Policy

elon-musk’s-x-has-a-new-owner—elon-musk’s-xai

Elon Musk’s X has a new owner—Elon Musk’s xAI

Elon Musk today said he has merged X and xAI in a deal that values the social network formerly known as Twitter at $33 billion. Musk purchased Twitter for $44 billion in 2022.

xAI acquired X “in an all-stock transaction. The combination values xAI at $80 billion and X at $33 billion ($45B less $12B debt),” Musk wrote on X today.

X and xAI were already collaborating, as xAI’s Grok is trained on X posts. Grok is made available to X users, with paying subscribers getting higher usage limits and more features.

“xAI and X’s futures are intertwined,” Musk wrote. “Today, we officially take the step to combine the data, models, compute, distribution and talent. This combination will unlock immense potential by blending xAI’s advanced AI capability and expertise with X’s massive reach.”

Musk said the combined company will “build a platform that doesn’t just reflect the world but actively accelerates human progress.”

xAI and X are privately held. “Some of the deal’s specifics were not yet clear, such as whether investors approved the transaction or how investors may be compensated,” Reuters wrote.

The reported value of the company formerly called Twitter plunged under Musk’s ownership. Fidelity, an X investor, valued X at less than $10 billion in September 2024. But X’s value rebounded at the same time that Musk gained major influence in the US government with the inauguration of President Donald Trump.

On the AI front, Musk has also been trying to buy OpenAI and prevent the company from completing its planned conversion from a nonprofit to for-profit entity.

Elon Musk’s X has a new owner—Elon Musk’s xAI Read More »

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Ex-FCC chairs from both parties say CBS news distortion investigation is bogus

The Federal Communications Commission’s news distortion investigation into CBS drew a public rebuke from a bipartisan group of five former FCC commissioners, including two former chairmen.

The group criticizing current Chairman Brendan Carr includes Republican Alfred Sikes, the FCC chair from 1989 to 1993, and Democrat Tom Wheeler, the FCC chair from 2013 to 2017. They were joined by Republican Rachelle Chong, Democrat Ervin Duggan, and Democrat Gloria Tristani, all former commissioners.

These comments are submitted to emphasize the unprecedented nature of this news distortion proceeding, and to express our strong concern that the Federal Communications Commission may be seeking to censor the news media in a manner antithetical to the First Amendment,” the former chairs and commissioners told the FCC in a filing this week.

The Center for American Rights filed the news distortion complaint against flagship station WCBS over the editing of a CBS 60 Minutes interview with Kamala Harris. The complaint was dismissed in January by then-Chairwoman Jessica Rosenworcel. Carr, Trump’s pick to lead the FCC, revived the complaint shortly after taking over.

“Editorial judgment protected by First Amendment”

The Center for American Rights’ claim of news distortion is based on an allegation that CBS misled viewers by airing two different responses from Harris to the same question about Israeli Prime Minister Benjamin Netanyahu, one on 60 Minutes and the other on Face the Nation. But CBS provided the FCC with a transcript showing that the programs aired two different sentences from the same response.

“The transcript confirms that the editing choices at issue lie well within the editorial judgment protected by the First Amendment and that the Commission’s January 16 dismissal of the complaint was legally correct,” the former chairs and commissioners wrote. “Yet the Commission has reopened the complaint and taken the highly unusual step of inviting public comment, even though the proceeding is adjudicatory in nature. These developments have unjustifiably prolonged this investigation and raise questions about the actual purpose of the proceeding.”

The FCC has historically punished licensees only after dramatic violations, like “elaborate hoaxes, internal conspiracies, and reports conjured from whole cloth,” they wrote. There is “no credible argument” that the allegations against CBS “belong in the same category.”

Ex-FCC chairs from both parties say CBS news distortion investigation is bogus Read More »

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Trump can’t fire us, FTC Democrats tell court after being ejected from office

Two Democratic members of the Federal Trade Commission who were fired by President Trump sued him today, saying their removals are “in direct violation of a century of federal law and Supreme Court precedent.”

“Plaintiffs bring this action to vindicate their right to serve the remainder of their respective terms, to defend the integrity of the Commission, and to continue their work for the American people,” said the lawsuit filed by Rebecca Kelly Slaughter and Alvaro Bedoya in US District Court for the District of Columbia.

Trump last week sent Slaughter and Bedoya notices that said, “I am writing to inform you that you have been removed from the Federal Trade Commission, effective immediately.” They were then cut off from their FTC email addresses, asked to return electronic devices, and denied access to their offices.

There are legal restrictions on the president’s authority to remove FTC commissioners. US law says any FTC commissioner “may be removed by the President for inefficiency, neglect of duty, or malfeasance in office.”

