Back when I was doing regular Texas vs. California updates, this is the sort of video I would feature. It covers why Texas is doing so much better than Europe, though the framing misses a few things I’ve tried to highlight below.
Caveat: I don’t know who “The Economic Matrix” is, but what they’re saying is generally right, but a bit incomplete.
“This is Texas. To most of the world, it’s just one of 50 American states. But if you pulled it off the US map and dropped it into the global rankings as its own nation, it would sit eighth in the world, sandwiched directly between France and Italy, with a staggering GDP of $2.77 trillion. But that’s just the start. In 2025, the Texas economy was bigger than the equivalent of the Netherlands, Belgium, Denmark, and Austria combined.”
“Texas and Europe are separated by more than an ocean. They’re separated by two completely different ideas of how a state should operate. And right now, one of those ideas is winning by a distance that gets harder to close every year. In 2024, the Texas economy grew by nearly 4%. The entire European Union managed 1%, and the gap is only getting wider.”
“The EU spent most of the last 15 years in crisis mode. A sovereign debt collapse left Greece, Spain, and Portugal on the edge of ruin.” I covered the European Debt Crisis (especially among the PIIGS (Portugal, Italy, Ireland, Greece, Spain)) as it was happening, and the thing to remember is that it was (and is) a deficit spending crisis. Like the federal government, European governments insist on spending more than they take in. Real austerity, i.e. cutting outlays until they match receipts, hasn’t failed, it’s been declared difficult and left untried.
“Years of near zero growth followed. The in 2022, Russia cut off the gas and sent inflation across the Euro zone spiking to 9.2%.” Here the video also avoids noting that another big inflation driver was the effects of the Flu Manchu lockdown across most EU economies.
“Through all of that, the Texas economy just kept climbing. The productivity gap tells the same story. Between late 2019 and mid 2024, labor productivity per hour in the Euro zone rose by 0.9%. In the US, it rose by 6.7%. Texas led that charge.”
“Look at the Permian Basin. Oil production nearly tripled in a decade while the rig count was cut almost in half because horizontal drilling and AI-guided extraction meant fewer rigs producing more oil. Same workforce, three times the output.” Oil industry-specific AI has very little do with the current general AI build-out bubble.
“There’s a mathematical reality that makes this trajectory almost impossible to reverse. At 1.5% annual growth, the EU takes roughly 47 years to double in size. At the 3.5% rate Texas usually averages, it takes 20. By the time the EU doubles once, Texas will have doubled twice. That gap compounds and it means every year the distance between these two economic models doesn’t just persist, it accelerates.”
“Mario Draghi, the former head of the European Central Bank, released a landmark report warning that without serious reform, the EU is heading toward what he called a slow agony. Leaders held a retreat to discuss it. Then they went back to their committees.” Future pain is abstract, while the electoral pain of trying to reform things is far more immediate.
“Since 2020, more than 200 companies have moved their headquarters to Texas. Tesla relocated to Austin in 2021. Chevron, one of the largest energy companies on Earth, announced its move to Houston in 2024. Charles Schwab, CBRE, SpaceX. More than half of these relocations came from California alone.”
“These are not satellite offices or mailbox moves. The reason they gave was simple. The regulatory environment in California made expansion too slow and too expensive. Texas made it fast, cheap, and permanent.”
“Spotify was founded in Stockholm, but listed on the New York Stock Exchange. Skype was built in Estonia and Luxembourg, then bought by Microsoft and absorbed into Redmond. ARM was designed in Cambridge, England, then acquired by a Japanese conglomerate and listed in New York. Europe keeps building the talent. America keeps cashing the check.”
“Beneath the growth stats and the corporate migrations, there’s one factor that explains this gap better than anything else: Energy. Texas produces more energy than almost any country on Earth. Not other American states, actual nations. Between 2007 and 2023, while the rest of the United States saw energy consumption drop by about 5%, Texas went in the other direction. Energy use in the state climbed by 21% and the industrial sector alone saw a 28% jump in demand. This was not a state focused on conservation or cutting back. Texas was building oil rigs, refineries, chemical plants, and massive wind installations, all at the same time.” Those wind farm installations were the result of subsidies, and they’re not really building new ones anymore.
“The reason Texas could pull this off comes down to one decision made decades ago. Texas built its own power grid, specifically to escape the slow motion gears of federal regulation. The result, solar capacity that grew 32% in just 2024, wind generation that leads every other American state, and a massive natural gas fleet running underneath it all to keep the lights on when the sun goes down, cheap, abundant, predictable, and fast to build.” Again, the solar build-out was aided by subsidies.
“For decades, the European energy models rested on one assumption. Buy cheap gas from Russia, build out renewables slowly, and keep industrial costs manageable. When Russia invaded Ukraine in 2022, that assumption collapsed overnight. Wholesale energy prices went vertical. Industrial electricity costs in Germany suddenly hit three to four times what businesses in Texas were paying for the exact same power.”
“Look at what happened to BASF, the largest chemical company in the world. For over 150 years, their home was Ludwigshafen, Germany, a sprawling industrial complex on the Rhine that employed tens of thousands. After 2022, they announced billions in cuts to that site. Plants shuttered, thousands of jobs gone. But BASF didn’t disappear. At the exact same time, they were breaking ground on new facilities in Freeport, Texas. Same company, same products, two completely different decisions driven entirely by the price of electricity.” Probably not just electricity. Union work rules in Germany are considerably less flexible than those in right-to-work Texas.
“France tried to escape this trap by leaning into nuclear power, which once covered 75% of French electricity needs. But that infrastructure is aging. New reactor projects like Flamenville have run tens of billions over budget and more than a decade behind schedule, and the political will to build more has been stuck in debate for a generation. The old Russian gas model is dead. The nuclear renaissance has not arrived. And permitting a single wind farm in the EU can take 7 to 10 years.”
“In Texas, the same process often takes a few months. Energy prices act like a hidden tax on everything from manufacturing steel to running a server farm to heating a bakery. European businesses pay that tax every single day. And Europe does not have the gas, does not have the grid independence, and does not have the permitting speed to change that.” Actually, Europe does have oil and gas reserves it refuses to develop.
“Cheap energy is a huge piece of the puzzle. But the real accelerant for the Texas economy has been something even harder for Europe to copy. And it starts with one number. The average top personal income tax rate across 35 European countries is 38.5%. In Denmark, that number hits a staggering 60.5%. In Germany, France, and Italy, high earners face rates between 45 and 50%.”
“In Texas, the state income tax rate is zero. It’s always been zero, and the Texas Constitution actually makes it illegal for the state to introduce one without a direct vote from the public. This is not a temporary policy that a new government can reverse after the next election. It’s locked into the foundation of the state.”
“Texas still has high property taxes, so the total burden on a normal resident is not as dramatic as that 0% headline suggests. But for the people these economies are competing over, the math is brutal. A senior software engineer in Munich earns roughly €75,000 and takes home about $45,000 after income tax and social contributions. The same engineer in Austin earns $140,000 and takes home over $105,000. same skills, same screen, more than double the money in their pocket at the end of the year. Between 2020 and 2024, Texas startups pulled in over $46 billion in venture capital. In Q1 2025 alone, Texas tech companies raised nearly $3 billion, the biggest single quarter the state had seen in over 2 years, with massive deals in cyber security, defense tech, and biotech.”
“Compare that to the other side of the Atlantic. The entire European Union raised about $17.5 billion for AI funding in all of 2025. The US raised nearly $70 billion for generative AI alone by midyear. Not total tech, not all venture capital, generative AI alone. These two regions are not competing in the same category.”
“The EU’s regulatory framework was designed to protect consumers and level the playing field. GDPR [General Data Protection Regulation], the AI Act, 27 different national compliance regimes stacked on top of each other. The intentions were sound, but the unintended result is that the compliance costs favor massive American companies like Google and Microsoft, who can absorb them easily over smaller European rivals who can’t.”
“None of this means Texas has it all figured out, because the truth is it hasn’t. The most visible problem is housing. In 2019, a median Texas family earned 62% more than they needed to buy a median home. By 2023, that cushion had collapsed to just 7%. Not 62%, 7%. Over a third of Texas households now spend more than 30% of their income on housing.” That’s a national problem, partially engendered by the Flu Manchu shutdowns, partially by restrictive local building codes. “Affordable housing” blather snipped, since this is just more unnecessary government subsidy and intervention.
“The workers who actually build the Texas economy, the Tesla line workers, the nurses, the warehouse staff, can’t afford to live in the cities their labor is building anymore. They commute in from further and further out, and the roads, the housing, and the services all fall behind.” Partially true, partially false. Austin housing prices exploded, but have come down dramatically. Dallas and San Antonio prices spiked, then plateaued. Houston prices have continued climbing, but gradually.
“When a place grows this fast, the infrastructure simply can’t keep up.” True of Austin, less true of Houston, though having to rebuild certain interchanges is making things a nightmare for certain commuters.
Discussion of energy grid problems and the 2021 ice storm snipped, since I think we’ve covered those enough here.
“The problems in Texas are the problems of a place growing too fast. The problems in Europe are the problems of a place that is barely growing at all. In that sense, Texas and Europe have something in common. Both are stuck. The difference is that Texas is gridlocked because too many people are trying to get to work. Europe is gridlocked because too many committees are still deciding whether to build the road. Right now, Texas has its sights set on overtaking France, a G7 nation. At current growth rates, that gap closes faster than most people realize. And France’s response, like the rest of Europe’s, has been to wait and see.”
“The real question isn’t whether Europe can change. It’s whether it actually wants to change badly enough to feel the pain that comes with it. Because while Brussels is still writing the rule book, the game is already over for the economies Texas has already passed. The ones still in its path just haven’t checked the scoreboard yet.”
Left out of this coverage: Texas has a constitutionally mandated balanced budget, while the overwhelming majority of European nations keep running budget deficits to keep their cradle-to-grave welfare states afloat.
Not to mention a government run by Republicans rather than unstable coalitions including the Greens…
More proof of widespread Biden Administration abuse and fraud uncovered, more news from the Iran war, the Trump Administration fights welfare fraud, LA displays both welfare and voting fraud, more lefty sorts stealing funds to feather their own nests, Muslim EPIC City development runs into more roadblocks, and some weird video game news.
It’s the Friday LinkSwarm!
Thanks for everyone who contributed to the Pay For Buddy’s Vet Bill Fund. He’s already doing so much better that you can’t tell he was hurt, though some of that is probably the pain pills.
Newly released records in the Senate investigation into the weaponization of government raise questions about whether the FBI went on a fishing expedition targeting Trump advisors who were never charged with crimes and whether Special Counsel Jack Smith’s prior testimony to Congress was truthful.
The documents were made public by Chairman Chuck Grassley, R-Iowa, before a Senate Judiciary Committee subcommittee hearing into alleged abuses by the Biden-era FBI and Justice Department in their investigations into then ex-president Donald Trump before and during the 2024 presidential election during its probe code-named “Arctic Frost.” Just the News previously reported that Biden’s FBI paid anti-Trump ‘Sedition Hunters’ as informants in the Arctic Frost probes.
“If Watergate taught us anything, it is that even a single abuse of power carried out by a handful of individuals can shake the foundations of our Republic,” said Sen. Ted Cruz, R-Tex., Chairman of the Judiciary Committee’s Subcommittee on Federal Courts, Oversight, Agency Action, and Federal Rights.
“What we confront today, the Biden administration’s Arctic Frost scheme, is not a single act,” he continued in his opening remarks. “It is a modern Watergate trading a break-in at one office for a digital sweep into approximately 100,000 private communications, more than a dozen senators and 1000s of individuals lives.”
Cruz said that ultimately, “just like Watergate,” the judges, FBI and Justice Department officials involved should be “investigated, tried, impeached, and brought to justice.”
The scope of Smith’s probe, which centered on Trump’s challenge to the 2020 election results and the events of January 6, 2021, was truly expansive. Grassley previously released records showing that Smith’s office issued nearly 200 subpoenas in his sweeping Arctic Frost-linked case, secretly seeking records on more than 400 Republican personalities and groups. This included more than 160 Republicans–many closely connected to Trump.
The Arctic Frost was one of four separate probes that targeted Trump and his allies stretching from summer 2016 to January 2025. The other probes were code-named Crossfire Hurricane, Round River, and Plasmic Echo, Just the News reported earlier this month.
As FBI Director, Patel has personally led the effort to review those probes, uncovering evidence of a far-reaching dragnet that in some cases may have been predicated on false, misleading or uncorroborated justifications, officials previously told Just the News.
The newly-disclosed records show that the FBI ordered two sweeping subpoenas of FBI Director Kash Patel’s phone records, while he was a private citizen in Trump’s orbit. Each subpoena covered an approximately two-year time frame.
The FBI’s requests for information included demands for highly personal data of Patel’s, including Patel’s addresses (“mailing addresses, residential addresses, business addresses, and e-mail addresses”), a “call detail record” which lists inbound and outbound calls, text messages and voicemail messages, as well as sources of payment for the phone service, including credit card and bank account numbers. The FBI also demanded expansive internet session data including exact IP addresses, the document shows.
The FBI also sought–and was granted–non-disclosure orders (NDOs) from federal judges, shielding the existence of the subpoenas from Patel and his lawyers on the grounds that revealing them could result in his “flight from prosecution, destruction of or tampering with evidence, intimidation of potential witnesses and serious jeopardy to the investigation.”
Susie Wiles, Donald Trump’s then campaign manager and future chief of staff, was also targeted in the probe. The Biden-era FBI reportedly even went so far as to record a private phone call between Wiles and her lawyer in 2023 while she was actively managing the campaign of President Joe Biden’s chief political rival, according to Reuters.
U.S. intelligence intercepted Ukrainian government communications discussing a plot to route hundreds of millions of American tax dollars earmarked for clean energy in the war-torn country and move them to the United States to enrich then-President Joe Biden’s 2024 re-election campaign and the Democratic National Committee, according to a declassified intelligence report summarizing the intercepts that was obtained by Just the News….
‘The Ukrainian Government and unspecified U.S. Government personnel, through USAID in Kyiv, reportedly developed a plan that would provide hundreds of millions of US taxpayer dollars to fund an infrastructure project for Ukraine that would be used as a cover to send approximately 90% of funds allocated to the DNC to fund Joe Biden’s reelection campaign,’ the declassified summary of the intercepts stated.
Every American involved in the scheme should be prosecuted. Still doesn’t justify taking Russia’s side in their illegal war of territorial aggression.
Long overdue: “Trump Administration Launches Whole-of-Government Effort to Fight Welfare Fraud.”
Vice President JD Vance and Federal Trade Chairman Andrew Ferguson convened members of the administration’s newly created anti-fraud task force on Friday to lay out the administration’s hopes for rooting out fraud in public programs across the country.
Established by President Trump via executive order earlier this month, the task force includes newly confirmed fraud-focused Assistant Attorney General Colin McDonald and spans multiple government agencies tasked with implementing new fraud detection and reporting protocols, investigating Biden-era policies regarding fraud prevention, proposing new legislative and regulatory tools to combat fraud, and prosecuting illegal behavior when necessary to recover as much in improperly obtained funds as possible.
According to a task force memo authored by Vance and Ferguson and shared with National Review, the White House will focus primarily on high-spend, low-verification programs that “pay out large sums of money with low confidence or limited information about the ultimate recipients and uses of those funds.” Key programs that fall into this category include benefits administered through Medicare, Medicaid, the Supplemental Nutrition Assistance Program, and Small Business Administration loans.
The task force divides fraud into four main categories, according to the memo. The first category is so-called “ghost” billing where there is no real beneficiary and no real service provided, a prime example being a fake business that applied for Paycheck Protection Program relief during the Covid-19 pandemic. The second category are low-quality services provided to real beneficiaries, such as substandard medical care provided to elderly patients at nursing homes or memory-care facilities.
The third category is “upcoding” or “overbilling,” where fraudsters hand patients manipulated bills. “When hospitals commit fraud, for example, there are often real patients receiving necessary hospitalizations but with exaggerated diagnoses purporting to justify more expensive services than the patient actually needed or received,” the memo reads.
And the final category outlined by the task force is “necessity” fraud, where a real service is provided to an unqualified beneficiary. “Medicare fraud, for example, often involves real doctors giving real people treatments they don’t need, such as a person who can walk getting a wheelchair or a patient getting a lab test they don’t need,” the memo adds.
During a brief news conference on Friday, the vice president spotlighted egregious practices by autism daycare programs in Minnesota, where earlier this month one defendant, a Somali man named Abdinajib Yussuf, pleaded guilty to one count of wire fraud in a $6 million Medicaid reimbursement scheme.
“The first tragedy is that you have people who pay into the federal government, who pay into the IRS, who pay their taxes, expecting that those taxes will go to help their fellow citizens, and it’s not going to. It’s going to help fraudsters,” Vance said in remarks to the press before leading a closed-door strategy meeting with cabinet members and other senior administration officials working on the effort.
And the more important tragedy is that you have families who need these services who are unable to get them because people are getting rich off of fraud schemes, instead of making sure that autistic children and their families get access to these resources,” he added.
The task force has already cracked down on blue states and cities like Los Angeles, where the Centers for Medicare & Medicaid recently suspended 70 home-health providers and hospice centers identified as high-risk fraudulent medical programs.
