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Technical.ly
4 days ago
- Business
- Technical.ly
Philly, Pennsylvania risk losing Digital Equity Act programs after Trump administration rules them ‘unconstitutional'
The governments of Pennsylvania and its largest city received federal termination notices related to the Digital Equity Act, cutting money to help Pennsylvanians access devices and digital skills. Memos from the US Department of Commerce said at least one program within the Digital Equity Act violated the constitution because it outlines specific 'racial preferences,' even though advocates say that racial minorities are only one type of underserved population that the law seeks to support. The specific initiative the department highlighted was supposed to bring increased access to devices, digital literacy and other skills needed to effectively use the internet. 'The Digital Equity Capacity Program … is unconstitutional and grants issued pursuant to it were created with, and administered using, impermissible and unconstitutional racial preferences,' read the termination letter received and confirmed by Pennsylvania's Department of Community and Economic Development. The Digital Equity Act is one of two digital access initiatives within the Biden administration's Infrastructure Investment and Jobs Act (IIJA). It incorporates three grant programs, including the aforementioned Digital Equity Capacity Program and Digital Equity Competitive Grant. The latter initiative allowed entities to apply for funding directly from the National Telecommunications Information Administration (NTIA), an agency within the Commerce Department. Recommendations for Competitive Grant recipients were announced in January, and the NTIA selected the City of Philadelphia to receive $11.9 million. These funds were going to support an internet subsidy program, laptop kiosks, esports centers and other efforts to make the internet more accessible to Philadelphians. The city never received a formal contract for this grant, though, according to Kate Rivera, executive director of Philly-based digital equity nonprofit the Technology Learning Collaborative (TLC), which partnered with the city on its grant application. In May, the Department of Commerce sent a notice letting grantees know they would not receive the awards. 'All Digital Equity Competitive and Digital Equity Capacity grant awards have been terminated, except for grants to Native Entities, which are pending further legal review,' read the notice received and confirmed by the city's Office of Innovation and Technology. The other funding streams within the Digital Equity Act are the State Digital Equity Planning Grant Program and the Digital Equity Capacity Program. Each state received funds from the Planning Grant Program to create a digital equity plan, then was recommended for additional money from the Capacity Program to put the in motion. Pennsylvania received $1.6 million to create a Statewide Digital Equity plan, which was completed in January 2024. The commonwealth was supposed to get $25 million to implement that plan, for which the state would then issue a request for proposal to subgrant much of those funds to orgs across the state. Pennsylvania was not as far along in the process of distributing this funding as some other states were, said Drew Garner, director of policy engagement at the advocacy organization the Benton Institute for Broadband and Society. Many states were in the process of administering their subgrant programs, but Pennsylvania hadn't even opened up applications yet. This was partially due to delays in approving the Pennsylvania Broadband Development Authority's Digital Skills and Community Capacity Program guidelines in April. Digital Equity Act removal could affect most Pennsylvanians In early May, shortly before these termination notices were sent out, President Donald Trump called the Digital Equity Act 'unconstitutional' and 'racist' in a post on Truth Social. These concerns seem to come from the fact that the Digital Equity Act defines a list of eight 'covered populations,' or groups of people most impacted by the digital divide, Rivera said. The goal of identifying those groups was to make sure the funded projects address the needs of people who need it most, Rivera said. Applicants had to show that they could reach these populations. One of the designated populations is ethnic and racial minorities, which the president appears especially focused on, she said. The other populations include seniors (people over 60), people with disabilities, veterans and residents of rural communities. 79.4% of Pennsylvania's population falls under covered populations, according to the Census Bureau. 'Just one out of the [eight] covered populations really has a reference to race and ethnicity,' she said. 'But it's not a discriminatory requirement where people would be turned away from receiving services if they're not a racial and ethnic minority.' reached out to the NTIA, asking why the Digital Equity Act was deemed unconstitutional, but did not immediately receive a response. Federal decisions hurt digital equity beyond dollars The end of the Digital Equity Act doesn't just impact the programs that were supposed to receive direct funding: It also affects the wider strategy of what was supposed to be a historic investment in digital inclusion, Rivera from TLC said. The Broadband Equity Access and Deployment (BEAD) program is the other digital access initiative administered through the IIJA. Pennsylvania was supposed to receive $1.16 billion to build out broadband infrastructure that would bring internet service to unserved and underserved parts of the state. This funding is now delayed. However, even if BEAD moves forward as planned, the program won't have as much of an impact without the Digital Equity Act, Garner from the Benton Institute said. That funding supported programs to ensure people can actually use the internet to improve their lives. 'It is only through digital adoption, having devices, having skills, that Pennsylvania will really see the economic benefit of BEAD,' Garner said. The Digital Equity Act is a law, so the expectation is that state attorneys general will sue the Trump administration for breaking the law, he said. Pennsylvania's attorney general did not immediately respond to request for comment. In the meantime, organizations can't do much besides continuing to advocate for the program with legislators and preparing as if the money will return, Rivera said. 'Eventually, when the tide turns again, and there is funding again for digital equity work,' Rivera said, 'we will be ready, like we were ready for this funding.'
