Economy — 978 insights
Four US tech giants bled $95bn in cash in Q2 on soaring AI investments
Economy

Four US tech giants bled $95bn in cash in Q2 on soaring AI investments

Amazon CEO says cloud arm could become trillion-dollar business Shares of Amazon and Microsoft shot up after the companies showed that they could link their AI investments to earnings. (Source photos by Reuters) PALO ALTO, California -- AI and other investments by four American technology giants exceeded the cash generated from their core operations by nearly $100 billion in the second quarter alone as growing concerns about overinvestment lead to a gap between companies that can show how artificial intelligence contributes to earnings and those that cannot.

August 1, 2026
Memory makers flush with $90bn cash flow on AI gold rush
Economy

Memory makers flush with $90bn cash flow on AI gold rush

Micron, SK Hynix, Samsung line up big capacity investments as Kioxia plays catch-up Kioxia is among the memory suppliers investing in more capacity to meet AI-related demand. (Photo by Yohei Fukai) TOKYO -- Memory manufacturers are reaping the benefits of the flood of artificial intelligence spending by U.S. tech giants, bringing an influx of cash that is being plowed into investment to gain an edge in the race to meet demand.

August 1, 2026
Japan’s Makino Milling Machine rejects takeover proposal by investor NSSK
Economy

Japan’s Makino Milling Machine rejects takeover proposal by investor NSSK

Foreign co-investors would have made government approval difficult to obtain Makino machining equipment is used in the manufacture of defense equipment. (Source photos by Nikkei) TOKYO -- Japanese machine tool maker Makino Milling Machine has turned down a takeover proposal from a Tokyo-based private equity firm, deeming government approval unlikely with the involvement of foreign co-investors.

August 1, 2026
LDP revolt grows over Takaichi plan to cut food tax to 1%
Economy

LDP revolt grows over Takaichi plan to cut food tax to 1%

Lawmakers from PM's party fret over funding and future need to raise tax again Prime Minister Sanae Takaichi's decision to announce her tax cut plan before seeking party consensus has rankled some party members. (Photo by Ken Suzuki) TOKYO -- Japan's ruling Liberal Democratic Party postponed on Friday the approval of a plan to lower the consumption tax on food to 1%, as party members push back on Prime Minister Sanae Takaichi's unilateral drive to implement the change amid funding and other concerns.

August 1, 2026
Japan intelligence agency kicks off with focus on industrial espionage
Economy

Japan intelligence agency kicks off with focus on industrial espionage

Bureau tasked with centralizing information gathering across agencies The National Intelligence Bureau reports to the National Intelligence Council, chaired by Prime Minister Sanae Takaichi. (Photo by Ken Suzuki) TOKYO -- The Japanese government officially established the National Intelligence Bureau (NIB) on Friday with an eye on mounting a more effective response against corporate espionage.

August 1, 2026
Japan’s NTT Data launches new payment platform in India
Economy

Japan’s NTT Data launches new payment platform in India

Country is the 'most important' for overseas payment business, company says NTT Data executives Shinichiro Nishikawa, left, and Takeo Ueno speak to reporters in Mumbai on July 30. (Photo by Takanori Okabe) MUMBAI -- Japanese technology company NTT Data has launched a new payment service in India, seeking to capture a large chunk of the growing market.

August 1, 2026
Japan PM’s phone diplomacy stays silent for 2 months
Economy

Japan PM’s phone diplomacy stays silent for 2 months

Lack of top-level calls contrasts with mentor Abe's frequent contact with Trump Japanese Prime Minister Sanae Takaichi has had four calls with U.S. President Donald Trump since taking office. © Reuters TOKYO -- Japanese Prime Minister Sanae Takaichi's phone calls with other world leaders seem to have stopped since June 1, with no public records of such exchanges for two months.

August 1, 2026
Japan baby goods giant Pigeon targets US as the ‘new China’
Economy

Japan baby goods giant Pigeon targets US as the ‘new China’

Pigeon CEO Ryo Yano poses holding one of the company's baby bottles. Since entering China in 2002, its operating profit from the market has come to account for more than 60% of total earnings. (Photo by Yuki Kohara) CEO seeks fresh growth engine as birth rate in biggest market hits record low TOKYO -- Next year, Japan's Pigeon Corp. will mark 70 years of refining baby bottles and teats, backed by meticulous research into infant feeding behavior. That scientific focus helped turn it into a trusted, billion-dollar childcare brand at home -- and fueled rapid expansion in China, now its largest market.

August 1, 2026
Living between two worlds on Taiwan’s Matsu Islands
Economy

Living between two worlds on Taiwan’s Matsu Islands

A Cold War-era fortress on Xiju Island, part of the Taiwan-controlled Matsu archipelago near the Chinese mainland. Once a frontline outpost against China, the islands now balance their military legacy with tourism and everyday life. (All photos by David Frazier) Residents navigate history, identity and life just 9 kilometers from China TAIPEI -- From his custom-designed home atop a rugged hilltop in Taiwan's Matsu island group, Chen Tzu-kai can look across a narrow stretch of the East China Sea to China's dramatic coastline. A 59-year-old retired school principal, Chen is a fourth-generation Matsu islander who now keeps busy renting rooms to tourists, drinking good tea and inkbrush painting.

August 1, 2026
7-Eleven owner forges new capital ties to revamp Japan convenience stores
Economy

7-Eleven owner forges new capital ties to revamp Japan convenience stores

Seven & i to weclome SoftBank, two payment companies as investors SoftBank Group telecommunications unit SoftBank Corp. is entering into a business and capital tie-up with Seven & i Holdings. (Source photos by Nikkei) TOKYO -- Japan's Seven & i Holdings will receive a total of 300 billion yen ($1.9 billion) in investment from SoftBank Corp. and other partners, the company behind the 7-Eleven convenience store chain said Friday.

August 1, 2026
US Treasury tells banks further yen intervention possible; yen surges
Economy

US Treasury tells banks further yen intervention possible; yen surges

Banks told to prepare for potential operation to buy Japanese currency Japan intervened in foreign-exchange markets on Thursday, buying yen and selling dollars. (Photo by Akira Kodaka) WASHINGTON/NEW YORK/LONDON -- The U.S. Treasury Department has told currency market participants to prepare for a potential additional intervention following Thursday's action by Japanese authorities to support the yen, Nikkei has learned. The yen later surged to its highest level since mid-May.

August 1, 2026
Chinese trains packed with ACs speed into Europe to help with heat wave
Economy

Chinese trains packed with ACs speed into Europe to help with heat wave

Freight rail link helps shave 25 days off travel time compared with sea routes China opened the China-Europe freight rail line, seen here from Chongqing, as part of its Belt and Road infrastructure initiative. (Photo by Kohei Fujimura) DALIAN, China -- China State Railway Group is boosting shipments of air conditioners to Europe as heat waves batter the continent this summer, using a China-Europe freight line to reduce transport time to around 15 days compared with 40 days by sea.

August 1, 2026