business, attracting eco-conscious Zillennials. While the average pair of sneakers creates 12 kilograms of CO2 emissions, Allbirds claims its shoes produce only 7. Its ESG pledges include creating 100% renewable energy for its production facilities by 2025. 

- __Younger consumers are__ almost 2X as likely to consider ESG issues when making purchasing decisions, compared to consumers over the age of 38.
- That’s why companies like __[Beyond Meat](https://robinhood.com/stocks/BYND)__, __Patagonia__, __Tom’s__, and Allbirds have put eco-friendly messaging and materials at their core. 


Eucalyptus-pulp shoes in the wild [Gary John Norman/ The Image Bank via Getty Images]

Woolly

__Brand love doesn’t equal brand permanence…__ Last year, more than half of Allbirds' sales were from repeat customers. But since its expenses are growing along with losses, it may need to grow beyond that core audience to survive long term. Values-driven companies like __Impossible Foods__ and Beyond Meat have seen sales slump recently, and even OG sustainable shoe brand Toms has had to revamp its image to broaden its appeal.

Eco-friendly shoemaker Allbirds posts strong sales for its first-ever earnings — but needs a bigger fan base to potentially turn a profit

👟 Allbirds’ woolly earnings, Meta’s Giphy drama, and more of today’s top Snacks stories

👟 Allbirds’ woolly earnings

__"A variant of concern"...__ Omicron. Global markets plunged on Friday after the world was alerted to the new Covid variant. The heavily mutated variant, first detected in South Africa, has [spread](https://www.cnn.com/2021/11/29/world/covid-omicron-variant-countries-list-cmd-intl/index.html) to at least 15 countries. So far, fewer than 200 cases have been reported globally, with none in the US — but Dr. Fauci said US cases are [inevitable](https://www.npr.org/sections/coronavirus-live-updates/2021/11/28/1059623783/fauci-says-the-omicron-variant-will-inevitably-appear-in-the-u-s). What we know:

- __The bad:__ The World Health Organization [said](https://www.cnbc.com/2021/11/29/omicron-variant-spreads-across-world-heres-what-we-know.html) Omicron poses a “very high” global risk, since existing vaccines may not work against some of its mutations. Also: Early data suggests it may be more transmissible than other strains.
- __The not so bad:__ Symptoms seen so far have been “extremely mild,” according to Angelique Coetzee, the South African doctor who first flagged the strain.

__Stow the passport...__ At least 46 countries, including the US and the UK, have already imposed travel restrictions from some African nations. Japan and Israel have closed their borders to all foreigners. Still, US stocks rebounded yesterday after President Biden [said](https://www.cnbc.com/2021/11/28/stock-market-futures-open-to-close-news.html) there was no need for panic, and there would be no lockdowns (for now). __[Pfizer](https://robinhood.com/stocks/PFE)__ and __[J&J](https://robinhood.com/stocks/JNJ)__ said they’re prepping for the possibility of updating their vaccines. __[Moderna](https://robinhood.com/stocks/MRNA)__ shares jumped 12% after the vax maker [said](https://www.wsj.com/articles/global-stock-markets-dow-update-11-29-2021-11638169716?mod=markets_lead_pos1) it’s working on an Omicron-specific booster.

- __Bear case:__ Depending on Omicron’s severity, it could sidetrack economic recovery, depress markets, and exacerbate supply issues — similar to Delta’s impact on the global economy. 
- __Bull case:__ Omicron’s effects could be curbed since vax makers say they can update their shots to fight it. Activist investor Bill Ackman [said](https://www.cnbc.com/2021/11/29/bill-ackman-says-the-omicron-covid-variant-could-end-up-being-bullish-for-markets.html) Omicron could *boost* stocks if symptoms prove to be less severe than those of other variants. Ackman = same guy who warned investors that "hell is coming" in March 2020. 

Cron

__Investors prefer the devil they know...__ And there's still *plenty* we don't know about Omicron. The WHO said it would take weeks to understand Omicron's health implications. Fed Chair Jerome Powell [believes](https://www.cnbc.com/2021/11/29/fed-chair-powell-says-omicron-variant-poses-risk-to-economy-complicates-inflation.html) Omicron is a threat to the economy and could boost inflation uncertainty. Still: Markets dipped when the Delta variant appeared, then rebounded to record highs as its effects unfolded. 

Enter “Omicron”: How the new variant could affect markets, and what we know so far

__New pinned tweet…__ 15 years, 8 months, and 8 days after posting history’s first tweet, __[Twitter](https://robinhood.com/stocks/TWTR)__ founder and CEO Jack Dorsey has stepped down. CNBC broke the news yesterday, and Dorsey confirmed via tweet. Twitter shares spiked after Twitter CTO Parag Agrawal was [promoted](https://www.cnbc.com/2021/11/29/twitter-ceo-jack-dorsey-is-expected-to-step-down-sources-say.html) to CEO, but closed down 3%. 

- __Dorsey has served double duty__ for years as the leader of both Twitter *and* payments giant __[Square](https://robinhood.com/stocks/SQ)__, joining Elon in the unusual double-CEO club. 
- But investors have [criticized](https://snacks.robinhood.com/newsletters/42WzDwJTA1ARzGFwlhSQCA/articles/63XF0Ex7GVtXqkWpEfixWt/) Dorsey for treating Square — which is nearly 3X as valuable as Twitter — as his favorite child. 

