Journalist
Lee Hugh
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Meta to Cut About 8,000 Jobs; Microsoft Offers Voluntary Exits as AI Costs Rise U.S. Big Tech companies are again moving to shrink their workforces as spending surges for artificial intelligence data centers and high-priced talent. The push to streamline existing organizations and shift staffing toward AI is accelerating. Meta plans to cut about 8,000 employees, roughly 10% of its workforce, according to AP and The Guardian. The company also will not fill 6,000 roles that were in the hiring pipeline. The layoffs are set to begin May 20. Microsoft has prepared a voluntary departure program for about 8,750 U.S. employees. AP, citing sources, reported the company plans to make the offer in early May to about 7% of its U.S. workforce. The Guardian said a voluntary program of that size in the United States is unusual for Microsoft. The staffing moves come as both companies expand AI investment. Meta has warned investors that total costs this year could rise to $162 billion to $169 billion as spending increases for AI infrastructure and recruiting highly paid AI specialists. AP reported that Meta is cutting jobs in the name of efficiency while ramping up AI infrastructure investment and AI hiring. In an internal memo, Meta did not cite AI as a direct reason for the layoffs, but the goal of easing cost pressure was clear. The Guardian reported that Meta Chief People Officer Janelle Gale said the move is intended to offset other investment costs. Meta CEO Mark Zuckerberg previously said some projects no longer require large teams because outstanding individuals can use AI to handle the work. Microsoft faces similar pressure as it pours money into cloud and AI data centers and AI services such as Copilot. The Guardian reported Microsoft is expected to spend $100 billion on AI infrastructure in the next fiscal year, while analysts estimate actual spending could reach $110 billion to $120 billion. Workforce reductions are spreading across the tech sector. Reuters reported Amazon has been preparing additional cuts as it targets reducing about 30,000 office jobs. Block said it will cut more than 4,000 employees, about 40% of its workforce, as part of a restructuring to embed AI tools across company operations. The AI investment race is reshaping Big Tech’s fixed costs. Where labor and server operations once dominated, companies now face rising costs for AI chips, data centers, power and compensation for AI research staff. If revenue growth does not keep pace, pressure increases to offset costs through job cuts. The impact is extending to office and software development roles. Microsoft CEO Satya Nadella has said 20% to 30% of the company’s internal code was being written by AI last year. The Guardian reported growing concern among Big Tech employees that AI could replace jobs. Restructuring tied to the AI shift is likely to continue for now, though the reasons cannot be reduced to AI-driven replacement alone. Gartner Senior Director Analyst Kathy Ross said, “AI-driven layoffs are getting attention, but the reality is more complex,” adding that as companies confront AI’s limits and higher customer expectations, they may need to invest in staffing again to maintain service quality and growth.* This article has been translated by AI. 2026-04-24 17:24:18 -
South Korea’s Big Four Financial Groups Post Nearly 5 Trillion Won in Q1 Profit KB, Shinhan, Hana and Woori — South Korea’s four largest financial holding companies — posted nearly 5 trillion won in net profit in the first quarter. Despite regulators’ controls on total household lending, wider lending-deposit spreads as market rates rose and stronger brokerage fee income supported results. Still, rising won-dollar exchange rates and growing Middle East-related risks are adding uncertainty, analysts said. According to the financial sector on Thursday, the four groups’ combined first-quarter net profit totaled 5.3288 trillion won, up 8.11% from 4.9289 trillion won a year earlier. KB Financial Group recorded the biggest gain, with first-quarter net profit rising 11.5% to 1.8924 trillion won. Shinhan Financial Group posted 1.6226 trillion won, up 9%. Hana Financial Group earned 1.2100 trillion won, up 7.3%. Woori Financial Group was