The Supreme Court unanimously held in a 1935 case, Humphrey’s Executor v. United States, that “Congress intended to restrict the power of removal to one or more of those causes.” The case involved President Franklin Roosevelt’s firing of Commissioner William Humphrey.

Trump’s Department of Justice has argued the ruling was incorrect, but it is still in effect. “Congress has continually relied on Humphrey’s Executor, and the Supreme Court has repeatedly refused to upset this landmark precedent,” the Slaughter/Bedoya lawsuit said. “As Humphrey’s Executor recognized, providing some protection from removal at the President’s whim is essential to ensuring that agency officials can exercise their own judgment.”

The lawsuit continued:

In short, it is bedrock, binding precedent that a President cannot remove an FTC Commissioner without cause. And yet that is precisely what has happened here: President Trump has purported to terminate Plaintiffs as FTC Commissioners, not because they were inefficient, neglectful of their duties, or engaged in malfeasance, but simply because their “continued service on the FTC is” supposedly “inconsistent with [his] Administration’s priorities.”

“Indefensible under governing law”

In addition to Trump, the lawsuit’s defendants include FTC Chairman Andrew Ferguson, FTC Commissioner Melissa Holyoak, and FTC Executive Director David Robbins. The Democratic commissioners asked the court to “declare the President’s attempted removals unlawful and ineffective,” and “permanently enjoin the FTC Chairman, Commissioner Holyoak, and the FTC Executive Director from taking any action that would prevent Plaintiffs from fulfilling their duties as Commissioners and serving out the remainder of their terms.”

Trump can’t fire us, FTC Democrats tell court after being ejected from office Read More »

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Elon Musk and Trump win fight to keep DOGE’s work secret

Elon Musk and the Department of Government Efficiency (DOGE) don’t have to turn over information related to their government cost-cutting operations, at least for now, a federal appeals court ruled yesterday.

A federal judge previously ruled that 14 states suing the federal government can serve written discovery requests on Musk and DOGE. Musk, DOGE, and President Trump turned to the US Court of Appeals for the District of Columbia Circuit in an attempt to block that order.

A three-judge panel at the appeals court granted an emergency motion for a stay in an order issued yesterday, putting the lower-court ruling on hold pending further orders from the appeals court. “Petitioners have satisfied the stringent requirements for a stay,” the panel ruling said. “In particular, petitioners have shown a likelihood of success on their argument that the district court was required to decide their motion to dismiss before allowing discovery.”

Musk, DOGE, and Trump filed a petition to quash the district court’s discovery order at the same time that they filed their emergency motion for a stay. The appeals court did not rule on the petition to quash the discovery order. The three-judge panel included judges appointed by George H.W. Bush, Barack Obama, and Donald Trump.

The states suing the US alleged that “President Trump has delegated virtually unchecked authority to Mr. Musk without proper legal authorization from Congress and without meaningful supervision of his activities.” They sought “planning, implementation, and organizational documents,” but no emails, text messages, or other electronic communications.

US District Judge Tanya Chutkan denied a request for depositions but otherwise found the states’ discovery requests to be “reasonable and narrowly tailored to their request for injunctive relief.”

Elon Musk and Trump win fight to keep DOGE’s work secret Read More »

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The Atlantic publishes texts showing Trump admin sent bombing plan to reporter

White House didn’t want texts released

Prior to running its follow-up article, The Atlantic asked Trump administration officials if they objected to publishing the full texts. White House Press Secretary Karoline Leavitt emailed a response:

As we have repeatedly stated, there was no classified information transmitted in the group chat. However, as the CIA Director and National Security Advisor have both expressed today, that does not mean we encourage the release of the conversation. This was intended to be a an [sic] internal and private deliberation amongst high-level senior staff and sensitive information was discussed. So for those reason [sic]—yes, we object to the release.”

Obviously, The Atlantic moved ahead with publishing the texts. “The Leavitt statement did not address which elements of the texts the White House considered sensitive, or how, more than a week after the initial air strikes, their publication could have bearing on national security,” the article said.

On Monday, the National Security Council said it was “reviewing how an inadvertent number was added to the chain.” Trump publicly supported Waltz after the incident, but Politico reported that “Trump was mad—and suspicious—that Waltz had Atlantic editor-in-chief Jeffrey Goldberg’s number saved in his phone in the first place.” One of Politico’s anonymous sources was quoted as saying, “The president was pissed that Waltz could be so stupid.”

