A subsidiary of Cantor Fitzgerald, which is run by the sons of US commerce secretary Howard Lutnick, is letting clients essentially bet that President Donald Trump’s tariffs will be struck down in court.

The US Department of Commerce has renamed its AI Safety Institute to the Center for AI Standards and Innovation (CAISI), shifting its focus from overall safety to combating national security risks and preventing “burdensome and unnecessary regulation” abroad. Secretary of Commerce Howard Lutnick announced the change on June 3rd, calling the agency’s overhaul a way to “evaluate and enhance US innovation” and “ensure US dominance of international AI standards.” The AI Safety Institute was announced in 2023 under former President Joe Biden, part of a global effort to create best practices for governments mitigating AI system risk. It signed memorandums of understanding with major US AI companies, including OpenAI and Anthropic, to get access to new models and suggest improvements before release. Near the end of Biden’s term in early 2025, it released draft guidelines for managing AI risks that included using systems to create biological weapons or other clear threats to national security, but also more common categories of harmful content like child sexual abuse material (CSAM). Lutnick’s statement says that the new institute will “focus on demonstrable risks, such as cybersecurity, biosecurity, and chemical weapons” in its evaluations. It will also investigate “malign foreign influence arising from use of adversaries’ AI systems,” a category that likely includes DeepSeek, a Chinese large language model that shook up the American AI industry earlier this year. The move is part of a larger Trump administration effort to accelerate the expansion of American AI companies. On his first day in office Trump rescinded a Biden executive order that ordered new safety standards for large AI systems and a report evaluating the potential risks for US consumers and the labor market. His own executive orders have encouraged increasing generative AI adoption in fields like education and promoting coal as a source of power for energy-hungry AI data centers. And the current Republican budget bill includes a 10-year moratorium on state-level AI regulations — a provision even some in Trump’s party have come to oppose.

Lousy ROI Elon Musk counts the cost of his four-month blitz through US government Term at DOGE did serious damage to his brands, only achieved a fraction of hoped-for savings. Joe Miller and Alex Rogers, Financial Times – May 30, 2025 9:28 am | 59 Elon Musk wields a chainsaw at the Conservative Political Action Conference in February to illustrate his aim to cut government waste Credit: Jose Luis Magana/AP Elon Musk wields a chainsaw at the Conservative Political Action Conference in February to illustrate his aim to cut government waste Credit: Jose Luis Magana/AP Story text Size Small Standard Large Width * Standard Wide Links Standard Orange * Subscribers only   Learn more Elon Musk’s four-month blitz through the US government briefly made him Washington’s most powerful businessman since the Gilded Age. But it has done little for his reputation or that of his companies. Musk this week formally abandoned his role as the head of the so-called Department of Government Efficiency (Doge), which has failed to find even a fraction of the $2 trillion in savings he originally pledged. On Thursday, Donald Trump lamented his departure but said Musk “will always be with us, helping all the way.” Yet the billionaire will be left calculating the cost of his involvement with Trump and the meagre return on his $250 million investment in the US president’s election campaign. “I appreciate the fact that Mr Musk put what was good for the country ahead of what was good for his own bottom line,” Tom Cole, the Republican chair of the House Appropriations Committee, told the Financial Times. After Doge was announced, a majority of American voters believed Musk would use the body to “enrich himself and undermine his business rivals,” according to a survey, instead of streamlining the government. Progressive groups warned that he would be “rigging federal procurement for billionaires and their pals” and cut regulations that govern his companies Tesla and SpaceX. Democratic lawmakers said Doge was a “cover-up” of a more sinister, self-serving exercise by the world’s richest person. Early moves by the Trump administration suggested Musk might get value for money. A lawsuit brought by the Biden administration against SpaceX over its hiring practices was dropped in February, and regulators probing his brain-implant company Neuralink were dismissed. Musk’s satellite Internet business Starlink was touted by Commerce Secretary Howard Lutnick as a potential beneficiary of a $42 billion rural broadband scheme. An executive order calling for the establishment of a multibillion-dollar Iron Dome defense system in the US looked set to benefit Musk, due to SpaceX’s dominance in rocket launches. The gutting of various watchdogs across government also benefited Musk’s businesses, while a number of large US companies rushed to ink deals with Starlink or increase their advertising spending on X. Starlink also signed agreements to operate in India, Pakistan, and Vietnam, among other countries it has long wished to expand into. But while Doge took a scythe to various causes loathed by Musk, most notably international aid spending and government contracts purportedly linked to diversity initiatives or “woke” research, it also caused severe blowback to the billionaire’s businesses, particularly Tesla. At one point during his Doge tenure, Tesla’s stock had fallen 45 percent from its highest point last year, and reports emerged that the company’s board of directors had sought to replace Musk as chief executive. The 53-year-old’s personal wealth dropped by tens of billions of dollars, while his dealerships were torched and death threats poured in. Some of the brand damage to Tesla, until recently Musk’s primary source of wealth, could be permanent. “Eighty percent of Teslas in the US were sold in blue zip codes,” a former senior employee said. “Obviously that constituency has been deeply offended.” Starlink lost lucrative contracts in Canada and Mexico due to Musk’s political activities, while X lost 11 million users in Europe alone. Probes of Tesla and SpaceX by government regulators also continued apace, while the Trump administration pressed