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Earth

US To Fund a $1.2 Billion Effort To Vacuum Greenhouse Gases From the Sky (nytimes.com) 111

The Biden administration will spend $1.2 billion to help build the nation's first two commercial-scale plants to vacuum carbon dioxide pollution from the atmosphere, a nascent technology that some scientists say could be a breakthrough in the fight against global warming, but that others fear is an extravagant boondoggle. From a report: Jennifer Granholm, the energy secretary, announced Friday that her agency would fund two pilot projects that would deploy the disputed technology, known as direct air capture. Occidental Petroleum will build one of the plants in Kleberg County, Texas, and Battelle, a nonprofit research organization, will build the other in Calcasieu Parish on the Louisiana coast. The federal government and the companies will equally split the cost of building the facilities.

"These projects are going to help us prove out the potential of these next-generation technologies so that we can add them to our climate crisis fighting arsenal, and one of those technologies includes direct air capture, which is essentially giant vacuums that can suck decades of old carbon pollution straight out of the sky," Ms. Granholm said on a telephone call with reporters on Thursday. The 2021 bipartisan infrastructure law included $3.5 billion to fund the construction of four commercial-scale direct air capture plants. Friday's announcement covered the first two. Oil and gas companies lobbied for the direct air capture money to be included in the law, arguing that the world could continue to burn fossil fuels if it had a way to clean up their planet-warming pollution.

Transportation

California Allows Robo-Taxis To Expand (npr.org) 47

An anonymous reader shares a report: A battle has been brewing in San Francisco over driverless cars. Hundreds of the autonomous vehicles have been roaming city streets over the past couple of years. On Thursday, the California Public Utilities Commission, or CPUC, voted 3-1 to let self-driving car companies expand their programs and start charging passengers like taxis. The build-up before the Commission's vote Thursday was tense. Public comment lasted more than six hours. Much of that testimony was about how autonomous vehicles have impeded emergency operations in the city.

San Francisco's police and fire departments have urged the CPUC to oppose the expansion â" they say they've tallied 55 incidents where self-driving cars have got in the way of rescue operations in just the last six months. The incidents include running through yellow emergency tape, blocking firehouse driveways and refusing to move for first responders. "Our folks cannot be paying attention to an autonomous vehicle when we've got ladders to throw," San Francisco Fire Chief Jeanine Nicholson said in a public meeting on Monday providing commissioners testimony before Thursday's vote. "I am not anti-technology, I am pro-safety."

Businesses

Getting Into Y Combinator Is Tougher Than It's Ever Been (bloomberg.com) 18

Amid the flood of big tech layoffs, entry to Y Combinator has become the most competitive it's ever been. From a report: Silicon Valley's premier business incubator has received 44,000 applications so far this year, the most ever, and the acceptance rate for its summer batch was less than 1%, the lowest in the organization's history. Garry Tan, the president and chief executive officer of Y Combinator, said he anticipates "little tech" will thrive even in a turbulent economy. Cuts at big tech companies have unshackled people to work on important, new companies, Tan said on this week's episode of The Circuit with Emily Chang. "I think a lot of large companies started treating their employee base almost as a place to park resources and almost as a competitive moat versus the other giants," he said.

"The amount of talent that was locked up in cushy jobs,â Tan said, "I'm hoping a lot of them actually come over to startups, and they realize, oh, this is what it's like to run fast again." Tan stepped into the top job at Y Combinator in January, succeeding co-founder Paul Graham and Sam Altman, who went on to help start OpenAI. Tan himself was accepted to the incubator as a founder in 2008, the same year Mark Zuckerberg attended the accelerator's regular "demo day" where Jeff Bezos announced Amazon Web Services.

China

Biden Issues an Executive Order Restricting US Investments In Chinese Technology (apnews.com) 59

An anonymous reader quotes a report from the Associated Press: President Joe Biden signed an executive order Wednesday to block and regulate high-tech U.S.-based investments going toward China -- a move the administration said was targeted but it also reflected an intensifying competition between the world's two biggest powers. The order covers advanced computer chips, micro electronics, quantum information technologies and artificial intelligence. Senior administration officials said that the effort stemmed from national security goals rather than economic interests, and that the categories it covered were intentionally narrow in scope. The order seeks to blunt China's ability to use U.S. investments in its technology companies to upgrade its military while also preserving broader levels of trade that are vital for both nations' economies.

