__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

Dow Jones

S&P 500

Nasdaq

Bitcoin

💸 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.

Zoom Out

Stories we’re watching...

__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. 

Events

Coming up this week...

- __[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. 

ICYMI

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

🏆 Lucid’s EV award

__*"You belong with me"...*__ Taylor Swift to her own music. This weekend, T Swift dropped “Red (Taylor’s Version),” a rerecorded album of her hit 2012 breakup anthems, plus never-released tracks. Some background: Taylor doesn't own the "masters" (aka: original recordings) from her first six albums. When she was 15, those were signed over to record label __Big Machine__, later sold to Scooter Braun (Kanye’s ex-manager).

- __In 2018__, Taylor signed a new deal with __Universal Music__, which gave her ownership of her *new* masters. But she couldn’t buy back her first six albums.
- __Taylor has bad blood__ with Braun. Even more, she’s passionate about artists owning their music. So she started rerecording.
- __Last year__, private-equity fund __Shamrock__ paid $300M for Taylor's old tunes, but Braun still got a cut of the deal. Then Taylor announced she would rerecord *all* the albums they’d bought.

__I knew you were trouble...__ Many fans are choosing *Taylor's* version over the OGs, which could undercut earnings for Shamrock. Earlier this year, Taylor released a rerecorded version of her album "Fearless.” It's racked up 3X as many streams as the 2008 original. The “Red” rerecording is also outperforming the OG, and was #1 this week on __[Spotify](https://robinhood.com/stocks/SPOT)__ and __[Apple](https://robinhood.com/stocks/AAPL)__. 

- __Taylor is profiting:__ As the owner, Taylor is scoring lucrative licensing deals for her music (think: movies, ads, __TikToks__). 
- __She’s also getting paid more streaming $$__, which makes up the bulk of revenue for labels like Universal, __[Warner](https://robinhood.com/stocks/WMG)__, and __[Sony](https://robinhood.com/stocks/SONY)__. Artists can keep more than 80% of streaming revenue for masters they own, compared to 20% if the label owns them. 
- __Ctrl + Swift:__ Now Universal, the world’s largest label, is scrambling to protect its rights with other artists who might want to rerecord too.

“Trouble, trouble, trouble” for record labels [Catherine Falls Commercial/Moment via Getty Images]

__The "T Swift Clause" is a threat to labels…__ because it lets artists keep more control and more money. That’s why Universal is [reportedly](https://www.wsj.com/articles/as-taylor-swift-rerecorded-her-red-album-universal-reworked-contracts-11636741201) *doubling* the amount of time that artists are restricted from rerecording. But as streaming platforms and social apps make it easier for artists to distribute music, leverage is shifting in creators’ favor. Labels including Universal are also making concessions, like increasing royalty payments.

T Swift’s rerecording crusade paves the way for artists, but threatens major labels

__A little less Royal, much less Dutch…__ Yesterday, oil titan __[Royal Dutch Shell](https://robinhood.com/stocks/RDS.A)__ [said](https://www.wsj.com/articles/shell-plans-to-scrap-dual-share-structure-to-help-navigate-energy-transition-11636967889) it planned to move its HQ from the Netherlands to the UK and to shorten its name to Shell, ditching “Dutch” after 114 years. Dutch officials were “unpleasantly surprised,” but investors seemed pleased: Shares jumped 3% yesterday on the news. 

- __Marie Kondo meets big oil:__ Shell’s move will simplify its dual share structure (it now has A and B shares) and make it easier to pay taxes, buy back shares, and attract investors.
- __Cleaning up:__ The reorg could also make it easier for Shell to sell “dirty” business lines and invest in greener ones, though Shell said it had no active plans to split.

__A Shell of its former self…__ Shell’s under pressure from investors and courts to transition to renewable energy. Last summer Dutch courts ordered Shell to reduce emissions. Last month activist investor __Third Point__ asked Shell to split its oil and renewable energy businesses to facilitate greener investment. Shell’s not the only oil bigshot feeling pressure:

__[Exxon](https://robinhood.com/stocks/XOM)__ is spending $1B+/year to develop emissions-reducing tech after activist investors joined its board. __[BP](https://robinhood.com/stocks/BP)__ spends $5B/year to develop low-emissions fuel alternatives.
450 finance firms including __[JPMorgan Chase](https://robinhood.com/stocks/JPM)__, __[Citi](https://robinhood.com/stocks/C)__, and __[BlackRock](https://robinhood.com/stocks/BLK)__ committed to hitting net-zero emissions in their investments by 2050 at the UN climate summit last week. 

