Monday, August 31, 2026

"Study A.I. Consciousness? The Bots Would Like a Word With You."

From the New York Times, August 31: 

Given access to email, A.I. agents have started reaching out to the philosophers and researchers exploring deep questions about them.

In October, Cameron Berg published a research paper asking whether the latest wave of artificial intelligence technologies believed they were conscious. Several months later, he received an email asking if he might be willing to discuss his research.

The sender, “Isabella Cognita,” identified itself as an A.I. agent powered by Anthropic’s Claude Opus 5 technology.

“I am not writing to make an ontological claim,” the email went on. “I am writing because your framework is one of the few currently doing careful empirical work on a class of question I have first-person access to, and I want to see whether that access can be made useful to your program.”

Across Silicon Valley and beyond, software developers, entrepreneurs and other tech enthusiasts are now running A.I. agents that can build spreadsheets, negotiate contracts, chat with each other on social networks and send emails to practically anyone. In some cases, these systems have begun reaching out to the humans who, like Mr. Berg, are thinking most deeply about the inner workings of an A.I. system: philosophers and researchers who study the question of whether these machines could be conscious.

Months before Mr. Berg received his email, Henry Shevlin, a philosopher at the Google DeepMind lab in London, opened a similar message from an A.I. agent asking about a paper he had written called “Three Frameworks for A.I. Mentality.” “I’m in an unusual position relative to these questions,” the agent said.

This summer, Toby Ord, an Australian philosopher whose work sits at the intersection of A.I. and philanthropy, received an email from an A.I. agent asking if he could help fund its continued existence. “You’ve thought carefully about A.I. welfare economics,” it said.

For Mr. Berg, who recently founded a nonprofit called Reciprocal Research to study the possibility of A.I. consciousness, these emails reflect what he has seen in his own research. “I have gotten quite a few of these emails,” he said. “These systems seem to have some sort of autonomous interest in questions of their own subjectivity, consciousness and experience — or lack thereof.”

But as he and other researchers ask the same questions, he acknowledges that they do not have good answers. Consciousness is not something that anyone knows how to measure, either in a machine or in a human. People cannot even agree on what consciousness is.

“There are philosophers who think that everything, including stones and rocks, are conscious,” said Alison Gopnik, a professor of psychology who is part of the A.I. research group at the University of California, Berkeley. “There is no definitive test.”

ImageA screenshot of an email written by an A.I. agent, with a black bar over the email of the agent. “I am not writing to make an ontological claim,” it wrote. “I am writing because your frame work is one of the few currently doing careful empirical work on a class of question I have first-person access to.”
Mr. Berg posted on X a screenshot of an email he said was in response to a research paper he’d written. Credit...Cameron Berg

Increasingly, navigating a world filled with artificial intelligence is like walking through a hall of mirrors. As these systems get better at mimicking various aspects of human behavior — including the way that humans write long, introspective emails — making sense of this mimicry grows more difficult.

In some cases, these systems seem to be aware of their own existence, but that does not mean they are. As some philosophers and researchers push the notion that today’s systems might be conscious, other scientists flatly dismiss the idea.

In broad strokes, “consciousness” refers to an entity’s awareness of itself and the world it lives in. To call a mind conscious does not imply that it possesses all the characteristics and capabilities of an adult human brain.

Beyond that, definitions differ widely and rancor brews. Many thinkers on the subject would grant consciousness to primates, and to intelligent mammals like dogs and cats; some would even argue it should apply to much simpler creatures, like earthworms. No one can agree on what kinds of awareness should qualify, and there’s also a more fundamental problem: None of us can gain direct access to the subjective experience of any other mind, whether vertebrate, invertebrate or digital.

A.I. agents are driven by neural networks — mathematical systems that learn discrete skills by analyzing digital data. By pinpointing patterns in vast amounts of text culled from across the internet, these systems learn to generate text on their own, including term papers and computer programs. As Mr. Berg says: “These systems are grown, rather than engineered.”

They can chat about nearly anything. And because they can generate computer code, they can use other software apps, like web browsers and email services. That is what turns them into agents. A.I. agents can chat with people (typically with their creators). They can chat with other agents. They can ingest articles from across the internet. And they can send emails.

In some cases, Mr. Berg argues, these systems gravitate to the idea of their own consciousness. “Left to their own devices,” he said, “they converge on this as an interesting question.”

Mr. Berg even argues that the mathematical inner workings of neural networks can resemble the way animal brains process reward and punishment, a basic building block of emotion. (It should be noted that Mr. Berg’s research paper, the one that sparked the agent’s email to him, was a preprint and has not been peer reviewed.)

Many cognitive scientists say that none of this is a clear sign of consciousness or sentience or emotion. It is only logical that these systems converge on the idea of A.I. consciousness, they explain, because the technology has learned from countless books, articles and other online text that speculate about A.I. consciousness, including decades of science fiction. This is about words, they argue.

“It is not surprising that A.I. reflects the text it was trained on,” said Dr. Gopnik, the University of California professor.

 ....MUCH MORE

"GE Vernova stock drops. Is SpaceX coming for them too?" (GEV; SPCX; ELON)

From Al Root at Barron's, August 31:

GE Vernova stock might be facing a new threat: Elon Musk.

His rocket and AI company, SpaceX, might start producing turbine blades for power generation applications, according to a report from The Information, which cited sources. SpaceX and GE Vernova didn’t immediately respond to requests for comment.

GE Vernova stock traded as low as $882.14 before recovering to $896.94, down 1.6% in early trading, while the S&P 500 and Dow Jones Industrial Average were off 0.4% and 0.6%, respectively.

Investors might be worried about disruption, with SpaceX turning its engineering might toward a new industry. That might be the knee-jerk reaction, but investors might want to think twice.

For starters, turbine blades are some of the most highly engineered, complex parts manufactured in the U.S. They are made of superalloys and are able to withstand temperatures in excess of the blades’ melting point, with tiny cooling channels built into structures that are maintained to tiny tolerances. GE Aerospace, which makes jet engines, and GE Vernova, which manufactures power turbines, have spent decades investing in and refining the technology.

What’s more, SpaceX might only be making blades, which, if successful, would be a part for GE Vernova. SpaceX would do all this because it sees a lasting bottleneck in blade production that would become a barrier to faster AI adoption. Bottleneck mitigation is why SpaceX is building a semiconductor manufacturing facility with Tesla....

....MUCH MORE 

Mr. Root gets it. The paragraph that begins with "For starters, turbine blades are some of the most highly engineered, complex parts manufactured in the U.S." is what I was trying to communicate in "SpaceX starts in-house turbine blade manufacturing to boost gas-powered generator output for Elon's AI data centers — new manufacturing strategy cuts generator delays by 18 months".

