2024-12-07 01:19

WASHINGTON, Dec 6 (Reuters) - U.S. President-elect Donald Trump's pick to helm NASA, a private astronaut and close ally of Elon Musk's SpaceX, is a central figure of a speedy, commercial-focused side of the space industry who would face unfamiliar political challenges as an administrator. Jared Isaacman, the CEO of payment processing company Shift4 Payments (FOUR.N) , opens new tab, has made landmark visits to space on two ambitious SpaceX missions, including the first-ever privately funded spacewalk in September. In accepting Trump's decision, he envisioned a "thriving space economy" and vowed to "usher in an era where humanity becomes a true spacefaring civilization." But the path to pursuing a faster, more privatized human spaceflight agenda is expected to involve a delicate political tango of trimming costly, entrenched programs and wooing lawmakers to increase the space agency's $25 billion budget. "He's going to definitely push NASA, but he'll do it in a positive way," said Garrett Reisman, a retired NASA astronaut who has been an adviser to SpaceX. Musk had recommended Trump pick Isaacman and has since told associates he sees the tech billionaire as someone who will get things done at NASA, according to two people familiar with the discussions. "He is a man (of) high ability and integrity," Musk said Wednesday of Isaacman on his X platform. Targets at NASA for Trump and Musk's cost-cutting agenda that Isaacman is expected to eye include the agency's over-budget, $24 billion Space Launch System rocket and the in-development Gateway space station poised to sit in a lunar orbit, according to people familiar with the transition team's space plans. Other projects expected to face scrutiny include the agency's goal to return soil samples from Mars - another top NASA priority alongside its Artemis moon program. While likely to face pushback from lawmakers, cuts to expensive NASA programs could mean boosts to companies such as SpaceX that have embraced cheaper and faster means of getting to space and offering rockets to the government as a privately owned service. That approach has contrasted with the space agency's traditional method of company contracting where companies like Boeing (BA.N) , opens new tab and Lockheed Martin (LMT.N) , opens new tab build spacecraft that the agency itself owns, controls and fully funds. Trump's first NASA administrator, former Oklahoma congressman Jim Bridenstine, proved adept at navigating those political challenges. He was instrumental in winning budget boosts for NASA's flagship crewed space exploration program and upping its dependence on private companies. Bridenstine in a statement Wednesday night urged for Isaacman's Senate confirmation, saying his "vision for pushing boundaries, paired with his proven track record of success in private industry, positions him as an ideal candidate to lead NASA into a bold new era of exploration and discovery." Since Trump's first term, NASA has focused heavily on returning humans to the moon. But the Artemis program using NASA's powerful Space Launch System (SLS) rocket to send astronauts to space and Musk's Starship rocket to land them on the moon has faced budget blowouts and delays, pushing the planned landing back to 2027. NASA's reliance on SpaceX's Crew Dragon capsule, providing astronaut rides to the International Space Station at a cheaper price than previous options, has reinforced the agency's commercial cost-savings strategy. It has also galvanized a industry culture that threatens the future of NASA's older and far more expensive SLS rocket, built mainly by Boeing and Northrop Grumman (NOC.N) , opens new tab with a countrywide workforce of 28,000. "Administrator-nominee Isaacman, if confirmed, will face challenges as he leads NASA into the future," said Allen Cutler, CEO of the Coalition for Deep Space Exploration industry group, which counts Boeing and Lockheed Martin as members. "Budget limitations, workforce, and infrastructure needs will all play a role in shaping NASA’s future," Cutler added. NASA's current administrator, Bill Nelson, said he spoke with Isaacman to congratulate his tentative nomination and feels "basically optimistic" about the future of NASA under Trump. "I think the relationship between Elon Musk and the president-elect is going to be a benefit to making sure that the funding for NASA is there, so I see that as a positive," Nelson told a press conference on Thursday. (This story has been corrected to rectify the attribution of quotes to Allen Cutler, CEO of the Coalition for Deep Space Exploration, not coalition spokesperson Dan Stohr, in paragraphs 16 and 17) Sign up here. https://www.reuters.com/world/us/trumps-nasa-pick-boon-spacex-will-face-political-challenges-2024-12-06/

