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Environmental and cultural-heritage nonprofits sued the Federal Aviation Administration on Monday, alleging the agency violated the National Environment Policy Act when it allowed SpaceX to launch the largest rocket ever built from its Boca Chica, Texas, facility without a comprehensive environmental review, according to court filings obtained by CNBC.

SpaceX’s Starship Super Heavy test flight on April 20 blew up the company’s launchpad, hurling chunks of concrete and metal sheets thousands of feet away into sensitive habitat, spreading particulate matter including pulverized concrete for miles, and sparking a 3.5-acre fire on state park lands near the launch site.

The lawsuit against the FAA was filed in a district court in Washington, D.C., by five plaintiffs: The Center for Biological Diversity, the American Bird Conservancy, SurfRider Foundation, Save Rio Grande Valley and a cultural-heritage organization, the Carrizo-Comecrudo Nation of Texas.

The groups argue the agency should have conducted an in-depth environmental impact statement (EIS) before ever allowing SpaceX to move ahead with its Starship Super Heavy plans in Boca Chica.

“The FAA failed to take the requisite hard look at the proposed project and has concluded that significant adverse effects will not occur due to purported mitigation measures,” they wrote in the lawsuit.

The plaintiffs argue the agency waived the need for more thorough analysis based on proposed “environmental mitigations.” But the mitigations the FAA actually required of SpaceX were woefully insufficient to offset environmental damages from launch events, construction and increased traffic in the area, as well as “anomalies” like the destruction of the launch pad and mid-air explosion in April, they said.

In their complaint, the attorneys note that the FAA’s own chief of staff for the Office of Commercial Space Transportation in June 2020 said the agency was planning an EIS. Later, “based on SpaceX’s preference,” the lawyers wrote, the federal agency settled on using “a considerably less thorough analysis,” which enabled SpaceX to launch sooner.

Despite the particulate matter, heavier debris and fire, SpaceX CEO Elon Musk said this weekend on Twitter Spaces, “To the best of our knowledge there has not been any meaningful damage to the environment that we’re aware of.”

The exact impact of the launch on the people, habitat and wildlife is still being evaluated by federal and state agencies, and other environmental researchers, alongside and independently from SpaceX.

National Wildlife Refuge lands and beaches of Boca Chica, which are near the SpaceX Starbase facility, provide essential habitat for endangered species including the piping plover, the red knot, jaguarundi, northern aplomado falcon, and sea turtles including the Kemp’s Ridley. Kemp’s Ridley is the most endangered sea turtle in the world, and the National Wildlife Refuge contains designated critical habitat for the piping plover.

Boca Chica land and the wildlife there, namely ocelots, are also sacred to the Carrizo-Comecrudo tribe of Texas.

As of last Wednesday, researchers from the U.S. Fish and Wildlife Service had not found any carcasses of animals protected by the Endangered Species Act on the land that they own or manage in the area. However, the researchers were not able to access the site for two days after the launch, leaving open the possibility that carcasses could have been eaten by predators, washed away or even removed from the site.

Access to the state parks, beaches and the National Wildlife Refuge area near Starbase, by tribes, researchers and the public, are of particular concern to the groups challenging the FAA.

The plaintiff’s attorneys noted that in 2021, Boca Chica Beach was closed or inaccessible for approximately 500 hours or more, based on the notices of closure provided by Cameron County, with a “beach or access point closure occurring on over 100 separate days.” That high rate of closure, which the FAA allowed, “infringes upon the ability of the Carrizo/Comecrudo Nation of Texas to access lands and waters that are part of their ancestral heritage,” the groups argued.

The FAA did not immediately respond to a request for comment.

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Apple’s market share slides in China as iPhone shipments decline, analyst Kuo says

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Apple's market share slides in China as iPhone shipments decline, analyst Kuo says

Jaap Arriens | Nurphoto | Getty Images

Apple is losing market share in China due to declining iPhone shipments, supply chain analyst Ming-Chi Kuo wrote in a report on Friday. The stock slid 2.4%.

“Apple has adopted a cautious stance when discussing 2025 iPhone production plans with key suppliers,” Kuo, an analyst at TF Securities, wrote in the post. He added that despite the expected launch of the new iPhone SE 4, shipments are expected to decline 6% year over year for the first half of 2025.

Kuo expects Apple’s market share to continue to slide, as two of the coming iPhones are so thin that they likely will only support eSIM, which the Chinese market currently does not promote.

“These two models could face shipping momentum challenges unless their design is modified,” he wrote.

Kuo wrote that in December, overall smartphone shipments in China were flat from a year earlier, but iPhone shipments dropped 10% to 12%.

There is also “no evidence” that Apple Intelligence, the company’s on-device artificial intelligence offering, is driving hardware upgrades or services revenue, according to Kuo. He wrote that the feature “has not boosted iPhone replacement demand,” according to a supply chain survey he conducted, and added that in his view, the feature’s appeal “has significantly declined compared to cloud-based AI services, which have advanced rapidly in subsequent months.”

Apple’s estimated iPhone shipments total about 220 million units for 2024 and between about 220 million and 225 million for this year, Kuo wrote. That is “below the market consensus of 240 million or more,” he wrote.

Apple did not immediately respond to CNBC’s request for comment.

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Amazon to halt some of its DEI programs: Internal memo

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Amazon to halt some of its DEI programs: Internal memo

Amazon said it is halting some of its diversity and inclusion initiatives, joining a growing list of major corporations that have made similar moves in the face of increasing public and legal scrutiny.

