At a summit in Paris in February 2025, tech leaders made grand claims about AI’s potential, with Sundar Pichai describing it as a monumental shift. Early optimism suggested AI could level the playing field, benefiting lower-skilled workers. However, recent research challenges this idea, showing that AI is more likely to widen the divide between high and low performers. Studies indicate that AI enhances productivity the most for experienced workers, while low-skilled jobs, like customer service, face automation, leading to wage stagnation. In more complex tasks, top performers benefit most from AI tools, as they can leverage them effectively. The technology appears to favour those with expertise and judgment, continuing a historical trend where technological advancements disproportionately benefit skilled workers. As AI evolves, it could create new roles, but those who excel in navigating complex environments will be the most successful.

Over the past decade, Chinese local officials have become increasingly cautious in their work, driven by fears of punishment due to heightened scrutiny and anti-corruption efforts under Xi Jinping. While officials once competed fiercely to drive economic growth, many now adopt superficial measures to avoid being targeted by the Communist Party's inspectors. Despite this, the government needs them to stimulate economic activity, especially as growth slows. In response, officials have been sluggish in using funds allocated for infrastructure projects, with billions still unspent. The government is attempting to revive morale by implementing a "three distinctions" policy to differentiate between genuine corruption and unintentional mistakes. The Central Commission for Discipline Inspection (CCDI) is also trying a softer approach, holding "heart-to-heart" talks with officials and addressing false corruption claims. However, the ongoing harsh anti-corruption campaign still limits officials' willingness to take action.

The EU's economic growth remains stagnant, with no growth recorded in the final quarter of 2024. Ursula von der Leyen and Christine Lagarde have stressed the need for faster growth to protect Europe's quality of life and security, yet growth prospects are limited. Europe's ageing population and lack of innovation dampen productivity, while external demand is weak. Consumer confidence remains low, and the European Central Bank (ECB) struggles with inflation. Although wage growth has risen, consumers are saving more, and businesses are hesitant to invest. Efforts to boost spending on defence and supply-side reforms may help, but they are unlikely to provide a significant economic boost. The EU faces the challenge of increasing investment and tackling structural issues to secure long-term prosperity.

Mixue Ice Cream and Tea, a Chinese company, has become the world’s largest food-and-beverage chain by number of locations, surpassing McDonald's and Starbucks. Known for selling affordable ice cream and drinks priced at around 83 cents, the company ended 2024 with 45,000 stores globally. Mixue's rapid expansion, largely in smaller cities across China, is driven by its low prices, simple store designs, and its strong brand presence, exemplified by its mascot, Snow King, and a catchy jingle. Founded in 1997, Mixue's growth is also supported by its below-average franchising fees and selling supplies to franchisees. Despite its success in China and 10 other countries, the company has not yet expanded into the U.S. After raising over $400 million in a Hong Kong IPO, Mixue's valuation has exceeded $10 billion.

Hayden Davis, a 28-year-old college dropout, became embroiled in a major cryptocurrency scandal in February 2024 with the launch of $LIBRA, a meme coin intended to support Argentina's economy. Backed by his family’s venture firm, Kelsier Ventures, Davis gained attention when Argentine President Javier Milei promoted $LIBRA, causing its value to soar before it collapsed, resulting in losses of over $250 million for investors. Davis reportedly made $100 million by selling off his holdings before the crash. Though he expressed regret for the losses, Davis defended the inherently risky nature of meme coins. The scandal has led to fraud investigations, and Milei faced political backlash, despite initially supporting the coin. Davis, whose earlier ventures had included selling energy drinks and working in cryptocurrency, admitted that the crypto market is akin to an "unregulated casino."

President Trump’s upcoming tariffs on key U.S. trading partners have created market uncertainty, prompting investors to shift towards more defensive sectors such as healthcare, consumer staples, and financials, which have outperformed the S&P 500 this year. Meanwhile, riskier investments, including AI stocks like Nvidia and crypto-related assets, have struggled. Trump's trade policies, including tariffs on steel, aluminium, and potentially cars and pharmaceuticals, could drive inflation and market volatility. Some investors have repositioned their portfolios, betting on industries like industrials and materials, which could benefit from reshoring. However, others remain cautious, expecting tariffs to remain negotiable or to be counterbalanced by other economic policies. Analysts warn that tariffs could disrupt the Fed’s efforts to control inflation, and the overall market is bracing for potential instability.

The Nkyinkyim Museum in Ada, Ghana, founded by artist and activist Kwame Akoto-Bamfo in 2019, features a poignant collection of over 3,500 clay head sculptures, each representing an enslaved African who was taken by Europeans. These sculptures, part of the Ancestor Project, aim to confront the brutal history of slavery and provide a space for reflection and healing. The museum, set in a serene 46-hectare site, also houses a visual archive of African history and culture. Visitors, including those from the African diaspora, can participate in art workshops and ceremonies. Akoto-Bamfo, who has been deeply moved by the emotional responses to the museum, has committed to creating 11,111 sculptures as a symbol of unity. However, the psychological toll of addressing such painful histories has affected him, leading him to seek therapy. The project is self-funded through commissions and public appearances.

Prada is in negotiations to acquire the Versace fashion brand from US investor Capri Holdings for an estimated €1.5bn (£1.2bn). If successful, the deal would return Versace to Italian ownership and strengthen Prada's position against competitors like France's LVMH. Capri, formerly known as Michael Kors, bought Versace for $2.1bn in 2018 but has struggled with the brand's performance. Versace's sales were down 15% in the last quarter of 2024, and it is expected to be lossmaking this financial year. Despite this, Capri forecasts long-term growth for Versace. Prada has reviewed the brand's financials as part of the due diligence process. Capri’s debt was downgraded in February, and its efforts to merge with Tapestry were blocked by the US Federal Trade Commission in 2024.

The midlife crisis, once considered a defining feature of Western society, is being overshadowed by a growing youth mental health crisis, according to experts Jean Twenge and David Blanchflower. In a study commissioned by the UN, they argue that the traditional U-shape of happiness - where life satisfaction dips in middle age and rises later in life - is being replaced by a decline in wellbeing among young people, especially young women. This trend, which has been linked to the rise of smartphones and social media, suggests that young people are increasingly isolated, with fewer social interactions and more exposure to cyberbullying and body shaming. Blanchflower warns that this crisis could have significant social and economic consequences, affecting education, employment, and global productivity. The UN is conducting further research to assess the global scale of the issue.