Category: Leaders

Categories
Leaders

HDFC Bank begins search for Jagdishan’s successor

HDFC Bank is preparing for a major leadership transition after managing director and chief executive officer Sashidhar Jagdishan decided not to seek another term and will retire on October 26, 2026.

The decision brings an end to nearly six years of Jagdishan’s tenure as head of India’s largest private-sector bank and has prompted the lender’s board to accelerate the search for his successor. The next CEO will take charge at a crucial stage for the bank, which continues to work through the integration and growth challenges following its merger with HDFC Ltd.

Jagdishan communicated his decision to the board on August 29. The board had sought to persuade him to continue, but he remained firm about not seeking reappointment. The development ends uncertainty over whether he would remain at the bank beyond his current term.

Jagdishan became HDFC Bank’s managing director and CEO in October 2020, succeeding long-serving chief Aditya Puri. He had joined the bank in 1996 and rose through its finance operations before eventually taking charge of the institution.

His tenure was defined by the landmark merger of HDFC Ltd with HDFC Bank in 2023. The transaction brought India’s largest housing finance company into the banking group and significantly increased HDFC Bank’s scale.

The enlarged lender has since been focused on integrating operations while seeking to unlock the benefits of the merger. The combination created opportunities through a wider customer base, housing finance capabilities and cross-selling potential. However, investors have continued to watch whether these advantages can translate into stronger growth and improved returns.

Jagdishan’s exit comes amid increased scrutiny of HDFC Bank’s leadership and governance. Questions emerged following the departure of former chairman Atanu Chakraborty earlier this year. An independent review did not substantiate concerns raised around the bank’s governance.

The board also took action against Jagdishan and two other senior executives over an issue involving the pricing of large deposits. The development brought additional attention to the bank’s internal decision-making and governance practices.

The succession process is now expected to be closely watched. HDFC Bank is considering both internal and external candidates, with deputy managing director Kaizad Bharucha emerging as one of the prominent internal contenders.

Bharucha has spent several years with the bank and has experience across its retail and wholesale banking operations. His familiarity with the lender’s business could make an internal transition smoother, although the final decision will rest with the board and will require regulatory approval.

An external candidate could also enter the race. The Reserve Bank of India plays an important role in the appointment of CEOs and managing directors at banks, making the regulatory process a key part of the transition.

The leadership change has also come at a challenging time for HDFC Bank’s shares. The stock has faced pressure this year amid concerns over growth, post-merger performance, governance and shareholder returns. The retirement announcement, however, was followed by gains in the stock, suggesting that some investors may view the leadership uncertainty being resolved as a positive development.

The new CEO will inherit a bank with enormous scale and a strong franchise, but expectations will be equally high. A key priority will be extracting greater value from the HDFC Ltd merger while improving growth and profitability.

Maintaining asset quality will also remain important. With a vast loan book and exposure across retail, corporate and commercial banking, the bank will need to balance expansion with prudent risk management.

The incoming leadership will also be expected to strengthen governance and provide greater clarity on the bank’s long-term strategy. Rebuilding investor confidence and improving shareholder returns are likely to form an important part of that agenda.

The transition marks the beginning of a new phase. Jagdishan guided the lender through the pandemic and one of the biggest mergers in India’s financial sector. His successor will now have the task of turning that expanded scale into sustainable growth.

The board has only a limited window to complete the selection and ensure a smooth handover before Jagdishan retires in October. The eventual appointment will not only determine who leads the bank but could also shape its strategy, performance and standing in India’s highly competitive banking sector over the coming years.

 

Categories
Leaders

Sandhya Devanathan joins OpenAI

Meta’s India and Southeast Asia chief Sandhya Devanathan is leaving the social media company after more than a decade to join OpenAI, marking a significant movement of senior technology talent from social media towards artificial intelligence.

Devanathan will join OpenAI as vice-president for Southeast Asia and Australia in October. Based in Singapore, she will report to Kiran Mani, OpenAI’s managing director for Asia-Pacific. The newly created position will make her the company’s senior-most executive for the two markets.

Her responsibilities will extend beyond business growth. Devanathan will oversee consumer expansion, enterprise adoption, partnerships, regulatory engagement and operations across Southeast Asia and Australia. She will also work with businesses, institutions and governments to encourage wider adoption of OpenAI’s artificial intelligence products.

The move follows Devanathan’s decision to step down from Meta after a career spanning more than 10 years with the company. She announced her departure in a LinkedIn post on Friday, describing it as a difficult but important career decision. She did not initially disclose where she would be moving, before OpenAI confirmed the appointment.

Devanathan joined Meta in 2016, when the company’s Singapore operation was considerably smaller. During her tenure, she worked across ecommerce and gaming businesses in the Asia-Pacific region and helped expand Meta’s operations in markets including Singapore and Vietnam.

She later took charge of Meta’s Asia-Pacific gaming business before becoming Meta’s India head in 2023. Her responsibilities were subsequently expanded to include Southeast Asia, placing her at the centre of the company’s business strategy across several fast-growing digital markets.

Her departure comes at an important moment for Meta in India. The company has faced increasing scrutiny from Indian authorities over online safety, content moderation and the handling of material on its platforms.

