Category: ESTA News

The Washington Post (WP) reported on the 23rd that President Donald Trump, who has become close to the artificial intelligence (AI) industry, is facing a backlash from conservatives as he tries to neutralize attempts to regulate AI at the state level.

According to the report, the White House is recently considering an executive order that would require the Department of Justice to file lawsuits against states that enact laws regulating AI, but this is being opposed by Republican politicians and conservative activists.

The WP assessed that President Trump tends to allow considerable freedom to the AI industry, such as by repealing AI regulations implemented by the former Biden administration, but this tone is clashing with his staunch supporters, the MAGA camp, who are wary of AI.

Recently, amid growing concerns that the rapid growth of AI could negatively impact jobs, children, and electricity bills, legislation aimed at controlling it has been introduced in every state in the United States, and some have even been enacted. ; This trend is evident not only in Democratic-leaning states but also in Republican-leaning states like President Trump.

For example, Texas has banned the government from using AI to select welfare recipients, and Ohio has introduced a bill banning the marriage of humans and AI systems. However, President Trump has touted the billions of dollars in ongoing investment in the AI industry as a major accomplishment, and he has maintained close relationships with influential AI investors and entrepreneurs, appointing them to key positions in the administration.

The White House recently urged Congress to include a provision in the National Defense Authorization Act (NDAA), the annual defense budget and policy bill, that states prioritize AI regulation over state regulation.

On the 18th, President Trump claimed on social media, “AI investment is helping make the U.S. economy the hottest in the world, but state overregulation threatens to undermine this vital growth engine.” However, leading Republican politicians argue that state-level AI regulation is needed.

At a press conference on the 21st, Florida Governor Ron DeSantis likened the White House’s attempt to undermine state regulations to the mask mandates during the COVID-19 pandemic, warning, “These massive corporations, with their incredible concentration of power in our society, can also curtail your freedoms.”

Governor DeSantis, who has previously raised concerns that AI could replace workers, announced plans to unveil a state-level AI policy. Utah Governor Spencer Cox also opposed the move, saying, “We’ve already made the mistake of allowing social media companies to destroy the mental health of our children and divide our country. Let’s not repeat that mistake.”

Some Republican politicians are also concerned that the close ties between the administration and the AI industry could weaken the party’s appeal to the public. The Washington Post observed that the conflict over AI regulation is emerging as a new fault line within the Trump campaign, as the interests of working-class voters, President Trump’s grassroots support base, and the AI industry, which has emerged as a key ally and advisor during his second term, clash.
This conflict seems to be related to the economic issues that are dragging down President Trump’s approval ratings, as many voters remain unaware of the economic growth being driven by massive investments in the AI industry due to the high cost of living. It’s also noteworthy that a growing number of Americans are anxious about the impact of AI on the economy and their lives.

A Pew Research poll conducted in June found that 50% of respondents expressed concern about the increased use of AI, up from 37% in 2021. Only 10% said they had greater expectations than concerns.

Due to the proliferation of data centers fueled by increased demand for artificial intelligence (AI), electricity rates have risen by up to 15% in some states.

According to CNBC on the 16th, Virginia, home to the largest number of data centers in the U.S. with 666, saw its electricity rates rise by 13% as of August compared to the same period last year.

During the same period, Illinois, home to 244 data centers, saw its electricity rates rise by 15.8%, while Ohio, home to 193 data centers, saw a 12% increase. This figure is two to three times the annual rate of increase in electricity rates across the United States, which is 5.1%. This is a direct contradiction to President Donald Trump’s pledge to halve electricity rates in his first year in office.

Amazon, Google, Microsoft, and Meta are currently operating large-scale data centers in these areas. Meta plans to build a 1GW (gigawatt) data center, “Prometheus,” in Ohio, and OpenAI, along with Oracle and SoftBank, will build an additional data center in Ohio as part of its “Stargate” initiative.