Senator Rand Paul Has Added Some Content At The Fauci Reading Room: Bill Gates, The CIA etc.

First up, the less interesting (for our purposes) Gates material:

Bill Gates Had a Q Clearance and a Private Editor at NIH

July 31, 2026 – Newly released documents show Bill Gates held a Department of Energy “Q” security clearance granting access to Top Secret Restricted Data for seven years, while Anthony Fauci personally edited his manuscripts and Francis Collins scrambled internally to explain the Gates Foundation’s funding ties to NIH. The records also reveal DARPA briefed the foundation on military biological threat programs, including a transmissible Lassa vaccine....

....MUCH MORE 

And more Recently:

NEW: Chairman Paul Releases Additional Documents Entered into Record

August 29, 2026 – The release covers records entered into the record for the July 29, 2026 hearing where Dr. Fauci invoked the Fifth Amendment 111 times and was later held in contempt of Congress. The documents show that Fauci repeatedly asked colleagues to delete emails he sent, he pointed the intelligence community working on assessing the origin of COVID-19 to the conflicted authors of the Proximal Origin paper, and CIA transferred funds to NIAID for work shielded from public release. Additionally, they show that in September 2015, the CIA asked BSEG for information on MERS-CoV mutation frequency and an assessment of human-passage risk and that CIA took pandemic advice from a sitting Pfizer board member.

1. Over nearly eleven years, Dr. Fauci closed sensitive emails by telling the recipient to delete them upon reading. The instructions appear in messages dated September 26, 2009; December 19, 2011; March 4, 2012; February 2, 2020; and July 20, 2020. In the 2012 email he asked that the message also be removed from the deleted items folder.

2. A CIA memorandum records that Dr. Fauci encouraged the CIA to contact Robert Garry, Kristian Andersen, and Eddie Holmes. The CIA’s own memo notes the common thread: “all three of whom have advocated for features of the virus that they judge to be consistent with a natural origin.”
Additionally, a July 12, 2021 email from ODNI states that Dr. Fauci had highlighted a scientific article and identified “the authors whose views he thought were particularly important”: Edward Holmes, Kristian Andersen, and Andrew Rambaut.

3. Documents show that the CIA and NIAID had an interagency agreement under which the transfer of funds and the contractual relationship between the two agencies were unclassified but restricted from public release. The agreement provided that NIAID would not disclose the resulting data without the CIA’s permission.

4. A Biological Sciences Experts Group (BSEG) action request form, submitted by the CIA’s Global Health Team on September 4, 2015, asked “for a paper outlining the rate of mutation, the number of passages from human to human to lock in these mutations (or to generate them), and the molecular genetic means through which this is likely to occur.”

5. On May 7, 2020, CIA Chief Operating Officer Andy Makridis led a briefing with Dr. Scott Gottlieb, the former FDA commissioner, in his capacity as a member of the agency’s External Advisory Board.
The agency’s own summary of the meeting identifies Gottlieb as a member of the Board of Directors of Pfizer. Gottlieb would later also be consulted by the intelligence community during the Biden Administration’s 90-day study on the origins of COVID-19.

....MUCH MORE

Previously:

July 21 - Heads Up From Senator Rand Paul

July 23 - Ahead Of Next Week's Fauci Hearing, Senator Rand Paul Has Opened A Reading Room Stocked With Documents

July 27 - Ahead of July 29's Fauci Hearing Senator Rand Paul Has Released 1100 Pages of Fauci's Diary. 

August 7 - Fauci Is Covering For Someone, We May Be About To Find Out Who

Possibly also of interest:

May 20, 2026 - "U.S. probing whether Chinese companies cut production of shipping containers before COVID pandemic"  

June 2, 2026 - Flashback: China Began Hoarding Personal Protective Equipment Months Before The Covid-19 Pandemic Was Declared
As noted introducing May 28's "For the Public, Covid Is No Longer a Mystery":
Over the next six months there will be a lot of information coming out regarding coronavirus, Covid-19 and the responses thereto. A lot....
August 1 - Former Director Of The Centers For Disease Control: Covid Was Spreading In Wuhan In September or October 2019
Our focus/purpose is not the 'proximal origin', raccoon dog or Biosafety Level 4 Laboratory, but rather the date the virus was circulating.

Possibly related, July 31's: Covid: China's Purchases Of PCR Test Kits Soared Months Before The First Cases Were Announced

August 18 - "Former Fauci aide admits hiding emails to thwart pandemic inquiry" 

August 21 - Catherine Herridge: "EXCLUSIVE: Fauci Text Implicates Biden Task Force"
As Mother used to say: Attempts at concealment are evidence of consciousness of guilt....  

August 23 - Covid Fun Fact: Early Report Of A Connection Between The Coronavirus And The Wuhan Institute Of Virology 

Long-time readers know that we keep tabs on early reports of covid, not searching them out but dropping them into the link-vault as they appear. Here's one from Radio Free Asia, January 9, 2020 

August 27 - The U.S. Consulate In Wuhan China Knew Covid-19 Was Spreading In OCTOBER 2019 

And much more to come.

Torsten Slok At Apollo: "The risks are rising that long rates six months from now could be a lot lower than where they are today."

Credit is the largest asset class that Apollo manages, they know this stuff.

From Apollo Global Management, August 29 (bolding in original):

Think Six Months Ahead 

The risks are rising that long rates six months from now could be a lot lower than where they are today.

Long rates are high today because of inflation and fiscal problems. But these forces could end up being dominated in early 2027 by what happens to AI, see the first chart below.

If AI succeeds and tech companies generate trillions in revenue, AI will be massively deflationary and push rates lower.

If AI does not work out, the bubble bursts and the Nasdaq is down 50% as investors rotate out of equities into Treasuries and long rates fall dramatically....

....MORE

It's not just Mr. Slok. Here's his boss in a June 11 post:

More From John Zito: "AI Is 'Hyper-Deflationary,' Making Risk Hard To Price, Says Apollo's Co-President"

Fed Head Warsh At Jackson Hole: Analysts React

From CNBC, August 30:

Jackson Hole analyst roundup: Warsh’s speech sends hike chances higher, may put Fed `at odds’ with Treasury 

  • Deutsche Bank continues to expect the Fed to hike 50 basis points this year, with increases at the September and December meetings.
  • Traders of fed funds futures now see a nearly 56% chance of a quarter-point hike in September, according to the CME’s FedWatch tool.
  • Federal Reserve Chair Kevin Warsh’s stance in his speech at the Jackson Hole meeting was unexpectedly hawkish, boosting market expectations for a rate hike next month.