__Not so namaste…__ Dorsey and Twitter have had a #complicated relationship for years. In 2008, he was [fired](https://www.theverge.com/2015/10/5/9457277/jack-dorsey-twitter-ceo-timeline) from his CEO-ship for spending too much time on extracurriculars (think: vipassana meditation retreats, fashion classes). Then, in 2015, Dorsey made a Jobs-ian return as chief exec. Last year, activist investor Elliott Management tried to [pressure](https://snacks.robinhood.com/newsletters/42WzDwJTA1ARzGFwlhSQCA/articles/63XF0Ex7GVtXqkWpEfixWt/) him to either step down or stop multitasking. Now, Dorsey is leaving at a transformational time for Twitter:

- __Ups:__ This year, Twitter [unveiled targets](https://www.cnbc.com/2021/02/25/twitter-sets-goals-to-double-revenue-reach-315-million-users-by-end-of-2023.html) to double revenue by 2023 by attracting new users and launched fresh features like its Twitter Blue subscription and Audio Spaces. 
- __Downs:__ Congress grilled Twitter over failing to fight misinformation, and its revenue is growing [slower](https://snacks.robinhood.com/newsletters/5ei5KZ0s1RNU72D3ZPf13v/articles/4ZPkTzBA4s9p11Q0CXyTKP/) than other social giants’.

More time for breathwork meditation [Westend61 via Getty Images]

Namaste

__Sometimes it’s good for founders to get lost…__ In his resignation letter, Dorsey said companies must eventually ditch their founders to keep evolving. Some analysts argue that founder-led companies outperform competitors. But tech stars like __[Microsoft](https://robinhood.com/stocks/MSFT)__, __[Amazon](https://robinhood.com/stocks/AMZN)__, and __[Google](https://robinhood.com/stocks/GOOGL)__ have thrived *without* their parents. We’ll see if new Twitter boss Agrawal can guide the blue bird to a new era of growth.

Twitter founder Jack Dorsey steps down to focus on Square — and let Twitter find itself 

The Omicron effect, Jack Dorsey tweets out, and more of today’s top Snacks stories

🦠 The Omicron effect

__Charlotte's Web3…__ is tangly. By now, the term "Web3" has been thrown out by techies more times than “Gucci” at Fashion Week. The Silicon Valley buzzword [refers](https://slate.com/technology/2021/11/web3-explained-crypto-nfts-bored-apes.html) to a conceptual internet of the future that runs on public blockchains. Refresher: Web1 was the disjointed era of AOL and static GeoCities pages. Web2 is *the now*, dominated by Big Tech. Web3 is still a vision, but can be loosely defined as:

- __Decentralized:__ Instead of accessing the web through services controlled by titans like __[Google](https://robinhood.com/stocks/GOOGL)__ and __[Facebook](https://robinhood.com/stocks/FB)__, Web3 would feature new services *owned by their users.*
- __Unified:__ By recording your activity in “crypto Sharpie” on a blockchain, Web3 [could](https://www.fastcompany.com/90696192/what-is-web3) let us carry our data around and bounce *between* sites with one "account" (scrap the 50 logins).
- __Direct:__ Blockchain tech could allow for more direct online transactions and interactions, *without* Big Tech intermediaries.

__Googling "how to Web3"...__ *sooo* not Web3. *In theory*, decentralized payments and publicly owned social sites could eliminate some revenue for companies like Google, __[PayPal](https://robinhood.com/stocks/PYPL)__, and Meta (fka Facebook). In October, VC heavyweight Andreessen Horowitz launched a Web3 lobbying campaign in DC, promoting it as a solution to tech monopolies. Cryptos, NFTs, and DeFi apps will be crucial parts of any Web3 future:

- __DeFi:__ Decentralized finance apps replace financial mediators like banks, powering direct transactions via blockchain. 
- __NFTs:__ Web3 could form the basis for a marketplace to exchange everything from digital art to __[Nikes](https://robinhood.com/stocks/NKE)__ through non-fungible tokens. 
- __Voting:__ Web3 features could empower communal platform decisions. __Reddit__ is exploring letting users share ownership of communities with tokens accrued by posting.

Counting the “Web3” mentions [dowell/Moment via Getty Images]

Buzzy

__Web3 is a threat to Big Tech…__ But Big Tech companies will likely be very involved, from shaping regulation to integrating Web3 elements on their platforms (think: community tokens, NFTs). __[Twitter](https://robinhood.com/stocks/TWTR)__ is already exploring ways to add Web3 features to its app. Yet scaling the infrastructure needed for the fully fledged version could take decades. Even the largest blockchains are currently too small to handle all transactions that happen on Web2. Web3’s best-case scenario could be existing alongside Big Tech platforms — not replacing them.

Inside Web3: Why crypto fans are going wild over a blockchain-based internet idea

__The opioid saga continues...__ And now pharmacies are center stage. Last week, two Ohio counties [ruled](https://www.nytimes.com/2021/11/23/health/walmart-cvs-opioid-lawsuit-verdict.html) that __[CVS](https://robinhood.com/stocks/CVS)__, __[Walgreens](https://robinhood.com/stocks/WBA)__, and __[Walmart](https://robinhood.com/stocks/WMT)__ enabled the opioid epidemic — which has killed 500K+ Americans — by allowing opioid over-prescription. The verdict will likely lead to more fines for pharmacy giants. Leading drugmakers are already being held accountable: OxyContin maker __Purdue Pharma__ was slapped with $8.3B in penalties for fraudulent marketing, while __[Johnson & Johnson](https://robinhood.com/stocks/JNJ)__ and opioid distributors __[McKesson](https://robinhood.com/stocks/MCK)__, __[Cardinal Health](https://robinhood.com/stocks/CAH)__, and __[AmerisourceBergen](https://robinhood.com/stocks/ABC)__ also face a $26B settlement. 

__The inflation situation...__ Consumer prices jumped the most in 31 years last month. Three-quarters of Americans say they’re feeling the pinch, and more than half blame President Biden, knocking his approval rating to an all-time low of 41%. But high prices haven’t stopped US consumers from splurging, and holiday spending’s expected to hit a record $860B. Analysts expect inflation to stay high for years, so Biden’s stepping in. Last week, he tapped into national oil reserves to lower gas prices and [renominated](https://snacks.robinhood.com/newsletters/tvJUzlGkshzFrnGnd6qoi/articles/2MgXVXnmmDwESm1JRyHWX7/) Fed Chair Jerome Powell, hoping he’ll fight surging prices.

