
Trump and Musk's breakup is just like their honeymoon — intense and public
The breakup between the president of the United States and the world's richest man is unfurling much like their relationship started — rapidly, intensely and very publicly.
As President Donald Trump sat in the Oval Office on Thursday with Germany's leader at his side, he lamented his soured relationship with Elon Musk, his adviser-turned-social media antagonist. Trump said he was 'very disappointed' with Musk after the billionaire former backer lambasted the president's signature bill of tax cuts and spending plans.
Trump suggested Musk, who left the government last month after spearheading the tumultuous Department of Government Efficiency, misses being in the White House and has 'Trump derangement syndrome.'
'He hasn't said bad about me personally, but I'm sure that will be next,' Trump said. 'But I'm very disappointed in Elon. I've helped Elon a lot.'
Musk calls Trump's big budget bill a 'disgusting abomination'
Tesla shares down as Trump fires back at ally Musk
Observers had long wondered if the friendship between the two brash billionaires known for lobbing insults online would flame out in spectacular fashion. It did, in less than a year.
'Look, Elon and I had a great relationship. I don't know if we will anymore,' Trump said.
He said that he had helped Musk a lot and brushed aside the billionaire's efforts to get him elected last year, claiming that he would have won closely contested Pennsylvania even without Musk's help, which included spending at least $250 million supporting his campaign.
The Republican president's comments came as Musk has continued a storm of social media posts attacking Trump's 'Big Beautiful Bill' and warning it will increase the federal deficit. Musk has called Trump's big tax break bill a 'disgusting abomination.'
As Trump spoke to reporters at the White House on Thursday, Musk was watching.
'False,' he fired back on his social media platform as the president continued speaking. 'This bill was never shown to me even once and was passed in the dead of night so fast that almost no one in Congress could even read it!'
Trump said Musk, the CEO and founder of Tesla, 'only developed a problem' with the bill because it rolls back tax credits for electric vehicles.
'Whatever,' Musk snapped back in a post on X responding to a video clip of the moment.
He went on and said Trump could keep the cuts but should 'ditch the MOUNTAIN of DISGUSTING PORK in the bill.'
The bill would unleash trillions of dollars in tax cuts and slash spending but also spike deficits by $2.4 trillion over a decade and leave some 10.9 million more people without health insurance, according to an analysis by the Congressional Budget Office, which for decades has served as the official scorekeeper of legislation in Congress.
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CBC
39 minutes ago
- CBC
New AI tools promise real-time translation so you don't have to. But is that a good thing?
There's a suite of new and upcoming tools designed to make translation between languages easier and faster than ever before — some, with the help of artificial intelligence. At their I/O 2025 event, for example, Google revealed a live translation service it's added to its Google Meet videoconferencing tool. A demonstration showed two people speaking to each other — one in English, one in Spanish — with their speech translated into the other language with a short, seconds-long delay. The computer-generated voice mimicked the original speaker's voice and intonation. Roger J. Kreuz, a professor at the University of Memphis who specializes in the psychology of language, said Google's live translation demonstration was "a pretty amazing technological achievement," but its staged nature left questions about how it will work in a real meeting. "Conversations are rarely as clean as the conversation that we saw in the demo," he said. "They typically will overlap or interrupt, and I can only imagine the cacophony that would occur if people were kind of excitedly talking back and forth ... and voices cutting in and then cutting back out again. How is that controlled?" Experts caution tools like this raise big questions about what might get lost in translation. Because while tech companies often tout these tools as scientific and objective, language doesn't really work that way in the real world. In March, Bloomberg reported that Apple is planning to update their AirPod earbuds to allow them to translate languages from speech it hears on the fly. (Google's rival product, the Pixel Buds, have had this feature for years, the report said.) Apple's reported foray into the live translation game is notable, says WIRED journalist and senior business editor Louise Mataskis, because the company typically doesn't introduce new tech features as quickly as others. "They tend to hold back until that technology is really mature and that there is a good sense that it's gonna be reliable. So I think that this shows that this technology is really starting to mature," she told The Sunday Magazine's Piya Chattopadhyay. Google's speech translation currently only features translation between English and Spanish, and it's available only in the U.S. to anyone paying for their Google AI Pro premium services. The company says it doesn't save users' audio, no AI models are trained using your voice, and the feature is opt-in only. A representative from Google told CBC the service will add more languages "in the next few weeks." They said the feature uses an AI large language model called AudioLM, developed by Google DeepMind. 