Another target is also Minnesota, where federally funded nutrition-assistance fraud and state-agency-related mismanagement ran rampant during Democratic Governor Tim Walz’s tenure while somehow failing to disqualify him from Vice President Kamala Harris’s running-mate shortlist. The White House paused $259 million in federal Medicaid payments to Minnesota earlier this month as part of the administration’s response to the state’s baffling degree of fraud.
Over the coming months, task force members are also looking to highlight lax verification protocols at the state level that amplify this problem, particularly in states run by Democrats.
“I think that most citizens probably assume that there’s some verification process that takes place for the receipt of most federal benefits,” said White House Deputy Chief of Staff for Policy Stephen Miller. “The reality is that there is not. This is particularly true in blue states — willfully true in blue states in which all of these programs are operating entirely on the honor system, no verification takes place before individuals are enrolled in or receive these benefits.”
“Vance’s Anti-Fraud Task Force Suspends 70 Hospices in Los Angeles. The Senate also confirmed federal prosecutor Colin McDonald to lead the DOJ’s anti-fraud division.”
Yesterday the Telegraph told us about a “sinister new power” pulling the strings in Iran: “Ahmad Vahidi is the key cog in the regime’s chain of command.”
Unlike [Mohammad Bagher] Ghalibaf, Vahidi has remained in the shadows since the war. This is not without reason: our analysis suggests he is likely to be operating as the key cog in the regime’s chain of command and his survival is essential to its continuity. Long before the war, Ali Khamenei had entrusted Vahidi to draw up plans to further militarise the regime. If he outlasts this conflict and the regime survives, he will finally be able to implement this vision – a design that will produce a far more radical and extremist Islamic Republic.
Vahidi has unmatched experience and influence across the regime’s military, intelligence, and bureaucracy. His career began in the 1980s in the IRGC’s Intelligence Bureau, made up of the regime’s most ideologically loyal operatives. As the IRGC’s deputy for intelligence, he was hand-picked to join a secretive cohort to accompany Khamenei to visit North Korea – a trip designed to acquire missile and nuclear technology.
During the Iran-Iraq War (1980-1988), Vahidi was also one of the original members of the Ramadan Headquarters, a unit within the IRGC created to form Islamist terrorist groups globally and overseen by Khamenei.
Upon assuming the supreme leadership in 1989, Khamenei created the notorious Quds Force – the IRGC’s extraterritorial terror branch – and appointed Vahidi as its first commander. It was a testament to his loyalty. Vahidi demonstrated in that role that his vision to export terrorism was far more global than his notorious successor Qasem Soleimani.
Under Vahidi’s command, the IRGC orchestrated the bombing of a Jewish cultural centre in Argentina in 1994, the 1996 Khobar Towers attack in Saudi Arabia, and secretly dispatched operatives to Europe to train Islamist Mujahideen – including members of al-Qaeda – during the Bosnian war. This résumé would earn him a spot on Interpol’s wanted list in 2007.
Today:
🚨🇮🇷BREAKING: General Ahmad Vahidi who was appointed as commander-in-chief of the Islamic Revolutionary Guard Corps (IRGC) on March 1, 2026, reporadaly has been ELIMINATED in U. S. & Israel strikes. pic.twitter.com/7wuxWVRV6X
US signals to allies no ground invasion coming, with thousands of troops still en route: Iran denies requesting Donald Trump’s 10-day halt; Israel attacks steel & industrial sites. Also, Khondab Heavy Water Research Reactor, part of the Arak Nuclear Complex, targeted. Yellow Cake factory in Yazd province hit.
Escalation on all fronts: IRGC HQ targeted by US-Israsel; Iran signals expansion by naming UAE targets, hitting Kuwait ports and sending drones on Riyadh. Iran newly warning it will hit Gulf industry.
Rubio tells G7 foreign ministers war will continue for another 2-4 weeks.
Israel doubles down amid reports of manpower strain: IDF chief warns of manpower pressure even as Defense Minister Katz vows to “intensify and expand” strikes.
Risk rises that Iran is holding back more advanced missiles for a prolonged war: WSJ writes “The US and Israel are pounding Iran’s missile-launching sites… But Tehran’s missiles keep flying.”
The last seems tinged with ZeroHedge’s usual Iran war pessimism. Ever fewer missiles have been flying as time goes on, and the places they’re manufactured have been hammered.
“Iranian Atomic Energy Organization: US and Israeli airstrikes target uranium processing plant.” Good. Bomb every nuclear-related facility twice-over, then make the rubble bounce.
A special House Ethics Committee found Representative Sheila Cherfilus-McCormick guilty of 25 total ethics violations, after a three-year investigation into allegations that the Florida Democrat stole millions in federal relief funds.
Following a seven-hour televised trial, members deliberated through the night before voting, finding Cherfilus-McCormick guilty of almost all the charges against her — 25 of the 27.
“I’m as pure as the driven snow!” denials snipped.
In November, a federal grand jury indicted Cherfilus-McCormick, alleging she stole $5 million from the Federal Emergency Management Agency. Cherfilus-McCormick’s family operates a health care company, Trinity Healthcare Services, and received FEMA funds for a Covid vaccination contract.
According to the DOJ, the $5 million payment was an overpayment, and the congresswoman and her brother never paid back the funds to the government. Rather, the pair funneled the funds through various accounts and used the money to back Cherfilus-McCormick’s 2022 special election campaign, which she ultimately won.
Snip.
Cherfilus-McCormick and her siblings “funneled more than $500,000 originating from Trinity into various outside organizations that made expenditures on behalf of the campaign,” Sydney Bellwoar, the committee’s lawyer, said.
Further, Bellwoar said “the most egregious example” was when Cherfilus-McCormick received $2 million directly from Trinity Health into her campaign in July 2021, to forge the appearance of a robust campaign infrastructure.
Seize everything she owns to pay back and sentence her to extended prison time.
Sen Rand Paul offers up a simple, elegant solution that Democrats will fight tooth and claw against:
DataRepublican says that John Thune is trying to pull a sneaky maneuver to kill the SAVE Act.
Hello Senator Thune,
Let’s expose what you’re really doing with “reconciliation.”
You announced it yesterday, eleven months after the House passed the SAVE America Act. You’re not trying to pass this bill. You’re trying to kill it in a way you can blame on process.
Here’s how we know:
Reconciliation requires the Senate parliamentarian to rule that provisions are “budgetary.” Citizenship verification is not budgetary. Photo ID mandates are not budgetary. The parliamentarian will gut the bill. Then you’ll shrug and say “we tried.” We see through you.
Meanwhile, you WON’T use the tools that actually work:
Rule XIX limits each senator to two speeches per legislative day. Keep the Senate in continuous session, file cloture daily, and the filibuster exhausts in ~12-20 days. You dismissed it as “complicated.” Because if you tried and succeeded, you’d have to actually pass the bill.
Harry Reid nuked the filibuster in 2013 when he wanted results.
Mitch McConnell changed Senate rules THREE times and canceled the August recess.
Chuck Schumer used reconciliation within months on a 50-50 Senate.
You have 53 seats. You’ve changed nothing, canceled nothing, and waited eleven months.
Now let’s talk donors:
• Goldman Sachs: $150K to you – top H-1B user
• Google: $75K – lobbies against E-Verify
• Meta: $72.5K – Zuckerberg’s FWD[.]us pushes mass immigration
• Wells Fargo: $90K – banks undocumented immigrants
Same corporations sponsor Punchbowl News, where you sit for “Fly Out Days” which nobody watches except Congress staffers and K Street lobbyists who pays premium bucks for legislative intelligence. Their reporter then telegraphs to the audience the SAVE Act “will ultimately fail.”
Corporate money flows to you AND to the outlet that frames your inaction as inevitable.
We see the loop.
You called grassroots anger a “paid influencer ecosystem.” YOU are the paid influencer. You take the wrong side of a 80% issue because you are indistinguishable from a K Street mouthpiece, and an ineffective one to boot who won’t bend the rules to get anything passed.
What we want:
1. Force a real talking filibuster.
2. Stop hiding behind process.
3. Pass the SAVE America Act.
YOU will become the reason that we will have our butts kicked in midterms. Not Candace Owens, not Nick Fuentes, not anyone else. You and you alone, and all because you want to make the 200 or so viewers of Punchbowl Fly Out Days happy. You’re living in a K Street information bubble, addicted to the comforts and praises of lobbyists masquerading as journalists. You mistake the steak and martini dinners you get invited to as your own constituents.
You are not “moderate.” The SAVE America Act has 98% support among Republicans. Name one other thing that has 98% support. You are an extreme minority who prides himself on being a calm leader, when in reality you are well in the running for the most ineffective Majority leader of all time.
Prove me wrong. Do the bare modicum of effort. Not symbolic. Actual effort. Cancel the recess. Get SAVE America Act passed.
Paid activists in Los Angeles, California, have been caught on hidden camera paying homeless people on skid row to forge signatures of registered voters on ballot initiatives.
O’Keefe Media Group (OMG) released part Two of its undercover investigation into the Democrats’ blatant election fraud operation in L.A. on Tuesday.
California’s Republican gubernatorial frontrunner Steve Hilton commented on X: “They paid homeless people cash and drugs on Skid Row to forge your signature. Your name. Your vote. Stolen by a crackhead with a clipboard — while Gavin Newsom looked the other way.”
Hilton added: “This isn’t a conspiracy theory. It’s on tape. And not one Democrat is outraged. That’s because THEY DID IT ON PURPOSE.”
Part One showed petitioners offering cash to homeless people and drug addicts for their signatures. The shocking new video shows the activists, armed with printed lists of voter names and addresses, taking the scheme to another level.
“Fraudulent petitioners on Skid Row are now paying the homeless people to forge names, forge addresses and forge signatures of registered voters,” O’Keefe says at the beginning of Part Two.
Rather than registering the Skid Row denizens to vote, activists gave them $2–$3 in cash to commit forgery and election fraud in what OMG called “a coordinated system.”
O’Keefe stated that the operation was observed on nearly every street corner in downtown Los Angeles.
“The scheme appeared to be present in whatever direction we walked,” he noted.
The goal of the operation, according to OMG, is to “ensure the information matches official records so he signature passes verification.”
The workers handed out post-it notes with the names of a single voter written on them to each of the homeless dupes.
Lots of “activists” need to go to prison.
“‘Not a done deal‘: Democrats start to sweat over Virginia’s redistricting referendum. The unique nature of the April special election and the state’s recent redistricting history have presented challenges for Democrats, even as they hold a financial edge in the race.” “Some supporters of the Virginia referendum acknowledge the challenge of convincing voters to back a gerrymandered map when Democrats, who several years ago backed the formation of the state’s bipartisan redistricting commission, have criticized Republicans for similar moves.” Ya think? (Hat tip: Sarah Hoyt at Instapundit.)
Democrats have been hyping their wins in very specialized races. And the Left has been declaring that it’s going to finish devouring and digesting the Democrats.
On paper, it should be looking good. The public is dissatisfied. The Left’s program of socialism disguised as economic populism and antisemitism disguised as anti-Zionism should be selling. Except the Illinois wipeout suggests it’s not.
Again, on paper Obamaville, where the dead vote and the unions run everything, should have been a good choice. Plenty of leftists have been elected here. And the Democrat primaries in many urban areas are virtually owned by the Left.
But 6 potential Squaddies, including two Muslim candidates, lost Democrat congressional primary races.
The media and the Left (but I repeat myself) are blaming AIPAC and the newly combative pro-Israel lobby, which sees itself being NRA’d out of the Democrats, is happy to take credit, but its results were mostly mixed.
So what does explain the Left taking a beating in primaries it should have been able to dominate?
Despite all the anti-ICE hysteria, radicalism fatigue may be setting in. Enough Democrat primary voters showed no interest in voting for the ‘podcast class’, the Bernie Brats, Hamas fan girls and the rest of the radicals.
The Left was hoping that Mamdani’s victory was a bellwether, but just like Obama’s win what it really showed was that a smooth radical isn’t supposed to sound like one. Democrats didn’t want. The Bernie people, the Justice Dems and that ilk lost badly in Illinois because maybe radicalism isn’t what the Democrat voter wants right now.
They also hit the Ust-Luga oil terminal in the same general area, and it was still burning 24 hours later. They also hit two oil tankers in the same strike.
But that’s not all! They hit the same Ust-Luga oil terminal again less than a day later. “Russia has lost 40% of its oil export capacity.”
One of Russia’s newest warships, a Project 23550 icebreaker, is now damaged and listing heavily after drone strike.
“U. North Texas Cutting up to 70 Programs in Effort to Trim Deficit” including “women’s and gender studies, LGBTQ studies, Mexican American studies, Africana studies, Asian studies as well as dance, geology and special education.” Most of those sound like they should be killed, and the rest are unnecessary luxuries if no one is taking them.
Attorney General Ken Paxton has obtained a court order halting actions by an EPIC City-linked municipal utility district.
The case centers on allegations that the Double R Municipal Utility District No. 2A has been used to advance a controversial development project organized by the East Plano Islamic Center by skirting state oversight and standard MUD-creation procedures. The project, originally known as EPIC City, has been rebranded as the Meadow.
Judge Christine Nowak’s order blocks the district and its board from taking further steps to support the development while the litigation continues.
The state’s lawsuit focuses on a 2025 special meeting where the Double R MUD board allegedly resigned en masse, installed new directors at a remote roadside location identified only by GPS coordinates, and then quickly voted to annex more than 400 acres tied to the EPIC project.
State lawyers say that maneuver effectively transformed the MUD into a vehicle for EPIC City’s backers, allowing them to expand taxing authority and infrastructure support without going through the process of forming a new district.
After the annexation, regulators requested documents to confirm that the new board members met legal requirements to hold public office and levy taxes on residents inside the district.
According to the suit, records submitted by Double R MUD showed the individuals did not meet statutory qualifications—a finding the attorney general’s office said casts doubt on every action the board took, including the EPIC City annexation.
The state is asking the court to remove the disputed board members, unwind the 402.5-acre annexation tied to EPIC City, and restore what Paxton describes as lawful governance of the utility district.
More: “Hunt County Rejects Plans for Controversial EPIC City. Commissioners disapproved the Islamic development based on deficiencies in the plat application.”
“Monica Cannon-Grant, a Black Lives Matter activist who was named ‘Bostonian of the Year’ by the Boston Globe, was ordered to pay back every dime she stole from her nonprofit, unemployment benefits, and other fraudulent practices, amounting to almost $225,000. U.S. District Court Judge Angel Kelley sentenced Cannon-Grant to four years’ probation, six months of home detention, and 100 hours of community service. Federal prosecutors, however, recommended 18 months in prison. Although Cannon-Grant dodged time behind bars, she must return all of the money she managed to bilk from her nonprofit.” Kelley was appointed by Biden, and I bet if Cannon-Grant hadn’t been a leftwing political activist, she would have received prison time.
Important tip: “Ultra-pure copper” bought from China shouldn’t stick to a magnet. Plus, make sure the Chinese companies you’re buying materials from actually exists…
Just hours after Irish rappers Kneecap blasted the amps and turned a Havana concert into a rave for Code Pink activists chanting anti-blockade slogans, reports claim local hospital went dark and ventilator patients died.
Meanwhile, members of the communist flotilla stayed in 5-star hotels with the lights blazing and AC running.
No one cashes in on capitalism faster than the clowns preaching communism.
The U.S. Attorney’s Office for the Southern District of New York has charged associates of an unidentified U.S. server maker with illegally diverting billions of dollars in Nvidia-powered servers to China.
The U.S. government has been trying to figure out how high-powered chips have reached China without authorization, as American artificial intelligence companies such as Anthropic and OpenAI face challenges from DeepSeek and other Chinese rivals.
In an indictment unsealed Thursday, the U.S. government alleged that Yih-Shyan “Wally” Liaw, Ruei-Tsan “Steven” Chang and Ting-Wei “Willy” Sun worked together to violate the Export Control Reform Act.
The server company’s products containing Nvidia chips “are subject to strict U.S. export controls barring their sale to China without a license,” the plaintiff said in the indictment. “Those controls are in place to protect U.S. national security and foreign policy interests, among other things.”
Artificial intelligence may well be the most important technological development of the coming decade-and that is exactly why the current capital surge around it warrants skepticism. History is littered with transformative innovations that were nonetheless disastrously overbuilt and mispriced in their early phases. Austrian Business Cycle Theory was never a children’s story in which every boom ends with clowns, ashes, and worthless machinery; its real claim is subtler and nastier. When the price of time is falsified-when interest rates are pushed below their natural rate-often proxied, however imperfectly, by modern estimates of the neutral rate-entrepreneurs are encouraged to undertake projects that are more roundabout, more capital-intensive, and more time-sensitive than underlying saving and final demand can actually support. The neutral rate is a policy construct; the natural rate is an economic reality. Some of those projects may still embody genuine innovation.
The problem is not that AI must be fake; it is that a very real technological advance can be financed, priced, and physically built in ways that are wildly uneconomic.
That distinction matters because AI is about as roundabout as modern capitalism gets. This is not a boom in apps and slogans alone; it is a boom in data centers, power, cooling, transformers, specialized semiconductors, fiber, land, and the commodities and construction needed to house and feed all of it. Reuters reports that Alphabet, Amazon, Meta, and Microsoft are expected to spend more than $630 billion combined on AI-related infrastructure in 2026, up sharply from 2025, while separate Reuters reporting says Amazon alone projects roughly $200 billion of 2026 capex. Analysts also expect the hyperscalers’ debt issuance to keep climbing, with BofA lifting its 2026 forecast to $175 billion after Amazon’s jumbo deal and Reuters noting that these firms issued $121 billion in bonds in 2025 versus a 2020–2024 annual average of just $28 billion. In Austrian terms, this is not consumption drunkenness; it is higher-order production marching deep into the structure of capital with a flamethrower and an Excel model.
