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People walk past the New York Times building on October 14, 2019 in New York City.
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For about 16 months, the U.S. and U.K. news industries have predominantly operated out of people’s living rooms, home offices and bedrooms. Now, they’re deciding what post-pandemic life should look like for their employees.

Since the pandemic shutdowns in early 2020, reporters have adjusted techniques to break stories, shifting from in-person lunches and coffees to phone calls and zoom meetings. Editors and team leaders have managed remotely, relying on Slack, Microsoft Teams and content management systems for workflow and communication. Unlike many industries that have been crippled by the pandemic, newsrooms have adjusted and pumped out stories without much of a hitch.

That’s led to a quandary among newsroom executives and human resource leaders in charge of getting employees back to the office. How much flexibility should be given to employees who have demonstrated they can produce stories while not in the office? Do newsrooms want everyone back in the office? Is a hybrid approach more appropriate? Or should employees be given total flexibility to work from home whenever they want?

“For knowledge workers, there’s no putting this back in the box,” said Matt Martin, CEO and co-founder of Clockwise, a software company that has developed dynamic calendar assistant tools for office workers. “Full 100% in office, 40 hours a week, that’s out the window. I don’t see a world where it comes back.”

Newsroom leaders are beginning to make decisions based on internal employee surveys and conversations, but they’re not all making the same choices. The decisions companies make could have major implications for how future employees select between potential employers. They’ll also be an industry-wide test for whether more flexible work arrangements can be long lasting.

Among organizations with national scope, The New York Times, The Financial Times, The Wall Street Journal, Bloomberg, USA Today and Vox Media are all handling back to work plans differently, providing a natural science experiment for the future or journalism.

Get back to the office: The Bloomberg Way

Bloomberg LP is among the most aggressive organizations in getting its employees back to work. Bloomberg owns offices around the world, spending millions of dollars to decorate them with fish tanks, transparent walls, curved escalators and digital signs that show reporter headlines and real-time market movements. Bloomberg has journalists and analysts in more than 120 countries.

According to a Bloomberg spokesperson, the company’s post-pandemic goal is to recreate a pre-pandemic environment. Employees will come back to the office once they can safely do so.

Former New York City Mayor Michael Bloomberg addresses the virtual 2020 Democratic National Convention, livestreamed online and viewed by laptop from the United Kingdom in the early hours of August 21, 2020, in London, United Kingdom.
David Cliff | NurPhoto | Getty Images

“As a firm, we remain committed to making our offices the safest environment for everyone to come together and collaborate,” Bloomberg LP founder and CEO Mike Bloomberg wrote to all employees in an internal February memo obtained by CNBC. “That way of working is central to who we are at Bloomberg, and the buzz in our buildings will resume and grow stronger each day into 2021. After all, it’s our people who make Bloomberg such a great place to work.”

Bloomberg noted that special circumstances based on family situations would be accommodated, but he also stressed workers should get vaccinated as soon as possible.

“As vaccines become available, we expect people to take advantage of the safety they provide and return to the office,” Bloomberg wrote.

Perhaps it shouldn’t be a surprise that Bloomberg’s approach is similar to Wall Street firms, which also are approaching post-pandemic life with a “back to before” vibe. Bloomberg LP makes the majority of its revenue from selling its proprietary software to financial institutions and is more a financial services company than a traditional media firm. Only some of Bloomberg’s employees are affiliated with the media side of the business.

“We want people back to work and my view is that sometime in September, October it will look just like it did before,” JPMorgan Chase CEO Jamie Dimon said in May. “And everyone is going to be happy with it, and yes, the commute, you know people don’t like commuting, but so what.”

Morgan Stanley CEO James Gorman echoed Dimon’s thoughts.

James Gorman, chief executive officer and chairman of Morgan Stanley, speaks during the International Economic Forum Of The Americas (IEFA) in Montreal, Quebec, Canada, on Wednesday June 12, 2019. Photographer: Christinne Muschi/Bloomberg via Getty Images
Bloomberg

“If you can go to a restaurant in New York City, you can come into the office,” Gorman said. “And we want you in the office.”