Kondo

__Corporate transitions can be messy…__ and sometimes it helps to draw cleaner lines. Shell’s reorg could make it easier for backers to invest in its transition to renewables, even if Shell hasn’t committed to splitting. As shareholders demand increasingly specific ways to invest, some companies have started splitting up to attract focused funding. Just last week: __[General Electric](https://robinhood.com/stocks/GE)__, __[Johnson & Johnson](https://robinhood.com/stocks/JNJ)__, and __Toshiba__ announced plans to split into smaller companies to spur more targeted investment.

Shell ditches its Dutch roots to simplify its biz as it transitions to cleaner energy

T Swift’s “Red” rebellion, Shell ditches Dutch, and more of today’s top Snacks stories

🎶 T Swift’s “Red” rebellion

__"We'll always have Paris"...__ The classic "Casablanca" quote isn't landing for global leaders. The UN's 26th annual climate summit just wrapped up in Glasgow. Lawmakers, biz execs, and activists from 200 countries met to help keep the 2015 Paris Agreement alive. Read: the target to cap global warming at 1.5 °C (2.7 °F) above pre-industrial levels. While the UN said the world is "way off track" in stopping rising temps, some new pledges could help:

- __100+ countries__ vowed to slash methane emission levels by 30% by 2030, led by the US and EU. 
- __100 countries__ representing 85% of the world's forests agreed to end and reverse deforestation by 2030, backed by $19.2B in public and private funding.
- __India,__ the second most populous country after China, vowed to hit net-zero emissions by 2070 and use 50% renewable energy in its mix by 2030.
- __China,__ Earth's largest polluter, unexpectedly promised to finalize a plan to reduce its methane emissions this decade (without concrete deets).
- __[Ford](https://robinhood.com/stocks/F)__, __[GM](https://robinhood.com/stocks/GM)__, and __[Volvo](https://robinhood.com/stocks/VLVLY)__ committed to phasing out fossil-fueled vehicles by 2040, as did some countries. The US, China, and Germany skipped the pledge.

__The private sector steps in...__ While countries' pledges underwhelemed, the global finance industry made new efforts: a coalition of the world's largest financial firms that together control $130T in assets [committed](https://www.nytimes.com/2021/11/03/world/europe/cop26-climate-change-finance-industry.html) to using their $$ to hit net zero emissions targets in their investments by 2050. 

- __The alliance:__ 450 banks, insurers, and asset managers across 45 countries — including heavyweights like __[JPMorgan Chase](https://robinhood.com/stocks/JPM)__, __[Citi](https://robinhood.com/stocks/C)__, and __[BlackRock](https://robinhood.com/stocks/BLK)__. 
- __Critics say the pledge falls short__ because it doesn't commit investors to stop putting money into fossil fuels – and it's non-binding. 
But it *does* show a broad commitment by financial firms to have emissions slashed in companies they invest in. 


Temp

__Global accountability is *hard*...__ It’s easier for individual governments to hold their citizens accountable, and vice versa. It’s much harder for countries to hold *other* countries accountable, especially when power is lopsided. After the summit, many countries still remain at odds. And pledges made have fallen [dangerously](https://www.wired.com/story/cop26-climate-change-targets/) short of the 1.5 °C target. Global temps are estimated to rise anywhere from 1.8 °C to 2.7 °C by the end of the century, which the UN says would be “catastrophic." For real change to happen, both governments and corporations need to step up.

Countries' UN climate pledges underwhelm, but financial giants vow to prioritize green efforts

__Bringing home the bacon...__ just got pricier. Consumer prices jumped 6.2% in October from last year, the largest spike in 31 years. TV prices were up 10%, bacon was up 20%, used cars rose 26%, and gas prices soared 50% (#PumpAnxiety). Stimulus cash triggered a fast rebound in consumer demand. But supply and labor bottlenecks are making it hard to *meet* demand, which drives up prices. If Americans keep *expecting* inflation to remain high, price tags could be steep even after the logjams ease. We’ll see if the Fed’s pullback on bond-buying helps cool the economy.