See - Sada Elbalad
21-05-2025
- Business
- See - Sada Elbalad
Financial Pressures ,Trade Policy Uncertainty Fuel Demand For Gold ,Silver
Waleed Farouk Gold prices rose in local markets during trading on Wednesday, with the ounce rising on the global stock exchange, supported by financial pressure and geopolitical tensions. Gold prices rose in local markets by about 30 Egyptian pounds during trading today, compared to yesterday's closing price. The price of a gram of 21-karat gold reached 4,660 Egyptian pounds, while an ounce rose by about $17 to $3,311. A gram of 24-karat gold reached 5,326 Egyptian pounds, a gram of 18-karat gold reached 3,994 Egyptian pounds, a gram of 14-karat gold reached 3,107 Egyptian pounds, and the gold pound reached 37,280 Egyptian pounds. Gold prices in local markets rose by EGP 80 during trading on Tuesday. The price of a gram of 21-karat gold opened at EGP 4,550 and closed at EGP 4,630. An ounce rose by $56, opening at $3,234 and closing at $3,294. Gold prices rose due to increased demand for safe havens, following Israeli statements regarding a possible attack on Iranian nuclear facilities. A CNN report stated that Israel is planning an attack on Iranian nuclear facilities. It is still unclear whether a final decision has been made to carry out the attack, and markets are looking for confirmation from US or Israeli leaders. Growing expectations of a Federal Reserve interest rate cut have put downward pressure on the dollar, increasing demand for non-yielding assets such as gold. Recent data from the US Department of Commerce showed retail sales flat in April, while consumer price growth slowed to 3.4% year-on-year, down from 3.5% in March. These figures, along with declining labor market indicators, supported the case for monetary easing, enhancing gold's appeal as an economic hedge. In the United States, President Trump is facing setbacks at home, as his administration struggles to secure sufficient support to pass a tax bill through Congress. Trump expressed frustration on Capitol Hill while speaking with lawmakers who demanded a significant increase in the maximum deduction for state and local taxes. Market anxiety was exacerbated after Moody's cut its credit outlook for the US last week, citing a deficit expected to exceed 6.2% of GDP over the next two years. Furthermore, the Trump administration's proposed tax package, which analysts estimate could increase US debt by as much as $5 trillion, has exacerbated financial fragility. Meanwhile, escalating trade tensions between the United States and China over semiconductor exports and industrial policy have fueled fears of supply shocks and growth disruptions. Combined with ongoing global uncertainty, these dynamics are boosting demand for gold and silver. As investors reassess potential Federal Reserve rate cuts and future structural risks, the outlook for precious metals remains strongly supported. read more CBE: Deposits in Local Currency Hit EGP 5.25 Trillion Morocco Plans to Spend $1 Billion to Mitigate Drought Effect Gov't Approves Final Version of State Ownership Policy Document Egypt's Economy Expected to Grow 5% by the end of 2022/23- Minister Qatar Agrees to Supply Germany with LNG for 15 Years Business Oil Prices Descend amid Anticipation of Additional US Strategic Petroleum Reserves Business Suez Canal Records $704 Million, Historically Highest Monthly Revenue Business Egypt's Stock Exchange Earns EGP 4.9 Billion on Tuesday Business Wheat delivery season commences on April 15 News Egypt confirms denial of airspace access to US B-52 bombers News Ayat Khaddoura's Final Video Captures Bombardment of Beit Lahia News Australia Fines Telegram $600,000 Over Terrorism, Child Abuse Content Arts & Culture Nicole Kidman and Keith Urban's $4.7M LA Home Burglarized Sports Former Al Zamalek Player Ibrahim Shika Passes away after Long Battle with Cancer Sports Neymar Announced for Brazil's Preliminary List for 2026 FIFA World Cup Qualifiers News Prime Minister Moustafa Madbouly Inaugurates Two Indian Companies Arts & Culture New Archaeological Discovery from 26th Dynasty Uncovered in Karnak Temple Business Fear & Greed Index Plummets to Lowest Level Ever Recorded amid Global Trade War Arts & Culture Zahi Hawass: Claims of Columns Beneath the Pyramid of Khafre Are Lies
