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US Or China? The Nation That Wins The Nuclear Fusion Race Wins Global Primacy

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US Or China? The Nation That Wins The Nuclear Fusion Race Wins Global Primacy

Authored by Lawrence Kadish via The Gatestone Institute,

There continues to be a debate among global geopolitical analysts regarding whether the United States and China are engaged in a Cold War or a competition for global dominance.

The answer is irrelevant.

By anyone’s observation, China seeks to dominate the 21st century, and they will do so by “any means necessary.”

In the process, they will use their military might to create a sphere of influence that is designed to cow nations that range from Japan to Australia to India.

Their invasion of Taiwan is almost a foregone conclusion among many military observers, who believe it is not a question of if but when.

But “when or if” China launches its amphibious assault, it will have determined that the United States is not willing to risk its armed forces to defend an island that produces the majority of the world’s computer chips, especially the most advanced ones.

China’s eventual decision to deploy its military throughout the Pacific Rim will likely be preceded by confidence in its ability to harness extraordinary advances in AI resulting from its access to unlimited, clean, inexpensive electricity available from fusion power.

It is an emerging technology currently the beneficiary of what is believed to be untold billions of Chinese yuan of investment. One executive at Brookhaven National Laboratory told me earlier this year:

“We have no idea how much they are truly spending because of the secrecy surrounding their efforts but we get the sense ‘whatever it takes’ to achieve a breakthrough in fusion.”

The strategic linkage is clear and without question.

Consider the facts: AI has the means to alter the course of a country’s history.

But to harness its full potential requires incredible amounts of energy. Create that energy, and AI becomes a 21st-century strategic weapon.

For far too long the United States failed to place its scientific and industrial might behind what might be called a 21st-century Manhattan Project, recalling the days of World War II when we won the race to create the atomic bomb.

That indifference has profoundly changed during the last quarter of 2025. The White House recently created an Office of Fusion within the Department of Energy, significantly elevating focus and urgency on this technology. Equally important is the announcement that President Donald J. Trump is getting into the fusion power business through a $6 billion merger between his social media company and the fusion research company TAE Technologies.

If there is any message that needs to be heard by China, it is that Trump recognizes that the winner of the fusion race will secure its nation’s future and dictate whether democracy and freedom will flourish or the misery of communism will fall upon tens of millions of people.

History may well view that out of all his accomplishments, the president’s investment in fusion was the one upon which the fate of nations was determined.

Tyler Durden
Wed, 12/24/2025 – 18:25

Toyota Will Export American-Made Vehicles To Japan Next Year To Please The Trump Administration

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Toyota Will Export American-Made Vehicles To Japan Next Year To Please The Trump Administration

Toyota said it will start selling three U.S.-built models in Japan in 2026 — the Camry, Highlander, and Tundra — produced in Kentucky, Indiana, and Texas. The move is widely seen as part of Toyota’s effort to ease tensions with President Donald Trump over U.S. tariffs on Japanese vehicles and parts, according to Yahoo Finance.

“Toyota will be able to meet the diverse needs of a broad range of customers, while also helping to improve Japan–US trade relations,” the company said.

Yahoo writes that Toyota has been actively courting Trump’s favor, including Chairman Akio Toyoda’s high-profile appearance at a NASCAR event in Japan wearing a MAGA hat and a shirt with Trump and Vice President JD Vance.

Earlier this year, Toyoda also suggested allowing U.S. automakers to sell cars in Japan through Toyota’s domestic dealer network — a proposal that fed into a trade deal calling on Japan to “open their country” to American vehicles.

Other Japanese automakers may follow Toyota, but analysts expect limited impact.

Bloomberg Intelligence’s Tatsuo Yoshida said: “All three models under discussion are large by Japanese standards, and left-hand drive remains a major psychological and practical barrier for most consumers.” He added, “Producing right-hand-drive versions in the U.S. for the Japanese market could unlock some demand, but even then vehicle-size constraints would cap volumes.”

Large vehicles traditionally struggle in Japan due to narrow roads and parking. Meanwhile, Toyota and the Japanese government are exploring regulatory changes to make imports easier, and NHK reported that those efforts are now moving forward.

Tyler Durden
Wed, 12/24/2025 – 17:50

Work, Welfare, & The Illusion Of A New Eden

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Work, Welfare, & The Illusion Of A New Eden

Authored by Richard Porter via RealClearPolitics.com,

The scandal among the Somali community in Minnesota highlights a question to consider as we plunge deeper into the AI Age, an age in which some futurists, such as Elon Musk, suggest work will be optional: What’s the point of working?

In the beginning, there was no work: God’s punishment for Adam’s disobedience was tossing him from the Garden of Eden and condemning mankind to suffer through labor. 

And for millennia, man suffered and labored merely to exist and reproduce, as all other living things did on earth. But whether from eating from the Tree of Knowledge, intelligent design, or the vagaries of evolution, man has the capacity to reason and imagine, create and innovate that other animals do not have. 