ahead with plans to abolish tax credits for electric vehicles and waged a trade war vehemently opposed by Musk that threatened to further damage car sales. In the political arena, few people were cheered by Doge’s work. Democrats were outraged by the gutting of foreign aid and by Musk’s 20-something acolytes gaining access to the Treasury’s payment system, along with the ousting of thousands of federal workers. Republicans looked askance at attempts to target defense spending. And true budget hawks were bitter that Musk could only cut a few billion dollars. Bill Gates even accused Musk of “killing the world’s poorest children” through his actions at Doge. Musk, so used to getting his way at his businesses, struggled for control. At various points in his tenure he took on Treasury Secretary Scott Bessent, Secretary of State Marco Rubio, Transport Secretary Sean Duffy, and trade tsar Peter Navarro, while clashing with several other senior officials. Far from being laser-focused on eliminating waste, Musk’s foray into government was a “revenge tour” against a bureaucracy the billionaire had come to see as the enemy of innovation, a former senior colleague of Musk’s said, highlighting the entrepreneur’s frustration with COVID-19 regulations in California, his perceived snub by the Biden administration, and his anger over his daughter’s gender transition. Trump’s AI and crypto tsar, David Sacks, an influential political voice in the tech world, “whipped [Musk] up into a very, very far-right kind of mindset,” the person added, to the extent that was “going to help this administration in crushing the ‘woke’ agenda.” Neither Musk nor Sacks responded to requests for comment. Musk, who claimed Doge only acted in an “advisory role,” this week expressed frustration at it being used as a “whipping boy” for unpopular cuts decided by the White House and cabinet secretaries. “Trump, I think, was very savvy and allowed Doge to kind of take all those headlines for a traditional political scapegoat,” said Sahil Lavingia, head of a commerce start-up who worked for Doge until earlier this month. Musk, he added, might also have been keen to take credit for the gutting of USAID and other moves but ultimately garnered unwanted attention. “If you were truly evil, [you] would just be more quiet,” said Lavingia, who joined the initiative in order to streamline processes within government. “You would do the evil stuff quietly.” The noise surrounding Musk, whose ability to dominate news cycles with a single post on his social media site X rivaled Trump’s own hold on the headlines, also frustrated the administration. This week, White House Deputy Chief of Staff Stephen Miller took to X to indirectly rebut the billionaire’s criticism of Trump’s signature tax bill, which he had lambasted for failing to cut the deficit or codify Doge’s cuts. Once almost synonymous with Musk, Doge is now being melded into the rest of government. In a briefing on Thursday, White House Press Secretary Karoline Leavitt said that following Musk’s departure, cabinet secretaries would “continue to work with the respective Doge employees who have onboarded as political appointees at all of these agencies.” She added: “The Doge leaders are each and every member of the President’s Cabinet and the President himself.” Doge’s aims have also become decidedly more quotidian. Tom Krause, a Musk ally who joined Doge and was installed at Treasury, briefed congressional staff this week on improvements to the IRS’s application program interfaces and customer service, according to a person familiar with the matter. Other Doge staffers are doing audits of IT contracts—work Lavingia compares with that done by McKinsey consultants. Freed from the constraints of being a government employee, Musk is increasingly threatening to become a thorn in Trump’s side. Soon after his Doge departure was announced, he again criticized the White House, this time over its plan to cancel clean energy tax credits. “Teddy Roosevelt had that great adage: ‘speak softly but carry a big stick’,” Fred Thiel, the chief executive of Bitcoin mining company MARA Holdings, told the FT. “Maybe Elon’s approach was a little bit different.” © 2025 The Financial Times Ltd. All rights reserved. Not to be redistributed, copied, or modified in any way. Joe Miller and Alex Rogers, Financial Times Joe Miller and Alex Rogers, Financial Times 59 Comments

President Donald Trump has disrupted global trade and roiled markets in an effort to bring manufacturing jobs back to the U.S. Some of his top tech allies, however, have backed ventures that replace human workers with robots.Elon Musk, a top donor and adviser to Trump, has touted humanoid robots as a future growth area for electric-carmaker Tesla. "You can produce any product,” Musk said of the robots’ potential capacity during a February interview with Dubai's World Governments Summit.Amazon founder Jeff Bezos, who Trump last month called “terrific,” has invested in several advanced robotics firms.Bezos last year poured funds into Figure, a humanoid robot company that says its initial rollout will focus on manufacturers and warehouses, among other business applications. “We believe humanoids will revolutionize a variety of industries,” the company says on its website.Nvidia CEO Jensen Huang and OpenAI CEO Sam Altman – both of whom joined Trump on his recent trip to the Middle East – helmed their respective companies as each invested in Figure. OpenAI ended its partnership with Figure last year.“Trump is talking about bringing back the jobs, and he’s not understanding the tension between that goal and automation, which the tech bros have enthusiasm for,” Harry Holzer, a professor of public policy at Georgetown University and a former chief economist at the U.S. Department of Labor, told ABC News. “There’s a fundamental conflict between those goals.”MORE: Trump wants Apple to make iPhones in the US. Will it ever happen?Musk did not immediately respond to ABC News’ request for comment made through Musk-owned firm SpaceX. Neither Bezos, Huang nor Altman responded to ABC News’ request.Speaking at a conference in April, Huang said the onset of artificial intelligence would fuel "new types of factories," which in turn would create jobs in construction and steelmaking, as well as in trades such as plumbing and electricity.Even more, Huang said, AI is set to trigger a surge in productivity at companies that adopt the new technology, allowing them to add employees as