2024-12-07 01:03

Vote is for new president and parliament Country hit by the worst economic crisis in a generation Former President Mahama seen as favourite Investors concerned by inflation and debt sustainability ACCRA, Dec 7 (Reuters) - Ghana voted in a presidential and parliamentary election on Saturday amid hopes for an economic revival after the worst financial crisis in a generation, which led to a major debt default in the West African nation. President Nana Akufo-Addo is stepping down next month after serving the two terms allowed by the constitution in Ghana, the world's second-largest cocoa producer and a significant gold miner. Twelve candidates are vying to succeed him, but the race is seen as primarily between Vice President Mahamudu Bawumia, chosen successor of Akufo-Addo's New Patriotic Party (NPP), and former President John Dramani Mahama of the National Democratic Congress (NDC). Opinion polls tipped Mahama, who served as president from 2012 to 2016, for a potential comeback. Mahama, 66, has framed Bawumia as representing a continuation of policies that led to Ghana's economic woes, and has promised to renegotiate terms of a $3 billion IMF bailout secured last year to restructure the country's debts. The crisis peaked in 2022 when Ghana turned to the IMF. "This is the only election that we can all see the direction of the outcome before we start voting," Mahama said after casting his vote in Bole, his home town in northern Ghana. "We are hopeful and confident that we'll win," he added. Bawumia, a 61-year-old former central banker, also expressed confidence that he would win after he voted in his Walewale constituency in northern Ghana. "By the grace of God, I'm very hopeful of winning this election. I think that we have done a lot of work. We have put our message to the people, I think the message has been well received," he said. On the campaign trail, Bawumia has highlighted Ghana's gradual recovery from the crisis, with economic growth surging by 6.9% year-on-year in the second quarter of 2024, the fastest rate in five years. He told supporters he will foster policies that will strengthen Ghana's recovery. Both candidates said voting was generally calm and peaceful. Jubilant NDC supporters took to the streets of Accra's historic Jamestown, chanting, banging pans and blaring horns after results from their polling stations showed the party in a comfortable lead. The electoral commission said over 99% of polling stations opened on time with voting materials delivered to them. It said later on Saturday evening that turnout was massive but it was too early to give a specific figure. Benjamin Bano-Bio, Director of Electoral Services, said voting was calm although there were some pockets of violence. "Our verification machines were effective and the entire process was largely peaceful, except for a few places where violence occurred, leading to the death of one person," Bano-Bio told a news conference. Some provisional legislative results are expected on Saturday night and Sunday, while the presidential outcome is expected by Tuesday, although trends often allow an early prediction. Approximately 18.7 million of Ghana's 34 million population are registered to vote. Sign up here. https://www.reuters.com/world/africa/ghana-holds-election-amid-hopes-better-economic-times-2024-12-07/