Senate Armed Services Chairman Roger Wicker (R-Miss.) said the committee will investigate, according to The Hill. “We’re going to look into this and see what the facts are, but it’s definitely a concern. And you can be sure the committee, House and Senate, will be looking into this… And it appears that mistakes were made, no question,” he said.

The White House said its investigation is being undertaken by the National Security Council, the White House Counsel’s office, and a group led by Elon Musk. “Elon Musk has offered to put his technical experts on this to figure out how this number was inadvertently added to the chat, again to take responsibility and ensure this can never happen again,” Leavitt told reporters.

The Atlantic publishes texts showing Trump admin sent bombing plan to reporter Read More »

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FBI probes arson of Tesla cars and facilities, says “this is domestic terrorism”

Anarchist blog in FBI’s reading list

The New York Post report said the anarchist blog being eyed by the FBI is run out of Salt Lake City, Utah. “In addition, the FBI identified the site Dogeque.st that has information [for] doxxing Tesla employees and locations across the country and [is] being run out of the African country of Sao Tome,” the news report said.

A Democratic congressman criticized the FBI’s decision to create a task force on Tesla-related crime.

“This is the political weaponization of the DOJ,” wrote US Rep. Dan Goldman (D-N.Y.), who previously served as lead counsel in Trump’s first impeachment trial. “Trump uses his official authority to defend his benefactor Elon Musk. The FBI then creates a task force to use our law enforcement to ‘crack down’ on adversaries of Musk’s.”

“Tesla Takedown” calls for peaceful protest

The New York Post report said the FBI is also “tracking a mass protest called ‘Tesla Takedown’ scheduled for March 29 calling for 500 demonstrations at Tesla showrooms and charging stations.” The group behind the protest is calling for peaceful demonstrations and said it opposes vandalism and violence.

A Tesla Takedown website says the planned demonstrations are part of the group’s “peaceful protest movement. We oppose violence, vandalism and destruction of property.” Tesla Takedown says that “Elon Musk is destroying our democracy, and he’s using the fortune he built at Tesla to do it” and urges people to sell their Teslas, dump their Tesla stock, and join the demonstrations.

CNBC quoted a Tesla Takedown spokesperson as saying that the “movement has been and always will be nonviolent. They want to scare us away from protesting Musk’s destruction—but standing up for free speech is essential to democracy. We will not be deterred.”

Three arrests

US Attorney General Pamela Bondi last week issued a statement highlighting three arrests of suspected arsonists. Each defendant faces five to 20 years in prison if convicted. One defendant threw “approximately eight Molotov cocktails at a Tesla dealership located in Salem, Oregon,” another tried to light Tesla cars on fire with Molotov cocktails in Colorado, and a third in South Carolina “wrote profane messages against President Trump around Tesla charging stations before lighting the charging stations on fire with Molotov cocktails,” the press release said.

“The days of committing crimes without consequence have ended,” Bondi said. “Let this be a warning: if you join this wave of domestic terrorism against Tesla properties, the Department of Justice will put you behind bars.”

FBI probes arson of Tesla cars and facilities, says “this is domestic terrorism” Read More »

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Apple barred from Google antitrust trial, putting $20 billion search deal on the line

Apple has suffered a blow in its efforts to salvage its lucrative search placement deal with Google. A new ruling from the DC Circuit Court of Appeals affirms that Apple cannot participate in Google’s upcoming antitrust hearing, which could leave a multibillion-dollar hole in Apple’s balance sheet. The judges in the case say Apple simply waited too long to get involved.

Just a few years ago, a high-stakes court case involving Apple and Google would have found the companies on opposing sides, but not today. Apple’s and Google’s interests are strongly aligned here, to the tune of $20 billion. Google forks over that cash every year, and it’s happy to do so to secure placement as the default search provider in the Safari desktop and mobile browser.

The antitrust penalties pending against Google would make that deal impermissible. Throughout the case, the government made the value of defaults clear—most people never change them. That effectively delivers Google a captive audience on Apple devices.

Google’s ongoing legal battle with the DOJ’s antitrust division is shaping up to be the most significant action the government has taken against a tech company since Microsoft in the late ’90s. Perhaps this period of stability tricked Google’s partners into thinking nothing would change, but the seriousness of the government’s proposed remedies seems to have convinced them otherwise.

Google lost the case in August 2024, and the government proposed remedies in October. According to MediaPost, the appeals court took issue with Apple’s sluggishness in choosing sides. It didn’t even make its filing to participate in the remedy phase until November, some 33 days after the initial proposal. The judges ruled this delay “seems difficult to justify.”