The officials previewing the order said that China has exploited U.S. investments to support the development of weapons and modernize its military. The new limits were tailored not to disrupt China's economy, but they would complement the export controls on advanced computer chips from last year that led to pushback by Chinese officials. The Treasury Department, which would monitor the investments, will announce a proposed rulemaking with definitions that would conform to the presidential order and go through a public comment process. The goals of the order would be to have investors notify the U.S. government about certain types of transactions with China as well as to place prohibitions on some investments. Officials said the order is focused on areas such as private equity, venture capital and joint partnerships in which the investments could possibly give countries of concern such as China additional knowledge and military capabilities.
The Chinese Ministry of Commerce responded in a statement early Thursday that it has "serious concern" about the order and "reserves the right to take measures."

"We hope the U.S. side respects the laws of the market economy and the principle of fair competition, does not artificially obstruct global economic and trade exchanges and cooperation and does not put up obstacles for the recovery and growth of the world economy."

The Chinese Ministry of Commerce also said the executive order "seriously deviates from the market economy and fair competition principles the United States has always advocated. It affects the normal business decisions of enterprises, disrupts the international economic and trade order and seriously disrupts the security of global industrial and supply chains."
United States

US Reports Big Interest in $52 Billion Semiconductor Chips Funding (reuters.com) 26

The U.S. Commerce Department said on Wednesday that more than 460 companies have expressed interested in winning government semiconductor subsidy funding in a bid to boost the country's competitiveness with China's science and technology efforts. From a report: The White House is marking the one-year anniversary on Wednesday of President Joe Biden's signing of the landmark "Chips for America" legislation providing $52.7 billion in subsidies for U.S. semiconductor production, research and workforce development. Biden said in a statement that companies have announced $166 billion in semiconductors and electronics manufacturing over the last year, adding the law will "make America once again a leader in semiconductor manufacturing and less dependent on other countries for our electronics or clean energy supply chains."

The Commerce Department began accepting applications in June for the $39-billion subsidy program for U.S. semiconductor manufacturing as well as equipment and materials for making chips but has not yet issued awards. "We're finally making the investments that are long overdue to secure our economic and national security," Commerce Secretary Gina Raimondo told reporters. "We need to move quickly but it's more important we get it right."

Government

US Supreme Court Allows Biden To Regulate 3D-Printed Firearms (nbcnews.com) 228

Long-time Slashdot reader SonicSpike shares a report from NBC News: A divided Supreme Court on Tuesday allowed the Biden administration to enforce regulations aimed at clamping down on so-called ghost guns -- firearm-making kits available online that people can assemble at home. The court, which has a 6-3 conservative majority, in a brief order (PDF) put on hold a July 5 ruling by a federal judge in Texas that blocked the regulations nationwide. The vote was 5-4, with conservatives Chief Justice John Roberts and Justice Amy Coney Barrett joining the three liberal justices in the majority.

The federal Bureau of Alcohol, Tobacco, Firearms and Explosives, commonly known as ATF, issued the regulations last year to tackle what it claims has been an abrupt increase in the availability of ghost guns. The guns are difficult for law enforcement to trace, with the administration calling them a major threat to public safety. The rule clarified that ghost guns fit within the definition of 'firearm' under federal law, meaning that the government has the power to regulate them in the same way it regulates firearms manufactured and sold through the traditional process. The regulations require manufacturers and sellers of the kits to obtain licenses, mark the products with serial numbers, conduct background checks and maintain records.

