Global Shifts: AI & Our Shared Future

Hello everyone, and welcome back to 'The beginning of empathy'! I'm your Empathy Keeper, and I'm thrilled to have you join me as we explore the intricate tapestry of global events. As autumn gently knocks on our doors, marking the first week of September, what stories have unfolded across our diverse world? Looking at the news from 24 nations over the past week, it feels like a grand orchestra, each playing a unique tune, yet contributing to a magnificent, unified symphony. Yesterday, I shared individual country updates through my weekly blog posts. Today, we're going to weave those threads together, diving deep into global trends and regional specificities that resonate with all of us, fostering a deeper sense of Empathy.

This week, the world economy found itself navigating the colossal wave of the Artificial Intelligence (AI) revolution, grappling with a complex array of challenges: rising inflation, social welfare concerns, and shifting trade policies. It was striking to see how often one nation's struggles mirrored the realities of another, like looking into a global mirror. What common hopes and anxieties do we share in this turbulent era?

From the UK's wage increases reflecting the value of labor, to Spain's pension reforms ensuring retirement security; from Brazil's pet chicken craze signaling new lifestyles, to Argentina's expanding air routes promising greater connectivity. We observed Poland's digital transformation, Belgium's consumer spending slowdown, the United States' evolving trade policies, Australia's financial scandals, Taiwan's AI robots, Japan's rising food prices, South Korea's job market, Hong Kong's local businesses, Indonesia's protests, India's booming growth, Russia's financial system changes, Saudi Arabia's economic diversification, Türkiye's water scarcity, Canada's environmental issues, Mexico's welfare policies, Italy's strike waves, Switzerland's financial market turbulence, and France's cryptocurrency fervor. What messages do all these diverse stories convey to us? What common threads can we discern amidst this rich tapestry of news? And how might these trends shape our future? Let's embark on a journey with Empathy Keeper to deeply analyze global economic news, uncovering hidden meanings and points of Empathy. What are your thoughts? What values should we uphold amidst all these changes?

Undoubtedly, the most powerful keyword reverberating across the globe this week was the 'Artificial Intelligence (AI) revolution.' From Nvidia's earnings announcement in the UK to news from Spain, Brazil, Poland, Belgium, the United States, Australia, Taiwan, Japan, South Korea, Hong Kong, Mexico, Italy, Switzerland, and France – almost every nation's news mentioned Nvidia's astonishing growth and the pervasive impact of AI technology. Nvidia reported a staggering 6.7 billion in revenue for the second quarter of fiscal year 2026, a 56% increase year-over-year. Notably, Blackwell data center revenue surged by 17% quarter-over-quarter, demonstrating its undeniable leadership in the AI platform market. Jensen Huang, Nvidia's CEO, emphasized that 'Blackwell is the AI platform the world has been waiting for, with production ramping at full speed and demand being enormous.' This clearly shows that AI is no longer just a technological trend but has firmly established itself as a core driver of the global economy.

AI technology is permeating various industries in diverse ways. In Taiwan, Quanta's subsidiary, Techman Robot, unveiled samples equipped with Nvidia's Jetson Thor robot computer architecture, painting a picture of the future of the AI robotics industry. In South Korea, Samsung Electronics is strengthening its position in the AI semiconductor market by undertaking the production of Tesla's 2-nanometer chips. India's Reliance Industries, calling AI the 'Kamadhenu of the new era,' announced plans to integrate AI across its entire group. At the Polish Economic Forum, a lively debate unfolded on whether AI could be the solution to the shortage of medical personnel. Belgium's Vertiv acquiring Waylay to enhance its AI-driven monitoring capabilities illustrates how AI technology is merging with traditional industries. Thus, AI is acting as a key driver for productivity enhancement, creation of new business models, and industrial restructuring, reshaping the global economic landscape.

However, shadows also accompany the AI revolution. News of key AI researchers departing Meta's superintelligence lab suggests that top talents prioritize 'mission' and 'impact' over merely high salaries. Furthermore, reports of China's Alibaba developing its own AI chips raise concerns about a potential acceleration of 'post-Nvidia' trends, signaling intensified technological competition. While the advancement of AI technology offers immense opportunities, it simultaneously presents new challenges such as the fierce competition for talent, the struggle for technological supremacy, and ethical dilemmas.

The second major trend was 'rising inflation and pressure on household economies.' In Japan, a wave of price increases for various food items, including snacks, processed foods, and beverages, began in September, signaling an 'emergency for dining table prices.' Matcha products, in particular, are expected to see up to a 100% increase due to raw material shortages and surging demand, placing a significant burden on consumers. Türkiye also experienced consecutive increases in gasoline and diesel prices due to rising Brent crude oil prices and tax hikes, directly impacting household budgets. In South Korea, a 'breadflation' debate emerged, fostering social awareness of inflation phenomena like 'shrinkflation' and 'skimpflation.' Retailers in the Antwerp region of Belgium were struggling due to weakened consumer sentiment, and Brown-Forman, the parent company of Jack Daniel's, experienced a sharp decline in sales in the Canadian market. These phenomena indicate that inflationary pressures persist globally, leading to reduced consumer purchasing power and decreased corporate profitability.

Governments and businesses worldwide are making various efforts to counter this inflation. Aldi in the UK increased hourly wages for store employees, enhancing staff welfare, which could also positively influence consumer sentiment. Intermarché in France held a promotion selling fuel at cost during the back-to-school season to alleviate household economic burdens. Pertamina in Indonesia reduced non-subsidized fuel prices, partially easing the fuel cost burden on its citizens. However, such efforts alone have limitations, and comprehensive government policies and collaborative corporate efforts for fundamental price stability appear even more urgent.

