Open Source Report for Thursday, May 29, 2025

THE TOP HEADLINES

Report for Thursday, May 29, 2025

• US Pauses New Russia Sanctions to Keep Ukraine Deal Talks Alive, Trump Says.
  
  
• Germany to Help Kyiv Build Long-Range Missiles to Strike Russia.
  
  
• EU launches major Black Sea plan with eye on defense as Putin hovers.
  
  
• China's most advanced bombers seen on disputed South China Sea Island.
  
  
• U.S. believes breakthrough is close on Gaza ceasefire, hostage deal.

CIPHER BRIEF EXCLUSIVES

As U.S. Retreats on the Global Stage, Is China Winning? Two prominent experts — Orville Schell, Director of the Asia Society’s Center on U.S.-China Relations, and Martin Petersen, former Acting Executive Director of the Central Intelligence Agency — assess the implications of U.S. global retreat under the Trump administration and the strategic openings it creates for China. Schell argues that China is capitalizing on America’s withdrawal from regions like Africa and Latin America, not necessarily due to its own appeal but because of the vacuum left by the U.S. Petersen agrees, noting China’s growing influence through technical aid, trade, and geopolitical maneuvering, but stresses the challenges Beijing faces, including economic strain and complex foreign relationships. Both warn of national security risks tied to China's dominance in supply chains (e.g., rare earths) and soft power expansion. They emphasize that U.S. unpredictability and incoherent foreign policy are undermining alliances and enabling China to advance its global influence more easily. The Cipher Brief

Opinion: U.S. Counterintelligence in the 21st Century: Confronting the Russia–China Threat Nexus.Susan Miller, former CIA Chief of Station with 39 years of intelligence experience, and Emmanouil M. Karatarakis, a former senior advisor to the Greek Ministries of Defense and Finance, argue that counterintelligence (CI) must become a central pillar of U.S. national security. Drawing on lessons from Cold War espionage and modern threats, they highlight the increasing sophistication of Russian and Chinese intelligence operations. China's Ministry of State Security combines legal powers and global reach to steal U.S. intellectual property and embed cyber threats in infrastructure. Russia, meanwhile, adapts through proxy sabotage, deep cyber breaches, and kinetic threats in space. Both nations blur the lines between espionage and warfare. The authors call for a whole-of-nation CI strategy, including improved insider threat detection, public-private cyber partnerships, and space resilience, to meet this multidomain challenge. Ultimately, they stress that espionage still hinges on human weakness, requiring vigilance and innovation across sectors. The Cipher Brief

Dear Mr. President: A Former CIA Officer’s Unvarnished Brief on Putin. Glenn Corn—a former senior Central Intelligence Agency operations officer with 34 years of experience in U.S. intelligence and foreign affairs—issues a direct appeal to President Donald Trump, urging immediate and decisive action against Russian President Vladimir Putin. Corn, who once briefed Trump in the Oval Office on Russia, draws on his extensive service, including 17 years overseas and current academic work in Russian studies, to argue that Putin is bluffing about wanting peace in Ukraine. Based on multiple visits to Ukraine and conversations with officials and civilians, Corn asserts that the war’s horrors demand more U.S. resolve. He criticizes Putin’s refusal to negotiate, calling it an insult to American efforts and authority, and says Trump must now impose secondary sanctions, boost military aid to Ukraine, and pressure countries still trading with Russia. Corn believes only firm U.S. action will force Putin to the table and end the war on terms favorable to Ukraine and the West. The Cipher Brief

THE AMERICAS

A Disillusioned Musk, Distanced from Trump, Says He’s Exiting Washington. Elon Musk, once closely aligned with President Donald Trump, is stepping back from Washington, citing frustration with bureaucracy and political distractions. Though still on good terms with Trump, Musk has distanced himself after clashing over policy, including Trump’s domestic spending bill and a rival AI data center deal in the United Arab Emirates. Musk’s government efficiency initiative, DOGE, left a significant mark, but internal pushback and reputational damage prompted his withdrawal. Despite pledging $100 million to Trump’s political operation, the funds have not been delivered. Musk, disillusioned by policy roadblocks and personal setbacks—like a failed judicial campaign he backed—plans to refocus on Tesla, SpaceX, and xAI. While his deputies remain in government roles, Musk is returning full-time to his companies, emphasizing his commitment with appearances at major SpaceX events. His withdrawal signals a shift in influence and raises questions about the future of his political and policy ambitions. New York TimesAxiosPoliticoReutersFrance 24

Pentagon sunsets Elon Musk's ‘what did you do last week’ email mandate. The Department of Defense has officially ended Elon Musk’s controversial “what you did last week” emails, which he implemented while leading the Department of Government Efficiency (DOGE). This initiative required federal employees to report their weekly contributions or risk being considered resigned, mirroring Musk’s practices at Twitter. Defense Department official Jules Hurst announced the end of the policy, noting it had aimed to boost efficiency and accountability. Many employees resisted the initiative, with only around half the federal workforce responding to the email, and some agencies advised staff to ignore it. The move signals yet another shift away from some of Musk’s more contentious policies. Axios