the only one to decline, with net profit down 2.09% to 603.8 billion won. Interest income, banks’ core revenue source, also increased. The four groups’ combined interest income rose 5.31% to 11.2074 trillion won from 10.6419 trillion won a year earlier. The increase appears to reflect wider net interest margins as banks raised loan rates in line with higher market rates. This year, the top end of fixed-rate mortgage rates at major commercial banks moved above 7% for the first time in three years and five months. COFIX, a benchmark for floating-rate mortgages, turned higher in February. Noninterest income was another key driver. Combined noninterest income jumped 34% to 3.8773 trillion won from 2.8935 trillion won in the first quarter of last year, helped by improved securities-related fee income amid a stronger domestic stock market. Even as most groups started the year with strong earnings, uncertainty around the operating environment is growing. Middle East-related risks are weighing on exchange rates, interest rates and capital ratios. Common equity Tier 1 (CET1) ratios edged lower in the first quarter at several groups. KB Financial’s CET1 ratio fell 0.19 percentage points to 13.63%, and Shinhan’s slipped 0.16 points to 13.19%. Hana’s also declined by 0.15 points. Woori was the only one to rise, up 0.7 points to 13.6%. At the same time, delinquency rates on corporate loans expanded under a push for more “productive finance,” adding to asset-quality pressure. Banks are facing the task of sustaining earnings while managing credit quality and provisioning burdens. 2026-04-24 17:21:21 -
Court Grants Injunction for 9 THE BOYZ Members in Exclusive Contract Dispute 그룹 더보이즈(THE BOYZ)를 둘러싼 전속계약 분쟁이 이어지는 가운데, 법원이 멤버 9명이 낸 전속계약 효력 정지 가처분 신청을 인용했다. 더보이즈 측은 계약이 적법하게 해지돼 효력이 끝났다고 밝혔고, 소속사 원헌드레드레이블은 가처분은 임시 조치일 뿐이라며 반발했다. 더보이즈 측 법률대리인인 법무법인(유) 율촌의 김문희 변호사는 23일 공식 입장에서 “법원은 금일 아티스트의 전속계약효력정지 가처분 신청을 인용하는 결정을 했다”며 “아티스트는 ㈜원헌드레드레이블과의 전속계약이 적법하게 해지되어 그 효력이 종료되었음을 법원의 판단을 통해 확인받았다”고 밝혔다. 김 변호사는 법원이 소속사가 정산금 지급 의무를 위반하고, 정산의 적정성을 검증하기 위한 정산자료 제공 의무를 이행하지 않았으며, 매니지먼트 지원과 아티스트 보호 의무 등 계약상 핵심 의무를 다하지 못한 점 등을 종합해 “소속사의 귀책으로 당사자 간 신뢰관계가 회복하기 어려운 수준으로 파탄에 이르렀음을 인정했다”고 설명했다. 계약금 성격과 관련해 더보이즈 측은 소속사가 계약금을 ‘선급금’이라고 주장해왔지만 법원이 이를 “명시적으로 배척했다”고 밝혔다. 더보이즈 측은 법원이 계약금 지급과 수익 발생에 따른 정산금 분배가 별개 조항이며, 이미 지급된 계약금으로 새로 지급돼야 할 정산금을 대체할 수 있다는 약정이 없다는 점을 분명히 했다고 전했다. 더보이즈 측은 향후 일정에 대해 “전속계약 해지 이전에 이미 확정된 스케줄에 한하여 팬 여러분과의 약속, 그리고 선의의 제3자 피해를 최소화하기 위하여 책임감을 가지고 성실히 이행할 예정”이라고 밝혔다. 또 “소속사의 허위 주장과 여론전” 속에서도 매일 연습하며 콘서트를 준비했고, “상당한 부분을 개인 비용으로 부담”했다고 덧붙였다. 원헌드레드레이블은 같은 날 공식 입장에서 “가처분 인용은 최종 판단이 아니다. ‘계약 해지 확정’이라는 주장은 명백한 법적 왜곡”이라고 반박했다. 원헌드레드는 “가처분은 본안 판결이 확정되기까지의 임시적·응급적 처분에 불과하다”며 이번 결정이 전속계약 해지의 적법성을 최종 판단한 것이 아니고, 본안 소송에서 결론이 달라질 수 있다고 주장했다. 그러면서 상대 측이 이를 최종 승소처럼 발표하는 것은 “대중과 팬들을 오도”하는 행위라고 했다. 정산금과 계약금 문제와 관련해 원헌드레드는 “전속계약 체결 시 11인의 멤버에게 1인당 15억 원, 총 165억 원을 이미 지급했다”며 “9인의 멤버들이 주장하는 미지급 정산금의 합계는 약 16억6000만 원”이라고 밝혔다. 또 상대방 법률대리인 측이 2026년 3월 16일 “더보이즈의 활동을 원활히 할 수 있게 전속계약을 합의해지해주면, 그간 미지급된 정산금은 포기할 의사가 있다”는 취지의 의사를 전달했다고 주장했다. 콘서트 준비와 관련해서도 원헌드레드는 “현재 진행 중인 4월 콘서트는 당사가 직접 계약을 체결한 전문 업체를 통해 준비된 것”이라며 멤버와 안무가들의 연습이 모두 회사 연습실 밖에서 이뤄진 것은 아니라고 밝혔다. 회사 경영 상황을 두고는 일부 언론의 경영 악화 보도가 “허위·과장”이라며, 해당 기사 게시는 법원의 가처분 결정으로 이미 금지됐고 1000억 원 상당의 손해배상 청구소송을 준비 중이라고 밝혔다. 원헌드레드는 국내외 투자사와의 인수합병 협의를 지속하고 있으며, 회사의 파산을 막기 위해 가능한 모든 법적·경영적 수단을 동원하겠다고 덧붙였다.* This article has been translated by AI. 2026-04-24 17:19:04 -
Justice Ministry Wins First Pro-Japan Assets Recovery Suit, Court Rejects Statute of Limitations Claim South Korea’s Justice Ministry has won a lawsuit seeking to recover assets linked to a descendant of a pro-Japanese collaborator, in what it called the first such victory since a Supreme Court ruling that treated heirs’ statute-of-limitations defenses as an abuse of rights. The ministry said Thursday it won in full in a suit filed against the descendants of Lim Seon-jun, seeking the return of about 53 million won in unjust enrichment tied to proceeds from land sales. The Seoul Western District Court accepted all of the state’s claims, the ministry said, calling the ruling an important precedent for future recovery efforts. Lim was a figure who cooperated in the forced abdication of King Gojong and the signing of the Japan-Korea Agreement, and received a noble title from Japan. He was