US Govt Plans to Crush Anti-AI ‘Extremism’

New documents from U.S. government agencies such as the F.B.I. and Department of Homeland Security show that Washington is preparing for widespread anti-A.I. riots, as the technology destroys communities and industries across the country.

Ironically, the Trump administration is already using invasive A.I. technology to identify and suppress what it calls anti-A.I. “extremists,” and in the process, sweeping the entire nation into its massive surveillance dragnet. 

More than 1,000 pages of leaked documents reviewed by WIRED Magazine show that government agencies are anticipating a huge wave of domestic unrest in the coming years, as artificial intelligence upends American society. Automation-related job losses could shatter entire industries, while the building of gigantic data centers will remove water and electricity from public use, ramping up the price of what little remains. 

As one report from the New York Intelligence and Counterterrorism Bureau, [a division of the New York City Police Department], notes: 

“The chaotic atmosphere that may result from emergent A.I. technology in the next five years may fuel large-scale protests that devolve into civil unrest and anti-tech violent extremist activity, especially in large urban areas such as New York City.”

An Environmental & Health Catastrophe 

Last year, the tech industry collectively spent around half a trillion dollars on the construction of new data centers. These buildings consume near insatiable amounts of energy and water. By 2030, they are expected to represent around 12 percent of total U.S. electricity consumption. One large data center consumes up to 5 million gallons of water per day — as much as a small city. It has been calculated that a single 100-word A.I. prompt to a chatbot like Claude or ChatGPT uses over half a liter of water, equivalent to one bottle.  

When a data center moves into town, utility prices skyrocket. In this situation, wholesale electricity, for example, jumps by up to 267 percent. Ordinary Americans cannot compete with the likes of Amazon or Microsoft, and can be priced out of even the most basic necessities of life, causing widespread resentment. 

Living near a data center can also be hazardous to human health. Thanks to the low-frequency noises they produce, residents often report chronic symptoms such as insomnia, vertigo and nausea. Worse still, to meet their enormous energy demands, data centers often rely on gas or diesel generators, which emit high levels of nitrogen oxides, fine particular matter and so-called “forever chemicals” into the air, further complicating the situation.

A.I. will also have a profound effect on employment. Goldman Sachs predicts that, over the next decade, 300 million jobs could be lost to A.I.-based automation. Sam Altman, CEO of ChatGPT’s parent company, OpenAI, has suggested that whole industries may be replaced by his product. “Entire classes of jobs will go away and not come back,” he confidently stated in 2019. Facing growing public anger, last month, he walked those statements back, assuring the public that there would be no “jobs apocalypse.”

But if these predictions are anything close to correct, it will cause massive economic disruption across America, and send towns and entire cities dependent on certain types of work into potentially permanent depressions. The latest news that Washington is preparing to treat this unrest as akin to terrorism should be of great concern to all Americans. 

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Google’s New AI-Fueled Search Bar Threatens to Further Upend Journalism Industry

Google made an announcement last month that could turn the journalism world upside down, accelerating the internet’s shift toward an overwhelmingly AI-driven landscape and serving the Trump agenda of media suppression.

At its developer conference in May, the company announced the most disruptive changes to Google Search in over 25 years. Google Search will further demote its index of the web — a list of links that information-seekers can explore as they choose. Instead of prominently displaying links, it will increasingly become a destination that answers questions directly through AI, linking only to the sources it decides to reference in its overview. On the majority of our tests, the AI overview was followed by a heavy block of sponsored results and a combination of videos, short clips, trending posts, and discussions. Index links — for example, to articles on news sites and research studies — were given only a small fraction of real estate. Additionally, Google is aggressively pushing readers to use AI Mode, which completely removes the index links.

In practical terms, this means users of the world’s largest search engine will see, in response to their queries, a summary generated by an AI bot developed by a corporate behemoth with close ties to the Trump White House.

This seismic move builds upon the launches of AI Overview in 2024 and AI Mode in 2025, shifting toward nearly eliminating the user’s ability to search autonomously, and toward an overwhelmingly AI-driven experience of the internet (and therefore, for many people, of life).

We must take into account the political context in which this shift transpires. Alphabet (Google’s parent company), along with Facebook’s parent company (Meta), as well as Amazon, Apple, Microsoft, and Nvidia, were among major tech companies that donated to President Donald Trump’s inauguration. They have also consistently capitulated to Trump’s recent manipulations.