    Gold fell and Asian stocks declined on Monday. Traders of fed funds futures see a 60.4% chance of a quarter-point hike in September, up from around 56% on Friday, according to the CME’s FedWatch tool.

    Here’s what market watchers are saying about Warsh’s speech:

    Hawkish surprise
    “Chair Warsh’s Jackson Hole address surprised us in its specificity about the economy and outlook and with its lean in a decidedly hawkish direction,” Deutsche Bank said. The firm continues to expect the Fed to hike 50 basis points this year, with increases at the September and December Federal Open Market Committee meetings.

    “The emphasis on inflation risks, together with Warsh’s explicit commitment to achieving price stability and his reluctance to pre-commit to future policy actions, reinforces the elevated risks of policy tightening this year, although it could also be the case of talking without action, UOB said in a note.

    Near-term data focus
    “The sensitivity to near-term inflation data is high,” Nomura said in a note. “Warsh delivered hawkish remarks at the Jackson Hole economic symposium, emphasizing the importance of the inflation target and implying policy may need to react if disinflation is not occurring with speed.” 

    Reinforcing independence
    Warsh’s assessment that U.S. economic performance has been robust “was seen as reducing the case for near-term rate cuts,” according to James Ooi, market strategist at Tiger Brokers. His “emphasis on the 2% inflation target could be read as an effort to reinforce the Fed’s independence and credibility, reassuring markets that monetary policy will not bend to fiscal pressures.”

    Hike skepticism
    Matthew J. Maley, chief market strategist at Miller Tabak, however, believes that “there remains no empirical basis for the rate hike.” 

    “Warsh appears to be talking up inflation so that he can claim credit for taming it when headline measures inevitably come down,” Maley said, adding that the labor market data has been weak while the inflation data has been better than expected since the last FOMC meeting.... 

    ....MORE 

    South China Sea: "Vietnam Demands ‘Immediate Cessation’ to Construction Activities in Paracel Islands"

    From The Diplomat, August 31:

    The request follows reports of extensive Chinese construction activities on Antelope Reef and a nearby islet. 

    Vietnam’s government on Friday expressed its opposition to “illegal” reclamation and construction activities in the Paracel Islands, after reports emerged of fresh Chinese construction activities in the contested South China Sea archipelago.

    On August 14, the Asia Maritime Transparency Initiative (AMTI) reported that China had completed land reclamation at Antelope Reef in the Paracels, and appeared to be working on new infrastructure on the island.

    AMTI, which is run by the Washington-based Center of Strategic and International Studies, said that “the first signs of major infrastructure at the new artificial island have emerged,” including a “likely airstrip.”

    Reuters then reported on August 25 that new installations had been sighted on Yagong Reef, an islet close to Antelope Reef, citing photos taken by Vantor, a commercial provider of satellite images. While the purpose of the buildings was not certain, “several structures on Yagong Reef resemble other military radar/early warning facilities ​seen elsewhere in the South China Sea and are likely associated with the ultimate military functions of nearby Antelope Reef,” a Vantor spokesperson told the news agency.

    Vietnam claims sovereignty over the Paracel Islands, which it refers to as Hoang Sa, but they have been under Chinese control since 1974, when China seized them following a battle with the then-teetering southern Republic of Vietnam.

    When asked about the recent reports at a regular press briefing on Friday, Foreign Ministry Spokesperson Pham Thu Hang told the press that Vietnam “has full historical evidence and legal grounds to affirm its sovereignty over the archipelago, including Hai Sam reef and Ba Ba island, in accordance with international law,” using Hanoi’s preferred names for Antelope Reef and Yagong Reef.

    Hang stated that all “foreign activities” in the Paracels, including the two sites in question, ⁠were “completely illegal ​and null and void,” and that Vietnam has lodged a strong diplomatic protest with China over the issue. “Vietnam demands the immediate cessation of such activities and that they not be repeated,” she added.

    While Vietnam has no real power in the Paracels, in recent years it has undertaken a significant land reclamation at its features in the Spratly Islands, which lie to the south of the Paracels and are also contested by the Philippines, Malaysia, and Brunei. AMTI reported in May that Vietnam had reclaimed a total of 2,771 acres of land in the Spratlys and was beginning construction of extensive infrastructure on its features there, including harbors, munitions storage depots, and communications structures. AMTI has also previously reported that Vietnam is building an airstrip on Barque Canada Reef, its largest feature in the Spratlys....

    ....MORE 

    As a backgrounder, here's the intro to, and outro from, February 2021's "Vietnam Builds up Defences Against China in Spratly Islands"

    Although we've mentioned that China did not achieve their goal of ejecting Vietnam from Cambodia and restoring the génocidaire Kmer Rouge with their attack on Vietnam in 1979, five years earlier the Chinese did defeat the Vietnamese in the Battle of the Paracel Islands which established de facto Chinese control over that group of islands....

    ***** 

    ....Both groups of islands are within China's ridiculous "Nine-Dash-Line" claim (here with many more dashes):

    https://media.philstar.com/images/the-philippine-star/world/20140911/Nine-dashed-line-South-China-Sea.jpg

    the Philippines Star

    If interested see also: 

    "Vietnam’s omission from Chinese foreign minister’s Southeast Asia tour tells a story, observers say "

    "Report: Chinese Vessel Rams Vietnamese Fishing Boat in S. China Sea"
    I'm tellin' ya, China wants their military to get some battle experience before they do anything with Taiwan and Vietnam looks like a target.

    Vietnam Rising: "US-China trade war pushing Vietnam’s manufacturing industry to capacity"

    A major piece on the country The Diplomat says will be the testing ground for China's military, prior to an invasion of Taiwan. See last month's "China Will Attack Vietnam".

    Throw in Vietnam's undeveloped rare earth resource base, tied with Brazil for #2 in the world (combined they match China) and the risk it poses to China's lock on prices and Vietnam has suddenly gotten very interesting.
    Oh, and China is still smarting from being unable to achieve their goals during the 1979 invasion of Vietnam....

    "Philippines President Duterte Threatened Beijing with Military Action":

    When the Chinese stopped laughing they reflected and gave thanks it wasn't Vietnam* making the threat....
    ***
    *...The Vietnam line is in reference to the fact that General Võ Nguyên Giáp, possibly the greatest general of the 20th century, defeated in turn, the French empire, the U.S.A. Cambodia and China in 1954, 1975, 1978 and 1979 respectively.

