Intel Sells Arm Stake

Smart Strategy or Necessary Move?

This is Cliff Equity, the UK’s business newsletter that keeps you informed on what’s important in tech, business and finance in less than 5 minutes

In today’s stories:

  • Intel Sells Arm Stake: Smart Strategy or Necessary Move?

  • Steven Bartlett's Controversial Ads Banned for Deception

  • ElevenLabs’ New London Office Signals Major Growth and Innovation in AI Audio Technology

The summary: Intel cashes in on its Arm Holdings stake for $147 million, refocusing amid restructuring as Arm's stock continues to climb.

The details:

  • Intel has sold its stake in Arm Holdings for $147 million as part of its restructuring strategy.

  • The sale is part of Intel's broader efforts to refocus and realign its business priorities.

  • Despite the sale, Arm Holdings' stock price continues to rise.

  • Intel's restructuring aims to streamline operations and adapt to changing market conditions.

Why it matters: Intel's divestment of its Arm Holdings stake for $147 million reflects its strategic pivot and restructuring efforts, underscoring a shift in its business priorities. Concurrently, Arm's climbing stock price suggests increasing market optimism about its growth and future performance.

The summary: Steven Bartlett’s ads for Huel and Zoe were banned for misleading consumers by omitting his business interests in the products.

The details:

  • Ads Banned: The Advertising Standards Authority (ASA) has banned ads for nutrition products promoted by Steven Bartlett, citing misleading practices.

  • Conflict of Interest: The ads for Huel and Zoe failed to disclose Bartlett's business interests in the companies, which could mislead consumers.

  • Misleading Claims: The ASA ruled that the ads could be mistaken for independent reviews, thus not providing crucial information about Bartlett’s commercial ties.

  • Previous Ban: A similar Huel ad from 2022 was also banned for not disclosing Bartlett’s connection to the product.

  • Future Compliance: The ASA requires Huel and Zoe to ensure future ads clearly disclose any commercial relationships to avoid misleading consumers.

Why it matters: The ban on Steven Bartlett’s ads highlights the critical need for transparency in advertising, ensuring that endorsements disclose all relevant commercial interests to prevent consumer deception. This ruling underscores the importance of clear and honest marketing practices to maintain trust and informed decision-making among consumers.

The summary: ElevenLabs, a leading AI voice cloning firm, has launched its European headquarters in London's Soho, aiming to significantly expand its team and foster innovation in the AI audio sector.

The details:

  • ElevenLabs, an AI voice cloning company, has opened a new London office on Wardour Street, establishing it as its European HQ and global operations center.

  • The new Soho office will house 20 staff initially, with plans to double the workforce in London within six months and eventually grow to 100 employees.

  • Previously a remote-first company with a small office on Bond Street, this new location marks ElevenLabs' first permanent headquarters.

  • The London office will feature an incubator space for local AI audio startups and developers, reflecting the company’s commitment to fostering innovation.

  • ElevenLabs’ expansion follows a £63m funding round and a $1bn valuation, with support from London & Partners highlighting the city’s strong AI ecosystem.

Why it matters: ElevenLabs' establishment of its European headquarters in London underscores the city's growing prominence as a hub for AI innovation and technology. This move not only signifies a major investment in the local tech ecosystem but also highlights London's appeal for leading global tech firms seeking a strategic base for expansion and collaboration.