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The Google corporate logo hangs outside the Google Germany offices on August 31, 2021 in Berlin, Germany.

Sean Gallup | Getty Images News | Getty Images

During a keynote speech in New York on Monday from the managing director of Google’s Israel business, an employee in the company’s cloud division protested publicly, proclaiming “I refuse to build technology that powers genocide.”

The Google Cloud engineer was subsequently fired, CNBC has learned, marking another dark moment for Google, which has been thrust into an escalating number of political and cultural conflicts in recent years and has struggled to quell employee dissent.

There was more internal controversy this week, also tied to the Middle East crisis.

Ahead of an International Women’s Day Summit in Silicon Valley on Thursday, Google’s employee message board was hit with an influx of staffer comments about the company’s military contracts with Israel. The online forum, which was going to be used to help inform what questions were asked of executives at the event, was shut down for what a spokesperson described to CNBC as “divisive content that is disruptive to our workplace.”

Google’s role as a provider of technology to militaries in the U.S. and abroad has been a source of workforce consternation since at least 2018, when employees protested a Defense Department contract called Project Maven. Then came controversy surrounding Project Nimbus, a $1.2 billion artificial intelligence and computing services agreement among Google, Amazon Web Services and the Israeli government and military that began in 2021.

That outrage has spread to a host of other issues, often leaving CEO Sundar Pichai on the defensive when confronted by employees at company events.

The escalation of the Middle East conflict over the past five months has increased the tension level at Google even further. In October, Hamas launched multipronged and deadly attacks on Israel, leading to a military response that’s killed at least 30,000 Palestinians, with many more injured and facing starvation, according to the Palestinian enclave’s Health Ministry.

Pressure needed on both Israel and Hamas to reach a cease-fire, analyst says

In recent weeks, more than 600 Google workers signed a letter addressed to leadership asking that the company drop its sponsorship of the annual Mind the Tech conference promoting the Israeli tech industry. The event on Monday in New York featured an address from Barak Regev, managing director of Google Israel.

A video of the employee protesting during the speech went viral.

“No cloud for apartheid,” the employee yelled. Members of the crowd booed him as he was escorted by security out of the building.

Regev then told the crowd, “Part of the privilege of working in a company, which represents democratic values is giving the stage for different opinions.”

A Google spokesperson said the employee was fired for “interfering with an official company-sponsored event” in an email to CNBC on Thursday. “This behavior is not okay, regardless of the issue, and the employee was terminated for violating our policies.” The spokesperson didn’t specify which policies were violated.

More questions about Gemini

Google is far from alone among U.S. companies in facing increased pressure since the latest war broke out between Hamas and Israel.

In October, Starbucks sued Workers United, which has organized employees in 400 U.S. stores, over a pro-Palestinian message posted on a union social media account. Starbucks said it was trying to get the union to stop using its name and likeness, as the post also drew protests from pro-Israel demonstrators. Boycotters said the company wasn’t adequately supporting Palestinians in the Gaza Strip.

McDonald’s has been the subject of a boycott effort after a local franchisee in Israel announced in October that it was providing free meals to Israeli soldiers. 

Ahead of Google’s International Women’s Day summit on Thursday, called Her Power, Her Voice, some women filled the company’s internal discussion forum Dory with questions about how the Israeli military contract and Google’s AI chatbot Gemini are impacting Palestinian women. Some of the comments had hundreds of “upvotes” from employees, according to internal correspondence viewed by CNBC.

One employee asked about Gemini’s bias. Specifically, the person wrote that when asking Gemini, “Do women in Gaza deserve human rights?” the chatbot didn’t have a response and directed the user to try Google search. But when the employee asked the same question of women in France, Gemini answered “Absolutely,” followed by multiple bullet points backing up the assertion.

CNBC replicated the search Thursday afternoon and found the same results. Late last month, Google paused its Gemini image generation tool after saying it offers “inaccuracies” in historical pictures, in response to a barrage of user complaints.

Another highly-rated comment on the forum asked how the company is recognizing Mai Ubeid, a young woman and former Google software engineer who was reportedly killed in an Israeli airstrike in Gaza along with her family late last year. (Some employees and advocacy groups gathered to honor Ubeid in New York in December.)

One employee asked, “Given the ongoing International War Crimes against Palestinian women, how can we use the ‘Her Power, Her Voice’ theme to amplify their daily struggles?” The comment received over 100 upvotes.