Federal court says Trump exceeded authority, strikes down tariffs on countries around the world.A U.S. federal court has struck down President Donald Trump’s sweeping tariffs on dozens of countries, declaring them unlawful and beyond his legal authority. The Court of International Trade ruled that Trump’s use of the International Emergency Economic Powers Act (IEEPA) to justify tariffs in response to national emergencies like fentanyl trafficking and trade deficits exceeded the law's limits. The decision nullifies tariffs on Canadian, Mexican, and Chinese products, and other pending tariffs, and may result in refunding duties already collected. This is a significant blow to Trump’s trade policies, as he sought to use tariffs to pressure countries during trade negotiations. The Justice Department has appealed, but experts suggest replicating the tariffs under other statutes would be difficult. The ruling follows previous legal setbacks for Trump’s policies and renews calls for Congress to reclaim its constitutional authority over trade. The decision stemmed from cases brought by small businesses and state attorneys general PoliticoNew York TimesWashington PostReuters

Army weapons shake-up backed by Hegseth and other Trump picks.The U.S. Army, with support from Defense Secretary Pete Hegseth and the Trump administration, is pushing ahead with a major overhaul of its weapons and vehicle programs. Army Secretary Dan Driscoll told Axios the initiative—dubbed the Army Transformation Initiative (ATI)—reflects a new risk tolerance unmatched by previous administrations. The effort targets legacy systems like the Humvee and Apache helicopters, as well as newer ones like the M10 Booker, aiming to cut inefficiencies and focus on advanced, war-winning tech. The Army expects to save $48 billion over five years. Driscoll and Gen. Randy George have been actively defending the changes in the media. Axios

Beltway bloat could doom Trump's Golden Dome. The concept of "Golden Dome," U.S. President Trump’s ambitious missile defense system, aims to create a comprehensive, 24/7 shield against global threats, relying on space-based interceptors and advanced technology. However, realizing this vision within three years, as promised, could face immense challenges, including bureaucratic inertia, miles of red tape, complex coordination, and political obstacles. Trump tapped Gen. Michael Guetlein to lead the project and set a $175 billion budget, which experts consider low. Critics argue that while the technology might soon be feasible, the lack of clear planning and coordination may slow progress, and adversaries could develop countermeasures. As of now, the system is more a vision than reality, with much of the necessary technology and infrastructure still in development. Axios

These historians oversee unbiased accounts of U.S. foreign policy. Trump fired them all.President Donald Trump has dismissed all members of the advisory committee overseeing the Foreign Relations of the United States (FRUS), a vital historical record of U.S. foreign policy dating back to 1861. The FRUS, comprising over 450 volumes, documents everything from diplomacy to covert operations. Historians on the committee ensured the records were thorough, unbiased, and transparent, serving both scholars and policymakers. Critics warn that removing this oversight could politicize historical documentation and erode public trust in America’s diplomatic history. Historians like Sarah B. Snyder stress the FRUS’s value not just to scholarship, but to the nation’s global credibility. The State Department says a plan is in place to continue the committee’s work, but currently, all advisory positions remain vacant. Washington Post

Rubio targets foreign nationals who he alleges police Americans’ social media posts. Secretary of State Marco Rubio has unveiled a new visa policy targeting foreign officials who allegedly censor Americans online, citing the need to protect free speech. He criticized foreign governments, particularly in Europe, for pressuring American tech companies to adopt global content moderation rules affecting U.S. users. Rubio argued that such actions infringe on Americans' free speech rights, calling the new policy a pushback against foreign influence. The “days of passive treatment for those who work to undermine the rights of Americans are over,” he asserted online. The move follows conservative criticism of European tech regulations and recent Trump administration efforts to crack down on pro-Palestinian speech in U.S. universities. European officials and companies like Google and Meta have not commented directly on Rubio’s announcement. Politico

Only Two Companies Make Parachutes for U.S. Troops. Deportations Would Crush One. Mills Manufacturing, one of only two U.S. companies producing parachutes for the military, faces a major labor crisis due to potential deportations of immigrant workers with temporary legal status. About a quarter of the North Carolina factory’s staff are immigrants from countries like Ukraine and Nicaragua, protected under Joe Biden-era humanitarian parole or Temporary Protected Status (TPS). A recent Supreme Court decision allows the Trump administration to strip these protections, putting both the workers and the company at risk. CEO John Oswald warns that losing these skilled workers would devastate operations. Immigrants like Dmytro Sierhiei and Alisa Kapustyanskaja have become essential to Mills, which produces 5,000 parachutes annually. Wall Street Journal

More U.S. nationals wrongfully detained in Venezuela than anywhere else: State Department. The U.S. State Department has noted that more U.S. nationals are currently wrongfully detained in Venezuela than anywhere else, issuing its highest-level travel advisory, and warning Americans against any travel there due to severe risks, including wrongful detention, torture, and kidnapping. The advisory states that dual citizenship or Venezuelan visas don’t offer protection, and Americans in Venezuela are urged to leave immediately. This comes amid heightened tensions, with the U.S. embassy in Caracas having been closed since 2019. Additionally, the Trump administration has intensified its stance on Maduro's regime, including efforts to link it to criminal gangs and deport Venezuelan migrants. Axios

