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Warren Buffett steps down as chair of Berkshire Hathaway after over 50 years

Warren Buffett attends the Berkshire Hathaway Inc annual shareholders' meeting in Omaha, Nebraska, on 3 May 2024. Photograph: Scott Morgan/ReutersView image in fullscreenWarren Buffett attends the Berkshire Hathaway Inc annual shareholders' meeting in Omaha, Nebraska, on 3 May 2024. Photograph: Scott Morgan/ReutersWarren BuffettWarren Buffett steps down as chair of Berkshire Hathaway after over 50 years‘Father Time always wins,’ Buffett, 96, says as his son, Howard, steps in as the $1tn conglomerate’s new chair Warren Buffett is stepping down as chair of Berkshire Hathaway, the company that he took from a faltering textile manufacturer into a $1tn conglomerate over the course of 60 years. Buffett’s son, Howard, 71, will take over as chair. Buffett, 96, cited his age as the main reason behind the transition, noting that he has a one-year-old great-grandchild who is “moving a bit faster than I am these days”. “Serving as your chairman has been the privilege of a lifetime, and I have never taken your trust for granted,” Buffett, 96, said in a letter to shareholders. “Father Time always wins. He has, however, been generous with me. He has given me the opportunity to see Berkshire reach a point where I am more confident than ever about what lies ahead.” Buffett said he will remain as chair emeritus and a director on the board. He left his post as CEO of Berkshire Hathaway in May 2025, shocking the audience of thousands at the company’s annual shareholder meeting in Omaha, Nebraska. Greg Abel, vice–chair of the company, replaced him as CEO. Known as the “Oracle of Omaha”, Buffett built a reputation as a sharp-eyed investor, building up Berkshire Hathaway into a $1tn conglomerate. The company owns dozens of companies in construction, manufacturing, consumer goods and insurance, along with being a major investor in some of the biggest companies on the stock market, including Nvidia, Apple, Amazon, Alphabet and Meta. Bloomberg places Buffett’s net worth at $145bn, making him the 10th richest person in the world. Howard Buffett, known as “Howie”, is Buffett’s second child out of three and was long planned to be his father’s successor as chair of the company, having served on the board since 1993. “He is getting it because he’s my son,” Buffett told the Wall Street Journal in January 2025. “I’m very, very, very lucky in the fact that I trust all three of my children.” In a statement, Abel said that Buffett’s impact on the company “is without parallel in the history of American business”. “The culture Warren built and the values he championed will remain at the heart of Berkshire, and Howard will be their guardian,” he said.

Warren Buffett steps down as chair of Berkshire Hathaway after over 50 years
North America
CNBC Finance

Nike co-founder Phil Knight to donate $1.1 billion to Oregon medical center

Nike co-founder Phil Knight and his wife, Penny, will donate $1.1 billion to Providence St. Vincent Medical Center in Oregon and its Providence Heart Institute, according to a press release published Tuesday. The gift marks one of the largest donations to a healthcare institution in American history, according to the release, and the second significant donation from the Knight family in roughly the last year after the couple gifted $2 billion to Oregon Health & Science University's Knight Cancer Institute. The latest donation will be used to "create Oregon's first hospital dedicated to women's health" and fund cardiological care at Providence's eight hospitals across the state. "Today's gift marks a significant and transformational milestone for Providence and healthcare in the greater Northwest," said Erik Wexler, president and CEO of Providence, in the release. "It enables us to create new possibilities in women's health, in cardiovascular care as well as enhance access and support for patients, as we work to be the best place to give and receive care." The Knights' donation is only their latest gift to Providence. The couple has already donated $200 million to the Providence Heart Institute over the past decade, according to the release. Dr. Dan Oseran, executive medical director of the Providence Heart Institute, noted the immense impact that the Knights' philanthropy has already had on cardiovascular care at the hospitals in an interview with CNBC. "We were able, with their funding, to start a heart transplant program, which has been very successful," Oseran said. "And we've been able to recruit people and give physicians administrative or research time to pursue their passion. So it's created a very unique environment for us here." The latest donation will continue to support cardiac care by recruiting top physicians to Providence hospitals, funding technological innovation and clinical trials, and supporting personalized patient treatment. The gift will also lead to the creation of a women's hospital on the Providence St. Vincent Medical Center campus in Portland. The new hospital, which will include a modernized neonatal intensive care unit, intends to provide integrated care across gynecology, pregnancy, labor and delivery, menopause, and cardiology. The sportswear company co-founder and his wife are well known for their philanthropic efforts, making Time Magazine's TIME100 Philanthropy 2025 list. Forbes estimates that before Tuesday's announcement, the couple had already given away $4.5 billion to charity. Knight made his fortune by selling running shoes. A college runner himself, Knight co-founded Nike with his former track coach, Bill Bowerman, in 1964 under the name Blue Ribbon Sports. Sixteen years later, Knight and his team took the company public. Knight led the "Just Do It" brand to become one of the top athletic apparel companies in the world. He retired as chair in 2016. The company has struggled in recent years due to slumping sales and rising competition in China. Last month, its stock price reached its lowest level since 2014.