When Google returns to court in the coming weeks, the company’s attorneys will not be flanked by Apple’s legal team. While Apple will be allowed to submit written testimony and file friend-of-the-court briefs, it will not be able to present evidence to the court or cross-examine witnesses, as it sought. Apple argued that it was entitled to do so because it had a direct stake in the outcome.

Apple barred from Google antitrust trial, putting $20 billion search deal on the line Read More »

trump-administration-accidentally-texted-secret-bombing-plans-to-a-reporter

Trump administration accidentally texted secret bombing plans to a reporter

Using Signal in this way may have violated US law, Goldberg wrote. “Conceivably, Waltz, by coordinating a national-security-related action over Signal, may have violated several provisions of the Espionage Act, which governs the handling of ‘national defense’ information, according to several national-security lawyers interviewed by my colleague Shane Harris for this story,” he wrote.

Signal is not an authorized venue for sharing such information, and Waltz’s use of a feature that makes messages disappear after a set period of time “raises questions about whether the officials may have violated federal records law,” the article said. Adding a reporter to the thread “created new security and legal issues” by transmitting information to someone who wasn’t authorized to see it, “the classic definition of a leak, even if it was unintentional,” Goldberg wrote.

The account labeled “JD Vance” questioned the war plan in a Signal message on March 14. “I am not sure the president is aware how inconsistent this is with his message on Europe right now,” the message said. “There’s a further risk that we see a moderate to severe spike in oil prices. I am willing to support the consensus of the team and keep these concerns to myself. But there is a strong argument for delaying this a month, doing the messaging work on why this matters, seeing where the economy is, etc.”

The Vance account also stated, “3 percent of US trade runs through the suez. 40 percent of European trade does,” and “I just hate bailing Europe out again.” The Hegseth account responded that “I fully share your loathing of European free-loading. It’s PATHETIC,” but added that “we are the only ones on the planet (on our side of the ledger) who can do this.”

An account apparently belonging to Trump advisor Stephen Miller wrote, “As I heard it, the president was clear: green light, but we soon make clear to Egypt and Europe what we expect in return. We also need to figure out how to enforce such a requirement. EG, if Europe doesn’t remunerate, then what? If the US successfully restores freedom of navigation at great cost there needs to be some further economic gain extracted in return.”

Trump administration accidentally texted secret bombing plans to a reporter Read More »

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Current SEC chair cast only vote against suing Elon Musk, report says

SEC v. Musk still moving ahead

Before Musk bought Twitter for $44 billion, he purchased a 9 percent stake in the company and failed to disclose it within 10 days as required under US law. “Defendant Elon Musk failed to timely file with the SEC a beneficial ownership report disclosing his acquisition of more than five percent of the outstanding shares of Twitter’s common stock in March 2022, in violation of the federal securities laws,” the SEC said in the January 2025 lawsuit filed in US District Court for the District of Columbia. “As a result, Musk was able to continue purchasing shares at artificially low prices, allowing him to underpay by at least $150 million for shares he purchased after his beneficial ownership report was due.”

The SEC lawsuit against Musk is still moving forward, at least for now. Musk last week received a summons giving him 21 days to respond, according to a court filing.

Enforcement priorities are expected to change under the Trump administration, of course. Trump’s pick to replace Gensler, Paul Atkins, is waiting for Senate confirmation. Atkins testified to Congress in 2019 that the SEC should reduce its disclosure requirements.

Trump last month issued an executive order declaring sweeping power over independent agencies, including the SEC, Federal Trade Commission, and Federal Communications Commission. Trump also fired both FTC Democrats despite a US law and Supreme Court precedent stating that the president cannot fire commission members without good cause.

Another Trump executive order targets the alleged “weaponization of the federal government” and ordered an investigation into Biden-era enforcement actions taken by the SEC, FTC, and Justice Department. The Trump order’s language recalls Musk’s oft-repeated claim that the SEC was “harassing” him.

Current SEC chair cast only vote against suing Elon Musk, report says Read More »

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Trump administration’s blockchain plan for USAID is a real head-scratcher

Giulio Coppi, a senior humanitarian officer at the nonprofit Access Now who has researched the use of blockchain in humanitarian work, says that blockchain technologies, while sometimes effective, offer no obvious advantages over other tools organizations could use, such as an existing payments system or another database tool. “There’s no proven advantage that it’s cheaper or better,” he says. “The way it’s been presented is this tech solutionist approach that has been proven over and over again to not have any substantial impact in reality.”

There have been, however, some successful instances of using blockchain technology in the humanitarian sector. In 2022, the United Nations High Commissioner for Refugees (UNHCR) ran a small pilot to give cash assistance to Ukrainians displaced by the Russia-Ukraine war in a stablecoin. Other pilots have been tested in Kenya by the Kenya Red Cross Society. The International Committee of the Red Cross, which works with the Kenya team, also helped to develop the Humanitarian Token Solution (HTS).