How Mexico's cartels recruit children and groom them into killers. Mexican drug cartels are increasingly recruiting children, grooming them into loyal killers through manipulation, trauma, and addiction. Reuters interviewed 16 current and former child recruits, many of whom came from violent, broken homes and were lured by promises of status and belonging. One girl, Sol, joined a cartel at age 12 after being spotted selling roses. She rose quickly and committed murder within months. Now 20, she’s in rehab and studying law. Cartels prefer minors for their malleability and legal protections. Experts estimate up to 30,000 children have been recruited, some as young as six. Social media, video games, and personal networks aid recruitment. Despite efforts under Presidents López Obrador and Claudia Sheinbaum to curb this crisis, experts say little progress has been made. Without targeted laws or rescue programs, these children—cheap, replaceable, and disposable—remain vulnerable. Reuters

A Desperate Haiti Turns to Erik Prince, Trump Ally, in Fight Against Gangs. Facing spiraling gang violence and a failing state, Haiti has turned to Erik Prince—the founder of Blackwater and a prominent ally of President Donald Trump—to lead a private military effort against armed groups that have seized control of parts of the capital, Port-au-Prince. Prince’s team has been operating drones since March and plans to send up to 150 mercenaries and more weapons this summer. The Haitian government is reportedly paying Prince, though exact terms remain secret. U.S. officials say they are not funding him. Critics warn that such privatized security operations lack oversight and risk repeating past abuses, especially given Prince’s controversial history. Violence in Haiti has displaced a million people and overwhelmed national forces. While the public and officials are desperate for help, experts caution that relying on foreign contractors may deepen dependency without building long-term security capacity. Haiti’s last major experience with contractors ended tragically, with mercenaries implicated in President Moïse’s 2021 assassination. New York Times

Trump orders US chip software suppliers to stop selling to China. The Trump administration has directed major U.S. electronic design automation (EDA) software firms, such as Synopsys, Cadence, and Siemens EDA, to halt sales to Chinese companies, aiming to hinder China’s development of advanced semiconductor technology, especially AI chips. The U.S. Department of Commerce’s Bureau of Industry and Security issued the directive. EDA tools, vital for designing next-generation chips, are a critical part of the tech supply chain. The move comes despite a temporary U.S.-China tariff truce, signaling ongoing strategic tensions. Synopsys and Cadence saw their stock prices drop sharply. With U.S. restrictions intensifying, Chinese EDA firms like Empyrean, Primarius, and Semitronix are gaining ground. Critics warn that the ceasefire in trade talks could unravel, and the U.S. risks losing leverage if China retaliates, given its control over rare earth elements. The policy also casts uncertainty over Synopsys's $35 billion acquisition of Ansys, pending approval by Chinese regulators. Financial Times

U.S. to begin ‘aggressively’ revoking visas for Chinese students. The U.S. is set to start revoking visas for Chinese students, Secretary of State Marco Rubio announced on May 28, marking a significant leap in the Trump administration's immigration crackdown. The order reportedly applies to all students from China and aligns with broader trade negotiations between the two countries. Rubio stated that the visa revocations target those with connections to the Chinese Communist Party or those studying sensitive fields, and future visa criteria will be tightened. The administration claims this action is meant to protect U.S. interests and intellectual property. This move follows other recent measures targeting universities, such as an attempted ban on Harvard’s ability to enroll international students and a proposed AI-driven program to revoke visas for individuals allegedly supporting terror groups. AxiosThe GuardianNew York TimesAssociated Press

THE UKRAINE UPDATE

US Pauses New Russia Sanctions to Keep Ukraine Deal Talks Alive, Trump Says. President Donald Trump said Wednesday in the Oval Office that he is pausing new sanctions on Russia to preserve the chance of a peace deal with Russian President Vladimir Putin, despite his growing frustration over Russia’s intensifying drone and missile attacks. “If I think I’m close to getting a deal, I don’t want to screw it up by doing that,” Trump told reporters, while warning Putin may be “tapping us along.” He repeated: “This isn’t my war. This is (ex-President Joe) Biden’s war, (Ukrainian President Volodymyr) Zelensky’s war, and Putin’s war.” Trump emphasized that “really bad things would’ve already happened to Russia” if not for his leadership. While criticizing the violence, he remains open to a summit with Zelensky and Putin “if necessary.” Critics, including Sen. Chuck Grassley (R-Iowa), are urging Trump to take tougher action, but Trump insists diplomacy must come first. BloombergWall Street JournalReuters

Germany’s Top Diplomat Expects New US Sanctions Against Russia. German Foreign Minister Johann Wadephul said in Washington on Wednesday that he was optimistic the U.S. would impose new sanctions on Russia if President Vladimir Putin continues to block a peace deal with Ukraine. Speaking after a 45-minute meeting with U.S. Secretary of State Marco Rubio, Wadephul noted that over 80 U.S. senators were ready to support a sanctions bill. Bloomberg

Russia proposes peace talks with Ukraine next week after Trump threats. Russia proposed holding a second round of peace talks with Ukraine in Istanbul on Monday, aiming to exchange written proposals for a ceasefire. The move follows growing pressure from U.S. President Donald Trump, who warned Russian President Vladimir Putin was “playing with fire” and expressed frustration over continued Russian attacks during negotiations. Ukraine responded by sending a document outlining its vision for a ceasefire process and requested a corresponding Russian proposal. Talks earlier this month in Istanbul yielded no progress, but both sides now signal a willingness to resume discussions. AxiosReutersWashington Post

