Good morning readers. Ah, the age-old debate: Should you whip out your phone at a concert? To snap or not to snap? Beyoncé, Taylor Swift, and Harry Styles have all had their say. But in the era of livestreaming and K-pop fan chants, the lines have blurred. Remember when concerts were just about the music? Now, it's a battle between capturing the moment and living in it. So the next time you're at a gig, think twice before you snap. After all, the best memories are the ones you can't scroll through.

Let’s jump into today’s storylines.

In today’s digest:

• To raise or not to raise: BoC pauses rate hikes

• Headline Hustle: Pentagon invests heavily in AI, gaming on YouTube, Psychedelics get decriminalized in California

• A cable TV showdown

• Pulse Points: What’s Trending

CENTRAL BANKS

Bank of Canada holds rates steady at 5%

The Bank of Canada (BoC) has decided to play it cool, keeping its interest rate steady at 5%. After consecutive rate hikes in June and July, the bank's decision reflects the delicate dance central banks worldwide are performing. On one hand, there's the need to cool inflation; on the other, there's the challenge of not stifling economic growth.

How may rate hikes have there been?

10 since March of last year. But here's the thing, while the bank's aggressive stance has been in line with its U.S. counterpart, the Federal Reserve, the Canadian economy is showing signs of fatigue. Recent data reveals a contraction of 0.2% in the second quarter, a stark contrast to the BoC's forecast of 1.5% growth.

Avery Shenfeld, chief economist at CIBC Capital Markets, cleverly remarked that the BoC "issued only a warning rather than a speeding ticket." But it's not all gloomy in the Great White North. The labor market, while slowing, still boasts an annual wage growth of between 4% and 5%. However, with the unemployment rate ticking up to 5.5% in July and job vacancies dropping, the labor data scheduled for release this Friday is eagerly anticipated.

Many experts believed the BoC's rate hikes were done and dusted but with the looming shadow of inflation and the unpredictable nature of global events, the bank's next move is anyone's guess. As Dave McKay, CEO of Royal Bank of Canada put it, the impact on consumers, businesses, and the economy hinges on the "length of time central banks will have to be in a hold pattern."

Headline Hustle

_AI Pentagon's AI ambitions. The Pentagon is gearing up for a tech revolution, with plans to deploy a massive network of AI-driven tech, drones, and autonomous systems in the next two years to keep up with China's booming military tech. Deputy Secretary of Defense, Kathleen Hicks, spilled the beans on Wednesday, revealing a vision of "small, smart, cheap" AI systems spanning air, land, and sea. Think sun-powered pods packed with sensors, delivering real-time intel. But, there's a catch. While the Pentagon's throwing hundreds of millions at the project, some experts question if it's enough. As Hicks puts it, "We're not at war, but... the PRC isn’t waiting." Time to tech up, America.

🎮 Game on, YouTube. The video giant is dabbling in the gaming realm with a new experiment called "Playables" where a select group of users can now dive into games right from YouTube's home feed. Remember Stack Bounce? That addictive arcade game from Google's GameSnacks? It's making a splash on this platform. This move comes hot on the heels of Google's Stadia cloud gaming service bowing out.

🍄 Psychedelics get decriminalized. California's assembly is vibing with psychedelics. They've passed a bill to decriminalize certain psychedelic drugs for personal use, making them the potential third state to do so. If Governor Newsom gives it the green light, Californians aged 21+ could possess, grow, and transport limited amounts of these trippy substances, but sharing is a no-go. While advocates highlight the therapeutic benefits, especially for trauma victims, critics worry about increased drug misuse. Oregon and Colorado have already hopped on this train, emphasizing the drugs' therapeutic potential. But there's a twist…full implementation in California would be delayed until 2025.

TELECOMMUNICATIONS

The night America’s screens went dark

It was a night that sent shockwaves through living rooms across the nation. Imagine settling down for a game on ESPN or your favorite Disney show, only to be met with... nothing. That's exactly what happened on a fateful Thursday evening when Disney channels, including the sports giant ESPN and ABC, vanished from Charter Communications Inc.’s Spectrum cable service. The timing? Right in the midst of the U.S. Open and just as the college football season was kicking off. Talk about bad timing.

What led to the blackout?

A standoff between Charter and Walt Disney Co. over affiliate renewals. The implications? Potentially game-changing for both companies, and a seismic shift in the pay-TV and streaming landscapes. If Charter decides to pull the plug on TV, analysts predict a domino effect, with millions ditching the traditional pay-TV bundle. As LightShed Partners analysts put it, "Nobody is safe." The power dynamics are shifting, and not necessarily because content isn't king, but because there's just too much of it.

At the heart of this tussle is a fundamental question: How much should carriers pay per channel, and how many subscribers should have access to these channels? The cable TV model has been showing cracks for a while, and this conflict might just be the final blow. Disney, for instance, is eyeing a direct-to-consumer approach with its prized possession, ESPN. As for Charter? They're standing their ground, signaling a readiness to move on from their video business.

Looking ahead…as the curtains of traditional TV draw to a close and the spotlight shifts to streaming, we're left in suspense. In this unfolding drama of screens and streams, who will pen the next act? And as the credits roll, one can't help but wonder: In a world where every channel is a universe, are we the viewers or the viewed?

Pulse Points

FASB adopts crypto accounting. The Financial Accounting Standards Board has approved a new regulation regarding cryptocurrency accounting and disclosure.

Meta gets rid of FB News Tab for some European countries. Starting in December, Facebook users from the U.K., France, and Germany won't have a dedicated news section.

Hulu’s purchase date gets pushed up. Walt Disney is set to gain full control of Hulu sooner than anticipated. While Disney already owns two-thirds of the platform, the remaining share, owned by Comcast Corp., may be acquired earlier than the initially planned January date.