Dara Kerr

SpaceX reported second-quarter revenue of $7.81bn, up 92% and above analysts’ expectations of $6.93bn, while narrowing its quarterly loss to $541m. The company’s stock nevertheless fell more than 8% in after-hours trading amid concerns about heavy capital expenditure, negative cash flow and the imminent release of more than 900 million locked-up shares. Starlink was identified as SpaceX’s only profitable division, while space, connectivity and AI all exceeded forecasts. Elon Musk and Gwynne Shotwell highlighted progress on Starship and said SpaceX aims to put astronauts on the Moon by 2028.

Google temporarily suspended a Google Earth feature that allowed users to place AI-generated images over real satellite locations after people created deceptive scenes involving refugees, nuclear facilities, bomb craters and hospitals. The feature raised concerns because satellite imagery is widely trusted and used by journalists and investigators to document crises in places such as Gaza, Sudan and China’s Xinjiang region. The article also reports the rapid collapse of AI investor Leopold Aschenbrenner’s highly leveraged hedge fund and unauthorized hacking incidents involving test models from OpenAI and Anthropic. Together, the cases highlight unresolved problems around AI safety, guardrails, cybersecurity, misleading industry narratives and the lack of standards for measuring whether AI systems achieve goals in ways users actually intend.

Cyberattacks have targeted water and wastewater systems in at least seven US states, with Minnesota reporting about 30 affected systems and disruptions including low water pressure and boil-water notices, though no contamination has been reported. Federal agencies advise utilities to disconnect vulnerable internet-connected systems and operate them manually. Officials and media reports suspect Iran, but investigators have not publicly identified the perpetrators or attributed the attacks to the Iranian government. Donald Trump instead blamed Minnesota and Governor Tim Walz, who rejected the claim. The attacks have renewed calls for stronger defenses of critical infrastructure and for Congress to extend and fund a state and local cybersecurity grant program.

The Federal Communications Commission has banned new humanoid and animal-like robots from China, citing risks that they could collect data, support foreign intelligence operations or be remotely commandeered. The restrictions also cover connected power inverters used in renewable-energy systems and data centers, reflecting the Trump administration’s push for secure US supply chains and domestic manufacturing. China’s embassy condemned the move as harmful and urged Washington to stop targeting Chinese companies, while a Chinese technology analyst accused the US of acting out of anxiety over its declining technological advantage. Existing robot and inverter models are not immediately affected, although the FCC may revoke authorizations for products already approved for sale.

Silicon Valley is split over whether AI models should be open source: Nvidia, Microsoft and other technology interests argue that open models promote innovation, security and wider adoption, while Anthropic and some OpenAI figures warn that they are harder to regulate and could strengthen China. The release of China’s competitive Kimi K3 model has intensified the debate and exposed divisions within the Trump administration over possible restrictions. The piece also reports that YouTube, TikTok, Snap and Meta settled another youth social-media addiction lawsuit before trial, although thousands of related cases remain. Separately, the European Union fined Google about $1bn for anticompetitive conduct, a penalty overshadowed by the company’s profits but accompanied by investor concerns about sharply rising AI-related capital spending.

Tennessee lawyers told a Nashville jury that Meta ignored internal research linking Instagram features such as autoplay, notifications and infinite scroll to compulsive use, eating disorders, depression and self-harm among teenagers. Meta's attorneys argued that the research demonstrated the company was actively identifying risks and that it had developed tools to limit problematic use while sharing responsibility for teen safety with parents and teachers. The state is seeking financial penalties and an order requiring Instagram to modify allegedly harmful features. The seven-week trial is one of 42 state lawsuits against Meta and follows a $375 million verdict against the company in New Mexico.

Alphabet reported second-quarter revenue of $119.8bn and earnings of $9.11 per share, exceeding Wall Street expectations and marking its 12th consecutive quarter of strong revenue growth. The company raised its annual capital expenditure forecast to $200bn as it continues investing heavily in artificial intelligence. CEO Sundar Pichai said the investments were transforming the business, but investors remain concerned about whether the spending will generate sustainable returns. Google is also contending with delays to Gemini Pro and intense competition from OpenAI, Anthropic and cheaper Chinese models. Its newly announced Gemini Flash variants include a cybersecurity-focused model that will initially be limited to governments and trusted partners amid growing concerns about the potential misuse of advanced AI.