Still, bankers and Bloomberg employees may push for individual flexibility with their individual team leaders — especially if they see other co-workers better able to balance work and family life. Citigroup said in March it will build in more hybrid and remote working environments for employees that are equally or more productive from home.

Firms in industries that aren’t offering flexible work schedules will have to make that up with additional compensation or other perks to entice talent, Clockwork’s Martin said.

“Deviations from what’s going to become standardized will hurt the marketability of companies,” said Martin.

The Times’s, they are a-changin’ (somewhat)

The New York Times and The Financial Times are among the news organizations embracing change — to some degree.

The New York Times will begin welcoming back maskless employees to company headquarters on 620 8th Avenue in Manhattan on Monday, July 12 if they submit proof of vaccination. Most employees will come back to the office the week after Labor Day (Sept. 6), with flexible one- or two-day-a-week returns throughout September, according to an internal memo from Chief Human Resources Officer and Executive Vice President Jacqueline Welch obtained by CNBC.

The New York Times will then change its “normal” routine to three days working in the office, two days working remotely. Employees who want to be in the office five days a week will be welcomed to do so. Those who want full-time at-home arrangements may not have that choice.

“While most employees will have much more flexibility in how they work, we expect that for most teams, full-time remote work will be the exception, rather than the norm,” Welch wrote in the memo.

The Financial Times is also instituting a hybrid approach, according to spokesperson Sophie Knight. The news organization hasn’t yet decided specifics around the remote-office balance.

“News is a fast-paced business and there is huge benefit in working together on site,” Knight said. “That said, we have mastered remote working in the past year and plan to build the lessons learned into a more flexible model.”

Gannett-USA Today headquarters building in McLean, Virginia.
Paul J. Richards | AFP | Getty Images

Gannett, which owns USA Today and many local newspapers, is planning to have employees return to the office in October. It’s considering different options for adding flexibility for employees and has opened about 200 of its 300 offices throughout the country so far. Dow Jones, which publishes The Wall Street Journal, hasn’t told employees specifics around its hybrid approach, but it plans to offer employees additional flexibility to work from home part-time, according to two people familiar with the matter who asked not to speak on the record because the details haven’t become public.

“A number of our offices around the world have begun a phased return to the workplace,” a Dow Jones spokesperson told CNBC. “Here in the States, we will have more to share with our colleagues in the coming weeks as we review input from our employees and put finishing touches on our plans.”

Digital media companies, such as Vox Media and Group Nine, which have long offered many employees the ability to work from home, are also adopting a hybrid approach. Vox Media began a phased reopening of its offices on July 6 at 10% capacity for vaccinated employees and plans to resume full office operations in September.

About two-thirds of all companies with predominantly knowledge workers are taking a hybrid approach, according to Kevin Delaney, co-founder of Charter, a media and services company focused on the future of work. Delaney was also a former journalist, working as a writer and editor for The Wall Street Journal before co-founding Quartz, a business news website. Google, Apple and Uber are among the large technology companies that have instituted specific hybrid policies allowing for a combination of in-office and remote days each week.

“It’s very clear that hybrid work is a really good scenario for both organizations and workers,” said Delaney. “On net, it’s a positive. But there are complications. The key is that organizations deal with those drawbacks and minimize the extent to which they’re detrimental.”

Proximity bias

Some news organizations have chosen all-remote options. Quartz CEO Zach Seward wrote a post earlier this month explaining what he’s learned from allowing workers to have the flexibility to shun the office completely.

Dennis Publishing, which owns a suite of publishing brands including “The Week,” “PC Pro,” and “Minecraft World,” has considered all-remote options for some of its employees, according to people familiar with the matter. But employees at “The Week” pushed back on the concept, arguing three days a week in the office would better serve the product and its employees, said the people. A Dennis spokesperson wasn’t immediately available to respond to CNBC’s request for comment.

Going fully remote could eat away at company culture and may alienate future talent who want at least some office environment, said Martin. Still, it may be more equitable than hybrid environments, which could test facetime and proximity biases that have already been established to be real in workplaces, said Delaney.

