Business

How companies can build a winning 'Deep Tech' strategy

In 1911 a German scientist, Friedrich Bergius, filed the worlds first patent on a process to produce steel using hydrogen. But it wasnt until 1973 that Nippon Steel could design a steel-making facility based on the process. Then, in 2016, the Swedish steelmaker SSAB started working on the deep tech, teaming up with iron-ore leader LKAB and energy giant Vattenfall. Five years later, they succeeded in manufacturing the closest thing the world has seen to fossil-free steel, using green hydrogen to make steel with (almost) no carbon emissions. SSABs Hydrogen Breakthrough Ironmaking Technology facility, which emits mostly water vapor, will attain commercial production in three years timewhich will mark the fruition of yet another deep tech.

As new sciences evolve, technologies mature, and customer demands are changing, deep tech is increasingly enabling business to develop radically new products and processes. We use the term deep tech to describe the problem-driven approach to tackling huge challenges by combining new physical technologies, such as advanced material sciences, with sophisticated digital technologies, such as A.I. and soon, quantum computing. The timing is fortuitous; several global crisessuch as climate change, disease, and malnutritionare escalating, so business has to develop radically different solutions to tackle them quickly. As a result, these deep tech-driven innovations will spawn new value-creation opportunities. It begs the question: Do you have a deep tech strategy?

Most deep technologies started developing a long time ago, but they will make an impactsooner or later. As innovation quickens around the deep technologies that are now becoming accessible, companies will develop new offerings faster. Some technologies, such as synthetic biology and generative A.I., are already disrupting business, while others, such as nuclear fusion and quantum computing, will come to market only in the next decade.

Capturing business opportunities with deep tech requires the creation of a strategy. Many of the big challenges the world faces are industry-specific, so a given strategy must take that factor into account as well as company-specific ambitions and capabilities. In a recent MIT SMR article, we unveiled four archetypal deep-tech strategies that incumbents can deploy. Independent of the strategy, four requirements are critical to ensure that companies win with deep tech. They are:

Ensure deep tech leadership

Companies must start by creating a discussion and decision-making process for deep tech at the top management level, which will help figure out the actions to take and the responsibilities for their execution. The members shouldnt be just CXOs; heads of functions such as R&D, digital, strategy, and sustainability as well as growth officers all have key roles to play in the process.

The deep-tech team must drive action on several fronts, from scanning for emerging technologies to managing partners, suppliers, and consumers. It must manage the transition from old to new technologies without losing revenues or customers. The team must set up mechanisms by which the organization can share its experiences and learn from those of partners, companies in adjacent industries, and rivals. Leaders must create an environment that offers creative liberty to backcastthat is, to identify the worlds biggest and most pressing problems, define a desirable future in which those issues have been resolved, and work backwards to identify solutions. This may involve significant changes to the existing business.

Deep tech innovations arise when technological maturity, consumer needs, and business value intersect. Companies should therefore focus on identifying the connections between emerging technologies, and their possible applications, in the industrys value chain as well as across sectors. Assessing the scientific advances that could become available to address their most critical challenges will allow companies to make decisions about whether to develop promising technologies in-house, do so with partners, or use M&A to acquire them quickly.

Done right, constant technology scanning will lay the basis for growing partnerships over time. Recognizing that a deep tech like syn-bio could revolutionize the agrochemicals industry, for instance, Bayer set up a joint venture with the start-up Gingko Bioworks back in 2017. As technologies evolved and Gingko grew, Bayer sold the joint venture, and its syn-bio facilities, to Gingko last October. To replace the venture, Bayer struck a long-term partnership that will make it among the first to take Gingkos future syn-bio innovations to market.

Rethink ecosystems

As companies come to grips with deep tech, they must rethink how they will engage with ecosystems. While the new technologies will drive major changes in the value chain, its difficult to simple swap one link for another, so companies will have to deploy new structures such as technological collaborations, partnerships, and joint ventures.

Externally, companies will have to align suppliers, distributors, and other partners with their new deep tech-based strategies, incentivizing some to invest in the new technologies and operating models. They must also figure out ways of collaborating in new ways with critical suppliers and distributors rather than losing them to traditional rivals.

