From emerging surveillance technologies in private spaces to high-profile AI partnerships in the Gulf, this week’s developments highlight the evolving challenges at the intersection of technology, policy, and global competition. As Congress holds hearings on deepfakes, AI regulation, and chip exports, policymakers are beginning to grapple with questions that will shape the direction of U.S. leadership and digital governance. Whether you’re following the latest activity on Capitol Hill or tracking broader shifts in the tech landscape, this edition offers a clear view of the key issues driving debate and decision-making.

In this week’s Nimitz Tech:

• Legislation: A decade-long ban on state AI regulations just cleared a key hurdle in Congress—sparking backlash from consumer advocates and a potential tech power grab.

• Surveillance: Flock’s new AI-powered surveillance tool turns license plates into dossiers—no warrant required.

• Data Centers: Trump’s AI deals with Gulf states could supercharge U.S. tech—or hand China a backdoor to America’s most powerful chips.

WHO’S HAVING EVENTS THIS WEEK?

Tuesday May 20th

• 🏡 House Hearing: “Breach of Trust: Surveillance in Private Spaces.” House Committee on Oversight and Government Reform, Subcommittee on Cybersecurity, Information Technology, and Government Innovation. Hearing scheduled for 2:00 PM in 2247 Rayburn HOB. Watch here.

Wednesday, May 11st

• 🇺🇸 House Hearing: “AI Regulation and the Future of US Leadership.” House Committee on Energy and Commerce, Subcommittee on Commerce, Manufacturing, and Trade. Hearing scheduled for 10:15 AM in 2322 Rayburn HOB. Watch here.

• 👻 Senate Hearing: “The Good, the Bad, and the Ugly: AI-Generated Deepfakes in 2025.” Senate Committee on the Judiciary, Subcommittee on Privacy, Technology, and the Law. Hearing scheduled for 2:30 PM in 226 Dirksen SOB. Watch here.

TECH NEWS DRIVING THE WEEK

In Washington

• The House Energy & Commerce Committee advanced a controversial 10-year moratorium on state and local enforcement of AI regulations, embedding it within budget reconciliation legislation aimed at modernizing federal IT systems with commercial AI tools. Republican lawmakers argued that only Congress should regulate AI, citing historical parallels to the internet tax moratorium, while Democrats and civil society groups decried the move as a gift to Big Tech that would gut state-level consumer protections. Industry leaders like OpenAI’s Sam Altman and Microsoft’s Brad Smith voiced tentative support for a unified federal framework, though some Democrats warned that the plan mirrors past failures to rein in social media harms. The measure, backed by Sen. Ted Cruz and inspired by a libertarian think tank proposal, faces potential procedural challenges in the Senate and legal battles from states determined to maintain regulatory authority over AI technologies.

• The Consumer Financial Protection Bureau has quietly withdrawn a proposed rule that would have restricted data brokers from selling sensitive personal information—including Social Security numbers and financial records—without consent, sparking backlash from privacy advocates and veterans’ groups. Initially advanced under former CFPB Director Rohit Chopra to combat commercial surveillance and protect national security, the proposal was abandoned by acting director Russell Vought, citing policy shifts and reinterpretation of the Fair Credit Reporting Act. Critics argue the reversal empowers a billion-dollar surveillance industry that operates largely without oversight, enabling foreign adversaries and abusers to exploit troves of personal data, particularly that of military families. The move follows intense lobbying from fintech groups and comes amid sweeping federal workforce cuts under Elon Musk’s Department of Government Efficiency, prompting fears of a broader dismantling of consumer protections in favor of corporate data exploitation.

• As generative AI upends the creative economy, copyright law is proving ill-equipped to manage the deeper conflict it triggers—not between Big Tech and content owners, but between those owners and their own creative labor force. While legal battles over whether AI training data use constitutes "fair use" remain unresolved, courts seem unlikely to grant copyright owners expansive new protections, and proposed transparency laws may be premature or unnecessary. The more pressing concern lies in the lack of copyright for AI-assisted works, which could stifle both innovation and worker protections unless new frameworks—like a federal right of publicity or revised copyright rules for prompt-based authorship—are adopted. Without meaningful policy intervention, generative AI could replace rather than empower human creators, especially in an industry where union protections are sparse and AI-assisted workflows threaten to sideline junior talent. The article warns that unless new labor and legal systems are developed to manage this historic shift, we risk ceding the future of creativity to algorithms—and the corporations that own them.

National

• Flock Safety, a major provider of automatic license plate readers (ALPRs), is developing a new surveillance product called Nova that links vehicle data to personal identities using breached data, data brokers, and public records—dramatically expanding law enforcement’s ability to track individuals without a warrant. Internal documents and employee discussions obtained by 404 Media reveal that Nova aggregates up to 20 data sources, including hacked information like the ParkMobile breach, credit bureau databases, and even marriage records, to build expansive personal profiles. While Flock markets the system as a customizable tool to “connect data investigators already have access to,” civil liberties groups warn it enables a nationwide dragnet that bypasses Fourth Amendment protections. Despite internal concerns from Flock staff about the ethics of using stolen data, the company plans to roll out Nova widely by June, boasting of early law enforcement success stories. Legal challenges are mounting, with a lawsuit challenging Flock’s warrantless surveillance advancing in court, and experts warning that the platform creates an unprecedented infrastructure for authoritarian-style policing under the guise of crime prevention.

• Big Tech companies are increasingly suppressing employee activism and political dissent, reflecting both a more authoritarian corporate culture and a weakened labor market. Amid mass layoffs and shrinking job opportunities, companies like Microsoft, Google, Meta, and Tesla are firing outspoken workers, banning internal discussion of controversial issues, and aggressively targeting whistleblowers with legal and PR campaigns. Employee protests over AI safety, company ties to Israel, and workplace misconduct are being met with swift retaliation, even as companies align more closely with the Trump administration’s anti-diversity and pro-surveillance stances. Efforts once common in Silicon Valley—such as petitions, open letters, and workplace debates—have been silenced through threats, firings, and non-disparagement clauses, chilling once-vibrant internal political discourse. Activists and former employees warn this crackdown, paired with expanded surveillance and AI deployment, signals a dramatic shift in tech’s workplace culture—one that prioritizes corporate control over accountability and dissent.

International

• President Trump’s recent trip to the Gulf region catalyzed a wave of AI infrastructure deals with Saudi Arabia and the UAE, enabling these oil-rich monarchies to become major hubs for artificial intelligence—powered by U.S. chips and corporate partners. Backed by companies like Nvidia, AMD, and Amazon, the agreements include the export of thousands of cutting-edge AI chips and the construction of some of the world’s largest AI data centers in Abu Dhabi and Saudi Arabia. Trump officials framed the move as a strategic win for U.S. technological dominance, but national security experts and Democratic lawmakers sounded alarms that the partnerships could give China indirect access to restricted technology through its deep economic ties with Gulf nations. While the Trump administration promises robust security safeguards and new export control frameworks, critics argue the deals prioritize profits over protection, potentially undermining bipartisan efforts to maintain America’s AI edge and exposing advanced systems to foreign exploitation.

FOR FUN

• 🎺 Jazz In the Garden: Lao Tizer Band at the Sculpture Garden (National Mall) 5/23

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