'Do you have a toilet in your house?' Mataskis says language tools can help people practice learning languages, but cautions that while the tools or apps often present themselves as neutral — i.e. there's only one right way to translate a word or phrase — it might miss important contextual or cultural variations. "In Mandarin, we don't give people possession of things at their job. So you would never say, in Mandarin, 'do you have a bathroom?' You would say, 'where is the bathroom in this place?'" Mataskis, who used Google translate when she first started learning Mandarin abroad in Taiwan, got quizzical looks when asking the former in coffee shops. "Often these baristas would look at me funny and I didn't realize that basically I was saying 'do you got a toilet in your house?'" What's more, the kind of translations you get can inform how a tool's language database was trained. Mataskis says that as she's learned more Mandarin, her "hunch" is that translation tools use Chinese state media texts. "It's sort of using these like, honorifics to refer to the Chinese Communist Party. Or, like it can be sort of stifled in the way that state media and or government documents are often — you know, sort of very dry and use a lot of formal language," she said. Kreuz notes that, historically, translation apps have had trouble detecting and properly translating sarcasm or homophones. He ran into the latter when the Turkish translation for one of his books apparently missed the mark on the title. "I put the title into Google translate. This is 2018. Apparently, literally, it meant: How to Achieve Fluency in a Foreign Language. And what it gave me was: How To Earn Fluency on Foreign Dildos, which was just bizarre," he said. WATCH | AI coming to classes around Canada AI coming to classes around Canada 16 days ago Duration 1:54 AI is now a daily tool for many but experts say it's still not widely understood. The Alberta Machine Intelligence Institute, AMii, is getting a $5 million gift from Google to shape artificial intelligence courses at 25 post-secondary institutions across Canada. Language as biodiversity Muhammad Abdul-Mageed, Canada Research Chair in natural language processing and machine learning, says that companies should take extra care when building AI translation tools for international languages that may have little in common with European ones. Certain sounds an English speaker makes, for example, may have no equivalent in Arabic, which could present challenges for tools expected to make instant translations. "We cannot really paint all these languages with the same brush, in a sense," he said. Abdul-Mageed has been doing work with African languages of late, in the hopes of helping develop sophisticated tools to translate between them as easily as a Google or Apple might focus on English and other European languages. Doing the work to preserve languages can be seen as another way of preserving biodiversity, he argues — and advances in machine learning and other technologies could be powerful tools to do so. "We want to preserve the animal kingdom, the plant kingdom, and so on. Language is part of us, right? And if we let certain languages go, we are letting parts of us go," he said. As convenient as live translation can be, it's no substitute for learning and eventually becoming fluent in a second or third language on your own. Mataskis says she's spoken to researchers who have found that learning more languages can improve your brain's neuroplasticity. "So there's quite literally health benefits to learning a second language," she said. She wants to encourage people to use any of the new language tools, including those powered by AI, as a potential learning aid rather than a crutch. Using it that way can help set you up for the next, possibly best nonacademic setting to learn: going to the bar with a friend fluent in that language and just hanging out and talking together.

CBC
41 minutes ago
- CBC
He can't quit him — easily. Why SpaceX could complicate the Trump-Musk split
Billions of dollars lost in government contracts. A slew of regulatory headaches. These are just some of the ramifications Elon Musk could face over his fallout with U.S. President Donald Trump. The two men may have personally split, at least for now. But if Trump is seeking to retaliate against the tech billionaire, severing the relationship between Musk's many companies and the U.S. government could prove difficult, analysts say. "I would say the president has more cards than Musk does, but it doesn't mean that [Musk] doesn't have any," said Peter Hays, a lecturer of space policy and international affairs at George Washington University's Space Policy Institute. Both sides have "all kinds of leverage on each other," added Dan Grazier, senior fellow and program director at the D.C.