Tech Titans, Space Breakthroughs, and the Crypto Comeback

8th August 2025

Meta is raising $29 billion with help from PIMCO and Blue Owl to expand its AI data center footprint, signaling a major push into next-gen infrastructure. Firefly Aerospace made a strong public debut, soaring to a $9.84 billion valuation just years after facing bankruptcy. Tesla has shut down its Dojo supercomputer team, shifting its AI chip strategy to rely more on external partners like Nvidia and Samsung. Former President Donald Trump signed an executive order allowing crypto and private equity investments in 401(k) plans, potentially boosting digital asset adoption. Bitcoin’s strong performance and reduced volatility could make ETFs an appealing retirement option. Trump also signed an order to curb “debanking,” aiming to prevent banks from denying services based on political or ideological grounds. All this in today’s Read It and Eat ! 

Major Headlines 

• Meta Partners with PIMCO and Blue Owl on $29 Billion AI Data Center Expansion

Meta has partnered with investment heavyweights PIMCO and Blue Owl Capital to raise $29 billion for a large-scale data center expansion in rural Louisiana, according to a source familiar with the deal. PIMCO is expected to handle about $26 billion in debt financing likely through bond issuance while Blue Owl is set to contribute $3 billion in equity. The company has also been working with Morgan Stanley to coordinate the funding, with firms like Apollo Global Management and KKR reportedly involved in earlier stages of the process.

This funding initiative is part of Meta’s broader push to ramp up its AI infrastructure. Just last week, the company disclosed plans to offload around $2 billion worth of data center assets, aiming to share the cost of building next-generation facilities through co-development partnerships. It's a strategic move to reduce financial pressure while accelerating its AI ambitions.

CEO Mark Zuckerberg has made it clear that Meta is going all-in on artificial intelligence. In a recent Threads post, he revealed plans to invest hundreds of billions of dollars into a new wave of AI-focused data centers. The first major facility, named Prometheus, is expected to go live in 2026, while another, Hyperion, will be capable of scaling up to 5 gigawatts in the coming years.

Reports from the Financial Times in June indicated that Meta was actively seeking to raise capital from private investors to fuel its AI expansion. While the company hasn’t publicly commented on the structure of the financing, it’s continuing to explore options for raising additional funds as demand for AI infrastructure grows. Bloomberg 

• From Bankruptcy to the Moon: Firefly’s Stock Takes Off

Firefly Aerospace made a strong debut on the Nasdaq, soaring to a $9.84 billion valuation after its shares jumped over 55% on Thursday. The stock opened at $70—well above its IPO price of $45 marking a huge milestone for a company that not long ago faced bankruptcy. The Texas-based space firm, which raised $868 million in its upsized offering, is riding high on its recent successes, including a landmark lunar landing and promising defense contracts.

CEO Jason Kim credits the company’s turnaround to a string of recent wins. In addition to its moon landing in March with the Blue Ghost lander, Firefly’s Alpha rocket successfully completed a Pentagon mission in 2023. The firm is also expanding its portfolio with spacecraft designed for the U.S. Space Force. Firefly’s IPO is the largest this year among space tech companies and signals renewed investor confidence in commercial space ventures after a relatively quiet first half for U.S. listings.

Firefly's journey hasn’t been without challenges. The company filed for bankruptcy in 2017 and underwent leadership changes, along with a forced ownership shift due to national security concerns. But under new management and with backing from investors like AE Industrial Partners and Northrop Grumman, Firefly has evolved from a small launch provider into a full-service space player. Its current backlog includes more than 30 scheduled missions worth around $1.1 billion, with ambitions tied to major U.S. defense programs such as the proposed Golden Dome missile shield.

As the global space race accelerates, Firefly is positioning itself as a key player in both civilian and military applications. While Elon Musk’s SpaceX still dominates the field, growing geopolitical tensions and diversification efforts by the U.S. government have opened doors for other firms. Firefly’s plans include scaling production and developing a larger rocket Eclipse in partnership with Northrop Grumman, with a debut launch expected in 2026. Despite expectations of continued net losses in the near term, analysts believe investors will be watching closely for growth in backlog and margins as the company ramps up. Bloomberg 

• Tesla Winds Down Dojo Supercomputer Project as AI Strategy Shifts

Tesla has officially shut down its Dojo supercomputer team, marking a notable shift in its AI strategy. According to Bloomberg News, the team’s disbanding also saw the departure of Peter Bannon, who led the initiative. Dojo was built around Tesla’s custom training chips and designed to process massive volumes of video and data from its electric vehicles to advance its autonomous driving software. While Tesla didn’t comment publicly, CEO Elon Musk acknowledged on X that running two separate AI chip projects didn’t make sense for the company’s long-term goals.

This move comes amid a broader restructuring at Tesla, which has included executive exits and widespread layoffs over the past year. Musk has increasingly focused on aligning his AI ambitions across ventures spanning robotics, autonomous vehicles, and conversational AI. His AI startup xAI, for example, recently acquired social platform X to accelerate chatbot development, and Tesla has integrated its Grok chatbot into its vehicles as part of this ecosystem shift.