The Star
20-05-2025
- Business
- The Star
Data centre development remains favourable
FILE PHOTO: Semiconductor chips are seen on a circuit board of a computer in this illustration picture taken February 25, 2022. REUTERS/Florence Lo/Illustration/File Photo PETALING JAYA: Malaysia's data centre (DC) story remains intact, with the latest US policy reversal on artificial intelligence (AI) chip export restrictions set to bolster investor confidence and sustain momentum in one of the country's most promising sectors. Improved clarity around access to advanced chips is expected to revive project flows and benefit a wide swathe of industries linked to the DC value chain. In its recent report, RHB Research said: 'We believe the DC story still has legs, with consistent positive investment news flow seen through the past months despite the United States AI diffusion overhang.' The brokerage noted that the local environment for DC development remains favourable, particularly with the United States dropping earlier plans to restrict exports of graphics processing units (GPUs) to countries like Malaysia. The US Department of Commerce is now set to adopt a bilateral negotiation framework, replacing the previously proposed AI diffusion rules under the Biden administration. This move removes the blanket cap on AI chip exports and gives countries the chance to offer assurances against technology diversion to China. 'Proposed DC builds in Malaysia will no longer be subject to GPU cap restrictions, which would have stifled DC related investments,' RHB Research said. 'This policy change will alleviate concerns impacting the entire DC value chain including construction, property, energy, telecommunications and technology,' it added. Investor sentiment is likely to rebound in key areas such as Johor and Cyberjaya, with the bilateral approach viewed as more constructive. 'Greater policy clarity would be a positive for the tech sector,' RHB Research said, noting that countries like Malaysia, previously categorised under Tier-2, stand to benefit from the change, unlike Tier-3 nations which were already restricted under US chip export rules. In the construction sector, DC developments are seen as a catalyst for job flows and earnings visibility. RHB Research said, 'Trends of DC investments likely remaining intact in Malaysia following this latest development could sustain job replenishment trends in the next few years for contractors, translating into commendable earnings visibility.' The brokerage noted that Johor's planned 822-megawatt of DC capacity could generate up to RM16bil in job opportunities. 'The move by US President Donald Trump's administration to rescind the curbs on chips exports is an overall positive for builders involved in the DC space,' it added. Nevertheless, RHB Research cautioned that a risk remains if Malaysia is implicated in any diversion of chips to China, with Trump's proposed return potentially bringing new scrutiny. On the property front, 'The policy shift will ease investors' concern over the potential delay in or cancellation of the major DC projects signed with the landowners, developers, and contractors in Malaysia,' RHB Research said. It maintains an 'overweight' rating on the property sector, citing improved valuations and macro support from continued investment and a recovery in foreign property interest. As for utilities, DC growth will fuel rising demand for electricity and water infrastructure. 'With easier access to advanced AI chips, global tech giants are likely to expand their DC operations in Malaysia, which eventually translates to higher electricity demand,' RHB Research said. As such, it maintains its 'overweight' stance on the utilities sector. It also has an 'overweight' rating on the construction sector. RHB Research's top DC-related plays include Tenaga Nasional Bhd , Gamuda Bhd , YTL Power International Bhd , Sime Darby Property Bhd and Sunway Construction Group Bhd . 'We continue to lean into a defensive stance, sell-into-strength and buy-on-weakness investment strategy,' it said.