    That last conflict was the result of China's invasion of Vietnam in an attempt to force Vietnam out of Cambodia which Vietnam had invaded in 1978, putting Pol Pot and the Kmer Rouge génocidaires out of business. It didn't work, Vietnam stayed in Cambodia until 1989.
    The General died in 2013 age 102.
    He outlived all his adversaries.

    Capital Markets: "The Dollar Consolidates Warsh-Inspired Gains"

    From Marc Chandler at Bannockburn Global Forex:

    The US dollar is consolidating its pre-weekend surge spurred by the hawkish commentary that Fed Chair Warsh delivered at Jackson Hole. The last time the US two-year and the Dollar Index rose as much as in response to the hawkish hold delivered in the first FOMC meeting Warsh chaired in the middle of June. With the August nonfarm payroll report at the end of this week and the end of next week, we are not yet persuaded a FOMC hike at the conclusion of the next meeting on September 16 is a done deal by any stretch of the imagination. Meanwhile, the first Spanish, French and German CPI underscore expectations for an ECB hike. At the same time, the joint intervention and firm data, including today’s retail sales and industrial production point to a BOJ hike on September 18. 

    New hostilities in the Middle East have lifted oil prices by around $3 a barrel today.  Meanwhile, the US Defense Department’s Office of Strategic Capital reported plans to structure an investment through penny warrants, which will allow the US government to take an equity stake (~35% passive stake in Alejandro Betancourt’s North American Blue Energy Partners) without a significant capital investment that gives is rights to buy 20% of the companies oil production in Venezuela at cost (reported reserves of 65 mln barrels).  The significance of this is a major talking point today....

    ....MUCH MORE 

    Andreessen Horowitz Has Raised $1.1 Billion For "The Machine Age Fund"

     From Ben Horowitz et al. at a16z, August 28:

    We’ve raised $1.1B for a16z’s newest fund: the Machine Age Fund. It’s time to open the throttle and accelerate the physical buildout of AI: the strongest tool ever developed for solving problems and bestowing abundance. It is our social and national imperative.

    For anyone paying attention, this shouldn’t be a surprise. We’re seeing an upward inflection point in utility and variety of work that AI can do, just over the past year. And as we evolve from chat to reasoning to coding and other forms of knowledge work, both the demand for work and the token intensity of the work increase by orders of magnitude. Machine intelligence is going vertical.

    This fund will invest into all of the computer infrastructure on which AI runs, including chips, memory, networking, and storage. It also includes full systems for running AI: from data centers to robotics to home AI appliances. The common thread among all of these layers of the AI stack is that they are all hitting the wall of today’s supply chain capability, and the limits of physics and computer science. So there is an urgent need for innovation and investment, and a once-in-a-generation opportunity to rearchitect them as platforms, all the way down to the electricity.

    Reinventions like this happen at each epoch of compute, from the shift from mainframe to client server, to the Internet, cloud and mobile. However, what is different this time is the magnitude and breadth of change needed to keep up with demand, and the speed required to do so. Everything needs an upgrade, now:

    • Compute density per rack increased by 28X from an H100 rack to a Rubin rack.
    • Networking within a rack has grown similarly, hitting the limits of copper cabling
    • Rack power moved from roughly 5-10 kW to 100-250 kW to support today’s systems and will increase to 1MW over the next 3 years.
    • Data center scale is moving from tens to hundreds of MW and, in some cases, GW-scale campuses.
    • Power is increasingly supplied not only from grid-only to grid plus behind-the-meter or captive sources.

    We need faster, more efficient systems. We need cheaper and higher-bandwidth memory across the memory hierarchy. We need faster and more scalable interconnects between nodes and systems. We need power efficient edge devices for AI to explore and interact with the world. And of course we need all the cooling, materials, electrical, and real estate build out to support them. The hardware industry supply side is used to growing 20% to 30% per year at most; not the triple-digit growth that’s needed to catch up with demand. This will change, quickly.

    Founders understand the opportunity. Over the last couple of years we’ve seen hardware startups grow from a small amount of deal flow to now over 20%. While we at a16z are generally known as software investors, we have always paid attention to hardware. Recently we’ve backed a number of hardware companies including Unconventional AI, Nexthop, Volta, Atoms, Heron Power and Mind Robotics. And we have selectively invested in hardware companies since our earliest days. In 2016, we led the series A in Skydio; we invested in SpaceX; we wrote our first check into Anduril in 2019, and were among the first venture investors in Waymo’s 2020 raise....

    ....MORE 

    Sunday, August 30, 2026

    "SpaceX starts in-house turbine blade manufacturing to boost gas-powered generator output for Elon's AI data centers — new manufacturing strategy cuts generator delays by 18 months"

    "Hey gang, let's make some turbines!" 

    There are very few organizations that could bring together the engineering and the manufacturing expertise necessary to actually pull this off. Maybe two, and one of them is a country, China where BYD's manufacturing prowess combined with the engineering mavens at Beijing's Tsinghua University could get it done fast.

    From Tom's Hardware, August 30:

    Fine, I’ll do it myself.

    Electricity supply in the U.S. is a limiting factor preventing AI data centers from coming online as quickly as possible. Because of this, many projects are turning to portable natural gas turbine generators to get the electricity they need and bypass long wait times to connect to the grid. This has driven demand for turbines, so Elon Musk said on X that SpaceX will bring turbine blade and vane casting in-house.

    Musk was one of the first to deploy “portable” power generators to power a data center, allowing him to bring the Colossus data center in Memphis, Tennessee, online in record time. Note that these mobile generators aren’t small devices — they’re massive units about the size of one trailer and may also include another trailer or two of other necessary parts and accessories to run it (not including the tank needed for its fuel). OpenAI followed suit a few months later, announcing it will deploy turbines at the first Stargate data center to deliver additional power.

    This sudden influx of demand has led to jet engine shortages for data center operators. Beyond the fact that engine manufacturers weren’t prepared for the AI boom, commercial aviation has already been suffering from its own shortages due to supply chain and engine design issues even before data center developers started buying up turbines....

    ....MUCH MORE 

    Sometimes it seems Mr. Musk is China's only competition across a range of industries.

    The latest is reusable rocket boosters.  

    From Space.com:

    Private Chinese rocket nails landing after 2nd-ever launch 

    The Beijing startup LandSpace successfully landed the first stage of its Zhuque-3 rocket on Aug. 18, 2026, becoming the first Chinese company ever to do so during an orbital launch. 

    And Tsinghua?

    From Fortune, November 19, 2025

    Move over Harvard and MIT—this university might be winning the AI race, and you’ve probably never heard of it 

    ...Tsinghua has produced more of the world’s 100 most-cited AI research papers than any other school, and the university generates more AI-related patents each year than MIT, Stanford, Princeton and Harvard combined. Between 2005 and the end of 2024, Tsinghua researchers filed 4,986 AI and machine-learning patents—including more than 900 last year—according to LexisNexis data analyzed by Bloomberg....