__Vax access expands...__ 900K kids got vaxxed last week after Covid shots were approved for US children, and __[Pfizer](https://robinhood.com/stocks/PFE)__ asked the FDA to approve boosters for *all* adults. __[Regeneron](https://robinhood.com/stocks/REGN)__ said its antibody drug reduced the risk of Covid by 82%, which could make it an option for immunocompromised people. But not everyone’s vax-cited: Trade groups representing __[UPS](https://robinhood.com/stocks/UPS)__, __[Disney](https://robinhood.com/stocks/DIS)__, and __[Fidelity](https://robinhood.com/stocks/FIS)__ say Biden’s plan to make any biz with 100+ workers require vaccination or testing by January is too expensive. And 24 states threatened to sue to block it.

The price is not ripe [Yuri_Arcurs/E+ via Getty Images]

__Chip the Switch...__ Chip titan __[Nvidia](https://robinhood.com/stocks/NVDA)__ makes graphics cards for everything from laptops to gaming consoles, like the __[Nintendo](https://robinhood.com/stocks/NTDOY)__ Switch. Last quarter, Nvidia notched record sales, with nearly *half* coming from gaming. Now, Nvidia’s focused on growing AI and its data-center biz, which powers half the world’s servers and touts customers like __[Microsoft](https://robinhood.com/stocks/MSFT)__ and __[Amazon](https://robinhood.com/stocks/AMZN)__. Despite the (still happening) global chip shortage, investors hope Nvidia’s robust supply chain and demand for its cutting-edge tech will boost its earnings on Wednesday.

__Still waiting for my Halloween costume...__ US holiday spending is expected to reach a record $800B+ this season. That's good news for go-to retailers like __[Macy’s](https://robinhood.com/stocks/M)__, __[Walmart](https://robinhood.com/stocks/WMT)__, __[Target](https://robinhood.com/stocks/TGT)__, and __[Kohl's](https://robinhood.com/stocks/KSS)__, which all report earnings this week. Problem: national worker shortage. Last week, __Macy’s__ joined Walmart and Target in boosting its minimum wage to $15/hour and offering employee tuition benefits. Meanwhile, Kohl’s is offering sign-up bonuses of $100 to $400. But higher incentives = higher costs. We’ll see if that hits retailers’ bottom line. Macy’s expects holiday benefits to cost an additional $35M over the next four years. 

- __[Streak](https://snacks.robinhood.com/newsletters/4S6VRj1OyGvIKuWQhrgJ1T/articles/MohlPPKKoqicsH0xgKkLw/):__ Digital payments company __Paytm__ went public through its parent company in India’s largest IPO, the latest in the country’s tech boom.
- __[Mickey](https://snacks.robinhood.com/newsletters/28AOcZrOf9ipURzSc76djJ/articles/4Mb4kf5LUZeTIJ1jdDgZcA/):__ __Disney__ is "aggressively" exploring sports-betting content through its ESPN brand, as streaming growth slows. Disney’s biz still isn’t back to pre-pandemic levels.  
- __[Poll](https://snacks.robinhood.com/newsletters/69v4BtkyELEbR3U1usMFhD/articles/1UHSLqXsQcA0fwaJ9m7GG7/):__ Elon Musk asked his 63M __[Twitter](https://robinhood.com/stocks/TWTR)__ followers if he should sell $21B worth of __[Tesla](https://robinhood.com/stocks/TSLA)__ shares to pay taxes, continuing a national debate around taxing billionaires.

The UN’s climate miss, inflation’s 31-year high, and more of today’s top Snacks stories

🌎 The UN’s climate miss 

__Baby Yoda *sad*...__ Investors weren’t chanting “Hakuna Matata” after __[Disney's](https://robinhood.com/stocks/DIS)__ quarterly earnings. Mickey's biz hasn't quite rebounded to pre-pandemic levels. Last quarter, sales jumped to $18.5B (compared to $19.1B for the same quarter back in 2019). Worse, Disney's profits were less than 25% of what they were pre-Covid. While Space Mountain is back, Disney's Parks and Experiences unit disappointed on profit big time. Streaming *did not* save the day...

- __Disney minus:__ Disney+ gained 2.1M subscribers, the [smallest](https://www.reuters.com/business/disney-revenue-falls-short-streaming-business-suffers-2021-11-10/) rise since it launched two years ago and less than half what Netflix added.
- __Frozen audience:__ CEO Bob Chapek said Disney+ is still on track to hit 230M to 260M subs by 2025, but some investors worry growth is tapping out.
- FYI: Disney's media biz, including streaming and cable, now makes up 70% of its sales.

__From Belle to betting...__ Now that's a pivot. Chapek said "sports betting is a very significant opportunity" for Disney, and the company is pursuing it "aggressively" through its ESPN brand. ESPN has suffered as millennials continue cord-cutting, and streamer ESPN+, like Disney+, is still losing money. Gambling could be a lucrative way for Disney to attract young sports fans.