Google, Microsoft, and Cloud have also announced plans to expand data centers in these areas. Training or running AI models with hundreds of billions of parameters require massive matrix calculations, which inevitably require large amounts of power.

Recently, some large-scale data centers have been announced as gigawatt-scale, with 1GW being equivalent to the power generated by one nuclear power plant or the electricity consumed by approximately one million households simultaneously. Ultimately, as data centers increase, energy demand skyrockets, leading to higher electricity rates.

Virginia Governor-elect Abigail Spanberger, who won the November 4 local elections, has blamed recent electricity rate hikes on data centers and pledged to “make big tech companies pay their share.” Democratic senators, including Senator Bernie Sanders (Independent, Vermont) and Richard Blumenthal (Connecticut), sent a letter to the White House on the 10th, questioning the impact of data centers on electricity rates. Some analysts say this rising electricity rates are fueling a backlash against big tech companies, dubbed “techrash.”

Abraham Silverman, a researcher at Johns Hopkins University, noted, “There’s a growing sentiment, especially in areas with high concentrations of data centers, that people no longer want data centers,” and that “techrash is real.” However, there are also states where electricity rates have remained relatively stable. Texas, with 409 data centers, saw a mere 3.8% annual electricity rate increase, while California, with 321 data centers, saw a mere 1.2% increase.

Texas’ relatively short three-year lead time for connecting new power sources to the grid, providing a stable supply, and California’s shift to sharing wildfire prevention costs, previously charged alongside electricity rates, from general revenue, are believed to have helped stabilize the rate of increase.

The Wall Street Journal (WSJ) reported on the 16th that President Donald Trump’s name appears in about half of the “Epstein emails,” which have once again rocked American politics.

The WSJ analyzed approximately 2,300 emails exchanged between the late financier and child sex offender Jeffrey Epstein and his acquaintances, among files released by the House Oversight Committee. More than half of these emails featured President Trump’s name. The frequency of mentions of Epstein’s name has increased significantly since around 2016, when he was first elected. The content included Epstein criticizing President Trump with friends, passing on relevant information to reporters, and answering acquaintances’ questions about the president.

The WSJ explained that “(President Trump’s name) frequently appeared in shared news articles about his policies during the presidential campaign and in office,” adding that “it was a time when it was difficult to avoid talking about Trump.”

A search for former President Bill Clinton’s name (Clinton) also yielded over 500 results. Most of them were from before Trump ran for president in 2015. Some were about his wife and former Secretary of State Hillary Clinton, Trump’s first presidential opponent.

Former President Barack Obama’s name was also found. Catherine Rummler, a former legal counsel in the Obama White House, was also found to have exchanged regular emails with Epstein about Trump and other topics until 2019, when Epstein took his own life. Other names searched include Andrew Mountbatten-Windsor, who lost his British title; Larry Summers, former Harvard University president and former Treasury Secretary under the Clinton administration; and Boris Nikolich, former scientific advisor to Bill Gates.

While it is difficult to link these individuals to Epstein’s crimes simply because their names were mentioned in emails sent and received by Epstein, some content that seems to hint at this was discovered. An email Epstein sent to his girlfriend and accomplice, Ghylaine Maxwell, was released on the 12th by House Democratic oversight committee members, in which it said, “One of the victims (victims of Epstein’s sexual exploitation) spent several hours at President Trump’s home (Epstein’s home).”

Epstein also interacted extensively with journalists, forming social networks with prominent media figures, seeking to capitalize on favorable press coverage to shore up his career, or seeking political advice. The New York Times (NYT) reported, “Epstein’s Emails Reveal a Lost New York,” that Epstein’s activities in the New York social scene, which was his primary playground and President Trump’s hometown.

The NYT reported that the emails “depicted a twilight period for a group of Wall Street billionaires, media heavyweights, politicians, and socialites with deep pockets,” several of whom would gather at Epstein’s seven-story mansion on New York’s Upper East Side. Epstein exchanged emails with Mortimer Zuckerman, then the real estate mogul and owner of the New York Daily News, including an invitation to the New York Observer’s 25th anniversary event, co-hosted by then-New York City Mayor Michael Bloomberg and President Trump’s son-in-law, Jared Kushner.