As a result, humans no longer labor merely to exist, but to aspire, acquire, and achieve. We trade our labor for things we cannot or do not wish to make ourselves; to provide for future needs; to enjoy plenty, luxury, and convenience. Humans are social animals too, so we work with others to build what a single person could not, and to gain status or admiration from other humans. 

And we work to help those who cannot help themselves, mindful of the Biblical exhortation “I have shewed you all things, how that so labouring ye ought to support the weak, and to remember the words of the Lord Jesus, how he said, It is more blessed to give than to receive.”

Working to achieve the blessing of giving is integral to Americanism; Americans are the most generous people on earth. 

Now, in this golden age of plenty and peace, we consider again: What’s the point of working? And its corollary as well: What’s the point of giving? 

Eden – or heaven on earth – a place of contentment, ease, and mindless happiness, a place where work no longer exists, shimmers like a mirage on the horizon: thirsted for but never really in reach. 

Well now, in the AI Age, perhaps a return to Eden is in reach, but is this version of Eden – abundant slothfulness – really the pinnacle of human existence? 

To Somali refugees escaping civil war, death, destruction, and a bare subsistence economy, the U.S. offered a new life in which work was no longer required to subsist. At the cost of merely filling out and filing a form – and no doubt, even that “work” was done for them as well by a well-meaning social worker – the U.S. provided for all needs and even some wants. 

Each and every Somali refugee found a better life in the U.S. without working. So, no one should be surprised that 89% of Somali families with children receive public aid. 

Indeed, some clever refugees figured out that the generous, inattentive welfare state the U.S. had created with good intentions over the last 60 years offered a return to Eden. 

Just by breaking a few rules that no one was enforcing, filling out and filing some more forms, vast unimaginable wealth was available – and would actually be given to you. Enough, it turns out, to live in opulence and to provide most of the needs for sprawling clans back home as well. 

If we create an environment in which wealth can be achieved so easily just by breaking a few rules that no one enforces, was it wrong for a rational person to pursue wealth just by taking it? 

We placed refugees into a new Eden and merely said: Take fruit from these trees but not from that tree. 

Somalian refugees are not the only people who have discovered this glitch – this feature – in how we give. DOGE started a process, which is ongoing, uncovering the startling extent to which government giving is gamed. 

For example, the Department of Agriculture has asked each state to provide the name, address, and Social Security number of each person receiving SNAP (Supplemental Nutrition Assistance) benefits. More than 20 states have refused to comply, but in studying the data on those that did, the government discovered over 150,000 dead people receiving benefits, hundreds of thousands more taking benefits from more than one state, and of course fake Social Security numbers. 

It turns out it’s easy to cheat the government, and most state governments are actually actively trying not to find the fraud. And it’s not just in the welfare state; it appears to be systemic in the social service grant-making world as well. 

The Somali experience is turning out to be an inadvertent social policy experiment complete with lessons, about both work and generosity. 

  • First, giving with lax, unenforced rules is akin to giving without rules, which is an invitation to live in Eden – an invitation many will accept. 

  • Second, Eden is good for animals, but it’s actually not the pinnacle of human existence so long as humans have the capacity to think, create, imagine, and aspire. 

  • Third, work may be a curse for humans focused on subsistence, but it’s a blessing for humans thinking, creating, imagining, aspiring, trading, acquiring, achieving – and giving. 

  • Fourth, giving as an output of human labor is better than receiving, because receiving discourages work and work is how one is blessed with the ability to give – so we need to beware of thoughtless, unstructured giving that discourages work. 

In our golden age, as our means to give grows, and as “work” itself becomes “optional,” we need to anticipate the paradox of working, giving, and getting. We still live in a world of scarcity, but we continue to create abundance through freely trading or selling work, and giving is a beneficial consequence of working. But getting undermines the will to work, which diminishes future giving. 

Giving and getting can never be a replacement for working and giving. If we ignore this, offering a new Eden to all without work, human will experience a painful fall from grace once again. 

Tyler Durden
Wed, 12/24/2025 – 17:15

“Boosters On. Wings Out!”: AST SpaceMobile Launches Biggest Satellite Yet To Take On Starlink

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“Boosters On. Wings Out!”: AST SpaceMobile Launches Biggest Satellite Yet To Take On Starlink

AST SpaceMobile launched its largest-ever satellite, BlueBird 6, from India earlier on Wednesday, marking the company’s first satellite deployment in its low-Earth-orbit (LEO) constellation. This constellation is designed to provide direct-to-smartphone connectivity and compete with SpaceX’s Starlink. The launch comes as the LEO industry is expected to see intensified competition in 2026, especially if SpaceX proceeds with an IPO.

On X, AST SpaceMobile announced that its BlueBird 6 satellite – designed to deliver direct-to-smartphone cellular connectivity from space and function as a space-based cell tower – successfully reached orbit after launching aboard the Indian Space Research Organisation’s LVM3 rocket from the Satish Dhawan Space Centre.

CEO Abel Avellan thanked Prime Minister Narendra Modi for supporting the US-India space partnership that enabled the BlueBird 6 satellite launch.