the firms increase output and revenue."New jobs will be created, some jobs will be lost, every job will be changed," Huang said. "Remember, it's not AI that's going to take your job. It's not AI that's going to destroy your company. It's the company and the person who uses AI that's going to take your job. And so that's something to internalize."Even after a rollback of some levies, consumers face the highest overall average effective tariff rate since 1934, the Yale Budget Lab found earlier this month.A key reason for the tariffs, White House officials say: Reshoring factories and rejuvenating employment in the manufacturing industry.Commerce Secretary Howard Lutnick said this month in an interview with Fox News that Trump's vision for ushering in a "golden age" for America involved enticing manufacturers to open factories and build in the United States."We're going to have huge jobs in manufacturing. You've heard the president talk about trillions and trillions of factories being built in America," he said in the interview on May 11.In response to ABC News' request for comment, White House Spokesperson Kush Desai said "the importance of President Trump’s push to reinvigorate American industry goes beyond creating good-paying jobs for everyday Americans.""Supply chain shocks of critical pharmaceuticals, medical equipment, and semiconductors during the COVID era prove that America cannot rely on foreign imports. The Trump administration remains committed to reshoring manufacturing that’s critical to our national and economic security with a multifaceted approach of tariffs, tax cuts, rapid deregulation, and domestic energy production," Desai added.The share of U.S. workers in manufacturing has plummeted for decades. Roughly 8% of U.S. workers currently hold positions in manufacturing, which marks a steep decline from about a quarter of all employees as recently as 1970.Researchers attribute such decline to overlapping trends, including the offshoring of manufacturing to low-wage markets overseas and the adoption of labor-saving technology throughout the sector.Long before current advances, automation significantly increased productivity in U.S. factories, meaning the same number of workers could produce many more goods, researchers at Ball State University found in 2015. As a result, they said, manufacturing employment stagnated for decades even as output climbed.Popular Reads“Automation is something we’ve seen for a long time,” Philipp Kircher, a professor of industrial and labor relations at Cornell University, told ABC News.CEO of Meta and Facebook Mark Zuckerberg, Lauren Sanchez, Amazon founder Jeff Bezos, Google CEO Sundar Pichai and Tesla and SpaceX CEO Elon Musk attend the inauguration ceremony of Donald Trump in Washington, D.C., on Jan. 20, 2025.Julia Demaree Nikhinson, Pool via AFP via Getty Images, FILESome of Trump’s tech allies have backed firms that seek to further automate manufacturing, touting a new wave of artificial-intelligence equipped robots as a replacement for some workers and salve for labor shortages.Robotics outfit Vicarious boasts $250 million in investments from a set of backers that includes Bezos, Musk and Meta CEO Mark Zuckerberg – all of whom flanked Trump during his inauguration.On a webpage displaying photos of robots for use in warehouse settings, Vicarious tells potential clients that the products can “reduce both your costs and person-hour needs.”In 2022, Vicarious was acquired by Alphabet-backed robotics software firm Intrinsic. Alphabet CEO Sundar Pichai also sat alongside tech leaders at Trump’s inauguration.Alphabet did not respond to ABC News' request for comment. Meta declined to comment.Yong Suk Lee, a professor of economics and technology at the University of Notre Dame, described the views on automation among Trump’s tech allies and some of his trade advisers as “opposed.”The tech position, Lee said, would likely win out, even if some firms do open plants in the U.S.“If you want to reshore, are you going to pay the same wages as Vietnam? Probably not,” Lee said. “Companies are faced with higher labor costs. In that case, they’ll probably automate.”Discordant views among some tech leaders and White House officials surfaced in April, when Musk sharply criticized tariff-advocate Peter Navarro, Trump’s senior counselor for trade and manufacturing. Navarro, Musk said, is “truly a moron.”In an interview with CNBC, Navarro responded, saying Musk "isn't a car manufacturer — he's a car assembler.”MORE: Target CEO says tariffs risk 'massive' costs, but price hikes a 'last resort'To be sure, analysts said, automation in manufacturing would likely continue regardless of support from Trump’s tech allies, since producers are locked in a competition to lower costs and increase output. The precise outlook for manufacturing employment is unclear, they added, since additional technology may add jobs for those maintaining and optimizing the machinery.“Whether it’s the companies that currently support the U.S. president or not, somebody would be doing this innovation, maybe slightly slower,” Kircher said.Even at current employment levels, a labor shortage bedevils U.S. manufacturers. Roughly one of every five U.S. factories that failed to produce at full capacity cited a shortage of workers, Jason Miller, a professor of supply chain management at Michigan State University, found in a January study analyzing government data.Agility Robots, an Amazon-backed firm building humanoid robots, identifies the current push for rejuvenated U.S. manufacturing as an opportunity for greater adoption of technology.“Manufacturing companies are seeing a massive reshoring movement spanning various industries,” Agility Robots says on its website. “Adding a humanoid robot to your manufacturing facility is a great way to stay on the leading edge of automation.”In response to ABC News' request for comment, an Amazon spokesperson pointed to previous remarks about robotics made by a company executive."Our goal is to ensure these systems improve safety and productivity. Technology should be used to help us retain and grow our talent through skill development and reimagining how we make our workplace better, both in productivity and safety. If we do this well, we’re certain to always innovate for our customers," Tye Brady, chief technologist at Amazon Robotics, said in a September blog post.Amazon has "created more U.S. jobs in the last decade than any other company," Amazon said this month.