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UK police officer uses AI to create evidence in multiple criminal cases

Law enforcement agencies across the world have rushed to integrate AI into their investigations, promising faster arrests and higher case closure rates. The rising number of wrongful arrests attributed to AI facial recognition systems, however, tells another story: that speed and accuracy are two entirely different things.

But while false arrests due to facial recognition software can easily be blamed on glitchy technology, an even more disturbing pattern is starting to emerge, as AI-wielding officers don’t just misidentify suspects, but use the technology to fabricate evidence.

Over the weekend, the BBC reported that officials in Derbyshire County, England, are investigating one law enforcement officer who’s alleged to have used generative AI to “create evidential material in a number of cases.”

The yet-unnamed officer has not been arrested, but has been suspended from duty pending the outcome of the investigation, which is reportedly being undertaken by Derbyshire police and the Crown Prosecution Service.

“A criminal investigation has been launched into an allegation of perverting the course of justice after the alleged use of AI systems by an officer to create evidential material in a number of cases,” a Derbyshire police spokesperson told the Financial Times.

It’s the first case of its kind in the UK, coming days after the country’s brand-new national PoliceAI centre issued guidance advising officers to stop using generative AI to prepare court statements due to the tech’s tendency to hallucinate answers.

“We’ve said to some police forces, ‘you can’t do that, because we haven’t gone through all the checks and balances’,” Alex Murray, head of the PoliceAI centre, told the Financial Times in an interview. “We need to slow it down a bit.”

While AI hallucinations have indeed found their way into police reports due to laziness – like the case of Utah police whose report claimed an officer transformed into a frog – the seriousness of the Derbyshire investigation suggests that’s unlikely to be the case here.

If anything, it sounds more like the Maine cops who were caught last year posting photographs of a “drug bust” that had clearly been tampered with using generative AI.

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‘The intelligent age is replacing our cognitive capabilities with AI’: WEF founder Klaus Schwab

If intelligence were to become a utility billed on a meter, then the intelligent age would only benefit the elite and those who could afford it: perspective

The intelligent age is replacing our cognitive capabilities with AI, and universities should prioritize teaching students how to capably use technology over teaching actual knowledge, according to WEF founder Klaus Schwab.

Livestreaming today at the University of Johannesburg in South Africa, Schwab spoke at length about what he calls ‘the intelligent age” and what it means for jobs, students, and humanity.

Comparing previous industrial revolutions to the so-called intelligent age, the grand architect of the great reset agenda said that our thinking abilities were now being delegated to artificial intelligence.

“What is the Intelligent Age doing? It is replacing our cognitive capabilities by algorithm, or by what we call our artificial intelligence”Klaus Schwab, The Intelligent Age and the Responsibility of African Leadership, May 2026

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Josh Hawley Warns that AI Is an Existential Threat that Risks Turning Humans into ‘Raw Material’

Sen. Josh Hawley (R-MO) warns that AI will reshape society by accelerating a major winner-take-all type of inequality. The senator also described AI as an existential test for America’s founding “moral covenant” that risks turning humans into “raw material” and children into victims.

“Artificial intelligence is testing our commitment to the great moral covenant that binds us together as a nation,” Hawley began in an op-ed for First Things, titled, “The American Covenant’s Answer to AI.”

Hawley then elaborated on the moral stakes of AI, adding, “The decisions we must soon make about the most powerful technology of our lifetimes are among the most difficult we have yet faced. These decisions go far beyond questions of economics or policy.”

“They are questions of labor and the family, of freedom and the value of human life. They are fundamental questions of our identity as Americans and the nature of this republic given to us by God,” Hawley wrote.

“We do not have to imagine the stakes,” the senator continued, before diving into what he described as a “K-shaped” society, which he believes is the result of AI’s social impact. “We are watching a handful of companies assemble a concentration of capital, information, and political power without precedent in the American experience,” Hawley pointed out.

Hawley explains that the upper arm of the K represents the developers, executives, and investors of AI firms, while the lower arm of the K represents blue collar workers, professionals like paralegals, and fresh grads.

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Domesticating AI – It’s Not Coming, It’s Already Here

During a recent conversation with a diving buddy, he pulled out his phone mid conversation and said “Hey Grok, show me that dive computer we were talking about this morning.” And yes, it’s $580 worth of gorgeous.

Its translation abilities are spectacular, and occasionally hilarious. It really is the Babel fish. Not that long ago I moved to a bank simply because it supported Apple Pay years before the big players. At that time, paying with just the tap of a wrist always garnered astonishment and commentary. Around the same time, voice assistants started crossing the line from novelty to genuinely useful. Set a timer, make an appointment, play some music. Super!

