google�*s parent company, alphabet, and microsoft have both unveiled quarterly report cards that beat expectations. alphabet shares jumped a little more than 1.5% in after—hours trade, as the company announced that its quarterly revenue rose to more than $69 billion. that's 3% higher than the previous year. microsoft stock also got a boost in extended trading, up a smidge over 8.5%, with a quarterly revenue beat that was mainly driven by growth in its cloud computing businesses. of briefings at insider intelligence. some signs of resilience here? yes. although clyde either one or two caveats that. expectations have drops considerably in the last year so this is the type of growth that both of these companies would have been mortified by just a year ago and now expectations have dropped to the point that this is meeting the point that this is meeting the mega expectations of the market is a win.— the mega expectations of the market is a win. there is a lot of chat right _ market is a win. there is a lot of chat right now _ market is a win. there is a lot of chat right now about - market is a win. there is a lot l of chat right now about chatgpt in the future of artificial intelligence. were these two companies on their involvement with that and that the future for them? it with that and that the future for them?— with that and that the future for them? it is in many ways and it's good _ for them? it is in many ways and it's good to _ for them? it is in many ways and it's good to see - for them? it is in many ways and it's good to see it - for them? it is in many ways and it's good to see it as - for them? it is in many ways and it's good to see it as not necessarily an ai battle but a long—term ai work between these two parties and a few other major companies. microsoft has really drawn first blood, so to speak, here. they're done a lot of major things in terms of integrating chatgpt into the tax act, they've started to monetise incorporation of chatgpt in being pretty quickly and i think microsoft has been kind of perceived a little bit as asleep at the wheel. there done a lot of things in response, but it's been a little bit slow but i think that microsoft has almost been the sexier of the two companies in a few decades.— in a few decades. that's true and turning _ in a few decades. that's true and turning our— in a few decades. that's true and turning our attention - in a few decades. that's true and turning our attention to l and turning our attention to alphabet. it seems to be dragging significantly behind in terms of its cloud computing business. hasn't lost the fight? should look elsewhere or is it worth are still competing in this business because that will the growth is right now? it's one of those things that alphabet really has to compete in this area the simple reason is that any market share they don't go after, key competitors like amazon and obviously microsoft webex unit will take market share no matter what and other really has to protect themselves against weakness in its search advertising business which microsoft is going after now meaningful way for the first time in forever. youtube ad revenue has dropped so there is some softness there. you have to make it up somehow there is softness everyone it comes to advertising the alphabet. comes to advertising the alphabet-— comes to advertising the alphabet. comes to advertising the alhabet. �* . ~ , ., alphabet. and marketers are very much — alphabet. and marketers are very much experimenting - alphabet. and marketers are l very much experimenting with new platforms with the likes of tiktok with younger audiences. how does the future looks to alphabet? i don't want to say it is murky but it has been challenging in recent quarters when you look at the fact that there is a broader downturn and a meagre growth in that regard, and then you say microsoft is starting to eat into its ad revenue in a small way but it is going after them, then as you mentioned, people are searching and servicing products in so many different ways including tiktok, as you mentioned, so the idea of search has really changed and just like consumer attention it is fragmented these days, search is also fragmenting a little bit more than hard in the past few years. jeremy goldman. _ the past few years. jeremy goldman, thank _ the past few years. jeremy goldman, thank you - the past few years. jeremy goldman, thank you very l the past few years. jeremy - goldman, thank you very much. that banking crisis has been, of course, one of several economic challenges faced by the us presidentjoe biden since taking office, and now that he has confirmed he's signed up to star for the democrats in the next presidential election, it's a good time to look back at how he has done so far on the economic front. here's our correspondent michelle fleury with more. joe biden�*s real action comes america navigates uncertain economic quarters where the us president can gloat is on the jobs front and that this chart where you see employment rising nicely until the pandemic, that's on thejob that's on the job market created. sincejoe biden took office that has steadily increased. under his watch over 12.5 millionjobs have been created, the unemployment rate at a 50 year low. you have to remember the context in which thesejobs remember the context in which these jobs were created, in the middle of the pandemic. policies his administration put in place softened the economic growth from covid—i9 at the bounceback has been far from smooth. the worst economic metric on his watch has been inflation. this chart shows inflation pretty steady until 2022 inflation at the highest rate in a generation over the summer. that's because as the us economy emerged from the pandemic it's riddled with supply chain issues that pushed up supply chain issues that pushed up prices, and the strong jobs growth that we just talked about contributed to the further price pressure. inflation is now ticking down but it is still above the federal reserve's 2% target, opposing outstanding rest of the biden economy. one which the biden economy. one which