In a Dec. 16 internal note to staffers that was obtained by CNBC, Candi Castleberry, Amazon’s VP of inclusive experiences and technology, said the company was in the process of “winding down outdated programs and materials” as part of a broader review of hundreds of initiatives.

“Rather than have individual groups build programs, we are focusing on programs with proven outcomes — and we also aim to foster a more truly inclusive culture,” Castleberry wrote in the note, which was first reported by Bloomberg.

Castleberry’s memo doesn’t say which programs the company is dropping as a result of its review. The company typically releases annual data on the racial and gender makeup of its workforce, and it also operates Black, LGBTQ+, indigenous and veteran employee resource groups, among others.

In 2020, Amazon set a goal of doubling the number of Black employees in vice president and director roles. It announced the same goal in 2021 and also pledged to hire 30% more Black employees for product manager, engineer and other corporate roles.

Meta on Friday made a similar retreat from its diversity, equity and inclusion initiatives. The social media company said it’s ending its approach of considering qualified candidates from underrepresented groups for open roles and its equity and inclusion training programs. The decision drew backlash from Meta employees, including one staffer who wrote, “If you don’t stand by your principles when things get difficult, they aren’t values. They’re hobbies.”

Other companies, including McDonald’s, Walmart and Ford, have also made changes to their DEI initiatives in recent months. Rising conservative backlash and the Supreme Court’s ruling against affirmative action in 2023 spurred many corporations to alter or discontinue their DEI programs.

Amazon, which is the nation’s second-largest private employer behind Walmart, also recently made changes to its “Our Positions” webpage, which lays out the company’s stance on a variety of policy issues. Previously, there were separate sections dedicated to “Equity for Black people,” “Diversity, equity and inclusion” and “LGBTQ+ rights,” according to records from the Internet Archive’s Wayback Machine.

The current webpage has streamlined those sections into a single paragraph. The section says that Amazon believes in creating a diverse and inclusive company and that inequitable treatment of anyone is unacceptable. The Information earlier reported the changes.

Amazon spokesperson Kelly Nantel told CNBC in a statement: “We update this page from time to time to ensure that it reflects updates we’ve made to various programs and positions.”

Read the full memo from Amazon’s Castleberry:

Team,

As we head toward the end of the year, I want to give another update on the work we’ve been doing around representation and inclusion.

As a large, global company that operates in different countries and industries, we serve hundreds of millions of customers from a range of backgrounds and globally diverse communities. To serve them effectively, we need millions of employees and partners that reflect our customers and communities. We strive to be representative of those customers and build a culture that’s inclusive for everyone.

In the last few years we took a new approach, reviewing hundreds of programs across the company, using science to evaluate their effectiveness, impact, and ROI — identifying the ones we believed should continue. Each one of these addresses a specific disparity, and is designed to end when that disparity is eliminated. In parallel, we worked to unify employee groups together under one umbrella, and build programs that are open to all. Rather than have individual groups build programs, we are focusing on programs with proven outcomes — and we also aim to foster a more truly inclusive culture. You can read more about this on our Together at Amazon page on A to Z.

This approach — where we move away from programs that were separate from our existing processes, and instead integrating our work into existing processes so they become durable — is the evolution to “built in” and “born inclusive,” instead of “bolted on.” As part of this evolution, we’ve been winding down outdated programs and materials, and we’re aiming to complete that by the end of 2024. We also know there will always be individuals or teams who continue to do well-intentioned things that don’t align with our company-wide approach, and we might not always see those right away. But we’ll keep at it.

We’ll continue to share ongoing updates, and appreciate your hard work in driving this progress. We believe this is important work, so we’ll keep investing in programs that help us reflect those audiences, help employees grow, thrive, and connect, and we remain dedicated to delivering inclusive experiences for customers, employees, and communities around the world.

#InThisTogether,

Candi

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Tesla recalling 239,000 vehicles in U.S. over rearview camera failures

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Tesla recalling 239,000 vehicles in U.S. over rearview camera failures

New Tesla Model 3 vehicles on a truck at a logistics drop zone in Seattle, Washington, on Aug. 22, 2024.

M. Scott Brauer | Bloomberg | Getty Images

Tesla is voluntarily recalling about 239,000 of its electric vehicles in the U.S. to fix an issue that can cause its rearview cameras to fail, the company disclosed in filings posted Friday to the National Highway Traffic Safety Administration’s website.

“A rearview camera that does not display an image reduces the driver’s rear view, increasing the risk of a crash,” Tesla wrote in a letter to the regulator. The recall applies to Tesla’s 2024-2025 Model 3 and Model S sedans, and to its 2023-2025 Model X and Model Y SUVs.

The company also said in the acknowledgement letter that it has already “released an over-the-air (OTA) software update, free of charge” that can fix some of the vehicles’ camera issues.

In 2024, Tesla issued 16 recalls in the U.S. that applied to 5.14 million of its EVs, according to NHTSA data. The recall remedies included a mix of over-the-air software updates and parts replacements. More than 40% of last year’s recalls pertained to issues with the newest vehicle in the company’s lineup, the Cybertruck, an angular steel pickup that Tesla began delivering to customers in late 2023.

Regarding the latest recall, the company said it had received 887 warranty claims and dozens of field reports but told the NHTSA that it was not aware of any injurious, fatal or other collisions resulting from the rearview camera failures.

Other customers with vehicles that “experienced a circuit board failure or stress that may lead to a circuit board failure,” which cause the backup camera failures, can have their vehicles’ computers replaced by Tesla, free of charge, the company said.

Tesla did not immediately respond to CNBC’s request for comment.

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