Korea Herald
14-05-2025
- Business
- Korea Herald
920% US tariff threat on Chinese graphite jolts Korean battery-makers
Korean anode materials may gain edge as industry seeks non-Chinese alternatives Korean battery-makers are bracing for a possible rise in production costs, as the US Department of Commerce prepares to announce a preliminary review of its investigation into alleged violations of antidumping regulations by Chinese graphite producers, potentially resulting in tariffs as high as 920 percent. According to industry sources on Wednesday, the US department is expected to reveal its findings as early as May 19. The investigation stems from a petition filed in December 2024 by the American Active Anode Material Producers, a group of US and Canadian graphite miners. This upcoming decision follows the US International Trade Commission's preliminary determination in February, which found that Chinese graphite exports were disrupting the US graphite industry by being sold at artificially low prices. The finding could pave the way for the Commerce Department to raise tariffs on Chinese graphite imports from their current levels of 10 percent for natural graphite and 25 percent for synthetic graphite, according to sources. Both US agencies are expected to issue final rulings later this year on whether Chinese firms engaged in unfair pricing and whether countervailing duties are warranted. Mounting cost challenges Industry watchers note that despite the recent de-escalation between Washington and Beijing — with both sides agreeing to pause most tariffs for 90 days — the US government is likely to continue pursuing countervailing measures against Chinese graphite. 'While US federal agencies may not impose the full 920 percent tariff, they will likely aim to neutralize China's unfair competitive edge in graphite,' said Kim Tae-hwang, an international trade professor at Myongji University. 'Even with the tariff pause, Trump has not exempted Chinese-made automobiles, parts, steel or aluminum — signaling a continued focus on reshoring key manufacturing supply chains.' Korean battery manufacturers are closely monitoring developments, as they currently rely heavily on Chinese graphite. According to the Korea International Trade Association, South Korea sourced 98.8 percent of its artificial graphite and 97.6 percent of its natural graphite from China last year, making them the top two graphite imports. The reason behind this dependence is cost efficiency: Chinese graphite is 30 to 40 percent cheaper than Korean alternatives. Consequently, Korea's reliance on Chinese artificial graphite rose further in 2024, up from 97.1 percent in 2023. 'If the US implements sharply higher tariffs without a grace period, Korean battery manufacturers will be forced to expand sourcing from outside China, particularly from domestic suppliers,' said an anonymous industry source. The anticipated pivot away from Chinese graphite could benefit Korean battery material suppliers, who have long struggled to compete with cheaper Chinese products. This dynamic worsened when the US Inflation Reduction Act allowed EV tax credits of up to $7,500 for vehicles using Chinese graphite until the end of 2026 — even though China is designated as a "Foreign Entity of Concern." 'Many Korean battery-makers are hoping for another extension of the grace period, but it's unlikely,' said another industry insider. 'The US government could argue that enough time has already been given to shift sourcing to alternative regions such as Latin America and Africa.' Among Korean battery material producers, Posco Future M is currently the only major player manufacturing anode materials. However, it remains heavily reliant on Chinese imports for spherical graphite — a processed form of natural graphite used in EV battery anodes. To reduce this dependency, Posco Future M last month announced a 396.1 billion won ($280 million) project to build an independent supply chain for spherical graphite, aligning with its strategy to secure a non-Chinese supply chain ahead of 2027, when the IRA rules are expected to exclude Chinese graphite-based materials. Over the past two years, Posco Future M has also signed a long-term supply agreement with Australian mining firm Syrah Resources for natural graphite from Mozambique. In addition, its sister company, Posco International, has secured natural graphite reserves in Tanzania.
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Business Standard
14-05-2025
- Business
- Business Standard
Trump administration rescinds curbs on AI chip exports to foreign markets
After a week of promises to alter the policy, the US Department of Commerce has rescinded a Biden-era rule due to take effect Thursday that placed limits on the number of artificial intelligence chips that could be exported to certain international markets without federal approval. These new requirements would have stifled American innovation and saddled companies with burdensome new regulatory requirements, the Commerce Department stated in its guidance. The Biden administration had established the export framework in an attempt to balance national security concerns about the technology with the economic interests of producers and other countries. While the United States had already restricted exports to adversaries such as China and Russia, some of those controls had loopholes and the rule would have set limits on a much broader group of countries. Commerce Undersecretary Jeffery Kessler said Tuesday that the Trump administration work to replace the now-rescinded rule. The Trump Administration will pursue a bold, inclusive strategy to American AI technology with trusted foreign countries around the world, while keeping the technology out of the hands of our adversaries. (Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