the white house has little influence. joe biden wants to make sure that voters credit him for the improvements in the economy was at the same time drawing a contrast with the gop had a looming showdown of raising the country's borrowing limit which an extreme could inflict lasting damage on the american economy. michelle fleury there. as president biden seeks re—election, the core of his offer is his claim to be transforming the us economy, bringing new life to left behind manufacturing areas in the famous rust belt of america. under the inflation reduction act and other infrastructure plans, the us is now pouring hundreds of billions of dollars of public money into the green industries of the future. but the sheer scale of the investments is so big that allies such as the eu and the uk are concerned that it will threaten jobs in their economies. our economics editor faisal islam has this special report from kentucky. in the fields of western kentucky, the farms are giving way to a different type of green harvest. the spades on the ground. the excavators are shifting tons of soil. united states of america is digging for victory in the green high—tech industries of the future and they are in a hurry. literally we are shovel ready to go with our project when we receive the support from the us government. it is like a gold rush, it is so big.— rush, it is so big. this work started here _ rush, it is so big. this work started here at _ rush, it is so big. this work started here at the - rush, it is so big. this work started here at the facility l started here at the facility for electric vehicle battery past the day after $500 million of government money from the infrastructure plans in the new inflation reduction act. buyers of cars also get subsidies only if they are made in america. although lithium, and nickel and... , , , and... the result is these powders. _ and... the result is these powders, the _ and... the result is these powders, the most - and... the result is these - powders, the most expensive inputs into npv battery, mainly or even entirely made in china up or even entirely made in china up until now, well, thanks to recycling, batteries, be made in america. here they said the us has already leapfrogged here in this market secondary to china. this is no less than the total translation of the us economy with thousands of projects like this funded by trillions of dollars of public money. in order to wrest control of the industries of the future, from china, but it can also be the start of a giant car bumper of globaljobs in those industries because european governments are very worried that european manufacturers are also having the headstand and by setting up shop here in america now as well so the eu is going to do exactly the same thing. which raises very serious questions for the united kingdom, whether to follow suit, whether we can afford to follow suit or whether it's just too late. the whether it's 'ust too late. the uk will whether it'sjust too late. the uk will compete _ whether it's just too late. tie: uk will compete with whether it's just too late. tue: uk will compete with what's happening here in the us, a similar level of incentives for favourable legislative environment or framework needs to be put in place. so that has not taken place yet but it certainly could.— not taken place yet but it certainly could. facility is focused on _ certainly could. facility is| focused on electric vehicle battery imports but a similar strategies that works for microchips and green energy. the pilon service in this facility transferred electricity from a clean hydroelectric dams on the tennessee river. in an echo of us history, those tennessee valley authority dams are one of the landmark development is 90 years ago of roosevelt's new deal. but now as then, the primary motivator her is not the environment butjobs in left behind areas. the environment but “obs in left behind areas._ left behind areas. they set this mound _ left behind areas. they set this mound down, you - left behind areas. they set| this mound down, you see, left behind areas. they set - this mound down, you see, this is one of the hundred miles they shut down here in western kentuc . �* , _, they shut down here in western kentuc . �* , ., kentucky. and these cold areas ofthe kentucky. and these cold areas of the usa _ kentucky. and these cold areas of the usa have _ kentucky. and these cold areas of the usa have been _ kentucky. and these cold areas of the usa have been long - kentucky. and these cold areas of the usa have been long left| of the usa have been long left behind. and notjust because of the transition to green energy. artefacts of the transition to green energy. artefa cts of a the transition to green energy. artefacts of a lost era, so these massive investments are being channelled by the biden white house very purposely into regions such as western kentucky and west virginia. in some cases, old miners being paid that union wages actually to fill in the minds, or preparing the new green industry factories. the hope to turn the rustbelt into a pan—american battery about before the next election, but there are some doubts. when you hear the government and president biden saint rust belt, we see this content into a battery about, what does that mean? ~ u, a battery about, what does that mean? ~ _, ., mean? welcome the funding and “obs but i mean? welcome the funding and jobs but i want _ mean? welcome the funding and jobs but i want him _ mean? welcome the funding and jobs but i want him to _ mean? welcome the funding and jobs but i want him to come - jobs but i want him to come from washington, dc down here and see first—hand how these people have suffered for several years now. he needs to see at first had when a person is unemployed and there is no jobs, there is no hope stopped without hope, life has no meaning. i don't know how else to say it. meaning. i don't know how else to sa it. ., meaning. i don't know how else to sa it, ., ., to say it. soon enough the rustbelt — to say it. soon enough the rustbelt railroad - to say it. soon enough