Nov 15, 2024
Welcome to The Hill's Technology newsletter{beacon} Technology Technology   The Big Story  Musk draws scrutiny over US contracts with Russia contact Two Democratic lawmakers are calling for a federal probe into Elon Musk's involvement in SpaceX’s federal contracts following reports the tech billionaire has been in regular contact with Russian President Vladimir Putin.  © Hannibal Hanschke/Pool via AP, File In a letter sent Friday, Senate Armed Services Committee Chair Jack Reed (D-R.I.) and Sen. Jeanne Shaheen (D-N.H.) said Musk’s reported relations with a U.S. adversary “pose serious questions” about his “reliability as a government contract and a clearance holder.”    Musk’s aerospace company, SpaceX, holds contracts with the Department of Defense and the U.S. Intelligence Community worth billions of dollars.   He is also a “prime contractor” for the Space Force’s National Security Space program and holds a $1.8 billion classified contract with the National Reconnaissance Agency, the lawmakers noted.    The tech entrepreneur has reportedly claimed he holds a U.S. security clearance as part of these federal agreements. It comes weeks after The Wall Street Journal reported Musk has been in regular contact with Putin since late 2022.  The two reportedly discussed personal matters, business and geopolitical tensions, while sometimes involving other high-ranking Russian officials, including Putin’s first deputy chief of staff, Sergei Kiriyenko.    “Space equipment is at the crux of the communications that underpin our most sensitive military and intelligence operations. Russia’s ambitions in the space domain pose a direct threat to U.S. national security,” the lawmakers wrote.   “Communications between Russian government officials and any individual with a security clearance have the potential to put our security at risk. That is why there exists a strict reporting regime for any such foreign contacts.”   The senators pointed to the Pentagon’s assertion last May that Moscow launched an antisatellite weapon into space. Russia’s Ministry of Defense acknowledged a launch took place and included a spacecraft but called the U.S.’s assertions “fake news” at the time.    The lawmakers asked the DOJ and Pentagon to review whether Musk’s relations with Russian officials warrants an investigation and called on the Defense Department to determine whether SpaceX should exclude Musk’s involvement in current or future government contracts.    The letter comes just days after President-elect Trump tapped Musk and tech entrepreneur Vivek Ramaswamy to head up a “Department of Government Efficiency,” which is expected to produce a report on slashing government costs and restructuring federal agencies.     In his leadership of the advisory panel, Musk could be working with the very agencies that hold contracts with SpaceX and electric vehicle company Tesla. Ethics experts have suggested his dual roles could present conflicts of interest. Read more in a full report at TheHill.com.  Welcome to The Hill’s Technology newsletter, we're Julia Shapero and Miranda Nazzaro — tracking the latest moves from Capitol Hill to Silicon Valley.   Did someone forward you this newsletter? Subscribe here.   Essential Reads  How policy will be impacting the tech sector now and in the future:  Psaki: ‘Disinformation space’ on social media a ‘core’ issue behind Harris defeatFormer White House press secretary Jen Psaki is blaming Vice President Harris’s loss to President-elect Trump in part on disinformation. “One of the things that’s changed even since I got involved in politics is just the rise of the percentage of people who get their information off of platforms that have no fact checking mechanism and no accountability for having disinformation spread,” Psaki, who worked in the Obama …  Full Story  Tech group presses Trump to review AI regulationsA tech lobbying group called on President-elect Trump and his team to ensure the U.S. maintains leadership in the development and deployment of artificial intelligence (AI) as it crafts the incoming regulations and policy on the advancing technology. The Software Alliance — also known as BSA — argued in a letter to Trump and Vice President-elect Vance that U.S. policy must “harness and promote AI innovation” and …  Full Story  Musk makes new antitrust claims against OpenAIElon Musk added new antitrust claims to his lawsuit against OpenAI on Thursday, accusing the ChatGPT maker of colluding with Microsoft to block competition from other artificial intelligence (AI) companies.  The new filing is the latest development in a months-long saga between Musk and OpenAI, which he sued earlier this year for allegedly abandoning its founding principles as a nonprofit dedicated to safe and open AI …  Full Story  Biden administration finalizes $6.6B in chips grants for TSMC before Trump takes officeThe White House on Friday announced it had finalized an agreement with a major semiconductor manufacturer to invest billions of dollars in facilities in Arizona as President Biden looks to cement parts of his legislative legacy before leaving office in January. Biden in a statement announced the government had completed a $6.6 billion grant agreement with Taiwan Semiconductor Manufacturing Company through the Chips and Science …  Full Story   The Refresh  News we've flagged from the intersection of tech and other topics: X sues over California deepfake law The social platform X is suing to block a California law that aims to limit election-related deepfakes, arguing that it violates the First Amendment, Bloomberg reported.   Meta faces $840 million fine in EU The European Union has fined Meta about $840 million for breaking competition laws by bundling Facebook and Marketplace together, The New York Times reported.   What Others are Reading  Two key stories on The Hill right now: GOP senators: Gaetz nomination to head Justice in serious trouble Republican senators are warning that former Rep. Matt Gaetz’s (R-Fla.) nomination to serve as President-elect Trump’s attorney general … Read more Democrats press Biden to protect executive branch from Trump’s return Capitol Hill Democrats are pressing the White House to pull out all the stops to gird the executive branch against President-elect’s Trump’s … Read more  What Others are Reading  Opinions related to tech submitted to The Hill: What is and isn’t concerning about China’s AI surpriseWe’ve lost control of political text messaging — here’s how we can rein it in    You're all caught up. See you Monday!  Close Thank you for signing up! Subscribe to more newsletters here The latest in politics and policy. Direct to your inbox. Sign up for the Technology newsletter Subscribe
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