Media agent Kuri Haye said in the emails that a Newsweek reporter was working on a story about Epstein’s early sexual misconduct allegations and his return to New York and that the reporter had already been in contact with people in Epstein’s circle, including private equity mogul Leon Black, Victoria’s Secret founder Leslie Wexner, and President Trump.

The Times also noted that former CBS anchor Charlie Rose and film directors Brett Ratner and Woody Allen, who were all disgraced in the late 2010s during the #MeToo movement. In an email to an acquaintance at the time, Epstein wrote, “Many men involved in the #MeToo movement are contacting me and asking, ‘When will this madness stop?'”

President Donald Trump’s renewed push to end the Manhattan congestion charge is resurfacing as a major political issue.

On the 3rd, President Trump instructed Transportation Secretary Sean Duffy to “thoroughly and carefully consider ways to end the Manhattan congestion charge.” He added, “The congestion charge is turning New York City into a ghost town.” Ending the Manhattan congestion charge was one of his key campaign promises, and immediately after taking office, Trump issued an executive order declaring war on New York State. However, the congestion charge escalated into a legal battle when the New York State government and the Metropolitan Transportation Authority (MTA) responded with a lawsuit.

The Southern District of New York federal court granted President Trump’s request for an injunction in May, giving New York a resounding victory in the first legal battle. However, President Trump announced his intention to renew his bid to suspend the Manhattan congestion charge a day before the New York City mayoral election, and the Department of Transportation is expected to release a countermeasure plan soon, raising attention.

According to New York Governor Kathy Hokul’s office, traffic flow and foot traffic have increased south of 60th Street since the congestion charge was implemented. In fact, Broadway show attendance increased by 19% in the first two months of this year compared to the previous year, and as of July, commercial vehicle travel times were faster on 44% of Manhattan roadways between 8 a.m. and 6 p.m.

Transportation advocates also stated, “We still don’t know when the lawsuit between the federal government and the MTA will end,” adding, “However, thanks to a federal court ruling last May, the congestion charge will remain in effect, saving New Yorkers precious time by alleviating traffic congestion.”

Of the six ballot initiatives submitted to the New York City General Election on the 4th, five passed, with one exception.

According to unofficial tallies from the New York City Board of Elections on the 5th, only Proposition 6, which proposed “moving New York City elections to the even-numbered years of the presidential election,” was defeated by 53.03% of the vote.

Propositions 2 through 4, on which the New York City Council and the New York City Mayor were locked in a tight race, all passed, and with the mayor’s landslide victory, affordable housing development and minor modification projects in New York City are expected to be further streamlined without going through the City Council’s approval process.

Proposition 2, which passed with 58.32% of the vote, establishes a fast track to expedite affordable housing development without going through the City Council’s approval process. Proposition 3, which aimed to streamline the review process for minor housing and infrastructure projects, passed with 56.75% of the vote.

Proposition 4, which established a three-member Affordable Housing Appeals Board comprised of the City Council President, Borough President, and Mayor, also passed with 58.30% of the vote.

Meanwhile, Proposition 5 (creating digital city maps for each borough to modernize city operations) and Proposition 1 (an amendment allowing the development of an Olympic sports complex within the Essex County Forest Preserve (Adirondacks)) both passed with overwhelming approval.

The Donald Trump administration has stated that military action against Venezuelan drug cartels is an executive authority that does not require congressional approval.

The Washington Post reported on the 1st that Justice Department General Counsel Elliot Guyger made these remarks during a recent closed-door meeting with members of Congress.

According to sources, Guyger argued that military action against Venezuelan drug cartels does not constitute hostilities under the War Powers Act, which requires congressional authorization. He also announced that the Trump administration does not need to request Congress’s approval for an extension or additional military action against Venezuelan drug cartels.