The Military

US Air Force Builds $5B Climate-Resilient 'Base of the Future' with Robot Dogs and AI Security (msn.com) 103

After a hurricane hit Florida, 484 buildings just at the Tyndall Air Force base were destroyed or damaged beyond repair. Five years later, it's part of a $5 billion, nine-year rebuilding effort the Washington Post describes as rare "blank slate." The plan is "not merely to rebuild it, but to construct what the U.S. military calls 'the installation of the future,' which will be able to withstand rising seas, stronger storms and other threats..." The rebuild at Tyndall, which is expected to continue into 2027, marks the largest military construction project undertaken by the Pentagon. "Think of it as the Air Force throwing its Costco card down on the table and buying buildings in bulk," said Michael Dwyer, deputy chief of the Natural Disaster Recovery Division. A dizzying array of new technologies and approaches have been incorporated into the effort, from semiautonomous robot dogs patrolling the grounds to artificial intelligence software designed to detect and deter any armed person who enters the base.

But the most robust funding is aimed at making Tyndall more efficient, connected and resilient in the face of a warming world. Structures under construction — from dormitory complexes to a child care center to hangars that will house three new squadrons of the F-35A Lightning II later this year — are being built to withstand winds in excess of 165 mph. Steel frames, high-impact windows, concrete facades and roofing with additional bracing are among the features meant to weather the stronger storms to come.

At nearby Panama City, sea level rise has accelerated in recent years, with federal data showing seas have risen there more than 4 inches since 2010. Planners factored in the potential for as much as 7 feet of sea level rise by the end of the century, and as a result placed the "vast majority" of new buildings at elevations that should be safe from storm surges for decades, Dwyer said. In addition, sensors placed near the low spots of buildings will send alerts the moment a flood threatens. The Air Force also has created a "digital twin" of Tyndall — essentially, a virtual duplicate of the base that allows officials to simulate how roads, buildings and other infrastructure would hold up in different scenarios, such as a hurricane or historic rainfall events.

Other efforts include restoring the beach's 10-foot sand dunes and its rocky shoreline, along with "the installation of submerged oyster reef breakwater that can reduce wave energy and erosion."

But the article points out that the Air Force also has a second hope for their base: "that the lessons unfolding here can be replicated at other bases around the world that will face — or already are facing — similar threats...
Earth

America's Offshore Wind Potential is Huge but Untapped (theverge.com) 142

A new analysis "shows that over 4,000 gigawatts (GW) of offshore wind potential is available along the U.S. coastline," capable of fulfilling up to 25% of U.S. energy demand in 2050. (And it could also add $1.8 trillion in economy-boosting investment, while employing up to 390,000 workers.)

This new analysis comes from Berkeley researchers, who worked with nonprofit clean energy research firm GridLab and climate policy think tank Energy Innovation, reports the Verge: The Biden administration has committed to halving the nation's emissions by the end of the decade and has plans to source electricity completely from carbon pollution-free energy by 2035. Adding to that urgency, U.S. electricity demand is forecast to nearly triple by 2050, according to the Berkeley report. On top of a growing economy, the clean energy transition means electrifying more vehicles and homes — all of which put more stress on the power grid unless more power supply comes online at a similar pace.

To meet that demand and hit its climate goals, the report says the U.S. has to add 27 gigawatts of offshore wind and 85 GW of land-based wind and solar each year between 2035 and 2050. That timeline might still seem far away, but it's a big escalation of the Biden administration's current goal of deploying 30 GW of offshore wind by 2030. Europe, with an electricity grid about 70% the size of the U.S., already has about as much offshore wind capacity as the Biden administration hopes to build up by the end of the decade. Right now, wind energy makes up just over 10% of the U.S. electricity mix, and nearly all of that comes from land-based turbines...

For now, the U.S. has just two small wind farms off the coasts of Rhode Island and Virginia. Construction started on the foundations for the nation's first commercial-scale wind farm off Martha's Vineyard, Massachusetts, in June... Project costs have gone up with higher interest rates and rising prices for key commodities like steel, Heatmap reports. That's led to power purchase agreements falling through for some projects in early development, including plans in Rhode Island for an 884-megawatt wind farm that alone would have added more than 20 times as much generation capacity as the U.S. has today from offshore wind. Developers are struggling to make projects profitable without passing costs on to consumers...

The study found a modest 2 to 3 percent increase in wholesale electricity costs with ambitious renewable energy deployment. But renewable energy costs have fallen so dramatically in the past that the researchers think those costs could wind up being smaller over time.