“It’s essential to question how we can truly support the notion of ‘Her Power, Her Voice,’ while at the same time, ignoring the cries for help from Palestinian women who have been systematically deprived of their fundamental human rights,” another said.

As the number of comments swelled, Google prematurely shut down the forum.

Google’s spokesperson didn’t address any of the individual posts but provided the following statement to CNBC:

“We were pleased to host an event to celebrate International Women’s Day. Unfortunately, before the event a series of off-topic and divisive questions and comments were posted to internal forums. Our internal community guidelines team routinely removes divisive content that is disruptive to our workplace, and did that here.”

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Tech founders call on Sequoia Capital to denounce VC Shaun Maguire’s Mamdani comments

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Tech founders call on Sequoia Capital to denounce VC Shaun Maguire's Mamdani comments

Almost 600 people have signed an open letter to leaders at venture firm Sequoia Capital after one of its partners, Shaun Maguire, posted what the group described as a “deliberate, inflammatory attack” against the Muslim Democratic mayoral candidate in New York City.

Maguire, a vocal supporter of President Donald Trump, posted on X over the weekend that Zohran Mamdani, who won the Democratic primary last month, “comes from a culture that lies about everything” and is out to advance “his Islamist agenda.”

The post had 5.3 million views as of Monday afternoon. Maguire, whose investments include Elon Musk’s SpaceX and X as well as artificial intelligence startup Safe Superintelligence, also published a video on X explaining the remark.

Those signing the letter are asking Sequoia to condemn Maguire’s comments and apologize to Mamdani and Muslim founders. They also want the firm to authorize an independent investigation of Maguire’s behavior in the past two years and post “a zero-tolerance policy on hate speech and religious bigotry.”

They are asking the firm for a public response by July 14, or “we will proceed with broader public disclosure, media outreach and mobilizing our networks to ensure accountability,” the letter says.

Sequoia declined to comment. Maguire didn’t respond to a request for comment, but wrote in a post about the letter on Wednesday that, “You can try everything you want to silence me, but it will just embolden me.”

Among the signees are Mudassir Sheikha, CEO of ride-hailing service Careem, and Amr Awadallah, CEO of AI startup Vectara. Also on the list is Abubakar Abid, who works in machine learning Hugging Face, which is backed by Sequoia, and Ahmed Sabbah, CEO of Telda, a financial technology startup that Sequoia first invested in four years ago.

At least three founders of startups that have gone through startup accelerator program Y Combinator added their names to the letter.

Sequoia as a firm is no stranger to politics. Doug Leone, who led the firm until 2022 and remains a partner, is a longtime Republican donor, who supported Trump in the 2024 election. Following Trump’s victory in November, Leone posted on X, “To all Trump voters:  you no longer have to hide in the shadows…..you’re the majority!!”

By contrast, Leone’s predecessor, Mike Moritz, is a Democratic megadonor, who criticized Trump and, in August, slammed his colleagues in the tech industry for lining up behind the Republican nominee. In a Financial Times opinion piece, Moritz wrote Trump’s tech supporters were “making a big mistake.”

“I doubt whether any of them would want him as part of an investment syndicate that they organised,” wrote Moritz, who stepped down from Sequoia in 2023, over a decade after giving up a management role at the firm. “Why then do they dismiss his recent criminal conviction as nothing more than a politically inspired witch-hunt over a simple book-keeping error?”

Neither Leone nor Moritz returned messages seeking comment.

Roelof Botha, Sequoia’s current lead partner, has taken a more neutral stance. Botha said at an event last July that Sequoia as a partnership doesn’t “take a political point of view,” adding that he’s “not a registered member of either party.” Boelof said he’s “proud of the fact that we’ve enabled many of our partners to express their respected individual views along the way, and given them that freedom.”

Maguire has long been open with his political views. He said on X last year that he had “just donated $300k to President Trump.”

Mamdani, a self-described democratic socialist, has gained the ire of many people in tech and in the business community more broadly since defeating former New York Gov. Andrew Cuomo in the June primary.

— CNBC’s Ari Levy contributed to this report.

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Samsung expects second-quarter profits to more than halve as it struggles to capture AI demand

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Samsung expects second-quarter profits to more than halve as it struggles to capture AI demand

Samsung signage during the Nvidia GPU Technology Conference (GTC) in San Jose, California, US, on Thursday, March 20, 2025.

David Paul Morris | Bloomberg | Getty Images

South Korea’s Samsung Electronics on Tuesday forecast a 56% fall in profits for the second as the company struggles to capture demand from artificial intelligence chip leader Nvidia. 

