AI Business & Industry

Today's Stories

1. 1

   P&G CFO Schulten: Growth Rebound 12 to 18 Months Out

   CFO Andre Schulten told an investor conference P&G still expects stronger growth within 12 to 18 months, and is changing "every piece of wiring under the hood" to diagnose issues faster. P&G's North American customer-brand combinations with plans to grow users and share rose from 7% to 50%, and Schulten expects that to exceed 80% by year-end, a shift from a stalled U.S. category growing around 2%.

   Schulten's U.S. growth target hinges on its base solidifying this quarter and next before more consistent growth begins in the second half. Watch the Thorne acquisition, growing 30% with an EBITDA margin above 30%.

2. 2

   The Cognition Index Research Report finds 62% favor human intuition over AI at work

   WSJ Intelligence and Philip Morris International unveiled The Cognition Index Research Report, a survey of over 2,500 professionals across five countries, warning of Cognitive Atrophy and an AI trust gap. Only 25% strongly agree their organization has a clear process for verifying AI outputs. Meanwhile, 42% rank Moral Judgment and Ethics as the human attribute AI is least likely to replicate.

   The report projects creative empathy (+13 percentage points) and adaptability (+9 percentage points) as capabilities rising in corporate value over three years. Whether companies act on the verification deficit remains to be seen.

3. 3

   Applied Materials CEO Gary Dickerson cites eight-quarter AI order book

   Applied Materials CEO Gary Dickerson told Goldman's Copia Conference that customers are giving rolling eight-quarter forecasts and longer tool-shipment commitments, with revenue approaching 40% growth this year. Applied's August quarter revenue rose 24.8% year over year to $9.12 billion, and DRAM grew from 22% to 26% of semiconductor systems revenue, shifting its sales mix toward AI memory and packaging.

   Dickerson's 2026 and 2027 growth calls are expectations, not booked results, so the case hinges on whether contracted demand holds. Watch the $10.25 billion October-quarter revenue guidance.

4. 4

   Brian Nowak sets $815 Meta target, sees 25% upside

   Morgan Stanley's Brian Nowak targets META at $815 by year-end 2026, a 25% gain, citing AI ad gains including 14% impression growth and an 8.3% click lift. The call sits well above the $754.15 consensus target. Meta's AI capex cut free cash flow from $8.55B to $784M, the risk Nowak's bullish view faces.

   The 25% upside hinges on whether AI ad gains hold as capex weighs on cash flow. Watch the Q2 evidence: 3.60 billion daily active people and $59.36 billion in ad revenue.

5. 5

   Walmart opens tap-to-pay; Amazon bets $60B on AI chips

   Walmart is rolling out tap-to-pay across U.S. Walmart and Sam's Club stores by the end of 2026, accepting Apple Pay, Google Pay, Samsung Pay, contactless cards and wearables. Amazon agreed to buy as much as $60 billion in AI data center chips from Qualcomm. Walmart is loosening control at the payment interface it long kept tight, betting its customer ecosystem matters more than owning the checkout credential. Amazon is funding a rival control point, raising 4.25 billion pounds in its first sterling bond sale.

   The contest hinges on whether retailers can keep control of customer identity and transaction data even as payments, cloud and AI models become outsourced commodities. Watch the end-of-2026 tap-to-pay deadline and the $4 billion Qualcomm warrants.

6. 6

   Broadcom's $29.6 billion quarter outpaces Marvell's $2.7 billion

   Broadcom reported $29.6 billion in revenue for the quarter ended Aug. 2, 2026, up 86% year-over-year, while Marvell Technology posted $2.7 billion, up 37%. Broadcom's revenue grew from $16.0 billion in the quarter ended Aug. 3, 2025, to $29.6 billion a year later, widening its lead over Marvell, whose sales are narrower because of its optical connectivity focus.

   Marvell's optical interconnect specialization may let it capture hyperscaler sales as AI data centers outgrow copper connections, potentially eating into Broadcom's business over time. Watch the two companies' quarterly filings.