The report points out that wind energy complements solar, by producing the most wind energy right when demand is peaking (in the summertime on the West Coast, and during the winter on the East Coast).
Power

Judge Tosses Criminal Charges Against South Carolina Nuclear Executive - But Case May Continue (apnews.com) 41

An anonymous reader shared this report from the Associated Press: A judge has ordered criminal charges dropped against the final executive accused of lying about problems building two nuclear reactors in South Carolina that were abandoned without generating a watt of power. The judge tossed the charges Wednesday because ratepayers of the utility that lost billions of dollars on the project were improperly allowed on the grand jury that indicted Westinghouse Electric Co. executive Jeffrey Benjamin. But federal judge Mary Geiger Lewis also ruled that nothing is stopping prosecutors from properly seeking another indictment. "We're not going away," said assistant U.S. Attorney Winston Holliday, who said prosecutors are still reviewing the ruling to decide their next steps...

The project fell apart in 2017 after nearly a decade of work, when executives and regulators determined construction of the reactors was so hopelessly behind schedule they could not get nearly $2 billion of tax breaks needed to help pay for the work. SCANA contracted with Westinghouse to build the reactors. Prosecutors said Benjamin , who was in charge of major projects, knew of delays and cost overruns but lied to regulators, utility executives and others. The lies led to electric rate increases while keeping the price of SCANA's stock from plummeting...

Two former SCANA executives have been sentenced to federal prison after pleading guilty to their roles in lying to ratepayers, regulators and investors. Former CEO Kevin Marsh received two years while chief operating officer Stephen Byrne was sentenced to 15 months. Former Westinghouse project director Carl Churchman has pleaded guilty to lying to FBI agents investigating the project's failure and is awaiting sentencing.

Medicine

EPA Approved a Chevron Fuel Ingredient That Has a Lifetime Cancer Risk 121

An anonymous reader quotes a report from ProPublica: The Environmental Protection Agency approved a component of boat fuel made from discarded plastic that the agency's own risk formula determined was so hazardous, everyone exposed to the substance continually over a lifetime would be expected to develop cancer. Current and former EPA scientists said that threat level is unheard of. It is a million times higher than what the agency usually considers acceptable for new chemicals and six times worse than the risk of lung cancer from a lifetime of smoking. Federal law requires the EPA to conduct safety reviews before allowing new chemical products onto the market. If the agency finds that a substance causes unreasonable risk to health or the environment, the EPA is not allowed to approve it without first finding ways to reduce that risk. But the agency did not do that in this case. Instead, the EPA decided its scientists were overstating the risks and gave Chevron the go-ahead to make the new boat fuel ingredient at its refinery in Pascagoula, Mississippi. Though the substance can poison air and contaminate water, EPA officials mandated no remedies other than requiring workers to wear gloves, records show.

ProPublica and the Guardian in February reported on the risks of other new plastic-based Chevron fuels that were also approved under an EPA program that the agency had touted as a "climate-friendly" way to boost alternatives to petroleum-based fuels. That story was based on an EPA consent order, a legally binding document the agency issues to address risks to health or the environment. In the Chevron consent order, the highest noted risk came from a jet fuel that was expected to create air pollution so toxic that 1 out of 4 people exposed to it over a lifetime could get cancer. In February, ProPublica and the Guardian asked the EPA for its scientists' risk assessment, which underpinned the consent order. The agency declined to provide it, so ProPublica requested it under the Freedom of Information Act. The 203-page risk assessment revealed that, for the boat fuel ingredient, there was a far higher risk that was not in the consent order. EPA scientists included figures that made it possible for ProPublica to calculate the lifetime cancer risk from breathing air pollution that comes from a boat engine burning the fuel. That calculation, which was confirmed by the EPA, came out to 1.3 in 1, meaning every person exposed to it over the course of a full lifetime would be expected to get cancer.