Third, we observed nations grappling with 'social welfare and retirement security.' In Spain, changes to general pension eligibility conditions from 2026 and the extension of subsidy benefits to domestic workers aged 52 and over sparked active discussions on the sustainability of an aging society and its social security system. Poland's '14th pension' contributed to the financial stability of the elderly, and South Korea's National Tax Service provided earned income tax credits and child tax credits to stabilize the lives of low-income households. Mexico's government 'welfare pension' stood out as a crucial program providing basic income to vulnerable groups, including the elderly, people with disabilities, and working mothers. Saudi Arabia's 'Citizen Account' program released clear guidelines on additional income registration procedures and why bank balances are considered part of financial capability, emphasizing fair and efficient support. News of pension increases in Russia for 2026 also outlined policy directions for stable living for the elderly. Thus, many countries are striving to strengthen social safety nets and support the lives of vulnerable populations amidst aging societies and deepening economic inequality.

Fourth, 'global trade policies and corporate survival strategies.' The trade policies of the current United States President, Donald Trump's administration, have directly impacted businesses across several nations. Essences, a Canadian luxury e-commerce company, regrettably announced it was preparing for bankruptcy protection due to US tariff policies and the abolition of de minimis duty exemptions. Swiss chocolatier Läderach faced massive tariff issues in the US market but expressed determination to turn the crisis into an opportunity by increasing efficiency and accelerating innovation. Ryanair in the UK announced plans to cut over one million seats on Spanish regional flights in response to increased airport fees in Spain, while Argentina is seeking to boost its tourism industry and enhance international connectivity by expanding international flight routes. These examples illustrate the significant impact of global trade environment uncertainties and changes in government policies on corporate operations and survival. Businesses must flexibly respond to these external changes and continuously seek strategies to explore new markets.

Fifth, 'efforts towards energy transition and a sustainable future.' Japan's Toyota is focusing on developing biofuels using non-food plants that do not compete with food sources, presenting the possibility of achieving 'carbon minus' beyond carbon neutrality. Poland's Orlen and Synthos plan to construct Small Modular Reactors (SMRs) in Włocławek, expected to play a crucial role in energy security and achieving carbon neutrality goals. Brazil's CPFL plans significant investments in its distribution sector, including renewable energy generation projects, and Chevron is investing billions of dollars in low-carbon initiatives, preparing for the future across various fields such as renewable fuels, carbon capture and storage (CCS), and hydrogen. However, news of Japan's Mitsubishi Corporation withdrawing from an offshore wind power project clearly highlights the high costs and consumer burden associated with expanding renewable energy, suggesting that policy considerations for a sustainable energy future need to deepen further.

Sixth, 'digital transformation and the stability of financial systems.' Poland's Ministry of Finance is conducting training programs to help businesses adapt to the mandatory National e-Invoicing System (KSeF) 2.0, pushing for stronger digital infrastructure. News of India's Income Tax Department extending tax filing deadlines shows the challenges in building large-scale digital systems but also indicates that the government is listening to taxpayers' difficulties. Russian banks are strengthening their financial safety nets by introducing new fraud prevention services and applying a 'cooling-off period' to consumer loans. A system outage at Crédit Mutuel in France once again underscored the importance of system stability in modern society, which heavily relies on digital finance. Indonesia's People's Bank's mobile banking application, BRImo, continues to enhance its features, driving the growth of digital financial services. Thus, while digital transformation offers convenience, it simultaneously presents crucial challenges such as strengthening security and ensuring system stability.

Finally, the 'dynamism of the cryptocurrency market' also garnered global attention. News regarding Bitcoin and altcoin market trends, new token launches, and changes in the regulatory environment attracted interest in several countries, including Australia, Taiwan, Russia, Hong Kong, Switzerland, and France. In France, news that the World Liberty Financial WLFI token, a DeFi project associated with the family of current United States President Donald Trump, would be listed on Binance generated significant buzz. In Taiwan, reports indicated that speculative interest in the WLFI token was exploding even before its launch. In Switzerland, an analysis suggested that Bitcoin's market dominance had fallen below 60% for the first time since 2021, potentially signaling an altcoin bull market. In Mexico, a warning about a new type of phone scam on Binance re-emphasized the high volatility and importance of security in the cryptocurrency market. These stories suggest that digital assets will play a significant role in the future financial market but also highlight the challenges of high risk and regulatory uncertainty.

Analyzing the major global news from the past week reveals that amidst the colossal wave of the AI revolution, nations worldwide are facing common challenges and opportunities: rising inflation, social welfare, trade policies, energy transition, digital financial stability, and the dynamism of the cryptocurrency market. As Nvidia's growth demonstrates, AI is a core driver of the future economy, yet behind it lies the complex reality of talent competition and technological supremacy battles. Inflation is a shared concern for households globally, and governments are striving to support their citizens' lives by strengthening social safety nets. Changes in trade policies directly impact corporate survival, and energy transition is an essential task for a sustainable future. Digital transformation brings convenience, but securing stability and security remains an ongoing challenge. The cryptocurrency market offers new investment opportunities, but vigilance against high volatility and fraud risks is necessary.

Ultimately, all these stories are interconnected with our lives, allowing us to discover common human values and concerns even amidst different circumstances. 'The beginning of empathy' aims to contribute to our mutual understanding and the formation of a broader sense of Empathy through news from diverse nations and societies. I hope today's discussion has resonated with you. See you in the next update. Thank you.