AST currently operates five commercial satellites in orbit and plans to deploy more than 60 next-generation satellites in 2026. The company has partnered with major telecom providers, including AT&T, Verizon Communications, and Vodafone Group, to integrate satellite coverage with existing cellular networks.

AST shares in New York are up 3% on the session, adding to the year-to-date gains of more than 300%. 

Meanwhile, SpaceX’s Starlink is years ahead of the competition, with more than 9,400 satellites in orbit, making it the largest satellite constellation ever assembled. Starlink has partnered with T-Mobile US.

The latest Starlink data shows that Elon Musk’s space internet company is adding more than 21,000 customers per day, bringing the total to 9 million customers worldwide.

In recent weeks, SpaceX trademarked “Starlink Mobile,” and Musk confirmed a SpaceX IPO set for next year.

The key takeaway is that the LEO space industry is set to accelerate next year. We’ve previously explained ways to profit (read here), especially with the news that AI data centers will be launched aboard SpaceX rockets. After that, the focus will shift to the Moon and then Mars, meaning we’re still in the early stages of this LEO industry.

 

Tyler Durden
Wed, 12/24/2025 – 16:40

Canada Is Building The Wrong Army For The War That Is Coming

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Canada Is Building The Wrong Army For The War That Is Coming

Authored by Andrew Latham via RealClearDefense,

The next major land war will not reward elegance, boutique modernization, or the comforting belief that advanced technology can replace mass and endurance. It will expose armies built on fragile assumptions. Concealment has largely disappeared. Attrition has returned as a central fact of combat. Sustainment shapes outcomes as decisively as firepower. Yet the Canadian Army remains organized, equipped, and intellectually anchored to a vision of warfare that belonged to yesterday’s world. The problem is not a simple modernization lag or a lack of new kit. It is a deeper conceptual failure—a refusal to absorb how radically and irreversibly the character of land warfare has changed.

That is the larger point. The key change is not this or that technology. The battlespace itself has changed. Artificial intelligence, proliferated drones, commercial satellites, autonomous strike systems, and persistent ISR have combined into a transparent, data-rich battlespace where everyone is on the move, movement is tracked instantly, concentrations are targeted rapidly, and supply lines are targeted as soon as they begin to form—an environment already documented in assessments of modern conflict. An army that cannot scatter, regenerate while under fire, and sustain itself while under persistent observation is not going to muddle through. It is going to break.

Transparency and the End of Concealment

Western armies have operated on the assumptions of concealment and intermittent detection for a generation. Those assumptions are no longer valid. The contemporary battlespace is full of aerial surveillance, open-source commercial satellite imagery, digital emissions that reveal every vehicle and headquarters location, and loitering munitions that make ground above those locations perpetually contested—patterns captured in recent operational analyses.

The issue is time: the time between being discovered and being targeted. The time between when a headquarters can command and when it becomes a targeting point. The time between declaring a movement and becoming a target.

Survival requires dispersion, deception, mobility, and an entire operating paradigm built on the idea that you are observed all the time. The Canadian Army knows about the emergence of drones, ISR, and digital exposure, but it has not yet internalized the ways that they change land warfare’s fundamentals.

Attrition Has Returned—and Canada Is Not Ready

Precision fires promised surgical, inexpensive war. In reality, they have intensified attrition: the ability to strike targets more often, more reliably, and more predictably. Ukraine has demonstrated the scale of this shift: modern war is industrial, not surgical. It consumes people, equipment, ammunition, drones, and spare parts at rates far beyond what most Western forces planned for in peacetime, as shown by studies of wartime industrial demand.

The Canadian Army is not designed for this reality. It is small and brittle. It is optimized for controlled, expeditionary contributions, not for open-ended, high-intensity conflict. Ammunition stocks are low. Maintenance capacity is thin. Replacement cycles are slow. Mobilization—across industry, reserve forces, and training pipelines—is largely theoretical, even as official modernization documents highlight the fragility of the current model.

You can have a small and lethal army if it is small and lethal through design and deliberate choice. You cannot have a small, hollow, and unprepared army if it has to fight for extended periods. In an attritional war, those features are decisive.

Sustainment as a Front-Line Fight

The rise of long-range strike, drones, and cyber means that the old rear area is no more. Supply lines are now a front-line fight from start to finish. Supply depots, railheads, ports, repair facilities, and fuel infrastructure are all high-priority targets. If an enemy cannot stop forward brigades, it will attempt to starve them. Analyses of modern logistics under fire emphasize that industrial capacity and resilient supply networks—not efficiency—determine strategic endurance.

An army for the future must be able to fight under conditions of intermittent resupply, contested and damaged infrastructure, disrupted and overloaded communications, and near-constant threats to supply lines. Planning and organization must prioritize resilience, redundancy, and regeneration rather than peacetime efficiency and timeliness.

The Canadian Army still plans as if reliable resupply were a given and rear areas could stay intact. The moment a capable adversary enters the fight, those assumptions are shattered.

Dispersion, Autonomy, and Command Under Fire

Land warfare favors armies that can fight dispersed but connected, decentralized but coordinated. Small units must be able to operate at will even when isolated or cut off. Junior leaders must be able to act without micromanagement. Commanders must know their communications will be lost and they must be able to exercise control while that loss is happening. Contemporary doctrinal analysis underscores exactly this requirement for decentralized command in contested environments.