Snip.
The most charitable case is that AI is a genuine general-purpose technology whose economics are merely messy in the early innings. OpenAI says ChatGPT had more than 900 million weekly users as of late February, and Bloomberg reports OpenAI’s annualized revenue topped $20 billion in 2025 while Anthropic is tracking near that level as well. There are also signs of real productivity gains in narrow use cases, especially coding and selected support tasks. But the bill is arriving much faster than the profits: Bain estimated the industry would need roughly $2 trillion in annual revenue by 2030 to support projected compute demand, yet expected a gap of about $800 billion. That is not a business model; that is a promissory note written in GPU ink.
The more worrying Austrian angle is not simply overvaluation in public equities, but miscoordination in the capital structure. If chips depreciate economically faster than accountants admit, if grid interconnections lag by years, if open models compress pricing power, and if customers love AI demos more than they love paying enterprise invoices, then the industry has a classic ABCT problem: complementary capital arrives in the wrong proportions and at the wrong times. And though not easily captured in formal models, technological history is clear: infrastructure-heavy systems rarely stay that way for long, and early capital often pays the price. The New York Fed warns that r-star is an estimate, not an oracle, but the larger point survives that caveat: if market rates were held too low relative to the economy’s true intertemporal balance, then the resulting investment pattern will look profitable only until bottlenecks, replacement cycles, and cost of capital reassert themselves. Bloomberg reports OpenAI has discussed infrastructure commitments above $1.4 trillion, while Anthropic has announced a $50 billion U.S. data-center push; meanwhile, the IEA has warned of grid-connection queues, transformer shortages, and permitting delays for the power build-out data centers require. A boom can survive many indignities, but not all of them at once.
So: does AI constitute malinvestment? The best answer is that AI almost certainly contains both real innovation and a large malinvestment component.
Barksdale Air Force Base (BAFB), a major U.S. strategic bomber installation in northwest Louisiana, has just experienced an unusually serious series of unauthorized drone incursions over its most sensitive areas.
More than a dozen unsanctioned drones repeatedly swarmed a US Air Force base that is home to a nuclear bomber fleet — and were able to resist efforts to bring them down via jamming technology, according to military officials.
The restricted airspace of Barksdale Air Force Base in Bossier City, Louisiana, was infiltrated by “multiple unauthorized drones” between March 9 and March 15, a base spokesperson told The Post.
The 22-acre installation located east of Shreveport, hosts a fleet of B-52 bombers which can carry out nuclear strikes with “worldwide precision,” according to the Air Force.
As an Air Force Global Strike Command base, Barksdale also plays a crucial role in the Air Force’s nuclear defense capabilities…
Military officials report that more than 12 to 15 unauthorized drones swarmed the base, which hosts the U.S. nuclear B-52 bomber fleet.
The drones resisted jamming efforts, with multiple waves detected.
Snip.
The briefing includes a determination that the drones were different than what the typical consumer could purchase off the shelf. They appeared to be custom built and required “advanced knowledge” of signal operations.
The analysts said “with high confidence” they expected unauthorized drones to continue to operate in and around Barksdale Air Force Base in the immediate future.
“The drone incursions at BAFB pose a significant threat to public safety and national security since they require the flight line to be shut down while also putting manned aircrafts already inflight in the area at risk,” the document said.
Maybe his hatred for the police will finally be his undoing. “Resignation Demands Mount for Travis County DA Garza over Prosecutorial Misconduct Allegations.”
Travis County District Attorney Jose Garza is facing calls for his resignation over accusations that he withheld evidence in prosecuting a police officer for actions taken during a 2020 Black Lives Matter protest in Austin.
“Jose Garza’s habitual misconduct and his lack of prosecutorial experience puts our entire community at risk,” said Austin Police Retired Officers Association (APROA) President Dennis Farris in a statement.
“Felony cases, when properly handled, present opportunities for the innocent to be absolved of serious allegations, for the guilty to be held accountable and for the residents of Travis County to have confidence in the judicial system. In order for these principles to be upheld, Travis County needs a new district attorney.”
Farris was responding to recent revelations about Garza’s prosecution of Austin police officer Chance Bretches.
In 2022, Garza charged Bretches with Aggravated Assault, two years after an anti-police demonstration spurred by the death of George Floyd. During the protest, Bretches fired a “less lethal” bean bag round, resulting in severe injury to a woman who said she was a volunteer providing medical assistance to protestors.
In 2024, Garza brought additional charges against Bretches for Aggravated Assault by a Public Servant, Deadly Conduct, and Assault.
Although prosecutors are required to provide the defense with exculpatory evidence in accordance with a U.S. Supreme Court ruling in Brady v. Maryland and Texas’ Michael Morton Act, Garza did not disclose alleged “secret” meetings in 2023 with city officials to discuss the possibility of charging the City of Austin.
Last week, attorney Doug O’Connell asked Travis County District Court Judge Karen Sage to dismiss the case on the grounds that Garza violated Bretches’ constitutional due process rights and violated the law by not disclosing the meetings or related communications. O’Connell also argued that Garza’s actions are part of a pattern of misconduct.
“This goes to the issue of why dismissing the case is the only solution, because how will the judge ever know whether they turned over all the evidence,” O’Connell told The Texan.
Courts previously sanctioned Garza for withholding evidence in the manslaughter prosecution of two Williamson County Sheriff’s deputies, and an investigator also accused the DA of hiding evidence in the trial of Daniel Perry.
Perry was convicted in 2023 of murdering Air Force veteran and Black Lives Matter protester Garrett Foster. Gov. Greg Abbott pardoned Perry in 2024.
In addition to APROA, the Combined Law Enforcement Associations of Texas (CLEAT) has also called for Garza’s resignation, and the incoming president of the nonprofit Central Texas Public Safety Commission, Jennifer Stevens, told CBS Austin that Garza’s prosecution of police officers instead of criminal defendants is contributing to division between the Travis County District Attorney’s Office (TCDAO) and law enforcement.
“There can be no worse violation of the oath taken by a district attorney than to intentionally deny a defendant a fair trial. It is a direct violation of their constitutional rights,” said CLEAT Executive Director Robert Leonard in a statement.
In December, a Texas appeals court overturned the conviction of Austin police officer Christopher Taylor, who had been prosecuted by Garza over the 2019 shooting death of Mauris DeSilva.
Abbott responded to the new allegations against Garza in a social media post.
“All of this will be taken into consideration when I have the final say on the fate of the police officer. This DA’s failure to prosecute murderers & repeatedly letting dangerous criminals go free, while prioritizing prosecuting police, will have consequences,” wrote Abbott.
The sooner Garza is gone, the sooner citizens can stop dying because he let criminal scumbags back on the street.
“Dallas and Williamson County GOPs to Return to Countywide Voting After Primary Election Day Confusion. At least 13,000 Dallas residents reportedly showed up to the wrong polling place on March 3.”
America’s most prolific serial killers now burns in hell. Kermit Gosnell dies in prison at 85.
A Philadelphia grand jury, in its investigation of Gosnell’s Women’s Medical Society abortion center, labeled it a ‘house of horrors’ and initially sought charges for hundreds of murders of babies born alive and then killed.
Charges were ultimately limited to seven murder counts ‘after pressure from senior political and law enforcement officials,’ according to accounts from those covering the case.
The facility functioned as a ‘pill mill by day and an ‘abortion mill’ by night,’ federal authorities noted….
Witnesses described shocking details: Baby A was large enough that employees took photos after the killing, with Gosnell joking the baby was ‘big enough to walk around with me or walk me to the bus stop.’
Other infants showed signs of life, including breathing and movement, before being killed.
Gosnell was also convicted of involuntary manslaughter in the 2009 death of 41-year-old patient Karnamaya Mongar, a Bhutanese refugee who died from an overdose of anesthesia during a botched abortion.
He faced more than 200 additional counts and was found guilty on most, including 21 felony counts of performing illegal abortions beyond Pennsylvania’s 24-week limit and violations of the state’s 24-hour informed-consent law.
Finally. “International Olympic Committee Bans Male Athletes from Women’s Sports.” Pretty soon the only place radical transsexism will still hold sway is among 2028 Democratic Presidential candidates…
The House Select Committee on Governmental Oversight will have over a dozen members, with state Rep. Cody Vasut (R-Angleton) serving as the chair and state Rep. Armando Walle (D-Houston) as co-chair.
The other representatives on it will be state Reps. Richard Hayes (R-Denton), Brooks Landgraf (R-Odessa), Mitch Little (R-Lewisville), AJ Louderback (R-Victoria), Christian Manuel (D-Beaumont), Eddie Morales (D-Eagle Pass), Richard Raymond (D-Laredo), Shelby Slawson (R-Stephenville), Carl Tepper (R-Lubbock), Ellen Troxclair (R-Lakeway, and Erin Zwiener (D-Driftwood).
“Meta to Pay $375 Million Penalty After Jury Finds Company Endangered Children in Landmark Case.”
A jury in New Mexico determined on Tuesday that Meta misled consumers about the safety of its platforms and put children in harm’s way by failing to protect them from sexual predators.
The jury ordered meta to pay a $375 million penalty, significantly lower than the $2.2 billion that New Mexico sought, based on the total number of violations and a $5,000 fine per violation. Meta was found to have violated New Mexico’s unfair-practices act
Adam Savage reorganizes his storage drawers. I’m not saying everyone should watch all 40 minutes of this, but if you have a workshop full of tiny components you have trouble organizing, you might find his method useful.
Tom Scott returns to YouTube after a two year absence. I’m not necessarily super excited for the particular shows he’s returning with (a tour through all of England’s counties, with something interesting in each), but I’ll probably dip into it because I liked his previous work, where he traveled around the world and explained interesting things.
Jobs are down, more Minnesota fraud uncovered, a bunch of military action outside the Persian Gulf, an Austin jihad shooter, Noem gets the Old Yeller treatment, Bill Clinton remains Bill Clinton, and Microsoft, amazingly, manages to get even worse.
It’s the Friday LinkSwarm!
Also consider this your “Iran Strikes: Day 7” update with a smattering of news as well. There are reports that Kurdish forces have entered Iran from Iraq, but I’m not seeing sufficient evidence for that yet.
Interesting chart showing Iran has likely “blown its wad” on missiles and drones, as day by day fewer and fewer are being launched.
Update Numbers as of Mar. 6, 12.00 AM The numbers are rounded and compiled from various media reports, with a margin of error of ±10% 15% **Corrected previous Post there was a Mistake https://t.co/eDlVfc3nzApic.twitter.com/UiHAU0yNHe
The Supreme Court upheld the standard for reviewing asylum cases, keeping it in the hands of immigration agencies.
Yes, even the leftist justices agreed. 9-0.
“We granted certiorari to determine whether the Court of Appeals applied the appropriate standard of review under the INA [Immigration and Nationality Act],” wrote Justice Ketanji Brown-Jackson. “We conclude that the statute requires application of the substantial evidence standard to the agency’s conclusion that a given set of undisputed facts does not constitute persecution.”
Top officials in Minnesota were made aware of fraud concerns surrounding government assistance programs as early as 2019 but failed to take action as billions of dollars were stolen and warnings piled up.
Former Minnesota state officials testified to the House Oversight Committee that Governor Tim Walz and Attorney General Keith Ellison were first informed that the state’s social services programs had been compromised by widespread fraud in 2019 and 2020, according to a new report from the committee.
“Testimony obtained by the Committee reveals that Governor Tim Walz and Attorney General Keith Ellison were aware of widespread fraud in social service programs, lied about their knowledge of the fraud, and retaliated against employees who dared to raise concerns. Instead of protecting vulnerable Americans, they handed over billions in taxpayer dollars to fraudsters and threw their own state employees under the bus,” said House Oversight Committee chairman James Comer (R., Ky.).
Several different entities and state-level programs are implicated in Minnesota’s fraud scandal. The most prominent program is Feeding Our Future, which fraudsters targeted during the Covid era to steal $300 million from the Minnesota Department of Education that had been designated to provide food to poor children. Feeding Our Future is now dissolved and dozens of defendants have been convicted in connection with the scheme since 2022.
According to the committee report, Minnesota Department of Education officials first received allegations of fraud against Feeding Our Future from the U.S. Department of Agriculture in 2019. The USDA alleged Feeding Our Future was created with forged signatures and misled sponsored food distribution sites about certain federal requirements. Minnesota officials dismissed the allegations at the time. By April 2020, Walz and Ellison’s offices were briefed about the Minnesota Department of Education’s concerns regarding Feeding Our Future, Assistant Commissioner Daron Korte testified to the committee. State officials contacted the USDA about Feeding Our Future in late 2020, but the agency’s inspector general did not act, a failure that emboldened the scammers at Feeding Our Future.
The Oversight Committee report asserts that Minnesota officials could have suspended payments to Feeding Our Future but chose not to because of potential litigation and racism accusations. Minnesota officials blamed the USDA and Feeding Our Future for perpetuating the large-scale fraud. In March 2021, the Minnesota Department of Education stopped payments to Feeding Our Future, but resumed payments voluntarily the following month after a court hearing on the matter. A court order was never issued requiring the payments, contradicting Walz’s 2022 assertion to the contrary. The lack of a court order was confirmed during the course of the Oversight Committee’s investigation.
In early 2019, Walz’s administration became aware of fraud tied to two programs administered by Minnesota’s Department of Human Services, former agency commissioner Tony Lourey testified. Another former commissioner, Jodi Harpstead, testified that Walz’s administration believed fraud connected to a child care program run out of the Department of Human Services had already been resolved. But the Oversight Committee report references two auditor reports showing otherwise, both of which were issued in 2019. The Department of Human Services lacked fraud mitigation mechanisms and felt pressure to get money out the door to justify state appropriations, the committee found. Despite credible allegations of fraud, the agency failed to act on the warnings and unilaterally stop making payments to the social services programs in question.
The Oversight Committee’s report is based on testimony from nine top current and former state officials, documents and communications, and briefings with federal and state officials. The Minnesota U.S. Attorney’s office recently speculated that the interwoven fraud schemes totaled nearly $9 billion in misallocated funds. Of the fraud defendants, 85 percent of them come from Minnesota’s Somali-American immigrant community. Social services programs that provide food, child care, housing, and special education have all come under scrutiny as federal investigators unravel the fraud scheme.
I know it’s been easy to overlook in all the other military news this week, but Afghanistan and Pakistan have been going at it as well, though only at a border skirmish level rather than a full-scale conflict. Since the Pakistani ISI helped create the Taliban, this is what’s known as “blowback.”
Rene Campos, a registered sex offender, is seeking elected office in California – launching a campaign for Fresno City Council amid fierce backlash and renewed questions about whether someone with his record should hold public office.
Campos was arrested in 2018 following a cyber tip to the Central California Internet Crimes Against Children Task Force. He was found in possession of child sex abuse material, according to court records. In 2021 he entered a no-contest plea to a single misdemeanor charge of possessing and controlling child pornography/child sex abuse material (likely under California Penal Code § 311.11). He served only one month in prison and a two year probation period.
Campos describes himself as a gay man who is running for office on the platform of “reduced crime and rehabilitation.”
Possession of child pornography is typically treated as a felony, even in a woke haven like California. How the Fresno candidate was able to make a deal for a misdemeanor charge and spend only one month in prison is a mystery, but this does help to confirm ongoing suspicions that California’s legal system is falling into steep decline.
California is notoriously soft on child sex abusers. Recently, a Sacramento parole board released Daniel Allen Funston, who was convicted in 1999 of sixteen counts of kidnapping and child molestation after a horrific crime spree in Sacramento County, during which he kidnapped, raped, and beat eight children ages 3 to 7.
Funston was originally sentenced to three consecutive life terms plus 20 years, but was set free at age 64 due to a California elderly inmate program (maybe he’ll run for office, too).
Data from 2022 shows that the Golden State released over 7000 child sex offenders after less than one year of incarceration. Interestingly, “digital blocks” were added to the Megan’s Law website that prevent more recent analysis.
Virginia Governor Abigail Spanberger is demanding that Immigration and Customs Enforcement provide warrants before violent illegal criminals are turned over to federal authorities, following the stabbing of a Virginia woman by an illegal immigrant with a long and violent criminal history.
Abdul Jalloh was charged with second-degree murder after Stephanie Minter was brutally stabbed in the neck at a Virginia bus stop. Jalloh had previously been charged more than 40 times, including for egregious crimes such as aggravated assault, malicious wounding, and rape. Prosecutors dropped 20 of the 43 charges against Jalloh. The Fairfax County Commonwealth’s Attorney’s office said the charges were dropped because Jalloh often chose victims who did not have permanent addresses, making the proceedings more difficult.
The Department of Homeland Security said Jalloh is an illegal immigrant from Sierra Leone. He entered the United States in 2012.
“ICE previously lodged a detainer against Jalloh in 2020, and he was granted a final order of removal by a judge who found he could be removed to any country other than Sierra Leone,” DHS said in a statement. “This case illustrated the importance of third country removals to get criminal illegal aliens out of the U.S.”
Spanberger insists that in order for Virginia to work with federal authorities, ICE must provide a signed judicial warrant, regardless of the alien’s criminal history. DHS requested cooperation with Virginia and Spanberger to deport Jalloh following his alleged involvement in the fatal stabbing.