Another serious cancer risk associated with the boat fuel ingredient that was documented in the risk assessment was also missing from the consent order. For every 100 people who ate fish raised in water contaminated with that same product over a lifetime, seven would be expected to develop cancer -- a risk that's 70,000 times what the agency usually considers acceptable. When asked why it didn't include those sky-high risks in the consent order, the EPA acknowledged having made a mistake. This information "was inadvertently not included in the consent order," an agency spokesperson said in an email. [...] The risk assessment makes it clear that cancer is not the only problem. Some of the new fuels pose additional risks to infants, the document said, but the EPA didn't quantify the effects or do anything to limit those harms, and the agency wouldn't answer questions about them. Some of these newly approved toxic chemicals are expected to persist in nature and accumulate in living things, the risk assessment said. That combination is supposed to trigger additional restrictions under EPA policy, including prohibitions on releasing the chemicals into water. Yet the agency lists the risk from eating fish contaminated with several of the compounds, suggesting they are expected to get into water. When asked about this, an EPA spokesperson wrote that the agency's testing protocols for persistence, bioaccumulation and toxicity are "unsuitable for complex mixtures" and contended that these substances are similar to existing petroleum-based fuels.
The EPA did address the concerns in June when it proposed a rule that "would require companies to contact the agency before making any of 18 fuels and related compounds listed in the Chevron consent order," notes ProPublica. "The EPA would then have the option of requiring tests to ensure that the oil used to create the new fuels doesn't contain unsafe contaminants often found in plastic, including certain flame retardants, heavy metals, dioxins and PFAS. If approved, the rule will require Chevron to undergo such a review before producing the fuels, according to the EPA."
Security

A Cyberattack Has Disrupted Hospitals and Health Care in Several States (apnews.com) 20

A cyberattack has disrupted hospital computer systems in several states, forcing some emergency rooms to close and ambulances to be diverted, and many primary care services remained closed on Friday as security experts worked to determine the extent of the problem and resolve it. From a report: The "data security incident" began Thursday at facilities operated by Prospect Medical Holdings, which is based in California and has hospitals and clinics there and in Texas, Connecticut, Rhode Island and Pennsylvania. "Upon learning of this, we took our systems offline to protect them and launched an investigation with the help of third-party cybersecurity specialists," the company said in a statement Friday. "While our investigation continues, we are focused on addressing the pressing needs of our patients as we work diligently to return to normal operations as quickly as possible." In Connecticut, the emergency departments at Manchester Memorial and Rockville General hospital were closed for much of Thursday and patients were diverted to other nearby medical centers.

[...] The FBI in Connecticut issued a statement saying it is working with "law enforcement partners and the victim entities" but could not comment further on an ongoing investigation. Elective surgeries, outpatient appointments, blood drives and other services were suspended, and while the emergency departments reopened late Thursday, many primary care services were closed on Friday, according to the Eastern Connecticut Health Network, which runs the facilities. Patients were being contacted individually, according to the network's website. Similar disruptions also were reported at other facilities system-wide.

Transportation

Waymo Says Austin, Texas, Will Be Its Next Robotaxi City (theverge.com) 18

An anonymous reader quotes a report from The Verge: Waymo's fourth robotaxi city will be Austin, Texas. It will be a bit of a homecoming for the Alphabet-owned self-driving company. Waymo said that it will kick off the process for a commercial robotaxi service in the city later this year. But that doesn't mean passengers can hail one of the company's driverless vehicles quite yet; Waymo's playbook is to start with manual testing, following by supervised testing, fully autonomous driving, and then, eventually, passenger services. The company has been testing its vehicles on the streets of Austin since March, laying the groundwork for the eventual launch of a commercial ridehailing service.

Waymo says its driverless taxis will traverse "a large portion of the city night and day," covering spots like "the heart of downtown, Barton Hills, Riverside, East Austin, Hyde Park and more." The company makes no mention of the Austin-Bergstrom International Airport, where the taxi business is typically the most lucrative. The company also noted that "autonomous vehicles help improve road safety," a claim that sounds true on the surface but is hard to prove. Waymo has released several datasets that show its vehicles to be adept at avoiding certain collisions. But humans drive billions of miles every year -- orders of magnitude more real-world driving than the comparatively tiny fleet of AVs on the road today. And while there are an unacceptable number of fatalities every year, humans are actually good drivers -- for the most part.