Currently, the Trump administration is deploying US ships and fighter jets to the Caribbean and sinking drug trafficking vessels, aiming to block the flow of drugs from Venezuela to the United States. Specifically, the US military has deployed nuclear-powered fast-attack submarines and Aegis destroyers to the Caribbean, as well as missile cruisers and littoral combat ships. There is considerable speculation that the US may launch military operations aimed at regime change in Venezuela.

In this regard, there is a growing view in US political circles, particularly among the opposition Democratic Party, that the Trump administration’s military operations without reporting to Congress constitute an abuse of executive power.

While the president, as commander-in-chief, possesses extensive military authority, military action without congressional approval is difficult to justify legally. Article 2 of the US Constitution stipulates that the president serves as Commander-in-Chief of the Armed Forces. However, the power to declare war remains with Congress.

Accordingly, Senator Tim Kaine (D-Va.) introduced a resolution reaffirming Congress’ authority to declare war and other actions. However, the Trump administration maintains that the War Powers Act does not apply to the use of force against Venezuelan drug cartels.

A senior White House official argued, “The War Powers Act only applies to situations that expose American soldiers to danger,” and “The current operation involves precision strikes using drones launched from naval vessels in international waters, so US soldiers are not directly exposed to danger.”

The Trump administration’s tariff policies could significantly increase the amount of gift spending American consumers make during the Thanksgiving and Christmas holidays, according to an analysis.

Online lending company LendingTree applied the Trump administration’s tariff programs to data on gift purchases made by American consumers at the end of last year and estimated that the total cost burden on consumers and retailers would increase by $40.6 billion, CNBC reported on the 2nd. Consumers are estimated to shoulder about 70% of this, or $28.6 billion.

If the current tariff levels had remained in effect last year, each American consumer would have spent an additional $132 (approximately 190,000 won) on gifts. Electronics were found to have incurred the largest increase, with an average increase of $186 (approximately 266,000 won) per person, while clothing and accessories were estimated to have increased by $82 per person. Retailers are estimated to bear the remaining $12 billion (approximately 17 trillion won) of the increased costs due to the tariffs. Although the analysis mechanically applies the current tariff effects to last year’s consumption data, it is seen as suggesting that tariffs could have a significant impact on American consumers and businesses ahead of this year’s holiday shopping season.

Matt Schultz, chief consumer finance analyst at LendingTree, said, “For most Americans, an additional $132 in holiday gift spending is significant.” “Even if the additional costs aren’t enough to shake household finances, they could have a real impact on many families,” he said.

“Consumers may cut back on gift spending this year or take on additional debt.”

Experts assess that the impact of tariffs on US inflation is already visible. Following the interest rate cut decision on the 29th, Federal Reserve Chairman Jerome Powell said in a press conference, “Higher tariffs are pushing up the prices of some goods, which in turn is pushing up the overall price index.”

While Powell believed the tariffs’ impact on inflation would be a one-time effect, he did not rule out the possibility that they could continue to accelerate inflation.

New York City has launched a crackdown on e-bikes exceeding 15 mph.

According to the city, the speed limit for e-bikes will be lowered from 25 mph to 15 mph starting on the 24th. The crackdown applies to e-bikes, pedal-assist bicycles, and e-scooters. Regular bicycles, which use only pedals and do not have an electric motor, are exempt from the speed limit.

Violators caught violating the regulations face a minimum fine of $100. Repeat violators may also be subject to criminal summonses, including confiscation of the e-bike and removal from the delivery platform.

In June, New York City reached an agreement with Lyft, the operator of the bike-sharing service Citi Bike, to lower the speed limit for Citi Bike electric bikes (e-bikes) to 15 miles per hour. According to the city, this e-bike speed limit change led to an 18% decrease in traffic fatalities in New York City between January and September of this year, with 159 fatalities compared to 194 in the same period last year.