Zoom Out

Stories we’re watching...

__Task board is stacked…__ with nothing checked off. Software company __[Asana](https://robinhood.com/stocks/ASAN)__ is a one-stop shop for online project management with 100K+ paying customers worldwide. Asana's revenue tripled to $90M last quarter as corporate customers more than doubled, which helped it notch a $20B market cap. Now Asana is focused on expanding its business overseas and growing partnerships with companies like __[Zoom](https://robinhood.com/stocks/ZM)__ and __[Vimeo](https://robinhood.com/stocks/VMEO)__. We’ll see whether that boosted Asana’s sales when it reports on Wednesday. 

__Help (still) wanted...__ even as people flock back to work. After the pandemic triggered millions of layoffs, the job market is heating up again. Last week, the number of Americans claiming jobless benefits hit its lowest level in more than 50 years. October hiring surged as bars, restaurants, and hotels rushed to staff up despite an ongoing labor shortage — which hasn’t been cheap. Retailers are hiking wages and offering free tuition to snag employees. We'll see how the labor rebound is faring when the November jobs report drops on Friday.

Events

Coming up this week...

- __[Bitcity](https://snacks.robinhood.com/newsletters/tvJUzlGkshzFrnGnd6qoi/articles/7zjh1yq8Gd2c9acDpaEOyi/):__ El Salvador plans to build a volcano-powered "Bitcoin City," funded by the first government-issued “Bitcoin bonds” — but its crypto moves could be economically implosive. 
- __[DPF](https://snacks.robinhood.com/newsletters/2n989dA9N7ApWDcv9S51qS/articles/3Mz5szROvbpzCmXpoXRQA8/):__ Zoom shares plunged last week after it reported slowing sales growth. It’s not the only WFH winner suffering from the “demand pulled forward” effect. 
- __[Swipe](https://snacks.robinhood.com/newsletters/2n989dA9N7ApWDcv9S51qS/articles/2XP3myo7aKNIbAvpZ036fv/):__ __Tinder__ and __Hinge__ owner __[Match Group](https://robinhood.com/stocks/MTCH)__ launched a human-matchmaking subscription as swipe-fatigued singles look for love beyond algorithms.

ICYMI

Last week's highlights....

Web3 untangled, pharma’s opioid problem, and more of today’s top Snacks stories

🕸️ Web3, untangled

__“Voice Prompts” on Hinge…__ slightly cringe. Dating giant __[Match Group](https://robinhood.com/stocks/MTCH)__ owns __Tinder__, __Hinge__, __OKCupid__, and 20+ other e-romance businesses. Algorithms rule the world, from suggesting your __[Spotify](https://robinhood.com/stocks/SPOT)__ tunes to hooking you on __TikTok__. Match has long used algorithms to surface eligible singles who also love Nirvana and vegan sushi. Now its techy selection process is getting a human edge:

- __Matchmakers:__ For $5/week, Match.com users can lean on human dating coaches to handpick two top candidates based on their answers to four personal questions. 
- Match said it created the feature because, for some singles, the pandemic added urgency to find a serious relationship. 

__#CuffingSeason…__ During the pandemic, couch-bound singles flocked to dating apps for (virtual) company. Bumble video-chat usage soared 93% after a national emergency was declared, and Match added features to its apps — think free video calls, virtual trivia nights, and Insta-like social feeds. But the *real* money is in paid subscriptions like Tinder Gold and perks like unlimited swipes. Case in point: Tinder is the #1 grossing lifestyle app worldwide, with a record 10.4M “payers” last quarter. Human matchmaking could be apps’ next premium perk.

A match made on Match [Stephen Zeigler/DigitalVision via Getty Images]

Swiped

__There are *too many* fish in the sea…__ Algorithms have enabled personalized experiences on a broad scale. For a low cost (or for free) tailored music, entertainment, and even people can be surfaced to us via apps. Now the differentiators are *curation* and quality. Human curation is more expensive, but it increases the IRL connection that many crave in an algo-driven world. That could become a competitive advantage for apps like Match. 

Tinder owner Match expands to human matchmaking to fight swipe fatigue

__What Zooms in must Zoom out…__ The __[Zoom](https://robinhood.com/stocks/ZM)__ boom may be over. On Monday, the company [reported](https://www.cnbc.com/2021/11/22/zoom-zm-earnings-q3-2022.html?utm_source=newsletter&utm_medium=email&utm_campaign=newsletter_axioscloser&stream=top) slightly better than expected earnings — but revenue growth slowed for the third consecutive quarter. Zoom’s quarterly sales grew just 35% from last year, compared to 10X faster growth a year ago. Shares slid 15% yesterday, dropping Zoom’s market cap to a third of its pandemic peak. Now Zoom’s focused on two things:

- __Corporate customers:__ The number of Zoom customers who spend $100K+ annually nearly doubled last quarter from last year, to 2.5K.
- __New offerings:__ Zoom is exploring growth opportunities, like licensing its video tech to other apps and letting people host paid events (think: __Zumba__ class).