“Alexa, turn the kitchen light on.” Light comes on. “No, turn it off.” “There is no device called ‘it’ to turn off.” Oof!

No memory, no context.

Enter Nabu (yes I know, I haven’t got round to changing the wakeword name yet). Naby knows it turned the kitchen light on, and knows I was referring to the kitchen light when I said “turn it off.” It remembers, it has context, because it’s not just a dumb voice assistant anymore, it is plumbed into my local AI.

The big commercial AI platforms can be connected to these systems, but running it locally means the data stays within the boundaries of my house. It won’t process that mountain of documents or win that tricky legal case yet, but it can keep track of the state of my home and understand what I mean when I speak naturally.

That’s a big deal – because now I don’t have to write and memorize tiresome automations for rigid pre-programmed commands, I can converse with Nabu in human and it understands “all the lights” or “just the downstairs aircons.”

Only five years ago, running an AI model at home was a ridiculous proposition – you’d need datacenter hardware and a tech-bro budget. Now, it’s dramatically cheaper and easier – with consumer GPUs, mini PCs, Ollama and Hugging Face, technically curious people are quietly building surprisingly capable AI systems at home. The GPU that I can hold in my hands doesn’t compete with a datacenter the size of several football fields – but for my homelab tinkerings, it’s surprisingly capable, and is only becoming more so.

I should probably backtrack a little here – I’m enthusing about Home Assistant, which I’ve been running for about 12 years – originally on a Raspberry Pi, now in a VM on ProxmoxVE. Sensors and controllers are scattered all over the house, with a dashboard in a browser acting as mission control. Lights automated with timers and presence detectors. Sun elevation adjusts blinds, curtains react to sunrise and sunset, and moisture sensors trigger irrigation on demand. Solar and battery systems respond to dynamic electricity pricing, buying and selling power depending on what the grid is doing.

Home Assistant proclaimed 2023 to be the Year of the Voice and duly launched a prototype Voice Assistant. At launch, its capabilities were limited. Today, it is genuinely good at a variety of tasks, and it’s all open source so you can build your own device from very inexpensive hardware, and the software is on GitHub.

Local models – Llama, Gemma, Mistral, Qwen – very much lag behind the giant commercial systems, but for experimentation, home automation, and general day-to-day interaction, they’re becoming more and more usable. I personally care about data sovereignty (a huge topic in its own right), so running a local AI grants me a more privacy-conscious workflow, and it still works when the internet doesn’t.

Quite how many months of commercial AI subscriptions I could have got for the price of my GPU is a question I’m deliberately avoiding, predominantly for marital reasons. I rather think of myself as a data nerd. All those sensors collecting all that data in a “If this, then that” environment makes for endless tinkering possibilities. And with an AI-powered Nabu gradually replacing Alexa, my office edges ever closer to Tony Stark’s lair. We’re no longer at “deploying Kubernetes clusters” level of difficulty, but it’s still very much a tinkerer’s space rather than a mainstream consumer appliance. Even so, it feels like a taste of where we’re heading.

The strange thing is how quickly this all stops feeling strange. Talking naturally to an AI that understands context, remembers previous conversations and controls my house may have garnered astonishment and commentary. Now, it’s just another thing sitting quietly in my server rack.

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Anthropic Accused In Lawsuit Of Lying About $200 Per Month ’20x’ Plan

A federal class-action lawsuit filed Monday accuses Anthropic of misleading customers about the real usage limits on its high-end Claude AI subscriptions. The suit, brought on behalf of Washington D.C. subscriber Karl Kahn and others who bought the Max 5x and Max 20x plans since April 2025, claims the company oversold how much computing power buyers would actually receive.

The lawsuit – filed Monday in the Northern District of California on behalf of Washington DC resident Karl Kahn and others who subscribed to the plans since April 2025 – targets Anthropic’s Max 5x and Max 20x tiers priced at $100 and $200 per month respectively. It accuses the company of misleading customers by advertising these plans as providing five and twenty times the usage capacity of the standard Pro subscription, when in reality the actual limits fall well short of those claims. The allegations draw heavily from emails Anthropic sent to subscribers in July 2025 that outlined the expected weekly usage allowances for each tier at the time.