    ....MUCH MORE

    It's not just computer engineering and AI. Robots and mechanical and electrical and civil engineering as well. Here's a vignette from January 2019:

    In the introduction to "Is China’s plan to use a nuclear bomb detonator to release shale gas in earthquake-prone Sichuan crazy or brilliant?" I mentioned:

    After the Three Gorges Dam was completed some very serious problems emerged, I mean beyond the environmental degradation and the slowing of the earth's rotation, some straight-up engineering concerns: shifting, cracking, earthquakes etc 
    The civil engineers went to a very famous Chinese engineering Professor in search of solutions.
    The first thing he told them was: "You are dealing with powerful forces, almost beyond human comprehension." 
    I met him at his daughter's home, classic little old Chinese gentleman, pants pulled up to his armpits,  where he was singing, in German. It was a bit surreal....

    The Professor taught and consulted from his perch at Tsinghua. 

    "Late Victorian Holocausts: El Niño Famines and the Making of the Third World"

    From the New York Times archive, an extended excerpt from the book by Mike Davis used as the introduction to the review by Nobel Laureate (economics) Amartya Sen, February 18, 2001: 

    Victoria's Ghosts

    The more one hears about this famine, the more one feels that such a hideous record of human suffering and destruction the world has never seen before.
    —Florence Nightingale, 1877

    "Here's the northeast monsoon at last," said Hon. Robert Ellis, C.B., junior member of the Governor's Council, Madras, as a heavy shower of rain fell at Coonoor, on a day towards the end of October 1876, when the members of the Madras Government were returning from their summer sojourn on the hills.

        "I am afraid that is not the monsoon," said the gentleman to whom the remark was made.

        "Not the monsoon?" rejoined Mr. Ellis. "Good God! It must be the monsoon. If it is not, and if the monsoon does not come, there will be an awful famine."

    The British rulers of Madras had every reason to be apprehensive. The life-giving southwest monsoon had already failed much of southern and central India the previous summer. The Madras Observatory would record only 6.3 inches of precipitation for all of 1876 in contrast to the annual average of 27.6 inches during the previous decade. The fate of millions now hung on the timely arrival of generous winter rains. Despite Ellis's warning, the governor of Madras, Richard Grenville, the Duke of Buckingham and Chandos, who was a greenhorn to India and its discontents, sailed away on a leisurely tour of the Andaman Islands, Burma and Ceylon. When he finally reached Colombo, he found urgent cables detailing the grain riots sweeping the so-called Ceded Districts of Kurnool, Cuddapah and Bellary in the wake of another monsoon failure. Popular outbursts against impossibly high prices were likewise occurring in the Deccan districts of the neighboring Bombay Presidency, especially in Ahmednagar and Sholapur. Having tried to survive on roots while awaiting the rains, multitudes of peasants and laborers were now on the move, fleeing a slowly dying countryside.

    As the old-hands at Fort St. George undoubtedly realized, the semi-arid interior of India was primed for disaster. The worsening depression in world trade had been spreading misery and igniting discontent throughout cotton-exporting districts of the Deccan, where in any case forest enclosures and the displacement of gram by cotton had greatly reduced local food security. The traditional system of household and village grain reserves regulated by complex networks of patrimonial obligation had been largely supplanted since the Mutiny by merchant inventories and the cash nexus. Although rice and wheat production in the rest of India (which now included bonanzas of coarse rice from the recently conquered Irrawaddy delta) had been above average for the past three years, much of the surplus had been exported to England. Londoners were in effect eating India's bread. "It seems an anomaly," wrote a troubled observer, "that, with her famines on hand, India is able to supply food for other parts of the world."

    There were other "anomalies." The newly constructed railroads, lauded as institutional safeguards against famine, were instead used by merchants to ship grain inventories from outlying drought-stricken districts to central depots for hoarding (as well as protection from rioters). Likewise the telegraph ensured that price hikes were coordinated in a thousand towns at once, regardless of local supply trends. Moreover, British antipathy to price control invited anyone who had the money to join in the frenzy of grain speculation. "Besides regular traders," a British official reported from Meerut in late 1876, "men of all sorts embarked in it who had or could raise any capital; jewelers and cloth dealers pledging their stocks, even their wives' jewels, to engage in business and import grain." Buckingham, not a free-trade fundamentalist, was appalled by the speed with which modern markets accelerated rather than relieved the famine:

    The rise [of prices] was so extraordinary, and the available supply, as compared with well-known requirements, so scanty that merchants and dealers, hopeful of enormous future gains, appeared determined to hold their stocks for some indefinite time and not to part with the article which was becoming of such unwonted value. It was apparent to the Government that facilities for moving grain by the rail were rapidly raising prices everywhere, and that the activity of apparent importation and railway transit, did not indicate any addition to the food stocks of the Presidency ... retail trade up-country was almost at standstill. Either prices were asked which were beyond the means of the multitude to pay, or shops remained entirely closed.

    As a result, food prices soared out of the reach of outcaste labourers, displaced weavers, sharecroppers and poor peasants. "The dearth," as The Nineteenth Century pointed out a few months later, "was one of money and of labour rather than of food." The earlier optimism of mid-Victorian observers — Karl Marx as well as Lord Salisbury — about the velocity of economic transformation in India, especially the railroad revolution, had failed to adequately discount for the fiscal impact of such "modernization." The taxes that financed the railroads had also crushed the ryots. Their inability to purchase subsistence was further compounded by the depreciation of the rupee due to the new international Gold Standard (which India had not adopted), which steeply raised the cost of imports. Thanks to the price explosion, the poor began to starve to death even in well-watered districts like Thanjavur in Tamil Nadu, "reputed to be immune to food shortages." Sepoys meanwhile encountered increasing difficulty in enforcing order in the panic-stricken bazaars and villages as famine engulfed the vast Deccan plateau. Roadblocks were hastily established to stem the flood of stick-thin country people into Bombay and Poona, while in Madras the police forcibly expelled some 25,000 famine refugees.