designated a pro-Japanese collaborator by the Presidential Committee for the Inspection of Collaborations for Japanese Imperialism. The ministry said it confirmed that Lim’s descendants sold eight inherited parcels of land in Yeoju, Gyeonggi province, between 1993 and 2000, and filed the lawsuit in January. The ministry said it will continue pursuing other pending cases to secure state victories in efforts to recover such assets. Justice Minister Jeong Seong-ho said, “Through thorough litigation, we will recover even a single won of pro-Japan assets to the very end. For a complete reckoning, we will also do our utmost to support legislation so the bill to re-enact the pro-Japan assets vesting law, now pending in the National Assembly, can pass swiftly.”* This article has been translated by AI. 2026-04-24 17:18:08 -
South Korea, Bolivia Sign MOU on International Greenhouse Gas Cuts Under Paris Agreement The Ministry of Climate, Energy and Environment said it will sign a memorandum of understanding with Bolivia’s Ministry of Planning, Development and Environment on Friday at The Plaza Hotel in Seoul to cooperate on international greenhouse gas reduction projects. The agreement is intended to build an institutional framework for bilateral emissions-reduction projects based on Article 6 of the Paris Agreement. It covers joint project implementation; measurement, reporting and verification of reductions; and the issuance, transfer and corresponding adjustment of reduction outcomes, among other elements of international mitigation projects. A separate MOU on joint development by public and private consortia was also signed. The Sudokwon Landfill Site Management Corp. is pursuing an international mitigation project in Bolivia that would incinerate landfill gas at two landfill sites and link it to power generation. The ministry said the effort is expected to help with on-the-ground implementation of such projects. The ministry said it plans to form a joint committee with Bolivia and draw up detailed rules for carrying out the projects. Second Vice Minister Lee Ho-hyeon said the climate crisis is “a shared task for humanity that cannot be solved by the efforts of one country alone,” adding that the Bolivia project would be “a key policy tool” for both countries to meet their national greenhouse gas reduction targets, known as NDCs.* This article has been translated by AI. 2026-04-24 17:05:55 -
Samsung Electronics, SK hynix Seen Posting Record 2026 Operating Profit on Memory Price Surge South Korea’s two biggest chipmakers, Samsung Electronics and SK hynix, posted earnings surprises in the first quarter despite the usual seasonal slowdown. With results expected to accelerate into the second half, investor expectations are rising that their combined operating profit could reach 500 trillion won this year. According to brokerage estimates cited on April 24, SK hynix is forecast to post 65.1 trillion won in operating profit in the second quarter, nearly double its first-quarter operating profit of 37.6 trillion won. Samsung’s second-quarter operating profit is projected at 89.9 trillion won. Together, that would total about 155 trillion won for the quarter. The outlook reflects expectations that prices for DRAM and NAND flash — key drivers of the first-quarter improvement — will climb even more in the second quarter. Kim Hyeong-tae, an analyst at Shinhan Investment Corp., said average selling prices are expected to rise 41% for DRAM and 67% for NAND from the previous quarter, adding that the NAND market “is somewhat undervalued” and that expectations for a “surprise” NAND performance remain in place. Even in the seasonal off-peak period, the two companies’ combined operating profit from their semiconductor businesses reached 90 trillion won in the first quarter. Of Samsung’s preliminary operating profit of 57.2 trillion won, operating profit from its semiconductor (DS) division is estimated at around 50 trillion won. Profitability also hit record levels. SK hynix said in its earnings release on April 23 that it posted a 72% operating margin, well above the 58% reported by Taiwan’s TSMC, the top foundry company often seen as a benchmark for chip profitability. Samsung’s first-quarter operating margin was 43%, and its memory business alone is estimated