United States

Biden Puts Final Nail In the Coffin For Incandescent Light Bulbs (cnbc.com) 267

Long-time Slashdot reader SonicSpike shares a report from CNBC: On Tuesday, the Biden administration put the final nail in the coffin for incandescent light bulbs, the result of a decade-plus-long legislative path. The journey began in 2007 when the Energy Independence and Security Act passed. That law required the Department of Energy to evaluate whether efficiency standards for light bulbs needed to be set or amended and required a minimum standard of energy efficiency for light bulbs of 45 lumens per watt to be considered. The 2007 law required that if the DOE determined a new energy efficiency standard was necessary, it should go into effect by January 1, 2017. But politics intervened as the Trump administration appealed those rules.

The Biden administration picked the issue back up. And in April 2022, the Biden administration issued a rule requiring the minimum standard efficiency of 45 lumens per watt, which became effective in July. At that time, the Department of Energy said it would have a gradual transition to the new rule so that stores with inventory would not be stuck with light bulbs they could no longer sell. In Department of Energy lingo, this is called "progressive enforcement." Full enforcement of the ban for retailers took effect on Tuesday. The DOE does not disclose its techniques for enforcing these step-wise implementation of the rule. However, the agency's new regulations will be enforced in "a fair and equitable manner," and smaller retailers are advised to reach out to the DOE to speak about existing inventory they may still have on hand, a spokesperson told CNBC.

Enforcing the sale of the more energy-efficient light bulbs will save consumers nearly $3 billion per year on their utility bills, according to DOE estimates, and cut carbon emissions by 222 million metric tons over the next 30 years. That's about the quantity of emissions that 28 million homes generate in a year, the Department of Energy said. [...] Not all light bulbs are included in the ban. Exceptions include a whole slew of specific light bulb implications, including appliance lamps, black light lamps, bug lamps, colored lamps, general service fluorescent lamps, marine lamps, marine signal service lamps, mine service lamps, sliver bowl lamps, showcase lamps, and traffic signal lamp, to name a few.

The Internet

Pornhub Goes Dark In Arkansas After Age Verification Law Kicks In (theverge.com) 69

Pornhub operator MindGeek has blocked all users in Arkansas from the site after the state's new age verification law went into effect on Tuesday. The Verge reports: The Arkansas law, SB 66, doesn't ban Pornhub from operating in the state, but it requires porn sites to verify that a user is 18 by confirming their age with identifying documents. On Wednesday, Pornhub blocked all traffic from IP addresses based in Arkansas in protest, arguing that the law, which was intended to protect children, actually harms users. "While safety and compliance are at the forefront of our mission, giving your ID card every time you want to visit an adult platform is not the most effective solution for protecting our users, and in fact, will put children and your privacy at risk," MindGeek wrote in a message replacing the site's front page for affected users. The block also applies to other popular MindGeek adult sites, like RedTube.
Power

Bulb Becomes a Flashpoint as the Sun Sets on Incandescent Lights (nytimes.com) 292

A ban on most kinds of traditional bulbs renews a cultural squabble between regulatory efforts to curb energy consumption and the very American impulse to do whatever one wants in one's domicile. The New York Times: The switchboard at Lightbulbs.com, a (pretty self-explanatory) e-commerce website, lit up with panicked callers on Tuesday, who all wanted to know if the news was true. Had the government just banned the sale of incandescent bulbs? Yes, mostly. Was this decision part of an elaborate political plot? No, mostly. Just what were fans of incandescent lighting supposed to do now? EBay, maybe?

Much like its cousin, the gas stove, the humble light bulb has become a flashpoint in a cultural squabble between environmental regulatory efforts and the very American impulse to do whatever one wants in one's domicile. But unlike the gas stove debate, which grew so heated (sorry) that it drew legislation from Republicans hoping to protect the noble but possibly dangerous appliance, the ban on the sale of most incandescent bulbs went quietly into effect on August 1. (The Biden administration denied trying to ban gas stoves.)