Nike co-founder Phil Knight to donate $1.1 billion to Oregon medical center
North America
CNBC Finance

Potential AI slowdown is not ‘end of the world’ for data center real estate, says Digital Realty CEO

Calls for a slowdown in the pace of AI development have hit related stocks in recent days and could have broad ramifications for every industry involved. Real estate is no exception. While cloud, storage, enterprise IT and internet services all require data center capacity, artificial intelligence has quickly become the dominant driver of demand. AI could account for about 70% of global data center capacity demand by 2030, according to a report from McKinsey. The report said the capital outlay needed to meet total data center demand by 2030 will be nearly $7 trillion. Just the real estate portion of that could account for $3 trillion in investment in the next five years, according to JLL, which provides end-to-end data center real estate services globally. Digital Realty and Equinix, two of the largest data center REITs, saw their stocks slump on Monday following the weekend warnings over AI advancements. Digital Realty CEO Andrew Power, however, said the pledges for a slowdown by major AI players Anthropic, OpenAI and xAI do not mean "pencils down" for AI and the real estate that supports it. "There's tremendous digital transformation happening that is not connected to AI," said Power in an exclusive interview with Property Play. "There is tremendous cloud computing growth. Frankly, from my business lens, my seat, I think those demand trends, which are massive drivers of our business, have been stifled in these days of AI." Power said hyperscalers have had to choose between growing their commercial cloud businesses or allocating capacity to AI labs. He also said not all markets will be impacted equally. Digital Realty's markets include Northern Virginia, Dallas, Chicago, Singapore, Tokyo, Frankfurt and Amsterdam, where Power said customers are competing for the same space. "Our markets' demand has been outpacing supply now for several years. There's pent-up need for infrastructure in those markets. There's locational sensitivity. Those workloads can't choose any one of the 50 states," said Power. "We have a global company portfolio, so we've got data sovereignty and support in other countries as well." Analysts agree that a slowdown would not directly impact the physical needs of AI, especially given what a change of pace would actually affect, which is training in new models. CNBC's Property Play with Diana Olick covers new and evolving opportunities for the real estate investor, delivered weekly to your inbox. "The real growth in data centers over the next handful of years is in inference — that's the adoption by businesses and citizens of the tool into daily workflow," said Andrew Batson, global head of data center research and strategy at JLL. "Only 1 in 4 Americans use AI daily, so even if models are slow to be released, there is significant runway for adoption to grow and data center demand to increase," he said.