Earlier this month, Meta apologised after Instagram mistakenly restricted a post by Prime Minister Narendra Modi. The incident led the Indian government to summon senior Meta executives, including Chief Global Affairs Officer Joel Kaplan, for an explanation.

Meta has also faced questions over child safety on its platforms. Indian authorities sought an explanation from the company after a report alleged that Instagram advertisements were being used to offer access to child sexual abuse material. Meta said it had removed the offending advertisements and accounts and disputed suggestions that it knowingly targeted such content.

The company said it had removed about 160,000 accounts in India over a six-month period after detecting signals associated with child-exploitative activity. The episode has added to broader concerns around content moderation and platform safety in one of Meta’s largest markets.

Following Devanathan’s exit, Meta India’s managing director Arun Srinivas will report directly to Benjamin Joe, the company’s vice-president for Asia-Pacific. Srinivas is expected to continue leading Meta’s India operations as the company reorganises its regional leadership structure.

For OpenAI, the appointment comes as the ChatGPT maker significantly expands its presence across Asia-Pacific. The company has opened offices in Singapore, Tokyo, Seoul, Sydney and Delhi during the past two years and is also expanding its operations in India.

OpenAI recently appointed former Uber India and South Asia president Prabhjeet Singh as its managing director for India. The appointment strengthened the company’s leadership in what has emerged as one of its most important international markets.

The company has been aggressively building its India business as ChatGPT adoption grows. OpenAI said earlier this year that it had more than 100 million weekly active users in India, with a large proportion using its free or lower-priced Go plans.

It has also announced plans to introduce advertising on ChatGPT’s free and Go tiers in India, initially involving 50 brands and partnerships with major advertising groups. The move signals a growing effort to turn its large Indian user base into a sustainable commercial business.

Devanathan’s appointment fits into that wider expansion strategy. Her experience working with consumers, businesses and regulators across India and Southeast Asia could help OpenAI navigate markets where government engagement and local partnerships are becoming increasingly important to the growth of artificial intelligence.

The shift also highlights the intensifying competition for senior technology talent. Meta has been investing heavily in artificial intelligence and building its own AI capabilities, while OpenAI is expanding beyond ChatGPT into enterprise services, partnerships and regional operations.

The two companies are therefore competing not only for users and technology but also for experienced executives who understand the fast-changing digital markets of Asia.

Devanathan’s move from Meta to OpenAI reflects that changing technology landscape. As artificial intelligence becomes increasingly central to consumer technology and business services, experienced leaders with knowledge of regional markets are becoming valuable assets.

 

Categories
Leaders

Warsh Flags Inflation at Jackson Hole speech

Federal Reserve Chair Kevin Warsh delivered his closely watched Jackson Hole speech on Friday, with investors looking for signals on the future direction of US interest rates as inflation remains above the central bank’s target.

The speech marked Warsh’s first major appearance at the annual economic policy symposium since becoming Fed chair. His remarks came at a crucial point for the US economy, with policymakers divided over whether interest rates need to remain high to control inflation or whether monetary policy should begin becoming less restrictive.

The Federal Reserve has kept its benchmark interest rate in the 3.50%-3.75% range. However, inflation remains well above the Fed’s 2% target, making the next policy decision increasingly difficult.

The latest inflation figures have complicated expectations for monetary easing. The personal consumption expenditures price index, which the Fed closely monitors when setting monetary policy, rose 3.7% in July from a year earlier.

Core PCE inflation, which excludes volatile food and energy prices, also remained elevated at 3.3%.

The numbers indicate that inflation has not yet returned to a level that would allow the Federal Reserve to comfortably declare victory. While price pressures have eased from their earlier peaks, progress towards the 2% target has slowed.

That leaves Warsh facing a difficult choice. Keeping rates high for longer could help bring inflation under control, but it could also place additional pressure on consumers, businesses and economic growth.

The debate has also exposed differences among Federal Reserve policymakers.

Three officials dissented at the July policy meeting, supporting a 25-basis-point increase in the benchmark rate. Their position underlined concerns that current monetary policy may not be restrictive enough to contain inflation.

Other policymakers have taken a more cautious approach, arguing that the Fed needs to assess incoming economic data before deciding whether another rate increase is necessary.

The disagreement has made Warsh’s communication particularly important. Markets are looking for greater clarity on how the new Fed chief weighs inflation against employment and growth when setting interest rates.

The US bond market has become an increasingly important part of the monetary-policy discussion.

Long-term Treasury yields have remained elevated as investors assess inflation risks, government borrowing requirements and the country’s large fiscal deficit. The 30-year Treasury yield has moved around the 5.3% level, adding to concerns about long-term borrowing costs.

Higher Treasury yields can tighten financial conditions even if the Federal Reserve does not raise its benchmark rate.

Mortgage rates, corporate borrowing costs and other forms of credit are influenced by long-term government bond yields. As a result, elevated yields can make borrowing more expensive for households and businesses and potentially slow economic activity.

The Treasury Department has also been taking steps to manage conditions in the long-term government bond market.

Treasury buybacks of longer-maturity securities are intended to improve market liquidity and manage the supply of outstanding debt. The measures have attracted attention because they come as investors demand higher returns for holding long-term US government bonds.

