CBX Daily 2/12/2024

Author

Claire Moraa
February 12, 2024

Today hip-hop stars bid farewell to their multi-million dollar tunes, but let’s start with how the lower and middle-class Americans stepped into a new pandemic wealth boom…

Now Playing:

Cultural Intelligence Download

Middle-Class & Lower-Income Americans Steal The Show In Pandemic Wealth Surge

CBX Vibe

The global pandemic has had a significant impact on the economic fabric of the world. However, an unexpected trend has emerged, where the wealth of middle-class and lower-income Americans grew at a faster rate than that of high earners during the early phases of the pandemic. This positive trend has not been universally shared, with Black and Hispanic families getting the shorter end of the stick. The wealth of White households exceeded 13 times more that of Black households in 2019.

Hip-Hop Artists Are Parting Ways With Their Multi-Million Dollar Music Catalogs

CBX Vibe:

It was once believed that rap and hip-hop would be a passing fad, yet those genres along with R&B have dominated the last decade of music, with people betting big on the future worth of nostalgia listening. More artists are jumping on the wave of parting ways with their catalogs including rapper Nelly’s recent $50 million deal for 50% of select assets, along with rapper Wiz Khalifa’s similar select asset deal both with HarborView. Is this a hip-hop business trend that’s likely to continue?

Generative AI’s $40 Billion Obstacle For Black Workers

CBX Vibe:

In the evolving world of Generative artificial intelligence (Gen AI), there's a rising concern that Black workers could potentially miss out on a colossal $40 billion chunk of the AI-created wealth. The advent of generative AI could unintentionally deepen the racial wealth divide, posing a significant risk to Black workers. This is a major cause for concern around the disproportionate impact the future of generative AI could have on Black communities and diverse employees. 

Jumia Ditches The Food Fight For Physical Goods In New Play

CBX Vibe:

African e-commerce giant, Jumia (JMIA +1.04%), made the pivotal decision to discontinue Jumia Food, its food delivery wing in favor of expanding its primary retail and Jumia Pay services. By the end of December 2023, Jumia Food ceased operations in all markets, a move propelled by a strategic reassessment. Although 11% of Jumia's Gross Merchandise Value (GMV) for the first nine months of 2023 stemmed from Jumia Food, the sector has struggled to achieve profitability since its inception and has poor unit economics even though the CEO attributed the closure to deep-pocketed rivals in the space.

Adidas Triumphing Over Its Yeezy Dilemma With 2024 Profit Outlook

CBX Vibe:

Adidas (ADDYY +0.56%) Yeezy crisis has been far from easy, but the company is projecting that 2024 is its year to turn the corner. The German sportswear maker expects operating profit to nearly double to about €500 million ($542.3 million) in 2024 following the company's break-up with Ye West and the discontinuation of its Yeezy business.

Vibes of the Week

“Dang!” Lower and middle-class Americans aren’t playing when it comes to securing the bag. Anderson Paak and Mac Miller in our CBX Vibes!