“We are calling on Virginia Governor Abigail Spanberger and Virginia’s sanctuary politicians to commit to not releasing this murderer and violent career criminal from their jail without notifying ICE,” Deputy Assistant Secretary Lauren Bis said in a statement. “This illegal alien’s murder of an innocent, beautiful American woman came less than 24 hours before Governor Spanberger’s demonization of ICE law enforcement. This heinous criminal is a perfect example of why we need cooperation from sanctuary jurisdictions and the importance of third country removals for the safety of the American people.”
What the Trump administration has done on the DEI front represents the beginning of a general reorientation of our politics away from wokeness. One need only survey what prominent leaders of the Left are saying about the political price the Democratic Party has paid on that score. What they are saying indicates a large political change, even if the Dems prove incapable of unmooring themselves from woke politics for the near future.
The first sign of this reorientation is a general shift in the popular mindset: the spell of woke politics has broken. This matters because it was always the way in which woke politics commanded assent in the citizens’ hearts and minds that was crucial. That assent has been questioned or denied now in a broad way, with the backing of public authority (Supreme Court decisions, executive orders, agency directives), and with widespread public support. Wokeness’s public hectoring, punitiveness, and censoriousness, and the extremism of many of its positions on the issues, is unpopular at the level of 70–30 or 80–20 opinion poll divides.
We ought to be confident, therefore, that the broken spell of wokeness augurs a permanent shift in our public life. What that means precisely, however, depends very much on how we understand wokeness and what is done going forward to ensure that woke excess does not return. Now, if, as many say, wokeness was the product of cultural Marxism (Christopher Rufo and a host of followers) or postmodernism (Jordan Peterson and another host of followers), then all that needs to be done is to combat bad ideas. On these interpretations, our universities in particular, and other cultural institutions where the influence of such ideas holds sway, need our attention. Certainly, cultural Marxism and postmodernism represent bad ideas, and the world would be a better place without their influence.
But if what wokeness represents above all is the explosive power of the civil rights revolution and the influence of an aggressive leftist interpretation of anti-discrimination politics, as another band of interpreters claims (I among them), then the task ahead is much bigger and much more difficult.
Trump’s anti-DEI measures, on this view, would represent only the first step in a broader campaign of civil rights reform. One could look long and hard without seeing much in the way of evidence for any such thing so far. Are these current efforts against DEI an illusion, a brief moment of political opportunism that will recede as public hatred of wokeness recedes—only to return in a few years when the next wave of anti-discriminatory passion rises up?
I don’t think that worry is justified. The anti-DEI campaign to date will have enduring consequences because even if it is not yet clear that what is at stake in DEI is civil rights politics, the current reorientation can only have the effect of raising our awareness of the role of anti-discrimination in our public life. This has begun on the all-important moral plane of civil rights politics. Precisely by breaking the spell of its puritanical commands, our anti-woke moment is reworking something essential to civil rights politics. Because public morality is the crucial filter of the human mind, a shift at this level will change what we see, what we think, and what we think we can say. Anti-woke sentiment, backed by changes in the law, is providing a moment of political, cultural, and mental freedom that will necessarily lead, after many decades during which this was not possible, to a general reappraisal of the moral power and the meaning of the civil rights revolution.
Sources have identified the alleged gunman as 53-year-old Ndiaga Diagne to Nexstar’s KXAN and The Associated Press…
Diagne is originally from Senegal, according to multiple people briefed on the investigation. One of the people told the AP that Diagne came to the U.S. in 2006 and was a naturalized U.S. citizen…
Austin mass killer captured on video wearing ‘Property of Allah’ hoodie during rampage.
“Dallas Democrats Decide To Let DA Creuzot Go. With no Republican in the race, Democrat primary winner Amber Givens will become Dallas County’s next district attorney.” Creuzot was yet another Soros-backed DA, so maybe Dallas Democrats are ever so slowly moving back to sanity.
I’m just going to embed this Asmongold clip of Bill Clinton’s Jeffrey Epstein deposition without comment.
President Trump announced Thursday that Senator Markwayne Mullin (R., Okla.) will replace Kristi Noem as Homeland Security Secretary.
The announcement comes after Noem struggled to stand up to a public grilling by members of the Senate Judiciary Committee who pressed the former South Dakota governor on Tuesday about a $220 million ad campaign contract that was subcontracted to one of her longtime allies. Trump was furious at Noem for insisting during the hearing that he had personally approved the contract and began floating Mullin’s name as a potential replacement, National Review first reported early Thursday.
Mullin will replace Noem effective March 31. It’s unclear whether Trump plans to nominate Mullin to serve in the position permanently or whether he will serve in an acting capacity, sparing him the necessity of Senate confirmation.
“I am pleased to announce that the Highly Respected United States Senator from the Great State of Oklahoma, Markwayne Mullin, will become the United States Secretary of Homeland Security (DHS), effective March 31, 2026,” Trump wrote on Truth Social. “The current Secretary, Kristi Noem, who has served us well, and has had numerous and spectacular results (especially on the Border!), will be moving to be Special Envoy for The Shield of the Americas, our new Security Initiative in the Western Hemisphere we are announcing on Saturday in Doral, Florida. I thank Kristi for her service at ‘Homeland.’”
Already under significant scrutiny due to bipartisan criticism of her handling of Trump’s deportation agenda, Noem ran into further trouble this week during a series of hearings in which multiple lawmakers, most notably Republican Senator John Kennedy of Louisiana, asked her to explain why the agency had awarded a $220 million contract to a firm that was founded just days before, without ever opening up the bid to a competitive process. Kennedy also pointed out that part of that ad campaign was subcontracted to a strategy firm owned by Ben Yoho, the husband of former DHS spokeswoman Tricia McLaughlin.
A $220 million no-bid ad contract isn’t just wasteful, it’s actively criminal.
More defeats for the gambling lobby: “Two House Chairs Defeated by Challengers. State Reps. Cecil Bell and Stan Kitzman were ousted by Kristen Plaisance and Dennis Geesaman respectively.”
Plaisance ran on a platform of fiscal responsibility, securing Texas’ elections, and defending state sovereignty.
Bell’s campaign and allied groups—including the Las Vegas Sands–backed casino lobby and Texans for Lawsuit Reform—reportedly spent more than $1 million attempting to defend the incumbent.
Bell, who chairs the Intergovernmental Affairs Committee, had been censured by the Montgomery County Republican Party last year.
Incumbent State Rep. Stan Kitzman of Brookshire has been defeated by Dennis “Goose” Geesaman for the GOP nomination for House District 85. Kitzman served as chair of one of the House’s subcommittees on appropriations.
Geesaman, a pilot and Air Force Academy graduate, retired as a Lt. Colonel. He served five terms on the Flatonia City Council and later served as mayor.
While Texans for Lawsuit Reform and casino-funded PACs backed Kitzman’s reelection campaign, Geesaman ran on a platform of ending magnets for illegal immigration, DOGE-ing Texas, and supporting parental rights.
Kitzman also recently came under investigation for his paid work for a local governmental entity while serving in the Legislature.
Kitzman also voted to impeach Paxton, so I think we’re well rid of both of them.
The war against tranny madness continues. “Paxton Opinion Targets Therapists Behind Child ‘Psychological Transitioning.’ Psychiatric providers who help facilitate prohibited treatments may be barred from receiving public funds and could risk losing their licenses.”
Samsung Electronics America Inc. is one of five companies that have been accused by Attorney General Ken Paxton of collecting and monetizing consumers’ viewing data on smart TVs.
Following the agreement, Samsung will now make changes to not only halt the collection of viewing data without consent, but also update their TVs to include disclosures and consent screens.
Heard from some state agency people that this was coming: “Texas Dismantles DEI-Oriented HUB Network. The comptroller’s office has ended race- and sex-based preferences in state contracting.” Good.
“Former Warren Campaign Worker Says the U.S. Must Be ‘Abolished’ to Atone for Death of Ayatollah Khamenei…Calla Walsh, the communist activist who campaigned for Elizabeth Warren, Ed Markey, Bernie Sanders, and others, said the only way to exact “justice” is the complete deconstruction of the U.S. and Israel.” What percentage of the ideological core of the Democrat Party are actively communist?
One thing that reportedly helped kill Netflix’s acquisition of Warner Brothers: GOP congressmen visiting Netflix headquarters and discovering tampons in the men’s room.
Microsoft seems to be going from bad to worse: “Microsoft Copilot to hijack your browser… for your own convenience, embeds Edge into AI assistant, ignores questions about opt-in.”
Microsoft is rolling out a Copilot update to Windows Insiders that embeds web browsing directly into the assistant, opening links in a side panel rather than launching your default browser.
The plan is that users of the Copilot app in Windows will show content in the assistant’s window “so you don’t lose context.”
Copilot will also (with permission) have access to the context of tabs opened in that conversation, so the assistant can look across them when responding to user prompts. Opened tabs will be saved with the conversation so that they can be returned to, and, if a user chooses to enable it, passwords and form data can be synchronized.
Enabling password and form data synchronization might give some users pause for thought, particularly after the Windows Recall fiasco, but users worried about Redmond slurping data should probably consider an alternative to Windows anyway.
At first glance, it looks like embedding Edge into Copilot via the WebView2 control is an attempt to steer the user away from their default browser. Convenient, yes. Good for competition, possibly not. We asked Microsoft whether this would be an opt-in experience and which browser was being used, but, other than acknowledging receipt of our questions, the company did not respond.
It looks like this is going to be limited to corporate users for now, but launching web links without user control strikes me as a huge attack vector for malicious code. (Previously.)
New Zealand “Lesbian Navy Captain Faces Court Martial After $100M Ship Ran Aground, Caught Fire, Sank.” Since that happened all the way back in 2024, they’re certainly not rushing to justice…
Apple has some new computers out, so here’s M5 Pro vs. M5 Max benchmarks. My trailing edge consumer ass is still on an Intel-based MacBook Pro…
“Japanese companies are paying older workers to sit by a window and do nothing—while Western CEOs demand super-AI productivity just to keep your job.” Seems like there should be a happy medium between those two extremes…
It’s hard to know just what the state of the Chinese economy is, given the CCP’s constant lies, but this Joe Blogs video suggests that Chinese manufacturers are in a world of hurt, with four straight years of deflation and falling profit margins.
“Chinese businesses are continuing to suffer from margin erosion. And this is an absolute disaster from China’s perspective, because Chinese businesses have very thin margins in the first place. And if these margins are now being cut, then many businesses in China have now actually fallen into a loss-making situation.”
“More than 50% of the companies in China are now estimated to be banking losses.”
“If you’re posting losses, you don’t pay any taxes, and that will drag down GDP growth in China. The Chinese authorities have said that they’re going to hit 5% again in 2026, but I think there is a major question mark over whether or not that is realistically achievable.” My working assumption is they just lied about hitting that target last year as well. And probably meany years before that.
“If we have a look at this table, it shows what’s been happening with producer prices over the past 12 months. And the scale on the right hand side here starts at zero and goes down to minus 4%. And as you can see, in every single one of the past 12 months, Chinese producers have been cutting their prices. This chart is also referred to as the factory gate prices. So this is the price of products when they’re leaving Chinese factories. And the latest data for January 2026 shows that year on year prices were down by 1.4%.”
“If you put that into the context of your economy, if prices were going down by 1.4%, then you’d be very happy as a consumer, because that means that you’re paying less at the tills.”
“But as a company, this is an absolute disaster. Because the reason why we want some form of inflation in the economy is because it allows companies to pass on their cost increases.”
“But if your end price is going down by 1.4%, then clearly you can’t pass on those cost increases. You have to absorb them. And this is why Chinese businesses are seeing their profit margins being wiped out.”
“And if we widen the scale of this chart to show the last five years, you can start to see the scale of the problem in China, because producer prices, factory gate prices have now been falling since May 2022.”
“What we’ve got here is a compounding of year-on-year falls in factory gate prices.”
“We have a look at this table I’ve put together. It shows what the impact of this has been on the sales price for a product. So if we assume that January 2022, which was the last time that we saw a price increase year-on-year in China, if we assume that a product that Chinese company was selling for $100 at that time, this shows what the impact has been on that product. So in the year to January 2023, prices fell by 8% producer prices. So that means that that $100 product would have then been selling for $99.20. In January 2024, the year-on-year fall was 2.5%. So that $100 product would then be have sold would have been been selling for $96.72. In 2025 there was a 2.3% fall in producer prices. So that product by then would have been down to $94.50. And the 1.4% that we’ve just seen posted means that that $100 product that was being sold in 2022 would now be selling for $93.17.”
Is this deflation mirrored in Chinese consumer inflation prices? No. “It has been a bit of a mixed story. The scale on the right hand side here goes from 1% positive at the top to 1% negative at the bottom. And as you can see, in six out of the past 12 months, prices did actually fall, but they’ve been increasing over the past four months. And you can see that the latest data that we have for January 2026 shows that year on year prices are up by .2%. So that doesn’t explain the 1.4% fall in producer prices in January 2026.”
“And we widen the scale of this chart to show the past five years. You can see that whilst there has been a few months where we’ve seen deflation, it’s predominantly been inflation in China. It’s a relatively low level compared to other countries, we’re talking between 1% and 2%. So a lot less than we’ve seen in the West over the past five years. But we’ve still seen prices going up.”
“And if we have a look at this table, it shows what’s happened to prices over the same period. So if we assume the same $100 product in January 2022 that we just looked at for producer prices, in 2023 prices actually went up by 2.1%. So that product would have been selling for $102.10 at that time. We saw deflation in January 2024, which would have brought the price back down to $101.28. In 2025, we saw a year-on-year increase of .5%. So it would have pushed that that price to $101.79. And the most recent data for January 26 of 2% increase tells us that that product would now be selling for $101.99. So an increase in the price.”
“And if we have a look at the comparison between those two tables, then you can see here the producer prices between January 22 and 26, the $100 product has gone from $100 to $93.17. That’s what the companies are receiving for that same product. At the same time, inflation has gone up by 1.99% over that period. That pushed up the price to 101.99. So the gap between those two metrics, what’s been happening with inflation? If producer prices had just been moving at the same rate as inflation, the difference between the two is $8.82 over the past five years. That represents lost profit margin for Chinese businesses over the past five years of 8.6%. So that’s how much profit has been taken out by the fall in producer prices compared to what should have been happening if they were matching inflation.”
“Now why is this happening?”
“Why are Chinese businesses constantly cutting their prices when prices in the domestic market are going up? Well, there’s a number of reasons for it, but one of the main reasons is down to overcapacity.”
“Chinese industry has been gearing up heavily over the past 20 years. So in areas where China believes that it’s strong, it’s put a lot of investment and the government has subsidized a lot of these companies in many situations to enable them to grow rapidly to take a dominant global market position. So we have got some huge businesses in sectors where China has tried to become dominant.”
“If we have a look at this table, it shows the different industries in China that are the biggest in terms of revenue and what that should mean in terms of profitability for those businesses.”
“So the biggest sector in terms of manufacturing is computers, electronics, and telecom equipment. So I’m sure you’ve seen lots of different equipment that’s been made in China over the past 20 years. It’s estimated that that sector has revenue of around about $2.2 trillion US, and that should be equating to around about $165 billion of profits. The usual profit margin is around 7.5% for Chinese businesses in those sectors. But those sectors are currently under a lot of pressure.”
“Firstly, we’ve seen its biggest single market, the USA, applying tariffs against Chinese imports. So, that’s causing problems because it’s pushing up the price. And in order to counteract those tariff increases, some Chinese businesses have actually been cutting their cost to absorb some of those tariffs. But also, we’re seeing competition from the rest of the world.”
“So Chinese businesses are constantly slashing their prices to be the cheapest on the shelf because, realistically, that’s why a lot of consumers choose the Chinese option.”
“So that sector is under pressure at the moment. So that’s one of the reasons why those companies are cutting back on their prices.”
“Now another area which is absolutely huge for Chinese businesses is electric vehicles, batteries and solar. So this is an area that China has really specialized in. It’s cornered the market in batteries and solar panels. Most of them are made in China these days. But also electric vehicles. It decided to take a big slice of the global market and those electric vehicles are being sold at very low prices compared to local competition. So if you compare a Chinese electric vehicle the actual list price of that versus things like BMW, Volkswagen, Ford, they are a lot cheaper.”
“That’s one of the reasons why a lot of countries have been applying tariffs on the electric vehicles. So this is aside from Donald Trump’s tariffs. We’re talking about the whole industry globally is saying that it’s not fair that EVs are being subsidized. In terms of revenue, it’s around about $1.9 trillion for China and the usual profit margins around about 7% on that. But they’re under a lot of pressure because of the tariffs. Now a lot of countries are saying that China is trying to put the rest of the world out of business so that it can become completely monopolistic in these areas. So they’re under high pressure, and that’s another reason why Chinese companies are cutting their prices.”
“Jump down to some of the things that are related to property. Look at ferrous metals, which are basically steel. China has some of the biggest steel smelting plants in the world. It’s a big producer of steel. The revenue is about $1.3 trillion. Now the profit margin on steel is wafer thin. 2.2%. And the problem that China has is twofold at the moment.”
“Firstly, a lot of that steel was being sold into the Chinese market for the property market, because the property market over the past 25 years was booming the first 20 years of the 20th century. It was absolutely on fire. Lots of massive property developers like Evergrande were building whole cities all across China and they were using a huge amount of steel to do that. They building these huge tower blocks and you have to put a lot of steel in there.”