__Zoomed in too far…__ Zoom’s growth didn’t just slow from pandemic highs: It had its slowest quarter since *2018*. Other pandemic thrivers also experienced the “DPF effect” — demand pulled forward. Demand boomed all at once early in the pandemic (aka was “pulled forward”), then slowed as new customers dwindled. The stock market’s up 26% this year, but some WFH winners are seeing slowdown-driven selloffs:

- __[Peloton](https://robinhood.com/stocks/PTON)__ shares are down 71% this year, after __Equinox__ and __SoulCycle__ reopened. Sales grew 6% last quarter compared to 232% in the same quarter last year. 
- Online education company __[Chegg’s](https://robinhood.com/stocks/CHGG)__ shares are also down 71% this year as schools resume and subscription saturation intensifies (#subscripturation).
- __[Pinterest](https://robinhood.com/stocks/PINS)__ shares are down 39% this year since everyone’s already created too many kitchen inspo moodboards.
- __[Netflix](https://robinhood.com/stocks/NFLX)__ added only 4.4M subscribers last quarter, and lost 400K subscribers in North America, after adding a whopping 36M subs worldwide last year.

__Some pandemic habits could stick…__ But Zoom could still lose to the conference room. People who flocked to __Zoom__, __Peloton__, and __Chegg__ are returning to offices, gyms, and schools — and growth is slowing. But not everyone is experiencing subscripturation: __DocuSign’s__ subscription revenue grew *faster* last quarter than a year earlier, because people who started signing digitally aren’t returning to physical paperwork. 

Zoom shares plunge on slowing growth, as the “DPF effect” sets in

❤️‍🔥Match’s new matchmaking, Zoom’s “DPF effect,” and more of today’s top Snacks stories

❤️‍🔥 Match’s new matchmaking

__Not an Onion headline...__ El Salvador said it [plans](https://www.ft.com/content/18b59559-378b-4f14-ab2e-b54ede79816c) to build a volcano-powered __[Bitcoin](https://robinhood.com/crypto/BTC)__ City featuring a central plaza that looks like a massive Bitcoin symbol. Construction is scheduled to start next year. This past September, the Central American nation [became](https://snacks.robinhood.com/newsletters/16uFOszfvdJpLmfPxuN8cQ/articles/1VGWOHosnNxOoSHGQ0xRm/) the first country to adopt Bitcoin as legal tender, alongside the US dollar. Last week, 40-year-old Salvadoran President Bukele said Bitcoin City would be built next to a volcano, which would power BTC mining, and wouldn’t have any taxes, except a sales tax. Bukele is known for his crypto bullishness and authoritarian tactics (and his backward baseball cap).

- __Bit bonds:__ El Salvador plans to create the world’s first government-issued “Bitcoin bonds.” Half the funds from the $1B issues would be converted to BTC, and the other half would be used for city infrastructure and mining.

__Bit volatile...__ El Salvador is one of Latin America's poorest countries, with 23% of its population below the poverty line. Its existing gov’t bonds (aka: debt) are already [categorized](https://www.coindesk.com/markets/2021/11/22/junk-rated-el-salvadors-bitcoin-bonds-look-explosive-think-volcano/) as junk grade, and the Bitcoin-bonds plan is [getting](https://www.ft.com/content/18b59559-378b-4f14-ab2e-b54ede79816c) side-eye from financial experts. Meanwhile, El Salvador is spending hundreds of millions on its Bitcoin rollout, which Bukele [believes](https://theconversation.com/bitcoin-is-now-legal-tender-in-el-salvador-heres-what-that-means-167099) will improve financial inclusion and attract spending from foreign crypto investors.

- __Salvadorans can pay for anything in Bitcoin__ through gov’t-run BTC wallet “Chivo” — from McMuffins to taxes, rent, and even salaries. Bukele says Chivo now has millions of users, but USD is still the most used currency by far.

Erupt

__Larger scale = greater risk…__ By adopting BTC as legal tender, El Salvador is taking a wide-scale risk for 6.5M citizens. The IMF is worried that BTC's volatility — and history of rapid plunges — poses major threats to El Salvador's economy. In a September poll, 80% of Salvadorans said they lacked confidence in BTC, and protests have erupted over fears it could destabilize the economy further. Still, it could be a valuable experiment for other countries considering Bitcoin as a national currency. So far: only Panama. 

El Salvador is planning a volcano-powered “Bitcoin City,” but its moves could be economically implosive

__Powell reloaded…__ Fed Chair Jerome Powell has been running America’s central bank since 2018. He helped the economy rebound from a pandemic plunge with heavy stimulus medicine. Think: pumping trillions into the money supply through $120B monthly bond purchases. Now stocks are near record highs, but inflation is soaring — and Powell may have to clean up the aftermath. 

- __After months of deliberation,__ Biden [said](https://www.wsj.com/articles/biden-will-tap-jerome-powell-for-new-term-as-fed-chairman-11637589600) he’d appoint Powell to another four-year term. The Senate is expected to confirm Biden’s choice soon.
- __Power to the Powell:__ For months, investors had wondered whether Biden would nominate pro-business Powell or Fed governor Lael Brainard, who’s known to be tougher on banks (Biden said he’d appoint her to the No. 2 spot). 

__If it ain’t broke…__ don’t nix it. For Biden, the stakes of this nomination are high. US inflation hit a 31-year high last month. Half of voters blame Biden for surging prices of staples, from gas to bacon. Biden will rely on Powell for help keeping prices down: The Fed can raise interest rates to cool spending and keep prices in check. About that…

- This month the Fed [approved](https://www.wsj.com/articles/fed-dials-back-bond-purchases-plots-end-to-stimulus-by-june-11635962417?mod=hp_lead_pos1) plans to start scaling back its economy-boosting bond-buying program. 
- It announced it was planning to buy $15B less in bonds — *and end all bond purchases by June.*

Sticking to the chair [Westend61 via Getty Images]

Sequel

__There’s a trade-off…__ between inflation and growth. Keeping inflation in check could mean limiting the cash that flows out of banks. It could mean higher interest rates on loans, from mortgages to credit cards — which could depress spending. The sweet spot: keeping inflation under control while maintaining economic growth. Fed officials don’t want to raise interest rates until at least July, after they’ve ended their bond-buying spree. But if prices keep soaring, they may have to move more quickly.

