Axios

Netflix is in the midst of a transformation that sees it cutting jobs, real-estate and other costs while investing in a new ad-supported tier that could launch by as soon as the end of the year. What's unclear is whether those ads will offset the massive costs to get there.

Driving the news: A new Bank of America research report out today outlines the trade-off streaming platforms have to make as they incur new costs to build ad-supported platforms.

Companies are rolling the dice on new return-to-office mandates.

Why it matters: There is very little room for error. People still have varying risk tolerances for COVID-19. Plus leaders risk alienating workers who are already increasingly disengaged and “quiet quitting.”

The Federal Reserve's top bank cop Michael Barr on Wednesday hinted that more stringent requirements for Wall Street and tougher oversight of cryptocurrency activity could be ahead, in his first public speech since being confirmed to the post.

Why it matters: Barr is the nation's most powerful bank regulator whose actions could leave a notable imprint on the oversight of the financial system.

Six Gulf countries issued a joint statement on Tuesday asking Netflix to remove content they said "contradicts Islamic and societal values ​​and principles."

Driving the news: The statement did not specify which material it deemed offensive. The countries warned they would take "necessary legal measures" if the content was not removed.

At some point, the Federal Reserve will face the risk of raising rates too much, a top official said Wednesday, while asserting the central bank will remain resolute in its drive to bring inflation down.

Driving the news: Lael Brainard, the No. 2 official at the central bank, acknowledged risks that the Fed could overdo it on interest rate increases, a sentiment notably missing from Chair Jerome Powell's hawkish speech in Jackson Hole, Wyoming, in late August.

Lightspeed Venture Partners, a venture firm that was an early investor in Snapchat, is opening a New York City office to expand its investment strategy, Justin Overdorff, a partner at the firm, told Axios.

Why it matters: "Times have certainly changed from a success standpoint," Overdorff said. "There's been material IPOs and acquisitions in the New York ecosystem."

The Washington Post's longtime tech and data chief Shailesh Prakash is leaving the company for a new executive role at Google, sources told Axios.

Why it matters: Prakash has led The Post's design, product and tech teams for over a decade. He has long been considered the backbone of The Post's technological transformation.

The parent company of movie theater chain Regal Cinemas filed for Chapter 11 bankruptcy protection Wednesday.

Why it matters: The movie theater business has been reeling from the pandemic, which cratered attendance, and competing with streaming services for people's time.

A Delaware court on Wednesday ruled that Elon Musk will be allowed to introduce claims from Twitter whistleblower Peiter "Mudge" Zatko into his countersuit against the social media company. It also denied Musk's request to delay the October trial.

Why it matters: The whistleblower's claims, which include that Twitter violated a 2011 consent decree with the U.S. government, introduce a new legal wrinkle into Musk's attempt to back out of his $44 billion takeover offer for the social media company.

Misfits Market has agreed to acquire rival online grocery company — and seller of "ugly produce" — Imperfect Foods.

Why it matters: The deal is expected to double the size of Misfits' business, CEO Abhi Ramesh tells Axios, to about $700 million in annual revenue, which is expected to grow to $1 billion within the next 12-18 months.

Muck Rack, the public relations tech company, has raised $180 million, the company's first outside investment.

Why it matters: It's one of the largest growth equity investments in public relations tech on record.

At least half of American workers say they're “quiet quitting” — performing only the tasks they’re required to, giving up on going “above and beyond," according to a new Gallup survey.

Why it matters: The pandemic made nearly all work harder to perform and that extra labor has taken a toll on employees — especially younger workers. They're responding by putting more and more distance between themselves and their jobs, or looking for new jobs.

Britain's economy, rendered fragile and brittle by Brexit, has proved incapable of withstanding the twin scourges of the pandemic and energy price inflation. The result is a historic economic implosion.

By the numbers: One British pound is now worth just $1.15, down from $1.50 on the morning of the Brexit referendum in 2016.

Inclusive sizing is one of the biggest trends in retail, leaving fashion brands scrambling to extend women's clothing lines well beyond the traditional offerings.

• The brass ring is to offer sizes 00-40 — not just "plus" sizes 16-26 — in everything from jeans and lingerie to formalwear.

In what would have been an unimaginable scenario just a few months ago, Russia has halted all natural gas flows to Europe through its Nord Stream pipeline — plunging the continent into a new era of uncertainty that's reverberating across markets.

Why it matters: The gas cut-off bodes incredibly poorly for economic growth in Europe, as a range of industries dependent on abundant Russian gas are being forced to slash production.

Axel Springer CEO Mathias Döpfner on Tuesday defended messages to colleagues published in the Washington Post that seemed to show Döpfner supporting Donald Trump ahead of the 2020 election, arguing they were taken out of context.

Why it matters: Axel Springer is trying to position itself as a centrist publisher amid a U.S. media investment spree, but the company's history and recent headlines suggest a culture gap may remain between the German publishing giant and U.S. media.

Here's one of the biggest statistical changes in American opinion: Approval of interracial marriage in the U.S. is at a new high of 94%, according to Gallup polling.

Why it matters: When Gallup first asked the question in 1958, just 4% of Americans approved of interracial couples.

That approval rating is sky-high no matter how you slice the data.

Cumulus, one of the largest radio companies in the country, says it's "disassociating" from Podcast Movement, an annual podcast industry conference, following an unusual confrontation on Twitter between the conference and The Daily Wire, a conservative outlet that partners with Cumulus.

Why it matters: The ordeal highlights the growing rift between established media entities and conservative outlets and personalities with large fan bases.