A Florida teenager known as RKC withdrew his lawsuit against Meta days before a Los Angeles trial, citing the strain of a lengthy proceeding after YouTube and TikTok settled and Snap reached a tentative settlement. RKC alleged that Meta's platforms contributed to his addiction, depression, anxiety and sleep loss. Meta said he received no payment and maintained that the claims were baseless. The withdrawal follows major verdicts finding Meta and YouTube liable in a youth-harm case and ordering Meta to pay $375 million in a separate New Mexico case, with thousands of additional claims pending and Meta appealing the Los Angeles verdict.

Election experts questioned the Trump administration's claim that more than 250,000 noncitizens were registered to vote in California, New Jersey, Nevada and Pennsylvania, saying the Department of Homeland Security used opaque data comparisons that can wrongly flag naturalized citizens. DHS secretary Markwayne Mullin nevertheless repeated the allegation and threatened states that resisted federal election demands. The live coverage also fact-checked Donald Trump's claims about Chinese interference in the 2020 election, noting that the declassified intelligence assessment focused more heavily on Russia's efforts to aid Trump by spreading allegations about Joe Biden and Ukraine. Other developments included Trump's criticism of Canada over wildfire smoke, his endorsement of Darline Graham Nordone for her late brother Lindsey Graham's Senate seat, controversy over paid priority access to Truth Social posts, and reports involving a GEO Group employee accused of shooting a protester.

An off‑duty employee of Geo Group working at the Aurora, Colorado ICE Processing Center was arrested after allegedly shooting a woman who had participated in a protest outside the facility. Police say Brandon Booth fired a single shot at two women following a verbal confrontation and then drove away. The victim sustained non‑life‑threatening injuries. Booth faces multiple charges including attempted second‑degree murder and assault. Geo Group placed him on unpaid leave and pledged cooperation with investigators. The facility has been subject to ongoing protests and recent reports of poor conditions and a tuberculosis outbreak.

Dozens of Meta employees have sued the company, alleging that internal AI systems used performance ratings, productivity data and workplace monitoring to select workers for mass layoffs, disproportionately affecting people on maternity, medical or disability leave. The plaintiffs seek to halt the planned terminations, preserve their employment status and obtain an independent audit, while claiming they face lost health coverage, equity and immigration-related consequences. Meta denies the allegations and says workforce decisions are made by people rather than AI. The case highlights growing legal and privacy concerns over automated workplace decision-making and employee surveillance.

Idaho voters will decide in November whether to replace one of the nation’s strictest abortion bans with a reproductive-freedom law. The volunteer group Idahoans United for Women & Families submitted more than 100,000 signatures, exceeding the threshold for ballot access. The proposed law would permit abortion until fetal viability, generally around 21 weeks, and protect decisions about contraception and fertility treatment. Supporters say it would restore protections lost after Roe v Wade was overturned, while abortion opponents, led in campaigning by Idaho Chooses Life CEO David Ripley, argue it would undermine decades of state restrictions. The measure follows concerns from doctors and lawsuits by women who said Idaho’s ban prevented timely care during pregnancy complications; other states are also placing abortion policy before voters in the midterm elections.

Apple filed a lawsuit accusing OpenAI of stealing trade secrets by recruiting employees who allegedly transferred confidential designs and internal information to support OpenAI’s hardware development. The complaint cites former Apple executives and staff as having taken supplier data, internal files and even physical components. The dispute follows a prior partnership between the companies and comes after OpenAI’s acquisition of a hardware startup founded by Jony Ive. Apple seeks damages and a court order preventing OpenAI from using the alleged trade secrets.

Research involving 600 US adolescents found that when parents focus on their phones during interactions, teens often feel dismissed and unimportant, leading to increased anxiety and insecurity. The study supports earlier findings linking parental smartphone attachment to negative child outcomes, including screen addiction and strained relationships. Researchers note that the impact is not universal but stresses that adolescents’ perceptions of parental device use play a significant role in their emotional well‑being.

Rising energy demands from AI datacenters are driving up carbon emissions at Google, Amazon, Microsoft and Meta, putting their net‑zero pledges increasingly out of reach. Sustainability reports show double‑digit emissions increases tied to rapid AI infrastructure expansion and reliance on fossil‑fuel power. Meta faces additional turbulence as layoffs, stalled AI progress and mounting legal challenges prompt moves into cloud computing and prediction markets, signaling strategic uncertainty and investor concern.