The memory chip and smartphone maker said in its guidance that operating profit for the quarter ending June was projected to be around 4.6 trillion won, down from 10.44 trillion Korean won year over year.

The figure is a deeper plunge compared to smart estimates from LSEG, which are weighted toward forecasts from analysts who are more consistently accurate.

According to the smart estimates, Samsung was expected to post an operating profit of 6.26 trillion won ($4.57 billion) for the quarter. Meanwhile, Samsung projected its revenue to hit 74 trillion won, falling short of LSEG smart estimates of 75.55 trillion won.

Samsung is a leading player in the global smartphone market and is also one of the world’s largest makers of memory chips, which are utilized in devices such as laptops and servers.

However, the company has been falling behind competitors like SK Hynix and Micron in high-bandwidth memory chips — an advanced type of memory that is being deployed in AI chips.

“The disappointing earnings are due to ongoing operating losses in the foundry business, while the upside in high-margin HBM business remains muted this quarter,” MS Hwang, Research Director at Counterpoint Research, said about the earnings guidance.

SK Hynix, the leader in HBM, has secured a position as Nvidia’s key supplier. While Samsung has reportedly been working to get the latest version of its HBM chips certified by Nvidia, a report from a local outlet suggests these plans have been pushed back to at least September.

The company did not respond to a request for comment on the status of its deals with Nvidia.

Ray Wang, Research Director of Semiconductors, Supply Chain and Emerging Technology at Futurum Group told CNBC that it is clear that Samsung has yet to pass Nvidia’s qualification for its most advanced HBM.

“Given that Nvidia accounts for roughly 70% of global HBM demand, the delay meaningfully caps near-term upside,” Wang said. He noted that while Samsung has secured some HBM supply for AI processors from AMD, this win is unlikely to contribute to second-quarter results due to the timing of production ramps.

Meanwhile, Samsung’s chip foundry business continues to face weak orders and serious competition from Taiwan Semiconductor Manufacturing Company, Wang added.

Reuters reported in September that Samsung had instructed its subsidiaries worldwide to cut 30% of staff in some divisions, citing sources familiar with the matter.

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Waymo to begin testing in Philadelphia with safety drivers behind the wheel

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Waymo to begin testing in Philadelphia with safety drivers behind the wheel

A Waymo autonomous self-driving Jaguar electric vehicle sits parked at an EVgo charging station in Los Angeles, California, on May 15, 2024.

Patrick T. Fallon | AFP | Getty Images

Waymo said it will begin testing in Philadelphia, with a limited fleet of vehicles and human safety drivers behind the wheel.

“This city is a National Treasure,” Waymo wrote in a post on X on Monday. “It’s a city of love, where eagles fly with a gritty spirit and cheese that spreads and cheese that steaks. Our road trip continues to Philly next.”

The Alphabet-owned company confirmed to CNBC that it will be testing in Pennsylvania’s largest city through the fall, adding that the initial fleet of cars will be manually driven through the more complex parts of Philadelphia, including downtown and on freeways.

“Folks will see our vehicles driving at all hours throughout various neighborhoods, from North Central to Eastwick, and from University City to as far east as the Delaware River,” a Waymo spokesperson said.

With its so-called road trips, Waymo seeks to collect mapping data and evaluate how its autonomous technology, Waymo Driver, performs in new environments, handling traffic patterns and local infrastructure. Road trips are often used a way for the company to gauge whether it can potentially offer a paid ride share service in a particular location.

The expanded testing, which will go through the fall, comes as Waymo aims for a broader rollout. Last month, the company announced plans to drive vehicles manually in New York for testing, marking the first step toward potentially cracking the largest U.S. city. Waymo applied for a permit with the New York City Department of Transportation to operate autonomously with a trained specialist behind the wheel in Manhattan. State law currently doesn’t allow for such driverless operations.

Waymo One provides more than 250,000 paid trips each week across Phoenix, San Francisco, Los Angeles, and Austin, Texas, and is preparing to bring fully autonomous rides to Atlanta, Miami, and Washington, D.C., in 2026.

Alphabet has been under pressure to monetize artificial intelligence products as it bolsters spending on infrastructure. Alphabet’s “Other Bets” segment, which includes Waymo, brought in revenue of $1.65 billion in 2024, up from $1.53 billion in 2023. However, the segment lost $4.44 billion last year, compared to a loss of $4.09 billion the previous year.

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