-based Stimson Center, a think-tank focused on international security. The public fallout came after Musk repeatedly criticized Trump's spending bill. Trump eventually lashed back, posting on Truth Social that the easiest way to save "Billions and Billion of Dollars" would be to "terminate Elon's Governmental Subsidies and Contracts." However, those threats might not be so simple to implement. SpaceX, satellite contracts SpaceX has $15 billion US worth of contracts from NASA for the company's Falcon 9 rockets and its development of the multipurpose Starship rocket system, tapped to land NASA astronauts on the moon this decade. The company has also been awarded billions of dollars to launch most of the Pentagon's national security satellites into space while it builds a massive spy satellite constellation. That's why, if Trump cancels those contracts, SpaceX would have to seriously rethink its business model, Grazier says. Musk "needs the government to keep his company operating as they are," he said. But the U.S. government is also reliant on SpaceX, he says. For example, it's the only U.S. company capable right now of transporting crews to and from the International Space Station, using its four-person Dragon capsules. "Trump needs Elon Musk in pretty much the exact same way that Elon Musk needs President Trump, as far as SpaceX goes," Grazier said. "It's not like the United States has a credible alternative to SpaceX right now as far as space launch goes," he said. "And the United States needs reliable space launch capabilities." WATCH | F eud explodes into public view: Threats, insults as Trump-Musk feud explodes into public view 1 day ago Duration 2:27 Tearing up SpaceX contracts would have a huge domino effect across a lot of the government's critical functions in space, according to Clayton Swope, senior fellow at the Center for Strategic and International Studies. And those functions are "most closely centred around the Pentagon and NASA," he told Bloomberg News. But if Trump holds off on cancelling SpaceX contracts, and is looking for another way to poke at Musk, he could put the squeeze on Musk's companies through the government's regulatory agencies, some experts say. "Those can all be leverage points for the administration," said Cary Coglianese, director of the University of Pennsylvania's Penn program on regulation. Last year, Musk was waging at least 11 separate regulatory or legal battles with the Biden administration or independent federal agencies related to his business empire, according to NBC News. This might have been why, in part, Musk eventually endorsed Trump, who had pledged during the presidential campaign to slash regulations. How Trump's tax bill ignited his feud with Musk | Hanomansing Tonight 1 day ago Duration 7:21 Yet Trump could now pressure those same agencies to make Musk's life difficult. Just some of the regulators Musk's business empire must deal with include the Federal Communications Commission for his satellite internet service Starlink, the National Highway Traffic Safety Administration for Tesla, and the Federal Aviation Administration (FAA) for SpaceX. The FAA, under pressure from Trump, or to curry his favour, could say it's not going to approve any SpaceX launch permits, says Roger Nober, director of the Regulatory Studies Center, also at George Washington University. For Tesla, for example, Trump could pressure regulators to deny necessary approvals of its autonomous driving program, or could renew investigations into the safety of its full self-driving software, some analysts told ABC News. "If full self-driving were to be invalidated, that would be a huge hit to Tesla stock and to Musk," Gordon Johnson, CEO and founder of the data firm GLJ Research, told ABC. Although the courts shouldn't tolerate such actions if they are shown to be vindictive, the president wouldn't necessarily need a "litigation-proof strategy to really mess up" Musk's life, Coglianese said. It could still be "very painful and problematic" for Musk, while courts sorted out the issues, he said. "And if Musk's operations get delayed or disrupted, that can mean real money." Nober says he believes that any lasting regulatory change against Musk's companies would be difficult to implement, given his very public spat with Trump and that the president said he's going to punish his one-time friend. "If they then initiate regulatory action that's intended punish any of Musk's business… it's going to be vulnerable to challenge on the theory that it was arbitrary," he said. However, there may be other minor administrative regulatory roadblocks that government agencies could impose on Musk that would be difficult to challenge in court, Nober says. "They can make life difficult" for Musk, he said. On Thursday, amid their war of words, shares of Tesla plunged more than 14 per cent, leaving $150 billion US of the electric automaker's value erased by the end of trading day. The plunge was probably because Tesla, like a lot of Musk's companies, have a lot of little things they deal with, with a lot of regulatory bodies, Nober says. "Just making those more difficult, or slowing them down, or reviewing them, or taking longer to turn things around, has a cumulative impact," he said.


