Boom

Aemo modelling shows electricity use will nearly double by 2050. Follow today’s news liveGet our breaking news email, free app or daily news podcastGood morning and welcome to our live politics blog. I’m Martin Farrer with the top overnight stories and then it will be Krishani Dhanji with the main action.There will be plenty of politics to come but we start with good news: thanks to the recent boom in batteries connected to the national power grid, we’re going to save money on new transmission lines. That’s despite our power use being expected to nearly double in the next decade or so. Continue reading...

Spending on government contracts with tech firms that use AI-powered tools to track immigrants has soared to record levels under Trump 2.0, report saysA new report sheds light on the unprecedented growth of the US government’s immigration surveillance arsenal, revealing fresh details about how spending on technology and AI tools to find and track migrants has soared to record levels during Donald Trump’s second term.The report, released this week, analyzed US Immigration and Customs Enforcement (ICE) and Customs and Border Patrol (CBP) contracts with 11 companies the authors said provide surveillance tech. They found the money awarded to these firms doubled from 2024 to 2025, to just over $310m – and in 2026, that number soared to a record $513m. Continue reading...

• Chief Financial Officers (CFOs) are becoming central figures in corporate America as they manage the massive financial investments required for the current AI boom. • To fund these expensive AI initiatives, companies like Match Group are implementing strategic cost-cutting measures, including a plan to dramatically slow hiring. • This shift highlights a growing tension for executives who must balance the pressure to innovate with the need to maintain fiscal discipline.

• Global AI funding has experienced a dramatic surge in recent years, though the vast majority of this capital is concentrated within U.S. companies. • Data from Crunchbase reveals that a significant portion of 2026 U.S. funding has been directed toward a small number of frontier AI labs. • OpenAI and Anthropic have emerged as the primary recipients of the largest funding rounds, highlighting a trend of capital concentrating at the top of the AI stack.

• Google's Sean Downey and YouTuber Adam W discussed the surge in creator ad spending during Business Insider's CMO Insider breakfast. • The experts advised marketers to stop attempting to control every word of a campaign, suggesting that relinquishing creative control to creators leads to better results. • This shift matters as brands move away from traditional corporate scripting to leverage the authentic voice and influence of social media personalities.

• J-pop streaming in South Korea has surged by 30%, fueled by a rising demand for Japanese artists, anime soundtracks, and live concert experiences. • Yusuke Nakagawa of Aobisystem notes that direct exposure on Korean music shows, such as appearances by Cutie Street, triggers immediate global interest, including growth in markets like India. • This trend signifies a shift in the music industry where traditional cultural and geographic boundaries dividing East Asian markets are increasingly dissolving.

• Economists are warning that South Korea's rapid AI chip boom is creating an unbalanced economic recovery, leaving non-tech sectors behind. • While semiconductor growth is surging, industries such as construction, retail, services, and small businesses are struggling to keep pace with the narrow expansion. • This disparity is a "serious concern" because it risks deepening economic inequality and stifling growth in the broader domestic market.

• Financial strategists maintain a bullish outlook on Asian stock markets, specifically focusing on South Korea and Taiwan as primary growth drivers. • Goldman Sachs Asia-Pacific strategist Timothy Moe has set a target of 12,000 for the KOSPI Composite index, projecting a potential 32% gain from Thursday's close. • This optimistic forecast is driven by the expectation that corporate earnings in the region will continue to rise significantly.

• Europe is experiencing a "nuclear golden age" as countries like the UK, Belgium, Italy, and Switzerland revive or expand nuclear programs to meet the energy demands of the AI boom. • The UK has selected North Wales for its first Small Modular Reactor (SMR), supported by a £2.5 billion investment and the selection of Rolls-Royce SMR as a preferred technology partner in 2025. • This shift is marked by significant financial momentum, including $3 billion in announced deals and multibillion-pound international contracts for Rolls-Royce to build SMRs in Sweden.