the rustbelt railroad will - to say it. soon enough the rustbelt railroad will be i rustbelt railroad will be carrying electric vehicles rather than coal. the us government pouring trillions and insurance green future is made in the usa with economic consequences for everyone else. fatal islam, bbc news, in kentucky. the european commission is due to publish its pharmaceutical strategy today. it's been reported that the eu is looking at a compulsory licensing system so that in the event of a public health emergency like the pandemic, it would be able to talk control of manufacturing drugs and vaccines. this would go against pharmaceutical groups as they look to protect their patents and could possibly damage relationships between governments and drugmakers. live now to nathalie moll, director general at efpia, european federation of pharmaceutical industries and associations. this is an interesting notion. it will likely be popular in the eu. will the eu managed to get this over the line?— get this over the line? good morning- — get this over the line? good morning. today _ get this over the line? good morning. today is _ get this over the line? good morning. today is indeed i get this over the line? good morning. today is indeed a| get this over the line? good - morning. today is indeed a very important day. it is a day where we are hoping to see the new legislation on pharmaceuticals to approve pharmaceuticals. it is now 20 years old. we are far behind other parts of the world. we expect to see today is the frame framework which will allow us to regain competitiveness. i heard your programme before, we are the biggest contributor to the positive trade balance of europe, so hopefully we will see provisions that will actually strengthen our incentives and bring back the investment and the competitiveness that we have lost over the last 20 years. this is really what we are hoping to see but the proof will be in a few hours' time. in a last—ditch attempt to lobby, berman was wanting a few days ago that this legislation if it went through a damage investment by the drug industry. —— berlin. what's the rationale for that argument? in rationale for that argument? t�*i the last two decades europe rationale for that argument? t�*t the last two decades europe has lost about one quarter of its research and development of the rest of the world and in fact the gap with the us is the most stark i would say, about 20 years ago there were 2 million difference in investment in research and development and todayit research and development and today it is 25 billion difference. but as we heard also earlier in the programme is notjust the us but china are attracting our companies and we are hearing eu headquartered company companies doing their research in the us, so at this moment where europe is looking for it competitiveness is looking to regain on the global scene, this is an industry where, you would hope, and we certainly very strongly hope, that the new legislation will have the kind of incentives that will attract, close the gap with the us and other parts of the world and put us in the world map again. and put us in the world map aaain. ~ , ., , and put us in the world map auain.~ , ., , ., again. why would it be that compulsory _ again. why would it be that compulsory licensing - again. why would it be that compulsory licensing would undermine the very innovation that people are looking for one health arises? figs that people are looking for one health arises?— health arises? as you saw durin: health arises? as you saw during the _ health arises? as you saw during the pandemic, - health arises? as you saw during the pandemic, the | health arises? as you saw - during the pandemic, the supply and availability issues were really the question, the difficulty in terms of getting ramping up production from nothing to the billions of dollars we were producing. the voluntary licenses between the companies and manufacturers worked extremely well and there were more than 400, so the issue, we really have to find the right solution for the right problem other than findings like compulsory licensing that really would increase the perception that europe has an intellectual property framework that is really not conducive to investment, not conducive to stability, not conducive to predict ability and where other parts of the lot i doing the exact opposite, it is a clenched moment this legislation is after 20 years we been waiting for a long time but it will also last for the next 20 years, so that really decide what kind of europe will be for the future, a competitive europe with a strong innovation in medical sciences or will we be users or, let's say importers of medical science from the rest of the world with all the risks that pertains because we were the manufacturers and providers of the covid—i9 vaccines at the time because we have such a strong life science ecosystem in europe, but might not be the case of the future if the distillation goes away. that's cominu distillation goes away. that's coming uo — distillation goes away. that's coming uo very _ distillation goes away. that's coming up very soon. - distillation goes away. that's. coming up very soon. nathalie moll, director—general of the efpia. thank you for your time. this around the world and across the uk. this is bbc news. it is low tide and a good time to get a glimpse of this colony. this is the only place you will find grey seals in cumbria. you will find grey seals in cumbria-— you will find grey seals in cumbria. ,, . ., ., , you will find grey seals in cumbria. ,, . ., ., cumbria. quite a large group on the beach. _ cumbria. quite a large group on the beach, just _ cumbria. quite a large group on the beach, just resting - cumbria. quite a large group on the beach, just resting what - cumbria. quite a large group on the beach, just resting what we| the beach, just resting what we call called out. the the beach, just resting what we call called out.