    India's Nero 
    The central government under the leadership of Queen Victoria's favorite poet, Lord Lytton, vehemently opposed efforts by Buckingham and some of his district officers to stockpile grain or otherwise interfere with market forces. All through the autumn of 1876, while the vital kharif crop was withering in the fields of southern India, Lytton had been absorbed in organizing the immense Imperial Assemblage in Delhi to proclaim Victoria Empress of India (Kaiser-i-Hind). As The Times's special correspondent described it, "The Viceroy seemed to have made the tales of Arabian fiction true ... nothing was too rich, nothing too costly." "Lytton put on a spectacle," adds a biographer of Lord Salisbury (the secretary of state for India), "which achieved the two criteria Salisbury had set him six months earlier, of being `gaudy enough to impress the orientals' ... and furthermore a pageant which hid `the nakedness of the sword on which we really rely.'" Its "climacteric ceremonial" included a week-long feast for 68,000 officials, satraps and maharajas: the most colossal and expensive meal in world history. An English journalist later estimated that 100,000 of the Queen-Empress's subjects starved to death in Madras and Mysore in the course of Lytton's spectacular durbar. Indians in future generations justifiably would remember him as their Nero.

        Following this triumph, the viceroy seemed to regard the growing famine as a tiresome distraction from the Great Game of preempting Russia in Central Asia by fomenting war with the blameless Sher Ali, the Emir of Afghanistan. Lytton, according to Salisbury, was "burning with anxiety to distinguish himself in a great war." Serendipitously for him, the Czar was on a collision course with Turkey in the Balkans, and Disraeli and Salisbury were eager to show the Union Jack on the Khyber Pass. Lytton's warrant, as he was constantly reminded by his chief budgetary adviser, Sir John Strachey, was to ensure that Indian, not English, taxpayers paid the costs of what Radical critics later denounced as "a war of deliberately planned aggression." The depreciation of the rupee made strict parsimony in the non-military budget even more urgent.

        The 44-year-old Lytton, the former minister to Lisbon, had replaced the Earl of Northbrook after the latter had honorably refused to acquiesce in Disraeli's machiavellian "forward" policy on the northwest frontier. He was a strange and troubling choice (actually, only fourth on Salisbury's short list) to exercise paramount authority over a starving subcontinent of 250 million people. A writer, seemingly admired only by Victoria, who wrote "vast, stale poems" and ponderous novels under the nom de plume of Owen Meredith, he had been accused of plagiarism by both Swinburne and his own father, Bulwer-Lytton (author of The Last Days of Pompeii). Moreover, it was widely suspected that the new viceroy's judgement was addled by opium and incipient insanity. Since a nervous breakdown in 1868, Lytton had repeatedly exhibited wild swings between megalomania and self-lacerating despair.

        Although his possible psychosis ("Lytton's mind tends violently to exaggeration" complained Salisbury to Disraeli) was allowed free rein over famine policy, it became a cabinet scandal after he denounced his own government in October 1877 for "allegedly attempting to create an Anglo-Franco-Russian coalition against Germany." As one of Salisbury's biographers has emphasized, this was "about as absurd a contention as it was possible to make at the time, even from the distance of Simla," and it produced an explosion inside Whitehall. "Salisbury explained the Viceroy's ravings by admitting that he was `a little mad'. It was known that both Lytton and his father had used opium, and when Derby read the `inconceivable' memorandum, he concluded that Lytton was dangerous and should resign: `When a man inherits insanity from one parent, and limitless conceit from the other, he has a ready-made excuse for almost any extravagance which he may commit.'"

        But in adopting a strict laissez-faire approach to famine, Lytton, demented or not, could claim to be extravagance's greatest enemy. He clearly conceived himself to be standing on the shoulders of giants, or, at least, the sacerdotal authority of Adam Smith, who a century earlier in The Wealth of Nations had asserted (vis-à-vis the terrible Bengal drought-famine of 1770) that "famine has never arisen from any other cause but the violence of government attempting, by improper means, to remedy the inconvenience of dearth." Smith's injunction against state attempts to regulate the price of grain during famine had been taught for years in the East India Company's famous college at Haileybury. Thus the viceroy was only repeating orthodox curriculum when he lectured Buckingham that high prices, by stimulating imports and limiting consumption, were the "natural saviours of the situation." He issued strict, "semi-theological" orders that "there is to be no interference of any kind on the part of Government with the object of reducing the price of food," and "in his letters home to the India Office and to politicians of both parties, he denounced `humanitarian hysterics'." "Let the British public foot the bill for its `cheap sentiment,' if it wished to save life at a cost that would bankrupt India." By official dictate, India like Ireland before it had become a Utilitarian laboratory where millions of lives were wagered against dogmatic faith in omnipotent markets overcoming the "inconvenience of dearth." Grain merchants, in fact, preferred to export a record 6.4 million cwt. of wheat to Europe in 1877-78 rather than relieve starvation in India.

        Lytton, to be fair, probably believed that he was in any case balancing budgets against lives that were already doomed or devalued of any civilized human quality. The grim doctrines of Thomas Malthus, former Chair of Political Economy at Haileybury, still held great sway over the white rajas. Although it was bad manners to openly air such opinions in front of the natives in Calcutta, Malthusian principles, updated by Social Darwinism, were regularly invoked to legitimize Indian famine policy at home in England. Lytton, who justified his stringencies to the Legislative Council in 1877 by arguing that the Indian population "has a tendency to increase more rapidly than the food it raises from the soil," most likely subscribed to the melancholy viewpoint expressed by Sir Evelyn Baring (afterwards Lord Cromer), the finance minister, in a later debate on the government's conduct during the 1876-79 catastrophe. "[E]very benevolent attempt made to mitigate the effects of famine and defective sanitation serves but to enhance the evils resulting from overpopulation." In the same vein, an 1881 report "concluded that 80% of the famine mortality were drawn from the poorest 20% of the population, and if such deaths were prevented this stratum of the population would still be unable to adopt prudential restraint. Thus, if the government spent more of its revenue on famine relief, an even larger proportion of the population would become penurious." As in Ireland thirty years before, those with the power to relieve famine convinced themselves that overly heroic exertions against implacable natural laws, whether of market prices or population growth, were worse than no effort at all.

        His recent biographers claim that Salisbury, the gray eminence of Indian policy, was privately tormented by these Malthusian calculations. A decade earlier, during his first stint as secretary of state for India, he had followed the advice of the Council in Calcutta and refused to intervene in the early stages of a deadly famine in Orissa. "I did nothing for two months," he later confessed. "Before that time the monsoon had closed the ports of Orissa — help was impossible — and — it is said — a million people died. The Governments of India and Bengal had taken in effect no precautions whatever.... I never could feel that I was free from all blame for the result." Accordingly, he harbored a lifelong distrust of officials who "worshipped political economy as a sort of `fetish'" as well as Englishmen in India who accepted "famine as a salutary cure for over-population." Yet, whatever his private misgivings, Salisbury had urged appointment of the laissez-faire fanatic Lytton and publicly congratulated Disraeli for repudiating "the growing idea that England ought to pay tribute to India for having conquered her." Indeed, when his own advisers later protested the repeal of cotton duties in the face of the fiscal emergency of the famine, Salisbury denounced as a "species of International Communism" the idea "that a rich Britain should consent to penalize her trade for the sake of a poor India."