This is a question of more than new radios or drones. It is also a cultural issue. The instinct for centralization, risk aversion, and procedural control stems from the experience of peacekeeping and counterinsurgency missions, not from the needs of a high-tech, fully contested battlespace.

The institutional habits and instincts of the Canadian Army are still oriented to a previous world. It is those habits that will be unprepared when the next world comes.

The Arctic and Continental Reality

Canada’s geography adds to the problem. The Arctic is no longer a distant, largely theoretical frontier. It is now a theatre of competition defined by opposing surveillance architectures, long-range strike systems, and critical infrastructure vulnerabilities—conditions mapped in recent assessments of Arctic security. Continental defense is no longer just about aerospace warning. It is also about protecting energy networks, ports, radar sites, satellite uplinks, and the digital infrastructure that underpins modern life, as reflected in NATO’s forward defense posture.

A land force built for small contributions overseas cannot do all that. Canada needs an army that is also oriented toward persistent continental defense, NATO high-intensity operations, and hybrid resiliency. Canada does not have that. Instead, it has something far smaller and far less capable—an assessment echoed in recent readiness evaluations.

Radical Redesign, Not Cautious Incrementalism

Add drones, experiment with AI tools, rewrite doctrine. It is the typical Ottawa response to a problem of this nature. It is also not remotely enough. This is a structural problem, not a superficial one. Canada faces a conceptual failure, not a cosmetic one. A conceptual failure cannot be solved by bolt-on solutions.

What is needed is redesign. Force structure, reserves, sustainment, mobilization, training, and even strategic purpose must be rethought. This means jettisoning some assumptions that have been bedrock in Canadian defence since the Kosovo and Afghanistan era. It also means facing political realities about cost, scale, and what it is to be a responsible nation in this new moment. Emerging analysis of “hiding vs. finding,” sensor-shooter compression, and mass-versus-quality dynamics illustrates how unforgiving the next battlespace will be.

Optimism that everything is fine is a costly illusion. The faster you are wrong, the greater the cost.

The Cost of Illusion

The transformation of land warfare is happening before our eyes, under real fire. Armies that adapt late lose deterrence, relevancy, and influence. Canada does not need the biggest army in NATO. It needs an army designed for the realities of transparent, attritional, technologically saturated land warfare where endurance—not elegance—is the definition of combat power, themes reinforced in the latest assessments of the future competitive security environment.

Steel will matter. Silicon will matter. But none of it will matter until Canada has rethought how it prepares for land war – and makes the necessary changes. Waiting until events force that remaking is asking for a much harder reckoning in far worse circumstances down the road.

Andrew Latham, Ph.D., a tenured professor at Macalester College in Saint Paul, Minnesota. He is also a Senior Washington Fellow with the Institute for Peace and Diplomacy in Ottawa and a non-resident fellow with Defense Priorities, a think tank in Washington, D.C.

Tyler Durden
Wed, 12/24/2025 – 16:05

Russia Captures Another Ukrainian Town While Zelensky Still Insists On Altering Trump Peace Plan

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Russia Captures Another Ukrainian Town While Zelensky Still Insists On Altering Trump Peace Plan

Russian forces continue their steady battlefield gains this week, but Kiev is still seeking to grasp at establishing some sort of leverage at the negotiating table, as the Trump peace plan is still being pushed in back-and-forth US dialogue with Moscow representatives. 

Over the past some 24 hours, Russian troops have captured the settlement of Zarechnoye in the southeast Zaporozhye Region, according to the defense ministry (MoD). “Battlegroup East units kept advancing deep into the enemy’s defenses and liberated the settlement of Zarechnoye in the Zaporozhye Region,” the MoD said Wednesday according to TASS.

via Reuters

The military further issued a grim figure, claiming that the Ukrainian army lost over 1,400 troops in a single day across all front line areas. Additional armor and combat vehicles were also reportedly destroyed.

After weeks ago Ukraine finally lost the strategic logistics hub of Pokrovsk, it’s been setback after setback for Kiev from there. The pace of Russia’s advance has only steadily increased. Reuters conveys Ukraine’s response, which seeks to frame it as a strategic retreat:

Ukrainian forces have pulled out of the embattled eastern town of Siversk, Kyiv’s military said on Tuesday, as Russian troops wage a battlefield offensive aimed at threatening key cities critical to Ukraine’s defences in the east. Sloviansk is a northern anchor of the so-called “fortress belt” of cities in Ukraine’s heavily industrialised Donbas region, which Russia has demanded Kyiv cede before it ends its war.
“The invaders were able to advance due to a significant numerical advantage and constant pressure from small assault groups in difficult weather conditions,” Ukraine’s General Staff said in a statement.
It said it had withdrawn soldiers to preserve lives and resources, adding that they had, however, inflicted heavy losses on the enemy.

