Good morning. Michal Lev-Ram, Fortune editor-at-large, here, filling in for Alan today.
Back in the early iPhone days, I covered the then-fledgling smartphone beat. I remember going to conferences like CTIA, Mobile World Congress, and CES, where the talk of the town was the only device maker that wasn’t actually there—Apple. Its coveted new phone never had a presence at any of these industry confabs. I had a similar experience at this week’s APEC CEO Summit, which took place alongside the main APEC Leaders event in San Francisco, for very different reasons.
Here’s who was in attendance at the Summit: The heads of Pfizer, Citi, Mastercard, GM, OpenAI, Google, FedEx, Uber, Microsoft, and other leading companies. (Oh yeah, and President Joe Biden spoke too!). And here’s who wasn’t there: Elon Musk.
The increasingly controversial owner of X, the platform formerly known as Twitter, was originally slated to speak alongside Salesforce CEO Marc Benioff on Thursday afternoon. But earlier in the day, the APEC CEO Summit issued a statement saying that Musk had a “schedule change.” (APEC organizers said Musk offered to appear virtually, but that was against their speaker policy.) Over the course of the event, I’d had several conversations with attendees who were eager to hear from the polarizing innovator. After the cancellation was announced, the Musk buzz only grew, as people pontificated on the “real” reason he might have pulled out.
There was plenty of fodder to fuel the speculation; Musk and X have some serious issues on their hands. The day before his planned appearance in San Francisco, Musk had endorsed an antisemitic post on X. By the next morning, tech giant IBM had yanked its ads from the social media platform, X CEO Linda Yaccarino was on clean-up duty, and Tesla’s stock (where Musk is CEO) had tumbled.
There is no doubt that being a leader in the global spotlight is no easy task in today’s world. That much was evident at this week’s APEC event, which was flanked by multiple protests—some even attempted to block attendees from entering the venue, and others shut down traffic on the nearby Bay Bridge. But Musk’s no-show, regardless of the reason, is a risky move when there are some serious questions to be asked of him and X.
Being the most talked-about entity that’s not in the room is great when you’re Apple, and you’ve just launched the envy of all mobile devices. But it’s not so great when you’re in the spotlight for the wrong reasons and, at least theoretically, trying to avoid more scrutiny.
More news below.
Michal Lev-Ram
michal.levram@fortune.com
TOP NEWS
Lots of bad news for Alibaba
Alibaba shares sank 9% in U.S. trading on Thursday after a trio of bad news stories. First, the company abandoned plans to spin off its cloud unit, blaming U.S. rules barring chip sales to China. Second, founder Jack Ma’s family trusts announced plans to sell $871 million worth of shares. Finally, Ant Group, Alibaba’s fintech affiliate, had a 65% year-on-year drop in quarterly net income, thanks to an almost $1 billion fine from Beijing. Fortune
Soft skills
Thanks to economic uncertainty, companies are now looking for leaders with a more compassionate skillset. Research backs the importance of “intellectual humility,” with a recent paper claiming that more self-aware leaders make better decisions. “There is nothing soft about soft skills,” Blackstone’s head of talent Courtney della Cava says. Fortune
Your new car dealer: Amazon
Amazon will allow U.S. auto dealers to sell on its e-commerce platform next year, starting with brands from Korean carmaker Hyundai. Dealers embraced the internet during the COVID pandemic, including expanding home-delivery services. EV consumers are also more open to buying a car online, with market leader Tesla pioneering a direct-to-consumer approach and cutting out traditional dealers entirely. The Wall Street Journal
AROUND THE WATERCOOLER
2024 economy and stock market predictions: Expect subpar returns in a new ‘age of austerity’ says a top analyst at Research Affiliates by Shawn Tully
Apple folds for a third time to the EU, and it means iPhone users can now get ‘read’ receipts when texting their Android friends by Rachyl Jones
Satya Nadella instructed Microsoft to design its own silicon chip—and it could end Nvidia’s stranglehold over the sector by Christiaan Hetzner
Target gains $9 billion in market cap despite falling sales last quarter, as Wall Street gets an up-close look at the health of the American consumer by Paolo Confino
Burberry joins LVMH and Gucci in the luxury slump as brand says it may miss its revenue target for the year by Prarthana Prakash
This edition of CEO Daily was curated by Nicholas Gordon.
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