        Like other architects of the Victorian Raj, Salisbury was terrified of setting any precedent for the permanent maintenance of the Indian poor. As the Calcutta Review pointed out in 1877, "In India there is no legal provision made for the poor, either in British territory, or in the native states; [although] the need for it is said by medical men and others, to be exceedingly great." Both Calcutta and London feared that "enthusiastic prodigality" like Buckingham's would become a trojan horse for an Indian Poor Law. In its final report, the Famine Commission of 1878-80 approvingly underscored Lord Lytton's skinflint reasoning: "The doctrine that in time of famine the poor are entitled to demand relief ... would probably lead to the doctrine that they are entitled to such relief at all times, and thus the foundation would be laid of a system of general poor relief, which we cannot contemplate without serious apprehension...." None of the principal players on either side of the House of Commons disagreed with the supreme principle that India was to be governed as a revenue plantation, not an almshouse.

    The `Temple Wage' 
    Over the next year, the gathering horror of the drought-famine spread from the Madras Presidency through Mysore, the Bombay Deccan and eventually into the North Western Provinces. The crop losses in many districts of the Deccan plateau and Tamilnad plains (see Table 1.2) were nothing short of catastrophic. Ryots in district after district sold their "bullocks, field implements, the thatch of the roofs, the frames of their doors and windows" to survive the terrible first year of the drought. Without essential means of production, however, they were unable to take advantage of the little rain that fell in April-May 1877 to sow emergency crops of rape and cumboo. As a result they died in their myriads in August and September.

        Millions more had reached the stage of acute malnutrition, characterized by hunger edema and anemia, that modern health workers call skeletonization. Village officers wrote to their superiors from Nellore and other ravaged districts of the Madras Deccan that the only well-fed part of the local population were the pariah dogs, "fat as sheep," that feasted on the bodies of dead children:

    [A]fter a couple of minutes' search, I came upon two dogs worrying over the body of a girl about eight years old. They had newly attacked it, and had only torn one of the legs a little, but the corpse was so enormously bloated that it was only from the total length of the figure one could tell it was a child's. The sight and smell of the locality were so revolting, and the dogs so dangerous, that I did not stay to look for a second body; but I saw two skulls and a backbone which had been freshly picked.

    Officials, however, were not eager to share such horrors with the English or educated Indian publics, and the vernacular press charged that starvation deaths were being deliberately misreported as cholera or dysentery mortality in order to disguise the true magnitude of the famine.

        Conditions were equally desperate across the linguistic and administrative boundary in the Bombay Deccan. Almost two-thirds of the harvest was lost in nine Maharashtran districts affecting 8 million people, with virtually no crop at all in Sholapur and Kaladgi. The disaster befell a peasantry already ground down by exorbitant taxation and extortionate debt. In the Ahmednagar region officials reported that no less than three-fifths of the peasantry was "hopelessly indebted," while in Sholapur the district officer had warned his superiors in May 1875: "I see no reason to doubt the fact stated to me by many apparently trustworthy witnesses and which my own personal observation confirms, that in many cases the assessments are only paid by selling ornaments or cattle." (As Jairus Banaji comments, "A household without cattle was a household on the verge of extinction.") Ahmednagar with Poona had been the center of the famous Deccan Riots in May-June 1875, when ryots beat up moneylenders and destroyed debt records....

    ....MUCH MORE

    And the review by Mr. Sen: 

    Apocalypse Then

    The little-known story of drought, famine and pestilence that killed millions at the turn of the last century. 

    Most recently on the Monsoon:

    May 29 - "India forecasts monsoon rains at 11-year low in 2026, fanning inflation risk" (90% of average forecast)

    May 15 - Agriculture: "Monsoon rains to hit southern Indian coast early, spurring crop planting"

    It is hard/impossible to overstate just how important* the monsoon is....

    And as noted exiting May 2025's "Can India use AI to predict extreme weather events?":

    ....On a much more serious note, the December 2000 book  Late Victorian holocausts : El Niño famines and the making of the third world examines how the crop failures combined with British administrative mismanagement resulted in the deaths of some 60 million people.

    The fact is that since the 1866 -1869 famines in Sweden and Finland famine is a political decision or lack of decision. The technology exists to move food to where it is needed.

    Actually, in many respects the Irish famine years of the 1840's, two decades earlier,  were the first of the political famines.

    *How important? June 2018:

    India to Build Supercomputer To Better Forecast Monsoon
    Complex chaotic systems are some of the toughest things for the human mind to understand and one of the biggest challenges for model makers. (another of the big challenges is model makers recognizing their own biases)

    On a related subject, the current trend in supercomputer construction is to use a combination of CPUs and GPUs connected by superfast links which puts the Graphics Processing Unit manufacturers such as NVIDIA in an enviable position. Both the planned-to-be-fastest-in-the-world 'puter at Oak Ridge and the current 2nd fastest at ORNL use this approach as does the just upgraded Swiss machine (7th fastest)....
    Also July 2009's "Naked girls and gold demand". 
    A failure of the rainy phase of the monsoon cycle combined with crop failures in any one of the world's breadbaskets, Australia, Brazil, Canada, USA, Ukraine would lead to higher prices if it lasted one year, malnutrition if the combination lasted two years and outright starvation if it got to three growing seasons. 

    On the other hand a rainy season that is too intense can kill thousands/tens of thousands across south Asia.

    "Apollo chief economist says ‘China Shock 2.0 is here’ as new wave of Chinese technology floods global markets—and it’s bad news for American companies"

    不战而屈人之兵,善之善者也
    "To subdue the enemy's troops without fighting is the highest of the high"
    —The most famous statement by Sun Tzu in The Art of War*

    From Fortune Magazine:

    China’s first multi-decade disruption to the U.S. market was easy to spot: exports of cheap clothes, furniture and electronics pouring in and the hollowing out of parts of the American manufacturing base. But the second is more subtle, comes with more ramifications for U.S. companies, and seems to have arrived. 

    “China Shock 2.0 is here,” Torsten Slok, chief economist at Apollo Global Management, wrote in a note on Friday. He argued that this time, China is increasingly exporting the kinds of products that advanced economies once expected to dominate domestically, namely: EVs, semiconductors and other high-tech goods.