Meanwhile, according to MTA data, from 2021 to 2024, six people died and 923 were injured in collisions involving e-bikes and pedestrians.

The defense workers’ union at Boeing, the U.S. aircraft manufacturer that has been on strike for nearly three months, recently rejected the company’s proposed wage negotiations, the union announced on the 26th.

The International Association of Machinists and Aerospace Workers (IAM) Local 837, the union representing Boeing’s defense workers, announced in a statement that day that members voted to reject the company’s proposed wage increases. This marks the fourth time the union has rejected a company-proposed wage increase.

The latest wage increase proposal from Boeing, which includes a 24% base pay increase over the next five years, is largely unchanged from the negotiated offer made last month.

Boeing has repeatedly indicated that the company will not make meaningful improvements to the wage increase plan during the strike.

“Boeing has claimed to listen to its employees, but today’s vote proves they are not listening,” said IAM union president Brian Bryant in a statement.

The 3,200 union members at a Boeing defense plant near St. Louis, Missouri, have been on strike for nearly three months since August 4, demanding higher wages and severance pay. This is the first strike at Boeing’s St. Louis plant in 29 years, since 1996.

Boeing’s defense division produces aircraft such as the F-15 and F/A-18 fighter jets, the T-7A trainer jet, and the MQ-25 drone tanker, as well as missiles. Boeing’s defense, space, and security divisions account for more than a third of the company’s total revenue.

Boeing was already facing a management crisis due to the series of accidents involving the 737 Max, and last year, a seven-week strike by unionized commercial aircraft workers in the Seattle area further exacerbated the company’s financial difficulties, disrupting aircraft production and deliveries.

President Donald Trump’s abrupt announcement on the 15th that he would halt construction of a new Hudson River train tunnel connecting New York and New Jersey has sparked fierce controversy.

At a White House press conference that day, Trump stated, “Russell Bott, the White House Budget Director, is effectively killing many of the Democrats’ projects,” adding, “The Manhattan Project and the New York Project are both finished.”

Trump mentioned Senator Charles Schumer, a vocal supporter of the Gateway Project, saying, “That’s a multi-billion-dollar project Schumer has been trying to secure for 20 years. Tell him it’s stopped.”

It remains unclear why President Trump made this decision, and whether the Manhattan Project he referred to specifically included the Gateway train tunnel and the Second Avenue subway extension, another major infrastructure project in New York.

Senator Schumer, however, vehemently condemned President Trump’s abrupt termination, calling it “a reckless and foolish decision.”

He added, “The Gateway is the most important infrastructure project in America. President Trump’s sabotage of it is a petty political retaliation that will devastate hundreds of thousands of New York and New Jersey commuters and choke our economy.”

Democratic politicians, including New York Governor Kathy Hokul and New Jersey Senator Andy Kim, also expressed criticism and concern. The current Hudson River Tunnel, the sole rail route between New York and New Jersey, is 116 years old and suffering from serious aging issues.

The need for a new train tunnel to improve service for hundreds of thousands of daily passengers has long been emphasized, and construction finally began in 2023 and is currently underway. However, if the $11 billion in federal funding, which accounts for about 70% of the total $16 billion construction cost, is cut off, the project is virtually impossible to complete.

Construction continued the 16th, a day after President Trump’s abrupt announcement of the suspension. The Gateway Development Committee stated that it had not heard anything from the federal government. Furthermore, according to a Politico report, a Department of Transportation official, requesting anonymity, said there were no plans to halt the Gateway project. The White House and the Department of Transportation did not respond to requests for comments.

The fate of the Gateway project has emerged as a key issue in the New Jersey gubernatorial election, which is 18 days away. Democratic candidate Mikey Sherrill said he would “fight tooth and nail to get the funding back,” while his Republican rival, Jack Ciartarelli, said he would “urge the restoration of federal funding” and that “New Jersey needs a governor who can work with the president while also having the stature to disagree when necessary.”