The developments highlight the increasingly complicated relationship between monetary policy, government borrowing and financial markets.

The Federal Reserve sets short-term interest rates, while long-term Treasury yields are determined by a broader combination of inflation expectations, economic growth, government debt supply and investor demand.

Investors entered the Jackson Hole meeting with expectations for the Fed’s next move still uncertain.

Earlier hopes for interest-rate cuts have been challenged by stronger inflation readings. At the same time, concerns about the economic outlook have prevented markets from completely ruling out monetary easing.

Warsh has also taken a different approach to forward guidance. Rather than offering markets a detailed roadmap for future interest-rate decisions, he has emphasised the importance of responding to economic data as it emerges.

That approach gives the Federal Reserve greater flexibility but makes it harder for investors to predict the timing and scale of future rate moves.

His Jackson Hole speech was therefore being closely watched for clues about the broader policy framework that will guide the Fed in the months ahead.

The Fed’s decisions have consequences well beyond the US economy.

Changes in US interest rates can influence the dollar, global bond yields, stock markets and commodity prices. Higher US rates can attract money into dollar-denominated assets while increasing borrowing costs internationally.

Gold prices are also affected by expectations for US monetary policy. When Treasury yields and interest rates rise, gold can become less attractive because the precious metal does not generate interest income. Conversely, expectations of lower rates can support demand for gold.

Warsh’s Jackson Hole appearance comes at an important stage of his tenure. The Federal Reserve is under pressure to restore inflation to its 2% target while avoiding unnecessary damage to economic growth and employment.

The challenge is complicated by high Treasury yields, uncertainty over government borrowing and differing views within the central bank itself.

Markets will now scrutinise upcoming inflation, employment and economic-growth data for evidence of where monetary policy is heading.

 

Categories
Leaders

Bill Gates warns AI could reshape jobs and society

Microsoft co-founder Bill Gates has warned that the world is entering a turbulent phase of the artificial intelligence revolution, with AI potentially reshaping jobs, economies, education and human relationships much faster than governments and societies are prepared to handle.

In a new essay, Gates said he remains convinced that artificial intelligence could deliver enormous benefits in healthcare, science and education. But he is increasingly concerned that the technology is advancing so quickly that the negative consequences could arrive before adequate safeguards are in place.

Gates’ biggest concern is the effect of AI on employment. He expects the technology to move beyond assisting workers and increasingly perform entire tasks on its own. Areas such as law, customer service, medicine, software development and manufacturing could see significant changes over the next decade.

The shift could be especially difficult for entry-level and mid-level workers. Young people entering the workforce may find fewer opportunities to gain experience, while employees whose jobs disappear may struggle to move into completely different careers.

Gates also believes the disruption will eventually reach beyond traditional office jobs. As robotics improves, machines could become capable of performing more physical tasks. He has pointed to construction and hospitality as sectors where increasingly capable robots could begin competing with human workers before the end of the decade.

That possibility has led Gates to suggest an unusual policy idea: creating a category of “Human Reserved” jobs.

Under this approach, governments or societies could decide that certain occupations or tasks should remain primarily with people even when AI or robots are technically capable of doing them. The idea would be similar to protecting a nature reserve from development.

Gates believes healthcare and caregiving could be among the areas where human involvement should remain particularly important. A machine may be able to deliver information or perform a task efficiently, he argues, but there are situations where compassion, trust and emotional understanding matter just as much as technical ability.

The concept could also be temporary. Some jobs might be protected for a period of years or decades to give workers time to adapt rather than allowing sudden automation to eliminate entire categories of employment.

Gates has also proposed changing the tax system to deal with the economic impact of automation. He has suggested taxes on AI use, including AI “tokens”, as well as taxes on robots.

His reasoning is that the current system can make replacing employees with machines financially attractive. Businesses pay payroll-related taxes when they employ people, while investment in machines can receive different tax treatment. A tax on automation could slow the pace of replacement while generating money for worker retraining and stronger social safety nets.

Gates accepts that such measures would represent a major change in economic policy. But he believes governments should act before large-scale job losses become a reality rather than trying to respond after workers have already been displaced.

His concerns extend beyond employment. Gates has warned that increasingly powerful AI systems could be misused for cyberattacks and other harmful activities. The technology could allow malicious individuals to carry out sophisticated operations more quickly and at a lower cost.

He has also raised concerns about AI and biotechnology, particularly the possibility that advanced systems could make dangerous biological activity easier for bad actors.

Another area of concern is the effect of AI on children and human relationships. AI companions and increasingly personalised digital systems could become attractive substitutes for real-world interaction. Gates worries that excessive dependence on such technology could affect emotional development, social skills and the ability to think independently.

Education presents a similar dilemma. AI tutors could make learning more accessible and provide students with instant explanations. At the same time, relying on AI to solve every difficult problem could weaken critical thinking if students stop working through problems themselves.

Despite his warnings, Gates is not calling for an end to artificial intelligence. He continues to see the technology as potentially transformative in positive ways.

AI could help doctors identify diseases, accelerate scientific research, improve public services and expand access to education. In developing countries, it could also provide farmers and communities with useful information and services that are currently difficult to access.

