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Mark Zuckerberg, Chairman and Chief Executive Officer of Facebook, arrives to testify during the House Financial Services hearing on An Examination of Facebook and Its Impact on the Financial Services and Housing Sectors on Wednesday, Oct. 23, 2019.
Bill Clark | CQ-Roll Call, Inc. | Getty Images

As senators absorbed Tuesday’s testimony from the Facebook whistleblower, who leaked the company’s internal research to reporters, they demanded to hear from the person in charge.

In front of a Senate subcommittee on Tuesday, Frances Haugen, a former product manager at Facebook, said the company repeatedly prioritized profits over user safety. Haugen said she felt compelled to come forward because “almost no one outside of Facebook knows what happens inside Facebook.”

There’s one person inside the company who knows more than anyone: CEO Mark Zuckerberg. But on Sunday, as “60 Minutes” was set to air Haugen’s first press interview as the unmasked whistleblower, Zuckerberg posted a video that showed him sailing with his wife, Priscilla Chan.

“Mark Zuckerberg ought to be looking at himself in the mirror today, and yet, rather than taking responsibility and showing leadership, Mr. Zuckerberg is going sailing,” said Sen. Richard Blumenthal, D-Conn., chair of the subcommittee that held Tuesday’s hearing. “No apologies, no admission, no action, nothing to see here. Mark Zuckerberg, you need to come before this committee you need to explain to Francis Haugen, to us, to the world and to the parents of America what you were doing and why you did it.”

Since the Wall Street Journal began running a series of stories last month, based on documents provided by Haugen, Zuckerberg has been noticeably silent on the matter. The stories have exposed numerous troubling issues within Facebook’s apps, as well as the company’s own research that shows Instagram is harmful to teens’ mental health.

The closest Zuckerberg has come to addressing the subject was on Sept. 21, after a New York Times story said that Facebook’s current public relations strategy is to distance the CEO from scandals and not apologize for them. The Times incorrectly stated in the story that Zuckerberg had recently posted a video of himself riding an electric surfboard.

Zuckerberg took offense, with a sarcastic response.

Frances Haugen, a former Facebook employee, testifies during the Senate Commerce, Science and Transportation Subcommittee on Consumer Protection, Product Safety, and Data Security hearing titled Children’s Online Safety-Facebook Whistleblower, in Russell Building on Tuesday, October 5, 2021.
Tom Williams | CQ-Roll Call, Inc. | Getty Images

“Look, it’s one thing for the media to say false things about my work, but it’s crossing the line to say I’m riding an electric surfboard when that video clearly shows a hydrofoil that I’m pumping with my own legs,” Zuckerberg wrote on Facebook.

He was referring to a viral video from July 4, that showed him riding a hydrofoil while holding an American flag. Coupled with the sailing video from the weekend, senators said Zuckerberg is missing the moment.

“Mark Zuckerberg is going sailing and saying no apologies,” Sen. Amy Klobuchar, D-Minn., said during the hearing. “I think the time has come for action. And I think you are the catalyst for that action.”

In keeping his distance from the Journal’s reports and the whistleblower documents, Zuckerberg has let other company representatives take the heat publicly. Last week, for example, Facebook sent Antigone Davis, its global head of safety, to testify before the same committee about the Journal’s reporting and the company’s research.

‘The buck stops with him’

And on Monday, as Haugen was testifying, Facebook spokesman Andy Stone took to Twitter to try and discredit the ex-employee’s authority, by pointing out that she didn’t work directly on the issues at hand.

Sen. Marsha Blackburn, R-Tenn., read Stone’s tweet towards the end of the hearing, and said the company has an open stage to tell its side of the story.

“I will simply say this to Mr. Stone: If Facebook wants to discuss their targeting of children, if they want to discuss their practices, privacy invasion or violations of the children online privacy act, I am extending to you an invitation to step forward, be sworn in and testify before this committee,” Blackburn said. “We would be pleased to hear from you and welcome your testimony.”