Teaming up with a few market leaders in adjacent or related industries will enable incumbents to stress-test technologies and applications. For instance, several apparel companiessuch as Adidas, Chanel, Inditex, Levi Strauss, Patagonia, and Stella McCartneyhave signed up with Fashion for Good, an initiative to reimagine fashion. Launched in March 2017, it brings together brands, retailers, suppliers, innovators, and funders to change the apparel industry through conversation and collaboration. Because Fashion for Good funds and nurtures early-stage ideas, the leaders have come together to scale its innovations and ensure widespread adoption.

Tap deep tech talent pools

Deep tech usually requires an extended research phase and demands a large amount of specialized talent. Thats why companies need to hire talent specifically for such ventures, especially for R&D and customer-facing teams. In addition to upskilling existing teams and attracting best-in-class talent, smart companies will recruit from outside their industries.

The more ambitious will try to create talent pools, through incubators, universities, and R&D centers, in emerging application areas. For example, in December 2019, consumer goods giant Unilever opened a $100 million Foods Innovation Center, Hive, on the Wageningen University campus in the Netherlands. The location is no accident; nicknamed Food Valley, Wageningen is the epicenter of several agri-food technology breakthroughs made by the regions start-ups, science institutes, NGOs, and companies. In addition to driving R&D and catalyzing collaboration, the Center is helping Unilever attract the kind, and amount, of talent it needs.

Leverage policy

Companies would do well to use policies and regulations to provide a fillip to their deep tech efforts. Not only do regulations influence the development of novel technologies, but they also increase the demand for new products and processes.

Many new laws have provided financial support for new technologies. For instance, to create the hydrogen economy, the EU has targeted the production and import of 20 mtpa of green hydrogen by 2030 under the Repower EU policy framework, while in the U.S., last years Infrastructure Investment and Jobs Act provided around $10 billion of incentives for green hydrogen.

Companies should explore the regulatory landscape to identify how deep tech can be supported by government policies such as subsidies and tax credits. For instance, the US Inflation Reduction Act has provided $370 billion of incentives to reduce carbon emissions including financial support for carbon dioxide capture, utilization and storage (CCUS, for short). In addition to higher tax credits, the IRA has reduced the thresholds that facilities must reach to qualify for them and even allowed companies to sell the credits to third parties. Savvy companies are bound to use such tax policies to kickstart their efforts in the U.S. to reduce carbon emissions.

A deep tech strategy will be complete only when its accompanied by a plan to manage the transition from the old to the new. At one end of the spectrum, conservative incumbents may choose to screen the landscape for a few promising technologies and limit their initial investments. They should look for opportunities to collaborate so they can share costs, especially if large investments are necessary. At the other end, aggressive leaders will pool investments to commercialize innovations at scale quickly. If they dont have sufficient funds, companies can develop niches for new solutions in the medium term while keeping eye open for opportunities to expand. Either way, businesses must learn to develop strategies that have deep tech at their core.

Read other Fortune columns by François Candelon.

François Candelon is a managing director and senior partner in the Paris office of Boston Consulting Groupand the global director of the BCG Henderson Institute (BHI).

Max Männig is a project leader in BCGs Düsseldorf office and a BHI ambassador.

Vinit Patel is a project leader in BCGs Mumbai office and a former BHI ambassador.

John Paschkewitz is a partner and associate director in BCGs Washington, D.C. office and core member of BCG Xs Deep Tech team.

Some of the companies featured in this column are past or current clients of BCG.

Senate passes Biden-McCarthy debt ceiling deal

Fending off a U.S. default, the Senate gave final approval late Thursday to a debt ceiling and budget cuts package, grinding into the night to wrap up work on the bipartisan deal and send it to President Joe Bidens desk to become law before the fast-approaching deadline.

The compromise package negotiated between Biden and House Speaker Kevin McCarthy leaves neither Republicans nor Democrats fully pleased with the outcome. But the result, after weeks of hard-fought budget negotiations, shelves the volatile debt ceiling issue that risked upending the U.S. and global economy until 2025 after the next presidential election.

Approval in the Senate on a bipartisan vote, 63-36, somewhat reflected the overwhelming House tally the day before, relying on centrists in both parties to pull the Biden-McCarthy package to passage though Democrats led the tally in both chambers.

