In other news, tech CEOs are set to testify before Congress on child safety, and Chipotle is preparing for "burrito season," a period of increased sales. Meanwhile, Microsoft's success last quarter was largely due to its AI products, validating the company's early investment in the technology. The Federal Reserve is holding its first meeting of the year, with the focus on Fed Chair Jerome Powell's press conference for clues on future policy direction.
Key takeaways:
- Google's mass layoffs last year cost the company $2.1 billion, and it expects to incur an additional $700 million in severance costs this quarter. The layoffs have led to some employees fighting back amid concerns of a destruction of the company's culture.
- Microsoft's success last quarter was largely due to its AI products, validating the company's strategy to move quicker than some of its peers during the early stages of the AI race.
- Tech CEOs, including those from Meta, X, and TikTok, will testify before Congress today for a hearing on child safety. This will be X CEO Linda Yaccarino's first time testifying before lawmakers.
- Despite the booming economy, January marked a month of layoffs for employees at companies like The Los Angeles Times, UPS, and Microsoft. However, data from the Bureau of Labor Statistics show that the nation's layoffs and discharges rate has been steadily low, hovering at about 1%.