As Tesla scales back in-house compute efforts, it’s leaning more heavily on external tech partners. The company is expected to rely on Nvidia and AMD for AI processing and Samsung for chip manufacturing. Samsung recently landed a $16.5 billion deal to supply AI chips that will power everything from Tesla’s self-driving systems to humanoid robots and data centers. Musk confirmed that the tech giant’s Texas factory would produce Tesla’s next-gen AI6 chips, which will follow the AI5 model expected to arrive in late 2026.

Despite Dojo’s closure, Tesla's AI chip development isn't slowing down. Musk emphasized that future AI chips, such as AI5 and AI6, would be "excellent for inference" and strong contenders for training as well. He even hinted that large-scale use of these chips could resemble a new version of Dojo—perhaps “Dojo 3.” According to Bloomberg, about 20 team members have already moved to a new venture, DensityAI, while others have been reassigned within Tesla to support ongoing compute and data center initiatives. Financial Times

• Trump Opens Door for Crypto in 401(k) Retirement Plans

Former President Donald Trump has signed an executive order that allows cryptocurrencies to be included in 401(k) retirement plans, a move that could bring millions of dollars into the digital asset market. The order also gives the green light for private equity investments in these plans, expanding the range of options available to retirement plan providers. This could have a major impact on crypto adoption, pushing it further into the financial mainstream.

Although crypto wasn’t officially banned from 401(k)s before, the U.S. Department of Labor had advised plan fiduciaries to proceed with “extreme care” when considering it. That guidance was rolled back in May. Now, with the new executive order in place, the Labor Department is expected to release updated guidance putting crypto on equal footing with other alternative assets. “This order isn't about saying crypto belongs in 401(k)s, it's about giving people the freedom to choose,” said Matt Hougan, CIO of Bitwise.

The timing of the order aligns with a strong period for crypto markets. Bitcoin, currently trading at $117,351 and up 26% year-to-date, is seeing reduced volatility and growing investor confidence. With this new regulatory clarity, wealth managers may be more open to crypto exposure though many could opt for exchange-traded funds (ETFs) over direct crypto holdings, given the conservative nature of retirement accounts. “BTC ETFs work well for retirement,” said Jeffrey Hirsch, CEO of Hirsch Holdings. “Direct crypto is better suited to more flexible portfolios.”

Alongside the crypto order, Trump also signed an executive order aimed at curbing “debanking” the denial of financial services based on political or ideological reasons. The directive calls on federal regulators and agencies like the SBA and Treasury to eliminate policies that might allow banks to restrict services unfairly. While crypto wasn’t mentioned explicitly in that order, the accompanying fact sheet acknowledged that digital asset companies have also been impacted by biased debanking practices. Together, these moves point to a broader push for financial access and individual choice in the investment landscape. Yahoo.Finance 

Minor Headlines 

• United Airlines Flights Back on Track After Resolving Tech Glitch. Reuters 

• Cosco Aims for 20% Stake in $23 Billion Panama Canal Ports Project. Financial Times

• KKR Pushes Assura to Support Its Takeover Bid Over Rival Offer from PHP. Yahoo.Finance 

• Bank of England Lowers Interest Rate to 4% in Tight 5-4 Decision. CityAM 

• Trump Nominates Economic Adviser Stephen Miran for Fed Board Seat. Yahoo.Finance 

• Intel CEO Engages with White House Following Trump’s Call for His Resignation. Yahoo.Finance 

• xAI’s Top Lawyer Resigns After Intense First Year at the Company. Yahoo.Finance 

• Krispy Kreme Ends McDonald’s Deal, Cites High Operating Costs of $28.9 Million. Yahoo.Finance 

Earnings 

• Uber Tops Q2 Revenue Forecasts as Monthly Users Rise 15%

  
  

  Uber beat revenue estimates and matched earnings, boosted by steady consumer demand and a 15% rise in monthly active users. The company is expanding features and robotaxi services aimed at supporting families at all life stages. CNBC 

• McDonald’s Delivers Q2 Beat with Strong Global Sales Growth

  
  

  McDonald’s exceeded both earnings and revenue expectations in Q2, with U.S. same-store sales rising for the first time in three quarters and global comps up 3.8% — the strongest in two years. The company is addressing affordability concerns for low-income consumers. CNBC 

• Airbnb Beats Q2 Estimates as Travel Demand Accelerates

  
  

  Despite global uncertainty, Airbnb beat earnings and revenue forecasts in Q2 as nights booked picked up from April to July. However, it cautioned on slower growth in the second half. CNBC 

• Shopify Beats Q2, Lifts Outlook as Sales Climb 31%

  
  

  Shopify topped Q2 earnings and revenue estimates and issued a positive Q3 forecast. Sales surged 31%, and earlier tariff fears didn’t materialize. CNBC 

• DoorDash Surges on Q2 Beat and Rising Orders

  
  