May 23, 20255 min readNOAA Says It’s Ready for Hurricane Season, but Weather Experts Are WorriedAs hurricane season approaches, thousands of weather and disaster experts have raised concerns about NOAA and NWS budget cuts and staffing shortagesBy Chelsea Harvey & E&E News The remnants of Hurricane Helene begin to dissipate over the United States in this NOAA satellite from Sept. 27, 2024. Space Image Archive/Alamy Stock PhotoCLIMATEWIRE | The National Oceanic and Atmospheric Administration insists it’s ready for the above-average hurricane season that meteorologists expect this summer.But scientists across the country are sounding the alarm about personnel shortages and budget cuts, which they say could strain the agency’s resources and risk burnout among its staff.The tension was on display Thursday as NOAA officials announced the agency’s annual Atlantic hurricane season outlook.On supporting science journalismIf you're enjoying this article, consider supporting our award-winning journalism by subscribing. By purchasing a subscription you are helping to ensure the future of impactful stories about the discoveries and ideas shaping our world today.This year’s projection suggests a 60 percent chance of an above-average season, with anywhere from 13 to 19 named storms and three to five major hurricanes. That’s compared with the long term average of 14 named storms and three major hurricanes in a typical season.NOAA hosted this year’s announcement in Gretna, Louisiana, just outside New Orleans, in a nod to the upcoming 20th anniversary of Hurricane Katrina, which devastated the city in 2005. The agency has made significant strides in hurricane forecasts and warnings over the past two decades, officials said — including life-saving improvements in hurricane track and intensity predictions and new forms of modeling, radar and observation technology.“These improvements and collaborative efforts demonstrate that NOAA is now more prepared than ever for what hurricane season may bring,” said NOAA chief of staff Laura Grimm.But reporters at the briefing pushed back on that certainty, noting that recent cuts have eroded some of the agency’s observation capabilities and left dozens of local National Weather Service offices understaffed.Thousands of scientists have raised the same concerns over the past few months, as the Trump administration has reduced NOAA staff by more than 2,200 people, or around 20 percent of its former workforce. The administration also has proposed a plan to dramatically reorganize the agency and effectively eliminate its climate research operations.The National Weather Service alone has lost around 550 staff members since January, leaving the agency scrambling to fill at least 155 key job openings at regional offices around the country; some include top positions such as meteorologist-in-charge.At least 3,300 scientists have signed an open letter to Commerce Secretary Howard Lutnick, who leads the department that oversees NOAA, warning that cuts to the agency could have “dire consequences for American lives and livelihoods.”And earlier this month, five former National Weather Service directors published an open letter warning that the recent cuts mean NWS staff members face “an impossible task” when it comes to maintaining their usual level of service.Volunteers work to remove debris and mud from a flooded home on Edwards Avenue in Beacon Village neighborhood after a catastrophic flooding caused from Hurricane Helene caused the Swannanoa river to swell to record levels October 5, 2024 in Swannanoa, North Carolina.Steve Exum/Getty Images“Some forecast offices will be so short-staffed that they may be forced to go to part time services,” the letter warned. “Our worst nightmare is that weather forecast offices will be so understaffed that there will be needless loss of life.”NOAA officials sidestepped these worries at Thursday's presentation, insisting the National Hurricane Center’s headquarters is fully staffed and prepared for the upcoming season.“We had some folks go,” said National Weather Service director Ken Graham. “But we’re gonna make sure that we have everything that we have on the front lines. Every warning’s gonna go out.”It remains unclear how the agency plans to address the dozens of vacancies at local offices across the country, including some hurricane-prone areas along the East and Gulf coasts. Lawmakers have reported that NOAA managers are encouraging staff members to pursue reassignments to understaffed offices, while the former NWS directors noted that staff members have been known to sleep in their offices to avoid gaps in coverage.That scenario played out recently at a regional office in Jackson, Kentucky, that is so understaffed that it’s no longer able to regularly operate overnight. When deadly tornadoes struck the region earlier this month, meteorologists there made the decision to call all hands on deck to staff the overnight shift and ensure the quality of forecasts and warnings, CNN reported.But experts say it’s an unsustainable system, which could lead to burnout this summer when disasters like hurricanes, floods and wildfires are at their peak.“It’s not sustainable if we have multiple high-impact weather events,” said Brian LaMarre, a former meteorologist-in-charge at the National Weather Service’s Tampa Bay Area office and founder of the weather consulting service Inspire Weather. “It doesn't matter if we’re forecasting above normal or below normal, it only takes that one storm to truly make a significant impact.”Risks rise with global temperaturesMeanwhile, Atlantic hurricane seasons are expected to grow more intense as global temperatures rise.This year’s projections for an active season are partly linked to above-average ocean temperatures, which help fuel the formation of tropical cyclones. This year’s temperatures aren’t as warm as they were the past two seasons, when ocean waters broke daily records for more than a year. But they’re still warm enough to cause concern.Natural climate cycles play a part in each year’s hurricane outlook. Every few years, the planet shifts between El Niño and La Niña events, which cause temperatures in the Pacific Ocean to grow periodically warmer and cooler. These events influence weather and climate patterns around the globe, with El Niño typically associated with below-average Atlantic hurricane activity and La Niña contributing to more active seasons.This year, the planet is in a neutral phase, meaning Pacific Ocean temperatures are close to average. With no El Niño event to hinder the formation of tropical cyclones, warmer-than-average Atlantic temperatures are likely to fuel an active season.Climate change is partly to blame. Scientists warn that greenhouse gas emissions and continued global warming are gradually raising sea surface temperatures across much of the world. Studies suggest that hurricanes are intensifying faster and growing stronger as a result, leading to a greater risk of major storms striking the United States.Last year’s Atlantic hurricane season was a stark reminder of the growing dangers.Hurricane Beryl smashed records in July as the earliest Atlantic hurricane to achieve a Category 4, before eventually expanding to a Category 5. Hurricane Milton rapidly intensified into the season’s second Category 5 storm — and although it weakened to a Category 3 before making landfall, it dropped historic rainfall and spawned dozens of tornadoes along the Florida coast.And Hurricane Helene made history as an unusually large and fast-moving storm, hitting Florida as a Category 4 and barreling inland, where it carved a path of destruction through Appalachia. It became the deadliest storm to strike the mainland U.S. since Hurricane Katrina.Reprinted from E&E News with permission from POLITICO, LLC. Copyright 2025. E&E News provides essential news for energy and environment professionals.