to be in the 60% range. Brokerages are increasingly projecting that combined operating profit this year will exceed 500 trillion won. They forecast annual operating profit of 320 trillion won for Samsung (Meritz Securities) and 230 trillion won for SK hynix (Hana Securities), for a combined 550 trillion won. Analysts also say memory chips are becoming core infrastructure in the AI transition, pointing to structural growth rather than a temporary boom. Choi Bo-young, an analyst at Kyobo Securities, said demand for DRAM and NAND is expanding broadly as agentic AI spreads, while a structural supply shortage persists, setting up steep price increases in the second half. Choi said SK hynix is seeing clearer gains in high-value products based on its HBM3E exclusivity and a 60% share in HBM4, and that long-term supply agreements (LTAs) have helped reduce earnings volatility and improve visibility for a longer cycle.* This article has been translated by AI. 2026-04-24 17:05:01 -
Finance Minister Koo Yun-cheol vows to boost local spending to help small businesses Koo Yun-cheol, deputy prime minister and minister of finance and economy, said on the 24th that the government will promote local spending and strengthen domestic demand to help small business owners struggling amid the war in the Middle East. Koo visited the venue of the Donghaeng (Companion) Festival being held in the Bupyeong Renaissance commercial district in Incheon, along with Lee Byung-kwon, second vice minister of SMEs and Startups. The festival is being run for 30 days starting on the 11th, linking 50 local festivals nationwide to encourage spending in neighborhood shopping districts and traditional markets. In Incheon, it is tied to the city’s “Bupyeong Black Day (BB-Day)” festival, with programs including tour buses for overseas cruise visitors arriving at Incheon Port, joint discount events among Bupyeong merchants and cultural performances aimed at attracting domestic and foreign tourists. Meeting with representatives of the Bupyeong Culture Street merchants association, Koo said he understood the area to be a strong example of revitalization, noting that merchants voluntarily organized street vendors and created a car-free street. He said the government will continue policy efforts to improve business conditions for small merchants facing difficulties from the Middle East war, including holding the festival and swiftly disbursing relief funds for damage from high oil prices. He reiterated the goal of boosting local consumption and domestic demand. Koo also visited a handicrafts booth and a clothing store at the venue and bought items, saying a strength of local shopping districts is being able to find quality handicrafts and apparel at reasonable prices. He urged the public to visit local shopping areas and festivals to enjoy them and spend money to help energize communities. Lee said the April Donghaeng Festival is being promoted in connection with 50 local festivals nationwide, including Bupyeong Black Day, to revitalize commercial districts and encourage local spending. He said the government will keep pushing consumption-boosting policies so small business owners affected by the Middle East war can regain momentum.* This article has been translated by AI. 2026-04-24 17:04:03 -
Vice Minister Kim Min-jae Inspects Local Centers Ahead of High Oil Price Relief Payments The Ministry of the Interior and Safety said April 24 that Vice Minister Kim Min-jae visited Seoul’s Jongno district to closely review preparations and hear difficulties from the field ahead of the start of first-round payments for high oil price relief assistance on April 27. Kim, who led the inspection, went to the Sungin 2-dong community center to check whether arrangements were in place so applicants would not face inconvenience, and he encouraged local government staff handling the work. He checked whether there were enough prepaid cards for distribution and whether the card design could reveal whether a recipient is part of a vulnerable group. He urged careful attention throughout the process to prevent inconvenience for residents. Kim also asked the center to secure sufficient indoor waiting space, noting that many in-person visitors are older people who have difficulty applying online. As the first