Germany to Help Kyiv Build Long-Range Missiles to Strike Russia. German Chancellor Friedrich Merz announced a landmark €5 billion military aid package for Ukraine during President Volodymyr Zelensky’s visit to Berlin on Wednesday. The deal includes joint production of long-range weapons in Ukraine, marking a shift toward deeper German Ukrainian defense cooperation as U.S. support becomes less certain. Merz lifted range restrictions on Western-supplied arms, signaling potential delivery of Taurus missiles, previously blocked by former Chancellor Scholz. The package also funds air defense, munitions, and satellite communications. Merz called Russia’s latest strikes on Kyiv a “slap in the face” to diplomacy and reaffirmed that Germany would pressure Moscow while urging a renewed push for peace talks. As both sides escalate their arms production, Europe is stepping up to fill the leadership void in Ukraine’s defense, with Merz positioning Germany at the forefront of the effort. Meanwhile, Zelensky continues pushing for $30 billion in annual funding and greater NATO involvement. BloombergReutersNew York TimesWall Street JournalPolitico EU

Germany to do 'everything' to prevent Nord Stream 2 restart, Merz says. German Chancellor Friedrich Merz said Wednesday that Germany will “do everything” to prevent the Nord Stream 2 pipeline from being reactivated. Speaking alongside Ukrainian President Volodymyr Zelensky in Berlin, Merz emphasized the need to ramp up pressure on Russia amid ongoing attacks on Ukrainian cities. He supported broader European Union efforts to increase sanctions, hinting that the forthcoming 18th sanctions package could target Russian banks and permanently block Nord Stream operations. Merz said the goal is to “weaken Moscow’s war machine.” Nord Stream 2 was never activated and, along with Nord Stream 1, has remained offline since alleged sabotage in 2022. Kyiv IndependentPolitico EU

Zelensky: Putin irritates Trump more than I do. Ukrainian President Volodymyr Zelensky said that while his relationship with President Donald Trump has been tense, Russian President Vladimir Putin “irritates Trump more than I do.” Speaking to journalists in Kyiv on Tuesday, Zelensky remarked, “I may say unpleasant things, but I tell the truth… He [Putin] may sometimes say very nice things, but those things are lies.” He stressed that Trump and his team now realize Putin doesn’t intend to end the war on U.S. terms. Zelensky reiterated his openness to peace talks “in any format,” but emphasized that sustained international pressure is essential: “If the world stops pressuring Russia, it will just keep fighting.” He also warned of a looming Russian offensive near Ukraine’s Sumy region and expressed hope that sanctions will cripple Moscow’s war machine by summer 2026. Politico EU

Zelensky says Ukraine's defense minister had a call with a Russian negotiator. Ukrainian President Volodymyr Zelensky told reporters in Berlin on Wednesday that Ukraine’s Defense Minister Rustem Umerov recently spoke by phone with Russian negotiator Vladimir Medinsky to follow up on Moscow’s promised peace memorandum. The call came after the May 16 Istanbul talks—the first direct talks since spring 2022—where Russia agreed to outline its conditions for a ceasefire. “The world has been waiting for more than a week for the Russians to complete their so-called memorandum,” Zelensky said, adding, “They said it would happen. But we never got it.” He emphasized that neither Ukraine nor the U.S. had received the document. Reuters

Many Ukrainians balk at conceding land to Russia. Many Ukrainians strongly oppose ceding territory to Russia, creating a significant obstacle to ongoing peace efforts. Russia currently occupies about one-fifth of Ukraine and demands more land as part of any agreement. While President Volodymyr Zelensky faces growing international pressure—especially from Russia and the U.S.—to consider concessions, he has held firm, insisting that Ukraine's sovereignty must be preserved. Public opinion reflects this stance: 82% of Ukrainians reject territorial compromise. Although just over half would accept a deal recognizing occupied regions in exchange for strong Western security guarantees, 40% see that as unacceptable. Displaced residents from cities like Mariupol remain especially defiant, unwilling to legitimize what they view as stolen land. Meanwhile, Russia continues to exert military pressure and delays its promised peace proposals, leaving the negotiations stalled. Reuters

Ukraine protests to the IAEA over Russia's construction of power lines to the Zaporizhzhia nuclear plant. Ukraine has protested to the International Atomic Energy Agency over Russia’s construction of power lines linking the occupied Zaporizhzhia nuclear plant to its own grid. Kyiv views the move as a violation of international law and sovereignty. A Greenpeace report revealed that over 50 miles of lines are being built between Mariupol and Berdyansk. Ukrainian officials warn that restarting the plant under Russian control risks a disaster due to inadequate training, concerns over equipment, and low water levels following the 2023 Kakhovka dam collapse. Reuters

ISW Russian Offensive Campaign Assessment for Wednesday, May 28. Russia’s demands to end the war in Ukraine—such as NATO’s non-expansion, Ukrainian neutrality, and regime change—remain unchanged from those issued before the 2022 invasion and aim to force Western capitulation. President Vladimir Putin still insists Ukraine cede all of Luhansk, Donetsk, Zaporizhia, and Kherson oblasts, even as Russian attacks in Sumy and Kharkiv suggest broader territorial ambitions. Putin appears committed to a long war of attrition, hoping that incremental gains and Western fatigue will force Ukraine to accept unfavorable peace terms. The Kremlin continues to push the false narrative that NATO expansion provoked the war, despite evidence to the contrary, including prior Western offers to delay Ukraine’s NATO membership. Russia and Belarus scaled back the Zapad-2025 military drills, likely due to resource constraints and to feign a cooperative posture. Putin continues to invoke Russian nationalism and Kyivan Rus mythology to rally domestic support and justify conscript use in conflict zones. Ukrainian officials identified a Russian soldier involved in executing two Ukrainian POWs, part of a broader pattern of war crimes by Russian forces.