And yet, President Volodymyr Zelensky is still pressing for a fresh meeting with President Donald Trump to discuss “sensitive issues” – given Washington and Moscow seem closer than ever to reaching common understanding on the peace deal, after the Miami meetings.

Zelensky has laid out that territorial control of Ukraine’s eastern industrial heartland remains unresolved. The US plan hinges on Ukraine giving up territory, specifically in the east where its forces are clearly on the backfoot.

“We are ready for a meeting with the United States at the leaders’ level to address sensitive issues. Matters such as territorial questions must be discussed at the leaders’ level,” said Zelensky in comments released by his office on Wednesday.

Russia is currently reviewing the latest draft from the US side, after marathon talks in Florida, and a response is soon expected from President Putin.

Below is how Russian media presents Ukraine’s current attempts to modify the Trump plan, providing insights into the main disagreements:

Zelensky disclosed the details during a briefing with journalists on Wednesday, claiming the draft largely reflects a joint Ukrainian-American position, while several key issues remain unresolved.

Among the most contentious provisions is the proposal regarding the Zaporozhye Nuclear Power Plant (ZNPP), which is currently fully controlled by Russian forces. Kiev wants the plant to be jointly operated by Ukraine and the US on a 50-50 basis instead of Washington’s proposed trilateral management involving Russia.

The territorial issue, described as the most difficult, would also place the burden of concessions on Russia despite its vast military gains. One option outlined in the plan would require Russian forces to withdraw from Ukraine’s Kharkov, Dnepropetrovsk, Sumy, and Nikolayev regions, while freezing the conflict along current front lines in Russia’s Donetsk, Lugansk, Zaporozhye, and Kherson regions. 

And there’s also this point of contention, per the same report: “Provisions previously linked to Russian language rights and the Ukrainian Orthodox Church have been replaced with broadly worded commitments to educational programs promoting tolerance and anti-racism.”

Kiev still insists on a mere freezing of the front lines, and not a permanent political settlement of the eastern territories’ status. Zelensky has proposed that troops “remain where we are”.

The Kremlin’s demands for territory actually includes areas where some Ukrainian forces are still present. Putin has warned that this either gets settled at the negotiating table or on the battlefield, and has rejected any short-term ‘freeze’ which won’t ultimately solve the crisis.

Tyler Durden
Wed, 12/24/2025 – 15:30

How The Soviets Replaced Christmas With A Socialist Winter Holiday

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How The Soviets Replaced Christmas With A Socialist Winter Holiday

Authored by Ryan McMaken via The Mises Institute,

Leftist revolutionaries have long been in the habit of reworking the calendar so as to make it easier to force the population into new habits and new ways of life better suited to the revolutionaries themselves.

The French revolutionaries famously abolished the usual calendar, replacing it with a ten-day week system with three weeks in each month. The months were all renamed. Christian feast days and holidays were replaced with commemorations of plants like turnips and cauliflower.

The Soviet communists attempted major reforms to the calendar themselves. Among these was the abolition of the traditional week with its Sundays off and predictable seven-day cycles.

That experiment ultimately failed, but the Soviets did succeed in eradicating many Christian traditional holidays in a country that had been for centuries influenced by popular adherence to the Eastern Orthodox Christian religion.

Once the communists took control of the Russian state, the usual calendar of religious holidays was naturally abolished. Easter was outlawed, and during the years when weekends were removed, Easter was especially difficult to celebrate, even privately.

But perhaps the most difficult religious holiday to suppress was Christmas, and much of this is evidenced in the fact that Christmas wasn’t so much abolished as replaced by a secular version with similar rituals.

Emily Tamkin writes at Foreign Policy:

Initially, the Soviets tried to replace Christmas with a more appropriate komsomol (youth communist league) related holiday, but, shockingly, this did not take. And by 1928 they had banned Christmas entirely, and Dec. 25 was a normal working day.

Then, in 1935, Josef Stalin decided, between the great famine and the Great Terror, to return a celebratory tree to Soviet children. But Soviet leaders linked the tree not to religious Christmas celebrations, but to a secular new year, which, future-oriented as it was, matched up nicely with Soviet ideology.

Ded Moroz [a Santa Claus-like figure] was brought back. He found a snow maid from folktales to provide his lovely assistant, Snegurochka. The blue, seven-pointed star that sat atop the imperial trees was replaced with a red, five-pointed star, like the one on Soviet insignia. It became a civic, celebratory holiday, one that was ritually emphasized by the ticking of the clock, champagne, the hymn of the Soviet Union, the exchange of gifts, and big parties.

In the context of these celebrations, the word “Christmas” was replaced by “winter.” According to a Congressional report from 1965,

The fight against the Christian religion, which is regarded as a remnant of the bourgeois past, is one of the main aspects of the struggle to mold the new “Communist man.” … the Christmas Tree has been officially abolished, Father Christmas has become Father Frost, the Christmas Tree has become the Winter Tree, the Christmas Holiday the Winter Holiday. Civil-naming ceremonies are substituted for christening and confirmation, so far without much success.

It is perhaps significant that Stalin found the Santa Claus aspect of Christmas worth preserving, and Stalin apparently calculated that a father figure bearing gifts might be useful after all.