President Donald Trump holds his $5 million "gold card" visa on an Air Force One flight. Mandel Ngan/AFP/Getty Images 2025-05-23T10:36:14Z Save Saved Read in app This story is available exclusively to Business Insider subscribers. Become an Insider and start reading now. Have an account? President Donald Trump's $5 million "gold card" visa aimed at the rich could face limited demand. One analyst said even the wealthy may be reluctant to pay that much as a fee rather than an investment. The move appears to have boosted interest in the EB-5 visa program, Henley & Partners said. In February President Donald Trump announced a $5 million "gold card" visa scheme that would offer green card privileges and a "route to citizenship."He's suggested that as many as one million people might want to buy one, while Commerce Secretary Howard Lutnick has said that 250,000 people were "waiting in line" and "willing to pay the $5 million" fee.This week Lutnick told Axios that a website where potential applicants could register their interest would go live within weeks and that further details would follow.Dominic Volek,"Their estimations are just simply way off," he told Business Insider. "As a general rule of thumb for wealthy people, they won't spend more than 10% of their liquid net worth on a single discretionary purchase" — whether that's a yacht, a watch, or the right to live in a country.Volek said that to comfortably afford $5 million, an individual would need at least $50 million in liquid net worth."Globally, there's probably only 100,000 to 150,000 people who have that kind of net worth, and the majority are already in the US. And so that leaves you with less than 100,000 people as a potential market," he said.Even if you're quite wealthy, the idea of handing over $5 million rather than investing it may be a tough sell. Many other countries with citizenship or residence-by-investment programs offer tangible returns, not pure capital outflows.New Zealand offers residency in exchange for a $2.95 million investment, while Singapore requires a $7.8 million investment.Tax trouble"Those were all investments," Volek said. "That's money I put into the stock market, into a business, into a bond, and I get a return." Another factor is taxation. Unlike many countries, the US taxes citizens — and even green card holders living abroad — on their worldwide income."It's not a good place to be from a tax perspective," Volek said. "If the tax treatment is not adjusted, then it will be a massive failure."Trump's plan has triggered a ripple effect by boosting interest for the more affordable EB-5 immigrant investor visa, which offers green cards for a $1.05 million investment."Probably 80% of the prospects we were speaking to immediately called and said, 'Let's start the process. Let's get our petition in,'" Volek said.According to a recent report from Henley & Partners and global wealth intelligence firm New World Wealth, EB-5 visa enquiries jumped 168% in the first quarter of this year compared to the last quarter of 2024.By April, enquiries about the EB-5 program had already reached nearly 50% of 2024's total, the firm said.Lutnick has suggested that the gold card visa could replace the EB-5 program.The White House did not immediately respond to a request for comment.