The challenge, Gates argues, is ensuring that those benefits are widely shared while limiting the damage caused by rapid automation.

He believes governments need new institutions and policies specifically designed for the AI era. Existing rules were largely created before systems capable of performing complex cognitive tasks became widely available, leaving important gaps in areas such as employment, safety, education and accountability.

 

 

Categories
Leaders

OpenAI data centre chief Chris Malone exits company

Chris Malone, OpenAI’s head of data centres, has left the company after roughly 17 months, becoming the latest senior executive to depart the ChatGPT maker as it undergoes major changes to its business and infrastructure strategy. OpenAI confirmed Malone’s exit this week but did not give a specific reason for his departure.

Malone joined OpenAI in March 2025 after spending more than a decade at Google and nearly five years at Meta, where he worked on data centre infrastructure. His experience made him a key hire for OpenAI as the company began pursuing one of the technology industry’s most ambitious plans to expand its computing capacity.

His departure comes at a particularly important moment for OpenAI. The company needs enormous amounts of computing power to train and operate increasingly sophisticated artificial intelligence models, while demand for ChatGPT and other AI products continues to grow.

OpenAI has been investing heavily in AI infrastructure, including through the Stargate project. The initiative was designed to build large-scale data centres and computing infrastructure in the United States, with OpenAI working with partners including Oracle and SoftBank. Malone was initially brought in to help oversee this broader infrastructure push.

The company, however, has been changing how it approaches data centre expansion. Instead of relying only on building new facilities, OpenAI is increasingly looking at leasing entire data centres to secure computing capacity. The shift could give the company more flexibility as it tries to expand quickly without taking on all the costs and risks associated with constructing and owning every facility itself.

OpenAI has also reorganised its infrastructure leadership. The company said earlier this year that it changed the structure of its infrastructure organisation to keep up with the scale and speed of its work. It said a strong and experienced data centre team remains in place with clear leadership.

That reassurance is important because data centres have moved from being a largely behind-the-scenes part of the technology industry to becoming central to the AI race. Powerful AI models require thousands of specialised chips running continuously in large facilities. Those facilities consume huge amounts of electricity and, depending on their cooling systems, significant quantities of water.

That demand has sparked growing opposition in parts of the United States. Communities and politicians are questioning whether the economic benefits promised by AI data centres justify their impact on local power supplies, water resources and the environment.

The backlash is becoming a bigger political issue as the US approaches the 2026 midterm elections. Data centre proposals are facing resistance in several states, with concerns ranging from higher electricity demand to water use and the effect of large industrial projects on local communities. Recent polling has also indicated widespread opposition to data centre construction near residential areas.

The timing creates an unusual challenge for OpenAI. The company cannot easily slow its infrastructure expansion because its competitors are pursuing the same goal. At the same time, spending hundreds of billions of dollars on computing capacity creates pressure to make sure those investments generate enough revenue.

OpenAI’s infrastructure ambitions have become especially large. Recent reports indicate that the company now expects its computing-related spending through 2030 to reach roughly $750 billion, higher than earlier estimates. The figure underlines how expensive the race to build next-generation AI systems has become.

One major project is taking shape in Ohio, where OpenAI and its partners are developing what is expected to be one of the world’s largest AI data centres. The project illustrates both sides of the current debate: supporters see major investment and job creation, while local residents and environmental groups have raised questions about energy use, pollution and the wider impact on the surrounding community.

Malone’s exit also adds to a noticeable wave of leadership changes at OpenAI.

Longtime chief operating officer Brad Lightcap announced earlier this month that he would leave the company to pursue a new project. Revenue chief Denise Dresser also announced her departure after less than a year. Fidji Simo, who previously served as OpenAI’s product and business chief, stepped down in July. Other senior executives, including former product chief Kevin Weil, have also left this year.

The departures are attracting attention because OpenAI is preparing for a possible initial public offering in 2027. A company preparing for a major stock market listing typically faces greater scrutiny over its leadership, finances and long-term strategy.

OpenAI President Greg Brockman has argued that executive departures at a fast-growing company are not necessarily unusual. The company has also continued hiring and reshaping its leadership structure as it moves from an AI research organisation into a much larger technology business.

For Malone, the next step remains unclear. He has not publicly explained why he left OpenAI, and the company has not suggested that his departure will slow its infrastructure plans.

The bigger question is whether OpenAI can execute its enormous computing strategy while keeping costs under control and dealing with growing public resistance to AI data centres.

The company is effectively trying to solve two problems at once: build enough infrastructure to stay ahead in the global AI competition and convince communities that the enormous facilities required to power that technology are worth the cost.

Malone’s departure is therefore more than another executive change. It comes at a moment when OpenAI’s physical infrastructure has become just as important to its future as its AI models. How successfully the company manages that expansion could have a major bearing on its ambitions, finances and potential IPO in the years ahead.

 

Categories
Leaders

Tim Cook’s 15-year Apple era nears its end

Apple has begun saying goodbye to Tim Cook as he prepares to step down as the company’s chief executive after 15 years. The company reportedly hosted a farewell gathering at Apple Park in Cupertino on August 23, bringing together around 200 employees and several senior figures from Cook’s time at the helm.