Biden picks Powell for a second term as Fed chair, hoping to fight surging prices

Jerome’s 2nd act, El Salvador’s “Bitcoin City,” and more of today’s top Snacks stories

💸 Jerome’s 2nd act

__Pumpkin pie in the sky...__ The TSA is prepping for what it expects to be the busiest travel day of the year (FYI: this Sunday). Just a year ago, the vaccine rollout hadn't even begun in the US. Now, 80% of Americans over age 12 have been vaccinated thanks to early vax access, and 18% of adults have received a booster. On Friday, the FDA and CDC [cleared](https://www.wsj.com/articles/covid-19-boosters-from-pfizer-biontech-moderna-cleared-for-all-u-s-adults-11637329341?mod=hp_lead_pos3) __[Pfizer](https://robinhood.com/stocks/PFE)__ and __[Moderna](https://robinhood.com/stocks/MRNA)__ boosters for all adults, making them widely available in time for the holidays. 

__Bags packed, potatoes mashed...__ The vax rollout has benefited travel companies, as Americans make up for lost vacays. US travelers are splurging [46%](https://www.forbes.com/advisor/travel-insurance/holiday-travel-trends-2021/) more on trips this year compared to pre-pandemic. 

- __By air...__ Domestic air travel has almost completely [recovered](https://chicago.suntimes.com/2021/11/12/22778553/holiday-travel-thanksgiving-aaa-forecast-increase-hotel-industry-struggling) from its pandemic plunge, and Thanksgiving flyers are expected to hit pre-corona levels. __[Delta](https://robinhood.com/stocks/DAL)__ and __[American](https://robinhood.com/stocks/AAL)__ have returned to profitability. But they still [expect](https://www.cnbc.com/2021/10/13/delta-air-lines-dal-earnings-3q-2021.html) revenue to be down by about 20% from pre-pandemic to end the year. 
- __By road...__ T-giving trips are coming up for over 48M Americans. Too bad car-rental prices are up 75% from 2019. *Not* bad for companies like __[Hertz](https://robinhood.com/stocks/HTZ)__, whose sales [soared](https://ir.hertz.com/2021-08-09-Hertz-Global-Holdings-Reports-Strong-Second-Quarter-2021-Financial-Results) 62% last quarter from the start of this year. With US gas prices at seven-year highs, oil giants like __[Exxon](https://robinhood.com/stocks/XOM)__ and __[Chevron](https://robinhood.com/stocks/CVX)__ could also benefit from holiday mileage. 
- __By stay...__ Only about [22%](https://chicago.suntimes.com/2021/11/12/22778553/holiday-travel-thanksgiving-aaa-forecast-increase-hotel-industry-struggling) of Americans plan to stay in hotels this season. Room prices have jumped as demand recovers, but sales at __[Hilton](https://robinhood.com/stocks/HLT)__ and __[Marriott](https://robinhood.com/stocks/MAR)__ are still down from pre-pandemic. Marriott’s international bookings plunged a whopping 40% from 2019, as overseas travel continues to lag US leisure. On the flip side, __[Airbnb](https://robinhood.com/stocks/ABNB)__ just had its [best quarter](https://s26.q4cdn.com/656283129/files/doc_financials/2021/q3/ABNB_Q32021_EarningsCall_Transcript.pdf) ever, as travelers [embraced](https://snacks.robinhood.com/newsletters/52DNG6pzoXTOUo6SaXM23L/articles/1j1zalFan4ou2Kn1t5pVV7/) longer-term stays in rural cabins and yurts. 

When the flight's still on time [Bymuratdeniz/E+ via Getty Images]

Stuffed

__The recovery journey isn't over...__ While US domestic leisure travel is [expected](https://www.ustravel.org/research/travel-forecasts) to *surpass* pre-pandemic levels in 2022, business and international travel — which makes up the bulk of airline and hotel sales — isn’t expected to fully recover until at least *2024*. But President Biden’s recent announcement that vaccinated tourists can enter the US bodes well for the travel industry. 

US travel has nearly rebounded from the pandemic, but a global return could take years

__Pump anxiety intensifies…__ Biden [asked](https://snacks.robinhood.com/newsletters/1MdLG0nkEkV0IKJgkZKKXm/articles/1dxdtBVIgO4dlpYglNxhzi/) the FTC to look into whether oil powerhouses have been illegally boosting gas prices, which have soared 60% from last year. It’s part of Biden’s anti-monopoly push, which also targets other industries, but experts doubt the FTC will find evidence to blame gas giants. The president has asked OPEC to increase oil production to ease shortages as the global economy revs up — so far OPEC has said “nah.” The Biden admin is running out of options to lower gas prices ahead of winter, when [most](https://www.eia.gov/tools/faqs/faq.php?id=427&t=3) American homes will rely on gas for heat.

__Big Apple meets blockchain...__ NYC will be the second US city after Miami to get its own crypto: __NYCCoin__. Gotham will keep 30% of each NYCCoin that’s mined to support city initiatives, while users keep the rest. Users can trade NYCCoin or use it to mint NFTs or build blockchain-based apps. __MiamiCoin__ has already earned the city $21M+, which it plans to spend on crypto education, underprivileged communities, and green initiatives. “City coins” could be the next step in crypto mainstreamification. Austin also has one in the works.

__Out of meeting minutes…__ The __[Zoom](https://robinhood.com/stocks/ZM)__ boom may be over. A year ago, Zoom’s quarterly sales [quadrupled](https://snacks.robinhood.com/newsletters/0zpHLW1IB8pix8YUTXac2/articles/4IExzn16n03xk7jw6WX7V9/) from 2019 as businesses scrambled to WFH. Last quarter, Zoom posted record sales thanks to its 500K+ [corporate customers](https://www.wsj.com/articles/zoom-hits-1-billion-in-quarterly-revenue-11630355814). But growth has *slowed* dramatically as IRL work returns, and Zoom’s stock has plunged by half since its pandemic peak. Now it’s [branching](https://snacks.robinhood.com/newsletters/5HtwscQfcOrULa2oxOGp86/articles/5iIplaPGJsfj6DmHMmIipO/) into licensing its video tech to *other* apps (think: dating) and letting people host paid events, like virtual Pilates. We’ll see if that’s helping when Zoom reports today. 