Stanford professor Nick Bloom, who studies remote work, recommends that companies specifically choose certain days for remote work for fairness reasons. If everyone is at the office for the same amount of time, people won’t be penalized for failing to put in face time with bosses or missing work outings because they’re not available.

Proximity bias — the idea that workers get more raises and promotions by being close to bosses in the office — is unquestionably real through decades of research, Delaney said. Companies will have to conduct their own internal audits to ensure that hybrid standards don’t penalize workers that choose to spend some time away from the office, he said.

“Many leaders of companies that are baby boomers struggle to believe people can be productive if they’re not at the office,” said Delaney, noting that the largest Wall Street firms are run by men in their late 50s and 60s. “They need to make the shift to focus on outcomes instead of hours.”

Hybrid environments may also have adverse diversity effects. Surveys suggest women and people of color tend to want more out-of-office flexibility than Caucasian men, Delaney said.

Still, if companies remain attuned to these drawbacks, hybrid environments shouldn’t tilt back toward office-only situations with time, Delaney said.

“It would be a mistake for organizations to treat this as a moment in time where they’re unwillingly being dragged into offering hybrid work,” Delaney said. “Hybrid work setups are the configuration that suit our modern knowledge workers much better than how we operated previously.”

Disclosure: NBCUniversal, CNBC’s parent company, is an investor in Vox Media.

WATCH: Returning to work post-pandemic: Stanford professor

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Microsoft expects to spend $80 billion on AI-enabled data centers in fiscal 2025

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Microsoft expects to spend  billion on AI-enabled data centers in fiscal 2025

Vice Chair and President at Microsoft, Brad Smith, participates in the first day of Web Summit in Lisbon, Portugal, on November 12, 2024. The largest technology conference in the world this year has 71,528 attendees from 153 countries and 3,050 companies, with AI emerging as the most represented industry. (Photo by Rita Franca/NurPhoto via Getty Images)

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Microsoft plans to spend $80 billion in fiscal 2025 on the construction of data centers that can handle artificial intelligence workloads, the company said in a Friday blog post

Over half of the expected AI infrastructure spending will take place in the U.S., Microsoft Vice Chair and President Brad Smith wrote. Microsoft’s 2025 fiscal year ends in June. 

“Today, the United States leads the global AI race thanks to the investment of private capital and innovations by American companies of all sizes, from dynamic start-ups to well-established enterprises,” Smith said. “At Microsoft, we’ve seen this firsthand through our partnership with OpenAI, from rising firms such as Anthropic and xAI, and our own AI-enabled software platforms and applications.”

Several top-tier technology companies are rushing to spend billions on Nvidia graphics processing units for training and running AI models. The fast spread of OpenAI’s ChatGPT assistant, which launched in late 2022, kicked off the AI race for companies to deliver their own generative AI capabilities. Having invested more than $13 billion in OpenAI, Microsoft provides cloud infrastructure to the startup and has incorporated its models into Windows, Teams and other products.

Microsoft reported $20 billion in capital expenditures and assets acquired under finance leases worldwide, with $14.9 billion spent on property and equipment, in the first quarter of fiscal 2025. Capital expenditures will increase sequentially in the fiscal second quarter, Microsoft Chief Financial Officer Amy Hood said in October.

The company’s revenue from Azure and other cloud services grew 33% year over year, with 12 percentage points of that growth stemming from AI services.

Smith called on President-elect Donald Trump‘s incoming administration to protect the country’s leadership in AI through education and the promotion of U.S. AI technologies abroad.

“China is starting to offer developing countries subsidized access to scarce chips, and it’s promising to build local AI data centers,” Smith wrote. “The Chinese wisely recognize that if a country standardizes on China’s AI platform, it likely will continue to rely on that platform in the future.”

He added, “The best response for the United States is not to complain about the competition but to ensure we win the race ahead. This will require that we move quickly and effectively to promote American AI as a superior alternative.”

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Microsoft plans to spend $80 billion to build out AI this year

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Foreign phone sales plunge 47% in China spelling trouble for Apple

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Foreign phone sales plunge 47% in China spelling trouble for Apple

An Apple flagship store in Shanghai, China, October 15, 2024.