Battlefield update: Russian forces advanced in Kursk Oblast and near Chasiv Yar, Toretsk, Pokrovsk, and Velyka Novosilka.Institute for the Study of War

EUROPE

NATO Floats Including Cybersecurity in New Spending Target. NATO is proposing a new defense spending target totaling 5% of GDP, with 3.5% earmarked for traditional military expenditures and 1.5% for broader defense-related outlays. This expanded category could include cybersecurity, coastal and border security, infrastructure protection, space activities, and non-defense intelligence agencies. The aim is to give member states more flexibility in meeting spending goals ahead of a June summit. Southern countries are lobbying to include counter-terrorism measures, while Kyiv hopes Ukraine's aid will be taken into account. The move follows U.S. President Trump’s push for a 5% threshold, initially deemed unrealistic but now gaining traction as allies prepare to meet the current 2% benchmark. Bloomberg

NATO Wants Germany to Provide 40,000 Additional Troops. NATO is requesting that Germany provide up to 40,000 additional troops—equivalent to seven brigades—by 2030 as part of its strategic defense review, in response to increased Russian aggression. The plan will be discussed at a NATO defense ministers’ meeting in Brussels next week, where alliance-wide brigade targets could rise significantly. Germany has already pledged 10 brigades by 2030 and is building a permanent tank brigade in Lithuania. However, recruitment remains a challenge, prompting Berlin to enhance pay and benefits for soldiers and consider reviving compulsory military service. Chancellor Friedrich Merz has vowed to strengthen Germany’s armed forces and assume a larger defense role in Europe. Bloomberg

Nordic nations embrace total defense as the risk of sabotage and war rises. Kongsberg, Norway, a town with a history of resistance in WWII, is preparing for potential conflict amid rising security concerns. As tensions with Russia escalate over the war in Ukraine, Norway and other Nordic nations are boosting defense spending and implementing a “total defense” strategy, mobilizing both military and civilian sectors. Kongsberg, home to a major weapons manufacturer, has enhanced readiness with satellite communications, backup power, and Cold War-era bomb shelters. Authorities are coordinating with the military to prepare for a possible Western deployment. Concerns stem from recent sabotage attempt and cyberattacks linked to Russia, as well as fears of broader European vulnerabilities. The Norwegian government sees the situation as the gravest since WWII. Efforts are also focused on empowering local communities, ensuring contingency plans for power cuts, pandemics, and other crises. Experts warn that while Moscow’s actions may seem distant, the threat of sabotage and infrastructure attacks is rising, highlighting the need for vigilance. Associated Press

EU launches major Black Sea plan with eye on defense as Putin hovers. The European Union launched a comprehensive Black Sea strategy on Wednesday to bolster regional defense and infrastructure amid growing threats from Russia. The plan focuses on upgrading transport systems—ports, railways, and airports—for military mobility, particularly in Romania and Bulgaria, and may require investments of up to €75 billion. A new Black Sea Maritime Security Hub will be established to enhance situational awareness and protect critical infrastructure. The strategy also aims to build energy corridors, trade links, and digital networks, while monitoring foreign ownership of key assets. The EU emphasized partnerships with Ukraine, Moldova, Georgia, Turkey, Armenia, and Azerbaijan to strengthen regional security and resilience. Politico EU

France Tells Banks to Change Rules to Support Defense Companies. France urged its financial sector on Wednesday to support the defense industry by adjusting internal rules to direct savings and investments toward arms manufacturers. This marks a shift from prior focus on strict environmental and social sustainability standards, as European nations seek to boost military production in response to Russian aggression. France’s economy ministry and banking lobby are pushing for recognition of defense as essential to a sustainable society, excluding only banned weapons like cluster bombs or chemical arms. Asset managers such as BNP Paribas and Amundi have launched defense-focused funds, with the government set to deliver policy conclusions this summer. Bloomberg

Poland's high-stakes presidential vote pits a pro-EU centrist against a nationalist. Poland will hold a decisive presidential election run-off on Sunday, pitting centrist, pro-European Union candidate Rafal Trzaskowski against nationalist Karol Nawrocki, a PiS-backed conservative aligned with President Donald Trump-era policies. The outcome will affect Poland’s direction on judicial reforms, abortion rights, EU integration, and support for Ukraine. Trzaskowski promises to cooperate with Prime Minister Donald Tusk’s government to reverse PiS-era changes and deepen EU ties. Nawrocki, by contrast, vows to block liberal reforms, reject Ukraine’s NATO bid, and strengthen U.S. ties over Brussels. With a polarized electorate and rising anti-establishment sentiment, the vote could either empower Tusk’s coalition or set the stage for PiS’s return to power, especially if the ruling bloc fractures. Reuters ReutersPolitico EU