According to a 1949 article in The Virginia Advocate,

at children’s gatherings in the holiday season … grandfather frost lectures on good Communist behavior. He customarily ends his talk with the question “to whom do we owe all the good things in our socialist society?” To which, it is said, the children chorus the reply, ‘Stalin.’

Tyler Durden
Wed, 12/24/2025 – 15:05

Naval Reactors For AI Data Centers

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Naval Reactors For AI Data Centers

Commerce Scretary Lutnick appeared on Fox News, discussing new energy for data centers.

As we have noted previously, energy prices continue to spike near data center facilities across the US. Lutnick claimed data centers are going to provide additional power generation and capacity to the grid along with the construction of their facilities to lower the energy prices, but so far this has not been the case.

The additional costs of infrastructure to the wider grid that come with higher demand are not covered in the higher rates paid by the hyperscalers. Many of the costs extend to equipment outside of the immediate vicinity of the new power consumer, such as upgrades and maintenance to upstream transformers and powerlines. Maybe the rest of the US should copy what Texas does…

And while multiple companies and developers are working on solutions for on-site, “behind-the-meter” power for AI data centers – with little practical success to date – one power developer has formally proposed an idea that has been informally discussed for years. 

HGP Intelligent Energy, a Texas power developer, is proposing to use reactors from US Navy submarines and aircraft carriers to power a data center project in Oak Ridge, Tennessee. The company claims redirecting two retired naval reactors could produce about 450-520 MW of power in what would be the fastest way to add new baseload power to the grid while the commercial nuclear industry struggles to get back on its feet.

The likelihood of this proposal being accepted by the US government is extremely low. The idea that the government will allow a private company, even with deep coordination with the DoE/DoW, to own or operate one of the most strategic assets in the US government’s arsenal, is absurd. Naval reactors have multiple differences compared to traditional commercial reactors, most notably the extremely high enriched uranium content, which is over 90%, compared to traditional reactors which are less than 5%.

In addition to concerns about proliferation of weapons grade uranium, there are also concerns of how the reactors can operate after they are removed from their submarines or carriers. The reactors are removed from their vessels and decommissioned due to no longer being able to operate as designed at their old age. There are likely multiple concerns with safely operating the reactor in its aged status with respect to reactor physics and material integrity. You can’t just stick lower enriched fuel inside a reactor designed for highly enriched fuel, the geometry of the core alone will likely not allow for proper operation.

Still, the recommendation of involving the nuclear navy with the reinvigoration of the nuclear industry does hold value. The Naval Nuclear Propulsion Program is the most successful nuclear program in history, with over 7500 reactor years of safe operation. Their expertise with reactor plant construction and operation would likely benefit the commercial nuclear industry in multiple ways.

Tyler Durden
Wed, 12/24/2025 – 14:40

“Stupid In America” Turns 20

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“Stupid In America” Turns 20

Authored by Larry Sand via American Greatness,

In January 2006, ABC’s John Stossel’s brutally honest documentary, “Stupid in America,” first aired. At the time, he referred to it as “a nasty title for a program about public education, but some nasty things are going on in America’s public schools, and it’s about time we face up to it.”

Stossel exposed the ineffectiveness of many government-run schools. But now, 20 years later, things are even worse.

Test scores from the 2024 National Assessment of Educational Progress (NAEP), released this year, show that 33% of 8th graders—a higher percentage than ever—are reading at the “below basic” level.

Additionally, only 22% of high school seniors are proficient in math, down from 24% in 2019, and 35% are proficient in reading—the lowest score since NAEP began in 1969—down from 37% in 2019. Also, a record-high percentage scored at “below basic” levels in both math and reading compared with all previous assessments.

The results of the latest NAEP U.S. history and civics tests, administered in 2022, were atrocious. The scores show that just 13% of 8th-graders met proficiency standards in U.S. history, meaning they could explain key themes, periods, events, people, ideas, and turning points in the country’s history. Additionally, about 20% of students scored at or above the proficient level in civics. Both scores are the lowest ever recorded on these two tests.

The most recent Trends in International Mathematics and Science Study (TIMSS), a test administered to 650,000 4th and 8th graders in 64 countries, reveals that average U.S. math scores declined sharply between 2019 and 2023, falling 18 points for 4th graders and 27 points for 8th graders. Internationally, this places the U.S. 22nd of 63 education systems for 4th-grade math and 20th of 45 education systems for 8th-grade math.

Furthermore, average U.S. math scores for 4th- and 8th-grade students reverted to 1995 levels, the first year the TIMSS assessment was administered.

Could a lack of spending be the problem?

Hardly. According to Just Facts, which researches and publishes verifiable data on the critical public policy issues of our time, the U.S. spent about $1.4 trillion on education in 2024. The bulk of the spending, $946 billion, goes to elementary and secondary education, while $277 billion is spent on higher education and $130 billion on libraries and other educational services. This total breaks down to $10,237 per household in the U.S., 4.6% of the U.S. gross domestic product, and 13% of the government’s current expenditures.

Would smaller class sizes help?