Potential AI slowdown is not ‘end of the world’ for data center real estate, says Digital Realty CEO
Europe
BBC Business

Billionaire Man United owner says he has lost confidence in the UK

One of Britain's richest people, Sir Jim Ratcliffe, says he has lost confidence in the UK, describing the country as "on the slide". The founder of petrochemical giant Ineos, who also owns a large stake in Manchester United, said the UK was in decline due to a combination of high taxes and high immigration. He told the BBC failing to invest further in North Sea oil and gas amounted to "insanity" and warned gas storage was so low that the UK could "run out of gas" if there was a cold snap this winter. In response to the billionaire's criticism, the government said it was working to deliver growth and that business investment had increased in the last two years. A spokesperson said they did not foresee any problems with gas supply: "We have a diverse energy mix and are confident in our security of supply." Sir Jim, whose wealth is estimated to be around £15bn, has prompted controversy in the past with his comments on immigration. He was a supporter of Brexit but has been a tax resident in Monaco since 2020. The businessman's UK exit has been followed by other high-profile billionaires, including steel tycoon Lakshmi Mittal and most recently hedge-fund boss Chris Rokos. "In America they applaud people who create wealth," he said. "Unfortunately the UK has got a bit of a green eye towards wealth at the moment." Prime Minister Andy Burnham has said he will take a "pragmatic approach" to oil and gas, but one of the biggest decisions facing the government, whether to give the go-ahead to further development of the oil and gas fields at Rosebank and Jackdaw, is still waiting to be resolved. Sir Jim criticised the hesitation and suggested high taxes on North Sea operators were threatening the sector's viability. Tax on energy company profits is being reformed, but won't be fully implemented until 2030. Ineos operates the Forties pipeline which transports about 30% of the UK's North Sea oil. "You would expect [the government] to exploit our natural resources and we're clearly not doing that. We're shutting it down.

Billionaire Man United owner says he has lost confidence in the UK
North America
CNBC Finance

GM launching new customer software experience with redesigned Chevy, GMC pickups

DETROIT — General Motors is releasing a new in-vehicle information and entertainment software experience for its customers, beginning later this year with its redesigned Chevrolet Silverado and GMC Sierra pickup trucks, it said Tuesday. The Detroit automaker is touting the new user interface, controls and software as offering convenience and customization similar to a smartphone. The new system comes as vehicles are becoming more digital. GM has also revamped its organizational processes to put its digital experience operations under design rather than software, led by former Apple and Google executive Sebastian Bauer. "This was all part of a very strategic, very intentional restructuring to ensure that we are best positioned to create the best possible customer experience," Bauer, GM executive director of human interface design, told CNBC. "Our job is to make sure that we reduce cognitive load, and we give people the information that they need to see at the moment when they see it." For example, GM designed the system to proactively surface relevant controls without requiring drivers to navigate several screens or menus. That can apply to opening or closing a garage door, answering a call or other functions. The system will also launch the most significant visual upgrade for GM's Super Cruise advanced driver-assistance system, including by showing objects, such as other vehicles or pedestrians, on the driver cluster screen. The "hands-free" system did not previously provide the surroundings as many other non-GM vehicles do. "It's making sure, especially as you are in a hands-off situation, that you understand that the vehicle sees what is happening around it," Bauer said. Another major update is how the vehicles will operate with popular Apple CarPlay and Android Auto phone projection systems, which have previously caused problems for many automakers. Instead of the Apple or Android systems taking over the entire screen, which can make it difficult to get back to other in-vehicle features, they show on part of the screen, allowing both systems to operate as needed for drivers. Those issues with the third-party programs have been included in third-party surveys such as J.D. Power's 2026 U.S. Vehicle Dependability Study. The study found that infotainment and connectivity remain the least reliable parts of the vehicle across the U.S. automotive industry. "The thought here is that these should coexist and you should get the best of both worlds," Colin McCormick, a GM product manager overseeing in-vehicle phone projection, said during a demo of the system in a new GMC Sierra. "We're constantly working with Google and Apple on what else we can bring to make this even better." GM said the system is expected to expand "across the broader portfolio" of the company's vehicles over an undisclosed amount of time.