Trust in the European Union is at its highest since 2007, poll shows. Trust in the European Union has reached its highest level since 2007, with 52% of citizens expressing confidence in the bloc, according to a Eurobarometer poll released on Wednesday. Young people (15–24) showed the strongest support at 59%, while only 36% trusted their national governments. The poll, conducted across all 27 EU countries, reflects rising confidence amid global instability, including tensions with the U.S. under President Trump. Support for the euro hit a record 74%, and 81% of respondents favor a common EU security and defense policy. Most also back sanctions against Russia and view its invasion of Ukraine as the top EU concern. Reuters

In Rare Stab, Slovak Leader Tells Fico to Focus on the West. Slovak President Peter Pellegrini issued a rare public rebuke Wednesday of Prime Minister Robert Fico, urging him to prioritize Slovakia’s alignment with the West. In a speech to lawmakers, Pellegrini emphasized that the West, particularly ties with the European Union and NATO, is vital to Slovakia’s national interests, despite Fico’s push for a more balanced foreign policy that includes stronger ties with Russia. Since returning to power in 2023, Fico has opposed military aid to Ukraine and visited Moscow twice, drawing criticism for distancing Slovakia from EU norms. Fico denied any shift from EU and NATO commitments, calling them essential. Bloomberg

Germany charges three with spying for Russia, potentially with intent to kill.Three men in Germany — a Ukrainian, an Armenian, and a Russian — have been charged with working for a Russian intelligence agency and allegedly plotting to kill a man linked to Ukraine’s armed forces. The suspects were arrested in June of last year in Frankfurt. One suspect reportedly recruited the others to spy on the target and lure him to a meeting to identify him, but the plan was thwarted when the target contacted German police. This case is part of a pattern of Russian-linked espionage and assassination plots in Europe, including a 2019 killing in Berlin and a recent foiled plot against a German defense executive. Associated Press

THE MIDDLE EAST

U.S. believes breakthrough is close on Gaza ceasefire, hostage deal. The White House is reportedly optimistic that a fresh proposal from Steve Witkoff, Trump’s envoy to the Middle East, could soon result in a temporary ceasefire and hostage deal between Israel and Hamas in Gaza. According to sources, recent talks involving Israel and Hamas leaders, as well as intermediaries, have edged closer to an agreement despite setbacks. Hamas initially accepted a U.S. plan for a 60-day ceasefire with phased hostage releases, but Israel rejected it. Miscommunications led to differing interpretations of the proposal, but further discussions resumed. Hamas insists on guarantees for a permanent ceasefire and Israeli withdrawal, while Israel wants all hostages released upfront, fearing Hamas might renege. Witkoff’s revised draft aims to bridge these differences by “wordsmithing,” and adjusting language to satisfy both sides. Hamas might be persuaded by the possibility of regaining control over humanitarian aid. If agreed, detailed negotiations on hostage and prisoner exchanges and Israeli withdrawals would follow, marking significant progress after months of stalled talks. Axios

Netanyahu says Hamas leader in Gaza, Mohammad Sinwar, has been eliminated. Israeli Prime Minister Benjamin Netanyahu on Wednesday announced the killing of Mohammad Sinwar, Hamas’ Gaza chief and younger brother of Yahya Sinwar, the architect behind the October 2023 attack on Israel. Mohammad Sinwar was targeted earlier in May in an Israeli strike on a hospital in southern Gaza. Hamas has not yet confirmed his death. Speaking to the Israeli parliament, Netanyahu declared Israel's recent advances as a turning point toward Hamas' defeat, also mentioning Israel’s new control of food distribution in Gaza. This announcement comes amid intensified Israeli military actions in Gaza following a broken ceasefire. The conflict has resulted in massive casualties and destruction in Gaza, with over 53,000 Palestinians reported dead and more than 2 million displaced. While Gazan officials report most deaths as civilian, Israel claims tens of thousands of Hamas militants have been killed, though it has not provided evidence. ReutersAssociated PressTimes of Israel

UNRWA condemns US-backed Gaza aid model as a ‘distraction from atrocities.’Philippe Lazzarini, the chief of the UN agency for Palestinian refugees (UNRWA), has slammed the U.S.-backed Gaza Humanitarian Foundation (GHF) aid model, calling it a “waste,” and a "distraction from atrocities" as chaos unfolded during aid distribution in Rafah. Lazzarini described the scenes as “chaotic, undignified and unsafe.” In two days, 10 Palestinians were killed and 62 injured while trying to access aid, with Israeli forces accused of firing on civilians. Thousands of hungry, desperate people scrambled for supplies at GHF’s site, which bypasses the UN system. Israeli officials claimed control was briefly lost but deemed the distribution successful. Critics argue that GHF’s model undermines humanitarian principles, excluding many in need and risking forced displacement. Israel and the U.S. argue GHF keeps aid from Hamas, but international aid groups have boycotted it. Meanwhile, at least 15 people were killed in Gaza on Wednesday, including during a strike targeting a journalist's home. Reuters Al Jazeera