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Sales of foreign phone brands in China plunged in November, according to official data released Friday, underscoring further pressure on Apple, the biggest international handset vendor in the country.

In November, foreign mobile phone shipments in China stood at 3.04 million units, according to CNBC calculations based on data from the China Academy of Information and Communications Technology, or CAICT.

That’s a fall of 47.4% from November 2023, and a 51% drop from October last year.

CAICT does not break down figures for individual brands, however Apple accounts for the majority of foreign mobile phone shipments in China with competitors like Samsung forming only a tiny part of the market.

The figures highlight the mounting pressure Apple is under in the world’s largest smartphone market as it battles rising competition from domestic brands.

Huawei, for instance — whose handset business was crippled by U.S. sanctions — saw a resurgence in the back end of 2023 and has aggressively launched high-end smartphones in China that have proved popular with local buyers.

Huawei’s growth far outstripped Apple in the third quarter of last year, according to the latest data from research firm IDC.

Apple is hoping its iPhone 16 series, which was released in September, will help the company regain momentum in China, with the Cupertino, California, tech giant promising a host of new artificial intelligence features via its Apple Intelligence software.

However, Apple Intelligence is not yet available in China due to complex regulations around AI in the country.

In the meantime, some of Apple’s domestic rivals have been touting their own AI features that are available on devices now.

In a show of how critical China is for the iPhone giant, Apple CEO Tim Cook visited the country multiple times last year in an effort to shore up partnerships for Apple Intelligence with local Chinese firms.

In a bid to spur interest in the iPhone 16, Apple will begin discounts for the device on Saturday as part of a Lunar New Year holiday promotion.

Apple did not immediately respond to a request for comment.

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Meta replaces Global Affairs President Nick Clegg with Joel Kaplan ahead of Trump inauguration

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Meta replaces Global Affairs President Nick Clegg with Joel Kaplan ahead of Trump inauguration

Facebook vice president of global public policy Joel Kaplan and Facebook CEO Mark Zuckerberg leave the Elysee Presidential Palace after a meeting with French President Emmanuel Macron on May 23, 2018 in Paris, France.

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Facebook parent Meta is replacing President of Global Affairs Nick Clegg with Joel Kaplan, the company’s current policy vice president and a former Republican party staffer.

The shake up comes three weeks before President-elect Donald Trump’s inauguration, and it’s the latest sign of how tech companies are positioning themselves for a new administration in Washington.

Clegg, a former British deputy prime minister, said he is stepping down, citing the new year as the right time to move on. He’ll be replaced by Kaplan, who will take on the title of Chief Global Affairs Officer.

Kaplan was a staffer under former President George W. Bush, and he appeared at the NYSE with Vice President-elect J.D. Vance and Trump in December. He also attended Supreme Court Justice Brett Kavanaugh’s confirmation hearing in 2018 as a personal friend, causing a controversy for the social media company.

“I will look forward to spending a few months handing over the reins — and to representing the company at a number of international gatherings in Q1 of this year,” Clegg wrote in a memo to his staff that he shared on Facebook on Thursday.

Clegg joined the company in 2018 after a career in British politics with the Liberal Democrats party, and he helped Meta navigate incredible scrutiny, especially over the company’s influence on elections and its efforts to control harmful content. Clegg also helped steer the company through the Cambridge Analytica scandal, in which Facebook shared user data with third-party political consultants. He also represented the company in Washington and London, frequently at panels for artificial intelligence and at congressional hearings.

“My time at the company coincided with a significant resetting of the relationship between ‘big tech’ and the societal pressures manifested in new laws, institutions and norms affecting the sector,” Clegg wrote.

In his note, Clegg said that former Federal Communications Commission chairman Kevin Martin would replace Kaplan as Meta’s vice president of global policy. He mentioned that Kaplan would work closely with David Ginsburg, the company’s vice president of global communications and public affairs.

“Nick: I’m grateful for everything you’ve done for Meta and the world these past seven years,” Meta CEO Mark Zuckerberg said in a statement. You “built a strong team to carry this work forward. I’m excited for Joel to step into this role next given his deep experience and insight leading our policy work for many years.”

Semafor first reported the news.

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