2024-12-07 00:23

Court decision will be appealed to the Supreme Court - TikTok CEO DOJ says TikTok is a threat to national security and should be sold Trump has vowed to prevent TikTok from being barred WASHINGTON, Dec 6 (Reuters) - A U.S. federal appeals court on Friday upheld a law requiring Chinese-based ByteDance to divest its popular short video app TikTok in the United States by early next year or face a ban. The decision is a major win for the Justice Department and opponents of the Chinese-owned app and a devastating blow to TikTok parent ByteDance. It significantly raises the prospects of an unprecedented ban in just six weeks on a social media app used by 170 million Americans. TikTok plans to appeal the decision to the Supreme Court. In detailing their support of the law, the appeals court noted it was the result of Republicans and Democrats working together, as well as two presidents, as "part of a broader effort to counter a well-substantiated national security threat posed by the PRC (People's Republic of China)." The Justice Department says under Chinese ownership, TikTok poses a threat because of its access to vast personal data of Americans, asserting China can covertly manipulate information that Americans consume via TikTok. Attorney General Merrick Garland called the decision "an important step in blocking the Chinese government from weaponizing TikTok.” But the Chinese Embassy in Washington called the law "a blatant act of commercial robbery" and warned the United States "must handle this case in a prudent manner to avoid harming the mutual trust between the two countries and the development of bilateral relations." The ruling comes amid growing trade tensions between the world's two biggest economies after the administration of President Joe Biden placed new restrictions on China's chip industry and Beijing responded by imposing an outright ban on exports of gallium, germanium and antimony to the United States. U.S. appeals court Judges Sri Srinivasan, Neomi Rao and Douglas Ginsburg rejected legal challenges brought by TikTok and users against the law, which gives ByteDance until Jan. 19 to sell or divest TikTok's U.S. assets or face a ban. FREE SPEECH "While today’s news is disappointing, rest assured we will continue the fight to protect free speech on our platform," TikTok CEO Shou Zi Chew said in an email to staff seen by Reuters. Free speech advocates quickly criticized the ruling. The American Civil Liberties Union said, "Banning TikTok blatantly violates the First Amendment rights of millions of Americans who use this app to express themselves and communicate with people around the world." In its analysis, the court said China, through its relationship with TikTok parent ByteDance, threatened to distort U.S. speech through TikTok and "manipulate public discourse." China's "ability to do so is at odds with free speech fundamentals. Indeed, the First Amendment precludes a domestic government from exercising comparable control over a social media company in the United States." The decision -- unless the Supreme Court reverses it -- puts TikTok's fate in the hands of first President Biden on whether to grant a 90-day extension of the Jan. 19 deadline to force a sale and then President-elect Donald Trump, who takes office on Jan. 20. But it's not clear whether ByteDance could meet the heavy burden to show it had made significant progress toward a divestiture needed to trigger the extension -- or if the Chinese government would approve any sale. Trump, who unsuccessfully tried to ban TikTok during his first term in 2020, said before the November presidential election he would not allow the TikTok ban. Friday's decision upholds the law giving the U.S. government sweeping powers to ban other foreign-owned apps that could raise concerns about collection of Americans' data -- and could open the door to a future crackdown on many other foreign owned apps. In 2020, Trump also tried to ban Tencent-owned WeChat, but was blocked by the courts. TIKTOK BAN LOOMS If banned, TikTok advertisers would seek new social media venues to buy ads. As a result, shares of Meta Platforms (META.O) , opens new tab, which competes against TikTok in online ads, hit an intraday record high following the ruling and closed up 2.4%. Google parent Alphabet (GOOGL.O) , opens new tab, whose YouTube video platform also competes with TikTok, closed up 1.25%. The court opinion - which was written by Ginsburg, an appointee of President Ronald Reagan, and joined by Rao, who was named to the bench by Trump, and Srinivasan, an appointee of President Barack Obama - acknowledged its decision would lead to TikTok's ban on Jan. 19 without an extension from Biden. ByteDance, backed by Sequoia Capital, Susquehanna International Group, KKR & Co (KKR.N) , opens new tab, and General Atlantic, among others, was valued at $268 billion in December 2023 when it offered to buy back around $5 billion worth of shares from investors, Reuters reported then. The law prohibits app stores like Apple (AAPL.O) , opens new tab and Alphabet's (GOOGL.O) , opens new tab Google from offering TikTok and bars internet hosting services from supporting TikTok unless ByteDance divests TikTok by the deadline. Google declined comment while Apple did not respond to a request for comment. In a concurring opinion, Srinivasan acknowledged the decision will have major impacts, noting "170 million Americans use TikTok to create and view all sorts of free expression and engage with one another and the world. And yet, in part precisely because of the platform’s expansive reach, Congress and multiple Presidents determined that divesting it from (China's) control is essential to protect our national security." Sign up here. https://www.reuters.com/legal/us-appeals-court-upholds-tiktok-law-forcing-its-sale-2024-12-06/

2024-12-07 00:08

NEW YORK, Dec 6 (Reuters) - A co-chair of the U.S. Congressional artificial intelligence task force urged federal energy regulators this week to support the development of data centers directly connected to power plants, citing national security and competition for global AI dominance, according to a letter seen by Reuters dated Dec. 5. U.S. Congressman Jay Obernolte said the Federal Energy Regulatory Commission should move speedily in crafting rules that encourage the expansion of AI and its need for large amounts of electricity, including by clearing the way for so-called co-located AI data centers. "As their energy requirements increase, the development of co-located energy production will be instrumental in mitigating grid strain, improving resilience, and reducing carbon emissions," wrote Obernolte, a Republican from California. Co-location, which can allow data centers to power up faster than if they waited in line to connect to the broader grid, has sparked debates among regulators around how the centers will affect the reliability of the country's electrical system. Last month, FERC rejected in a 2-1 vote a request to increase the capacity of an Amazon data center located on the site of a Talen Energy nuclear power plant in Pennsylvania, after raising questions about how diverting nuclear electricity to serve the center would affect the broader grid. "I urge the Commission to reject any continued delay on these decisions as you move forward shaping the nation's energy future," Obernolte said. Talen, an independent power company, has asked FERC to hold a rehearing on its interconnection agreement. Constellation Energy, the country's largest nuclear power plant operator, has also filed a complaint with FERC over co-location. Sign up here. https://www.reuters.com/business/energy/us-ai-task-force-co-chair-asks-ferc-support-co-located-data-centers-letter-2024-12-07/