Ultimately, it’s Zuckerberg they want to question. He’s the founder, visionary, largest shareholder and he still controls over half the voting power. Haugen made that point to the committee.

“Mark has built an organization that is very metrics driven,” Haugen said. “It isn’t it is intended to be flat, there is no unilateral responsibility. The metrics make the decision. Unfortunately, that itself is a decision. And in the end, if he is the CEO and the chairman of Facebook, he is responsible for those decisions.”

“The buck stops with the buck stops wit him?” Blumenthal asked.

“The buck stops with him,” Haugen said.

After the hearing, Stone tweeted out a statement from Facebook, suggesting that Haugen was not in a position to know the inner workings of the company.

“We don’t agree with her characterization of the many issues she testified about,” Facebook said.

Sen. Ed Markey, D-Mass., thanked Haugen for coming forward, called her “a 21st-century American hero” and said the committee is coming after Zuckerberg.

“Here’s my message for Mark Zuckerberg: Your time of invading our privacy, promoting toxic content and preying on children and teens is over,” Markey said. “We will not allow your company to harm our children and our families and our democracy any longer.”

Following the hearing, Blumenthal said it was premature to consider subpoenaing Zuckerberg, adding that he should appear before Congress voluntarily.

“He has a public responsibility to answer these questions,” Blumenthal said.

— CNBC’s Lauren Feiner contributed to this report.

WATCH: Facebook investor on whistleblower testimony

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Amazon gets FAA approval for new delivery drone as it begins tests in Arizona

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Amazon gets FAA approval for new delivery drone as it begins tests in Arizona

Amazon said Tuesday it received regulatory approval to begin flying a smaller, quieter version of its delivery drone, the latest step in its long-running efforts to get the futuristic program off the ground.

The company unveiled the new drone, called the MK30, in November 2022. It said then that the MK30, in addition to the other changes, would fly through light rain and have twice the range of earlier models.

Amazon said the Federal Aviation Administration’s approval includes permission to fly the MK30 over longer distances and beyond the visual line of sight of pilots. The agency granted a similar waiver for Amazon’s Prime Air program in May, though that was limited to flights in College Station, Texas, one of the cities where it has been conducting tests.

Alongside the FAA approval, Matt McCardle, head of regulatory affairs for Prime Air, said the company is starting to make drone deliveries Tuesday near Phoenix, Arizona. In April, Amazon said it planned to spin up drone operations in Tolleson, a city west of Phoenix, after it shut down an earlier test site in Lockeford, California. The company will dispatch the drones near one of its warehouses in Tolleson as it looks to integrate Prime Air more closely into its existing logistics network and further speed up deliveries.

An FAA spokesperson said the agency granted Amazon permission to conduct beyond visual line of sight deliveries in Tolleson on Oct. 31.

Amazon founder Jeff Bezos first unveiled plans for the ambitious service more than a decade ago, remarking at the time that the program could be up and running within five years. Despite Amazon investing billions of dollars into the program, progress has been slow. Prime Air encountered regulatory hurdles, missed deadlines and had layoffs last year, coinciding with widespread cost-cutting efforts by CEO Andy Jassy. The program also lost some key executives, including its primary liaison with the FAA and its founding leader. Amazon hired former Boeing executive David Carbon to run the operation.

It’s also encountered pushback from some residents in the cities where it’s trialing drone deliveries. Residents in College Station complained about the noise levels enough that it prompted the city’s mayor to mention the concerns in a letter to the FAA, CNBC previously reported. In response, Amazon executives told residents the company would identify a new drone delivery launch site by October 2025.

Amazon isn’t the only company trying to crack delivery by drone. It’s competing with Wing, owned by Google parent Alphabet, UPS, Walmart and a host of startups including Zipline and Matternet.