Gazans Lining Up for Food Say Supplies Remain Limited. The new Israeli-backed aid system in Gaza delivered more food on Wednesday, but chaos, crowds, and shortages persisted at distribution centers, sparking frustration among desperate residents. Thousands lined up in southern Gaza, many leaving empty-handed as supplies ran out. Some obtained food only by appealing to others in line. The U.S.-supported Gaza Humanitarian Foundation (GHF) claimed operations were smooth but faced criticism from residents and the UN for its limited distribution sites and the bypassing of traditional humanitarian channels. Many noted that the system forces families to risk dangerous conditions for food. The UN and over 20 countries have rejected the plan, calling it logistically flawed and ethically troubling. Gazans also face logistical challenges, such as transportation issues and security risks amid Israel’s ongoing military offensive. Despite these issues, some Palestinians, desperate for food, vowed to return to distribution sites despite the dangers. Wall Street Journal

Israel authorizes 22 Jewish settlements in the occupied West Bank. Israel has unveiled plans to establish 22 Jewish settlements in the occupied West Bank, including legalizing unauthorized outposts. Defense Minister Israel Katz described the move as a response to Palestinian violence and a strategy to prevent the creation of a Palestinian state. Israel has already built over 100 settlements housing around 500,000 settlers, viewed by most of the international community as illegal and obstacles to peace. Meanwhile, calls from some Israeli leaders to reestablish settlements in Gaza and displace Palestinians have sparked international condemnation. The UN’s top court previously ruled Israel’s presence in the occupied territories unlawful and called for an end to settlement activity. Associated PressReuters

Israel Says It Destroyed Drones with Lasers.Israel has announced the successful deployment of laser-based air-defense systems in active combat, marking a significant technological advancement. According to the Defense Ministry, over 40 drones have been intercepted using laser-powered weapons since the onset of Israel's multifront war with Hamas, which began in October 2023. Most of the targeted drones reportedly originated from Lebanon. The laser systems, praised for their low operational cost—just a few dollars per use compared to $50,000 to $100,000 per Iron Dome interceptor—represent a cost-effective method for aerial defense. The ministry released videos and images confirming their use, showing lasers neutralizing fixed-wing drones by cutting through their wings. Although promising, experts caution that lasers currently lack the capability to effectively counter faster threats like missiles and are limited by weather and single-target capacity. Israel plans to integrate these smaller, mobile laser systems—developed by Rafael Advanced Defense Systems Ltd.—into its broader air-defense strategy and intends to soon deploy the more powerful Iron Beam system for enhanced protection. Wall Street Journal

With Israeli Intel, Lebanon Is Dismantling Hezbollah in the South. Lebanon's government has made significant strides in disarming Hezbollah in its southern strongholds, achieving approximately 80% of its objectives, with assistance from Israeli intelligence supplied through the U.S. This military and political effort aligns with a cease-fire brokered in November following intense violence with Israel. The Lebanese army, bolstered by confiscated Hezbollah weapons, has extended its control south of the Litani River, areas traditionally dominated by Hezbollah. Lebanese authorities are also tackling Palestinian militant groups operating from refugee camps, underscoring a broader push to establish state authority over all armed entities. Wall Street Journal

Tehran executes man convicted of spying for Israel. Iran has executed 41-year-old Pedram Madani for allegedly spying for Israel, marking the third such execution this year. State media reported that Madani was convicted of providing Israel’s Mossad with information about Iranian infrastructure sites and receiving foreign currency and cryptocurrency as payment. He was arrested in 2020. Madani allegedly met Mossad agents in Israel and at the Israeli embassy in Belgium. Executions in Iran have surged recently, with at least 60 carried out in the past 10 days, according to Iran Human Rights. Earlier this year, another man was executed for allegedly collaborating with Mossad and being involved in the 2022 killing of an Iranian Revolutionary Guard colonel. Israel has not commented on the case. Associated PressFrance 24Times of Israel

Crime Rings Plotted to Trade Cocaine for Syrian Weapons, Prosecutors Say. A U.S. federal indictment has revealed a complex international conspiracy involving drug cartels, rebel groups, and rogue regimes. At its center is Antoine Kassis, a Lebanese national extradited from Kenya, accused of conspiring to smuggle cocaine from Colombia to Syria and provide weapons from ousted dictator Bashar al-Assad’s arsenal to Colombia’s National Liberation Army (ELN). Kassis allegedly used his Syrian connections to arrange arms-for-cocaine deals with the ELN, working with co-conspirators Alirio Rafael Quintero and Wisam Nagib Kherfan to launder millions of dollars through global networks. The plan involved hiding 500 kilograms of cocaine in a fruit shipment to Syria’s Port of Latakia and using cryptocurrency to funnel payments. The ELN, a powerful Marxist guerrilla group, has long opposed Colombia’s government and has been linked to kidnappings and attacks. The case highlights fears that the military stockpiles of Assad’s deposed regime are falling into criminal hands. Arrest warrants are still outstanding for Kassis’s alleged partners. New York Times