__Lined up at 5 a.m.…__ Retailers are bracing for Black Friday. __[Gap](https://robinhood.com/stocks/GPS)__ and __[Urban](https://robinhood.com/stocks/URBN)__ placed orders as early as six months ago to avoid supply backlogs, and retailers like __[Amazon](https://robinhood.com/stocks/AMZN)__ and Target launched BF deals last month. Consumer spending has boosted sales at Urban, __[Abercrombie](https://robinhood.com/stocks/ANF)__, __[American Eagle](https://robinhood.com/stocks/AEO)__, Gap, and __[Nordstrom](https://robinhood.com/stocks/JWN)__ — which all report this week. Meanwhile: Walmart, __[Kohl’s](https://robinhood.com/stocks/KSS)__, __[Macy’s](https://robinhood.com/stocks/M)__, and __[TJ Maxx](https://robinhood.com/stocks/TJX)__ posted strong quarterly sales *last* week. Despite soaring supply and labor costs, Target, TJ Maxx, and Walmart all [said](https://www.wsj.com/articles/target-posts-strong-sales-and-says-it-has-plenty-in-stock-for-black-friday-11637148726?mod=article_relatedinline) they’re stocked up. 

- __[Red](https://snacks.robinhood.com/newsletters/1e3lwXtO6b6giHg2TXcAGO/articles/799g3A4a08tsjHQiwWNyi9/):__ T Swift’s rerecorded version of her bombshell album “Red” is racking up more streams than the 2012 original, which she doesn’t own — and it’s making record labels sweat. 
- __[Shiny](https://snacks.robinhood.com/newsletters/18W8mGgbaTcj7dcf5iQlMM/articles/P1fxI5uu4JJo45BtaRoVy/):__ __[Lucid’s](https://robinhood.com/stocks/LCID)__ $169K electric sedan was crowned Motor Trend’s “car of the year.” The luxe EV maker is now worth more than __[Ford](https://robinhood.com/stocks/F)__, though its cars have barely hit driveways. 
- __[LeBron](https://snacks.robinhood.com/newsletters/1MdLG0nkEkV0IKJgkZKKXm/articles/3fgPPtX6MTcToqS4udsY79/):__ Crypto exchange __Crypto.com__ struck a 20-year deal (reportedly worth $700M) to rename LA’s Staples Center, LeBron’s home stadium, in a bid to crypt-ify sports fans. 

Last week's highlights...

Thanksgiving travel-palooza, city crypto coins, and more top Snacks stories

🦃 Thanksgiving travel-palooza

__Warm up the gaming chair...__ __[Nvidia](https://robinhood.com/stocks/NVDA)__ makes graphics cards for everything from laptops to gaming consoles, including __[Nintendo’s](https://robinhood.com/stocks/NTDOY)__ Switch. America's most valuable chip company just reached new horizons: Nvidia [scored *another* quarter](https://www.wsj.com/articles/nvidia-posts-record-revenue-as-videogaming-sales-soar-11637185887?mod=business_lead_pos6) of record sales, raking in $7.1B as demand for its gaming and server chips boomed.

- __Gaming revenue__, which makes up nearly half of Nvidia's sales, surged 42% from last year as Nvidia powered hit games like Marvel’s *Guardians of the Galaxy*.
- __Data center__ revenue surged 55% as the eservices boom continued. Nvidia powers half the world’s servers, touting customers like __[Microsoft](https://robinhood.com/stocks/MSFT)__ and __[Amazon](https://robinhood.com/stocks/AMZN)__.
- The global chip shortage could last into 2023, but Nvidia said it’s securing long-term supply deals to avoid major issues.

__Metamorphosis...__ Like __[Facebook](https://robinhood.com/stocks/FB)__, Microsoft, __[Roblox](https://robinhood.com/stocks/RBLX)__, and other tech titans, Nvidia is turning its focus to the metaverse. While the metaverse concept is still vague, many describe it as a 3D internet you live *inside*. Adding to the confusion, Nvidia's version of the metaverse is called "Omniverse." 

- __Omniverse Enterprise:__ Nvidia's new subscription service lets creators, designers, researchers, and engineers collaborate in a shared virtual space.
- __For example:__ __[BMW](https://robinhood.com/stocks/BMWYY)__ is [using](https://venturebeat.com/2021/11/16/bmw-uses-nvidias-omniverse-to-build-state-of-the-art-factories/) Omniverse to build factories by simulating its manufacturing plants. Interior designers could virtually "stage" houses inside 3D models.
- Nvidia also launched Omniverse Avatar, a platform for making AI assistants that could help with billions of daily customer service tasks.

Nvidia crushes earnings thanks to gaming chips, but its future could be the “Omniverse”

__Your move, Nicolas Cage…__ Why *steal* the Constitution when you can *buy* it? Yesterday, a decentralized autonomous organization (DAO) called __ConstitutionDAO__ bid on one of the 13 remaining copies of the US Constitution in a __Sotheby’s__ auction. DAOs (rhymes with “cows”) are blockchain-based communities that are collectively owned by their members — read: no central leadership. ConstitutionDAO [launched](https://www.nytimes.com/2021/11/17/business/crypto-constitution-sothebys.html) eight days ago as a 10-person Twitter convo, and has since attracted thousands of people on __Discord__:

- __ConstitutionDAO crowdsourced $47M__ worth of __[Ether](https://robinhood.com/crypto/ETH)__ from 7K+ online contributors in an attempt to buy the 234-year-old document, which Sotheby’s sold last night for a record $47.4M. Drumroll...
- __ConsitutionDAO lost the bid,__ and [said](https://www.cnbc.com/2021/11/18/constitutiondao-crypto-investors-lose-bid-to-buy-constitution-copy.html) it'll provide contributors the option for a refund. FYI: Contributors wouldn't have owned a piece of the Constitution anyway — but they would've been able to  vote on where to put it (think: a museum).