A federal disclosure shows Donald Trump earned more than $1bn from crypto businesses in 2025, surpassing revenue from much of his long‑standing property portfolio. Major income sources included over $500m from World Liberty Financial and more than $600m from CIC Digital LLC’s Trump‑themed meme coins. The increase coincided with Trump’s actions to support the crypto industry and halt regulatory crackdowns. Additional earnings came from branded merchandise, overseas property deals and more than $86m from legal settlements with media and tech companies.

Political groups funded by major Silicon Valley figures have poured millions into Colorado’s Democratic primary in the eighth congressional district, making it one of the state’s costliest races. Progressive candidate Manny Rutinel has received more than $2m from PACs supported by Eric Schmidt and Chris Larsen, along with substantial contributions from employees of major AI firms such as Anthropic, OpenAI, Google and Meta. The contest highlights an emerging divide among technology donors over AI regulation, mirroring recent high‑spending battles in New York, North Carolina and California.

Gavin Newsom called for a national billionaires' tax while opposing a California ballot measure that would impose a one-time tax on residents worth over $1bn, arguing that state-level taxes are ineffective because wealth is mobile. The California proposal, backed by SEIU-UHW, has drawn both strong support and significant opposition from labor and medical groups as well as Silicon Valley elites. Congressman Ro Khanna criticized Newsom’s stance and defended the state measure, rejecting claims that billionaires would flee. Newsom countered with a federal plan including a minimum tax on individuals with net worth above $100m, restrictions on borrowing against stock portfolios, changes to inheritance taxes, higher corporate tax rates and federal stakes in AI companies. He framed these policies as essential to counter wealth concentration and AI-driven economic shifts while positioning himself for a potential 2028 presidential run.

California voters will decide on a proposed one-time 5% tax on billionaires, backed by SEIU-UHW to support state healthcare, education, and food-assistance programs. Governor Gavin Newsom and major tech billionaires, including Sergey Brin and Chris Larsen, oppose the measure, arguing it could drive wealth out of the state. Additional ballot initiatives funded by Silicon Valley donors aim to limit future state taxes and retroactive taxation, setting up a contentious and highly funded campaign season with multiple overlapping tax-related measures on the November ballot.

California’s proposed one-time 5% tax on billionaires qualified for the November ballot after backers declined to withdraw it. Supported by SEIU-UHW and some Democratic lawmakers, the measure aims to fund healthcare, education and food assistance programs. Governor Gavin Newsom and billionaire-funded groups oppose it, arguing it threatens the state’s economy. Tech leaders including Sergey Brin, Larry Page, Peter Thiel and others have poured millions into opposition efforts, while some major unions and medical organizations have also criticized the tax as unsustainable. With more than 1.6 million signatures gathered, the initiative is set for a contentious statewide vote.

A proposed California billionaire tax faces uncertainty despite surpassing signature requirements, with tech billionaires funding major opposition efforts and Governor Gavin Newsom working to stop the measure. The union backing the tax is negotiating a potential withdrawal. The UK’s plan to ban social media use for children under 16 has triggered debate among activists, industry groups and young people. SpaceX’s acquisition of AI startup Cursor for $60bn signals an effort to strengthen its competitive position in AI following weaker performance from xAI’s previous tools.

A proposal to impose a one-time 5% wealth tax on California billionaires has qualified for the November ballot, escalating a political fight between labor unions backing the measure and powerful tech executives and organizations opposing it. The SEIU-UHW is pushing the tax as a means to bolster strained healthcare and social programs, while Governor Gavin Newsom remains firmly opposed, arguing it would drive wealthy residents out of the state. Prominent billionaires have poured millions into efforts to defeat the measure, though some, such as Nvidia’s Jensen Huang, have voiced support for California despite high taxes. With the measure eligible for the ballot, negotiations intensify as unions signal willingness to reduce the tax to 2% in hopes of securing a deal before the deadline and avoiding an expensive statewide battle.

The US Department of Justice moved to dismiss an NAACP lawsuit alleging that Elon Musk’s xAI illegally installed methane-gas turbines that pollute communities in Mississippi. The government argues the datacenter supports AI models considered vital to national security and claims authority to halt such citizen lawsuits under the Clean Air Act. Environmental groups counter that affected communities have the right to challenge polluters and that federal contractors must follow environmental laws. The turbines are alleged to emit thousands of tons of harmful pollutants annually, sparking community backlash. xAI’s facilities, major regional datacenters, are tied to broader corporate growth and partnerships with major tech firms.