The celebration came just a day before Cook completed 15 years as Apple CEO. He took charge on August 24, 2011, succeeding Steve Jobs, and will officially hand over the CEO role to John Ternus on September 1, 2026. Cook, however, will not be leaving Apple. He will become executive chairman of the company’s board.

The farewell event offered a more personal glimpse of a leader who has generally kept his private life away from the spotlight. The gathering was held partly at Caffe Macs, Apple Park’s cafeteria, while the outdoor courtyard hosted a performance by American pop-rock band OneRepublic. Cook also addressed employees and thanked colleagues for their support during his long tenure.

Among those who reportedly paid tribute to Cook were Laurene Powell Jobs, widow of Apple co-founder Steve Jobs, former Apple chief operating officer Jeff Williams, Apple Services chief Eddy Cue and John Ternus, who currently leads Apple’s hardware engineering division. Cook also acknowledged his partner, Mike, during the event, offering an unusually personal moment in front of his colleagues.

For Apple, the farewell marks the closing of one of the longest and most consequential CEO tenures in the company’s history. Cook joined Apple in 1998 and initially focused on worldwide operations and the supply chain. His expertise in operations helped prepare him for the top job, particularly as Apple expanded its global manufacturing and distribution network.

When Cook became CEO, Apple was already one of the world’s most valuable technology companies. But the business grew dramatically during his leadership. According to Apple, its market capitalisation increased from about $350 billion in 2011 to around $4 trillion, while annual revenue rose from $108 billion in fiscal 2011 to more than $416 billion in fiscal 2025.

Cook’s Apple also moved beyond its traditional dependence on the iPhone, Mac and iPad. The company introduced products including the Apple Watch, AirPods and Apple Vision Pro, while expanding services such as Apple Music, Apple TV, Apple Pay and iCloud. The Services business grew into a more than $100-billion annual business during his tenure.

Another major part of Cook’s legacy has been Apple’s move towards controlling more of its core technology. The company transitioned to its own Apple-designed silicon, improving performance and power efficiency across Mac and other products. Cook also placed greater emphasis on privacy, security, accessibility and environmental initiatives. Apple says its carbon footprint has fallen by more than 60% from 2015 levels under his leadership.

The leadership change was formally announced by Apple in April after what the company described as a long-term succession planning process. Cook will continue working with Apple as executive chairman, including on selected matters such as engagement with policymakers around the world. The arrangement means his departure from the CEO position is not a complete break from the company.

Taking over will be John Ternus, a longtime Apple executive who joined the company in 2001. He became vice-president of Hardware Engineering in 2013 and joined Apple’s executive team as senior vice-president of Hardware Engineering in 2021. During his career, Ternus has worked on products across the iPhone, iPad, Mac, Apple Watch and AirPods lines.

Ternus will also join Apple’s board when he becomes CEO. His first major public test will arrive quickly, with Apple’s September product event expected to be one of the most closely watched moments of the company’s calendar.

The transition is therefore unlikely to look like a sudden change in direction. Apple has stressed continuity, and Ternus has spent much of his career inside the company. Cook is expected to remain available to guide the new leadership while taking a less prominent day-to-day style.

Categories
Leaders

Volkswagen Chief warns crisis is more than critical

Volkswagen is facing a major turning point, with Chief Executive Officer Oliver Blume warning that the German automaker’s situation is “more than critical” as it struggles with rising costs, weak profitability, excess production capacity and intensifying competition from Chinese carmakers.

Blume’s warning comes as Volkswagen prepares for a fresh round of discussions with employees over cost-cutting measures, possible job reductions and the future of several German factories. The company is already undergoing one of the biggest restructuring programmes in its history, but management believes the measures taken so far are not enough to restore the group’s competitiveness.

The Volkswagen Group is under pressure from several directions at once. Its business in China, one of its most important markets, has weakened sharply, while Chinese manufacturers are increasingly entering European markets with competitively priced electric and hybrid vehicles. At the same time, US tariffs have made it more expensive for Volkswagen to sell vehicles in America.

Blume said Volkswagen’s operating return of around 3.8 per cent was respectable given the difficult market environment, but still too low to generate the money needed for new technologies, products and production facilities.

China has become one of Volkswagen’s biggest challenges. The Chinese auto market has contracted by more than 20 per cent since the beginning of the year, according to Blume, while hundreds of new models have entered the market.

Chinese automakers are also expanding rapidly outside their home market. Volkswagen says Chinese manufacturers are gaining market share in Europe, where they can compete aggressively on price, particularly in electric vehicles and plug-in hybrids. The pressure is forcing European manufacturers to rethink their costs, production strategies and product portfolios.

For Volkswagen, the problem is not simply falling sales. The company has a large manufacturing network and significant fixed costs, making it difficult to adjust quickly when demand changes. Blume has warned that Volkswagen is producing around 500,000 vehicles more than the European market can absorb, highlighting the scale of its excess capacity.

The company’s German factories are at the centre of the restructuring debate. Blume is scheduled to meet employees at several locations, including the Volkswagen headquarters in Wolfsburg and plants in Zwickau and Emden, to explain the company’s plans.

Volkswagen has not announced that any specific plant will be closed. However, Blume has said the company currently cannot see how facilities in Emden, Hannover, Zwickau and Neckarsulm could remain profitable into the 2030s under present conditions.