GM launching new customer software experience with redesigned Chevy, GMC pickups
North America
CNBC Finance

Novo CEO tells CNBC why drugmaker is rebranding, needs to 'rethink' obesity strategy

Novo Nordisk on Monday said it is rebranding its name to "Novo" and updating its corporate culture, as the company works to win back market share in the obesity drug space. The Danish drugmaker called the changes the beginning of a new chapter, as it has been grappling with stiff competition from chief rival Eli Lilly and investor pressure to deliver new blockbuster products and chart a path toward long-term growth. Novo is preparing to detail its business strategy changes during its Capital Markets Day event on Sept. 21. In an exclusive interview with CNBC, Novo CEO Mike Doustdar said the rebrand and culture shift are "part of the same package" for the company to evolve its strategy as it tries to win back customers from Lilly. "I think there's no secret that over the last four or five years, the external environment and what has happened to Novo Nordisk has really made us reflect how we need to readjust and rethink about the next decade to come and what shifts are needed in our strategic direction," he told CNBC. Doustdar said the "work is cut out for us," adding that Novo needs to improve several aspects – from research and development and manufacturing to sales and marketing – to be able to compete in the obesity drug market. Shares of Novo have dropped about 15% this year despite the successful launch of the oral version of Wegovy, which surpassed 3 million prescriptions as of June. The company recently scrapped three trials on an experimental cardiovascular drug. That challenge came as it continues to lag in the obesity space with 38.8% market share compared to Lilly's 60.9% in the second quarter, according to a Lilly earnings presentation citing IQVIA data. In a release, Novo also announced a broader company rebrand focused around the phrase "Lasting Health Starts Now," which promotes the idea that patients should make progress toward long-term well-being immediately rather than later. The company said the marketing is a bid to build relevance and trust with the public and other stakeholders, and bring "breakthrough science closer to people's daily lives." When asked whether the rebrand and cultural overhaul were driven by Novo's recent market share losses in obesity, Doustdar said the changes were less about competitive setbacks and more about adapting to a dramatically different operating environment. He said the rapid growth of obesity treatments has transformed Novo's patient base and shifted the market toward a more consumer-oriented model, where patients move on and off therapies more frequently than in traditional diabetes care. As a result, Doustdar said Novo needs to become more focused on meeting patients where they are, while increasing the speed and clarity of its decision-making to keep pace with the evolving market. "Our operating environment phenomenally changed compared to just 10 years ago," he told CNBC. Novo Nordisk will remain the legal name for the company, according to the release. That original name dates back to the 1989 merger of two competing Danish pharmaceutical companies: Novo Terapeutisk Laboratorium and Nordisk Insulinlaboratorium. The drugmaker said its corporate culture will be based on a new set of four principles that will help it gain advantages in an increasingly competitive market where more of its products have gone direct-to-consumer.

Novo CEO tells CNBC why drugmaker is rebranding, needs to 'rethink' obesity strategy
Europe
BBC Business

Warren Buffett steps down after six decades at Berkshire - 'Father Time always wins'

Image source, Getty ImagesImage caption, Howard Buffett's main duty as chairman will be guarding the firm's "culture and values." Warren Buffett has stepped down as chairman of Berkshire Hathaway, handing over leadership to his son Howard in the final chapter of a long-planned transition at the US business giant. At 96, the world-famous investor will move into an advisory role as chairman emeritus and remain on the company board to offer his "judgement and perspective", according to a letter to shareholders, external. The decision comes nine months after Buffett passed the chief executive role to Greg Abel, with his son, Howard, who has been a director since 1993, taking over non-executive board duties. Known as the "Oracle of Omaha," Buffett built one of the most successful investment track records in modern history. He took control of Berkshire Hathaway in 1965 when it was a struggling New England textile mill and turned it into a $1.1 trillion (£822b), global conglomerate. Today, the business owns a wide range of well-known brands including GEICO car insurance, Dairy Queen, and BNSF railway system. It also owns large stakes in companies like Apple and Coca-Cola – a brand close to Buffett's heart, as he famously drinks five cans a day. Buffett has made his mark through "value investing" – a strategy focused on finding companies with solid fundamentals, buying them at fair prices, and holding them for decades. His annual letters to shareholders and festival-like annual meetings turned him into a leading mentor across the financial world. Despite his retirement from the top board post, the change is considered an orderly passing of the baton rather than a sudden shock. "The timing is right to complete the transition," Buffett wrote, noting he had recently celebrated his 96th birthday and the first birthday of one of his great-grandchildren, who is "moving a bit faster" than he is. While Greg Abel manages corporate strategy and capital decisions, Howard Buffett's main duty as chairman will be guarding the firm's "culture and values". A former farmer, philanthropist, and sheriff, the younger Buffett brings more than three decades of board experience to the role.