  DoorDash outperformed in Q2 with a 20% increase in total orders and continues to invest in new verticals and international expansion. CNBC 

• DraftKings Tops Q2 Revenue on Strong Sports Results

  
  

  DraftKings beat revenue expectations as favorable sports outcomes boosted results. Both monthly active users and revenue per user rose, with the company expanding across nearly half the U.S. and Canadian population. Yahoo.Finance 

• Disney Misses on Revenue but Beats on Earnings as Streaming, Parks Offset TV Weakness

  
  

  Disney came in below revenue estimates but beat on earnings, thanks to strength in streaming and theme parks, which helped counter ongoing challenges in linear television. CNBC 

• Novo Nordisk Misses Q2 and Cuts Forecast Despite Wegovy Surge

  
  

  Novo Nordisk missed Q2 expectations and lowered full-year guidance, even as Wegovy sales jumped 67%. The company warned of slower U.S. growth due to compounded drug competition, named Mike Doustdar as CEO, and signaled cost cuts and a continued focus on its pricing strategy ahead of a new obesity pill launch. CNBC 

• AppLovin Beats Q2 but Slower Growth, AI Concerns Weigh on Sentiment

  
  

  AppLovin posted strong Q2 results and raised guidance, but investor optimism was tempered by slower growth projections and questions around its AI integration strategy, despite management emphasizing its leadership in large language models. Bloomberg 

• Apollo Posts Record Q2 Fee Earnings on Strong Lending, Strategic CLO Acquisition

  
  

  Apollo reported its highest-ever Q2 fee-related earnings, driven by robust lending activity and rising assets under management. Gains were further supported by an affiliate’s acquisition of CLO manager Irradiant Partners, while realized performance fees jumped 25% year-over-year on several major private equity exits. Bloomberg 

• Yum Brands Misses Q2 Targets as Pizza Hut, KFC Struggle in U.S.; Taco Bell Outperforms

  
  

  Yum Brands fell short of Q2 earnings and revenue expectations as same-store sales declined at Pizza Hut and KFC in the U.S., impacted by stiff competition and reduced consumer dining. However, Taco Bell continued to shine with a 4% same-store sales gain, reinforcing its position as the company's top-performing brand. CNBC

• Pfizer Tops Q2 Estimates on Non-Covid Growth, Raises Outlook Despite Tariff Headwinds

  
  

  Pfizer beat Q2 earnings and revenue forecasts thanks to strong performance from its non-Covid portfolio, including Abrysvo and Seagen’s cancer treatments. The company expanded its cost-cutting program and raised full-year guidance, even as it factored in $150 million in expected tariff-related costs. CNBC

• AMD Misses Q2 Earnings Despite Revenue Beat as AI Chip Controls Bite into Margins

  
  

  AMD exceeded revenue expectations in Q2 but missed on earnings as U.S. export restrictions on advanced AI chips pressured profit margins. Big Tech firms are increasingly turning to AMD as a viable alternative to Nvidia. CNBC

• Supermicro Falls Short in Q4, Cites Heavy Competition; Guidance Disappoints

  
  

  Supermicro missed both Q4 earnings and revenue targets, with intense market competition overshadowing growing demand for AI servers and liquid cooling solutions. The company also issued a weaker-than-expected outlook after narrowly avoiding a delisting. CNBC

• BP Surprises with Q2 Profit Beat, Launches Review Amid Elliott Pressure

  
  

  BP outperformed expectations in Q2 with a surprise profit, as stronger refining margins and oil trading offset softer gas results. The firm touted exploration successes and record efficiency while initiating a strategic review and layoffs under pressure from activist investor Elliott. CNBC 

• Rivian Posts Wider Q2 Loss on Higher Costs, Supply Strains from China Curbs

  
  

  Rivian’s Q2 losses came in worse than expected, weighed down by increased material costs and reduced credit income. Supply disruptions tied to China’s export curbs on rare earth elements also added pressure, despite continued delivery growth. Reuters 

• Snap Misses Q2 Estimates as Growth Slows, But Guidance and DAUs Impress

  
  

  Snap reported a Q2 revenue miss and continued losses amid its slowest growth pace in over a year. ARPU fell short and monetization stayed weak, but the company issued upbeat guidance and beat expectations on global daily active users. CNBC 

• Palantir Breaks $1B in Quarterly Revenue, Citing 'Astonishing' AI-Driven Growth

  
  

  Palantir delivered strong Q2 results, surpassing $1 billion in quarterly revenue for the first time as sales jumped 48% and commercial revenue doubled. The company credited AI momentum, raised its full-year forecast, and noted a 140% surge in total contract value after closing 66 deals. CNBC 

• Hims & Hers Beats on Q2 Earnings But Falls Short on Revenue Amid GLP-1 Controversy

  
  

  Hims & Hers exceeded Q2 earnings estimates but missed on revenue despite posting a 73% year-over-year sales increase. Investor skepticism persists due to controversy around the company’s compounded GLP-1 offerings, which remain unapproved by the FDA following recent shortages of branded versions. CNBC