Senate Majority Leader Chuck Schumer said ahead of voting that the bills passage means America can breathe a sigh of relief.

Afterward he said, Weve saved the country from the scourge of default.

Biden said in a statement following passage that senators from both parties demonstrated once more that America is a nation that pays its bills and meets its obligations and always will be.

He said he would sign the bill into law as soon as possible. No one gets everything they want in a negotiation, but make no mistake: this bipartisan agreement is a big win for our economy and the American people, the president said. The White House said he would address the nation about the matter at 7 p.m. EDT Friday.

Fast action was vital if Washington hoped to meet next Mondays deadline, when Treasury has said the U.S. will start running short of cash to pay its bills, risking a devastating default. Raising the nations debt limit, now $31.4 trillion, would ensure Treasury could borrow to pay already incurred U.S. debts.

In the end, the debt ceiling showdown was a familiar high-stakes battle in Congress, a fight taken on by McCarthy and powered by a hard-right House Republican majority confronting the Democratic president with a new era of divided government in Washington.

Refusing a once routine vote to allow a the nations debt limit to be lifted without concessions, McCarthy brought Bidens White House to the negotiating table to strike an agreement that forces spending cutbacks aimed at curbing the nations deficits.

Overall, the 99-page bill restricts spending for the next two years, suspends the debt ceiling into January 2025 and changes some policies, including imposing new work requirements for older Americans receiving food aid and greenlighting an Appalachian natural gas line that many Democrats oppose.

It bolsters funds for defense and veterans, cuts back new money for Internal Revenue Service agents and rejects Bidens call to roll back Trump-era tax breaks on corporations and the wealthy to help cover the nations deficits. It imposes automatic 1% cuts if Congress fails approve its annual spending bills.

After the House overwhelmingly approved the package late Wednesday, Senate Republican leader Mitch McConnell signaled he too wanted to waste no time ensuring it became law.

Touting its budget cuts, McConnell said Thursday, The Senate has a chance to make that important progress a reality.

Having remained largely on the sidelines during much of the Biden-McCarthy negotiations, several senators insisted on debate over their ideas to reshape the package. But making any changes at this stage would almost certainly derail the compromise and none were approved.

Instead, senators dragged through rounds of voting late into the night rejecting the various amendments, but making their preferences clear. Conservative Republican senators wanted to include further cut spending, while Democratic Sen. Tim Kaine of Virginia sought to remove the Mountain Valley Pipeline approval.

The energy pipeline is important to Sen. Joe Manchin, D-W.Va., and he defended the development running through his state, saying the country cannot run without the power of gas, coal, wind and all available energy sources.

But, offering an amendment to strip the pipeline from the package, Kaine argued it would not be fair for Congress to step into a controversial project that he said would also course through his state and scoop up lands in Appalachia that have been in families for generations.

Defense hawks led by Sen. Lindsey Graham of South Carolina complained strongly that military spending, though boosted in the deal, was not enough to keep pace with inflation particularly as they eye supplemental spending that will be needed this summer to support Ukraine against the war waged by Russian President Vladimir Putin.

Putins invasion is a defining moment of the 21st century, Graham argued from the Senate floor. What the House did is wrong.

They secured an agreement from Schumer, which he read on the floor, stating that the debt ceiling deal does nothing to limit the Senates ability to approve other emergency supplemental funds for national security, including for Ukraine, or for disaster relief and other issues of national importance.

All told, most of the Democratic senators voted for the package, while most of the Republicans opposed it. The tally was 46 Democrats and 17 Republicans in favor; 31 Republicans along with four Democrats and one independent who caucuses with the Democrats opposed.

For weeks negotiators labored late into the night to strike the deal with the White House, and for days McCarthy had worked to build support among skeptics.

Tensions had run high in the House the night before as hard-right Republicans refused the deal. Ominously, the conservatives warned of possibly trying to oust McCarthy over the issue.

But Biden and McCarthy assembled a bipartisan coalition, with Democrats ensuring passage on a robust 314-117 vote. All told, 71 House Republicans broke with McCarthy to reject the deal.

We did pretty dang good, McCarthy, R-Calif., said afterward.

As for discontent from Republicans who said the spending restrictions did not go far enough, McCarthy said it was only a first step.

The White House immediately turned its attention to the Senate, its top staff phoning individual senators.