— call called out. the site is s - ecial call called out. the site is special and _ call called out. the site is special and great - call called out. the site is special and great for - call called out. the site is special and great for the l call called out. the site is - special and great for the seals because there is so much disturbance here all the beaches around this reserve aren't access to people so this is a safe haven and a peaceful spot for seals and other nesting birds come here. recurrence people to come here to see the seals you can see them playing at high tide on them playing at high tide on the sea make sure they are sticking to the footpath is not going onto the beaches and please leave your dogs at home because they do disturb the wildlife and important this is a peaceful place for wildlife. you're live with bbc news. the bank of england's top economist has said people in the uk need to accept that they are poorer, otherwise prices will continue to rise. huw pill told a podcast in the us that there was a "reluctance to accept that, yes, we're all worse off". he said in response to higher bills and other costs rising, workers had responded by asking for wage increases smaller and businesses were charging more. live now to victoria scholar, head of investment, interactive investor. food inflation in britain is still running at i7%, with families struggling to get by. these comments are likely to pour salt on open, in your view, is he right? it pour salt on open, in your view, is he right?- view, is he right? it is a difficult _ view, is he right? it is a difficult one _ view, is he right? it is a difficult one the - view, is he right? it is a difficult one the best i view, is he right? it is a. difficult one the best way view, is he right? it is a - difficult one the best way to think about inflation it is like giving everyone in the economy in a pay cut, instead of cutting pay goods and services become less affordable but it has the same effect. is right we are getting poorer but the suggestion companies should not put up prices and workers should not ask for higher wages is pretty unreasonable because many households and companies are struggling to stay afloat and pay for those bills with it is food prices, energy cost and so much more, that's why we're seeing so many businesses putting up prices because they are trying to preserve the margins by passing on extra cost to consumers, and if they put them up too much individuals and households just won't be buying their goods. so there is a market measure to offset businesses from raising prices to an extreme level, but if they can't put up prices a little, by stimulating demand and preserve profits, that is betterfor and preserve profits, that is better for businesses and jobs and betterfor the better for businesses and jobs and better for the economy but it could be negative for inflation.— it could be negative for inflation. �* , ., ~ it could be negative for inflation. �*, .,~ ., inflation. let's take some of the heat _ inflation. let's take some of the heat out _ inflation. let's take some of the heat out of _ inflation. let's take some of the heat out of this, - inflation. let's take some of the heat out of this, i'm - inflation. let's take some of| the heat out of this, i'm sure there will be peeping —— people watching this too will be furious with comments like this. is there evidence pay rises become entrenched within an economy and at a certain level start to exacerbate inflation, and make the situation worse, does that hold water as an argument?- water as an argument? yes, i think it does, _ water as an argument? yes, i think it does, there _ water as an argument? yes, i think it does, there is - water as an argument? yes, i think it does, there is if- think it does, there is if wages go up, then that means everyone in the economy has more money to spend, spending can go up in the economy, it means businesses will be earning more caps that will help boost their profits, they will be able to pay for staff, it means the government could receive more in terms of tax receipts, and that could put up government spending, so there is a cycle, duties —— to see both wages and prices installed, it could create an almost circular dynamic, that exacerbates the inflation and thatis exacerbates the inflation and that is what the bank of england is really worried about, these transient effects that have been causing inflation so far like the war inflation so far like the war in ukraine and supply chain issues, that these movements make inflation stay much longer, and become very much entrenched in our economy and then much, much harder to bring down under control.— down under control. thank you very much. _ down under control. thank you very much, victoria, _ down under control. thank you very much, victoria, in - down under control. thank you very much, victoria, in londonj very much, victoria, in london for us. let's get some of the day's other news 110w. british american tobacco is to pay $635 milion plus interest to us authorities after a subsidiary admitted selling cigarettes to north korea in violation of sanctions. the us authorities said the settlement related to bat activity in north korea between 2007 and 2017. bat's head jack bowles said "we deeply regret the misconduct". shares in us bank first republic have tumbled nearly 50% as investors question its future. the falls came a day after the mid—size us bank said customers had pulled more than $100 billion from their accounts amid last month's banking panic. plastic in the oceans and rivers is a growing problem. more than 171 trillion pieces of plastic are now estimated to be floating in the world's oceans, according to the five gyres institute. the company think ocean has been selected by the european commission as one of the 22 worldwide organizations in the "horizon mission" to restore our oceans and waters by 2030. they have developed, in cooperation with the university of derby, a new river cleaning system. they claim it is capable of stopping and retrieving up to 92% of the plastic in rivers, before getting to the oceans. they are deploying it and testing it in serbia, as part of eu horizon mission from september later this year. live