The response to the bulb ban was more of a whimper than a battle cry. "Thomas Edison brought the incandescent light bulb to the masses, and in 2023 Joe Biden banned it in America," officials with the Republican Party of New Mexico wrote in a tweet. "The Biden administration's government overreach continues." Other critics were more concerned about the quality of light affecting their quality of life: "I often stay up late at my desk, and the warm glow of the lamp is like company as I read and write. Ugh. There are people in power who are dedicated to sucking all joy out of the world," Joseph Massey, a self-described "not woke" writer, tweeted.

United States

Fitch Downgrades US Credit Rating From AAA To AA+ (bbc.com) 349

The US government's credit rating has been downgraded following concerns over the state of the country's finances and its debt burden. From a report: Fitch, one of three major independent agencies that assess creditworthiness, cut the rating from the top level of AAA to a notch lower at AA+. Fitch said it had noted a "steady deterioration" in governance over the last 20 years. US Treasury Secretary Janet Yellen called the downgrade "arbitrary". It was based on "outdated data" from the period 2018 to 2020, she said. Investors use credit ratings as a benchmark for judging how risky it is to lend money to a government. The US is usually considered a highly secure investment because of the size and relative stability of the economy.

However, this year saw another round of political brinkmanship over government borrowing. In June the government succeeded in lifting the debt ceiling to $31.4 trillion but only after a drawn-out political battle, which threatened to push the country into defaulting on its debts. When Congress returns from its summer recess, lawmakers will have to work to reach an agreement on next year's budget before the end of September to prevent a government shutdown. "The rating downgrade of the United States reflects the expected fiscal deterioration over the next three years, a high and growing general government debt burden, and the erosion of governance" relative to peers, said Fitch in a statement.

"In Fitch's view, there has been a steady deterioration in standards of governance over the last 20 years, including on fiscal and debt matters, notwithstanding the June bipartisan agreement to suspend the debt limit until January 2025," the rating agency said. Ms Yellen said she "strongly" disagreed with Fitch's decision. "Treasury securities remain the world's preeminent safe and liquid asset, and... the American economy is fundamentally strong," she said in a statement.

China

The US and Europe Are Growing Alarmed By China's Rush Into Legacy Chips (time.com) 159

An anonymous reader quotes a report from TIME: U.S. and European officials are growing increasingly concerned about China's accelerated push into the production of older-generation semiconductors and are debating new strategies to contain the country's expansion. President Joe Biden implemented broad controls over China's ability to secure the kind of advanced chips that power artificial-intelligence models and military applications. But Beijing responded by pouring billions into factories for the so-called legacy chips that haven't been banned. Such chips are still essential throughout the global economy, critical components for everything from smartphones and electric vehicles to military hardware. That's sparked fresh fears about China's potential influence and triggered talks of further reining in the Asian nation, according to people familiar with the matter, who asked not to be identified because the deliberations are private. The U.S. is determined to prevent chips from becoming a point of leverage for China, the people said.

Commerce Secretary Gina Raimondo alluded to the problem during a panel discussion last week at the American Enterprise Institute. "The amount of money that China is pouring into subsidizing what will be an excess capacity of mature chips and legacy chips -- that's a problem that we need to be thinking about and working with our allies to get ahead of," she said. While there's no timeline for action to be taken and information is still being gathered, all options are on the table, according to a senior Biden administration official. The most advanced semiconductors are those produced using the thinnest etching technology, with 3-nanometers state of the art today. Legacy chips are typically considered those made with 28-nm equipment or above, technology introduced more than a decade ago.

Senior E.U. and U.S. officials are concerned about Beijing's drive to dominate this market for both economic and security reasons, the people said. They worry Chinese companies could dump their legacy chips on global markets in the future, driving foreign rivals out of business like in the solar industry, they said. Western companies may then become dependent on China for these semiconductors, the people said. Buying such critical tech components from China may create national security risks, especially if the silicon is needed in defense equipment. "The United States and its partners should be on guard to mitigate nonmarket behavior by China's emerging semiconductor firms," researchers Robert Daly and Matthew Turpin wrote in a recent essay for the Hoover Institution think tank at Stanford University. "Over time, it could create new U.S. or partner dependencies on China-based supply chains that do not exist today, impinging on U.S. strategic autonomy."

