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Does Elon Musk’s new political party need its own Donald Trump? | Technology
Hello, and welcome to TechScape. This week in tech news, Elon Musk and Donald Trump are back at it, warring over the passage of the president’s sweeping tax bill and the Tesla CEO’s threat to create a third political party. Whether the richest person in the world is successful in those efforts will largely depend on the recruitment of another star politician. In other news, we want to know if you use generative artificial intelligence to write your personal messages – in what circumstances, and how often? Email tech.editorial@theguardian.com to let us know.
Elon Musk needs another Donald Trump
Elon Musk and Donald Trump have reignited their feud after the passage of the president’s sweeping tax bill on 3 July. Musk has been campaigning (tweeting) against the “abomination” of legislation for weeks, which passed in spite of him. Division over the bill was the cause of their initial breakup in early June.
Musk has threatened to start a new centrist political party, and over the weekend, he made signs that he would follow through on his ultimatums to create “The America Party”. Trump responded with a lengthy post on Truth Social calling Musk a “TRAIN WRECK” that had gone “off the rails” and saying that third parties had never succeeded in the US, so Musk’s idea was “ridiculous”. Tesla’s share price fell sharply in response to the news.
What would Musk’s America party do besides troll Democrats and Republicans? Likely try to primary Republicans who voted for the bill.
From my colleague Ramon Antonio Vargas:
The new party that Elon Musk has boasted about bankrolling could initially focus on a handful of attainable House and Senate seats while striving to be the decisive vote on major issues amid the thin margins in Congress. Musk tweeted that one way to achieve his political goals would be to “laser-focus on just 2 or 3 Senate seats and 8 to 10 House districts”.
Would Musk himself become a candidate? Unlikely. He has promised to return his focus to his many companies, though his most recent tweets indicate otherwise. What Musk needs to make his part a reality is another Donald Trump, a superstar aligned with him whom he can douse with money.
His function in politics is that of an ATM
The Wisconsin supreme court election in early April demonstrated that Musk himself is not personally popular. After appearing on stage and handing out million-dollar checks, he watched his preferred candidate lose handily. His function in politics is that of an ATM. He is, after all, the richest person in the world, even though Tesla’s market capitalization has taken a beating since he appeared in Washington.
Since Musk himself is an ineffective electioneer, the success of his new political party will depend on an undeniable star like Trump, another titanic force. He needs a conduit who can channel his donations into a charming and effective campaign.
So far, there doesn’t seem to be one. Trump’s grip on the Republican party is tight, and he runs an operation that enacts swift and pitiless retribution on anyone who expresses enough disloyalty, including Musk. The risk of defecting from Trump’s party and joining Musk’s quixotic centrist quest is high. The only people who do want to see a new party form are the chaos-hungry voters on X, who told Musk by a considerable margin in a poll last week he ran that he should do it. Few of them, if any, are running for office, though. I suspect they just want the most fractious outcome, which may become our collective fate.
A moment of odd and coincidental timing: Sam Altman, CEO of OpenAI, picked this weekend to say that he feels “politically homeless”. Musk has given the same assessment of his own political position. These two Silicon Valley heavyweights hate each other, an acrimony evident in Musk’s lengthy legal fight to stop OpenAI’s planned conversion from a non-profit to a for-profit enterprise. Despite their enmity, though, they voiced this same idea at the same time.
Musk and Altman have cultivated starkly different public personae. Where Musk is loud online, Altman is reserved. Where Musk is brash, Altman is calculated. Where Musk has swerved to the political right, Altman has attempted to play both sides of the aisle. But Altman’s sentiments, concurrent and concurring with Musk’s, perhaps offer an explanation for how these two could have worked together to found OpenAI together in 2015. After all, if their stock portfolios are any indication they both believe in “the compounding magic of capitalism”, as Altman put it.
Do you use AI to write your texts?
Last week, we published a story about people who use generative artificial intelligence to write their personal messages. AI is proliferating in offices with promises of productivity gains. As we grow more comfortable with it at work, though, it’s also seeping into our personal lives.
My colleague Adrienne Matei reports:
Earlier this spring, Nik Vassev heard a high school friend’s mother had died. Vassev, a 32-year-old tech entrepreneur in Vancouver, Canada, opened up Claude AI, Anthropic’s artificial intelligence chatbot.
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Claude helped Vassev craft a note. Thanks to the message, Vassev’s friend opened up about their grief. But Vassev never revealed that AI was involved. People “devalue” writing that is AI-assisted, he acknowledges.
In one 2023 study, 208 adults received a “thoughtful” note from a friend; those who were told the note was written with AI felt less satisfied and “more uncertain about where they stand” with the friend, according to the authors.
Using AI in personal messages is a double gamble: first, that the recipient won’t notice, and second, that they won’t mind. Still, there are arguments for why taking the risk is worthwhile, and why a hint of AI in a Hinge message might not be so bad.
Read the whole story here.
We now have the capability to punch up any message – a more descriptive word here, a more heartfelt tone there – with a snap of a finger. Can AI help us better convey what we mean, eliminating the frustrating barrier of writing that stands between feeling and expression? Or will it desiccate our relationships if we do not force ourselves through the emotions of writing our messages ourselves? Will AI help us connect or allow us to feign connection without putting in the work?
Both the benefits and drawbacks are evident, and some scenarios seem more appropriate than others. Perhaps you would not have sent a birthday card at all if you had not had a personalized message at the ready. One writer for the Atlantic was astounded when Google’s Gemini, which has access to her personal conversations, wrote a sweet and specific birthday card that referenced real moments in her relationship with a good friend. Perhaps you would have ghosted someone without a mechanized speechwriter. The context in which you decide you will use AI to write – or when you disclose that you already have – will make all the difference in its reception.