round targets vulnerable groups, he called for close management to ensure no one is left out. After hearing concerns such as heavier workloads from accepting offline applications, the ministry said it would strengthen publicity and guidance to further expand use of the simpler online application process. “To ensure people can receive the high oil price relief payments without inconvenience, the ministry and local governments must work closely to make thorough preparations and build a rapid response system,” Kim said. He added that, based on last year’s experience successfully completing the consumer coupon program for livelihood recovery as “One-Team,” officials would fully apply that know-how and capacity to be fully prepared. * This article has been translated by AI. 2026-04-24 17:03:16 -
Hotel Shilla Returns to Profit in Q1 With 20.4 Billion Won Operating Gain Hotel Shilla said Thursday it swung to an operating profit in the first quarter (January-March), as it focused on profitability despite a weak duty-free market and pressure from a strong exchange rate. The company reported first-quarter revenue of 1.0535 trillion won, up 8.4% from a year earlier. Operating profit totaled 20.4 billion won, reversing a year-earlier loss. Hotel Shilla said the results reflected efforts to secure a stable earnings base in a difficult business environment. In its travel retail, or TR, business, the company said the industry remained under strain from the strong exchange rate and a weakening global economy, but it concentrated on strengthening fundamentals with a profitability-first approach. Its hotel and leisure business maintained steady performance despite the seasonal off-peak period, helped by the opening of new hotels and an increase in foreign tourists. A company official said Hotel Shilla will continue its focus on improving fundamentals as operations stabilize. “The TR division will secure stable profitability through ongoing improvements to its business structure and respond proactively to changes in the external environment and the duty-free market,” the official said. “The hotel and leisure division will strengthen brand competitiveness based on its three-brand system to build a foundation for continued growth,” the official added.* This article has been translated by AI. 2026-04-24 17:01:10 -
South Korea, Japan Customs Chiefs Hold First Talks Under New Governments, Discuss RCEP The Korea Customs Service said April 24 that Commissioner Lee Myeong-gu met in Seoul on April 23 with Mitsuhiro Teraoka, director-general of the Customs and Tariff Bureau at Japan’s Ministry of Finance, for the 34th South Korea-Japan customs chiefs meeting. It was the first such meeting since new governments took office in both countries. With trade and exchanges expected to expand, the two sides discussed key issues and explored forward-looking cooperation, the agency said. They shared the view that joint efforts are needed to facilitate bilateral trade and respond to economic security threats as uncertainty grows in the global trade environment, including the spread of protectionism and rising supply-chain instability. The two sides discussed the smooth implementation of the Regional Comprehensive Economic Partnership, boosting cross-border e-commerce, strengthening cooperation to protect intellectual property rights, expanding economic security cooperation and promoting exchanges among regional customs offices. They agreed to begin technical talks on developing a system to exchange certificates of origin electronically for applying RCEP. To address a surge in e-commerce shipments, they also decided to hold regular meetings to discuss logistics facilitation and blocking illegal or harmful goods. They agreed to actively support the formal rollout of Japan’s maritime simplified customs clearance system, which has been piloted since October last year, and to expand information sharing between customs authorities to strengthen enforcement against goods that infringe intellectual property rights. “It is meaningful that we can resume discussions with Japan, one of Korea’s major trading partners, on customs and border management,” Lee said. “We will do our utmost to swiftly implement the agreed measures.”* This article has been translated by AI. 2026-04-24 17:00:19