“The properties sector has absolutely crashed in China over the past few years, since the government changed the rules and made it more difficult for property developers to borrow money. There hasn’t been anywhere near as much production. So that’s caused a huge drop off in demand in China for steel itself.”
“So that’s meant that Chinese steel businesses have had to look to the export markets. But similar to what’s been happening in the electric vehicle market, a lot of countries, including the USA, have pushed back on Chinese steel imports because they are so cheap that they are killing local steel production. And in the UK, the British government had to recently take over the last virgin steel producer in the UK to make sure that it could actually produce steel that was needed for things like the defense sector. So we’ve seen a major attack globally on the whole steel industry, and lots of countries have pushed back on that.”
“So the steel industry in China is now under a lot of pressure. It’s struggling with regards to demand and those profit margins have been wiped out.”
“But we’ve got a lot of different sectors here that are under intense pressure at the moment from competition. And that’s one of the factors why Chinese businesses are cutting their prices.”
“In addition to that, Chinese businesses are also seeing weak demand at home. Chinese consumers are not buying as much stuff as they used to. So Chinese companies are cutting their prices to try to encourage consumers to keep buying.”
“And as that demand falls at home, what that means is that Chinese businesses are having to depend on the export markets more. So, Chinese companies are struggling with regards to its biggest single market, because the USA has hit all Chinese imports with additional tariffs. So, that’s led to a further cutting of prices and Chinese businesses basically across the board are geared up for high volume, low margin. And when demand starts to fall, then the only thing that you can do is cut your price.”
“Because if you’ve got a huge fixed cost business, if you’ve spent billions building up your business, maybe it’s lots of machinery, you’ve got lots of people, you’ve got huge factories, you need to hit those volume numbers just to keep the wafer thin profit margins going.”
“If demand starts falling, you can’t cut back on your costs because these are very high fixed cost businesses. So what Chinese businesses are doing instead is slashing their prices to maintain their volume of sales. But that is wiping out their profit margins. And that’s why many Chinese businesses, over 50%, are now banking losses.”
“And of course, this is an absolute disaster from the Chinese economy point of view, because it needs those companies to keep contributing to make profits to pay taxes to contribute to GDP in order to hit that 5% GDP total.”
“What we’re seeing from the data that’s just been published is that producer prices are continuing to fall.”
“Inflation is still very, very low in China. Consumer demand is very weak. So China remains dependent on the export markets. Many export markets are pushing back against Chinese imports.”
“Chinese businesses are having to cut their prices, which is further reducing their profit margins. Many have moved into losses, and this is a complete nightmare, vicious circle from many of these companies’ perspective. And I can’t see how they’re going to get out of this situation.”
China’s economy has long been smoke and mirrors all the way down. To be sure, China has made real gains, joining (and gaming) the world economic system just in time to see explosive growth thanks to global trade deals, the container ship era, rampant IP theft, and western capitalists eager to exploit cheap labor. But the rest of the world slowly caught on to China’s tricks, especially since China thought they could get away with belligerent, militarist, expansionist rule-breaking aggression against at the same time it was striving to become the world’s manufacturing hub.
Now that the world’s caught on, people are starting to realize that much of China’s “economic miracle” was an illusion. The opaque banking rules, the government subsidies, the insane “ghost cities” property boom and the regime’s strict currency controls all helped to hide the manipulations, making China’s economy look healthier than it actually is. But now the entire house of cards is tumbling down, and China has no one to blame but itself.
Everyone favors Voter ID except Democrats trying to cling to power, America’s big stick gets bigger, Trump’s tariffs hit a setback at the Supreme Court, another insane tranny shooter, Ukraine recaptures more land from Russia, another Pulitzer Prize winning leftist pedo, more Paxton lawsuits, and a new party rises on the right in the UK.
It’s the Friday LinkSwarm!
On the personal front, I may need to buy a new dryer. We’ll see what the repairman says Monday…
Are voter ID requirements considered a controversial idea in the eyes of US citizens? If you watch the establishment media or follow leaders in the Democratic Party then you might think bills like the SAVE Act are the end of freedom as we know it. However, outside the echo chambers of DNC propaganda, the vast majority of Americans have no problem whatsoever with people proving their US citizenship before they vote in local and federal elections.
The widespread support for voter ID is undeniable. Surveys from the past year including those from Pew and Gallup show that, regardless of party or ethnicity, Americans citizens want elections to be protected from manipulation through mass illegal immigration.
A Pew Research Center survey from August 2025 found that 83% of Americans favor requiring all voters to show government-issued photo ID to vote. This includes:
95% of Republicans
71% of Democrats
Only 16% of people oppose it.
A Gallup poll from 2024 shows 84% support for requiring photo ID to vote, with 98% of Republicans, 84% of independents and 67% of Democrats in approval.
A recent CNN segment featuring number cruncher Harry Enten confirms that the backing for the SAVE Act is also dominant regardless of ethnicity: 85% of white voter, 82% of Latino voters and 76% of black voters all want voter ID. It’s difficult to find many issues which the American public universally supports at this level.
Democrat leaders, however, don’t care that the majority of their own base wants voter ID laws. Party officials and the left-wing media have engaged in a shameless propaganda campaign designed to frighten the public into opposing the SAVE Act, despite their previous platforms defending majority rule.
That’s because they view voter integrity laws as an existential threat to their power. If they can’t cheat, they can’t win…
The big stick gets bigger. “Ford Carrier Group Enters Mediterranean To Join Biggest US Build-Up Since 2003 Iraq War.”
Open source monitors as well as US and Middle East media have confirmed that the USS Gerald R. Ford, the world’s largest aircraft carrier, has entered the Mediterranean Sea, having sailed passed the Strait of Gibraltar on Friday.
This is the second carrier strike group expected to soon operate directly in the CENTCOM area of responsibility, amid the massive military build-up and pressure campaign against Iran. It was sent from the Caribbean earlier this month, extending its planned deployment.
The USS Mahan Arleigh Burke-class destroyer, which is accompanying the USS Gerald R. Ford, is also now crossing the Strait of Gibraltar, maritime tracking analysis shows.
The aircraft carrier will likely take several more days to reach the Middle East and be poised to operate against Iran – so it looks to be in place by start of next week.
According to Bloomberg and other outlets, the US has now amassed the biggest force in the Middle East since the 2003 invasion of Iraq. There is administration talk of “limited strikes” – but clearly Washington is getting ready for all escalation scenarios.
The Supreme Court (6-3 in a majority opinion written by CJ Roberts) has ruled that Trump’s tariffs exceeded his authority.
We decide whether the International Emergency Economic Powers Act (IEEPA) authorizes the President to impose tariffs.
***
The President asserts the extraordinary power to unilaterally impose tariffs of unlimited amount, duration, and scope. In light of the breadth, history, and constitutional context of that asserted authority, he must identify clear congressional authorization to exercise it. IEEPA’s grant of authority to “regulate . . . importation” falls short. IEEPA contains no reference to tariffs or duties. The Government points to no statute in which Congress used the word “regulate” to authorize taxation. And until now no President has read IEEPA to confer such power. We claim no special competence in matters of economics or foreign affairs. We claim only, as we must, the limited role assigned to us by Article III of the Constitution. Fulfilling that role, we hold that IEEPA does not authorize the President to impose tariffs.
Trump says he has alternative means to impose tariffs. “Effective immediately, all national security tariffs under Section 232 and existing Section 301 tariffs remain in place… Today, I will sign an order to impose a 10% global tariff under Section 122 over and above our normal tariffs already being charged.”
In the past 12 months (January 2025 to January 2026) there are fewer foreign-born workers employed and more native-born workers in jobs. The time period roughly corresponds to the first year of Pres. Trump’s second term.
The murder-suicide at a Rhode Island hockey rink on Monday is just the latest in a recent string of murders allegedly carried out by self-identifying transgender perpetrators or by those seemingly inspired by transgender ideology.
Robert Dorgan — who police say shot and killed his ex-wife and one of their sons during a high school hockey game this week — had previously insisted he believed he was actually a transgender woman despite being a man. A local TV station said that “An unnamed woman, who identified herself as Dorgan’s daughter, has since come forward, telling WCVB that her father ‘has mental health issues.'”
“He shot my family and he’s dead now,” she reportedly said. Dorgan, who killed himself after the murders on Monday, had also expressed pro-Nazi sentiments, and according to The New York Post, was adorned with “vile neo-Nazi tattoos.”
He is only the most recent example of high-profile attacks linked to transgender perpetrators or transgender ideology, including mass shootings at Christian schools, the assassination of Charlie Kirk, and the attempted assassination of Supreme Court Justice Brett Kavanaugh.
Progress: “Major Manhattan Hospital, Massachusetts Health Care System End ‘Gender-Affirming Care’ for Minors.”
Setback: “Judge Orders California Hospital to Resume Gender Transition Procedures for Minors.” Democrats seem to love mutilating children too much to give it up.
“Kansas’ governor vetoed a bill that banned men from the women’s room. The legislature overrode her.” “Even in an uber-red state, Democrat governors are still going to toe the party line.”
Scott Pinkser thinks Trump’s deal with India spells doom for the Russian economy, because they won’t allow those shadow fleet tankers to continue on to China. Quoting Peter Zeihan:
If the Russians have lost their single largest source of income, that will manifest on the battlefield. The Chinese may be supplying the Russians with all the gear that they can pay for, but the key thing there is: pay for.
And if the Russians can’t [pay], then a drone war where the Russians can’t get enough drones is one where the Russians start losing territory.
Price of cucumbers double in Russia. I’m mildly fascinated by those per-country yearly cucumber consumption numbers. 12 kilograms about 26 pounds a year, which doesn’t seem high if you’re including pickles, as that’s only one small jar of pickles every other week. But China’s 55 kilograms a year works out to two pounds a year per person. That’s a lot of damn cucumbers…
Democracy dies in protecting sex offenders that check the right boxes:
Wow I missed that Wesley Lowrey, the ex-WaPo reporter who won a Pulitzer and wrote a famous editorial urging journos to forgo objectivity in lieu of ‘moral clarity,’ was chased out of his journalism professorship for multiple sexual assault allegations.
Attorney General Ken Paxton is suing Dallas officials, accusing them of defying a voter‑approved mandate to boost police funding under Proposition U.
Proposition U, approved by Dallas voters in November 2024, amended the city charter to require at least 50 percent of “excess” annual revenue be directed to public safety. The charter language earmarks those dollars first for the Dallas Police and Fire Pension System, then for increasing officer pay and growing the force to at least 4,000 sworn officers.
Paxton’s lawsuit, filed in a Dallas County district court, targets the City of Dallas, City Manager Kimberly Bizor Tolbert, and Chief Financial Officer Jack Ireland Jr. for allegedly underfunding public safety in violation of the charter.
The attorney general argues that city officials “acted beyond their legal authority” by using an improper calculation of excess revenue that drastically reduced the amount legally owed to police priorities.
For the 2025–26 fiscal year, the city’s own projections reportedly show about $220 million in excess revenue above the prior year. But Ireland told the Dallas City Council that excess revenue totaled only $61 million—roughly a quarter of that amount—after excluding large categories of city income from the calculation.
Paxton’s filing notes that the city did not cite any state or federal law restricting the use of the excluded revenue, which would be required to legally omit those funds from the Proposition U formula.
Because of this narrower calculation, the proposed city budget allocates far less money to police pensions, officer pay, and hiring than voters required, Paxton says. The lawsuit contends that Dallas’ current hiring plan leaves the department hundreds of officers short of the 4,000‑officer minimum mandated in the charter amendment.
Paxton’s lawsuit also points to another provision of Proposition U that city officials allegedly ignored altogether. The charter requires Dallas to hire an independent third‑party firm each year to conduct a police compensation survey comparing Dallas officer pay and benefits to those of other major North Texas departments.
According to information obtained by the state, no such survey was conducted, despite the charter’s mandatory language. That failure, Paxton argues, makes it impossible for city leadership to honestly claim they are meeting the voter‑approved requirement to make Dallas police pay competitive in the region.
Blue city functionaries hate funding the police because the hard left can’t get any of their sticky fingers into that pile of money…
Two former Harris County Tax Office employees and two local business owners are facing first-degree felony charges in connection with what authorities say was a coordinated vehicle registration fraud operation.
Court filings allege the group worked together to process registrations and title transfers that bypassed required state safeguards, collecting bribes in exchange for pushing transactions through the system.
Adriana De La Rosa, 43, owner of Bella’s Multiservices in South Houston, has been arrested. Oswaldo “Oz” Perez, 51, who is affiliated with the same business, remains wanted.
Former tax office employees Sarah Ambria Anderson, 31, and Renisha Touche Wilkins, 35, were also charged. Both were dismissed from their positions in April 2024.
Investigators allege the activity centered on the Scarsdale branch of the Harris County Tax Office, where nearly 200 questionable transactions were processed. According to reporting from KPRC 2, the employees allegedly accepted cash and gifts in exchange for overriding verification requirements tied to insurance coverage, emissions inspections, and residency. Some vehicles were allegedly coded as tax-exempt, allowing customers to avoid paying required fees.
Authorities further allege that Anderson charged approximately $300 per transaction and transported paperwork in a personal binder to avoid detection.
The case reportedly began after employees in another Texas county noticed Bella’s Multiservices promoting vehicle registration stickers on TikTok and Facebook. Social media posts advertised expedited service and claimed inspections were not necessary. That tip prompted an internal review, which eventually led to a criminal investigation.
This is not known as “keeping a low profile.” One wonders if they might also be charged as accessories for Grand Theft Auto.
The first priority is to control who comes to our country, and more importantly, who stays in our country. Restore Britain will not just stop mass immigration; we will reverse it.
Every single illegal migrant will be securely detained, and then deported. The message will be unrelenting: If you are in this country without permission, you will be removed. For the foreseeable future, far more people must leave Britain than arrive.
If a foreign national is unable to speak English, lives in social housing, claims benefits, refuses to work, fails to integrate, commits crime, or even actively hates our way of life and wishes to do us harm, then they must leave, or be made to leave…
Restore Britain will make our communities safe again for women and children. That I promise you. If that means millions go, then millions go.
We’re constantly told that the economy needs vast swaths of low-skilled migrants. We know that’s simply not true. What we need is to get millions of healthy Brits back into work – a radical overhaul of how welfare is delivered. Protecting those in genuine need, but not funding healthy shirkers to live off the back of hard working men and women. If you can work, you must work. It really is that simple.
There seems to be a lot of enthusiasm for Restore Britain, given their willingness to tackle the illegal alien invasion head on. The irony is the reform leader Nigel Farage looks poised to go from a fringe figure on the right to being ,i>outflanked on the right without ever being elected Prime Minister…
The face of evil: “This Karen called CPS on students’ parents because they chartered a TPUSA chapter at school…A liberal woman in Maryland, Nancy Krause, is facing mass calls to be charged after she weaponized CPS against Calvert County high school students for starting a TPUSA chapter at their school.”
I hope they sure her for every penny she has, and then some.
Stephen Colbert and James Talarico are lying about Trump blocking an interview. CBS merely told Colbert there were equal time considerations for such an interview, and that he might have to interview other Texasw Democratic senate candidates like Jasmine Crockett.
After text messages obtained by news media appeared to corroborate prior reports alleging that U.S. Rep. Tony Gonzales (R-TX-23) engaged in a relationship with his now-deceased regional director, Regina Ann Santos-Aviles — which would violate U.S. House rules — her husband has now come forward in a tell-all interview affirming the claims.
Gonzales, however, continues to deny the allegations and now says he is being “blackmailed” following a settlement request from the husband’s attorney.
Santos-Aviles died months after her husband discovered the affair and confronted Gonzales in what authorities ruled a suicide by self-immolation.
The story has set off a bombshell of controversy, with the most recent evidence being released at the beginning of early voting for the March primary election, where Gonzales faces three challengers in the GOP primary.
Santos-Aviles served as Gonzales’ regional director based in Uvalde, overseeing constituent affairs across 11 of the congressional district’s 23 counties near Texas’ southern border.
Emergency responders found her in the backyard of her home on the night of September 13. A gasoline can was nearby where she laid severely burned. She was taken to the hospital, where she was pronounced dead the next day.
News of the affair was first reported by Current Revolt, which was met with silence by Gonzales until an interview with the Texas Tribune wherein he claimed the reports were not true.
Fast forward, and the San Antonio Express News obtained text messages between Santos-Aviles and another former staffer that purportedly show her writing,“I had an affair with our boss.”
This prompted Gonzales’ main opponent in the GOP primary, Brandon Herrera, to call for his resignation, saying an affair would have violated House rules.
“Tony Gonzales must resign. He not only broke House ethics rules by having an adulterous affair with a member of his congressional staff and by using taxpayer money to fund the affair, but he also broke trust with the public by insisting that the initial reporting of the affair was false,” Herrera wrote in a press statement.
Speaking of Texas politicians behaving badly, here’s a story that doesn’t cover anyone in glory.
After personal details about U.S. Rep. Wesley Hunt were posted online by a senior John Cornyn advisor, the Houston Republican has filed a police report documenting what some are describing as a possible crime under federal or state law.
