Week of October 2, 2023
Congress passed a shutdown-averting continuing resolution (CR) on Saturday night in the eleventh hour, causing both shock and big sighs of relief through Washington. The CR includes regular government funding, as well as $16 billion for disaster relief, and extends authorization for the Federal Aviation Administration and the National Flood Insurance Program, but lacks funding for Ukraine aid as Democrats and the Administration have been notably pushing. The measure only funds the government for 45 days, however, likely teeing up another fight come mid-November.
Hearings on Capitol Hill are light this week due to the potential shutdown rumors, but on our radar is the Senate Commerce hearing to tackle review of the CHIPS and Science Act. We will also be keeping a watch on movement in the FTC’s antitrust case against Amazon as well as the EU’s negotiations on the EU AI Act.
What We’re Watching:
FTC Files Long-Awaited Antitrust Suit Against Amazon: The Federal Trade Commission (FTC) filed its long-awaited lawsuit against Amazon over alleged anticompetitive business practices, teeing up what is sure to be a long battle and calling into question several antitrust laws. The FTC, along with 17 state attorneys general, are claiming that the company abused its powers to manipulate merchants that participate on the platforms through “pay-to-play advertisements” that trickle costs down to consumers. In the FTC’s press release on the matter, FTC Chair Lina Khan said, "Our complaint lays out how Amazon has used a set of punitive and coercive tactics to unlawfully maintain its monopolies.” Amazon officials issued a statement in response, suggesting that they hoped that the agency would “recognize that Amazon’s innovations and customer-centric focus have benefited American consumers through low prices and increased competition in the already competitive retail industry,” and said the FTC has “radically departed” from its approach to protecting consumers and competition. If the lawsuit is successful, it could fundamentally alter the way in which Amazon’s consumer-facing business operates.
Senate Commerce to Tackle CHIPS Review: Following the House Science hearing to review the CHIPS and Science Act a year after it was enacted, the Senate Commerce Committee will meet on Wednesday with Commerce Secretary Gina Raimondo as well as Dr. Sethuraman Panchanathan, Director of the National Science Foundation (NSF), to get their take on how implementation of the bill is going. Members will likely focus on new measures NSF has implemented to increase U.S. competitiveness in research, as well as updates from the newly established CHIPS for America office under Commerce to administer domestic semiconductor manufacturing incentives. Senators will also likely discuss the lapse in reauthorization of the National Quantum Initiative Act by the September 30 deadline.
EU Looks to Move Needle on AI Act: The European Union will have another round of three-way negotiations beginning today on the proposed AI Act, which would pave the way for the first global AI measure to impose regulations on the industry, both in how systems are created and the technology is deployed. The negotiations will be between the European Parliament, the Council, and the Commission, to hash out the final provisions included in the Act such as biometric identification and generative AI. Another round of negotiations will take place on October 26, with a final agreement expected by the end of the year. The EU AI Act adds fuel to the AI focus in Congress, as lawmakers continue to hone efforts on regulating the new technology as to ensure U.S. global leadership in the field. However, Congress is still in the early stages of regulation and weighing the proper approach to governance.
What’s Happening This Week:
Tech Hearings
Tech Events
The Brookings Institution, "Artificial Intelligence in Employment and Hiring" - Monday, October 2 at 11:00 AM ET
The Federalist Society for Law and Public Policy Studies - “How Risky Are the Banks Now? What Regulatory Reforms Make Sense?" - Monday, October 2 at 1:00 PM ET
The Brookings Institution - discussion on antitrust reforms - Thursday, October 5 at 10:00 AM ET
Washington Post Live - "Going Infinite: The Rise and Fall of a New Tycoon," about the tumultuous collapse of the cryptocurrency firm FTX and its founder, Sam Bankman-Fried - Friday, October 6 at 10:00 AM ET
The Institute of World Politics - "The U.S. Navy Leading the Way in Cybersecurity, Zero Trust Framework" - Tuesday, October 3 at 5:00 PM ET
The Armed Forces Communications and Electronics Association - "Strategic Utility: AI/ML + Generative AI" - Wednesday, October 4 at 11:50 AM ET
Federal Trade Commission - virtual roundtable on AI in music, filmmaking, and other creative fields - Wednesday, October 4 at 3:00 PM ET
The German Marshall Fund of the United States - "A Trusted Framework for Cross-Border Data Flows" - Thursday, October 5 at 11:00 AM ET
The Government Executive Media Group and the Advanced Technology Academic Research Center - "Identity Governance - A Critical Enabler of Zero Trust" - Thursday, October 5 at 1:30 PM ET
The Brookings Institution - "Making America's Payment System Work for a Digital Century" - Friday, October 6 at 9:00 AM ET
What’s Interesting This Week:
Finish Him!... On October 8, 1992, the video game Mortal Kombat was released into arcades, and is now one of the most popular fighting game series in history.
