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More Companies Reassess DEI Initiatives Amid Changing Landscape

by THEFUTURE.TEAM

January 11, 2025

In recent months, several major U.S. corporations have scaled back or restructured their Diversity, Equity, and Inclusion (DEI) programs. This shift reflects broader political, legal, and economic pressures reshaping the corporate approach to inclusivity. Companies like Meta, Amazon, Ford, Lowe’s, and Microsoft have all made significant changes, sparking widespread debate about the future of DEI in corporate America.

Meta and Amazon: Pivotal Changes

Meta: A Strategic Shift Amid Conservative Pressure

Meta, the parent company of Facebook and Instagram, recently announced the discontinuation of its DEI programs, including initiatives for hiring, training, and supplier selection. This decision aligns with other moves that suggest a shift toward accommodating conservative interests.

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In recent weeks, Meta has:

Ended its U.S. fact-checking program.
Appointed prominent Republican Joel Kaplan as its Chief Global Affairs Officer.
Elected UFC CEO Dana White, a Trump ally, to its board.

Additionally, Meta made a $1 million contribution to Trump’s inaugural fund, signalling a notable pivot from its historically strained relationship with the former president. In an internal memo, Janelle Gale, Meta’s Vice President of Human Resources, attributed these changes to a “changing legal and policy landscape,” referencing the 2023 U.S. Supreme Court ruling striking down affirmative action in university admissions.

Amazon: A Strategic Reassessment

Amazon is also scaling back its DEI programs, with plans to phase out “outdated” materials and initiatives by the end of 2024. In a December memo, the company cited the need to reassess representation and inclusion efforts amid evolving societal and legal dynamics. This move comes as conservative groups increase scrutiny of DEI initiatives, claiming they promote preferential treatment. The decision aligns with broader industry trends influenced by recent court rulings, including a U.S. appeals court decision invalidating Nasdaq’s board diversity requirements.

Other Companies At A Crossroads

Ford Motor Company

In August 2024, Ford CEO Jim Farley announced significant reductions to the company’s DEI programs. These included ending minority hiring quotas and removing diversity-related performance metrics from executive compensation. Ford cited the changing regulatory and political environment as the primary driver behind these decisions.

Lowe’s

The home improvement retailer Lowe’s has also scaled back its DEI initiatives following targeted campaigns from conservative groups. While the company has yet to detail its long-term strategy, its actions reflect growing pressures from external stakeholders critical of DEI policies.

Microsoft

In July 2024, Microsoft disbanded its dedicated DEI team, a move that drew criticism from employees and advocacy groups. While Microsoft maintained that diversity remains a “core value,” the decision was framed as part of a broader organisational restructuring. A former team leader expressed concerns about the company’s waning commitment to systemic change.

McDonald’s

The fast-food giant recently announced the elimination of aspirational representation quotas and the discontinuation of its Supply Chain’s Mutual Commitment to DEI pledge. Despite this, McDonald’s stressed that inclusion remains a core business value, with 30% of U.S. leaders from underrepresented groups and gender pay equity achieved. The company plans to continue its focus on inclusive hiring and community engagement. McDonald’s aims to maintain transparency through annual demographic reports on its board, employees, and suppliers. This shift follows similar actions by companies like Walmart and John Deere, who have reevaluated their DEI efforts.

Why Companies Are Scaling Back DEI Initiatives

Evolving Political And Regulatory Environment

Recent legal decisions, such as the Supreme Court’s 2023 ruling against affirmative action, have reshaped how companies approach DEI. These changes have introduced new challenges for organisations attempting to balance inclusivity with compliance.

Conservative Backlash

DEI programs have increasingly become targets for conservative groups, who argue that such initiatives promote unfair advantages. Legal threats and public criticism have pushed companies to adopt more cautious approaches.

Questions Around Effectiveness

Internally, some organisations have questioned the tangible outcomes of their DEI efforts. Amid mounting economic pressures, DEI budgets are often among the first to face cuts as companies refocus on profitability.

