Happy Friday readers. Ever wondered who the unsung heroes of glitzy movie sets and epic concert stages are? Well, they're the backstage wizards who often fade into the shadows, their magic going unnoticed. But hold on to your hats, because Taylor Swift is turning the spotlight on them. She's ensuring that this Cruel Summer, their Wildest Dreams aren't just dreams by showering them with $55 million in bonuses.

Sigh. Time for me to shake it off and face the music of my own reality.

Let’s jump into today’s storylines.

In today’s digest:

• Retailers cry “theft”…but there’s more to the story

• Tourists experience space for the first time with Virgin Galactic's launch

• Pulse Points: What’s Trending

Retail profits on the decline. Shoplifting? Or inside job?

Retailers chalking up dwindling profits to organized theft might be exaggerating the influence of external crime, potentially to overshadow their own internal shortcomings, as uncovered by CNBC.

Recent earnings calls from prominent companies have pointed fingers at organized criminal groups for their lackluster financial performance. This narrative is expected to resurface as a slew of major retailers gear up to announce their second-quarter results in the coming week.

However, insiders reveal a different story:

• Internal challenges: Contrary to public statements, retailers grapple with internal issues that are within their control. Notably, employee theft has emerged as a significant factor contributing to their losses, shared two confidential sources who advise major retailers. They asked to remain anonymous (of course) as they’re not allowed to speak about their clients in public.

• Technological investments: Numerous retailers have channeled funds into advanced technology to uncover the root causes of “shrinkage”—the discrepancy between actual inventory and sales. Surprisingly, some of these companies have pinpointed employee theft as a primary loss driver, even as they publicly decry external theft, one source revealed.

• Self-checkout woes: The rise of self-checkout theft has further compounded the problem, the insiders added.

• Misdirection tactics: While certain retailers, including Target and Foot Locker, might genuinely face increased shrinkage due to subpar hiring strategies and self-checkout systems, others could be leveraging retail crime as a smokescreen to divert attention from internal hurdles, experts told to CNBC.

• Analytical perspective: "Shrinkage rates have indeed escalated, but distinguishing between external theft and internal retailer mishaps remains a challenge," said Neil Saunders, a retail analyst and the managing director of GlobalData. He further criticized the lack of transparency in reporting, suggesting that it's occasionally used as a scapegoat for overall poor performance.

In closing…while organized theft is a genuine concern for retailers, the sector's transparency in reporting and addressing internal challenges remains under scrutiny.

Space Tourism's New Horizon: Virgin Galactic's Galactic 02 Flight

Space tourism is taking off, and it's not just astronauts getting a front-row seat anymore. Virgin Galactic, in its latest escapade, has whisked away the first set of private-paying tourists on its Galactic 02 mission.

Imagine this: soaring from the New Mexico desert, past the boundary of space, and experiencing a few minutes of pure weightlessness. Sounds like a sci-fi movie, right? But for Jon Goodwin, the athletic star / Olympian, and Keisha Schahaff and Anastatia Mayers, the lucky duo from the Caribbean, it was a reality. And here's a fun tidbit: they secured their cosmic seats through a charity gig.

Now, if you're thinking of joining the space club, you might want to check your bank balance. A ticket aboard Virgin Galactic will set you back a cool $450,000. But hey, compared to SpaceX's $55 million, it's a bargain, right? And for those wondering about the safety of such adventures, especially after that Titan mishap, Virgin Galactic's CEO assures there's nothing to worry about.

So, who's ready for a trip among the stars?

Pulse Points

Amazon to its employees: 'Miss us yet?' Amazon's giving a nudge to its US office crew, reminding them (with emails) about its watchful eyes on their office presence.

X > Twitter. CEO spills beans on ditching the Twitter name. X’s CEO, Linda Yaccarino, shares that ditching the Twitter name was part of the plan since day 1.

White House launches $20 million AI contest. The White House rolls out a mega-bucks cyber challenge, urging the use of A.I. to spot and patch up security gaps in U.S. government systems.