As SpaceX awaits the results of a critical election that would turn the location of its Starbase launch site into an incorporated Texas city, lawmakers have declined to give Elon Musk’s aerospace company greater control over a main highway and public beach.

Starbase, where the Musk-led company builds and launches its rockets, is located in Boca Chica, Texas, on the Gulf Coast. Residents of the area are voting on whether to turn the small community into a city, with the election scheduled to conclude on Saturday.

On Monday, the Texas House State Affairs Committee voted against a bill that would have given SpaceX greater control over a highway and public beach access in the likely event the company is victorious in its effort to make Starbase into Texas’ newest city. Around 500 people live in the community today, including SpaceX employees and about 120 children, according to the Texas Tribune.

SpaceX has historically needed to close roads and beaches around Starbase in order to conduct test flights and launches, including for its massive Starship rockets, which Musk sees as a prelude to an eventual Mars mission. Closing off access to beaches in the area has required SpaceX to inform and attain permission from authorities in Cameron County, the southernmost county in Texas.

The frequent closures have contributed to legal complaints against SpaceX, and have drawn protests from local residents and activists, including the Carrizo Comecrudo Tribe of Texas, the South Texas Environmental Justice Network and Border Workers United.

Activists in the Rio Grande Valley area, where Starbase is located, protested and formally lobbied against the bills for weeks. Related proposals could be introduced before the legislature meets again next month.

As CNBC has previously reported, SpaceX has conducted test flights or launches that have resulted in fires and harm to sensitive habitat essential to some endangered species in the area.

In one example, SpaceX was fined by the Environmental Protection Agency for polluting waters in Texas in violation of the Clean Water Act. After those fines, Musk threatened to sue the FAA for “regulatory overreach” but never filed a complaint.

Following a front-page New York Times story in July about the damages to local wildlife, including bird habitat, caused by SpaceX, Musk wrote in a post on his social media site X, “To make up for this heinous crime, I will refrain from having omelette for a week.”

That was a week before Musk formally endorsed Donald Trump for president after an assassination attempt on the then-presumptive Republican nominee at a rally in Pennsylvania. Musk then went on to spend nearly $300 million to propel Trump back the White House, and now serves as an advisor to the president with influence over spaceflight and environmental regulations.

In leading the Department of Government Efficiency, Musk has helped gut the ranks of both the Environmental Protection Agency and the Federal Aviation Administration. Under Trump’s EPA, the U.S. has promised to “reconsider” or target dozens of rules for elimination that currently limit air pollution and wastewater from energy, autos and manufacturing sectors.

Tim Hughes, SpaceX’s head of government affairs, didn’t respond to a request for comment, nor did the offices of Republican State Representatives Gina Hinojosa and Janie Lopez, who introduced the bills to give SpaceX local beach control.

WATCH: SpaceX launches third test flight of massive Starship rocket

Amazon is considering showing a tariff surcharge on items sold via its site for ultra-low-price items, called Haul, the company confirmed to CNBC.

“The team that runs our ultra low cost Amazon Haul store has considered listing import charges on certain products,” an Amazon spokesperson said in a statement. “This was never a consideration for the main Amazon site and nothing has been implemented on any Amazon properties.”

Punchbowl News reported earlier on Tuesday that Amazon would “soon” begin displaying the cost of tariffs alongside the price of each product, citing a source familiar with the company’s plans.

The report drew the ire of the White House, which called Amazon’s reported plans a “hostile and political act.”

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Alibaba released the next generation of its open-sourced large language models, Qwen3, on Tuesday — and experts are calling it yet another breakthrough in China’s booming open-source artificial intelligence space.

In a blog post, the Chinese tech giant said Qwen3 promises improvements in reasoning, instruction following, tool usage and multilingual tasks, rivaling other top-tier models such as DeepSeek’s R1 in several industry benchmarks. 

The LLM series includes eight variations that span a range of architectures and sizes, offering developers flexibility when using Qwen to build AI applications for edge devices like mobile phones.

Qwen3 is also Alibaba’s debut into so-called “hybrid reasoning models,” which it says combines traditional LLM capabilities with “advanced, dynamic reasoning.”

According to Alibaba, such models can seamlessly transition between a “thinking mode” for complex tasks such as coding and a “non-thinking mode” for faster, general-purpose responses. 

“Notably, the Qwen3-235B-A22B MoE model significantly lowers deployment costs compared to other state-of-the-art models, reinforcing Alibaba’s commitment to accessible, high-performance AI,” Alibaba said. 

The new models are already freely available for individual users on platforms like Hugging Face and GitHub, as well as Alibaba Cloud’s web interface. Qwen3 is also being used to power Alibaba’s AI assistant, Quark.

Open-source software generally refers to software in which the source code is made freely available on the web for possible modification and redistribution. At the start of this year, DeepSeek’s open-sourced R1 model rocked the AI world and quickly became a catalyst for China’s AI space and open-source model adoption.  

“Alibaba’s release of the Qwen 3 series further underscores the strong capabilities of Chinese labs to develop highly competitive, innovative, and open-source models, despite mounting pressure from tightened U.S. export controls,” said Ray Wang, a Washington-based analyst focusing on U.S.-China economic and technology competition.

According to Alibaba, Qwen has already become one of the world’s most widely adopted open-source AI model series, attracting over 300 million downloads worldwide and more than 100,000 derivative models on Hugging Face. 

Wang said that this adoption could continue with Qwen3, adding that its performance claims may make it the best open-source model globally — though still behind the world’s most cutting-edge models like OpenAI’s o3 and o4-mini.  

Chinese competitors like Baidu have also rushed to release new AI models after the emergence of DeepSeek, including making plans to shift toward a more open-source business model. 

Meanwhile, Reuters reported in February that DeepSeek is accelerating the launch of its successor to its R1, citing anonymous sources.

“In the broader context of the U.S.-China AI race, the gap between American and Chinese labs has narrowed—likely to a few months, and some might argue, even to just weeks,” Wang said. 

“With the latest release of Qwen 3 and the upcoming launch of DeepSeek’s R2, this gap is unlikely to widen—and may even continue to shrink.”