As Trump axes the Digital Equity Act, other digital divide initiatives remain at risk. Credit: Kathleen Flynn / The Washington Post via Getty Images The Trump administration continues with its cost-slashing, anti-DEI agenda, and its coming for nationwide efforts to close the digital divide next.On May 8, President Donald Trump posted to Truth Social that he was directing the end of the Biden-Harris era Digital Equity Act. Trump called the program — which allocated $2.75 billion to digital inclusion programs — "racist" and "illegal." Last week, the National Telecommunications and Information Administration (NTIA) abruptly terminated grants for 20 different state projects under the act, including digital access in K-12 schools, veteran and senior programs, and rural connectivity efforts. The State Educational Technology Directors Association (SETDA) called the decision a "significant setback" to universal access goals. "SETDA stands with our state members and partner organizations who have been diligently building inclusive broadband and digital access plans rooted in community need, engagement, and systemic transformation. Equitable access to technology is not a partisan issue–it is a public good." You May Also Like The decision points to an uncertain future for existing broadband and digital connectivity efforts managed or funded by the federal government. Since most serve specific communities and demographics which are at the highest risk of being technologically disconnected or left behind, they have entered the crosshairs of the administration's "anti-woke" crusade. Indigenous connectivity advocates, for example, warned that a Trump presidency would have an immediate impact on rural broadband projects that were in the process of breaking ground, as the president simultaneously promised to shake up the FCC and whittle down the federal government's spending. Mashable Light Speed Want more out-of-this world tech, space and science stories? Sign up for Mashable's weekly Light Speed newsletter. By clicking Sign Me Up, you confirm you are 16+ and agree to our Terms of Use and Privacy Policy. Thanks for signing up! “Ongoing efforts to bridge the digital divide in the U.S. face significant challenges with the recent termination of the Digital Equity Act, and potential drastic changes coming to the Broadband Equity Access and Deployment (BEAD) program," said Sharayah Lane, senior advisor of community connectivity for the global nonprofit the Internet Society and member of the Lummi Nation. "This will critically impact the future of affordable, reliable, high-speed Internet access in underserved areas, further limiting essential education, healthcare, and economic opportunities."The Biden administration, which pledged billions of federal dollars to building out the nation's high speed broadband and fiber optic network, had made closing the digital divide a central component to its massive federal spending package, including launching the Affordable Connectivity Program, the Tribal Broadband Connectivity Program, and the BEAD initiative. BEAD funds, in particular, were split up between state broadband infrastructure projects, including 19 grants over $1 billion. But now the funds are being pulled out from under them. Commerce Secretary Howard Lutnick has had the $42 billion BEAD budget under review since Trump took office, and has falsely claimed that the program "has not connected a single person to the internet," but is rather a "woke mandate" under the previous presidency. Related Stories Meanwhile, Trump has pushed to open up an auction of highly sought after spectrum bands to serve WiFi, 5G, and 6G projects under his "One Big Beautiful Bill" — a move that may sideline rural connectivity projects focused on building reliable, physical connections to high speed internet. Advocates have long fought for federal investment in "missing middle miles" of fiber optic cables and broadband, rather than unstable satellite connections, such as those promised by Elon Musk's Starlink. "We need to prioritize investments in sustainable infrastructure through programs like BEAD and the Digital Equity Act to ensure long-term, affordable Internet access for all Americans, strengthen the economy, and bolster the nation’s overall digital resilience," said Lane. Chase DiBenedetto Social Good Reporter Chase joined Mashable's Social Good team in 2020, covering online stories about digital activism, climate justice, accessibility, and media representation. Her work also captures how these conversations manifest in politics, popular culture, and fandom. Sometimes she's very funny.

It seems like a triumph for a cryptocurrency industry that has long sought mainstream acceptance: Top investors in one of President Donald Trump’s crypto projects invited to dine with him at his luxury golf club in Northern Virginia on the heels of the Senate advancing key pro-crypto legislation and while bitcoin prices soar.But Thursday night’s dinner for the 220 biggest investors in the $TRUMP meme coin has raised uncomfortable questions about potentially shadowy buyers using the anonymity of the internet to buy access to the president.While Democrats charge that Trump is using the power of the presidency to boost profits for his family business, even some pro-Trump crypto enthusiasts worry that the president’s push into meme coins isn’t helping their efforts to establish the credibility, stability and legitimacy they had thought his administration would bring to their businesses.After feeling unfairly targeted by the Biden administration, the industry has quickly become a dominant political force, donating huge sums to help Trump and crypto-friendly lawmakers. But that’s also served to tether the industry—sometimes uncomfortably—to a president who is using crypto as a platform to make money for his brand in unprecedented ways.“It’s distasteful and an unnecessary distraction,” said Nic Carter, a Trump supporter and partner at the crypto investment firm Castle Island Ventures, who said the president is “hugging us to death” with his private crypto businesses. “We would much rather that he passes common-sense legislation and leave it at that.” Concerns about Trump’s crypto ventures predate Inauguration Day At the swanky Crypto Ball held down the street from the White House three days before he took office on Jan. 20, Trump announced the creation of the meme coin $TRUMP as a way for his supporters to “have fun.”Meme coins are the crypto sector’s black sheep. They are often created as a joke, with no real utility and prone to extremely wild price swings that tend to enrich a small group of insiders at the expense of less sophisticated investors.The president’s meme coin is different, however, and has a clear utility: access to Trump. The top 25 investors of $TRUMP are set to attend a private reception with the president Thursday, with the top four getting $100,000 crypto-themed and Trump-branded watches.Trump’s meme coin saw an initial spike in value, followed by a steep drop. The price saw a significant increase after the dinner contest was announced. Its creators, which include an entity controlled by the Trump Organization, have made hundreds of millions of dollars by collecting fees on trades.First lady Melania Trump has her own meme coin, and Trump’s sons, Eric and Don Jr.