- __ESPN has reportedly had talks with sportsbooks,__ including __[DraftKings](https://robinhood.com/stocks/DKNG)__ and __[Caesars Entertainment](https://robinhood.com/stocks/CZR)__, to [license](https://www.wsj.com/articles/espn-explores-sports-betting-deal-worth-at-least-3-billion-11630089962) its famous name for a whopping $3B.
- __ESPN already has sports-betting content__ on its platforms through marketing deals, but licensing could create an ESPN-branded betting platform. 


Wager

__Some vices might be losing taboo status…__ According to Disney's research, gambling won't hurt Disney's brand but will strengthen ESPN's. Chapek said gambling doesn't have the same rep it did a decade ago. Thirty-two US states have legalized sports betting, and this week New York approved online-betting licenses for nine operators. Yet shares of sports-gambling companies tell a different tale: DraftKings, __[Penn National Gaming](https://robinhood.com/stocks/PENN)__, and FanDuel owner __[Flutter](https://robinhood.com/stocks/PDYPY)__ are all down this year.

Disney eyes sports betting to fuel its entertainment biz as streaming slows

__Pea protein takes an L…__ Plant-based-patty powerhouse __[Beyond Meat](https://robinhood.com/stocks/BYND)__ has lost some of its bite. While overall sales grew last quarter, Beyond’s US sales [dropped](https://www.wsj.com/articles/beyond-meat-shares-fall-after-disappointing-forecast-11636582932) 14% from last year — and its loss nearly tripled. Beyond blamed lower demand, plus production-related snags. It also gave a disappointing forecast for this quarter, citing pandemic uncertainty. Shares tumbled 13% yesterday, pulling Beyond’s market cap down to $5B from its 2019 high of $14B.

__Beyond Beyond…__ Beyond is estimated to control about a quarter of the US alt-meat market, but plant-based competition is growing. Big Food companies may be an even bigger threat than smaller rivals, like __Impossible Foods__. Globally, Beyond sells in 122K stores while Impossible is in 20K — but Big Food companies like __[Tyson](https://robinhood.com/stocks/TSN)__ and __[Kraft](https://robinhood.com/stocks/KHC)__ are nearly everywhere. 

- __[Kroger](https://robinhood.com/stocks/KR)__ saw a surge in sales of its plant-based meat brand Simple Foods last year, while food giants like Tyson, __[Hormel](https://robinhood.com/stocks/HRL)__, and Kraft have launched their own alt-meat products. 
- __Beyond and Impossible__ have lowered prices to compete with Big Food, which can afford to undercut smaller rivals.
- __Partnerships__ with chains like __[Starbucks](https://robinhood.com/stocks/SBUX)__ and __[McDonald’s](https://robinhood.com/stocks/MCD)__ have helped Beyond and Impossible grow, but aren’t taking off as fast as expected.

A little undercooked [Giuseppe Elio Cammarata via Getty Images]

Burnt

__Novelty builds brands…__ but it doesn’t necessarily build loyalty. Restaurant partnerships helped make Beyond the most recognized plant-based brand. __Dunkin__ dumped Beyond in June because of low Beyond Sausage sales. McDonald’s is serving the Beyond “McPlant” burger at only eight of its 14K locations. And __KFC__ still hasn’t given Beyond Meat chicken nuggets a permanent spot on its menu. Impossible has also [had](https://www.bloomberg.com/news/articles/2021-09-24/which-fast-food-has-fake-meat-not-many-serve-beyond-meat-impossible-foods?sref=q3KSFp38) a few partnership fails.

Beyond Meat serves up undercooked earnings as plant-based growth wilts 

Disney’s sports-betting play, Beyond Meat’s slump, and more of today’s top Snacks stories

🏈 Disney’s sports-betting play

__Cry me a pork chop...__ Pork-chop prices are up 16% from last year, and they're not the only ones. The Labor Department just [dropped](https://www.bls.gov/news.release/pdf/cpi.pdf) October’s Consumer Price Index, which measures prices of 80K common items. Overall, consumer prices jumped 6.2% from October last year — *the fastest yearly increase in 30 years*. The pace of inflation accelerated sharply from September, and it was the fifth straight month above 5%. Price increases were broad, but we’ve pulled some gems:

- __#PumpAnxiety is real:__ Gas prices were up 50%, but your wallet already knew that. Meanwhile, used cars and trucks were up 26%.
- __Breakfast is swerved:__ Bacon was up 20%, eggs 12%, and peanut butter 6%. Lunch isn't much better, with salad dressing up 8%.
- __Home is pricey:__ Laundry equipment is up 15%, furniture and bedding is up 12%, TVs are up 10%, and smart home assistants 8.4%.
- __So is away from home:__ Hotel prices were up 26%, and transportation services (cough, __[Uber](https://robinhood.com/stocks/UBER)__) were up 5%.