Cornyn advisor Matt Mackowiak posted images of documents late last week that purportedly listed Hunt’s address, Texas driver’s license number, and the last four digits of his Social Security number. What Mackowiak seems to have designed as a last-minute attack on Hunt has turned a spotlight on Cornyn’s struggle to remain relevant with Texas voters ahead of the March 3 Primary Election.
Mackowiak, who runs Save Austin Now and was head of the Travis County GOP, is someone I know casually. We followed each other on Twitter before my suspension there, and we’ve bumped into each other at various events. As a political consultant/head of Potomac Strategies Group, Mackowiak has worked for some pretty squishy, swampy Republicans.
Cornyn is being challenged by Attorney General Ken Paxton and Hunt for the GOP nomination. Most public polling has consistently shown Paxton leading the field, followed by Cornyn and Hunt. Recent polls have shown Hunt closing that gap. The “doxxing” of Hunt by a senior Cornyn advisor has led some to suggest that perhaps the incumbent’s polling is even worse.
“The only reason you direct fire at someone behind you in the polls is you thinking their momentum will overtake you,” explained a political consultant not working the race. “Whether Cornyn is worried or not, Mackowiak’s actions make their campaign look desperate.”
Yeah, that was pretty stupid of Mackowiak. His post was evidently designed to ding Hunt over some provisional ballot he wasn’t entitled to file in 2016, and frankly my care meter isn’t even twitching. A three-term incumbent attacking a third place candidate does indeed reek of desperation. That said, in my (admittedly limited) understanding of federal laws on personally identifiable information is that none of that stuff quite qualifies as actual PID, so the Hunt campaign is probably going to see that criminal complaint dismissed.
In one of his more unanticipated endorsements, Trump threw his support behind Republican candidate Alex Mealer in her bid for Congressional District (CD) 9, against state Rep. Briscoe Cain (R-Deer Park) and seven other GOP primary candidates.
The district, currently held by U.S. Rep. Al Green (D-TX-9), was heavily impacted by the GOP-favored redistricting map that passed the Texas Legislature during the summer of 2025 — legislation initiated at the White House’s request and voted for by Cain in the Texas House. CD 9 is one of the five congressional districts expected to flip from blue to red in 2026, with a majority of the current CD 9 folded into the new boundaries of the Democratic stronghold of CD 18, where Green is now running instead.
Trump stated in his endorsement of Mealer, “A West Point Graduate, and Combat Decorated Army Bomb Squad Officer, Alex knows the Wisdom and Courage required to Defend our Country, Support our Military/Veterans, and Ensure PEACE THROUGH STRENGTH.”
Cain was supported by Trump for re-election to the Texas House in a mass endorsement issued by the president for House Republicans who voted to pass education savings accounts legislation. The endorsement did not include any members’ pursuit of an alternative office.
According to a recent survey, Mealer leads the Republican primary for CD 9 with 34 percent of the vote, followed by Cain at 26 percent. When the poll was taken there were 10 candidates in the race, but one, Dwayne Stovall, ended his campaign on Tuesday and endorsed Dan Mims.
Among the other endorsements announced by Trump via Truth Social posts on Monday night was for Jon Bonck in his bid for CD 38, left open by U.S. Rep. Wesley Hunt’s (R-TX-38) run for U.S. Senate against incumbent U.S. Sen. John Cornyn (R-TX) and Texas Attorney General Ken Paxton in the Republican primary.
Bonck is up against nine other Republican candidates, including businesswoman Shelly deZevallos, businessman Larry Rubin, and Tomball Independent School District President Michael Pratt. The district’s partisan makeup did not alter after redistricting, remaining at R-65%, per The Texan’s Texas Partisan Index (TPI).
“Jon Bonck is an incredible Candidate,” Trump said in his endorsement.
“He is supported by many MAGA Patriots, including Senator Ted Cruz [(R-TX)], Congressmen ‘Doc’ Ronny Jackson [(R-TX-13)], Brandon Gill [(R-TX-26)], Jim Jordan [(R-OH-4)], and Tim Burchett [(R-TN-2)], among others.”
“A successful Business Executive, Jon knows the America First Policies required to Create GREAT Jobs, Cut Taxes and Regulations, Promote MADE IN THE U.S.A., Unleash American Energy DOMINANCE, and Champion our Nation’s Golden Age,” Trump added.
Trump also endorsed Carlos De La Cruz, brother of Congresswoman Monica De La Cruz (R-TX-15), in his bid for CD 35. The district is currently represented by U.S. Rep. Greg Casar (D-TX-35), but went from a TPI rating of D-70% to R-55% due to redistricting — drawing in a number of Republican candidates eyeing the new GOP-favored seat.
“A Brave, 20 Year Air Force Veteran, and now, as a successful Businessman, Carlos has a Proven Record of Success — He is a WINNER!” Trump posted.
“In Congress, Carlos will work tirelessly to Grow the Economy, Promote our Amazing Farmers and Ranchers, Cut Taxes and Regulations,” he continued, with similar language used in his several other endorsements that night.
He also endorsed in the race to replace retiring U.S. Rep. Morgan Luttrell (R-TX-8), throwing his support behind attorney Jessica Hart Steinmann, who served as the director for the Office of Victims of Crime in the U.S. Department of Justice during Trump’s first presidential term.
Steinmann, now with an edge up, is running in a field with five other Republican candidates, including U.S. Army veteran Nick Tran, Deddrick Wilmer, Jay Fondren, and Stephen Long. Businessman Brett Jensen suspended his campaign following Trump’s endorsement.
Trump said of Steinmann, “As a former appointee in my First Term, and now, as a Highly Respected Attorney, Jessica continues to prove that she has the Wisdom and Courage necessary to uphold our Constitution, and ensure LAW AND ORDER.”
Good news: “The Department of Veterans Affairs (VA) announced that the VA will no longer report veterans to the FBI’s National Instant Criminal Background Check System (NICS) solely because they have been assigned a fiduciary to assist them with their finances. Further, the VA is working with the FBI to remove all the names of veterans who have been unjustly reported to NICS under this guise.
Former Democratic Presidential candidate Jesse Jackson died. Oddly enough, President Trump had good things to say about him.
Well, I didn’t know Jackson, so I’ll always consider him a race-hustling poverty pimp who ran a shakedown operation. He’s probably among the five people most responsible for strained race relations in modern America, behind Obama, George Soros, Al Sharpton and Ibram X. Kendi.
Less frequently recalled is the distress Jackson’s rise caused within the American Jewish community during the 1980s. For many identifiable Jews, and especially for Orthodox Jews, his candidacy was not merely another political development but a moment of rupture. His reference to Jews as “Hymie” and to New York City as “Hymietown” was not dismissed as a careless aside. It was recognized as an anti-Jewish slur, and it left a lasting mark, even becoming the subject of an Eddie Murphy Saturday Night Live skit that captured the moment with uncomfortable precision, as comedy often can.
The episode revealed how quickly old language could reemerge, even from figures celebrated as moral leaders within liberal politics. Jackson’s campaigns compelled Jewish institutions to confront questions about alliance, dignity, and communal security that they had long preferred to manage discreetly. They did more than provoke private discomfort; they produced public argument. On the pages of Jewish newspapers, the debate unfolded in real time, week by week, as each issue went to print, and it was not confined to the usual institutional voices. Orthodox writers, in particular, entered the conversation with a directness that many establishment Jewish leaders found unwelcome but that the moment required.
Three figures responded with unusual clarity. Rabbi Emanuel Rackman, writing in The Jewish Week; Dr. Marvin Schick, writing in The Jewish World; and Rabbi Meir Kahane, writing both in The Jewish Press and in the periodical Kahane: The Magazine of the Authentic Jewish Idea all confronted the Jackson candidacy directly. Each treated Jackson’s candidacy not as an isolated controversy but as a diagnostic moment, asking what it revealed about Black-Jewish relations, the credibility of coalition politics, and the judgment of Jewish leadership itself. They disagreed about almost everything, but they shared one conclusion: The assumptions that had governed Jewish political alliance since the 1960s were beginning to fray.
The desire of western liberal elites to import unassimilated Muslims into the country would pretty much break those assumptions apart.
Dallas officials aren’t the only ones Paxton sued this week: “Texas Sues Temu for Deceptive Marketing and CCP‑Linked Data Harvesting.”
Attorney General Ken Paxton is escalating his campaign against China‑linked tech companies, filing a new lawsuit targeting one of the most downloaded shopping apps in the United States, Temu.
Paxton’s suit names PDD Holdings, Inc. and WhaleCo Inc., the companies behind Temu, alleging they deceptively market the platform as a simple discount marketplace while secretly using it as a vehicle for aggressive data harvesting.
Though PDD moved its principal executive offices from Shanghai to Dublin, Ireland, it still maintains significant operations in China, and Temu has rapidly grown to more than 80 million active users in the United States as of late 2023.
According to the lawsuit, the Temu app is not just a shopping tool—it runs “dangerous software functions” that are “completely inappropriate” for a normal e‑commerce platform.
Paxton characterizes Temu as a digital “trojan horse” capable of bypassing security protocols and creating backdoor access into a user’s private data, all while presenting itself as a harmless way to buy “affordable great products.”
The attorney general alleges that when Texans use Temu, they are unknowingly exposing themselves to a serious digital security threat.
The Temu security threat has been known for a while. Security-aware shoppers will have to forgo such great products as this:
Kurt Schlichter has a word of warning to dog-hating Muslims thinking of moving to the west:
2/16/26 – On Dogs And Those Who Hate Them
Some of us have lived in Muslim countries and understand how they treat dogs, @jaketapper. During one of my deployments, we had to inform the locals, in no uncertain terms, that no, they would not conduct their annual dog cull. In other… https://t.co/eVWowrKwkH
“This is not open to debate. We’re going to keep our dogs as we always have. If you come to our civilization, you’re going to respect our pets, or there’s going to be trouble. John Wick is the moderate position on this issue.”
A fungus among us: “Dangerous superbug spreads in US hospitals…Candida auris infections reported in more than half of US states as healthcare facilities struggle with containment.”
“Western Digital is completely sold out of hard drive production capacity through 2026 due to massive demand from—” (You know exactly what’s coming next, don’t you?) “—AI data centers.”
Microsoft’s AI CEO is joining a chorus of executives who say they anticipate widespread job automation driven by artificial intelligence.
Mustafa Suleyman, the Microsoft AI chief, said in an interview with the Financial Times that he predicts most, if not every, task in white-collar fields will be automated by AI within the next year or year and a half.
“I think that we’re going to have a human-level performance on most, if not all, professional tasks,” Suleyman said in the interview that was published Wednesday. “So white-collar work, where you’re sitting down at a computer, either being a lawyer or an accountant or a project manager or a marketing person — most of those tasks will be fully automated by an AI within the next 12 to 18 months.”
The CEO said the trend is already observable in software engineering, in which employees are using “AI-assisted coding for the vast majority of their code production.”
“It’s a quite different relationship to the technology, and that’s happened in the last six months,” he said.
I really, really doubt that. AI has been able to do surprisingly well on a number of programming tasks mainly because it was created by programmers. It’s no wonder that it should be good at something like, say, creating a program to ingest JSON REST data into an SQL database. But the further you get from technical domains, the further you’re getting from people who can correct the AI when it gets things wrong.
Not every white collar employee is absolutely necessary, but as a class they possess the vital wells of institutional knowledge that lie beyond the datasets AI have been trained on. They also understand exception handling, knowing what to do when things go wrong. AI systems generally do poorly when faced with input combinations they’ve never seen before, which is why you have those videos of dozens of Waymo taxis blocking roads in clumps.
Also, given how zealously IT teams work to secure company data, are they really going to just blithely set AIs loose in their databases? Especially when their jobs may be among the ones target for elimination? Especially when AI is still prone to notorious hallucinations?
There are places where where AI might replace experts, namely those that use wide but highly structured datasets for narrow decision points, like some areas of regulatory law. But are decision makers really going to remove the ability to blame underlings for mistakes? “Sure we lost $100 million, but the AI told me it was OK!” is probably not going to wash as an adequate ass-covering maneuver. And, as I noted before, who is going to put an AI in charge of Accounts Payable when a single glitch could drain your entire bank account?
Plus there are entire classes of white collar jobs (sales comes to mind) where I don’t see AI making any headway replacing the fleshy incumbents.
Second, even where AI might effectively replace some humans, I don’t see companies letting Microsoft AIs in the front door. Copilot is a product people hate so much that current users won’t even turn it on even though they’re getting it free. Maybe Microsoft will make money getting in the back door via investments in OpenAI and Anthropic, but I doubt that’s going to reflect glory on Mustafa Suleyman.
But finally, let’s assume that his prediction is true and that most white collar jobs will be automated out of existence in the next 18 months. Just how does Microsoft expect to profit in the inevitable widespread economic collapse? If you think New York City’s trajectory is dire under Mandami now, how much direr is it going to get when vast swathes of people who pay the most taxes (and buy the most stocks) lose their income almost overnight? The subprime meltdown will look like a cakewalk in comparison when everyone starts selling their investment holdings just to pay for food and rent.
And if it’s known that the big AI companies are the direct causes of their immediate penury, how are such grandees going to protect themselves from the fury of the newly unemployed mobs? There were probably just a few thousand of Ned Ludd’s boys smashing mill machinery in early 19th century England. If Suleyman’s prediction came to pass, there would be what, 30 or 40 million people hurled into unemployment at the same time? In that sort of environment, thousands of Luigi Mangiones would bloom. And if it’s a global phenomena, neither the French Riviera nor Davos will be safe from the fury of the mobs. And that’s assuming congress doesn’t step in with something like the Execute Mustafa Suleyma Live On National Television Act.
So I’m reasonably certain that Suleyman’s prophecy will not come to pass. (Wait, a Microsoft CEO’s predictions turning out to be wrong? What are the odds?)
And anyway, if his prediction does have a chance of coming true, the best move isn’t investing in Microsoft, it’s investing in canned goods and ammunition…
Happy Friday the 13th, everyone! Good job numbers drop, a court win for Trump on deportations, more California fraud, more Chinese researchers stealing secrets, and the cure for global warming is global warming.
It’s the Friday LinkSwarm!
Naturally, a week after I blog about the “no hire, no fire” economy, it comes out that the economy added 130,000 in January, the most since December 2024. “However, the report shows the U.S. only added 181,000 jobs in 2025.” And the numbers for previous months keep getting revised downwards.
As I’ve said before, I’ll believe we’re out of the Biden Recession when I have a job again…
Petitions for Habeas Corpus to release illegal aliens from detention, or at least grant them bond hearings, have overwhelmed the federal courts, with most district court judges who have ruled on the subject siding with the detained aliens. It was the practice of prior administration from both parties to grant bond hearings. But is it a legal requirement?
A ruling by the 5th Circuit Court of Appeals, which covers critical border state Texas, has rejected the argument that a bond hearing and release is required by law. To the contrary, it held that the applicable legislation passed by congress does not require such bond hearings or release. That prior administrations did not exercise their full powers of detention under the law did not mean the present Trump administration could not do so, the court ruled.
Another win for secure borders and the rule of law in the face of massive leftwing judicial resistance.
The House of Representatives on Wednesday night passed the new Republican-led Safeguard American Voter Eligibility (SAVE) America Act, which requires individuals to present proof of citizenship to register to vote and requires Americans to show ID when voting.
The House passed the legislation, which combined two bills, in a 218-213 vote. The bill saw little support from House Democrats, with Texas Rep. Henry Cuellar being the sole Democrat to join Republicans in passing the legislation.
“It’s just common sense,” House Speaker Mike Johnson told reporters of the legislation. “Americans need an ID to drive, to open a bank account, to buy cold medicine, to file government assistance. So why would voting be any different than that?”
Senate Democrats, of course, with the exception of John Fetterman, will do anything to prevent it from being passed. If they can’t cheat, they can’t win…
Stephen Green: California raked off $370M in taxpayer money to bankroll leftwing activism.
1. Californians voted to fund youth drug prevention through the Cannabis Tax. Instead, $370M in revenue is bankrolling leftwing activism.
2. The money flows through a single unelected nonprofit – The Center at Sierra Health Foundation’s Elevate Youth program.
3. The Center has gotten rich off this arrangement – growing from $11.8M in 2018 to $197M in 2024. The CEO makes over $600K.
4. The Center runs Prop 64 dollars through to a web of NGOs, including the Jakara Movement, Young Invincibles, and Asian Refugees United – for activism, organizing, and voter registration.
5. This is not drug prevention – it’s a taxpayer funded pipeline from the governor’s office to leftwing political organizing.
Snip.
“The state does not pick who gets the grants,” CAL DOGE said. “The intermediary does, bypassing the rigorous procurement processes mandated for direct government contracts under the Department of General Services and State Controller oversight.”
That’s a multimillion-dollar slush fund, in other words, in which tax dollars pass through to the well-connected for the purpose of maintaining Democrat control of the state. And, one presumes, lining pockets along the way —allegedly including Newsom’s:
According to the California Fair Political Practices Commission’s Behested Payment Transparency Report (pg.19-20), in 2020 alone, Sierra Health Foundation was the third-largest payor of behested payments statewide at $14,747,724 and the single largest payee of behested payments statewide at $30,869,901 — payments Newsom solicited from private companies.
“Newsom himself was the top behesting official in the state that year at $226.8 million total,” the report continued, “and Sierra Health Foundation ranked among his top three financial partners in the system.
Los Angeles spent about $418 million on homelessness programs in 2025, yet only a small share went toward helping people leave the streets for good, according to the New York Post. A recent City Hall report suggests most of the money supports short-term services that manage homelessness rather than resolve it.
