
System Crash The Ban on State AI Laws is Dead, Canada Bows to Trump and Big Tech, and the AI Backlash Grows
7 snips
Jul 4, 2025 Canada ditches its digital services tax under U.S. pressure, highlighting the clash between tech interests and public good. The ban on state-level AI regulations has unexpectedly collapsed, sparking a bipartisan uproar. Meanwhile, the AI backlash is intensifying as jobs get replaced, leading to growing fears about emotional dependency on AI for communication. In a lighter twist, tech leaders launch a bank named after a Middle Earth location while layoffs loom in the industry, bringing a mix of humor and serious discussions about the future of tech.
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Trump Pressures Canada on AI Tax
- Canada dropped its digital services tax after a Trump tweet pressured them to rescind it at the last minute.
- This shows Trump's ability to leverage trade negotiations to favor American tech giants.
Canada's Tech-Friendly Shift
- The Trudeau government aims to attract tech and AI investment by rolling back taxes and easing regulations.
- This reflects a pattern where governments prioritize corporate interests over democratic processes and social protections.
Tech Tried to Ban AI Laws
- Silicon Valley nearly passed a 5-10 year ban on state-level AI laws by lobbying Trump and GOP allies.
- This revealed the tech industry's willingness to shut down democratic regulation to protect its interests.