Warren Buffett steps down after six decades at Berkshire - 'Father Time always wins'
Europe
BBC Business

Flight chaos caused by 'millisecond' software defect, report says

An air traffic control failure that sparked widespread travel chaos earlier this month was caused by a "software defect" affecting the system underpinning UK air space management, the national air traffic service Nats has said. The problem happened "in the space of a millisecond", Nats said, leading to the system producing corrupted data. The failure led to more than 2,000 flights being cancelled and hundreds of thousands of passengers affected, with some sleeping on airport floors or getting stuck overseas. Nats chief executive Martin Rolfe told the BBC he would not resign, saying the software defect was "very, very obscure." "You can fly to almost anywhere from almost any airport at almost any time. If that stops, even for a moment, then you get huge disruption. "My job is to make sure that we have this happen as infrequently as possible," he added. Transport Secretary Heidi Alexander called the disruption "completely unacceptable", while industry body Airlines UK is writing to Nats to demand immediate compensation for costs incurred. The incident prompted questions over the resilience of Nats' systems, and some airlines questioned the position of Mr Rolfe. There has also been anger from passengers about how much support they got from airlines, and about the fact that they are unlikely to be entitled to compensation because the regulator judges the situation was extraordinary circumstances. In an initial report, external, Nats said the software defect meant air traffic controllers had reduced information available, so restrictions were put in place to limit air traffic to maintain safety. The defect occurred at 10:00am on 8 September, but it did not become apparent this was a serious problem for another two and a half hours. The system restart did not start until just after 3:15pm, and restrictions on UK airspace were not lifted until 7:30pm.

Flight chaos caused by 'millisecond' software defect, report says
North America
CNBC Economy

Consumer outlook plunges in September as inflation outlook worsens

Consumer sentiment plunged in September amid heightened inflation fears, hitting its second-lowest level on record in the University of Michigan's monthly survey released Friday. The survey's headline index hit a level of 47.8, down 7.5% from the August reading and off 13.2% from a year ago. This was the second-lowest reading on record for data going back to 1952 — the bottom coming in May as rising prices also jolted the outlook. "Year-ahead expectations for both personal finances and business conditions plunged," Joanne Hsu, survey director, said. "With a resurgence in fuel prices and trade tensions, consumers anticipate greater pressures on their pocketbooks to come." Indeed, the one-year inflation outlook surged to 4.6%, up 0.6 percentage point from the prior level and the highest since hitting the same level in June. The current conditions index in the survey fell 1.9% from the prior month, while the expectations measure tumbled 11.1%. Bureau of Labor Statistics data also out Friday showed gasoline prices rose 3.9% in August and were up 27.4% from a year ago. Fuel oil prices soared 10.1% and were up 52% annually. Traders now see a Federal Reserve rate hike next week as a near certainty, with odds rising past 85% Friday after the BLS released its consumer price index showing inflation at 3.4% annually, far above the central bank's 2% target. Get this delivered to your inbox, and more info about our products and services. Data is a real-time snapshot *Data is delayed at least 15 minutes. Global Business and Financial News, Stock Quotes, and Market Data and Analysis.

Consumer outlook plunges in September as inflation outlook worsens