—who are running the Trump Organization while their father is president—announced they are partnering with an existing firm to create a crypto mining company.The Trump family also holds about a 60% stake in World Liberty Financial, a crypto project that provides yet another avenue where investors are buying in and enriching the president’s relatives. World Liberty has launched its own stablecoin, USD1. The project got a boost recently when World Liberty announced an investment fund in the United Arab Emirates would be using $2 billion worth of USD1 to purchase a stake in Binance, the world’s largest cryptocurrency exchange.A rapidly growing form of crypto, stablecoins have values pegged to fixed assets like the U.S. dollar. Issuers profit by collecting the interest on the Treasury bonds and other assets used to back the stablecoins.Crypto is now one of the most significant sources of the Trump family’s wealth.“He’s becoming a salesman-in-chief,” said James Thurber, an American University professor emeritus who has long studied and taught about corruption around the world. “It allows for foreign influence easily. It allows for crypto lobbying going on at this dinner, and other ways. It allows for huge conflicts of interest.” How Trump changed his mind on crypto “I’m a big crypto fan,” Trump told reporters aboard Air Force One during last week’s trip to the Middle East. “I’ve been that from the beginning, right from the campaign.”That wasn’t always true. During his first term, Trump posted in July 2019 that cryptocurrencies were “not money” and had value that was “highly volatile and based on thin air.”“Unregulated Crypto Assets can facilitate unlawful behavior, including drug trade,” he added then. Even after leaving office in 2021, Trump told Fox Business Network that bitcoin, the world’s most popular cryptocurrency, “seems like a scam.”Trump began to shift during a crypto event at his Mar-a-Lago club in Florida in May 2024, receiving assurances that industry backers would spend lavishly to get him reelected. Another major milestone came last June, when Trump attended a high-dollar fundraiser at the San Francisco home of David Sacks.He further warmed to the industry weeks later, when Trump met at Mar-a-Lago with bitcoin miners. The following month, he addressed a major crypto conference in Nashville, promising to make the U.S. the “crypto capital of the planet.”Those close to Trump, including his sons and billionaire Elon Musk, helped further push his embrace of the industry. Sacks is now the Trump administration’s crypto czar, and many Cabinet members—including Commerce Secretary Howard Lutnick and Defense Secretary Pete Hegseth—have long been enthusiastic crypto boosters.“I don’t have faith in the dollar,” Transportation Secretary Sean Duffy said in a 2023 interview. “I’m bullish on bitcoin.” Trump + crypto: A political marriage of convenience Many top crypto backers were naturally wary of traditional politics, but gravitated toward Trump last year. They bristled at Democratic President Joe Biden ‘s Securities and Exchange Commission aggressively bringing civil suits against several major crypto companies.Since Trump took office, many such cases have been dropped or paused, including one alleging that Justin Sun, a China-born crypto entrepreneur, and his company engaged in market manipulation and paid celebrities for undisclosed promotions.Sun, who once paid $6.2 million for a piece of art involving a banana taped to a wall, and then ate the banana, helped the Trumps start World Liberty Financial with an early $75 million investment.Sun has disclosed on social media that he is the biggest holder of $TRUMP meme coins and is attending Thursday’s dinner.“I’m excited to connect with everyone, talk crypto, and discuss the future of our industry,” Sun said. Are Trump family profits hurting other crypto investors? Trump has signed executive orders promoting the industry, including calls to create a government bitcoin reserve. In March, Trump convened the first cryptocurrency summit at the White House.But some of the industry’s biggest names, often brash and outspoken, have kept mostly mum on Trump’s meme coins and other projects.“It’s not my place to really comment on President Trump’s activity,” Coinbase CEO Brian Armstrong said at a recent public event.Meanwhile, a top legislative priority for crypto-backers, a bill clarifying how digital assets are to be regulated, has advanced in the Senate. But some Democrats have tried to stall other pro-crypto legislation over the president’s personal dealings.“Never in American history has a sitting president so blatantly violated the ethics laws,” Democratic Rep. Stephen Lynch of Massachusetts said during a contentious House hearing earlier this month.The White House referred questions about dinner attendees to the Trump Organization, which didn’t provide a list of who is coming.“The President is working to secure GOOD deals for the American people, not for himself,” White House spokeswoman Anna Kelly said in a statement.In addition to Sun, however, some attendees have publicized qualifying for the dinner. Another will be Sheldon Xia, the founder of a cryptocurrency exchange called BitMart that’s registered in the Cayman Islands.“Proud to support President Trump’s pro-crypto vision.” Xia wrote in both English and Chinese on social media.Thurber, the expert on government and ethics, said Trump’s “personal attention to crypto at this dinner helps the crypto industry.”“But also it’s risky,” he said, “because they could all lose a lot of money.” —Will Weissert and Alan Suderman, Associated Press