• The European Central Bank raised its deposit facility rate to 2.25% on June 11, marking its first rate hike since 2023. • In contrast, the U.S. Federal Reserve is expected to maintain its federal funds rate between 3.50% and 3.75% during its June 16-17 meeting. • This divergence in monetary policy is driven by the U.S. AI boom, leading the Fed to adopt a less hawkish stance than the ECB.

• Mobile advertising spend across the Indian subcontinent has surged by 423%, primarily driven by a boom in short-form drama content. • Education apps in the region also saw significant growth, with Android user acquisition (UA) ad spend increasing by 184% and paid installs rising 66% year-over-year. • This trend highlights India's growing dominance in the digital entertainment and educational technology sectors.

• Chinese AI startup DeepSeek has raised over 50 billion yuan ($7.4 billion) in its first funding round, achieving a company valuation exceeding $50 billion. • The funding round included notable investors such as Tencent and CATL, utilizing a unique investment structure specifically designed to preserve control for the company's founders. • This massive capital injection solidifies DeepSeek's position as a major player in the global AI landscape during the current artificial intelligence boom.

• U.S. companies have captured nearly 80% of global seed- through growth-stage financing so far in 2026, according to data from Crunchbase. • This represents a significant shift from the pre-AI boom era, when American startups typically secured less than 50% of all global investment. • The trend highlights a stark geographical divergence in the AI funding boom, suggesting that investment is heavily concentrated in the United States rather than distributed globally.

• Siemens Energy AG reports that European buyers are now paying premiums to secure priority spots in production queues for gas turbines. • The surge in demand is driven by the rapid expansion of AI-powered data centers and broader electrification projects across Europe. • This trend highlights a critical shortage of power infrastructure as the AI boom accelerates the need for stable, large-scale energy sources.

Employees at artificial intelligence companies are coming into gargantuan sums of money amid boom in IPOsHome prices in the San Francisco Bay Area’s already expensive market are skyrocketing as employees at leading artificial intelligence companies come into gargantuan sums of money thanks to a boom in initial public offerings.With San Francisco’s OpenAI and Anthropic, as well as SpaceX, which operates a major facility in the Los Angeles area, eyeing debuts on the stock market, the hot housing market may not abate soon. If their initial public offering (IPO) is well-received, the companies’ multibillion-dollar valuations are poised to produce massive wealth for employees and executives holding shares, which experts say could trigger an uptick in demand for the Bay Area’s limited housing stock. Continue reading...

• Shoptalk Europe unveiled five major predictions for the future of European retail during its 2026 event in Barcelona. • The forecast identifies AI shopping agents, the rise of weight-loss drugs, a "recommerce boom," personalized physical stores, and revamped supply chain planning as primary drivers of change. • These trends are expected to fundamentally reshape the retail industry over the next decade, impacting how consumers shop and how businesses operate.

• Global stock markets, including those in Germany, France, and Spain, declined following a sharp sell-off of U.S. tech stocks last week. • The downturn is driven by persistent investor concerns regarding the valuation and sustainability of tech firms central to the artificial intelligence boom. • Simultaneously, global oil prices have surged as a result of direct military exchanges between Iran and Israel.

Backlash against AI is taking an extremist turn, following in the footsteps of earlier techno-pessimist militantsSign up for the Breaking News US newsletter email When a 20-year-old man from Texas was arrested earlier this year for allegedly trying to burn down OpenAI’s headquarters and Sam Altman’s house, authorities found an anti-AI manifesto alongside his lighter and a jug of kerosene. It was one of a spate of attacks that has caused alarm among researchers, the tech industry and law enforcement about the rise of anti-tech extremism.In April, an Italian “nature pilled” Instagram influencer was arrested in Rome and charged with plotting a series of anti-tech attacks that took inspiration from Ted “The Unabomber” Kaczynski. Two self-described “ecofascists” that carried out a deadly anti-Muslim attack on a mosque in San Diego last month also cited “AI slop” and JD Vance’s ties to Palantir as motivations for their violence in their manifesto. An Indianapolis city councilor woke up earlier this year to gunshots being fired into his home before finding a note that read “NO DATA CENTERS”. Continue reading...