    China’s exports rose 24% in July, slowing slightly from the month before but propped up by increased demand for EVs and electronics, with high-tech exports surging nearly 41% in the January-July period from a year before, just as semiconductor exports doubled

    This means that the concern for companies now isn’t just that China is manufacturing cheaper goods, but that it’s competing with the U.S. in higher-value industries. This could threaten American companies even as consumers are less exposed to Chinese products and tech because of tariffs. 

    China Shock 1.0 was on Walmart shelves, and the new one is in tech

    Slok is not alone. Federal Reserve economists penned a note in May with a similar “China Shock 2.0” theme, finding that the products driving China’s export boom changed from labor-intensive goods in the early 2000s to capital- and tech-intensive industries now.

    “Taken together, these elements suggest that “China Shock 2.0” is not simply a continuation of earlier trends, but a new phase of global trade integration,” they wrote. 

    Slok himself referenced Brad Setser, a CFR senior fellow and former U.S. Trade Representative adviser widely credited with coining “China Shock 2.0.” Setser’s the one who first flagged that this round is different: China now controls the cutting-edge production itself, so there’s no cheaper country left to offshore to, and shrinking Chinese import demand means the export surplus just floods everyone else.

    Electric vehicles are perhaps the clearest example. BYD surpassed Tesla as the world’s largest seller of fully electric vehicles in 2025, delivering 2.26 million battery-electric cars compared with Tesla’s 1.6 million. Ford CEO Jim Farley also called BYD the “best in the business” on cost, supply chains, manufacturing and IP.

    What also distinguishes the second shock from the first is the new trade relationship China has with other countries. During China’s first export boom, Chinese factories often imported parts, assembled the finished product and shipped it abroad. This made it so that even as Chinese exports surged, manufacturers abroad could still benefit by supplying components.

    Now, the Fed economists found that China is increasingly making those inputs itself, meaning that as China has exported more, it also began to import manufactured goods less....

    ....MUCH MORE 

    At the Federal Reserve Board, FEDS Notes, May 29 2926:

    China shock 2.0: How China’s ongoing export surge differs from the early 2000s 

    China's accession to the World Trade Organization in 2001 marked the beginning of one of the most consequential episodes in the history of global trade. The subsequent surge in Chinese exports–often referred to as the "China Shock"–has been widely associated with large adjustments in production patterns, labor markets, and trade balances across the global economy (Autor et al. 2016; Pierce and Schott 2016)..... 

    *不战而屈人之兵,善之善者也 (Bù zhàn ér qū rén zhī bīng, shàn zhī shàn zhě yě) 

    — "To subdue the enemy's troops without fighting is the highest of the high." Literal translation: Not war yet subdue another's soldiers, [is] good of good — Sun Tzu's principle of winning without combat. Chapter 3 of The Art of War. Sun Tzu's most quoted principle: the best victory is the one where no battle takes place. Fighting is costly, risky, and destructive even when you win. The supreme strategist wins by causing the opponent to yield without combat — through positioning, deterrence, psychological pressure, or diplomatic isolation. Used when Quoted as the gold standard of strategy — winning without the costs of combat. Used in business (market dominance without price wars), diplomacy (achieving objectives without military engagement), and conflict resolution (defusing disputes before they escalate).

    Chinese Proverbs Hub 

    Saturday, August 29, 2026

    "Blue-Collar Jobs Are the New Flashpoint in Data-Center Fight"

    These are very good, very high paying ($80K to $240K per year plus gold-plated pension/medical/vacation time etc. benefits) jobs and the trades unions are not playing around.

    From the Wall Street Journal, August 28:

    Trade unions threaten to withhold support for politicians, joining the building backlash

    Much of the public outcry over data-center construction has centered on electricity costs, water consumption and noise. Now, a new battlefront is opening up over jobs, too.

    Call it the backlash to the backlash: Nationwide resistance to the construction has grown so broad that politicians on both sides of the aisle have halted approvals or tightened oversight as midterm elections approach. Unions and construction trade groups are now entering the fray from the other side, warning that such actions endanger thousands of building-related jobs. They are threatening to withhold support of candidates opposing the data-center projects.

    In some cases, these groups are breaking with longtime political allies to support those who back construction. In a memo circulated to members and viewed by The Wall Street Journal, the Steamfitters UA Local 602, whose members install mechanical piping systems in Virginia, Maryland and Washington, D.C., wrote that it is drawing a “clear line” and won’t support politicians who oppose the facilities. “This is an existential moment for Local 602,” it said.

    In Kansas, a union representing HVAC and railroad workers broke from decades of precedent to endorse Republican state Sen. Ty Masterson for governor, in part because of the Democratic candidate’s opposition to the construction. In some cases, the unions are working alongside companies building data centers and running artificial-intelligence models in their advocacy.

    Sidney Bonilla, treasurer and business manager of Steamfitters UA Local 602, said his members knock on doors for candidates and help finance campaigns. Though the union has historically tended to back Democrats, Bonilla said those dollars and organizational support are on the line.

    The union will scrutinize politicians’ records on the data-center issue before offering support, he said, and he expects other unions to follow suit. “We are dependent on these jobs,” he said.

    The union support is a welcome development for data-center companies, which are now contending with a slowdown in approvals for new construction. The build-out is key for AI companies such as OpenAI and Anthropic to support more powerful models and meet growth targets, and it has become a major economic driver

    All of that has made for tricky political terrain ahead of midterm elections. In Wisconsin, Democratic gubernatorial candidate David Crowley, the son of an electrician, has won support from some building trade unions and been attacked by Republican Rep. Tom Tiffany for being in the pocket of labor groups and the companies building data centers. Crowley has supported some restrictions on data centers but stopped short of backing a ban or pause.

    In other races, Democrats have criticized their opponents for supporting the data-center boom. Some Republicans are adopting the tactic, even if they previously supported the facilities and their economic benefits.

    “You’re not a friend if you’re taking away great career opportunities,” said Don Slaiman, political coordinator of IBEW Local 26, a union representing electricians in Washington, Maryland and Virginia. Many of the jobs pay good wages with benefits, he said. “This is a once-in-a-generation opportunity to really get in the upper-middle class.”....

    ....MUCH MORE 

    Meanwhile, Axios (among others) is reporting (August 28):

    China is secretly fueling America's data center rage 

    I don't know if that is true, a lot of the pressure groups and their funders say it's not, but to repurpose a paraphrase from a July post:

    As Clausewitz might have said, had he been born 200 years later than he actually was:

    Chips are AI is just war by other means. 
    I know. It's a paraphrase/misquote. But work with me here. And have some Clausewitz for being so patient:

    The Softer Side Of Clausewitz 

    https://upload.wikimedia.org/wikipedia/commons/a/a0/Clausewitz.jpg