According to the complaint, Kahn upgraded to the Max 20x plan in April of this year after increasing his reliance on Claude for coding work. He soon discovered he was exhausting his weekly limits rapidly, including burning through 15 percent of his allowance during a single five-hour session. The suit seeks refunds for affected customers and a judicial finding that Anthropic’s marketing of the high-tier plans was fraudulent.

Allegations

Kahn initially used Claude for personal tasks but later relied on it heavily for coding. After upgrading, he repeatedly hit usage walls and had to stop work, ration prompts, or buy extra credits to finish projects, according to the complaint. The lawsuit says the actual limits are difficult to predict and consistently lower than what was promised when the plans were marketed as giving five or twenty times the capacity of the standard Pro subscription.

“The actual usage provided by the Max 5x and Max 20x plans is far below the advertised amount of usage,” reads the lawsuit, that claims Kahn “found himself needing either to halt his work, ration his usage, or purchase additional usage to ensure that he could complete his work.” 

Anthropic has not commented on the suit, according to the Wall Street Journal. The company offers free access plus paid tiers, with the Pro plan running $17 to $20 a month. The higher Max plans were positioned for power users needing substantially more compute.

This lawsuit arrives amid mounting frustration with AI subscriptions and tokenomics. Power users and even large enterprises have complained for months about unpredictable rate limits, especially on coding workflows – with several documented cases of extreme overspending, including one unnamed Anthropic client (Amazon?) that racked up roughly $500 million in Claude charges in a single month after failing to cap employee usage.

Compute scarcity remains a core issue across the sector. A surge in demand earlier this year strained systems at Anthropic and rivals, producing outages and tighter limits even for paying customers. At the same time, companies are racing to launch new models ahead of expected IPOs while navigating new government restrictions. Days before this suit, the Trump administration banned foreign governments, companies, and individuals from accessing Anthropic’s most powerful models after Amazon discovered a way to jailbreak the company’s Fable AI into its unrestricted form – Mythos, forcing the company to shut off certain access to comply.

On Sunday, Anthropic execs scrambled to DC to triage the situation. 

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Space: The Now Frontier And The AI Revolution

After last Friday’s extreme move (More Than Rates Moving Markets) we had a relatively tame week with the S&P and Nasdaq both gaining around 0.7%, but neither getting back to their highs of the week, set on Tuesday. Yields drifted moderately lower on the week, primarily on the back of steep declines in the price of oil (though I do feel the need to point out the Jan 2027 WTI contract, which I’ve been focusing on, is still at $76.1, barely one dollar lower than where it closed last Friday – I remain in the higher for longer camp). Credit spreads remain firm and the asset class remains “boring” which is a good thing! 

Now let’s address two bigger picture issues that have been taking up a lot of time during recent client calls and visits. Space and AI. 

Space: The Now Frontier 

Space: The Final Frontier still gives me the chills! The excitement of exploration! The IPO of SpaceX and all the discussion it has created has brought back that feeling. 

A colony of 1 million people on Mars! I love the concept! I have 0 opinion on whether the number of shares that Musk gets for achieving that target is the right number, but I love having that concept out there. 

Think big:! This concept floating around, and now documented into Wall Street, excites me. On the back of Artemis II and the planned lunar landings, there is a lot of potential for new discoveries. 

On a more practical (or near-term outlook) it can lead to AI and Data Centers in space. New sources of energy and potentially other materials. 

But there are also important National Security elements that are gaining more attention. 

Many members of Academy’s Geopolitical Intelligence Group lament that we have been “soft” on space. That we have ignored the real dangers to national security by not focusing on space as much as we need to. While the Space Force was a step in the right direction, many argue that we are behind (some might argue woefully behind) where we should be in terms of ensuring that space is safe and our interests are protected! 

At the simple and on the not controversial end of the spectrum, is “space junk.” The debris in orbit is increasing. While not currently posing a risk, it is something that should be addressed better than it has been. 

What about GPS and communications? I’m not sure that I could walk to the corner store without using some map app. The working assumption that “no one is interested in disrupting GPS” may be naïve? While at least 95% of communication remains “terrestrial” (fiber optic cables, undersea cables, cell towers, etc.) space will become increasingly important to communications. While it might not be “mission critical” to protect the communications equipment in space today, it could be.

Who will control discoveries? 

Let’s say we find some vital resources on the moon (seems the most likely “surprise” that could occur in the near future). Who will control that material? 

  • At best, the discoverer and those with the capabilities to take advantage of such material.  
  • At worst, might is right. 