One representative from an NGO that uses blockchain technology, but wasn’t authorized to speak to the media with regards to issues relating to USAID, says that particularly with regards to money transfers, stablecoins can be faster and easier than other methods of reaching communities impacted by a disaster. However, “introducing new systems means you’re setting up a new burden” for the many organizations that USAID partners with, they say. “The relative cost of new systems is harder for small NGOs,” which would often include the kind of local organizations that would be at the front line of response to disasters.

The proposed adoption of blockchain technology seems related to an emphasis on exerting tight controls over aid. The memo seems, for example, to propose that funding should be contingent on outcomes, reading, “Tying payment to outcomes and results rather than inputs would ensure taxpayer dollars deliver maximum impact.” A USAID employee, who asked to remain anonymous because they were not authorized to speak to the media, says that many of USAID’s contracts already function this way, with organizations being paid after performing their work. However, that’s not possible in all situations. “Those kinds of agreements are often not flexible enough for the environments we work in,” they say, noting that in conflict or disaster zones, situations can change quickly, meaning that what an organization may be able to do or need to do can fluctuate.

Raftree says this language appears to be misleading, and bolsters claims made by Musk and the administration that USAID was corrupt. “It’s not like USAID was delivering tons of cash to people who hadn’t done things,” she says.

This story originally appeared on wired.com.

Trump administration’s blockchain plan for USAID is a real head-scratcher Read More »

california-bill-would-force-isps-to-offer-100mbps-plans-for-$15-a-month

California bill would force ISPs to offer 100Mbps plans for $15 a month

Several states consider price requirements

While the California proposal will face opposition from ISPs and is not guaranteed to become law, the amended bill has higher speed requirements for the $15 plan than the existing New York law that inspired it. The New York law lets ISPs comply either by offering $15 broadband plans with download speeds of at least 25Mbps, or $20-per-month service with 200Mbps speeds. The New York law doesn’t specify minimum upload speeds.

AT&T stopped offering its 5G home Internet service in New York entirely instead of complying with the law. But AT&T wouldn’t be able to pull home Internet service out of California so easily because it offers DSL and fiber Internet in the state, and it is still classified as a carrier of last resort for landline phone service.

The California bill says ISPs must file annual reports starting January 1, 2027, to describe their affordable plans and specify the number of households that purchased the service and the number of households that were rejected based on eligibility verification. The bill seems to assume that ISPs will offer the plans before 2027 but doesn’t specify an earlier date. Boerner’s office told us the rule would take effect on January 1, 2026. Boerner’s office is also working on an exemption for small ISPs, but hasn’t settled on final details.

Meanwhile, a Massachusetts bill proposes requiring that ISPs provide at least 100Mbps speeds for $15 a month or 200Mbps for $20 a month. A Vermont bill would require 25Mbps speeds for $15 a month or 200Mbps for $20 a month.

Telco groups told the Supreme Court last year that the New York law “will likely lead to more rate regulation absent the Court’s intervention” as other states will copy New York. They subsequently claimed that AT&T’s New York exit proves the law is having a negative effect. But the Supreme Court twice declined to hear the industry challenge, allowing New York to enforce the law.

California bill would force ISPs to offer 100Mbps plans for $15 a month Read More »

italy-demands-google-poison-dns-under-strict-piracy-shield-law

Italy demands Google poison DNS under strict Piracy Shield law

Spotted by TorrentFreak, AGCOM Commissioner Massimiliano Capitanio took to LinkedIn to celebrate the ruling, as well as the existence of the Italian Piracy Shield. “The Judge confirmed the value of AGCOM’s investigations, once again giving legitimacy to a system for the protection of copyright that is unique in the world,” said Capitanio.

Capitanio went on to complain that Google has routinely ignored AGCOM’s listing of pirate sites, which are supposed to be blocked in 30 minutes or less under the law. He noted the violation was so clear-cut that the order was issued without giving Google a chance to respond, known as inaudita altera parte in Italian courts.

This decision follows a similar case against Internet backbone firm Cloudflare. In January, the Court of Milan found that Cloudflare’s CDN, DNS server, and WARP VPN were facilitating piracy. The court threatened Cloudflare with fines of up to 10,000 euros per day if it did not begin blocking the sites.

Google could face similar sanctions, but AGCOM has had difficulty getting international tech behemoths to acknowledge their legal obligations in the country. We’ve reached out to Google for comment and will update this report if we hear back.

Italy demands Google poison DNS under strict Piracy Shield law Read More »