The Justice Department's abrupt end to the Powell probe clears the way for Trump's Fed pick, further eroding the central bank's independence.
The US Justice Department dropped its criminal investigation into Federal Reserve Chair Jerome Powell, removing a key obstacle for President Trump's nominee, Kevin Warsh, to replace Powell and potentially overhaul the central bank's $6 trillion balance sheet. The GuardianBBC NewsNPR
President Trump threatened to impose "a big tariff" on the UK if it does not abandon its 2% digital services tax on US technology companies, weeks after suggesting the UK–US trade deal could be altered. The GuardianCNBC
The Justice Department intervened in a lawsuit by Elon Musk's xAI challenging a Colorado law regulating AI systems, arguing the state law violates the 14th Amendment's equal protection guarantee by requiring companies to guard against unintended discriminatory effects. The GuardianGoogle News
President Trump dispatched Jared Kushner and Steve Witkoff to Pakistan for direct talks with Iran, even as he publicly stated he is in no rush for a peace deal in the ongoing conflict. CNBCAl Jazeera
Senator Bernie Moreno (R-Ohio) introduced a resolution to ban senators from participating in prediction markets, following reports that Trump's family invests in these platforms despite the White House warning staff against such wagers. The HillNew York Times
AI Innovation & Market Dynamics
$40BGoogle's investment in Anthropic
$500MCanadian AI adoption program
123M tonnesUK AI data center carbon emissions over 10 years
The AI race intensifies with Google's massive investment in Anthropic and new models from DeepSeek, but ethical and environmental concerns loom large.
Google announced plans to invest up to $40 billion in Anthropic, providing both cash and compute resources, as major tech companies race to secure massive AI infrastructure. Ars TechnicaTechCrunch
China's DeepSeek unveiled preview versions of its new flagship AI model, DeepSeek-V4, a year after its initial breakthrough, claiming near state-of-the-art intelligence at a fraction of the cost of competitors like OpenAI's GPT-5.5 and Anthropic's Claude 4.7. BloombergAP NewsVenturebeat
Cohere, a Canada-based AI company, announced a merger with Germany's Aleph Alpha, aiming to create a "transatlantic AI powerhouse" for businesses and governments seeking alternatives to American-dominated AI providers. TechCrunchNew York Times
The UK government significantly revised its estimates for carbon emissions from AI data centers, now projecting up to 123 million tonnes of CO₂ over the next decade, a more than 100-fold increase that intensifies climate concerns. The Guardian
Anthropic acknowledged that engineering missteps were responsible for a month-long decline in the quality of its Claude Code model, addressing weeks of user backlash and speculation about the model being "nerfed." Fortune
Tech & Chip Market Surge
24%Intel stock surge
$5 trillionNvidia market cap
Intel's best day since 1987 and Nvidia's $5 trillion market cap underscore a booming chip sector, fueled by AI demand.
Intel's stock soared 24%, marking its best day since 1987, after the chipmaker reported strong first-quarter earnings and showed signs of a turnaround driven by optimism around government backing and AI demand. CNBCBarron's
Nvidia's stock closed at a record high, pushing its market capitalization past $5 trillion, as a broader rally in chipmakers, partly fueled by Intel's performance, lifted the sector. CNBC
X-energy, a nuclear power startup, saw its stock jump 27% on its first day of trading after an upsized IPO that raised over $1 billion, with investors flocking to the company amid surging demand for nuclear power driven by data centers and AI. TechCrunchWSJ
SAP stock surged after reporting better-than-expected cloud growth in its first quarter earnings, demonstrating that AI hopes are defying a broader software slump. Barron's
Apple's sold-out Mac mini is appearing on eBay with marked-up prices due to shortages, as demand surges for the compact desktop for running local AI models and tools. TechCrunch
Business & Market Trends
Geopolitical tensions are boosting fertilizer profits, while traditional media giants explore consolidation and AI reshapes the labor market.
Fertilizer giant Yara International ASA reported higher-than-expected first-quarter earnings, as the ongoing Iran war effectively halted transit through the Strait of Hormuz, disrupting global trade and sending fertilizer prices soaring. Financial Post
SiriusXM is reportedly in early talks to acquire iHeartMedia, a deal that would unite two major providers of traditional and satellite radio. New York Times
The AI gold rush is drawing workers into startups, with many leaving corporate jobs at large tech firms like Amazon amid layoffs and return-to-office mandates. Business Insider
Meta announced it would cut 10% of its workforce and close 6,000 open roles as it invests billions into artificial intelligence products. The Hill
Quick Shots
🇨🇦 OpenAI's Sam Altman apologized for the company's failure to report a Canadian mass shooter to law enforcement after suspending his ChatGPT account before the attacks. Al Jazeera
🤖 The Utah medical board called for the immediate suspension of the state's "AI doctor" experiment, citing safety concerns about the AI prescription program. STAT News
🚗 China is aggressively pursuing the driverless dream, showcasing hundreds of autonomous vehicles at the Beijing car show as domestic sales slow and manufacturers seek growth in AI and overseas markets. The Guardian
💊 Isomorphic Labs, a DeepMind spinoff, announced that its AI-designed drugs are now headed to human trials, marking a significant step in AI-powered drug discovery. Wired
🇮🇳 Indian house-help startup Pronto is reportedly set to double its valuation to $200 million with backing from Lachy Groom, as it scales rapidly. TechCrunch