Democrats also had complaints, decrying the new work requirements for older Americans, those 50-54, in the food aid program, the changes to the landmark National Environmental Policy Act and approval of the controversial Mountain Valley Pipeline natural gas project they argue is unhelpful in fighting climate change.

The nonpartisan Congressional Budget Office said the spending restrictions in the package would reduce deficits by $1.5 trillion over the decade, a top goal for the Republicans trying to curb the debt load.

In a surprise that complicated Republicans support, however, the CBO said their drive to impose work requirements on older Americans receiving food stamps would end up boosting spending by $2.1 billion over the time period. Thats because the final deal exempts veterans and homeless people, expanding the food stamp rolls by 78,000 people monthly, the CBO said.

Barbara Corcoran says its a good time to buy because home prices are going to explode when mortgage rates drop

Appearing as a guest on Good Morning America this week, Barbara Corcoran answered several questions from viewers, ranging from when the right time to buy a home is to how to win a bidding war. As for the former, Corcoran said now is the time to buy.

Its a good time to buy because the minute interest rates go down, everybodys waiting for them to go down even by a point, and when they do, theyre going to come rushing back in the market, Corcoran said. Prices are going to explode, and youre going to be paying more for the same house. And you can always refinance, remember, when and if interest rates come down.

Its not Corcorans first time advising against even attempting to time the market. Previously, on the Chicks in the Office podcast, Corcoran said to forget about the timing, again stressing that now is always the time to buy.

The self-proclaimed NYC Real Estate Queen, founded the Corcoran Group with a $1,000 loan in 1973, which she famously turned into $66 million, after selling her business in 2001. Shell always be a powerhouse within the real estate industry, but now most people know her as the spunky, blunt, and well-dressed shark on ABCs Shark Tank.

Another viewer asked Corcoran how to win bidding wars, saying that he and his fiancee have been looking for a house but have been out bid every time theyve found one they like. Corcoran said the key is to look like the best deal in town, while playing on the sellers emotions.

You have to be prequalified for your mortgage so you can go in there as an all cash deal. Im an all cash deal, its not contingent, I already got my mortgageyou want that power behind you, Corcoran said. You also want to go in and realize its never just a financial deal. Get a nice piece of stationery and handwrite a note to that owner, and tell them how much you love the house. It makes a difference because people like to sell homes to people who love their house.

As for the different types of mortgage loans that buyers can choose from, Corcoran said it depends on how long youre going to live in that home. If youre going to live there a long time, or at least except you are, Corcoran said a conventional rate mortgage at the shortest term you can afford, is the best option. On the other hand, if youre only going to be living there for a short period of time, likely under five years, she said youll want to get an adjustable rate mortgage because its cheaper.

When Corcoran was then asked if theres any way to get relief as someone whos house poor, a term used to describe someone thats spending more than 30% of their income on housing, she answered: you dont get relief from that. In coastal cities, Corcoran said, people are spending more than 40% of their income on housing. But theres a light at the end of the tunnel, in her viewpeople are forced to save by paying off their mortgage.

When it comes time to retire, for most of us, its the only money we have to retire on, Corcoran said.

Now if you want to make the most out of your home purchase, she said youll always get the best return in a high-traffic area. And if you want to make a killing, buy a home in an up and coming area. Corcorans formula for doing so? Follow the creative community and see where theyre living, and check out the nightlife.

And of course, a Corcoran Q&A couldnt be complete without touching on rentals and renting. As for rent prices, Corcoran said theyre going to continue to go up, and there wont be any relief. When interest rates go up and chase people into the rental market, rents generally go up. But when interest rates go down, that doesnt mean rent follows. Corcoran said shes never met a landlord that brings down their rent, ever. And, most of us know how she feels about rentingthat its a no-win game.

This is the exact temperature to help you fall asleep, according to experts

Too hot. Too cold. Just right. If the number on the thermostat has ever led to a squabble with a roommate, partner or family member, then keep reading. According to experts, the best temperature for sleeping is between 68 and 72 degrees.

Some sources recommend an even colder room; however, I typically recommend temperatures at least 2-5 degrees cooler than a comfortable temperature in the house during the day, says Dr. Nilong Vyas, founder and owner of Sleepless in NOLA, a sleep consulting service, and medical review expert at SleepFoundation.org.

