Greetings N2K reader!

This week’s world famous news haiku competition™ is about new limits for a rent algorithm that prosecutors say lets landlords drive up prices. Pick a winner in today’s poll below. And now for something completely different!

—Matt Davis, Need2Know Chedditor

News You Need2Know

• Huang pushes back on AI rules in DC

• Apple poised for record-breaking 2025

• Bessent says tariffs can survive any Supreme Court …

• Trump slams the brakes on Biden’s fuel rules

• Death of the binge model? Netflix goes back to “sl …

• Poll of the day: Pick a winning haiku…

• Don’t miss the Sunset gift guide!

What’s the stock market up to, eh?

$SPX ( ▲ 0.47% ) $DJI ( ▲ 0.04% ) $NDX ( ▲ 0.9% )

Companies mentioned in today’s newsletter

$NVDA ( ▲ 2.5% )  $AAPL ( ▼ 1.17% )  $NFLX ( ▼ 0.89% )  

Huang pushes back on AI rules in DC

Nvidia $NVDA ( ▲ 2.5% ) CEO Jensen Huang met with President Donald Trump on Capitol Hill this week to discuss chip export controls and the growing debate around AI regulation — something he is bristling at. With Congress deliberating measures like the “Guaranteeing Access and Innovation for National Artificial Intelligence” (GAIN AI) Act, which would prioritize U.S.-first chip sales, Huang praised recent developments that suggest the proposed act may not come to fruition after all.

Speaking to reporters after the meeting with Trump, Huang called the decision not to advance the GAIN AI Act "wise" and warned that some legislation could harm domestic innovation. “I’ve said it repeatedly that we support export controls, and that we should ensure that American companies have the best and the most and first,” Huang remarked.

While Huang insists he endorses federal-level efforts to manage AI, he strongly criticized the “fragmented” state-by-state regulations being introduced across the U.S. He argued that such varied rules could significantly hinder progress. “State-by-state AI regulation would drag this industry into a halt and it would create a national security concern, as we need to make sure that the United States advances AI technology as quickly as possible,” Huang said.

Trump recently urged for a unified federal framework, writing on Truth Social that such a standard promotes national competitiveness. Such a standard is yet to emerge. It’s a common public position from the Washington “avoid regulation” playbook to say you want federal legislation, not piecemeal legislation, when really you don’t want either. I’m just amazed Mr. Huang took his leather jacket off to walk around Congress.

Song of the Day: George Riley, ‘Drip’

I think you need some uptempo dancefloor-ready pop, imbued with a sense of carefree fun and relentlessly bounding energy. Look no further!

Apple poised for record-breaking 2025

Apple $AAPL ( ▼ 1.17% ) is set to achieve a new milestone in 2025 with record-breaking iPhone shipments, as market research firm IDC predicts a remarkable 247.4 million units sold. This marks a 6% year-on-year rise, surpassing Apple's previous 2021 record of 236 million units during the release of the iPhone 13.

The surge in demand is largely driven by the success of the iPhone 17 lineup, particularly in the Chinese market. Investor optimism around the iPhone 17 launch has also been pivotal in helping Apple fend off growing competition from Chinese manufacturers like Huawei, as well as pressure from Google’s $GOOGL ( ▲ 0.45% ) Android.

However, challenges loom. Apple’s decision to delay the release of its next base iPhone to early 2027 is expected to result in a 4% decline in shipments in 2026. Apple and other vendors are expected to prioritize premium, higher-margin models as they navigate these challenges.

Quote of the Day

Bessent says tariffs can survive any Supreme Court ruling

Treasury Secretary Scott Bessent has expressed confidence that the U.S. administration can uphold its tariff agenda, even if — or, shall we say, when — the Supreme Court rules unfavorably in an ongoing case regarding the International Emergency Economic Powers Act. Speaking at The New York Times’s DealBook Summit, Bessent emphasized the government’s ability to replicate current tariff structures using other statutes such as sections of the 1962 Trade Act. “We can recreate the exact tariff structure with [sections] 301, with 232, with 122,” Bessent said during an interview with Andrew Ross Sorkin.

Bessent highlighted that while Section 122 of the act grants tariff powers for up to 150 days, sections 301 and 232 offer broader flexibility in terms of duration. Despite the challenges posed by the ongoing Supreme Court case, he expressed optimism, saying, despite signs that he is likely wrong: “I still think the U.S. stands a good chance of prevailing.”

Should you check your 401(k) today?

👍️ 

Yep. Still good news on the markets, baby!

Trump slams the brakes on Biden’s fuel rules

The Trump administration is making significant changes to the Corporate Average Fuel Economy (CAFE) standards, reducing the required fuel economy standards for automakers introduced by his predecessor’s administration. By 2031, automakers will now need to meet a fleet average of 34.5 miles per gallon, down from the Biden Administration’s ambitious target of 50.4 mpg.

Transportation Secretary Sean Duffy and President Trump defended this rollback during their address from the White House, highlighting its potential economic benefits for American families and the auto industry (assuming your child isn’t asthmatic, of course, or that you don’t mind global warming and its consequences making it impossible to live in states near the water in 20 years).

The administration claims these changes will lower car prices. “If President Trump had done nothing, the Biden standards would have raised the average cost of a new car by nearly $1,000, relative to the cost under the standards announced today,” said the White House, which is under pressure on affordability. Officials further argued this move could save families $109 billion collectively over five years and improve vehicle affordability. Trump said his reset would help more Americans purchase newer, safer cars, projecting savings of 1,500 lives and prevention of a quarter-million serious injuries by 2050.

Critics warn that eliminating penalties for missed targets and removing credits for fuel-saving features could hinder national progress toward environmental goals.

Death of the binge model? Netflix goes back to “slow drip” releases

—This is the latest guest column by Grant Keller on the business of movies.

When Netflix $NFLX ( ▼ 0.89% ) was first becoming popular, its trademark was the binge model — to release all episodes of its original shows at once. There was no more nonsense of waiting a week between episodes, and people lapped it up. It disrupted the linear television model and brought aboard countless subscribers. Netflix became a juggernaut because of the binge model.

Nevertheless, Netflix was the only streaming service back then, and times have changed.

Poll of the day: Pick a winning haiku…

Poll of the day: You don’t care about Spotify Wrapped

We asked: Do you care about anybody's Spotify Wrapped but your own?

You answered:

🟨⬜️⬜️⬜️⬜️⬜️ Oh, yes. I love to hear about what other people listened to. I also like hearing people recount their dreams. (64)

🟩🟩🟩🟩🟩🟩 Are you kidding? I could give zero hoots what music you like, Brad. (302)

🟨⬜️⬜️⬜️⬜️⬜️ I have some great CDs you could listen to. They're not all that badly scratched! (72)

438 Votes via @beehiiv polls

Don’t miss the Sunset gift guide!

Need the perfect gift? Or even a pretty good one? Sunset’s 2025 Holiday Gift Guide has you covered! With beautifully curated selections, there’s something for everyone on your list. Cozy up in the luxurious Flock Robe ($165) or add charm to any table with the Otto Napkin ($20). For the chefs, the Little Zipper Pot Holder ($35) is as stylish as it is practical. Nature lovers will adore the Case Study® Ceramics Birdhouse ($75) or the stunning Ceramics Small Cylinder with Stand. Want to give experiences? Share joy with the Sunset Box ($69.99) or a subscription to Sunset Magazine ($29.95). Shop now for thoughtful, unique gifts!

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