Winnipeg Free Press
2 hours ago
- Winnipeg Free Press
TACO time
Opinion The stock market says, 'Yes.' And the bond market says, 'No.' This sums up much of the recent sentiment about the economy in the United States, and for that matter the global economy, amid the back-and-forth policies of U.S. President Donald Trump. Stocks have largely recovered their losses this year, as investors believe the One Big Beautiful Bill Act — with its tax cuts largely focused on the wealthy — will power a surge in growth. Michael Probst / The Associated Press files The curve of the German stock index DAX is seen in the background as U.S. President Donald Trump is shown on a TV screen at the stock market in Frankfurt, Germany. What's more, many investors ascribe to 'TACO', a term coined by a Financial Times columnist that stands for 'Trump always chickens out,' meaning most of the tariffs threats are bluster meant to make him appear to be a master deal-maker and they won't be here to stay. 'That is quite a diverging opinion from what the bond market is saying,' says Jonathan Baird, Toronto-based editor and publisher of the Global Investment Letter. Bond investors view the One Big Beautiful Bill as a recipe for inflation, eventually adding more than US$3.8 trillion to the annual budget deficit. Tariffs, too, are inflationary, which further make the case for more investors to sell their U.S. bonds. Average investors, not Wall Street, are likely feeling indecisive and maybe even fearful. A dose of caution is warranted, says John De Goey, portfolio manager with Design Wealth Management in Toronto, and author of Stand Up to the Financial Services Industry. Even without Trump-induced mayhem, 'stocks are very expensive and therefore very risky.' He points to the cyclically adjusted price-to-earnings — or CAPE — for the S&P 500. CAPE helps determine if an investment — based on a 10-year average of inflation-adjusted earnings — is valued appropriately. Right now, the S&P 500 is highly overvalued, according to CAPE. De Goey says the metric may not be a good predictor of bear markets. 'But it's extremely reliable for determining what the annualized return will be for the asset class … over the next decade,' he says. 'So when the S&P 500 is in the 30s or higher, the return over the next decade has historically been around zero.' The CAPE for the world's largest stock index has been about 35 in recent weeks. What's more, many seasoned investors see a decade ahead that could be similar to the 1970s when 'stagflation' weighed on markets. Characterized by higher than normal inflation and slow economic growth, stagflation can be toxic for stock and bond returns. 'I would suggest probably being as defensive as you're comfortable being,' says Baird, who expects stagflation to be a problem for the next few years. He doesn't recommend moving all of the portfolio to cash to preserve capital. That is tricky to time correctly on getting out of the market and, even more so, getting back into the market. Broadly, stagflation fighting strategies should focus less on growth stocks. Instead, consider companies selling goods and services consumers can't go without — like groceries and housing. Bonds should have shorter durations to reduce the impact of inflation. Commodity- and currency-based strategies can also provide some upside amid volatility. As well, alternative investments — private equity and credit, private real estate and hedge funds — are increasingly used by portfolio managers. 'The low-hanging fruit is increasing alternatives exposure,' De Goey says, noting these assets are less correlated to stock and bond markets, providing portfolio stability. Previously only available to wealthy investors, alternatives are now widely available as mutual funds and exchange-traded funds (ETFs). That said, investors should still own stocks, including those in the U.S., but they should consider reducing exposure to overvalued companies like the so-called Magnificent Seven (including Amazon Inc., Tesla Inc., Apple Inc. and Meta Inc.), says Jai Gandhi, investment adviser with Endeavour Wealth Management, iA Private Wealth in Winnipeg. 'We're not cutting our weight to the U.S. market compared with a year ago, but we're conscious of the high values of companies that hold more risk.' That said, owning good companies never goes out of style for long-term investors. 'We don't worry too much about short-term price movements,' says Hardev Bains, president and chief investment officer at Lionridge Capital Management in Winnipeg. Rather, the focus for Bains and other fundamental investors is owning companies with long-term profitability growth, strong balance sheets (significantly more assets than liabilities) and competitive advantages. These companies, however, are only purchased when their share price reflects fair value relative to those qualities. What's more, even holding great companies can be risky when they become steeply overvalued. At that point, it's worthwhile selling those holdings or at least reducing their portion in the portfolio. 'Part of our discipline is if we sell companies and can't find anything to buy — which happens in periods of expensive markets — we go to cash, as we're doing right now,' Bains says Companies may have great business models, but their share price today is generally too high to purchase with a margin of safety. Still, Lionridge's equity portfolio obviously must hold stocks — currently about 20 companies that are likely to weather stagflation and even a recession better than other stocks. A recession is likely already underway, De Goey notes, pointing to gross domestic product (GDP) in the first quarter contracting in the U.S. 'No reasonable person expects the economy to grow in Q2 given tariffs are now having more of an impact.' Monday Mornings The latest local business news and a lookahead to the coming week. The best companies should remain profitable, and market drops will put their shares on sale from time to time, Baird says. In the meantime, beware of FOMO — fear of missing out — when markets surge higher, he adds. That often leads to buying high and, worse, selling low in a knee-jerk reaction to markets plunging in fear. 'We're all fallible and prone to psychological traps,' Baird adds. 'So the biggest thing for any investor is managing our emotions.' Joel Schlesinger is a Winnipeg-based freelance journalist joelschles@