We expect this administration, and future administrations, will spend more on space to support National Security. This is a bipartisan issue as we think about the myriad of possibilities for space. Not just the good and altruistic possibilities, but also about the risk that some other country doesn’t share such a cooperative spirit about the future of space. 

This is by no means, “closing the barn door after the horses have run out,” but it is something that deserves more serious attention and money going forward.  

The national security elements are in addition to the commercial opportunities that will be funded as corporations rush to harness the potential! 

If waking up to a $2.1 trillion market cap (and the first trillionaire) doesn’t motivate entrepreneurial and capitalistic spirits, then I should just give up this job, because it would go against everything I understand about capitalism! 

Space may be the “final frontier” but it is also the “now” frontier, which is incredibly exciting! 

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AI’s Core Flaw: “Mass Regurgitation Of Misinformation”

I approach all AI topics with several things in mind. One is the nature of problems, which implicitly define what qualifies as solutions, and the resulting incentive to define the “problem” such that the “solution” happens to be the one we own and control.

So the “problem” AI solves is “corporate profits are too low,” and so the “solution” is to replace costly human labor (made costlier by SickCare insurance and taxes on labor) with “cheaper” AI (cheaper because the full costs are hidden or subsidized).

My other lens: the economic, social and cultural consequences of AI as it is and AI hype, a topic I’ve explored most recently in Is AI Reversing Anti-Progress or Is It Accelerating It?, AI Data Centers Are Not the Railroads of Today and Inequality, AI and Digital Life Are Undermining Society.

Correspondent Mike Fasano recently submitted a succinct and telling summary of AI’s insurmountable structural flaw: AI’s inability to discern the difference between truth and falsehood, be it intentional misdirection / misinformation or errors generated by AI hallucinations, a systemic flaw which he summarized as mass regurgitation of misinformation:

*           *           *

“I read you post on AI and railroads. Here is another observation.

So far, AI has only regurgitative intelligence. It–at best–can collate and respond to queries on masses of acquired data.

But what if that data is wrong?

Who now believes the inflation or unemployment statistics? Virtually every human knows that those statistics are false.

Does AI know that?

And the problem goes much deeper.

The former editor of the New England Journal of Medicine, Marcia Angell, noted:

‘It is simply no longer possible to believe much of the clinical research that is published, or to rely on the judgment of trusted physicians or authoritative medical guidelines. I take no pleasure in this conclusion, which I reached slowly and reluctantly over my two decades as an editor of the New England Journal of Medicine.’

That being the case, can we rely up AI medical advice?

And that problem goes beyond medicine. It is now generally conceded that the inability to replicate scientific studies of any type has give rise to a ‘replicability crisis’ in science. Can we trust ‘science’ that cannot be proven to be accurate?

Any adult past the age of 40 knows that the above listing of questionable information sources is just the tip of the iceberg. We live in a sea of ‘official’ but false data.

Railroads could transport grain to cities, minerals to factories, manufactured goods to those needing those goods. That served a public purpose.

But what is the use of the mass regurgitation of misinformation? And is anyone subtracting the losses engendered by the utilization of inaccurate information from GDP?”

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Humanoid Warbot Live-Fires Mortars At Vegas Test Range

It is not just one-way attack drones (read JPMorgan report) operating on AI-enabled kill chains that human soldiers have to worry about on the modern battlefield. We have been laying out this story and were among the first to point out that humanoid robots are not only entering factory floors and warehouses, but are also moving toward the battlefield.

San Francisco-based robotics company Foundation Future Industries is developing a “dual-use” humanoid robot called the “Phantom MK1,” designed for heavy manufacturing, logistics, and the military.

The defense angle for the Phantom MK1 is quite simple: replace the human soldier with the robot for close-quarters battle (CQB) operations, including breaching and room-clearing support.

Beyond CQB, a never-before-seen video now shows the Phantom MK1 operating a mobile light mortar system during a live-fire training exercise in Las Vegas, Nevada.

To better understand the Foundation’s position, we reached out for comment. The company responded with the following statement:

The US military has backed Foundation in over $73M on grants and contracts to develop their robot to this point.

Although many of the use cases they’ve worked on have been logistics-focused, the ultimate goal has always been kinetic use cases. 

Although drones and UGVs have been promising new robots on the Ukrainian battlefield, humanoids are the only robot being built that promises to interact with the entire fleet and arsenal of human weapons and vehicles. 

Launching mortars and soon breaching doors have become near-term proofs of humanoids moving from logistics to kinetic engagements. 

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