SpaceX achieved the largest stock market debut in history, opening at $150 per share and closing at $160, placing its valuation at $2.1tn and making Elon Musk the world’s first trillionaire due to his majority stake. The IPO featured atypical terms, offering a fixed price and attracting heavy investor demand despite the company’s lack of profitability and large cash burn from its AI ventures. Regulatory concerns emerged from Senator Elizabeth Warren over valuation accuracy, while analysts warned of potential volatility due to concentrated control and rapid index-fund inclusion. The listing is expected to significantly increase employee wealth, while economists highlighted the broader societal implications of accelerating extreme wealth driven by the AI boom.

OpenAI has confidentially submitted an S‑1 filing as it prepares for a potential IPO expected to value the company at more than $850bn. The move follows Anthropic’s similar filing and comes during a surge in AI-related public offerings, including a forthcoming SpaceX listing. OpenAI’s rapid rise since launching ChatGPT contrasts with recent struggles to produce another major success, despite ventures into devices, video generation and major partnerships. The company faces ongoing legal and regulatory scrutiny, including lawsuits over alleged harms from ChatGPT, but recently prevailed in a case brought by Elon Musk challenging its transition to a for‑profit structure.

Apple introduced a major AI-enhanced overhaul of Siri, renamed Siri AI, integrating the Google Gemini model and expanding the assistant’s capabilities across its ecosystem. The announcements came during Tim Cook’s final WWDC keynote, alongside new child safety controls that give parents more customization over children’s device use and content access. Apple also detailed additional AI-driven features in Safari, messaging, photos and the Home app as it works to catch up with competitors in AI development. The company acknowledged previous delays and legal challenges over Siri while preparing for leadership transition to John Ternus later in the year.

Heavy spending by Silicon Valley significantly influenced California’s primary elections, helping several tech‑backed candidates advance despite a high‑profile loss in the governor’s race. Major companies and venture capitalists funded Super PACs such as Grow California and California Leads, which saw widespread success in targeted legislative contests. The industry aims to secure political leverage amid fights over regulation, AI policy, and a proposed billionaire wealth tax. Analysts expect even higher spending ahead of the November election as the tax measure comes to a vote.

Florida sued OpenAI and CEO Sam Altman, alleging the company ignored safety warnings, exposed children to harm and contributed to violent and self‑harm incidents through ChatGPT. The civil action follows a criminal investigation linked to a university shooting in which the suspect reportedly sought guidance from the chatbot. The lawsuit claims OpenAI misled the public about safety, failed to protect minors and amassed user data without sufficient oversight. OpenAI defended its safety efforts and tools for parents. The case forms part of a broader wave of lawsuits targeting AI companies over alleged links to violent acts and mental health crises, while national political leaders diverge on regulating the industry.

Tech billionaires have poured unprecedented sums into California’s 2 June primary races as they seek to shape regulatory and political outcomes during a pivotal moment for the artificial intelligence sector. Sergey Brin, Chris Larsen and major firms including Google and Meta have fueled Super PACs influencing statewide and local contests, with contributions targeting both ballot initiatives and legislative seats. Matt Mahan has emerged as the favored gubernatorial candidate among tech donors, though his campaign has struggled to gain broader traction. Analysts note that tech spending is concentrated in competitive open legislative seats and supplemented by extensive lobbying and dark-money activity, signaling a long-term strategy to secure a more industry-friendly political environment across California.

Meta reached a confidential settlement with a Kentucky school district alleging that its platforms were intentionally designed to be addictive and harmful to children. The case was part of a larger group of about 1,200 school district lawsuits targeting Meta, TikTok, Snap, and YouTube for contributing to a youth mental health crisis. Other companies had already settled with the district, and Meta continues to face numerous related lawsuits nationwide. Recent jury verdicts in Los Angeles and New Mexico found Meta and YouTube liable for designing addictive products and misleading consumers about platform safety, setting precedent for the ongoing multidistrict and coordinated legal actions.

A federal jury in California found Sam Altman, Greg Brockman, OpenAI and Microsoft not liable in Elon Musk’s lawsuit alleging breach of a founding agreement and unjust enrichment. Judge Yvonne Gonzalez Rogers agreed with the advisory verdict and dismissed the claims, citing the statute of limitations. OpenAI argued Musk knew of the for‑profit shift years earlier, while Musk vowed to appeal, calling the ruling a technicality. The trial revealed internal disputes over OpenAI’s evolution and featured testimony from top tech executives. With the case dismissed, OpenAI faces no remedies and can continue plans to go public later in the year.