For example, if you typically keep your home at 78 degrees during the day, then dropping the nighttime temperature to 68 will likely feel too cold and diminish the quality of your sleep. But if your daytime temperature is closer to 68, then cooling your house to 65 degrees is more reasonable, Vyas suggests.

Dont get caught up on the exact temperature; ensure it is cooler than comfortable temperatures during the day, she says.

Why bedtime temperature is important

Your sleep cycle is regulated by your bodys circadian rhythm, which receives its cures from a number of factors, including light exposure, exercise and temperature. Whereas your body temperature is generally around 98.6, it can dip by about two degrees throughout the night, according to research. That drop in temperature also coincides with the release of melatonin, the hormone responsible for sleep.

Thermoreception is a sensory process wherein the body is able to detect heat in both the body and its environment. During sleep, the skin experiences an increased amount of blood flow which can lead to a warming sensation, explains Vyas. Physiologically, increased blood flow to the skin prevents heat loss and potential hypothermia when humans were living without shelter. However, now that we are not sleeping in the wilderness and have bedding and warm clothes, the physiological nature of warming the skin during sleep is unnecessary.

If your bedroom is too warm, that can prevent your body from thermoregulating itself and it can leave you feeling fatigued and restlessthus enabling you from the recommended seven to nine hours of sleep for adults under 65.

Other ways to keep your room cool (and get better rest)

If youre cautious about running air conditioning all night, there are other ways to regulate your rooms temperature:

Close your blinds during the day to keep your room cool
Open windows to increase ventilation
Wear light clothing to bed
Invest in a cooling mattress, bedding and pillows
Use a dehumidifier to reduce moisture in the air

Healthy sleep hygiene habits, such as keeping a regular bedtime and avoiding caffeine, exercise and alcohol before bed, can also promote optimal rest.

Lower temperatures facilitate cooling down of the core body temperature thereby facilitating melatonin release and may help with less interrupted sleep, says Dr. Abhinav Singh, medical director of the Indiana Sleep Center and medical review expert at SleepFoundation.org. Anything under 68 degrees overall is ideal for sleep. If you get too hot in the middle of the night, reduce layers of clothing or sheets, turn on fans, or drink a little cold water.

Being a morning person benefits your brain and body. 5 ways to become oneeven if you're a night owl

You may have received the icebreaker question: are you an early bird or a night owl?

In fact, whether you rise early or drift late is determined, in part, by your chronotypeor the inclination toward sleeping at a certain time influenced by factors such as genetics and age.

Sleep is very individualized, says Dr. Raj Dasgupta, a pulmonary, critical care, and sleep medicine specialist at the University of Southern California. There are individuals who have a genetic predisposition of being a night owl or a morning lark.

The typical night owls brain and body is geared toward being more alert and productive in the evening, often having a more difficult time rising earlier in the morning.

However, a myriad of other factors also influence whether or not someone identifies as a morning bird or night owl during their life, Dasgupta says, including someones work and home habits and their eating or exercise regimen.

So, a night owl cant just easily flip a switch to become a morning person, says Jessica Yu, Ph.D., a clinical psychologist and senior director of patient experience at hims & hers. They can, however, work towards new habits and routines over time that can help them get up and active earlier in the day.

How being an early bird benefits the brain and body

Research suggests morning people may, in fact, catch the worm, as getting up early is associated with increased productivity, which can lead to feeling more successful doing the workday. An early start is also associated with improved mental health and life satisfaction and a decreased risk of diabetes and obesity.

I believe in my heart that we all could benefit by being a little bit of a morning lark, Dasgupta tells Fortune. Even a range of successful CEOs like Apples Tim Cook have embraced the early morning lifestyle.

Rising earlier can also allow people enjoy their morning. Making a nutritious breakfast gives people sustained energy throughout the day, and one study suggests working out before noon is associated with a lower risk of heart problems and can improve focus. Getting up early can also help people start their day calmly and proactively without the chaotic rush out the doorwhich often triggers stress hormones.

Its like always feeling like you are behind in a race you cant possibly win, which isnt useful for motivation or positivity, Dr. Nikole Benders-Hadi, a psychiatrist based in New York and the medical director of behavioral health at Included Health, previously told Fortune about the rushed workday morning.