__From James Madison to the Wu-Tang Clan…__ Crypto enthusiasts have used DAOs to raise millions since 2016, when an org called The DAO (capital T) raised $150M and lost much of it to hackers. Despite valid security and practicality concerns, DAOs boomed this year: __PleasrDAO__ bought a Snowden NFT for $5.4M and a Wu-Tang Clan album for $4M. Wyoming became the first US state to recognize DAOs as legal corporate structures in June, and experts expect legal recognition to expand.

Bidding on your own Constitution [Vincent Besnault/The Image Bank via Getty Images]

$PEOPLE

__DAOs could be the new boardroom…__ Beyond crowdsourcing to buy cool collectibles, DAOs could run entire businesses. Instead of relying on a few execs to make company-wide decisions behind closed doors, DAOs could enable all stakeholders to vote publicly on the blockchain. Sports-betting startup __Augur__ and metaverse company __Open Meta DAO__ both operate as DAOs, and decentralized finance company __1inch__ is also moving to the DAO model.

ConstitutionDAO raised $47M to try to buy the US Constitution through crypto crowdfunding

The crypto Constitution, Nvidia’s “Omniverse,” and more of today’s top Snacks stories

📜 The crypto Constitution 

__Extreme pump anxiety...__ US gas prices are up more than [60%](https://www.wsj.com/articles/biden-asks-ftc-to-examine-whether-oil-gas-companies-are-illegally-keeping-gas-prices-high-11637164142?mod=hp_lead_pos1) from a year ago, hitting seven-year highs. California just hit a state record of $4.68/gallon. President Biden wants to understand why: Yesterday he sent a letter to Federal Trade Commission Chair Lina Khan, calling on the FTC to look into "whether illegal conduct is costing families at the pump."

- __Biden alleges__ there's “evidence of anti-consumer behavior by oil-and-gas companies,” saying gas prices are rising while the price of “unfinished” gas (aka gas that hasn’t yet been blended with other liquids to use in vehicles) drops.
- __Biden underscored that the two largest gas companies__ — __[Exxon](https://robinhood.com/stocks/XOM)__ and __[Chevron](https://robinhood.com/stocks/CVX)__ — are on track to nearly [double](https://www.usatoday.com/story/news/politics/2021/11/17/biden-asks-regulators-examine-conduct-oil-and-gas-companies/8649244002/) their profits from 2019.

__Oh, PEC...__ Oil prices plunged last year when travel and manufacturing halted. So OPEC, the powerhouse org of oil-exporting countries, slashed production. This year, oil demand rebounded *quickly* as the economy revved up. That's led to an oil shortage, which is aggravating supply issues and soaring prices. BTW: Higher gas prices will hurt low-income families the most this winter.

- __Biden has asked OPEC to increase oil production__ to ease shortages and keep prices in check — so far, OPEC has said "no, thanks." 
- __The American Petroleum Institute, an industry group,__ said that instead of investigating tightly regulated markets and “pleading with OPEC,” the US should encourage “responsible” development of American-made oil/gas.

Gassed

__Despite the green wave, oil is still king...__ Renewable energy gets the royal treatment, but the world still runs on oil and gas — from transporting food to heating and electrifying homes. [Sixty percent](https://www.eia.gov/tools/faqs/faq.php?id=427&t=3) of US electricity is generated from fossil fuels, versus 20% from renewables. And EVs account for just [2%](https://www.pewresearch.org/fact-tank/2021/06/07/todays-electric-vehicle-market-slow-growth-in-u-s-faster-in-china-europe/) of the US’s new-car market. That's why even Biden, who’s put clean energy at the forefront of his spending plans, has asked to boost oil production.

Gas prices are out of control, so Biden asked the FTC to investigate oil giants’ pricing

__Home-court advantage… Crypto.com__ just bought it. The world’s fastest-growing crypto exchange [struck](https://www.wsj.com/articles/staples-center-in-l-a-to-be-renamed-crypto-com-arena-11637145428) a 20-year deal reportedly worth $700M — one of the largest of its kind — to rename LA’s famous Staples Center. The Staples Center is home to the NBA’s Lakers and Clippers, the WNBA’s Sparks, and the NHL’s Kings, and has been named after the office-supplies retailer for 22 years. Its new name doesn’t exactly roll off the tongue: Crypto.com Arena.

- __Crypto’s *second* stadium__: Rival crypto exchange __FTX__ bought the naming rights to the Miami Heat’s stadium earlier this year in a 19-year deal worth $135M.

__Crypto’s courtship with sports…__ is bigger than stadiums. Crypto.com has spent hundreds of millions sponsoring NBA, NHL, European soccer, UFC, Formula One, and esports teams. Other big players in the crypto industry have also embraced pro sports branding deals:

- __Crypto <3s sports__: Crypto-finance company __XBTO__ sponsors the MLS’ Inter Miami, and crypto startup __StormX__ sponsors the Portland Trail Blazers. NFL stars Tom Brady and Trevor Lawrence are also sponsored by __FTX__ and __Blockfolio__.
- __Fantasy tie-ins__: Many sports fans already participate in fantasy-sports leagues, which are increasingly embracing __NFTs__ and other crypto-powered features.
- __Marketing play__: Crypto.com’s CEO said the company planned “to be a top brand in the coming years, next to __[Nike](https://robinhood.com/stocks/NKE)__ and __[Apple](https://robinhood.com/stocks/AAPL)__.”