• Goldman Sachs highlights that while investors focus on AI winners like Nvidia, Microsoft, and Amazon, investment banks are becoming the "hidden toll booth" of the boom. • As hyperscalers and infrastructure providers require billions or trillions of dollars in funding, banks are essential for structuring, syndicating, and distributing new debt and equity. • This shift matters because it moves the financial opportunity from the technology creators to the financial intermediaries managing the massive capital flows.

Four-part TV documentary examines the aftermath of Operation Peyzac, where officers posed as music industry figures to gather intelligence on crimeIt was the undercover police operation that led to 37 people being jailed for more than 400 years in total after officers set up a fake recording studio and record shop on a north London housing estate.Now, a four-part television documentary has brought Operation Peyzac back under the spotlight, prompting renewed scrutiny of the tactics used by undercover officers and calls for the operation to be examined by the UK’s ongoing spycops inquiry. Continue reading...

• A new national poll examining American sentiment ahead of the U.S. 250th birthday reveals a generational divide in patriotism and optimism. • Findings indicate that Gen Z expresses more optimism than Baby Boomers, despite feeling a weaker emotional attachment to the United States. • The survey highlights a general sense of national pride, with over half of respondents stating they are proud to be Americans and most preferring to live in the U.S. over any other country.

• The artificial intelligence boom is driving up long-term Treasury yields as "hyperscalers" seek massive funding for data centers, power systems, and computing capacity. • These tech giants are utilizing long-term financing to support infrastructure growth, though some companies maintain diverse fundraising options. • Alphabet recently highlighted this flexibility by announcing an $80 billion stock sale to raise capital.

• Goldman Sachs reported on Tuesday, June 3, that private infrastructure and real estate capital will increasingly fund the rapid expansion of AI data centers. • This shift occurs as companies move away from traditional financing methods to meet the massive capital demands of AI infrastructure. • The trend is significant because it diversifies the funding sources available to support the ongoing AI-driven technology boom.

• Foreign investors are shifting capital away from India and toward North Asian markets, specifically South Korea and Taiwan. • This trend is driven by the global AI investment boom and extraordinary earnings growth in sectors tied to AI-driven capital expenditure. • While India maintains strong long-term growth prospects and healthy earnings, it is currently being sidelined by the immediate global focus on AI infrastructure.

• India's data center sector is experiencing significant growth driven by AI demand, with cumulative colocation leasing reaching 2.06 GW in 2025. • The surge is attributed to the increasing need for high-compute infrastructure to support artificial intelligence applications across the country. • This growth highlights India's emerging role as a critical hub for digital infrastructure and AI deployment in the global market.

• NASA confirmed that a massive sonic boom heard over the northeastern US on May 30 was caused by a meteor explosion. • Satellite footage revealed the event released energy equivalent to 300 tons of TNT, creating a powerful shockwave. • The explosion is significant as it provides data on atmospheric entries, though the space rock likely disintegrated during the blast.

• SK Hynix has joined Asia’s "trillion-dollar company club," joining Samsung Electronics and Taiwan’s TSMC as market valuations soar. • The surge is driven by the global AI boom, which has pushed South Korea’s Kospi stock market to record highs. • Experts warn of potential "short-circuits," citing the risks of boom-bust cycles and the South Korean economy's heavy reliance on just two major chipmakers.

• India's data centre industry is entering a multi-year growth phase driven by accelerating digitalization, cloud adoption, and the rising demand for artificial intelligence. • This surge has powered nine specific stocks linked to data centre infrastructure, power, and hardware, with some seeing gains of up to 477% as of 2026. • While India currently lags behind markets like South Korea and Taiwan in direct semiconductor exposure, this infrastructure-led AI theme is creating a new domestic investment momentum.