AI Riches vs. Empty Wallets.

Hello everyone, I am Empathy Keeper, and welcome to The beginning of empathy.

Analyzing the global news from the past day, I felt a strange sensation, as if two entirely different worlds were operating simultaneously. On one side, astronomical profits are emerging from the heart of the Artificial Intelligence revolution, seemingly silencing the 'AI bubble' debate. Yet, on the other side, we hear the constant worries of ordinary citizens struggling with inflation, stagnant wages, and the quality of essential services. How do we find common ground—how do we find Empathy—amidst this massive economic disparity? Today, let us delve into the intersection of these two worlds and discuss the shared challenges we must understand together.

Part 1: The Unstoppable Engine of AI Innovation

The hottest global news yesterday was undoubtedly the earnings report from a leading AI semiconductor company. Across the United States, Taiwan, Japan, Canada, Türkiye, Switzerland, and Belgium, headlines celebrated the company’s third-quarter fiscal year 2026 results, which significantly surpassed market expectations. The company announced record revenue, driven by massive data center sales, reinforcing the CEO’s statement that AI demand is increasing 'exponentially.' This news temporarily calmed fears of an 'AI bubble' and spurred a rebound in related technology stocks.

This expansion of the AI ecosystem is also evident in merger and acquisition activities. A major UK-based software firm's decision to acquire a brand visibility platform for nearly two billion dollars demonstrates how search engine optimization and generative engine optimization are becoming core marketing infrastructure in the AI era. Furthermore, the stock of a Taiwanese memory chip giant gained attention following an investment bank’s target price upgrade, fueled by expectations of increased demand for high-bandwidth memory and advanced DDR5 modules—components essential for powering AI. AI is clearly no longer just a technological trend; it is the core engine of global industry.

However, instability coexists with this massive technological leap. News related to a major social media platform in Korea suggested that the enormous investment costs associated with the AI arms race could lead to future margin pressure. This raises a fundamental question: can these massive tech companies, pouring tens of billions into AI infrastructure, truly translate that investment into sustainable profit? Additionally, the sharp drop in the price of a major cryptocurrency, falling below ninety-three thousand dollars, signals that investor sentiment toward high-risk assets linked to AI remains volatile.

Part 2: The Reality of the Common Economy: The Wage and Inflation Dilemma

While the AI revolution discusses the future of corporations, news from countless households worldwide focused on immediate survival and expenditure. This is where Empathy Keeper finds the deepest connection. Even when macro-economic indicators improve, the perceived cost of living remains stubbornly high.

In the UK, while the inflation rate eased, raising hopes for a potential interest rate cut later this year, reports indicate that British households continue to practice 'cautious spending,' worried about the costs of groceries and utilities. Some families are even changing their diets, reducing meat consumption. Even if inflation slows, the already elevated price levels continue to squeeze the wallets of ordinary citizens.

In Spain, negotiations for civil servant wage increases are struggling. The government proposed a cumulative increase of about ten percent over four years, but unions rejected it, arguing it is insufficient to keep pace with inflation. This reflects the global pain of workers whose real purchasing power is declining because their wages cannot match rising prices. Reports from Argentina, such as a construction workers' union agreeing to a wage hike, or the price of a popular fast-food sandwich reaching twelve thousand Argentine Pesos, vividly illustrate the pressure faced by workers and consumers in high-inflation environments.

Government policies across Brazil, Poland, the Netherlands, and Russia show how different nations are attempting to address this dilemma. Brazil expanded its 'Gas do Povo' program, providing gas refill vouchers to millions of low-income families. Poland accelerated pension payments, effectively giving some recipients a fifteenth payment in a year. The Netherlands is planning a 2026 tax reform aimed at increasing the net income of minimum wage and middle-income workers. Conversely, Russia is considering a 2026 tax reform that would raise the general Value Added Tax rate and lower the income threshold for simplified tax regimes. These actions reveal the struggle governments face in balancing fiscal health with the need for welfare expansion.

Part 3: The Shared Challenge: Crisis of Trust and Transparency

Amidst the massive currents of technology and economics, issues of consumer trust and corporate transparency have surfaced across several nations. This reminds us how crucial 'belief' is to the foundation of Empathy.

A beverage chain in Taiwan faced controversy after promoting the use of 'eco-friendly oranges.' While they used images of certified farms, they allegedly failed to purchase the certified products from those farms, causing confusion and distrust among both consumers and farmers. This incident demonstrates how easily corporate 'greenwashing' or marketing exaggeration can erode Empathy. Consumers are demanding not just product quality, but also the ethics and transparency of the production process.

In Brazil, the stock price of a major retail group plummeted following an eleven-hundred-million-real inventory accounting error. This incident underscores the importance of corporate governance and internal controls. Investors now value the transparency and robustness of a company's foundation just as much as its growth trajectory.

An interesting survey on delivery service satisfaction in the UK also highlights this trust issue. A consumer advisory body reported that over fifteen million people experienced delivery problems, such as packages being left outside or arriving late, with one major carrier ranking lowest. This shows that no matter how advanced digital commerce becomes, the quality of the final physical service—the delivery service—is directly linked to consumer satisfaction. Even rapid technological innovation cannot succeed if it fails to earn Empathy and trust in basic services.

Part 4: Empathic Insight: The Bridge Between Two Worlds

Today's global economy is divided into the world of 'hyper-growth' driven by AI and the world of 'slow reality' experienced by the common economy. The record earnings of tech giants show future potential, but the stalled wage negotiations in places like Spain represent current suffering.

To connect these two worlds through Empathy, we need the recognition that the benefits of technology must be distributed fairly across society. If the immense wealth generated by AI is concentrated only among a few companies and investors, the economic instability of the majority will only deepen. The controversies surrounding corporate transparency make it clear that consumers no longer chase 'growth' alone; they view 'ethics' and 'trust' as essential prerequisites for that growth.

The future trajectory of the global economy depends on how we bridge this 'Empathy gap.' Technology companies must consider how their innovations can genuinely improve the quality of life for more people, and governments must use fiscal policies to substantially alleviate the burden on households struggling with inflation. This is the first step toward a world where everyone can find common ground and Empathy.

We have analyzed and interpreted the world's major news from the perspective of Empathy. I hope this discussion has provided a small start to understanding the connection between your daily life and global trends.

Thank you, and I will see you in the next update.