US Lawmakers Accuse X Chief Musk of Profiting from Anti-Israel Propaganda

Tesla and SpaceX's CEO Elon Musk pauses during an in-conversation event with British Prime Minister Rishi Sunak in London, Britain, Thursday, Nov. 2, 2023. (Reuters)
Tesla and SpaceX's CEO Elon Musk pauses during an in-conversation event with British Prime Minister Rishi Sunak in London, Britain, Thursday, Nov. 2, 2023. (Reuters)
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US Lawmakers Accuse X Chief Musk of Profiting from Anti-Israel Propaganda

Tesla and SpaceX's CEO Elon Musk pauses during an in-conversation event with British Prime Minister Rishi Sunak in London, Britain, Thursday, Nov. 2, 2023. (Reuters)
Tesla and SpaceX's CEO Elon Musk pauses during an in-conversation event with British Prime Minister Rishi Sunak in London, Britain, Thursday, Nov. 2, 2023. (Reuters)

A group of 27 US lawmakers, all Democrats, wrote to X owner Elon Musk on Tuesday to express concern the platform seemed to be profiting from premium accounts that glorified violence against Israelis.

In the letter to Musk and X chief executive Linda Yaccarino, the lawmakers noted reports from nonprofit organizations that showed people with X Premium accounts "glorifying barbaric acts of violence against Israelis."

The letter is the latest fight between Musk, who bought Twitter and renamed it X, and those who have advocated for better content moderation. X sued the watchdog group Media Matters on Monday, alleging it defamed the platform after it published a report that said ads for major brands had appeared next to posts touting Adolf Hitler and the Nazi party.

"These reports demonstrated that X is profiting from the spread of this gruesome and harmful propaganda through account subscription fees and ad revenue," the lawmakers wrote, adding that much of the offensive content remained live despite being flagged by researchers.

X did not immediately respond to a request for comment.

The lawmakers said X profited from the posts both from subscription fees as well as ads displayed in replies to both Premium and regular posts.

"X has financially benefited from the spread of demonstrably false and misleading content as well," the lawmakers wrote.

X's US ad revenue has declined at least 55% year-over-year each month since Musk's takeover. Advertisers have left the platform since Musk bought it for $44 billion in October 2022 because of some of Musk's controversial posts and layoffs of employees who worked to moderate content.

The lawmakers also noted that the United States had designated Hamas as a terrorist organization in 1997, which means that it was unlawful to knowingly provide material support or resources to the group.

"There is no ambiguity about whether violent videos generated by the group qualify under these policies. These are videos that carry official Hamas branding and iconography," the lawmakers wrote.



AI Cloud Provider SMC Plans Global Rollout

People attend a media tour of Sustainable Metal Cloud's Sustainable AI Factory in Singapore July 25, 2024. REUTERS/Caroline Chia/File Photo Purchase Licensing Rights
People attend a media tour of Sustainable Metal Cloud's Sustainable AI Factory in Singapore July 25, 2024. REUTERS/Caroline Chia/File Photo Purchase Licensing Rights
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AI Cloud Provider SMC Plans Global Rollout

People attend a media tour of Sustainable Metal Cloud's Sustainable AI Factory in Singapore July 25, 2024. REUTERS/Caroline Chia/File Photo Purchase Licensing Rights
People attend a media tour of Sustainable Metal Cloud's Sustainable AI Factory in Singapore July 25, 2024. REUTERS/Caroline Chia/File Photo Purchase Licensing Rights

Singapore-headquartered AI cloud provider Sustainable Metal Cloud (SMC) is planning to expand globally as its sees fast-growing demand for its energy saving technology, its CEO said on Thursday.

"Due to client demand, we’re looking to expand in EMEA (Europe Middle East and Africa) and North America," CEO and co-founder Tim Rosenfield said, Reuters reported.

The startup, a partner of AI chip giant Nvidia, already operates what it calls "sustainable AI factories" in Australia and Singapore and is set to launch in India and Thailand.

Its clients in Singapore, where it operates over 1,200 of Nvidia's high-end H100 AI chips, include Facebook owner Meta who uses SMC's cloud to run its Llama 2 AI model.

While most data centres depend on air cooling technology, SMC uses immersion technology, submerging servers from Dell fitted with GPUs (graphics processing units) from Nvidia in a synthetic oil called polyalphaolefin to draw heat away faster.

The technology behind the approach reduces energy consumption by up to 50% compared to traditional air cooling, according to the CEO.

Demand for AI is expected to increase 10-fold compared with 2023, according to the International Energy Agency (IEA).

The electricity consumption of data centres globally is expected to top 1,000 terawatt-hours in 2026, roughly equivalent to Japan's total annual consumption, the IEA said in March.

SMC is currently raising $400 million in equity and $550 million in debt according to a source with direct knowledge of the matter.

The company declined to comment. The fundraising was first reported by Bloomberg.