April 21 2023 - Friday Roundup

👋Happy Friday everyone. We're skipping the quick take since we have our video roundup– let's get into it.

Instagram is relocating the majority of its staff, including head Adam Mosseri, from London to New York as part of a restructuring effort at parent company Meta. Instagram had been building a new hub in the UK in recent months but is now asking workers to move to the US. London was Instagram's first international office, established in 2013, and was Meta’s largest international engineering base outside the US last year, with about 4,000 staff.

Google plans to use generative AI to create advertisements and sophisticated campaigns resembling those created by agencies. Advertisers can supply creative content such as imagery, video and text relating to a particular campaign and the AI will then "remix" this material to generate ads based on the audience it aims to reach, as well as other goals, such as sales targets.

Buzzfeed is shutting down its news operation, resulting in around 180 layoffs, as part of its retrenchment plan. Buzzfeed will focus its news operations on HuffPost, which was acquired in 2020 and is profitable, and will continue to operate its namesake website, along with the youth-oriented media businesses Complex, Tasty, and First We Feast. The company has been unable to sustain a profit despite numerous job cuts.

• MillerKnoll CEO, Andrea Owen, has apologized to her staff in a company-wide email after a video of her telling employees to “leave pity city” and focus on the company’s needs, rather than motivation through bonuses, went viral. In the email, Owen said that her comments on bonuses "landed in a way that I did not intend," and that she was sorry that her rallying cry seemed insensitive, and that she had hoped to energize the team to meet the challenge.
• In honor of 4/20, cannabis brands are collaborating with mainstream brands such as AriZona Beverages and Fatburger to extend their reach beyond core cannaseurs and further embed weed into the popular consciousness. Kiva Confections has partnered with Fatburger for a first-of-its-kind “canndiment”-weed-infused ketchup, while Pax has teamed up with artist and sneaker designer Stan Birch for custom-created Nike Dunk Low kicks with a cannabis twist. The cannabis industry is expected to exceed its record-breaking sales from 2022, reaching $154 million in the U.S.

• Meta employees have criticized the company's on an internal forum following the social media company's second round of layoffs, which are expected to affect around 10,000 staff. One question read, "You've shattered the morale and confidence in leadership of many high performers who work with intensity. Why should we stay at Meta?" – we're constantly wondering, 'Is there another round coming? Am I next?'"
• Google is creating a new unit called DeepMind by consolidating its AI research divisions, including the DeepMind team and the Google Brain team. The new unit will work on developing AI research and products in collaboration with Google's product areas, and a new scientific board will be created to oversee its progress and direction.
• Epic Games has acquired Brazilian game company Aquiris, which will become Epic Games Brasil. While Aquiris has created titles such as Wonderbox and Horizon Chase, Epic plans to leverage the developer's team for its popular game Fortnite, aiming to "create groundbreaking content and social experiences" within the game. Epic had previously invested in Aquiris, lauding its "artistic and technical capabilities" and its use of Unreal Engine.

• Meta's Reality Labs division is seeing layoffs affecting VR teams, including Ready at Dawn and Downpour Interactive. This contradicts a Business Insider report from earlier this week which claimed that gaming-focused teams would be safe. Ready at Dawn and Downpour Interactive were both acquired by Meta, with Ready at Dawn announcing in January that it would shut down its popular free-to-play multiplayer game Echo VR.
• SpaceX's Starship rocket exploded during its first test flight. The rocket was supposed to separate from the booster after liftoff, but instead it continued to flip, and debris started to plummet into the ocean before the explosion.

• Yuga Labs' Chief Creative Officer Michael Figge will discuss brand building in the metaverse during Ad Age's Web3 Summit on May 9. The discussion will cover Yuga's rise in Web3 and how traditional brands can participate in virtual spaces, among other topics.
• Whole Foods plans to cut several hundred corporate jobs as it reorganizes its structure by consolidating its operating regions from nine to six. The changes aim to simplify operations and better serve stores and customers as the company expands, but it will not eliminate positions in stores or distribution centers. The cuts are expected to affect less than 0.5% of the total workforce. The reorganization will take place over the next two months, and each region will be similar in size to help the company operate more efficiently.
• Heinz has been named Canada's most successful advertiser based on its performance at international and national awards shows in 2022 as ranked by the Institute of Canadian Agencies' Creative Power List.

• WPP has acquired sonic branding agency Amp to join Landor and Fitch, aiming to strengthen its experiential branding offer. Amp's offer includes Sonic Hub, an AI-powered platform that allows the business to analyze, create, and manage sonic assets for clients to ensure a brand’s audio content is consistent.
• M&C Saatchi has appointed Carlo Noseda as its CEO for Europe, a move that brings a new client-focused model that aims to build collaboration across its various offices. Under the Moving Forward strategy, the company will create a profit-and-loss account for each client instead of individual office reporting. The new model will introduce collaboration among creatives, teams, and clients in various locations, including France, Spain, Germany, Sweden, the Netherlands, and Italy. Specialist hubs, such as Brussels for world issues and Stockholm for digital projects, will also be established.
• FutureDeluxe and its group partner Forever have hired Mike Bell, previously of Nexus Studios, as executive producer for FutureDeluxe, and Joel Dennis, formerly of Sid Lee, as global head of growth for Forever. Bell's focus will be on building stronger relationships with FutureDeluxe's existing client roster while expanding the roster with new clients and opportunities. Dennis, in his newly created role, will be responsible for growing the business and expanding the global group's footprint both internally and externally.
• Wasserman acquires Toronto-based creative and experience agency trevor//peter. The lifestyle brand agency trevor//peter helps clients and their audience build brand affinity and drive engagement. With approximately 50 staff members, the trevor//peter team offers a unique mix of disciplines across brand strategy, creative, digital, and experiential. The acquisition will provide complementary offerings across the shared passion points of sports, music, and entertainment. As part of Wasserman, trevor//peter will collaborate with Wasserman's market-leading team in Toronto on shared clients, including RBC and Diageo, while adding new clients such as Red Bull, DHL, Spotify, HOKA, UGG, and the Canadian Football League to Wasserman's roster.
• Johannes Leonardo President Bryan Yasko is leaving the agency after seven years. The company did not reveal Yasko's successor or his next move.

• Apple Launches Tap to Pay on iPhone in Taiwan
• Microsoft releases Copilot for Viva, as it continues to roll out generative AI
• PlayStation acquires developer Firewalk Studios
• US could soon approve MDMA therapy
• Gucci Offices Raided by Antitrust Authorities in Europe
• Charges against Alec Baldwin to be dropped in 'Rust' shooting
• Lending Slowed, Economy Cooled After Bank Failures, Fed Report Shows
• Tiger Global Management’s $12.7 Billion Venture Fund Records 20% Loss
• Ikea plans $2.2 billion U.S. expansion, adding eight stores

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