See you at Crypto.com Arena [peepio/E+ via Getty Images]

Dunk

__Know your audience…__ if you want them to know *you*. Sports fans have been found to be *twice* as likely as non-sports fans to be familiar with crypto. Pro sports are embedded in mainstream culture, from video games to athletes’ social feeds. That’s why crypto giants are looking to sports to accelerate crypto mainstreamification. After raising awareness among sports fans, Crypto.com and other companies might leverage their visibility to claim an even bigger place in the zeitgeist.

Crypto.com sponsors LeBron’s home stadium for $700M to win over sports fans

Crypto sports arenas, Biden’s gas-price ask, and more of today’s top Snacks stories

🏀 Crypto sports arenas

__Halle-lucid...__ The sedans are coming. EV startup __[Lucid](https://robinhood.com/stocks/LCID)__ went public via a SPAC merger in July, and began delivering its luxury sedans to driveways last month. Yesterday, the Lucid Air — aka Lucid’s first product — was [crowned](https://www.cnbc.com/2021/11/15/shares-of-ev-start-up-lucid-jump-on-new-reservations-2022-production.html) car of the year by auto magazine Motor Trend. It’s the first time the award has been given to a carmaker’s first vehicle (FYI: __[Tesla](https://robinhood.com/stocks/TSLA)__ won in 2012 for the Model S). The specs:

- __High range, high price:__ The Lucid Air has the longest range of any EV sold in the US, at 520 miles/charge. Tesla’s Model S, the next closest, gets just over 400. But its [$169K](https://news.yahoo.com/lucid-motors-first-car-169-163105926.html) price tag tops sedans from luxe brands like Tesla and __[Porsche](https://robinhood.com/stocks/POAHY)__.
- __Futuristic features__ include an iPad-like touch display, a 21-speaker sound system, and a solid glass roof that still keeps the sun at bay.

__Making Elon sweat...__ Lucid shares soared 23% yesterday after it won the award *and* dropped its first public earnings on Monday. It’s now worth more than __[Ford](https://robinhood.com/stocks/F)__, even though it delivered zero vehicles last quarter and lost more than $500M. Investors were revved up over *future* sales.

- __Lucid ended last quarter with 13K reservations__, representing ~$1.3B in potential sales. Lucid execs say the total has jumped to 17K since then. 
- __Lucid plans to produce 90K/year__ by 2023, and has $4.8B in cash on hand to do it. Tesla delivered 1,500 Roadsters in its first year on the market.
- __FYI:__ Saudi Arabia's sovereign wealth fund owns 63% of Lucid, and has plans to turn its capital city, Riyadh, 30% electric by 2030.

Race for the EV Big 3 [mrPliskin/E+ via Getty Images]

Shiny

__We could get an EV Big 3…__ Just like __[GM](https://robinhood.com/stocks/GM)__, Ford, and __[Stellantis](https://robinhood.com/stocks/STLA)__ (fka Fiat-Chrysler) are the Big 3 Detroit car companies, we could see a Big 3 of California EV makers if Lucid and __[Rivian](https://robinhood.com/stocks/RIVN)__ can scale like Tesla has. EV purchases in the US have nearly doubled from a year ago and growth is expected to accelerate. But consumers want more options than just Tesla. Tesla still accounts for the majority of EVs sold in the US, but it’s expected to lose market share in the coming years.

Lucid takes its spot among the Big 3 EVs after winning “car of the year”

__Stocked and loaded…__ __Walmart’s__ holiday shopping carts. __Walmart__ [beat](https://www.wsj.com/articles/walmart-raises-forecast-and-says-shelves-are-stocked-for-holiday-shoppers-11637066985?mod=hp_lead_pos2) quarterly sales growth expectations, but profits plunged 40% from last year on higher supply and labor costs. FYI: __[Target](https://robinhood.com/stocks/TGT)__, __[Macy’s](https://robinhood.com/stocks/M)__, and __[Kohl’s](https://robinhood.com/stocks/KSS)__, which face similar supply and labor crunches, also report earnings this week. 

- __E-cart (still) strong:__ Walmart’s US e-commerce sales jumped 8% from last year and 87% from 2019. 
- __Mixed bag:__ While Walmart shares fell 3% on plunging profits, execs boosted holiday forecasts, saying there’s “excitement in the air.” 

__Ship, ship, hooray…__ US holiday spending is expected to hit a record $800B+ this season — great news for retailers with inventory, but a missed opportunity for those running short. Last month, shipments from Asia took twice as long and cost twice as much as pre-pandemic. __Walmart__, __Home Depot__, and __[Costco](https://robinhood.com/stocks/COST)__ started paying for private ships as early as May to keep shelves stocked. Now...

- __Walmart__ had 11.5% *more inventory* than last year, from clothes to Christmas trees.
- __Home Depot__ reported stronger-than-expected sales partly because of inventory management (feat. chartered ships).
- __Smaller retailers__ that can’t afford $140K/day private ships may be stuck: Half of small retailers say they expect supply-related holiday inventory shortages.

Shelves

__More problems can mean more money…__ *for companies that can afford to tackle them*. Everyone’s dealing with supply and labor headaches. But Walmart has the cash and infrastructure to handle them — and gain a competitive advantage in the process. Walmart is known for keeping prices steady as inflation rises, cutting into profits to attract more customers. The cost of keeping shelves stocked is high, but it could pay off in more market share. Other companies like __[Amazon](https://robinhood.com/stocks/AMZN)__ and __[Chipotle](https://robinhood.com/stocks/CMG)__ are also spending big to overcome supply and labor obstacles and win customers.

Walmart is stocked up for the holidays — thanks to its pricey private ships

Lucid’s EV award, Walmart’s holiday stocking, and more of today’s top Snacks stories