The rollback of DEI initiatives at companies like Meta, Amazon, Ford, Lowe’s, Microsoft, and others underscores a broader shift in corporate priorities. These changes reflect the intersection of legal challenges, political influences, and economic realities. While some argue that inclusivity is essential for innovation and long-term success, others see the current trend as a necessary recalibration. As the conversation around DEI continues to evolve, the future of corporate diversity efforts remains uncertain, but it is clear that the topic is far from resolved.

The Decline Of Smartwatches: A Turning Point In The Wearable Tech Industry

by THEFUTURE.TEAM

March 13, 2025

For the first time in history, the smartwatch market is facing a significant downturn. Shipments are expected to drop by 7% in 2024, marking a major shift in a segment that has been growing steadily for over a decade. A report by Counterpoint reveals that while Apple still holds the top spot, its dominance is being challenged by a surge from Chinese brands like Huawei, Xiaomi, and BBK. Even as the overall market struggles, some companies are thriving.

The Big Picture: Why Smartwatches Are Slowing Down

Apple’s flagship products have long been the driving force in the smartwatch market, but even the tech giant is feeling the pressure. The company’s shipments are projected to fall by 19% this year, though it will remain the market leader. Meanwhile, brands from China are capitalizing on the shift, with Huawei showing an impressive 35% growth in sales, driven by the booming domestic market and a broad range of offerings, including smartwatches for kids.

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Xiaomi, too, is experiencing remarkable success, with a staggering 135% increase in sales. In contrast, Samsung is seeing more modest growth, up 3%, thanks to its latest Galaxy Watch 7 and Galaxy Watch Ultra series.

While some companies are succeeding, the broader market is facing headwinds. The biggest factor behind the overall decline is the slowdown in India, where consumer demand for smartwatches has stagnated. The segment is suffering from a lack of innovation and fresh updates, leaving many consumers with little incentive to upgrade their devices. Add to that market saturation, and it’s clear why many users are content with their current models. The Chinese market, however, is bucking the trend, showing 6% growth in 2024.

A Glimpse Into The Future

Looking ahead, the smartwatch market may begin to recover in 2025, driven by the increasing integration of AI and advanced health monitoring tools. As these technologies evolve, the industry could see a resurgence in demand.

Huawei’s Remarkable Comeback

Huawei’s impressive performance in the smartwatch space signals a broader recovery for the company, which has been hit hard by US sanctions. Once the world’s largest smartphone maker, Huawei’s business was decimated when it lost access to advanced chips and Google’s Android operating system in 2019. But in China, Huawei has maintained its dominance, with its market share growing to 17% in 2024.

This resurgence was partly driven by the launch of the Mate 60 Pro, a smartphone featuring a 7-nanometer chip developed in China. Despite US sanctions, the device surprised many with its capabilities, a testament to China’s rising investment in domestic semiconductor production.

In February, Huawei also unveiled its Mate XT foldable smartphone, the world’s first device to fold in three directions. Running on HarmonyOS 4.2, Huawei’s proprietary operating system, the phone further demonstrates the company’s resilience and ability to innovate despite international challenges.

Huawei’s smartwatch offerings are also catching attention, particularly the Huawei Watch GT 5 Pro, which launched in September of last year. With a premium titanium alloy design, a high-resolution AMOLED display, and impressive health tracking features, the GT 5 Pro has become a standout in the market, available to both Android and iOS users.

A Brief History Of The Smartwatch Revolution

The smartwatch market has had its fair share of milestones, but the real breakthrough came in 2012 with the Pebble, a Kickstarter-funded project that raised over $10 million. Pebble introduced the world to smartphone integration, app downloads, and long battery life, becoming the first truly mass-market smartwatch.

In 2013, Samsung entered the game with the Galaxy Gear, marking its first attempt at wearable tech. But it was Apple’s entry in 2014 that truly set the industry on fire. The Apple Watch’s sleek design, integration with iOS, and emphasis on health and fitness catapulted it to the top of the market, establishing a standard that many other brands would try to follow.

By 2021, the smartwatch industry had grown to over $30 billion in revenue, with annual growth reaching 20%. Yet now, it finds itself at a crossroads, with innovation stagnating and market saturation taking a toll.