Factory closures would be a major step for Volkswagen and its workforce. Blume has described closures as the “last and most expensive solution”, with the company also considering alternative industrial uses for some sites.

The issue has already created tension with powerful German labour representatives. Unions have criticised management’s savings plans and are expected to resist measures that could result in further job losses or changes to production locations.

Volkswagen has already agreed to significant employment reductions in Germany. The group has ordered cuts involving around 50,000 jobs, with agreements already reached with approximately 37,000 employees, according to Blume.

However, recent reports indicate that the company is considering further measures as part of its broader restructuring. Reuters reported that the potential scale of additional action could involve up to another 50,000 positions, although this figure should not be treated as a confirmed final job-cut target.
Volkswagen is also looking at reducing its model range and production capacity to better match demand. The aim is to lower overheads and free up funds for electric vehicles, software and other technologies that will shape the next phase of the automotive industry.

Volkswagen is also facing a tougher business environment in the United States. The company says US tariffs alone are costing the group approximately €5 billion a year. Vehicle tariffs have risen sharply compared with two years ago, increasing the cost of European-built vehicles entering the US market.

That adds another layer of pressure at a time when Volkswagen is already trying to improve margins. The company has been forced to balance investment in electric vehicles and new technology with the need to reduce costs across its traditional manufacturing operations.

Despite the challenges, Volkswagen says its transformation is beginning to produce results in some areas. The company reported strong demand for its newer electric models in Europe, with its European order bank for fully electric vehicles increasing by more than 50 per cent in the first half of 2026. Its new electric urban car family also received more than 70,000 orders in its first few weeks.

Volkswagen expects a difficult period ahead, but management maintains that the company has the financial strength and products needed to recover if it can improve its cost structure.

For employees, investors and the wider German auto industry, however, the next few weeks could be crucial. Volkswagen is expected to use upcoming staff meetings to explain the scale of the restructuring and seek support for further savings.

Volkswagen cannot rely on its traditional strengths alone. Rising Chinese competition, changing consumer demand, US tariffs and high European production costs are forcing one of the world’s biggest automakers to make difficult decisions.

The company now faces the challenge of cutting costs without weakening its ability to invest in the electric and digital technologies needed to compete in the future.

Categories
Leaders

Vishal Garg ousted years after Zoom layoffs

Vishal Garg, the Indian-American founder of mortgage technology company Better Home & Finance, has been removed as chief executive nearly five years after he became widely known for dismissing about 900 employees during a short Zoom call.

Garg was ousted by Better’s board on August 3 and replaced by investor Daniel Lewis. The leadership change has now turned into a wider battle over control of the company, with Garg challenging the board’s decision and seeking to return as CEO.

The episode has created an unusual reversal for Garg. In December 2021, he became the face of one of the most widely criticised mass layoffs of the pandemic era after informing around 900 employees that they were losing their jobs during a video call shortly before Christmas. The manner in which the layoffs were announced triggered widespread criticism of his leadership style and corporate culture.

Five years later, Garg himself is at the centre of a leadership crisis at the company he founded.

Better said its board had unanimously voted to terminate Garg, with Garg being the only director to oppose the decision. According to the termination notice cited in reports, directors had concerns about his judgment, temperament and credibility. The company also pointed to financial and governance problems during his tenure.

One issue cited by the company was the delay in filing quarterly financial statements. Better has also faced significant financial pressure, with its share price falling sharply from the levels associated with its earlier growth period. The company has reported substantial losses, adding to pressure on its leadership and strategy.

Better’s troubles are a sharp contrast to its position during the pandemic-era housing boom. The digital mortgage lender benefited from strong demand for refinancing and home loans when interest rates were low. At one point, the company was valued at around $7 billion, turning Garg into one of the more prominent figures in the fintech and mortgage technology sector.

The environment changed dramatically as US interest rates rose and mortgage refinancing activity weakened. Better subsequently struggled to maintain the growth levels that had supported its earlier valuation. The company also went public through a merger with a special purpose acquisition company, or SPAC, but its market value later fell substantially.

Garg, however, has rejected the idea that his removal was simply the result of poor business performance. He has accused Lewis, the executive who replaced him, of misleading him about his intentions.

According to reports, Garg said Lewis initially approached him with suggestions on reducing costs and improving profitability. Lewis subsequently joined Better’s board on July 27. Within about a week, the board removed Garg and appointed Lewis as his replacement. Garg has described the sequence of events as a betrayal and said he believed Lewis had gained his confidence before moving against him.

Lewis has previously praised Garg and Better’s strategy publicly, adding another layer to the dispute. Garg is now attempting to rally shareholders and challenge the current board structure.

The former CEO has proposed an extraordinary comeback. He has indicated that he is prepared to return as CEO for an annual salary of just $1 until the company becomes profitable, as part of his effort to regain control.

Garg has also sought changes to Better’s board. His group has been pushing to remove several directors and restore earlier corporate governance arrangements. Recent filings show that entities associated with Garg control about 13.7% of Better’s voting stock, although his campaign has sought support from other shareholders.

