
Debate about debt-financed defense spending and Elon Musk's entry into the US mobile phone market
AI-generated summary
Since reforming the debt brake last year, the federal government has increasingly used loans for infrastructure and armaments. SpaceX plans to build a cellular network by purchasing frequencies.
Since reforming the debt brake last year, the federal government has borrowed a lot of new money to finance spending on infrastructure expansion and armaments. The German Economic Institute (IW), the non-profit CEO initiative Stiftung Klimawirtschaft and the non-profit association Fiscal Future are now calling for a course correction and a limit on debt-financed defense spending after the NATO target of 3.5 percent of gross domestic product has been achieved. Chief political reporter Martin Greive talks about the background in the podcast.
Also: US billionaire Elon Musk plans to build his own mobile network in the USA with SpaceX. To do this, his space company is purchasing so-called low-band frequencies from the investment firm Grain Management for around eight billion dollars. This puts the three major mobile phone providers in the USA under pressure. After the frequency deal became known, the share prices of T-Mobile US, Verizon and AT&T fell significantly. Stephan Scheuer, co-head of the Handelsblatt tech team, explains how Musk wants to steal market share from established companies.
McDonald's will remove the McRib from its permanent range in Germany and Luxembourg from October 27th. The burger has been offered in Germany since 1989. The McRib Sweet Heat follows briefly as a replacement.

Analyzes show that traditional hedging strategies for airlines are often ineffective. Instead of relying on complex financial instruments, fuel surcharges are proving to be a more effective means of passing on price risks to passengers.

Goldman Sachs and Citigroup beat expectations, while JP Morgan disappoints. The semiconductor sector is struggling with funding issues for AI projects, while Meta Platforms is showing strength. Investors are waiting for the upcoming consumer price data.

The Federal Employment Agency approves insolvency money for the 11,250 employees of the Galeria department store chain. Business operations continue for the time being, but there are restrictions on product availability and voucher redemption.

Major U.S. banks such as Goldman Sachs, JP Morgan Chase and Wells Fargo increased profits over the summer despite volatile markets, falling takeover activity and geopolitical tensions, driven by stock trading, lending and higher interest income.

Private freight railways criticize DB InfraGO's planned route price increases of up to 85 percent for heavy trains from 2028. The association warns of the loss of industry and jobs and calls for an urgent reform of the pricing system.