But successfully turning a night owl into a morning bird does not happen overnight.

It takes a long time to finally get the wake time and bedtime you want, Dasgupta says. Dont be disappointed if you take a step back.

For those who aim to get up earlier, there are adjustments you can make.

Here are five steps to becoming a morning person

1. Make incremental changes

You dont need to wake up at 3:45 a.m. like Tim Cook to be a morning person.

The best way to sustain new habits is to start slow. Instead of trying to jump out of bed two hours earlier than usual, push your alarm up by 15 to 20 minutes and see how you feel, says Rosie Acosta, a meditation and mindfulness teacher at Headspace, who has coached people on how to become morning people.

Small victories create new habits, she says.

2. Give yourself an intention and incentive

The intention behind why youre making a change is the key to long-term success and adherence. Ask yourself, Why do I want to get up earlier in the morning? and What do I hope to gain by changing my schedule? Acosta often asks her students how it will make them happier and more fulfilled. Hold onto this motive.

For example, maybe you want to become a morning person because you want to enjoy the calm and quiet before the house wakes up and the day feels like its running away from you, Yu says. If so, use the extra morning time to make yourself a nice cup of coffee, read through the days news before diving into things, or simply sit in silence.

Even hyping yourself up about what you will get to do with your extra time in the morning can feel motivating.

Find activities that resonate with you and make waking up more enjoyable, Acoasta says.

While getting yourself excited for the morning can help you sustain your new habit, being consistent about your routine is equally important.

3. Master the morning routine

Starting the day off strong can help you love the morning bird mentality, like getting sunlight first thing in the morning which helps wake up the brain and body.

Starting the day with calming activities like meditation or enjoying a nourishing breakfast promotes focus, productivity, and sets a positive tone for the rest of the day, Acosta says. The stillness of the morning creates an opportunity for mindfulness, clarity, and personal growth, not that it doesnt happen in the evening, its just a better way to begin the day.

And reducing the choice-intensive tasks in the morning can help you maximize your new-found time.

Think about reorganizing your morning routine so you have less to do, for example. Lay out the clothes you plan to wear the night before, Benders-Hadi previously told Fortune. Prep your breakfast and lunch meals to-go ahead of time, and do the same thing for any family members you may be caring for.

4. Have a consistent bedtime and wake up

Once you begin incrementally adjusting your sleep and wake schedule, stay as consistent as possible. This ensures you get sleepy around the same time each night, experts say, which helps you fall and stay asleep.

Having a bedtime routine also ensures you feel well-rested to wake up earlier in the morning. If you happen to go to bed later one night, dont panic. A setback is okay, but its important to jump back into your routine.

5. Limit alcohol and caffeine

Using alcohol to help you sleep or extra caffeine to wake up is not sustainable, Dasgupta says. While alcohol may help people fall asleep, it does not promote sustained sleep throughout the night.

And relying on caffeine to wake you up each day may help you stay focused in the short-term but wont replace a strong morning and bedtime routine.

Remember, consistency and self-compassion are key. With dedication and patience, you can successfully transform into a morning person and embrace the beauty of early mornings, Acosta says.

Apples new Goldman Sachs savings accounts excited savers with high interest rates

Apple launched a savings account program from Goldman Sachs for its Apple Card users in April, promising high yield, no fees and ease of use from the Wallet.

But now, some customers are facing trouble getting their money out of those accounts, the Wall Street Journal reported Thursday.

Some users waited several weeks for money from their Apple accounts to be transferred to a different account. (Bank transfers typically only take a few days.) Customer service agents at Goldman Sachsthe bank that manages the Apple Savings account depositsreportedly told one customer to wait a few more days each time they were contacted. In some cases, the agents offered customers inconsistent advice on what to do and in others, customers funds disappeared from their Apple accounts without showing up at their destination.

The customer response to the new savings account for Apple Card users has been excellent and beyond our expectations, Goldman Sachs told the Journal in a statement. While the vast majority of customers see no delays in transferring their funds, in a limited number of cases, a user may experience a delayed transfer due to processes in place designed to help protect their accounts.

Apple and Goldman Sachs did not immediately return Fortunes request for comment.