Better has pushed back against Garg’s campaign, describing his efforts to regain control as a challenge to the company and disputing his claims about shareholder support. The company has argued that Garg does not have sufficient backing to carry out what it characterises as an attempt to reshape the board.

The boardroom dispute is unfolding against a difficult financial backdrop. Better’s business has been hit by the broader slowdown in mortgage activity, while the company has attempted to reduce costs and improve its operations. The leadership change reflects the pressure facing fintech companies that expanded rapidly during the low-interest-rate period and later struggled as market conditions changed.

Garg’s controversial management history has also remained part of the discussion surrounding Better. The 2021 Zoom layoffs became a defining moment in his public image. The company later acknowledged that negative publicity surrounding workforce reductions and Garg’s leadership style had affected employee morale, management stability and the company’s reputation.

Garg took a temporary break from the company after the 2021 backlash and later returned. At the time, Better’s board said he had reflected on his management style and undergone executive coaching.

The company subsequently went through additional rounds of layoffs as the mortgage market weakened. These workforce reductions added to the perception that Better was struggling to adjust to a tougher business environment.

The latest development has therefore brought Garg’s journey at Better full circle. The founder who once made headlines for announcing mass layoffs over a Zoom call is now fighting a board decision that has removed him from the company he built.

 

Categories
Leaders

OpenAI Revenue Chief Dresser exits after 8 months

OpenAI is facing another high-profile leadership change, with Chief Revenue Officer Denise Dresser leaving the artificial intelligence company after just eight months in the role. Her exit comes at a crucial stage for OpenAI, as the ChatGPT maker expands its enterprise business, reorganises its leadership team and prepares for a potential initial public offering (IPO).

OpenAI said Dresser is stepping down to pursue other opportunities. She will remain involved during the transition and work with the business team to ensure continuity for customers. Dali Rajic, who previously served as president and chief operating officer of cybersecurity company Wiz, will take over as chief revenue officer.

Dresser joined OpenAI in December 2025 after more than a decade at Salesforce. Her relatively short tenure makes the departure notable, particularly because the chief revenue officer is responsible for driving one of the company’s most important priorities: turning the growing demand for generative AI into sustained commercial revenue.

The change also comes only days after another major executive departure. Brad Lightcap, OpenAI’s longtime chief operating officer and a key figure in the company’s business operations, announced his departure earlier this week. The succession of exits has put OpenAI’s leadership structure under renewed scrutiny as the company moves into a more commercially focused phase.

Dali Rajic takes over revenue role

Rajic arrives with experience in scaling enterprise technology businesses. Before joining OpenAI, he was president and COO of Wiz, the cybersecurity company that Google acquired for $32 billion this year.

OpenAI said Rajic will lead its global revenue organisation at a time when businesses are increasingly adopting AI tools across workplaces. The company expects him to help build a more repeatable sales and distribution system as AI becomes part of everyday business operations.

OpenAI President and co-founder Greg Brockman said Dresser had helped develop the revenue organisation during an important period for the company. He said Rajic would now focus on turning those lessons into a more scalable business operation.

The appointment reflects the growing importance of enterprise AI for OpenAI. While ChatGPT remains the company’s best-known product, OpenAI is increasingly competing for corporate customers that want AI systems for coding, customer service, research, productivity and other workplace functions.

That market is becoming more competitive. Anthropic has expanded rapidly in enterprise AI, putting additional pressure on OpenAI to convert its technological lead into long-term commercial relationships.

More than one executive exit

Dresser’s departure is not an isolated change at OpenAI. The company has seen a series of senior executives leave or shift responsibilities in recent months.

Lightcap, who had been one of CEO Sam Altman‘s closest senior executives, is leaving after years at OpenAI. His departure follows changes involving other senior leaders, including Fidji Simo, the former CEO of OpenAI’s applications business, as well as executives overseeing product, marketing and other functions.

The turnover has created a significant leadership reshuffle at OpenAI, reflecting the kind of executive and leadership changes shaping major companies as they respond to rapid growth and changing business priorities. The company is simultaneously trying to increase revenue, develop increasingly powerful AI models and manage growing scrutiny around AI safety.

OpenAI has presented the changes as part of a broader organisational refresh rather than evidence of a crisis. Recent reporting suggests that co-founder Greg Brockman is taking a more active role in operations, particularly around customers and enterprise growth.

The timing, however, has attracted attention because OpenAI is preparing for a possible public listing.

IPO preparations add pressure

OpenAI has reportedly been moving closer to an IPO after years of operating as a private AI company. The company confidentially filed a draft registration statement with US regulators in June, according to reports, although the timing of any public offering remains uncertain.

An IPO would mark a major transformation for OpenAI. The company has grown from a research-focused organisation into one of the world’s most valuable AI businesses, with ChatGPT becoming a widely used consumer and enterprise product.

That growth has also brought much higher financial expectations. Recent reports have put OpenAI’s annualised revenue run rate above $40 billion, roughly double the level reported at the end of 2025. The company has been expanding revenue through ChatGPT subscriptions, enterprise services, coding products and other AI offerings.

For investors, that makes the stability of OpenAI’s leadership particularly important. A chief revenue officer leaving after eight months, followed closely by the departure of another senior executive, inevitably raises questions about the company’s organisational direction even if the changes are part of a planned restructuring.

