Trump Administration Urges Deadlocked Congress to Adopt National AI Framework Amid State Regulations

• Innovation Council Action, a new pro-AI political organization championed by tech investor and White House AI advisor David Sacks, plans to spend over $100 million in the 2026 midterms to shape U.S. tech policy. • The group is closely aligned with President Donald Trump's agenda and will support candidates favoring deregulation while opposing those pushing for stricter AI rules. • The organization has developed a scorecard ranking lawmakers based on their alignment with Trump's AI agenda, which will guide political spending decisions in the coming months.

• The U.S. Intelligence Community has released a new report forecasting major threats to national security in 2026, with artificial intelligence highlighted as the top concern. • The report emphasizes dangers of AI for spreading false information and strengthening adversarial capabilities against the United States. • This designation reflects growing government focus on AI-related national security risks as a priority among intelligence agencies.

• Waymo's autonomous vehicle service is experiencing explosive growth, with weekly paid robotaxi trips increasing tenfold in under two years. • The surge signals a significant shift toward autonomous vehicles dominating the transportation industry, though regulatory hurdles and safety concerns remain pressing challenges. • The growth demonstrates market viability of driverless technology while raising questions about infrastructure readiness and public acceptance.

• The Iran-supporting group Handala claimed responsibility for hacking Stryker, a Michigan-based medical technology company, in retaliation for US strikes killing Iranian schoolchildren. • DigiCert tracked nearly 5,800 cyberattacks by nearly 50 Iran-tied groups, primarily targeting US and Israeli companies. • Attacks included spyware via fake bomb shelter apps on Android devices during Iranian missile strikes in Israel, accessing cameras, locations, and data.

• Companies in the US are spending 93% of their AI budgets on technology and only 7% on preparing their workforce, leading to implementation bottlenecks. • Among executives surveyed, 78% report greater benefits from AI in revenue growth than cost-cutting, with experts predicting revenue gains will dwarf efficiency improvements. • Firms treating workforce as an afterthought risk failure despite advanced AI tools, as highlighted by insights from Deloitte, Wharton, and Harvard experts.

• John Higgins, chief markets economist, concludes the AI stock bubble debated in late 2025 has already burst as of March 2026. • This marks the end of the hyped AI market surge, shifting investor focus amid ongoing tech sector volatility. • While one AI bubble deflates, a rare new growth phase in AI investments persists, per market analysis.

• The Artemis II crew held a virtual media briefing from their quarantine facilities at Kennedy Space Center on March 29, 2026, providing updates on mission preparations and crew status. • The media event represents a standard pre-launch protocol for NASA's crewed lunar missions, allowing the public and press to interact with astronauts before their departure. • This briefing marks a key milestone in the Artemis II mission timeline, bringing the crew closer to their scheduled launch date.

• Tech companies including Palantir, Anthropic, and Anduril are increasingly partnering with the US Department of Defense, marking a significant shift from decades of strained relations between the tech sector and military. • Anduril announced a 10-year, US$20 billion contract with the US military, while Palantir's Maven data analytics platform and Anthropic's AI have been used extensively in operations against Iran, including defense against Shahed drones. • The collaboration represents what investors view as a lucrative opportunity, with traditional military contractors like Lockheed Martin and Boeing now joined by rising tech giants in supplying cloud computing, AI-powered drones, and advanced defense systems.

• The United States is broadening national security restrictions beyond telecommunications infrastructure to encompass consumer technology products such as routers and drones. • This expansion reflects growing concerns about foreign influence and vulnerabilities in consumer-grade technology that could pose risks to national security infrastructure. • The move represents an escalation in regulatory oversight of the tech sector as the government seeks to protect critical systems and supply chains from potential threats.

• Chinese authorities are reviewing Meta's US$2 billion acquisition of AI startup Manus, questioning whether the deal violated technology export and overseas investment rules, marking increased regulatory scrutiny of cross-border tech transactions. • Chinese regulators reportedly restricted Manus founders from leaving the country and began examining the deal shortly after announcement, suggesting a strategic shift toward scrutinizing where technology is developed rather than where companies are registered. • The regulatory action has drawn attention across the tech industry, indicating that traditional offshore structuring strategies may no longer protect companies from government oversight as both China and the US increase AI company surveillance.

• A New Mexico jury found Meta liable for US$375 million in damages for failing to protect young people from online harm, including exploitation by sexual predators, in violation of state consumer protection laws. • This verdict follows a separate Los Angeles jury decision ordering Meta and Google to pay US$6 million to a 20-year-old woman over claims that their apps were addictive and caused mental health crises. • Multiple states have filed similar cases against Meta, signaling a broader accountability movement targeting major tech platforms' user engagement and safety practices.

• The US-China technology rivalry is increasingly centered on quantum computing, with both nations treating the field as a strategic asset with profound economic and national security implications alongside AI and semiconductors. • China has deployed an estimated US$16 billion in public funding—roughly four times current US government investment—embedding quantum computing into its Five-Year Plan as one of seven frontier technologies through a highly centralized, state-led approach. • The US ecosystem remains decentralized, driven by over 40 companies, national laboratories, universities, and hyperscalers, with government support focused on funding, benchmarking, and validation rather than selecting national champions.