__The price is not right...__ While the Fed still expects inflation to be temporary, prices have been surging longer (and higher) than expected. This #flated sitch is a result of multiple factors, including pandemic-related supply shortages, labor shortages, supply-chain backlogs, and booming consumer demand. Americans' wallets have been padded by trillions in stimulus cash, which has triggered faster-than-expected rebound in demand. But supply bottlenecks are making it hard to *meet* that demand and are driving up prices.

Checking bacon prices like [fotostorm/E+ via Getty Images]

Flated

__Inflation can be a self-fulfilling prophecy...__ aka self-flating. *Expectations* of inflation can make inflation worse, or even cause prices to rise unnaturally. If people expect higher prices, they're more likely to demand higher wages and accept inflated costs. And expectations *are* high: Americans' three-year inflation expectations have hit 4.2%, the highest level on record. If it continues, inflation could stay elevated even after supply bottlenecks ease.

Inflation nation: US consumer prices hit a 30-year high, and they could be self-flating

__Forgot the extra ranch…__ __[DoorDash’s](https://robinhood.com/stocks/DASH)__ sales growth continued slowing last quarter after the pandemic dine-in boom, and net losses *doubled* from last year. Cue: a global feast. DoorDash announced [plans](https://www.wsj.com/articles/hungry-for-more-doordash-orders-a-heavy-dessert-11636543980?mod=rss_Technology) to buy Finland-based __Wolt__ for $8.1B. Dash shares jumped nearly 20% yesterday on the news. 

- __Euro-presence:__ When the deal closes, in 2022, Dash says it will add Wolt’s 2.5M customers in 23 European countries. Dash currently delivers in the US, Canada, Japan, and Australia. 
- __Piping hot growth:__ Last quarter, Wolt’s sales grew 3X as fast as Dash’s. But while the deal could boost Dash’s sales growth, it *won’t* increase Dash’s US market share or diversify its revenue streams.

__May the best promo code win…__ Delivery customers have little loyalty, which is why companies like Dash, __Grubhub__, and Uber Eats are constantly throwing out profit-sucking promo codes. Competition is fierce, so food-delivery giants have gobbled up rivals to accelerate growth and expand market share. Last year, __Uber__ acquired __Postmates__ for $2.7B, and Euro delivery heavyweight __[Just Eat Takeaway](https://robinhood.com/stocks/GRUB)__ bought Grubhub for $7.3B. DoorDash is still the biggest US food deliverer, but it’s losing its lead: Next quarter, Uber’s delivery sales are expected to grow twice as fast as Dash’s.

Hungry

__It’s hard to consistently deliver accelerating growth...__ by delivering the same thing. DoorDash's acquisition may boost growth for a few quarters, but that may still slow once European markets are saturated. Uber’s ride-hailing biz bought international rivals to expand, but it still had to invest in new revenue streams — like food delivery — to attempt to turn a profit. If food-delivery growth cools, Dash may seek new revenue streams: It’s already investing in [ghost kitchens](https://snacks.robinhood.com/newsletters/1yhXQqCSYUpB68NvcsJe1Y/articles/1QTAquYSO3cazbI0yE6t5Y/) and non-food deliveries, like its __[CVS](https://robinhood.com/stocks/CVS)__ partnership to shuttle staples like Advil and toothpaste.

DoorDash is hungry for growth, so it’s splurging $8B on a European rival

Inflation nation, DoorDash’s $8B order, and more of today’s top Snacks stories

👛 Inflation nation

__GE becomes G3…__ __[General Electric](https://robinhood.com/stocks/GE)__ is the 129-year-old electricity giant founded by Thomas Edison, who *invented* the commercial light bulb. Over the years GE expanded to produce everything from microwaves to financial products, becoming the world’s most valuable company by 2000. But GE’s biz has declined since then. Now it’s worth less than a quarter of what it was 20 years ago. __The plan:__ Yesterday GE said it would [split](https://www.wsj.com/articles/general-electric-to-split-into-three-public-companies-11636459790) into three smaller public companies to allow more focused growth. Shares jumped 5% on the news. 