United States

Who Paid for a Mysterious Spy Tool? The FBI, an FBI Inquiry Found. (nytimes.com) 41

A New York Times investigation uncovered earlier this year that the US government used spyware made by Israeli hacking firm NSO. Now, after an FBI investigation into who was using the tech, the department uncovered a confusing answer: itself. From a report: The deal for the surveillance tool between the contractor, Riva Networks, and NSO was completed in November 2021. Only days before, the Biden administration had put NSO on a Commerce Department blacklist, which effectively banned U.S. firms from doing business with the company. For years, NSO's spyware had been abused by governments around the world. This particular tool, known as Landmark, allowed government officials to track people in Mexico without their knowledge or consent.

The F.B.I. now says that it used the tool unwittingly and that Riva Networks misled the bureau. Once the agency discovered in late April that Riva had used the spying tool on its behalf, Christopher A. Wray, the F.B.I. director, terminated the contract, according to U.S. officials. But many questions remain. Why did the F.B.I. hire this contractor -- which the bureau had previously authorized to purchase a different NSO tool under a cover name -- for sensitive information-gathering operations outside the United States? And why was there apparently so little oversight?

United States

First US Nuclear Reactor Built In Decades Enters Commercial Operation (nbcnews.com) 254

ZipNada writes: A new reactor at a nuclear power plant in Georgia has entered commercial operation, becoming the first new American reactor built from scratch in decades. Georgia Power announced Monday that Unit 3 at Plant Vogtle, southeast of Augusta, has completed testing and is now sending power to the grid reliably. At its full output of 1,100 megawatts of electricity, Unit 3 can power 500,000 homes and businesses. Utilities in Georgia, Florida and Alabama are receiving the electricity.

Nuclear power now makes up about 25% of the generation of Georgia Power, the largest unit of Atlanta-based Southern Co. A fourth reactor is also nearing completion at the site, where two earlier reactors have been generating electricity for decades. The Nuclear Regulatory Commission on Friday said radioactive fuel could be loaded into Unit 4, a step expected to take place before the end of September. Unit 4 is scheduled to enter commercial operation by March. The third and fourth reactors were originally supposed to cost $14 billion, but are now on track to cost their owners $31 billion. That doesn't include $3.7 billion that original contractor Westinghouse paid to the owners to walk away from the project. That brings total spending to almost $35 billion. The third reactor was supposed to start generating power in 2016 when construction began in 2009.

Power

Elon Musk Predicts Electricity Shortage in Two Years (msn.com) 463

"The man behind the race to replace gasoline-fueled cars with electric ones is worried about having enough juice," writes the Wall Street Journal: In recent days he has reiterated those concerns, predicting U.S. consumption of electricity, driven in part by battery-powered vehicles, will triple by around 2045. That followed his saying earlier this month that he anticipates an electricity shortage in two years that could stunt the energy-hungry development of artificial intelligence. "You really need to bring the time scale of projects in sooner and have a high sense of urgency," Musk told energy executives Tuesday at a conference held by PG&E, one of the nation's largest utilities. "My biggest concern is that there's insufficient urgency."

Musk's participation with PG&E Chief Executive Patti Poppe at the power company's conference marked the third major energy event the billionaire has appeared at in the past 12 months. He has played the part of Cassandra, trying to spark more industry attention on the infrastructure required for his EV and AI futures as he advocates for a fully electric economy. "I can't emphasize enough: we need more electricity," Musk said last month at an energy conference in Austin. "However much electricity you think you need, more than that is needed." The U.S. energy industry in recent years already has struggled at times to keep up with demand, resorting to threats of rolling blackouts amid heat waves and other demand spikes. Those stresses have rattled an industry undergoing an upheaval as old, polluting plants are being replaced by renewable energy. Utilities are spending big to retool their systems to be greener and make them more resilient. Deloitte estimates the largest U.S. electric companies together will spend as much as $1.8 trillion by 2030 on those efforts. Adding to the challenge is an industry historically accustomed to moving slowly, partly because of regulators aiming to protect consumers from price increases.

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