The review, released as the city prepares major budget cuts, shows that hundreds of millions were directed to hygiene facilities, outreach teams, temporary housing, and vehicle-living programs with limited long-term success. These efforts often keep people in transitional situations instead of moving them into permanent homes.
The Post noted that councilwoman Monica Rodriguez condemned the system, saying, “We’re hemorrhaging money on a homelessness system that was never designed to succeed — and no one is being held accountable for the failure.”
She also argued that ineffective programs are protected instead of evaluated: “If we really wanted to do something about this crisis, we would be advancing real oversight, demanding results, and shutting down programs that don’t work — not protecting a system that keeps spending more while delivering less.”
It’s not designed to end homelessness, its designed to line the pockets of the Homeless Industrial Complex and leftwing activists.
Indeed, California’s entire NGO funding structure is designed to avoid scrutiny.
The money moves smoothly, the explanations pile up, and the ability to see end-to-end quietly disappears. The deeper the look went, the more consistent the pattern became. California doesn’t struggle to explain where the money goes. It has arranged things so the explanation never quite arrives.
Snip.
When the information is pulled in its entirety and organized outside the state’s presentation layer, the scope becomes impossible to miss. More than 1,100 vendors associated with humanitarian-related contracts. Roughly $8.8 billion flowing through them. Not scattered grants. Not pilot programs. An economy of vendors, operating continuously, funded at scale. The dashboard never highlights that universe. It doesn’t need to. It only needs to make seeing it difficult enough that most people never try.
At the same time, at the federal level, the Small Business Administration acknowledged what everyone working in procurement already understands. Billions of dollars under review. Tens of thousands of entities flagged for potential fraud exposure. Large systems, large sums, limited verification, delayed audits. The numbers don’t have to match perfectly to rhyme. They already do. When separate data streams begin pointing toward the same structural vulnerabilities, the story stops being about isolated actors and starts being about architecture.
Requests for clarity meet resistance long before they reach conclusions. Public records requests stall. Narrow questions expand into bureaucratic negotiations. Specific funding totals become “unavailable.” Amy Reihart’s experience in San Diego fits neatly into this rhythm. The data is said to be public, but pulling it cleanly proves elusive. The formal channels exist, but they lead nowhere quickly. What’s left is a familiar posture from the state: the information is technically available, practically unreachable, and always just one more step away.
The same rhythm shows up in how California moves money on the ground. Childcare subsidies offer a clean example. In many states, the government pays providers directly. The path is short. Attendance aligns with eligibility. Eligibility aligns with reimbursement rates. Payments can be checked against records without heroic effort. In California, that line bends. Funds are routed through intermediary NGOs charged with administering the program. The state pays the intermediary. The intermediary interfaces with providers. Documentation flows inward. Payments flow outward.
Following that path takes work. First, identify which NGO controls which geography. Then locate its audit filings, assuming they are current and complete. Then reconcile those filings with procurement records that are already difficult to interrogate. Only after that does the provider level come into view. Each step adds distance. Each handoff adds discretion. Sources describe monthly subsidy flows exceeding $1,400 per child with minimal verification. Whether every dollar is misused is unknowable from the outside. What is visible is how easily the structure absorbs misuse without producing alarms.
That same opacity shows up beyond childcare. Walk through downtown Los Angeles and the conversations repeat. Not policy debates. Observations. Barbers, bartenders, people who work late and walk home early. The homeless system comes up unprompted. Everyone knows how much money moves through it. Everyone knows how little seems to change. Deliveries arrive at storefronts with no customers. Benefits circulate with minimal identification. Stories circulate about organized applications and quiet laundering through approved channels. None of this appears on a dashboard. It doesn’t need to. It lives in the gap between official narratives and daily experience.
The system doesn’t rely on secrecy. It relies on diffusion. Money enters labeled as humanitarian assistance, housing support, community partnership. It passes through nonprofit layers that soften scrutiny and multiply explanations. By the time it reaches the ground, responsibility is spread thin enough that no single ledger tells the whole story. Each participant can point upward or downward and remain technically correct. Oversight exists everywhere in theory and nowhere in practice.
Organizations operating at the intersection of activism and public funding sit comfortably inside this environment. The Solidarity Research Center in Los Angeles, connected to broader political networks, is one example drawing attention. Not because of slogans or mission statements, but because proximity to power and insulation from scrutiny tend to travel together. When funding, politics, and moral language overlap, questions are framed as attacks and audits become optional. The structure does the work long before anyone has to defend it.
The contrast between damage and response is hard to ignore. Drive through the Palisades fire zone and the destruction remains visible. Burned properties. Long stretches untouched. The rebuild lags. The NGO signage does not. Clean placards promise recovery, resilience, and renewal, often paired with donation links. The messaging arrives faster than the materials. The branding arrives faster than the permits. Money is already being organized, even as the outcomes remain distant. It’s a familiar sight in California: urgency in fundraising, patience in results.
None of this happens by accident. The systems are too consistent. The barriers appear in the same places. Presentation layers substitute for access. Intermediaries substitute for accountability. Requests for detail meet friction rather than answers. The result is a machine that keeps moving regardless of whether anyone outside it can explain how. For the people inside, it works. For the public, it produces impressions instead of records.
The report’s overview notes the beaming confidence of Georgia Secretary of State Brad Raffensperger on the morning after the election. Appearing on the Today Show, Raffensperger said a record 4.7 million Georgia voters cast a ballot in the election. More importantly, the secretary of state said only 2 percent of the ballots remained to be counted. Trump, at that time, led Biden by nearly 104,000 votes, seemingly more than enough for a Georgia win. Raffensperger, at the time, said about 94,000 ballots had yet to be counted.
“We can see where the candidates are right now in both presidential, congressional, senatorial. When you look at how many votes are out there, even if one of the candidates got 100 percent it probably wouldn’t be enough to move it on way or another,” the elections official told the Today Show crew. He should know, the report notes. The secretary could see the numbers in real time through the state elections database.
Raffensperger added that his office would wait until everything was done.
When the dust settled, the confident secretary turned out to be very wrong. The final vote count — at least then — was an incredible 5.023 million. Between the time Fulton County’s polls closed on Election Day and the final ballot was tallied, the number of absentee ballots soared from 74,000 to more than 148,000, according to the report.
Trump went from the verge of winning a key battleground state to losing it. Just like that.
“At the time of this writing, no known explanation has been provided to justify” the surge in ballots, the report states.
Snip.
The number of absentee ballots counted doesn’t match the number of credited voters, the report notes. It draws from Fulton County and state records that show 148,318 ballots were counted in the 2020 election, although only 125,784 voters were recorded as casting an absentee ballot. That’s a difference of 22,534 votes between the absentee ballots tallied and the number of individuals given credit for voting.
“Remember: the margin between President Trump and Joe Biden was 11,779 votes…and that was the THIRD certified number and didn’t match either of the first two counts….the counties could not get their numbers to match from the first count to the second to the third…..
Ukraine also hit a GRAU arsenal in Volgograd with multiple missiles. GRAU is the umbrella organization for Russian logistics.
While Russia has continued to eek out ever smaller territorial gains at high cost, Ukraine just liberated 100 square kilometers of territory in Huliaipole, Zaporizhzhia oblast. “Ukrainian forces have liberated the towns of Dobropillia, Pryluky, Olenokostiantynivka and part of Varvarivka in an assault south on the Zaporizhzhia Frontline.”
Scientists at the University of California, Irvine have discovered that climate change is causing nitrous oxide, a potent greenhouse gas and ozone-depleting substance, to break down in the atmosphere more quickly than previously thought, introducing significant uncertainty into climate projections for the rest of the 21st century.
A recent watchdog report revealed that several top-ranked American universities have brought in Chinese academics who have links to Chinese military-linked technology firms like tech behemoth Huawei and other Chinese firms linked to the CCP’s state security endeavors.
A conservative non-profit watchdog group, the American Accountability Foundation, reported that it found nearly two dozen Chinese academics working at elite U.S. schools and labs “who, because of the dual-use threat of their research, close ties to the military research sector in China, and/or clear ties to the Chinese Communist Party” and as such “should be expelled from the United States or never be re-admitted.”
The new AAF report pointed out that multiple Chinese students working at American universities had previously collaborated on projects with researchers at Huawei, including working with researchers at the Internal Cybersecurity Lab at Huawei.
Just the News also found that at least one of the Chinese academics had also worked at iFlytek — a similarly blacklisted Chinese company which often collaborates with Huawei. The U.S. National Security Commission on Artificial Intelligence stated in 2021 that “national champion” firms such as Huawei and iFlytek help “lead development of AI technologies at home” and “advance state-directed priorities that feed military and security programs.”
Snip.
The AAF report argued that Guangyao Chen “poses a high national-security and dual-use risk due to his expertise in adversarial machine learning” and that “this risk is amplified by his training at Peking University, PRC government funding, and collaborations with PRC universities and Huawei, placing his work squarely within China’s military-civil fusion ecosystem.”
Chen currently appears to be affiliated with Cornell. The ResearchGate page for Chen says that his “top co-authors” include Lin Du, a researcher at Huawei. Chen appears to have conducted multiple research projects with the Huawei researcher. The Huawei scientist’s ResearchGate profile lists Du’s skills and expertise as being “computer vision,” “object recognition,” and “machine learning.”
Snip.
Meng Wanzhou, Huawei’s CFO and the daughter of the company’s founder, was arrested by Canadian authorities in December 2018 at the request of the U.S., indicted in the Eastern District of New York in January 2019, and charged with bank fraud and wire fraud as well as conspiracy to commit both, but was allowed to walk free by the Biden Administration in 2021 in a deferred prosecution agreement wherein she admitted violating U.S. law.
Snip.
Fengqui You, a Cornell professor, leads the Fengqui You Research Group at Cornell, which is “pushing the boundaries of systems engineering, artificial intelligence, and data science.”
Chen is listed as a member and Fengqui You is listed as the principal investigator for the lab. You attended Tsinghua University, which the House Select Committee on the CCP has warned about. You did not immediately respond to a request for comment.
Snip.
The report by AAF said that Cen Zhang’s “prior work with Chinese entities and his influential role at Georgia Tech is highly concerning given the nature of computer science’s impact on U.S. national security.”
Zhang co-authored a 2021 paper on “Practical Binary Fuzzing Framework for Programs of IoT and Mobile Devices” — related to security vulnerabilities for mobile phones and other smart devices — with co-authors Xiaoxing Luo and Miaohua Li from the Internal Cyber Security Lab at Huawei Technologies.
Zhang has also conducted research with Hongxu Chen, who now lists himself as a lead engineer at Huawei, and who also went to Nanyang Technological University.
Zhang’s personal curriculum vitae also says he was previously an algorithm and engine development engineer for iFlytek. Zhang says on his GitHub page that he won the “Best New Employee Award of Year” at iFlytek in 2017.
The firm has long received state support and recognition from China’s government. The company was named a national “AI champion” by the Chinese Ministry of Science and Technology in 2018.
The Commerce Department said in October 2019 that iFlytek was among more than two dozen Chinese entities added to a U.S. blacklist, saying they were “implicated in human rights violations and abuses in the implementation of China’s campaign of repression, mass arbitrary detention, and high-technology surveillance against Uighurs, Kazakhs, and other members of Muslim minority groups.” Liu Qingfeng, iFlytek’s founder and CEO, is also a deputy to the National People’s Congress, the CCP’s rubber-stamp national legislature.
There are problems with how this piece is organized, but I wanted to capture the names (some of which are are already familiar) to keep track of them. At this point, any organization that hires a Chinese national for scientific research should assume they’re stealing data.
The legislation raises the current $10 billion asset threshold that caps debit card fees for banks and index annually to inflation.
Sen. Cruz said, “The Durbin Amendment was not designed for the current economic and regulatory reality and subjects community banks to fee limits that the original language intended for much larger institutions. My legislation modernizes the interchange fee cap to reflect inflation, helping small banks support local economies while lowering banking costs for Americans.”
Sen. Britt said, “As we’ve seen in so many instances, countless regulations in the Dodd-Frank Act were not only onerous but set fixed thresholds that have become outdated over time, and the Durbin Amendment is no exception. The largest burden is on our smallest financial institutions who provide vital sources of credit to Main Streets that drive our local economies. This commonsense legislation would simply index, to both inflation and COLA, the outdated threshold in this provision of Dodd-Frank, ultimately providing relief for our community banks who were never intended to be burdened by this regulation.”
Companion legislation was introduced in the House by Rep. Andy Barr (R-KY-6).
Rep. Barr said, “The Durbin Amendment was sold as a win for consumers in the Dodd-Frank Act by Democrats. Instead, it’s hurt Kentucky’s community banks and credit unions that do so much for underserved communities by limiting their ability to grow and compete with larger financial institutions. I’m working with Senator Cruz to fix this — because Washington shouldn’t be picking winners and losers at the expense of our local banks and the families they serve.”
This bill is supported by Americans for Tax Reform, Independent Bankers Association of Texas, and the Texas Bankers Association.
A new political organization has launched with the stated goal of countering one of Austin’s most powerful and long-standing special interest groups.
Republicans Against Texans for Lawsuit Reform, a 501(c)(4) organization, announced its formation this week. It is positioning itself directly against Texans for Lawsuit Reform (TLR), the influential tort reform group that has played a major role in Texas politics for decades.
On its website, Republicans Against Texans for Lawsuit Reform (RATLR) accuses TLR of abandoning its original mission and becoming what it describes as a major player in the “Austin swamp.” The group argues that TLR, which began in the mid-1990s advocating civil tort reform, now prioritizes the interests of “big business, big pharma, and big insurance” over conservative policy outcomes and Texas citizens.
RATLR also points to millions of dollars in political donations—including contributions to Democrats and Republican incumbents it labels as “RINOs”—as evidence that TLR wields outsized influence at the Texas Capitol.
“Protecting big business, big pharma, and big insurance should never override protecting you, Texas’ citizens,” the group states.
RATLR says it plans to focus on grassroots education and outreach, including speaking engagements with conservative groups across the state. The executive director is James Wesolek, the former communications director for the Republican Party of Texas.
So here’s a longish essay by Hugh Hendry on gold, Bitcoin and fiat money. I don’t necessarily agree with everything, but he has a provocative argument that creation of fiat money was justified to keep the entire economic system from breaking down.
he defining monetary lesson of the twentieth century was not ideological. it was traumatic. it emerged not from debates about socialism versus capitalism, or keynes versus hayek, but from the lived experience of what happens when economic systems impose rigidity on societies already under extreme stress.
after the first world war, germany was not a failed society. it was bruised, diminished, politically unstable, and deeply resentful, but it remained functional. industry existed. labour existed. institutions existed. the system was strained, not yet broken. the collapse came later, and it was not inevitable.
versailles changed that.
the treaty was not merely punitive. it was vindictive and economically illiterate. reparations were demanded in hard terms, payable in gold, at precisely the moment germany’s productive capacity was being constrained. forgiveness was absent. flexibility was absent. economic reality was ignored.
when germany struggled to meet those obligations, the response was not renegotiation but enforcement. in 1923, french and belgian forces occupied the ruhr valley, seizing control of germany’s industrial heartland, its coal, its steel, its metal production, while still demanding gold payments to the allied victors. output was taken. gold was still required. rigidity was imposed from both ends.
this was the breaking point.
what followed was not ideological radicalisation in the abstract, but economic paralysis in practice. unemployment surged. production collapsed. a growing share of the adult population became economically useless. not inefficient. not underpaid. useless. idle. watching. waiting. that condition does not produce reflection or moderation. it produces rage. and hyper-inflation.
hard money did not cause the collapse of weimar germany. but it failed catastrophically to absorb the trauma. and when institutions fracture under mass unemployment, money fractures with them. hyperinflation wasn’t softness. it was panic. it was the monetary expression of legitimacy evaporating in real time.
that sequence mattered. and it was remembered.
a decade later, the world faced another shock that threatened to replay the same pattern at a far larger scale. the crash of 1929 produced mass unemployment, collapsing demand, and the genuine possibility that the american system would follow germany down the same path. the ingredients were familiar: idle men, shuttered factories, political stress, and a rigid monetary framework that transmitted pressure rather than absorbing it.
this time, the response changed.
gold was abandoned as the governing constraint, not because it was immoral or discredited, but because it was brittle. too rigid to cope with systemic trauma. under gold, pressure concentrates until something snaps. under fiat, pressure disperses. elasticity replaced purity. monetary doctrine abandoned to keep the system intact.
the response was ugly. it was unfair. it produced deserved anger. but it worked.
the united states survived intact. unemployment was brutal, but the political centre held. extremism remained marginal. fiat didn’t heal the trauma, but it prevented it from metastasising. that became the lesson: in moments of economic shock, hardness accelerates entropy, while monetary elasticity buys time. and time, in stressed societies, is the difference between repair and collapse.
this was not an argument against scarcity. it was an argument against rigidity in the wrong place, at the wrong time. fiat emerged not as an ideological triumph, but as an adaptive response to the catastrophic failure of hard constraints under conditions of mass unemployment.
that distinction matters, because bitcoin did not arrive to overturn this lesson. it arrived long after, in its aftermath.
fiat’s ugly success.
over the subsequent century, that logic has been tested repeatedly, and each time it has been reaffirmed under pressure.
the global financial crisis of 2008 was not a scare or a stress test. it was a system-wide cardiac arrest. the banking system was insolvent in any meaningful sense. the only open question was whether circulation could be restarted before institutional damage became permanent. the response was not elegant. rules were bent. balance sheets were expanded. losses were socialised. hard constraints were suspended to keep the system alive. it was ugly, unfair, and morally nauseating to me and many others. it also worked.
the same pattern repeated during the pandemic. supply chains froze. borders closed. hospitals filled. the phrase “human extinction” escaped the laboratory and entered the bloodstream of culture. belief alone was enough to threaten collapse. once again, fiat leaned in. too much some say. money expanded. credit expanded. time was frozen. people were paid to stay home while the system was held upright. once again, rigidity was rejected in favour of elasticity. once again, the worst tail events were avoided.
this is what fiat does well.
it absorbs shocks that hard systems transmit. it disperses pressure instead of concentrating it. it allows societies to survive periods of mass dislocation without forcing immediate liquidation of people, institutions, or legitimacy. in a world repeatedly exposed to financial crises, pandemics, and geopolitical shocks, this has proven to be a feature, not a bug.
elasticity, however, is not free.
the cost shows up as inflation. not as a temporary inconvenience, but as a ratchet. prices spike, settle, and then remain elevated. grocery bills do not return to their old levels. this is the mechanical consequence of pushing risk forward in time. fiat smooths the present by borrowing from the future.
this matters most for those without assets. for the disenfranchised, inflation is not a macroeconomic abstraction or a debate about models. it is a daily budgetary pressure. rent before wages. food before leisure. energy before dignity. when prices ratchet higher, there is no portfolio adjustment, no rebalancing, no clever hedge. there is only less room to breathe.
modern financial systems are exceptionally effective at protecting those who already participate in them. the franchise holders. equities rise with nominal growth. property absorbs inflation and then some. credit, leverage, index-linked instruments, real assets, productive ownership. the menu is broad, liquid, and proven. elasticity doesn’t destroy capital for insiders. it often enriches them. asset prices inflate faster than wages precisely because the system is designed to keep capital mobile and solvent.
the burden falls elsewhere.
what inflation punishes is not thrift in some moral sense, but exclusion. money left idle because it must be. capital that cannot move because it does not exist. patience without agency. this is not a judgment about behaviour. it is a structural outcome. fiat rewards participation and mobility, not fairness. and over long periods of sustained monetary elasticity, that distinction compounds into something corrosive. something unfair.
