A company that evaluates news outlets and websites to see which produce reliable journalism says it's under attack by the Trump administration. NewsGuard has sued the Federal Trade Commission over an agency investigation that the company says is threatening its livelihood. NewsGuard's ratings system is used to help advertisers and artificial intelligence companies decide which news sites they can trust with their business. Conservative groups and the television network Newsmax says the ratings system is trying to censor conservative thought. The FTC says its investigation of NewsGuard is part of a broader effort to see whether advertiser boycotts violate antitrust laws.
Anthropic is suing the Trump administration, asking federal courts to reverse the Pentagon’s decision designating the artificial intelligence company a “supply chain risk” over its refusal to allow unrestricted military use of its technology. Anthropic filed two separate lawsuits Monday, one in California federal court and another in the federal appeals court in Washington, D.C., each challenging different aspects of the Pentagon’s actions against the company. The Pentagon last week formally designated the San Francisco tech company a supply chain risk after an unusually public dispute over how its AI chatbot Claude could be used in warfare. The lawsuits aim to undo the designation and block its enforcement.
Bigger and bigger data centers are leading to proposals for massive electric power transmission lines, sometimes across hundreds of miles. These high-voltage power lines cost tens of billions of dollars a year and are the latest front line in the battle over tech giants' massive operations. Artificial intelligence advances are seen by President Donald Trump as critical to the nation’s economic and national security. But their energy needs are threatening to overwhelm the power grid and the transmission expansion is drawing opposition from landowners, conservationists, local officials, consumer advocates and states.
The Trump administration is following through with its threat to designate artificial intelligence company Anthropic as a supply chain risk in an unprecedented move that could force other government contractors to stop using the AI chatbot Claude. The Pentagon said in a statement Thursday it has “officially informed Anthropic leadership the company and its products are deemed a supply chain risk, effective immediately.” The decision appeared to shut down opportunity for further negotiation with Anthropic, nearly a week after President Donald Trump and Defense Secretary Pete Hegseth accused the company of endangering national security.
Anthropic’s moral stand on U.S. military use of artificial intelligence is reshaping the competition between leading AI companies but also exposing a growing awareness that maybe chatbots just aren’t capable enough for acts of war. Anthropic’s chatbot, Claude, for the first time outpaced its better-known rival ChatGPT in phone app downloads in the United States this week, a signal of growing interest from consumers siding with Anthropic in its standoff with the Pentagon. But while many military and human rights experts have applauded Amodei for standing up for ethical principles, some are also frustrated by years of AI industry marketing that persuaded the government to apply AI on high-stakes tasks.
Cities across the U.S. have been integrating video monitoring, GPS mapping and artificial intelligence into snow removal operations that once relied almost entirely on manual planning. Public trust seems to be rising as a result. Complaint calls in Syracuse, New York, have dropped by 30% under a new system that lets residents check how often their streets have been plowed. Some cities use GPS to find the nearest snowplow or allow supervisors to watch a video feed in real-time along with the driver. With U.S. cities and states spending upward of $4 billion each year on snow operations, new technology also helps assure the roads aren’t overplowed or oversalted.
Iranian drone strikes damaged three Amazon Web Services sites in the Middle East, exposing how vulnerable cloud data centers are in conflict. AWS said late Monday that drones directly hit two data centers in the United Arab Emirates and another site in Bahrain suffered damage after a drone landed nearby. AWS later said recovery work in the UAE was making progress. An expert said that Amazon typically configures its services so that the loss of a single data center would be relatively unimportant to its operations. He said the attacks are a reminder that cloud computing isn’t “magical” and still requires physical facilities that are vulnerable to disaster scenarios.
President Donald Trump, his Treasury secretary and his choice to lead the Federal Reserve believe they can coax the U.S. economy into partying like it’s 1999. They are putting their faith in artificial intelligence to duplicate what happened when another technology arrived in the 1990s: the internet. Back then, the American economy surged as businesses became more productive, unemployment tumbled and inflation remained in check. Trump is confident that his nominee to become Fed chair, Kevin Warsh, can unleash an even greater economic bonanza by jettisoning what the president sees as the central bank’s hidebound reluctance to slash interest rates. But many economists are skeptical.
U.S. stocks sank as Wall Street kept punishing companies that could become losers in the AI revolution. A surprisingly discouraging update on inflation also hurt the market Friday, while oil prices climbed with worries about tensions between the United States and Iran. The S&P 500 fell 0.4% to finish just its second losing month in the last 10. The Dow Jones Industrial Average dropped 1.1%, and the Nasdaq composite fell 0.9%. Block’s stock soared after cutting nearly half its workforce because it said AI tools can replace them. Treasury yields fell in the bond market as investors sought safer places for their money.
A public showdown between the Trump administration and Anthropic is hitting an impasse as military officials demand the artificial intelligence company bend its ethical policies by Friday or risk damaging its business. Anthropic CEO Dario Amodei drew a sharp red line 24 hours before the deadline, declaring his company “cannot in good conscience accede” to the Pentagon’s final demands to allow unrestricted use of its technology. Anthropic, maker of the chatbot Claude, can likely afford losing a defense contract. But the ultimatum this week from Defense Secretary Pete Hegseth posed broader risks at the peak of the company’s meteoric rise from a little-known computer science research lab in San Francisco to one of the world’s most valuable startups.