2024-12-07 00:01

Dec 6 (Reuters) - Fitch credit rating agency on Friday affirmed Ukraine's long-term foreign currency sovereign credit rating at 'RD' as its war with Russia drags past the 33-month mark. The agency also affirmed the sovereign's 'CCC+' long-term local currency amidst the ongoing debt restructuring, aimed at easing its wartime financial pressures. President Volodymyr Zelenskiy, in late November, signed into law Ukraine's widely contested wartime tax increases, raising the war tax for residents to 5% from 1.5%. The tax increases are expected to raise about 140 billion hryvnias ($3.4 billion) in additional revenues next year to fund Ukraine's defence efforts. Ukraine expects to cover its budget deficit of about $38 billion with financial aid from Kyiv's Western partners as well as the government's domestic borrowing. The International Monetary Fund recently reached an agreement to give Ukraine access to about $1.1 billion, which, if approved, would bring the total amount dispersed under the program to $9.8 billion. Despite the tax increase, Fitch said it expects the general government deficit to remain high in 2024 and 2025 as defense spending mounts while foreign grants are anticipated to fall. The rating agency said a peace agreement is unlikely and expects the war to continue into 2025, despite the incoming U.S. administration's objective to end the war. U.S. President-elect Donald Trump repeatedly pledged during his election campaign to end the Russia-Ukraine conflict, but has not provided any details. On Wednesday, Reuters reported that the Ukrainian delegation met with Trump's senior executives to seek support in the war. ($1 = 41.4000 hryvnias) Sign up here. https://www.reuters.com/markets/europe/fitch-affirms-ukraines-rd-rating-war-with-russia-drags-2024-12-06/

2024-12-06 23:21

Trump transition weighs plan to cancel USPS contracts to build large EV fleet Postal service plans to spend billions on EV chargers and roughly 66,000 new trucks Contract cancellation likely part of sweeping executive order on EVs Dec 6 (Reuters) - Donald Trump's transition team is considering canceling the U.S. Postal Service's contracts to electrify its delivery fleet, as part of a broader suite of executive orders targeting electric vehicles, according to three sources familiar with the plans. The move, which could be unveiled in the early days of Trump’s administration that begins on Jan. 20, is in line with Trump's campaign promises to roll back President Joe Biden’s efforts to decarbonize U.S. transportation to fight climate change – an agenda Trump has said is unnecessary and potentially damaging to the economy. Reuters has previously reported that Trump is planning to kill a $7,500 consumer tax credit for electric vehicle purchases, and plans to roll back Biden's stricter fuel-efficiency standards. The sources told Reuters that Trump’s transition team is now reviewing how it can unwind the postal service's multibillion-dollar contracts, including with Oshkosh (OSK.N) , opens new tab and Ford (F.N) , opens new tab, for tens of thousands of battery-driven delivery trucks and charging stations. Oshkosh shares fell by roughly 5% to 105.65 per share after the Reuters report. In a statement on Friday, Oshkosh said it has worked closely with USPS to design and deliver a modernized fleet with a flexible mix of electric and gas-powered vehicles that have received early, positive reviews from mail carriers. "Oshkosh is fully committed to our strong partnership with the USPS and looks forward to continuing to provide our postal carriers with reliable, safe, and sustainable modern delivery vehicles, even as USPS’ needs continue to evolve," the company said. Ford did not respond to requests for comment. In 2023, Congress gave USPS $3 billion as part of a $430 billion climate bill to buy EVs and charging infrastructure. It plans to buy some 66,000 electric vehicles to build one of the largest electric vehicle fleets in the nation by 2028. As part of that, Oshkosh is expected to deliver about 45,000 electric vehicles, with the remaining coming from mainstream automakers like Ford, according to the USPS. The initial batch of 14,000 chargers are being supplied by Siemens (SIEGn.DE) , opens new tab, ChargePoint (CHPT.N) , opens new tab and Blink (BLNK.O) , opens new tab, according to the USPS. The USPS is an autonomous federal agency with its own governing board, making severing the contract legally challenging. But Trump's stated policy aims are poised to test the boundaries of executive power on a range of issues, from trade to federal spending. In a note published on Friday, analysts from the investment banking firm Jefferies said they don't see a total cancellation as likely, but said the mix of vehicles could shift away from EVs and toward fuel-powered. "Given the need for the replacement of aging equipment, we are confident that the USPS will be receiving new vehicles in 2025. The mix of that order could potentially change to appease an administration that is more hostile to (EVs)," the analysts wrote. The USPS did not respond to requests for comment. Trump’s team did not comment directly on plans for the USPS contract. "President Trump will protect the freedom of Americans to drive whichever vehicle they choose, enhance his tough tariffs on Chinese-imported cars, and save the U.S. auto industry for generations to come. No policy should be deemed official unless it comes directly from President Trump," Trump transition team spokeswoman Karoline Leavitt said in a statement. In 2021, Biden issued an executive order on EVs declaring that 50% of all new passenger cars and light trucks would be zero-emission vehicles. To achieve that goal, Biden directed various federal agencies to undertake rules on new emission and fuel standards designed to speed adoption of electric vehicles. Sign up here. https://www.reuters.com/business/autos-transportation/trump-may-cancel-us-postal-service-electric-mail-truck-contract-sources-say-2024-12-06/