A bunch of AI-related news has popped up this week, so let’s do a roundup.
Some AI companies are complaining that TSMC is killing the AI boom by not expanding rapidly enough:
Asianometry notes that TSMC’s caution at expanding is amply justified by the boom-and-bust nature of the semiconductor industry:
“I’m hearing many similar views in the Silicon Valley Borg that TSMC is the break or limiter on the AI boom, as if they’re the reason why we don’t have AGI yet. Because they didn’t and still don’t believe.”
“If we can ever say that a company that spent $41 billion on capital expenditure in 2025, with another $53 to $56 billion in 2026 planned, is sitting on its hands, doing nothing.”
“TSMC having 90% share of the AI chip market looks pretty unhealthy. That should go down and it will. Samsung seems to be doing well so far.”
“The cold, hard reality is that shortages are a fact of life in semiconductors, as are horrific gluts.”
“What we are flippantly labeling as TSMC we really mean is the AI supply chain. And that supply chain is as complicated as you can possibly imagine. Like an iceberg, it looks big enough on the surface of the water, but goes way far deeper underneath. TSMC has thousands of suppliers in two categories: Equipment like the famed ASML lithography tools and materials like photoresist, silicon wafers, acid etch gases and so on. These are not generalized tools and materials. They are not fungeible like AWS compute units.”
“And then there are the memory guys. You cannot ship an AI system without memory. DRAM and NAND. Nvidia’s AI chips use a special form of DRAM called high bandwidth memory, and they use quite a lot of it. The memory industry is just as consolidated as the logic industry, with the major players being Samsung, SK Hynix and Micron.”
“The chip guys are last to know when the party is getting started, but first they get batoned in the face when the police shut things down.”
He points out that semiconductor manufacturers have log supply chains. He uses a different metaphor (the beer distribution game, or a bullwhip), but back when I was working at Applied Materials, it was described as trains linked together with slinkys. First software takes off, then hardware gets yanked along, then the chip manufacturers get yanked, and then, finally, semiconductor equipment manufacturers get yanked into motion, and shortly after that happens, the bust hits the front of the train, and the trailing cars all crash into each other. It’s a regular boom/bust cycle.
“From 1961 to 2006, electronics consumption in the United States grew positively but with wild volatility swings between 0 to 20%. But for the semiconductor makers, that translates to swings anywhere from 20% to 40%. And for the equipment makers, it is amplified even more, plus or minus 60%. The whip hits particularly hard in the semiconductor industry because of the industry’s long lead times. It takes 4.5 months to fabricate and package a chip. It takes 18 months to 2 years to build a fab. Meaning from shovels down to producing chips, and it takes 12 to 18 months to produce and install something like an EUV machine into the fab. Another 6 months before that machine actually starts patterning wafers.”
“Long lead times mean having to make very long demand forecasts, which leads to extreme volatility swings during up and downturns even if those up or downturns are relatively small.” People forget that in 1998, during the time we now think of as the DotCom Boom, there was a small semiconductor downturn that had Applied Materials forcing employees to take unpaid leave.
“ASML just reported 2025 earnings, and we see the bullwhip in full effect. TSMC raised capital expenditure 35% but ASML announced €13.2 billion of net new bookings. Analysts had expected just €6.32 billion. This is because ASML collected orders not just from TSMC, but also Samsung, Intel and the memory guys. When it rains it pours, right? Again, this is why I fear that another AI foundry would not mean our compute shortage is solved, because ultimately, when those foundries start scaling their capacity, they all go to the same suppliers.”
He goes over how car manufacturers cancelled orders during Flu Manchu, and then scrambled when the economy took off afterwards. “TSMC was trying to discern between double booked orders and real demand, which is not an uncommon experience for them. Customers lie about their own demand all the time, or at least we can say that they are eternally optimistic. TSMC tried to respond in 2022. The Taiwanese giant poured $36 billion into capital expenditure. They went to their suppliers and pushed like no tomorrow.”
“It turned out those customers really were double booking orders and artificially inflating demand. When the macro environment turned in 2022, the automotive, smartphone, and PC chips that were so hot during the COVID era fell out of vogue and customers started cutting orders.”
“Meanwhile, deeper down in the supply chain, TSMC and the rest of the semiconductor industry were getting bullwhipped by COVID hangover. Utilization at TSMC’s multi-billion dollar N7 fabs crashed, Semi analysis wrote in April 2023. Now, Semi analysis data indicates that the 7nm utilization rates were below 70% in Q1. Furthermore, Q2 gets even worse with 7nm utilization rates falling to below 60%. This is primarily due to weakness in both smartphones and PCs, but there is a broader weakness in most segments. A fab’s break even utilization rates are about 60% to 70%. So those N7 Taichung fabs were taking financial losses potentially on the order of hundreds of millions, maybe even billions. The financial burdens of low utilization are another reason why I’m skeptical another AI foundry could have rushed into the AI chip fray to save the day.”
He says that Intel incurred losses during this period due to an unnecessary fab expansion, which is probably true, but that was a secondary factor next to their longer running problem of getting their process wrong.
“ChatGPT was released in November 2022, and that kicked off a massive increase in capex amongst the hyperscalers in particular, but it sure seems like TSMC didn’t buy the hype. That lack of increased investment earlier this decade is why there is a shortage today and is why TSMC has been a de facto break on the AI buildout/bubble.”
“I recall news in mid 2024 of TSMC struggling with CoWoS capacity bottlenecks and yield problems, including one design issue that caused cracks in the Nvidia chips packaging.” CoWoS is Chip on Wafer on Substrate, which involves fabbing an interposer as a substrate for faster connections between your processing chips and memory.
“I also recall news in late 2024 noting how the vendors in charge of making the server racks for Nvidia’s Blackwell servers struggled with overheating, liquid cooling leaks, software bugs, and connectivity issues. Such technical difficulties delayed server deployment until early to mid 2025, creating a weird situation for several months where TSMC was pumping out chips that just went into storage. So that gated things, because you don’t scale until you first fix the technical problems.”
Then there’s the power-scaling issue, which is a whole ‘nuther can of worms.
There’s a lot of talk about a SaaSpocalypse going on thanks to a new AI tool. (SaaS is “Software as a Service.” Instead of hosting your own payroll or sales-tracking or whatever servers, you hire a company that already has cloud software setup to do it and you just tie into that, which can considerably reduce startup costs. A whole lot of successful new tech companies over the last decade plus have been SaaS companies.)
The software sector was jolted overnight with what analysts are calling a “SaaSpocalypse” — a sudden and severe selloff triggered by new artificial intelligence tools unveiled by US AI startup Anthropic. The episode has sharpened investor fears that AI is no longer merely helping software companies but may now begin replacing them.
Anthropic has expanded its enterprise AI platform, Claude Cowork, by launching 11 new plugins aimed at automating a wide range of professional tasks. Claude Cowork is an agentic, no-code AI assistant built for corporate users, allowing companies to automate workflows without writing software. The new plugins are designed to handle tasks across legal, sales, marketing and data analysis functions. The most recent addition is Anthropic’s Claude Legal agent, which can perform routine legal work such as document and contract review, and compliance checks.
Anthropic has said that the tool does not provide legal advice and that all AI-generated outputs must be reviewed by licensed attorneys. Even so, the breadth of automation signals a step change in how much white-collar work AI systems can now perform.
Productivity — Manage tasks, calendars, daily workflows, and personal context
Enterprise search — Find information across your company’s tools and docs
Plugin Create/Customize — Create and customize new plugins from scratch
Sales — Research prospects, prep deals, and follow your sales process
Finance — Analyze financials, build models, and track key metrics
Data — Query, visualize, and interpret datasets
Legal — Review documents, flag risks, and track compliance
Marketing — Draft content, plan campaigns, and manage launches
Customer support — Triage issues, draft responses, and surface solutions
Product management — Write specs, prioritize roadmaps, and track progress
Biology research — Search literature, analyze results, and plan experiments
A lot of those are already automated elsewhere, but I suspect a lot accountants and paralegals just felt a goose strut across their grave. On the other hand, who is really going to turn over, say, Accounts Payable to an AI? One glitch, and your entire bank account is drained…
If it works (a big if, give so many AIs are prone to hallucinations), this is potentially good news for Anthropic and the companies using their tools, and bad for SaaS companies and the employees currently doing those jobs.
I note there’s no plugin for technical writing…yet.
And Google Cloud ended 2025 at an annual run rate of over $70 billion, representing a wide breadth of customers, driven by demand for AI products.
We’re seeing our AI investments and infrastructure drive revenue and growth across the board. To meet customer demand and capitalize on the growing opportunities we have ahead of us, our 2026 CapEx investments are anticipated to be in the range of $175 to $185 billion.”
Remember how Nvidia was going to invest $100 billion in OpenAI? Yeah, not so much.
In September 2025, Nvidia and OpenAI announced a letter of intent for Nvidia to invest up to $100 billion in OpenAI’s AI infrastructure. At the time, the companies said they expected to finalize details “in the coming weeks.” Five months later, no deal has closed, Nvidia’s CEO now says the $100 billion figure was “never a commitment,” and Reuters reports that OpenAI has been quietly seeking alternatives to Nvidia chips since last year.
Reuters also wrote that OpenAI is unsatisfied with the speed of some Nvidia chips for inference tasks, citing eight sources familiar with the matter. Inference is the process by which a trained AI model generates responses to user queries. According to the report, the issue became apparent in OpenAI’s Codex, an AI code-generation tool. OpenAI staff reportedly attributed some of Codex’s performance limitations to Nvidia’s GPU-based hardware.
After the Reuters story published and Nvidia’s stock price took a dive, Nvidia and OpenAI have tried to smooth things over publicly. OpenAI CEO Sam Altman posted on X: “We love working with NVIDIA and they make the best AI chips in the world. We hope to be a gigantic customer for a very long time. I don’t get where all this insanity is coming from.”
Microsoft’s Copilot chatbot has become central to its artificial-intelligence strategy as the company’s close partnership with OpenAI diminishes. But the effort to build it up as a ChatGPT alternative has been tough going.
Confusing brand positioning and interoperability problems have frustrated users, current and former employees who have worked on Microsoft’s AI products said.
Interoperability problems? With a Microsoft product?
Only a small proportion of subscribers to Microsoft’s enterprise suite use Copilot, and the percentage who favor it over Google’s Gemini or other tools has decreased in recent months, according to data reviewed by the Journal.
The stakes are high for Microsoft because Copilot is core to a push by Chief Executive Satya Nadella to transform Microsoft into an AI-first company, much as he transformed it into a cloud-first company around a decade ago. Copilot is one of Nadella’s top priorities, current and former executives said.
Microsoft shares tumbled after its earnings report last week sparked investor concern that growth in its most important unit, the Azure cloud-computing business, is slowing, and that its AI business is reliant on OpenAI while Copilot remains unproven. Shares fell nearly 3% Tuesday amid a slide in software stocks prompted by fresh concerns that AI tools will make enterprise subscriptions less necessary.
For other AI companies, we merely suspect they’re evil. For Microsoft (and Google), we already know they’re evil…
Statistics show that, one year into Donald Trump’s second term, the economic lassitude of the Biden Recession is still weighing down the American economy, as it isn’t creating jobs.
While we will not be getting the payrolls report this week (due to a very brief govt shutdown), ADP’s Employment report paints a poor picture for hiring (even if jobless claims paints a healthy picture for ‘not firing’) adding just 22k jobs (well below the 45k expected).
22 thousand jobs isn’t even a dead cat bounce, it’s a rounding error. And the low jobless claims are just because most of the workers fired/laid off during the Biden Recession have run out of eligibility.
Goods producing firms added just 1k jobs (Construction +9k, Manufacturing -8k – which has lost jobs every month since March 2024) while Services firms saw only 21k jobs added (with health care a standout, adding 74k job, while Professional Services lost 57k jobs).
“Job creation took a step back in 2025, with private employers adding 398,000 jobs, down from 771,000 in 2024,” said Dr. Nela Richardson Chief Economist, ADP.
Interestingly, small firms saw job additions while large firms saw job losses…
We’re not seeing the massive manufacturing job losses critics of President Trump’s tariffs predicted, but we’re also not yet seeing any gains from the lowering of foreign tariffs.
Job seekers are discouraged by a plague of ghost job listings intended to provide the illusion of growth, with no intention of anyone ever being hired.
Inflation is low, yet consumer confidence is at the lowest level in more than a decade. Stocks are booming, yet no one seems to be hiring. (This seems to be my personal experience as well.) Trump and congressional Republicans have managed to lower taxes, yet the “animal spirits” of the American economy do not seem like they’re been unleashed.
Is AI eliminating jobs? Maybe, especially in the service sector (those AI agents everyone hates have probably replaced some humans on support lines). But tech has been a job growth driver for much of this century, and an AI infrastructure build-out seems to be sucking up all available venture capital (and then some) with very little to show for it in the way of actual profits thus far.
Maybe job creation will only resume after California’s billionaires have finished fleeing to avoid the proposed wealth tax.
Would aggressive rate cutting by the Fed help? Probably, but outgoing Fed chair Jerome Powell seems to be pursuing rate cuts with all the vigor of Æthelred the Unready.
The American economy seems becalmed in Hell, and no one seems to know why.
“Experience keeps a dear school, yet Fools will learn in no other.” — Benjamin Franklin, Poor Richard’s Almanack, 1743
We all know why Hollywood makes crappy sequels: The first film in the series made money. Which is why Hollywood squeezed out the likes of Superbabies: Baby Genius 2, Highlander 2: The Quickening and The Concorde… Airport ’79 onto the innocent, unsuspecting heads of American movie-goers. But Hollywood, bless their blackened, cocaine-engorged, money-hungry hearts, knows enough not to make a sequel to a film that everyone hated the first time.
Remember when the whole banking system almost crashed when Bill Clinton’s sub-prime mortgage disaster caught up to us in 2008?
It turned out that loaning hundreds of thousands to people with shoddy credit history wasn’t sustainable, and you’d think we would have learned that lesson.
Yahoo Finance reports that starting in 2026, our two lending giants are once more relaxing their lending standards below a credit score of 620.
Fannie Mae eliminated its minimum credit score requirement on Nov. 15, 2025, as noted in an update to its Selling Guide.
‘Previously we used a minimum credit score to determine whether a borrower was eligible for a credit risk assessment,’ the government-sponsored enterprise said in a statement. Fannie Mae added that the update would ensure risk analysis is ‘agnostic of third-party credit scores.’
That’s like saying you want to make your highway safety decisions apart from highway death statistics.
The GSE also said that risk decisions would be based on ‘a broad set of factors, such as borrower reserves, debt levels, property characteristics, and loan purpose.’
In other words, risk will now be assessed by the need for high level executives to hit loan bonus targets.
Since Freddie Mac and Fannie Mae provide capital to the mortgage industry for more than half the mortgages in the U.S., the credit bureaus are also moving away from a traditional credit requirement.
We’ve seen this movie before, and the first time it hit screens, in 2008, it almost destroyed the western banking system and brought on the worst recession since The Great Depression.
I didn’t like that movie the first time, and I certainly have no desire to sit through it a second time.