Pulling back from Main Street

Goldman Sachs is retreating from its Main Street offerings. CEO David Solomon spent years trying to bolster the companys consumer banking division. Yet business never picked up, costing the investment bank billions of dollars and pulling down its earnings.

In February, Solomon said the bank was considering strategic alternatives for its consumer platforms business, which includes the Apple Card. The division doesnt include Goldmans consumer bank Marcus, which offers its own savings accounts. During the banks earnings call in April, Solomon said he wasnt concerned about Apples saving account program overpowering Marcus offerings, but he was keeping an eye on cannibalization nonetheless.

When Apple first announced its expansion into banking services in October, users were excited as the program offered cashbacks and a high yield on the Savings account for certain Apple card holders. The savings account offers a 4.15% yield ratefar higher than the average 0.25% for savings accounts. The account linked to the Apple Card also had no fees, minimum deposits or balance requirementsa big perk for customers who are typically subject to some of these conditions.

Apple Card users will be able to easily set up and manage Savings directly in their Apple Card in Wallet, the iPhone-maker wrote in a statement announcing the program last year. Users can also withdraw funds at any time by transferring them to a linked bank account or to their Apple Cash card, with no fees.

Apples foray into everyday banking is part of a larger effort by the tech titan to offer in-house financial services to keep users within its ecosystem. Earlier this year, Apple launched an interest-free buy now, pay later program, also facilitated by Goldman Sachs, where customers can pay for certain expenses in installments without incurring interest.

But the financial services market could be a tough one for Apple to crack. The company faced delays in rolling out its BNPL and savings account programs. Other financial products like the Apple Card have not expanded internationally yet, Bloomberg reported, despite being around for three years.

Still, theres a lot of opportunity for Apple if it keeps users in its ecosystem. Apple Pay transaction volumes have been on an upward trajectory, with the 2022 holiday season seeing a 62% uptick compared to a year earlier, according to Deutsche Bank data cited by the Journal.

New details about Jeffrey Epsteins jail suicide and are revealed including his dislike of his orange jumpsuit and calling himself a 'coward'

Two weeks before ending his life, Jeffrey Epstein sat in the corner of his Manhattan jail cell with his hands over his ears, desperate to muffle the sound of a toilet that wouldnt stop running.

Epstein was agitated and unable to sleep, jail officials observed in records newly obtained by The Associated Press. He called himself a coward and complained he was struggling to adapt to life behind bars following his July 2019 arrest on federal sex trafficking and conspiracy charges his life of luxury reduced to a concrete and steel cage.

The disgraced financier was under psychological observation at the time for a suicide attempt just days earlier that left his neck bruised and scraped. Yet, even after a 31-hour stint on suicide watch, Epstein insisted he wasnt suicidal, telling a jail psychologist he had a wonderful life and would be crazy to end it.

On Aug. 10, 2019, Epstein was dead.

Nearly four years later, the AP has obtained more than 4,000 pages of documents related to Epsteins death from the federal Bureau of Prisons under the Freedom of Information Act. They include a detailed psychological reconstruction of the events leading to Epsteins suicide, as well as his health history, internal agency reports, emails and memos and other records.

Taken together, the documents the AP obtained Thursday provide the most complete accounting to date of Epsteins detention and death, and its chaotic aftermath. The records help to dispel the many conspiracy theories surrounding Epsteins suicide, underscoring how fundamental failings at the Bureau of Prisons including severe staffing shortages and employees cutting corners contributed to Epsteins death.

They shed new light on the federal prison agencys muddled response after Epstein was found unresponsive in his cell at the now-shuttered Metropolitan Correctional Center in New York City.

In one email, a prosecutor involved in Epsteins criminal case complained about a lack of information from the Bureau of Prisons in the critical hours after his death, writing that it was frankly unbelievable that the agency was issuing public press releases before telling us basic information so that we can relay it to his attorneys who can relay it to his family.

In another email, a high-ranking Bureau of Prisons official made a spurious suggestion to the agencys director that news reporters must have been paying jail employees for information about Epsteins death because they were reporting details of the agencys failings impugning the ethics of journalists and the agencys own workers.

The documents also provide a fresh window into Epsteins behavior during his 36 days in jail, including his previously unreported attempt to connect by mail with another high-profile pedophile: Larry Nassar, the U.S. gymnastics team doctor convicted of sexually abusing scores of athletes.