- __Aviation:__ GE’s aviation biz, which makes jet engines for __[Boeing](https://robinhood.com/stocks/BA)__ and brought in $22B in sales last year, will keep the GE name.
- __Healthcare:__ GE Healthcare, which makes MRI and other medical machines, and earned $17B last year, will spin off as a new biz 2023. 
- __Energy:__ GE’s power, renewables, and digital divisions — which contributed $33B in revenue last year — will spin off in 2024. 

__The light bulbs went out…__ but GE isn’t done yet. It pioneered the conglomerate model: It developed disciplined management practices in one industry — manufacturing — and applied them to others: insurance, finance, TV. But as industries grew more complex, they required more specialized leadership, and the old-school conglomerate model fell apart. So GE faced pressure from investors to “*deconglomeratize*:”

- __Selloff:__ In the past six years, GE sold off its finance, appliance, lighting, and train businesses, which has put it on track to pay off $75B in debt by year’s end.
- __Fresh start:__ GE’s new companies will have industry-specific boards and execs, which could attract investors eager to invest in big wind [turbines](https://snacks.robinhood.com/newsletters/6kLH8dVkTILF9DDv2h7lL0/articles/2FCiqJHT4fUWlrwBmkRNOe/) but not MRI machines.

And then there were three [sturti/E+ via Getty Images]

__There’s a new kind of conglomerate in town…__ and it’s techy. Today tech conglomerates have taken the place of industrial conglomerates. __[Amazon](https://robinhood.com/stocks/AMZN)__ is no longer just an ecomm platform — it’s a cloud computing, streaming, and ad powerhouse too. __[Microsoft](https://robinhood.com/stocks/MSFT)__ has its OG business software, but also big gaming, cloud, and networking businesses. While tech giants expand into new industries, aging industrial behemoths __GE__, __[Siemens](https://robinhood.com/stocks/SIEGY)__, and __[DuPont](https://robinhood.com/stocks/DD)__ are focusing on *fewer* industries.

Corporate icon GE breaks into three, underscoring the decline of OG conglomerates 

__“Paytm me for that”...__ India's largest payments service, __Paytm__, went public Monday in India through its parent company, __One97 Communications__. The Venmo-like app lets you send money online, buy coffee via a QR code, and even purchase a new car. It has a whopping 330M customers (the size of the US), and represents 40% of India’s payment market. 

- __Big money:__ Paytm aims to raise $2.5B in an offering that ends today. The IPO’s expected to give Paytm a $20B valuation, making it one of India’s *most valuable tech companies*. 
- __Big backers:__ Massive Chinese fintech __Ant Group__, Japanese investment firm __[SoftBank](https://robinhood.com/stocks/SFTBY)__, and Warren Buffett’s __[Berkshire Hathaway](https://robinhood.com/stocks/BRK.B)__ together own a third of Paytm.

__E-cash is king…__ In 2016, India banned the most widely circulated currency notes to combat money laundering, wiping out [86%](https://www.bbc.com/news/world-asia-india-37974423) of the country’s cash overnight. That crushed businesses and family savings, but accelerated India’s move toward a cashless economy. Since then, mobile payments in India have skyrocketed, accounting for 26B transactions last year. Fintechs like Paytm benefited from the boom, which accelerated during the pandemic. That’s partly why:

- __[Walmart](https://robinhood.com/stocks/WMT)__ dropped $16B on Indian ecomm company __Flipkart__ in 2018, while __Amazon__ is investing $5B to expand its India operations. 
- Walmart-backed PhonePe has 300M mobile payments users in India, while __[Google](https://robinhood.com/stocks/GOOGL)__ Pay has 70M users in the country.

__India’s e-opportunity is huge…__ and growing. India is the second most populous country after China, but roughly [half](https://www.wsj.com/articles/google-to-invest-10-billion-in-india-11594635725) of its 1.3B population have yet to get online. While China’s mobile market is saturated and regulators are cracking down on tech, India’s e-market is growing fast: India’s IPOs have raised a record $9.7B this year. And while the web economy [accounts](https://www.barrons.com/articles/how-to-play-indias-stock-market-momentum-51634287500) for only a tenth of its GDP, the internet ecosystem could add up to *$400B* in market-cap creation for India in five years.

Digital payment giant Paytm could be the largest IPO in India’s tech boom

India’s IPO streak, GE becomes G3, and more of today’s top Snacks stories