Good morning.
President Joe Biden and former President Donald Trump faced off on the debate stage last night for the first time since 2020. For both men, it was a chance to change the narrative on their leadership challenges, calming concerns about two key questions: Could they serve another four years? Are they focused on the right priorities?
Neither likely made traction in quieting their critics, but the format proved beneficial to Trump. The conditions imposed by CNN—no audience and enforceable time limits—made it hard for the former president to interrupt, which may have helped him deliver a more disciplined performance than in previous debates. Biden didn’t come across as well, looking frail and unfocused at several key points.
For most Americans, the primary concern about both contenders comes down to judgement. They worry about the psychological state of Trump and cognitive state of Biden. Deficiencies on either front would obviously be a problem for the nation’s commander-in-chief. When Trump tossed out insults or falsehoods, he reinforced what friends and foes have come to expect. But Biden’s stumbles were likely more of a shock, from the mumbling to mistakenly saying “we finally beat Medicare.”
Where one stands on the policy front is obviously personal, which is why everyone wants clear answers on their core priorities. Whether the viewers got what they wanted is also personal. I did not. I would have liked to hear their vision for how to leverage technology in ways that drive inclusive growth, debate about regulations and the role of government, more clarity on how they define “perfect water” or “corporate greed.”
Instead, I was reminded of another key responsibility for every leader: replacing yourself. One reason succession plans fail is that the current leader doesn’t want to leave. Potential challengers step aside. Colleagues become impotent, making decisions that appease the boss at the expense of the organization. Inertia can take over and people become less engaged.
In taunting each other about their age and prowess in sport, Trump and Biden reminded viewers that they’re old: 78 and 81, respectively. Are they strong enough to carry their own clubs in a game of high-stakes golf, as each challenged the other at the end? I don’t know. With a range of new threats and opportunities highlighting the need for strong leadership, last night’s debate made me wonder about the party apparatus that left us with this choice.
More news below.
Diane Brady
diane.brady@fortune.com
Follow on LinkedIn
TOP NEWS
EY keeps itself together
EY global CEO Janet Truncale is ruling out splitting up the accounting firm in two. Truncale’s predecessor, Carmine Di Sibio, tried to spin off EY’s consulting and tax advisory business, only for the plan to collapse amid opposition from EY’s U.S. arm. Truncale wrote in a memo on Thursday that she will instead reduce the number of roles overseeing EY member firms in Europe, Asia and the Americas. Financial Times
China’s AI industry gets squeezed
China’s AI developers are having to ration use of their popular AI models due to a lack of computing capacity. For example, Chinese AI startup Moonshot AI is limiting use of its ChatGPT-like Kimi chatbot, citing insufficient computing power. U.S. export controls barring the sale of advanced AI chips, like those from Nvidia, to China, make it difficult for the country’s AI sector to get the power it needs to compete. The Information
Korea’s next cultural export
Shares in Webtoon, a digital comics platform owned by South Korean internet giant Naver, rose 9.5% in their first day of trading on Thursday. That price values the company at $2.9 billion. “Webtoons” from South Korea are the Asian country’s latest cultural export; Webtoon executives say they’ll use proceeds from the IPO, which raised $315 million, to push for more global expansion. Bloomberg
AROUND THE WATERCOOLER
Away CEO Jen Rubio expands luggage brand into soft-shell bags and puts IPO on the back burner by Alicia Adamczyk and Joseph Abrams
Telegram has become the go-to app for heroin, guns, and everything illegal. Can crypto save it? by Niamh Rowe
Ask Andy: How much should startup founders pay themselves? by Andy Dunn
Slack CEO welcomes EU’s Microsoft Teams probe that could see the tech giant slapped with a $21 billion fine by Ryan Hogg
This edition of CEO Daily was curated by Nicholas Gordon.