WATCH: How Amazon’s drone delivery program stacks up to competitors

Amazon drones make 100th delivery, lagging far behind Alphabet's Wing and Walmart partner Zipline

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Palantir shares jump 23% to record on uplifting guidance

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Palantir shares jump 23% to record on uplifting guidance

Palantir Technologies CEO Alex Karp appears on a Bloomberg television interview during the FoundryCon event in Palo Alto, California, on March 7, 2024.

David Paul Morris | Bloomberg | Getty Images

Palantir shares jumped 23% on Tuesday and headed for a record close after the data analytics software maker reported robust third-quarter results and issued uplifting revenue guidance.

The stock reached a high of $51.19, above the prior record of $45.14 reached last week. If the gain holds, it will mark the stock’s biggest jump since Feb. 6, when shares popped 30%.

Revenue climbed 30% to $726 million from a year earlier, topping the $701 million average analyst estimate, according to LSEG. Adjusted earnings per share of 10 cents beat the 9-cent average estimate.

Analysts at Deutsche Bank said in a report that “the beat was driven by better-than-anticipated US Government performance,” boosted by demand for artificial intelligence tools.

“Palantir is among a handful of infrastructure software companies that have started to meaningfully monetize generative AI, where its competitive positioning benefits from longtime investment and deep expertise in complex data integration, and particularly its reputation for data security built into its ontology,” the analysts wrote.

Net income of $143.5 million, or 6 cents per share, was up from $71.5 million, or 3 cents per share, in the same quarter a year ago. The company called for fourth-quarter revenue of $767 million to $771 million. Analysts surveyed by LSEG had been looking for $741.4 million.

Palantir is targeting more than $687 million in U.S. commercial revenue for the year, implying about 24% of the total.

Bank of America bumped its price target from $50 to $55 and maintained its buy rating.

“We continue to view the adoption of PLTR’s AI-enabled products and reach in its early days, as more companies realize the time, resource, and cost savings possible,” Bank of America analysts wrote in a note to investors. “In our view, Palantir’s moat as the differentiated agnostic AI-enabler is only growing with each new use-case carrying compounding unit economics.”

— CNBC’s Jordan Novet and Michael Bloom contributed to this report.

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Palantir co-founder Joe Lonsdale on Musk-Putin conversations, state of 2024 election

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OpenAI hires Meta’s former Orion head to lead its robotics efforts

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OpenAI hires Meta's former Orion head to lead its robotics efforts

Jaap Arriens | NurPhoto via Getty Images

The former head of Meta’s Orion augmented reality glasses initiative has joined OpenAI to lead the startup’s robotics and consumer hardware efforts.

Caitlin “CK” Kalinowski announced her new role Monday in a post on LinkedIn and X, writing, “In my new role, I will initially focus on OpenAI’s robotics work and partnerships to help bring AI into the physical world and unlock its benefits for humanity.”

OpenAI has gained popularity for its viral chatbot, ChatGPT, but the hiring underscores its apparent efforts to move into building and selling hardware. Former Apple exec Jony Ive, who helped design some of Apple’s most iconic products from the iMac to the iPhone, has also partnered with OpenAI to create an AI device.

The announcement came the same day as that of OpenAI’s investment into Physical Intelligence, a robot startup based in San Francisco, which raised $400 million at a $2.4 billion post-money valuation. Other investors included Amazon founder Jeff Bezos, Thrive Capital, Lux Capital and Bond Capital.

The startup focuses on “bringing general-purpose AI into the physical world,” per its website, and it aims to do this by developing large-scale artificial intelligence models and algorithms to power robots. 

Before the new role at OpenAI, Kalinowski was a hardware executive at Meta for nearly two and a half years leading the company’s creation of Orion, previously codenamed Project Nazare, which it billed as “the most advanced pair of AR glasses ever made.” Meta unveiled its prototype glasses in September.

Before leading the Orion project, Kalinowski worked for more than nine years on virtual reality headsets at Meta-owned Oculus, and before that, nearly six years at Apple helping to design MacBooks, including Pro and Air models.

Kalinowski’s first day on the job at OpenAI is Tuesday, Nov. 5, per a LinkedIn post.

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