From Trump’s sweeping executive order reshaping federal AI policy to a growing push for stricter chip export controls against China, Washington is at the center of a high-stakes fight over the future of technology. Meanwhile, DeepSeek AI’s rapid rise is disrupting the industry with ultra-low prices, forcing competitors to adapt, and fueling national security concerns. In the defense sector, Silicon Valley’s deepening ties to the Pentagon are raising alarms about the risks of AI-powered weaponry. And on Capitol Hill, a year after a contentious hearing on kids' online safety, Big Tech’s influence is complicating efforts to pass critical protections. Read on for the latest developments shaping the intersection of technology, policy, and power.

PS. We hope you like the New Nimitz Tech logo, which we soft-launched last week 😉 

In this week’s Nimitz Tech:

• Social Media: One year after a fiery Senate hearing on social media’s dangers, Big Tech’s ties to Washington may be reshaping the fight for kids’ online safety.

• Military: As AI-powered weaponry advances, experts warn that rushing integration into the military could create catastrophic security risks.

• Utopia: Billionaire investor Marc Andreessen envisions an AI-driven future where wages crash—promising prosperity, but only after economic upheaval.

WHO’S HAVING EVENTS THIS WEEK?

Wednesday, February 3rd

• 💻️ House Hearing: “Preparing the Pipeline: Examining the State of America's Cyber Workforce.” House Committee on Homeland Security. Hearing scheduled for 10:00 AM in 310 Canon HOB. Watch here.

• 📜 Senate Hearing: “Executive Session 3 [To Consider Pending Legislation].” Senate Committee on Commerce, Science, and Transportation. Hearing scheduled for 10:00 AM in 253 Russell SOB. Watch here.

  • Bills to Watch:

    • S.245, to require the Assistant Secretary of Commerce for Communications and Information to establish a working group on cyber insurance, to require dissemination of informative resources for issuers and customers of cyber insurance.

    • S.278, to prohibit users who are under age 13 from accessing social media platforms, to prohibit the use of personalized recommendation systems on individuals under age 17, and limit the use of social media in schools.

TECH NEWS DRIVING THE WEEK

In Washington

• President Donald Trump signed an executive order on artificial intelligence that revokes Biden-era policies, aiming to eliminate what his administration calls “barriers to American AI innovation.” The order directs agencies to review and suspend any AI-related regulations that do not align with Trump’s priorities of economic competitiveness, national security, and "human flourishing." It also requires the development of an AI action plan within 180 days, led by a newly appointed Special Advisor for AI and Crypto, venture capitalist David Sacks. The move dismantles many of the Biden administration’s safeguards, including requirements that tech companies disclose details of powerful AI models, and could undo policies aimed at preventing AI-driven discrimination. Critics argue that Trump’s order prioritizes corporate interests over public protections, while supporters view it as a necessary step to maintain U.S. leadership in AI innovation.

• A year after tech leaders, including Meta’s Mark Zuckerberg and Snapchat’s Evan Spiegel, apologized to families over social media harms during a Senate hearing, momentum for tougher online safety laws appears to be stalling. While the Kids Online Safety Act (KOSA) overwhelmingly passed the Senate, it stalled in the House due to free speech concerns, and advocates worry that Big Tech’s growing ties to President Trump’s administration could further derail regulation efforts. Meta’s recent decision to end its fact-checking program and embrace a looser approach to content moderation has drawn criticism, with some viewing it as a move to align with Trump’s long-standing opposition to tech censorship. Meanwhile, shifting political dynamics have also affected TikTok’s fate, with Trump delaying a ban he once supported, raising questions about his evolving stance on Big Tech’s influence. Despite ongoing legislative efforts, including proposals like the TAKE IT DOWN Act, advocates fear that sweeping regulations may struggle to gain traction under the new administration.

• Senators Elizabeth Warren and Josh Hawley are urging the Trump administration to impose stricter export controls on AI chip sales to China, blaming corporate lobbying for loopholes that allowed Nvidia to sell critical hardware to DeepSeek. Their letter to Commerce Secretary-designate Howard Lutnick calls for insulating the Bureau of Industry and Security from industry influence and enforcing tougher restrictions to maintain U.S. leadership in AI. The debate comes as DeepSeek’s surprise AI advance triggered a $1 trillion stock market drop, with Nvidia suffering the steepest losses. While Lutnick pledged to rigorously enforce existing restrictions, he avoided committing to expanding them, reflecting a divide in the Trump administration between security hawks and pro-business advocates. Nvidia, which met with Trump after the stock plunge, warned that additional controls would hurt U.S. companies more than China’s AI ambitions.

National

• The U.S. military is rapidly incorporating artificial intelligence into defense operations, but experts warn that these systems remain flawed, error-prone, and vulnerable to cybersecurity threats. Under President Trump, the tech industry has accelerated its push for AI integration, with companies like OpenAI, Anduril, and Palantir forging new defense partnerships. While proponents argue that AI-enhanced military systems could give the U.S. a technological edge, defense leaders caution that these tools can generate unpredictable errors, misidentify targets, and be exploited by adversaries. Past AI applications in military targeting have already demonstrated significant accuracy failures, and the reliance on commercially available models raises concerns about data poisoning and hacking risks. Despite these dangers, the Trump administration has rolled back Biden-era regulations designed to mitigate AI security threats, signaling an aggressive approach to AI deployment that some experts fear could weaken national security rather than strengthen it.

• Venture capitalist Marc Andreessen has sparked controversy by claiming that for AI to deliver economic utopia, human wages must first collapse—a "logical, necessary" consequence of rising productivity and plummeting costs. His vision, laid out in a tweet and echoed in his Techno-Optimist Manifesto, reflects a ruthless economic ideology that prioritizes disruption over immediate human well-being, dismissing solutions like universal basic income as turning people into "zoo animals." Critics argue that Andreessen and other tech elites, such as OpenAI’s Mira Murati, see AI as a tool for social control and worker displacement rather than empowerment. As Silicon Valley accelerates automation, skeptics warn that these billionaire-driven fantasies of progress mask a darker reality—one where the wealthiest capitalize on technology to eliminate jobs and consolidate power.

International

• The rapid rise of DeepSeek AI is disrupting the artificial intelligence landscape by offering services at a fraction of OpenAI’s costs, prompting startups like Germany’s Novo AI and Britain’s NetMind.AI to switch platforms. With pricing estimated to be 20 to 40 times cheaper than OpenAI, DeepSeek’s affordability is seen as a game-changer for European startups struggling with funding disparities compared to U.S. rivals. However, concerns linger over data sourcing, censorship, and security compliance, leading larger firms like Nokia and SAP to proceed cautiously. The AI price war appears to be intensifying, as Microsoft recently made OpenAI’s premium model free for Copilot users. While some analysts remain skeptical of DeepSeek’s claimed low training costs, its success highlights a shift toward democratizing AI, challenging industry giants, and reshaping global competition.

FOR FUN

• 🎞️ Documentary: “Against All Enemies” | 7:30 p.m. | $16 | Chinatown

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