Epsteins letter to Nassar was found returned to sender in the jails mail room weeks after Epsteins death. It appeared he mailed it out and it was returned back to him, the investigator who found the letter wrote told a prison official by email. I am not sure if I should open it or should we hand it over to anyone?

The letter itself was not included among the documents turned over to the AP.

The night before Epsteins death, he excused himself from a meeting with his lawyers to make a telephone call to his family. According to a memo from a unit manager, Epstein told a jail employee that he was calling his mother, whod been dead for 15 years at that point.

Epsteins death put increased scrutiny on the Bureau of Prisons and spurred an AP investigation that has uncovered deep, previously unreported problems within the agency, the Justice Departments largest with more than 30,000 employees, 158,000 inmates and an annual budget of about $8 billion.

AP reporting has revealed rampant sexual abuse and other criminal conduct by staff, as well as dozens of escapes, prisoner deaths and severe staffing shortages that have hampered responses to emergencies.

An internal memo, undated but sent after Epsteins death, attributed problems at the now-shuttered jail to seriously reduced staffing levels, improper or lack of training, and follow up and oversight. The memo also detailed steps the Bureau of Prisons has taken to remedy lapses Epsteins suicide exposed, including requiring supervisors to review surveillance video to ensure officers made required cell checks.

The workers tasked with guarding Epstein the night he killed himself, Tova Noel and Michael Thomas, were charged with lying on prison records to make it seem as though they had made their required checks before Epstein was found in his cell.

Prosecutors alleged they were sitting at their desks just 15 feet (4.6 meters) from Epsteins cell, shopped online for furniture and motorcycles, and walked around the units common area instead of making required rounds every 30 minutes.

During one two-hour period, both appeared to have been asleep, according to their indictment. Noel and Thomas admitted to falsifying the log entries but avoided prison time under a deal with federal prosecutors. Copies of some of those logs were included among the documents released Thursday, with the guards signatures redacted.

Epstein arrived at the Metropolitan Correctional Center on July 6, 2019. He spent 22 hours in the jails general population before officials moved him to the special housing unit due to the significant increase in media coverage and awareness of his notoriety among the inmate population, according to the psychological reconstruction of his death.

Epstein later said he was upset about having to wear an orange jumpsuit provided to inmates in the special housing unit and complained about being treated like he was a bad guy despite being well behaved behind bars. He requested a brown uniform for his near-daily visits with his lawyers.

During an initial health screening, the 66-year-old said that he had 10-plus female sexual partners within the previous five years. Medical records showed he was suffering from sleep apnea, constipation, hypertension, lower back pain and prediabetes and had been previously treated for chlamydia.

Epstein did make some attempts to adapt to his jailhouse surroundings, the records show. He signed up for a Kosher meal and told prison officials, through his lawyer, that he wanted permission to exercise outside. Two days before he was found dead, Epstein bought $73.85 worth of items from the prison commissary, including an AM/FM radio and headphones. He had $566 left in his account when he died.

Epsteins outlook worsened when a judge denied him bail on July 18, 2019 raising the prospect that hed remain locked up until trial and, possibly longer. If convicted, he faced up to 45 years prison. Four days later, Epstein was found on the floor of his cell with a strip of bedsheet around his neck.

Epstein survived. His injuries didnt require going to the hospital. He was placed on suicide watch and, later, psychiatric observation. Jail officers noted in logs that they observed him, sitting at the edge of the bed, lost in thought, and sitting with his head against the wall.

Epstein expressed frustration with the noise of the jail and his lack of sleep. His first few weeks at the Metropolitan Correctional Center, Epstein didnt have his sleep apnea breathing apparatus he used. Then, the toilet in his cell started acting up.

He was still left in the same cell with a broken toilet, the jails chief psychologist wrote in a email the next day. Please move him to the cell next door when he returns from legal as the toilet still does not work.

The day before Epstein ended his life, a federal judge unsealed about 2,000 pages of documents in a sexual abuse lawsuit against him. That development, prison officials observed, further eroded Epsteins previous elevated status.

That, combined with a lack of significant interpersonal connections and the idea of potentially spending his life in prison were likely factors contributing to Mr. Epsteins suicide, officials wrote.