now to hugo valdes—vera, founder of think ocean. how will it work? we place the technology, we mix 4000 year old roman technology, with some behaviour, feeding behaviour of some whales, we test them for the last three years, basically, the plastic that you see in the rivers, is only 15% of the plastic float, the problem was trying to retrieve the plastic at the bottom of the river which is 85%. we need to find a way, to lift the plastic, and access it on the river. so we created a system that made the plastic float, with water the second part of the system, it goes to the surface. then this part of the surface. then this part of the system catches it and we can retrieve it from the river. you cross roman technology with a well and you end up with plastic that comes from the bottom to the top of the river and you skim that off? that is correct, skim _ and you skim that off? that is correct, skim is _ and you skim that off? that is correct, skim is the _ and you skim that off? that is correct, skim is the right - correct, skim is the right term, that is what the technologies around the world are doing, they skim it, they take the plastic that is floating in the river or the ocean, there is no technology capable to get plastic from the bottom. 50 capable to get plastic from the bottom. , , , bottom. so this is why the technology _ bottom. so this is why the technology is _ bottom. so this is why the technology is so _ bottom. so this is why the technology is so different | bottom. so this is why the - technology is so different from what else is currently available for oceans and rivers? ., �* , available for oceans and rivers? . �*, . ., rivers? that's correct, that would be _ rivers? that's correct, that would be the _ rivers? that's correct, that would be the first - rivers? that's correct, that would be the first system i would be the first system created, that will lift the plastic from the bottom of the river, get it to our device down the river, and will avoid everything we have done in the last three years showed 90 2% of the plastic can be reclaimed from rivers. how are you funding this? we are all volunteers, we use our own money, from our pocket sometimes companies come to help, but mostly i have to say our volunteers are amazing, we work two or three jobs to do this, just to try to save the planet and show to the world it is impossible to clean it. but it is possible to clean it, it is not too late, but we can do it,. ., ~' is not too late, but we can do it,. ., ~ , a, is not too late, but we can do it,. ., ~ ,, is not too late, but we can do it,. . ~ i. . is not too late, but we can do it,. . ~ . ., it,. thank you so much for your time and _ it,. thank you so much for your time and innovation. _ it,. thank you so much for your time and innovation. to - it,. thank you so much for your time and innovation. to stay i time and innovation. to stay with us here on bbc news. much more to come. hello there. here in the uk, spring warmth is in short supply at the moment. another rather chilly day lies ahead, but it's a very different story in spain and portugal. in fact, a concerning early season heatwave building here — temperatures over the next couple of days could well climb to 38, maybe 39 degrees. that heat has been building to the south of the jet stream. we find ourselves to the north of the jet stream, and so we remain in this rather chilly air mass, at least for the time being. and a really cold start to the day, particularly in the north of scotland. not as cold further south, because here, there is more cloud in the mix. and for many of us, it is going to be a rather cloudy day, particularly across the south of england, into southern wales and also northern ireland. extensive cloud producing some bits and pieces of rain at times. now, through north wales, the north midlands, northern england, southern scotland, it's a mix of patchy cloud, some sunny spells and the odd shower. the best of the sunshine will be found in northern scotland. but, again, the odd shower here. temperatures of 7—13 degrees, so a little disappointing for the time of year. now, through wednesday night, we'll tend to keep large amounts of cloud. we'll see some rain getting close to northern ireland, into the western side of scotland, some pushing towards the southwest of england as well. another rather chilly night, particularly in the north of the uk, not as cold further south. but as we head into thursday, well, this is a rather messy weather chart. there are a couple of different weather systems — one here, one here — likely to bring some outbreaks of rain. this first band of rain is likely to be pushing northwards across scotland. could be some snow over the highest ground for a time, and then outbreaks of rain pushing northwards across parts of england and wales. there may be a drier slot in between those two rain bands. temperatures, if anything, starting to climb a little. a sign of things to come, because as we head towards the end of the week, we will start to pull in some slightly warmer air. now, we're not talking about a spanish or portuguese heatwave here, but we are talking about something a little bit less chilly. and, actually, on friday, while there will be some showers around and perhaps some more persistent rain in northern scotland, we should actually start to see a little bit more in the way of sunshine for many of us. and those temperatures climbing just a touch. and into the weekend, it is going to feeljust a little bit warmer. there will be some dry spells, a bit of sunshine around, but still some showers. good morning, welcome to breakfast withjon kay and sally nugent. our headlines today. relief for some british nationals as the first evacuation flights out of war—torn sudan touch down in cyprus — but many more are still waiting for help. 39 people who were on that first flight arrived and spent the night in local hotels. they have just arrived back at the airport, going to catch a charter flight back to the uk. they told me they were delighted to be going back but have no idea when they will be going back onto saddam.