We want to hear more. AI is influencing our private moments and our intimate connections as well as our professional lives, and we want to know what situations you find it best suited to.
***
Do you use generative AI to write your personal communications?
If you do, email us at tech.editorial@theguardian.com and tell us how and how often. Has it improved your relationships with others or made them more difficult?
The wider TechScape
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Northumbria to roll out new AI platform for staff and students
Northumbria University is to provide its students and staff with access to Claude for Education – a leading AI platform specifically tailored for higher education.
Northumbria will become only the second university in the UK, alongside the London School of Economics and other leading international institutions, to offer Claude for Education as a tool to its university community.
With artificial intelligence rapidly transforming many aspects of our lives, Northumbria’s students and staff will now be provided with free access to many of the tools and skills they will need to succeed in the new global AI-environment.
Claude for Education is a next-generation AI assistant built by Anthropic and trained to be safe, accurate and secure. It provides universities with ethical and transparent access to AI that ensures data security and copyright compliance and acts as a 24/7 study partner for students, designed to guide learning and develop critical thinking rather than providing direct answers.
Known as a UK leader in responsible AI-based research and education, Northumbria University recently launched its Centre for Responsible AI and is leading a multi-million pound UKRI AI Centre for Doctoral Training in Citizen-Centred Artificial Intelligence to train the next generation of leaders in AI development.
Professor Graham Wynn explained: “Today’s students are digitally native and recent data show many use AI routinely. They expect their universities to provide a modern, technology-enhanced education, providing access to AI tools along with clear guidance on the responsible use of AI.
“We know that the availability of secure and ethical AI tools is a significant consideration for our applicants and our investment in Claude for Education will position Northumbria as a forward-thinking leader in ethical AI innovation.
“Empowering students and staff, providing cutting-edge learning opportunities, driving social mobility and powering an inclusive economy are at the heart of everything we do. We know how important it is to eliminate digital poverty and provide equitable access to the most powerful AI tools, so our students and graduates are AI literate with the skills they need for the workplaces of the future.
“The introduction of Claude for Education will provide our students and staff with free universal access to cutting-edge AI technology, regardless of their financial circumstances.”
The University is now working with Anthropic to establish the technical infrastructure and training to roll out Claude for Education in autumn 2025.
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Avalara rolls out AI tax research bot
Tax solutions provider
“The tax compliance industry is at the dawn of unprecedented innovation driven by rapid advancements in AI,” says Danny Fields, executive vice president and chief technology officer of Avalara. “Avalara’s technology mission is to equip customers with reliable, intuitive tools that simplify their work and accelerate business outcomes.”
Avi for Tax, specifically, offers the ability to instantly check the tax status of products and services using plain language queries to receive trusted, clearly articulated responses grounded in Avalara’s tax database. Users can also access real-time official guidance that supports defensible tax positions and enables proactive adaptation to evolving tax regulations, as well as quickly obtain precise sales tax rates tailored to specific street addresses to facilitate compliance accuracy down to local jurisdictional levels. The solution comes with an intuitive conversational interface that allows even those without tax backgrounds to use the tool.
For existing users of Avi Tax Research, the AI solution is available now with no additional setup required. New customers can
The announcement comes shortly after Avalara announced new application programming interfaces for its 1099 and W-9 solutions, allowing companies to embed their compliance workflows into their existing ERP, accounting, e-commerce or marketplace platforms. An API is a type of software bridge that allows two computer systems to directly communicate with each other using a predefined set of definitions and protocols. Any software integration depends on API access to function. Avalara’s API access enables users to directly collect W-9 forms from vendors; validate tax IDs against IRS databases; confirm mailing addresses with the U.S. Postal Service; electronically file 1099 forms with the IRS and states; and deliver recipient copies from one central location. Avalara’s new APIs allow for e-filing of 1099s with the IRS without even creating a FIRE account.
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Nvidia becomes first company to reach $4tn in market value | Technology
Chipmaker Nvidia became the first public company in history to scale a $4tn market value on Wednesday as its stock price continues a years-long stratospheric rise.
Shares of the top chip designer rose roughly 2.4% to $164, benefiting from the ongoing surge in demand for artificial intelligence technologies. Nvidia’s chips and associated software are considered world leaders for building artificial intelligence products.
Nvidia achieved a $1tn market value for the first time back in June 2023 and the surge continued unabated with its market value – the total value of its shares – more than tripling in about a year, faster than Apple and Microsoft, the only other US firms with a market value of more than $3tn. Apple was the first company to reach a valuation of $3tn, back in 2022.
Microsoft is the second-biggest US company, with a market value of about $3.75tn. Nvidia’s value is equivalent to 7.3% of the entire S&P 500, Wall Street’s benchmark share index. Apple and Microsoft, account for about 7% and 6%, respectively.
Nvidia has rebounded about 74% from its April lows, when global markets were jolted by Donald Trump’s tariff volley. US export controls forbid Nvidia from selling its most advanced chips to China, a restriction the company has pushed back on.
However, optimism around trade partners reaching deals with the US have lifted stocks of late, with the S&P 500 hitting an all-time high.
Daniel Ives, tech analyst at Wedbush, predicted that more big tech giants will come to join Nvidia in the $4tn market club. “The poster children for the AI revolution are led by Nvidia and Microsoft as both are foundational pieces of building on the biggest tech trend we have seen in our 25 years covering tech stocks on the Street,” he said.
Microsoft will hit $4tn “this summer”, Ives said, “and then over the next 18 months the focus will be on the $5tn … as this tech bull market is still early being led by the AI revolution.”
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Reuters contributed reporting
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