May 20, 20255 min readNOAA Has ‘Ground to a Halt’ amid Backlog of Unsigned ContractsA NOAA official says that “everything has ground to a halt” at the agency as staffers have waited for Secretary of Commerce Howard Lutnick to review more than 200 agreementsBy Scott Waldman & E&E News Howard Lutnick, US commerce secretary, during an executive order signing in the Oval Office of the White House in Washington, DC, US, on Wednesday, April 23, 2025. Samuel Corum/Sipa/Bloomberg via Getty ImagesCLIMATEWIRE | A growing backlog of hundreds of unsigned NOAA contracts has slowed agency operations to a crawl — so much so that even Sen. Ted Cruz, a staunch ally of the Trump administration, has raised concerns about the gridlock.The bottleneck is due largely to one man: Commerce Secretary Howard Lutnick, whose portfolio includes the National Oceanic and Atmospheric Administration. After taking office in February, Lutnick insisted that he personally review any contract in excess of $100,000.Intended as an attempt to identify waste and redundancy, the policy instead has sown chaos at the nation’s preeminent climate and weather agency, say former and current NOAA officials.On supporting science journalismIf you're enjoying this article, consider supporting our award-winning journalism by subscribing. By purchasing a subscription you are helping to ensure the future of impactful stories about the discoveries and ideas shaping our world today.More than 200 NOAA contracts — including one aimed at helping local communities prepare for extreme weather events — are now stuck in limbo, waiting for Lutnick to make a decision. The impasse has forced NOAA to furlough employees, and it has created a work environment where NOAA staffers spend much of their time trying to justify their work — rather than doing it, they say.“Everything has ground to a halt,” said one NOAA official who was granted anonymity for fear of reprisal. “We prepare briefings and fill out new forms, nothing is addressed until the very last minute (or later), stress and urgency is very high.”The NOAA contracts that do make it through the wicket often are done at the eleventh hour, such as one designed to ensure two polar weather satellites receive the flight software updates they need. Others languish for days or weeks beyond their expiration before any action is taken.Both Cruz and a second NOAA official, who also was granted anonymity for fear of reprisal, say Lutnick typically reviews about two dozen contracts a week — a tiny fraction of the total.And Cruz warned the backlog could get worse — and cause trouble in his home state of Texas.“NOAA alone has 5,700 contracts set to expire this year,” said the Republican lawmaker at a Senate hearing earlier this month.“These contracts include everything from post-hurricane flood assessment to janitorial services,” Cruz said. He added that a data center at Texas A&M University was shut down for days, “depriving Texas emergency and water managers of critical drought forecasts that help them manage reservoirs and track storm surge data and hurricane forecasts in real time.”Cruz's office did not respond to requests for further comment.Commerce Department officials did not make Lutnick available for an interview, nor did they respond to a list of questions from POLITICO’s E&E News. But Kristen Eichamer, a Commerce spokeswoman, defended the agency’s approach in a statement.“NOAA is focused on modernizing the department by implementing cutting-edge modern technology,” Eichamer said. “We are immersed in NOAA’s mission-critical services and this administration will continue on delivering for the American people.”Former NOAA Administrator Rick Spinrad said it’s perfectly reasonable for administration officials to review outside contracts to ensure they are an effective use of taxpayer money — especially if they cost millions of dollars.But he questioned whether it made sense for Lutnick to review every NOAA contract that exceeded the $100,000 mark, especially if he can’t keep pace with the paperwork. NOAA operations rely on a significant number of contractors, he noted.“The agency ceases and stops operations if the contracts are stuck and so that's what you're starting to see,” Spinrad said.He said too that Lutnick’s policy might be sending the wrong message to NOAA employees.“There's an inherent distrust in this, too, if you don't trust your staff to be making the right decisions, you start doing that,” Spinrad said.To be sure, Lutnick isn’t doing it all on his own.To even land on Lutnick’s desk, NOAA contracts must first go through an approval process led in part by Keegan McLaughlin, a former Temple University student who worked as a food hall monitor last year and lists his Eagle Scout award on his LinkedIn résumé.According to internal documents obtained by E&E News, NOAA officials who want to renew outside contracts typically must make their pitch to McLaughlin and Bryton Shang, who was part of the so-called Department of Government Efficiency (DOGE) operation championed by Elon Musk, the tech billionaire and Trump ally.NOAA officials — many with decades of government experience — have been asked to pitch their requests in the form of a slide show or to write a few bullet points, the documents show.“Keegan and Bryton will ask questions and make a ‘next steps’ decision at the end of the meeting, including requesting any follow-up needed (including needing the program manager to request another meeting),” the document states.McLaughlin and Shang reject some contracts, but any they do approve go to Lutnick’s desk for a final sign-off, according to one current NOAA official.And that’s where they sit.The contracts currently in limbo run the gamut. One has to do with shoreline mapping. Another deals with flood inundation modeling and networks for tsunami warning buoys. Others encompass internet maintenance that ensure key weather data can be distributed during critical events.Though Lutnick promised to keep NOAA intact during his Senate confirmation hearing in January, he hasn’t engaged much with the agency in his short tenure.Part of this is by design: NOAA composes only a piece of the Commerce secretary’s portfolio. Other divisions of Commerce include the Census Bureau, the Patent and Trademark Office and the National Institute of Standards and Technology.And Lutnick has taken on other responsibilities too. In recent weeks, he has been a mouthpiece for the Trump administration’s push to implement new tariffs on foreign goods. And he recently joined President Donald Trump on part of his tour of the Middle East.When Lutnick does get a chance to review NOAA contracts, agency officials say his default setting is to either reject them — or demand partial cuts to the ones he does approve.Also notable: The paralysis created by the contract delays is separate from the Trump White House budget proposal to effectively break up and dismantle NOAA.Taken together, it’s a problematic mix, said Spinrad, the former NOAA administrator, not just because potentially vital programs could be cut, but because the officials making those decisions often lack the institutional knowledge to understand the consequences.“If people don't know the history and don't understand the rules and regulations with respect to how you acquire things with contrasts, they're going to make mistakes,” he said. “And so I think the probability of mistakes is going up when you have inexperienced people doing this kind of thing.”Reprinted from E&E News with permission from POLITICO, LLC. Copyright 2025. E&E News provides essential news for energy and environment professionals.

The commerce secretary also is selling more than $360 million in stock back to his former companies.