Again, no. Nationally, class size has been shrinking over time. Since 1921, the student-to-teacher ratio has fallen from 33:1 to 16:1. The subject was analyzed extensively by Hoover Institution senior fellow Eric Hanushek, who examined 277 studies on the effects of teacher-pupil ratios and class-size averages on student achievement. He found that 15% of the studies showed an improvement in achievement, 72% saw no impact, and 13% found that reducing class size had an adverse effect on achievement. While Hanushek admits that children might benefit from a small-class environment in some cases, he says there is no way “to describe a priori situations where reduced class size will be beneficial.”

If schools aren’t emphasizing the basics, what are they teaching instead?

Sex and gender nonsense, for one. The Heritage Foundation discloses that 16 states force transgender lessons on children. The organization’s “Gender Ideology as State Education Policy” report highlights the education standards and frameworks of states that encourage gender ideology, defined as “the subordination or displacement of factual, ideologically neutral lessons about biological sex with tell-tale notions such as ‘gender identity,’ ‘sex assigned at birth,’ and ‘cisgender.’”

The National Education Association, which holds enormous power over the nation’s teachers and students, plays an outsized role in sex indoctrination. At its most recent national convention in July, the NEA instructed teachers on the nuances of so-called “neopronouns and xeopronouns,” while also instructing them on ways to subvert conservative “villains” and their own “internal oppression.”

In Seattle, schools ask students as young as ten years old probing questions about gender identity, according to internal documents obtained by National Review. “The survey results are then shared with a group of third-party organizations for research purposes, including Seattle Children’s Hospital Research Institute and the local county government. Other regions of the country distribute similar surveys under various names.”

Forcing left-wing politics on students is also fashionable. A report by the Goldwater Institute, released in January, shows how politically skewed our schools are. The organization reports that about 25% of American classrooms use Marxist Howard Zinn’s work.

Zinn’s best-selling book, A People’s History of the United States, which is used in conjunction with the online “Zinn Education Project,” misinforms students and borrows from Karl Marx to present American history as a “conflict between capital and labor,” Goldwater discloses.

The question then becomes, what do we do about decaying, perverted, and far-left government-run schools?

The best scenario would be the total privatization of education, but that will never happen. Short of that, parental choice is best, which, as I noted last week, is expanding rapidly.

Today, more than 1.5 million students across 34 states, Washington, D.C., and Puerto Rico participate in 75 programs. The momentum behind school choice stems from families seeking alternatives to government-run schools.

But with about 54 million school-age children in the U.S., the vast majority still attend public schools.

For real change to happen, parents need to step up. In states without a private choice program, the best option for parents is to educate their children at home, just as they provide food, clothing, and shelter. In fact, homeschooling continued to grow across the United States during the 2024-2025 school year, with an average increase of 5.4%. This is nearly three times the pre-pandemic growth rate of about 2%.

Ronald Reagan once famously quipped, “The nine most terrifying words in the English language are: ‘I’m from the Government, and I’m here to help.’” Too many children are miseducated these days, and to turn things around, we must stop looking to the government for solutions.

Being stupid in America doesn’t have to be an ongoing condition, and for the sake of our children and the country’s future, things need to change—ASAP!

Tyler Durden
Wed, 12/24/2025 – 14:15

Land Of Confusion: The Great Reset In Motion

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Land Of Confusion: The Great Reset In Motion

Authored by Colin Todhunter via Off-Guardian.org,

The global disruptions we have seen in recent years are frequently presented as a chaotic sequence of events: a ‘pandemic’, inflation, energy shortages and war.

Little wonder that most people are confused. However, a structural analysis reveals a more deliberate controlled demolition of the 20th-century social contract.

We are witnessing a transition from a productive capitalist model, which required a healthy mass labour force, to what Yanis Varoufakis calls a techno-feudalist order.

The engine of this transition was a desperate financial stabilisation strategy carried out by means of a public health event. As identified by Professor Fabio Vighi, the global financial system reached a point of terminal instability in late 2019, evidenced by the collapse of the US repo market (where banks lend to each other).

By freezing the real economy through lockdowns, central banks performed massive liquidity injections to save the banking-finance tier. If that money had entered a functioning economy, it would have triggered hyper-inflation. By keeping the population at home, the elite performed a stealth bailout that preserved the dominance of the financial class by sacrificing the productive middle class.

However, a geopolitical reset also had to take place. For decades, Germany’s economy relied on three pillars: cheap Russian gas, high-tech exports to China and a US security umbrella. By late 2025, all three have been fractured. As Prof Michael Hudson notes, the ‘sabotage’ of the Nord Stream pipelines was a structural necessity for the Western financial elite.

If Germany continued to integrate with Russia and China, it would have created a power pole independent of the US dollar. The conflict in Ukraine served a purpose: it resulted in Germany replacing Russian pipeline gas and being forced into a massive build-out of liquefied natural gas (LNG) infrastructure and reliance on LNG from the US. Unlike pipeline gas, LNG must be super-cooled, shipped and re-gasified, a process that is inherently 3–4 times more expensive.

