US

Amazon’s Toy and Game Sales Forecast

Amazon is poised for significant growth in the toy and game category in 2024, according to MomentumCommerce. Sales in this category are expected to reach $24.8 billion, an 11.2% increase from the previous year. However, this growth lags behind Amazon’s overall expected growth rate of 19.9%. July is anticipated to see the highest growth rate for toys and games at 20.8%. The fourth quarter of 2024 is projected to be particularly lucrative, contributing $10.4 billion, or 42% of the annual revenue, with December sales peaking at $4.4 billion.

Amazon’s Logistics Expansion

In a strategic move to bolster its logistics capabilities, Amazon is expanding its industrial real estate holdings and revamping its distribution network. In 2024, the company will add over 15 million square feet of warehouse space in the US. Amazon has transitioned to nine independently operated regions to facilitate faster deliveries and reduce costs. This shift resulted in a sixty five percent year-over-year increase in same-day or coming-day deliveries in Q4 2023. The logistics expansion is partly a response to competition from Walmart, which has an extensive store network, and platforms like Shein and Temu.

eBay’s Second-Hand Market Growth

eBay’s latest report highlights significant growth in its second-hand goods market. In 2024, second-hand and refurbished items account for 40% of the platform’s gross merchandise volume (GMV). Listings for second-hand clothing, shoes, and accessories saw a 400% year-over-year increase in March 2024. A global survey revealed that 88% of consumers have bought or sold second-hand items in the past year, with over 70% planning to do so this year. Millennials and Gen Z show particularly high engagement in purchasing second-hand goods. The most popular categories include clothing (48%), books (34%), and tech electronics (22%).

Globe

Vietnam’s Crackdown on E-commerce Infringements

Vietnam’s Ministry of Industry and Trade reported a 25% increase in e-commerce revenue, reaching $20.5 billion in 2023. However, the growth has been accompanied by a crackdown on online infringements. Authorities shut down over six thousand online stores and removed more than 23,000 infringing products. The revised Consumer Protection Law strengthens penalties for counterfeit goods and mandates the removal of infringing items within 24 hours. Nearly 5,000 cases of platform violations were handled, resulting in fines and mandatory destruction of goods. These measures aim to protect market order and consumer rights against illegal activities on platforms like Lazada, Shopee, TikTok, and Facebook.

Philippines Investigates Shopee’s Labor Practices

In the Philippines, lawmakers are calling for a thorough investigation into Shopee Express (SPX) over alleged labor violations. SPX drivers have protested against unpaid wages, lack of insurance, and obstruction of union formation. There has been a significant increase in labor disputes related to SPX in the past two years. The investigation will examine SPX’s compliance with tax and immigration laws. Lawmakers emphasize ensuring Shopee meets its obligations to the Bureau of Internal Revenue and adheres to labor laws.

AI

TikTok’s AI Advertising Tools

TikTok has introduced a suite of AI tools under the banner “TikTok Symphony,” aimed at revolutionizing the advertising landscape. The “Symphony Creative Studio” AI video generator can produce TikTok videos with minimal input from advertisers, while “Symphony Assistant” helps generate and refine ad scripts, offering best practice recommendations. Additionally, “Symphony Ads Manager Integration” enhances the effectiveness of existing videos. TikTok has also launched “TikTok One,” a centralized platform that connects marketers with nearly 2 million creators and partners, supported by predictive AI performance solutions. These innovations are part of TikTok’s broader strategy to expand its services and profitability.

Amazon’s New Cloud Leadership

Amazon’s new cloud boss, Matt Garman, inherits AWS at a critical juncture, particularly in the AI domain. Former AWS CEO Adam Selipsky faced challenges as AWS struggled to keep pace with competitors like Microsoft and Google in the generative AI race. Despite substantial investments, Amazon’s growth in this sector has been slower than expected, prompting a leadership change. Garman, known for his technical expertise, is expected to rejuvenate AWS’s position in the AI market. This transition underscores Amazon’s commitment to regaining its competitive edge in cloud and AI services.

Mastercard’s AI-Driven Fraud Detection

Mastercard has implemented generative AI to significantly enhance its fraud detection capabilities. The new AI tool scans transaction data across billions of customer cards, identifying patterns indicative of fraud. This technology has doubled the detection rates of compromised cards and increased the speed of notifying customers by 300%. Additionally, false positive reports have been reduced by 200%. The AI tool is part of Mastercard’s Cyber Secure suite, developed through capabilities gained from the 2020 acquisition of RiskRecon, aiming to bolster overall security and trust in digital transactions.

Autofleet’s Fleet Management AI

Autofleet has developed a large language model named Nova to assist fleet operators in managing their vehicles using natural language queries. Nova can provide actionable insights into fleet operations by analyzing data from various sources, including vehicle telematics and trip reservations. This model democratizes access to data, allowing non-technical stakeholders to make data-driven decisions. By integrating into a unified platform, Nova transforms fleet management, enabling real-time improvements and efficient operations. The tool will be available later this year, marking a significant advancement in fleet management technology.

Scale AI’s $1 Billion Funding Round

Artificial intelligence startup Scale AI has raised $1 billion in a Series F funding round, boosting its valuation to $13.8 billion. The funding will support the development of a “data foundry for AI,” aimed at advancing AI capabilities toward complex reasoning and multimodality. Scale AI, which specializes in data labeling for training AI models, has played a crucial role in projects for the Department of Defense and companies like OpenAI and Meta. The new capital will help Scale AI enhance its platform, enabling more precise and cost-effective AI model training and fine-tuning.

AWS’s Investment in Spain

AWS is investing $17 billion to expand its cloud and AI infrastructure in Spain, specifically in the Aragón region. This expansion is expected to create nearly seven thousand jobs and contribute $24 billion to Spain’s GDP, with significant economic benefits for the Aragón region. The investment aligns with Spain’s ambition to become a technological hub in Europe. AWS’s data centers in Aragón will operate on 100% renewable energy, contributing to Amazon’s goal of achieving net-zero carbon emissions by 2040. This move highlights AWS’s commitment to sustainable growth and technological innovation in Europe.