Commercial growth takes centre stage

OpenAI’s latest leadership changes also show how quickly the AI industry is evolving. As the technology moves from experimentation into mainstream business use, companies such as OpenAI need executives who can build large-scale sales organisations and convert AI adoption into predictable revenue.

Rajic’s background at Wiz could be particularly relevant as OpenAI expands its enterprise operations. Cybersecurity companies typically work with large organisations and complex sales cycles, giving Rajic experience in selling technology to corporate customers.

OpenAI is also expanding partnerships and strengthening its go-to-market organisation. The company said it has formed a strategic partnership with Chad Peets and RPT Partners to support the development of its sales organisation.

 

Categories
Leaders

Gland Pharma appoints Deepak Sapra as CEO

Gland Pharma has appointed Deepak Sapra, a senior executive at Dr Reddy’s Laboratories, as its new Chief Executive Officer, marking a significant leadership change at the Hyderabad-based pharmaceutical company. Sapra will take charge as CEO on November 16, 2026, subject to his acceptance of the offer, the company said in a stock exchange filing.

The appointment comes at an important stage for Gland Pharma, which is looking to build on improving financial performance while expanding its presence in complex injectables, contract development and manufacturing services, or CDMO, and international markets. The company’s board approved Sapra’s appointment following the recommendation of its Nomination and Remuneration Committee.

Sapra brings nearly three decades of pharmaceutical industry experience to the role. Digital Health News reported that he has 27 years of executive experience, including more than 23 years in the pharmaceutical sector. His career has covered active pharmaceutical ingredients, generic medicines, CDMO operations, business development, licensing, portfolio management and international expansion.

At Dr Reddy’s, Sapra currently serves as Chief Executive Officer of the API and Services business. He has been responsible for an integrated portfolio covering APIs, generic pharmaceuticals, CDMO services and strategic collaborations. His experience spans major pharmaceutical markets including the US, Europe, Japan, Latin America, Africa and the Asia-Pacific region.

One of the most relevant parts of Sapra’s background for Gland Pharma is his experience in contract manufacturing. Earlier in his career, he headed Dr Reddy’s Custom Pharmaceutical Services business, where he led global CDMO operations serving innovator pharmaceutical companies in the US, Europe and Japan. He has also handled global generics business development and portfolio management.

That experience could be particularly useful as Gland Pharma seeks to expand its CDMO business. Earlier this month, the company announced a strategic manufacturing and supply agreement with a global pharmaceutical company covering technology transfer, production and supply of sterile injectable products for worldwide markets. Gland Pharma expects the agreement to generate annual revenue of about $90 million to $100 million once fully operational.

The appointment also follows a period of strong financial performance for Gland Pharma. The company reported a 47% year-on-year increase in consolidated profit in the first quarter of FY27, while revenue rose 20%. Its strong results had already lifted investor interest in the stock, with Gland Pharma shares gaining more than 12% after the earnings announcement.

Gland Pharma’s official investor data also shows that the company has reported Q1 FY27 results and earnings-related disclosures as part of its current financial year. The stronger quarterly performance gives Sapra a relatively favourable starting point, although maintaining that momentum will be one of his immediate challenges.

The company operates primarily in the pharmaceutical manufacturing space, with a strong focus on injectable products. Its business includes the development, manufacture, sale and distribution of pharmaceuticals. Gland Pharma has also built an international footprint through subsidiaries and operations serving markets outside India.

Sapra’s appointment is also notable as Gland Pharma joins a broader wave of leadership changes across Indian companies. Shyamakant Giri had joined the company as CEO in January 2025, after Srinivas Sadu was redesignated as Executive Chairman. Gland Pharma’s corporate disclosures subsequently recorded Giri’s resignation as CEO in March 2026.

The company’s leadership structure currently includes Executive Chairman Srinivas Sadu, along with an experienced board that includes independent directors such as Naina Lal Kidwai and William Robert Keller.

For Sapra, the new role will involve balancing Gland Pharma’s established injectable business with opportunities in higher-value pharmaceutical manufacturing. The global CDMO market, complex injectables and specialised pharmaceutical products offer opportunities for Indian manufacturers with regulatory capabilities and established international customer relationships.

His background in APIs and services could also help Gland Pharma strengthen the connection between product development, manufacturing and global commercial opportunities. His experience in mergers and acquisitions, licensing and portfolio strategy may further support the company as it evaluates new partnerships and expansion opportunities.

The focus for investors is likely to remain on whether the leadership change translates into sustained revenue growth, stronger margins and greater visibility for Gland Pharma’s international business. The company has already demonstrated improving earnings, while its recent CDMO agreement points to an effort to secure larger and more integrated global contracts.

Sapra will therefore take over at a time when the company has both momentum and clear opportunities ahead. His experience at Dr Reddy’s gives him familiarity with global pharmaceutical markets, regulatory requirements and complex manufacturing operations. The challenge will be to convert that experience into faster growth while maintaining operational discipline and quality standards.

With his appointment scheduled for November 16, the transition will take place over the coming months. Until then, investors and the pharmaceutical industry will be watching how Gland Pharma prepares for the change and whether Sapra’s arrival signals a broader push into high-value injectables, CDMO services and global expansion.