The result is that, in 2025, German industrial output is at its lowest since the 1990s. Heavy industries like BASF (chemicals) and ThyssenKrupp (steel) are relocating to the US or China. Meanwhile, Germany is pivoting from an industrial giant by betting on creating jobs in the likes of the green energy sector (including becoming a ‘hydrogen hub’), semiconductors and microelectronics, robotics and biotech and diverting its capital into a €150 billion annual defence spend.

At the same time, while Germany collapses, the City of London thrives on global volatility. Among other things, the City is the global hub for war risk insurance and energy brokerage. When a pipeline is destroyed or a strategically important shipping lane is threatened, the price of war risk insurance triples. The London insurance market (Lloyd’s) extracts these ‘risk premiums’ from the global economy.

The City’s brokers treat geopolitical instability as a volatile asset class. Even as British households are crushed by energy bills, the financial centre remains profitable by extracting wealth from the very chaos that foreign policy helps to manufacture.

Moreover, the City of London has secured its position as the indispensable middleman of the transatlantic energy pivot. While the physical gas originates in the US and is consumed in Europe, the financial and legal architecture of this trade is almost entirely managed in London.

Commodity brokers and exchanges like ICE (Intercontinental Exchange) in London have seen record volumes in LNG futures and derivatives. These are financial bets on the future price of gas. As volatility increases, the fees and commissions extracted by London-based traders and clearinghouses skyrocket.

More than 90% of the world’s marine insurance, including the specialised, high-premium coverage required for LNG tankers, is underwritten through Lloyd’s. By enforcing strict war risk premiums on any ship entering European waters, London effectively imposes a private tax on every molecule of gas that replaces the lost Russian pipeline supply.

This ensures that while European industry is struggling with high energy costs, the City’s financial firms extract a massive toll from the logistics of the replacement supply.

Of course, the structural readjustment of economies leads to huge social tensions.

This is where the ‘Russian threat’ comes in. It has been elevated to an all-encompassing internal narrative used to manage domestic dissent and to galvanise the public to rally behind the flag. The bogeyman serves a vital psychological function by converting the growing anger of the impoverished into a patriotic duty to endure hardship.

Under this regime of ‘permanent emergency’, any industrial action, protest or systemic critique can be branded as malign foreign influence or subversion, allowing the state to use new, expansive policing powers to suppress internal friction.

To justify the redirection of billions in tax revenue away from failing public services and into the military-industrial complex to create ‘growth’ in a failing economy (a desperate attempt to revive a collapsing neoliberalism—see chapter two here), the state must maintain a high-decibel level of existential fear. In the UK, the Defence Industrial Strategy 2025 explicitly frames militarisation as an engine for growth, using the spectre of a Russian invasion to legitimise a state-subsidised transfer of wealth to high-tech defence contractors.

By manufacturing a permanent state of war-footing, the elite ensure that a main pillar of the economy is the one that directly serves the security of the state, while the population is told that their dwindling healthcare and pensions are a necessary sacrifice for national survival.

In this respect, we also see the changing status of the human being. In the industrial era, the state ‘subscribed’ to the working class, investing in the NHS and education because it required a fit population to drive production. Artificial intelligence, robotics and economic decline increasingly make much of this labour force redundant.

As capital may no longer find the reproduction of labour desirable or profitable, the state withdraws its subscription. The visible rot in the NHS is the result of deliberate divestment. (The UK private health insurance market has surged to a record £8.64 billion, a nearly 14% year-on-year increase.)

If the worker is no longer required for production, the state views healthcare as a ‘non-performing cost’ to be liquidated.

When a population is no longer an asset but a fiscal liability, the state moves from care to managing exit. It’s no accident that we have seen calls for the rapid legalisation of assisted suicide across the West. It might also help to explain the prescribing of midazolam and do not resuscitate orders in care homes during the COVID event. Data shows that the UK government purchased vast quantities of midazolam (two years’ worth of stock in just two months) in early 2020.

In 2025, official impact assessments noted that legalising assisted dying would result in “considerable cost savings” for the NHS and state pension system—estimated at up to £18.3 million within a decade for pensions alone. The Terminally Ill Adults (End of Life) Bill Impact Assessment (May 2025) officially quantified the ‘benefits and pensions’ impact. It estimated that by year 10, the state would save roughly £27.7 million per year in unpaid pension and benefit payments due to assisted deaths.

By accelerating the ‘offboarding’ of the non-productive elderly (whatever happened to the COVID era marketing slogan of ‘saving granny’?), the system wipes billions in future pension liabilities off the state balance sheet.

Moving forward, what can we expect? We will see the elite continue to rollout the narrative of permanent emergency under the guise of climate crisis and Russian threat to provide the ideological discipline required to justify a boosted austerity.

Meanwhile, digital ID and central bank digital currencies will create a system of total surveillance. In this emerging system, the citizen is replaced by the ‘managed subject’, whose access to the economy is contingent upon a social credit score.

Views expressed in this article are opinions of the author and do not necessarily reflect the views of ZeroHedge.

Tyler Durden
Wed, 12/24/2025 – 13:25