EU lifts most Syria sanctions but slaps new ones on alleged culprits in attacks on Alawite civilians. The European Union lifted most sanctions on Syria on Wednesday, while imposing new restrictions on individuals and armed groups accused of carrying out attacks on civilians, particularly the Alawite community, during March violence in the coastal region. The decision supports Syria’s recovery and political transition under Ahmad al-Sharaa, who ousted Bashar al-Assad in December. However, the EU has warned sanctions could return if peace is not maintained. The new sanctions target leaders of the Sultan Suleiman Shah Brigade, Hamza Division, and Sultan Murad Division for alleged civilian killings and torture. Syria’s new government has pledged accountability for March violence, but investigations remain incomplete. The EU move follows the U.S. easing sanctions as part of a broader shift in policy, aimed at aiding Syria’s reconstruction after 13 years of civil war. Associated Press

ASIA & OCEANIA

China's most advanced bombers seen on disputed South China Sea Island. Satellite imagery by Maxar Technologies has captured China landing two advanced H-6 bombers on Woody Island in the Paracel Islands for the first time since 2020. Analysts see this as a show of military might amid simmering regional tensions with the Philippines, Taiwan, and the U.S., ahead of the Shangri-La Dialogue defense forum. The H-6, an upgraded Soviet-era bomber, can carry modern cruise missiles and even nuclear weapons. The images also show Y-20 transport planes and a KJ-500 early warning aircraft, indicating a broader military presence. China’s deployment follows its recent H-6 flights over Scarborough Shoal near the Philippines. China’s control of the Paracels, contested by Vietnam, continues to fuel regional disputes. The move is seen as both a strategic signal to rivals and a preparation for future conflict scenarios, with China’s bombers generally based on the mainland for security. Reuters

China flexes military muscle with East Asian naval activity, sources say. This month, China significantly increased its naval and coast guard presence in East Asian waters, setting off alarm bells among regional powers. Security documents and officials have revealed that since early May, Beijing has deployed fleets larger than usual—including dozens of ships, guided-missile frigates, destroyers, and two aircraft carrier groups (Shandong and Liaoning)—around Taiwan, southern Japan, and the East and South China Seas. The Liaoning conducted drills simulating attacks on foreign vessels and aircraft, part of China’s efforts to assert dominance over the first island chain stretching from Japan to Borneo. China also conducted live-fire drills and amphibious exercises near Taiwan, prompting Taipei and Tokyo to increase vigilance and combat readiness. The actions, timed around the anniversary of Taiwanese President Lai Ching-te’s inauguration, reinforce China’s opposition to him, and its claim over Taiwan. Regional officials described China’s growing naval activities as a move to intimidate neighbors and demonstrate control over critical sea lanes. Reuters

China extends strike range of Type 055 destroyer with airborne early warning system: CCTV. China has enhanced the capabilities of its Type 055 stealth guided-missile destroyer, Lhasa, by integrating it with airborne early warning systems, enabling it to conduct long-range anti-ship and air-defense strikes without relying solely on the ship's radar. This integration allows the destroyer to identify both air and sea threats far beyond visual range, significantly expanding its detection capabilities. The advancement mirrors Pakistan's use of similar Chinese technology during a recent conflict in Kashmir, where airborne early warning systems guided long-range missiles to their targets. This development represents a significant step in China's efforts to achieve complete interoperability and seamless information sharing across military domains. South China Morning Post

Philippines says China has no right to object or interfere with its 'lawful' activities in the South China Sea. The Philippine foreign ministry reasserted on Thursday that China has no right to interfere with Manila’s lawful activities in the South China Sea, rejecting Beijing’s recent claims of indisputable sovereignty over the Spratly Islands. The Philippines, along with Malaysia, Vietnam, Taiwan, and China, claims parts of the archipelago, where China has built artificial islands with military facilities. The statement comes in the wake of a maritime confrontation last week in which the Philippine fisheries bureau accused the Chinese coast guard of endangering Filipino researchers. China claims nearly the entire South China Sea, but a 2016 international ruling invalidated its expansive claims. Despite Chinese objections, the Philippines said it will continue its routine maritime operations and research. Reuters

China pushes for a new ‘Asian alliance’ as it signs deals with ASEAN, Gulf states. China is leading efforts to establish a powerful new economic bloc with Southeast Asia’s ASEAN and the Gulf Cooperation Council (GCC), as a strategic response to U.S. protectionism and geopolitical tensions. Chinese Premier Li Qiang, speaking on Tuesday at the ASEAN-China-GCC Economic Forum in Malaysia, called for deepening mutual trust and cooperation in trade, supply chains, infrastructure, and finance. The three groups represent a quarter of the global population and economy but only 5% of global trade, highlighting significant growth potential. Analysts suggest this “mini Asian alliance” could serve as a prototype for a future “Asian Union,” with Beijing boosting its influence while reducing reliance on Washington. The joint statement also calls for expanding local currency use in trade, signaling a move away from the U.S. dollar. However, ASEAN and GCC members remain cautious of over-relying on China, given their strong trade ties with the White House. On a visit to Vietnam this week, French President Emmanuel Macron warned of rising risks due to U.S.-China tensions. South China Morning Post

China offers visa-free travel to 4 Gulf countries following landmark meeting.China has announced that, starting June 9, passport holders from Saudi Arabia, Oman, Kuwait, and Bahrain can enter China without a visa for up to 30 days. This trial policy extends the 2018 visa exemptions already granted to UAE and Qatar, completing coverage for all six members of the Gulf Cooperation Council (GCC). The decision was made following a summit in Kuala Lumpur involving leaders from China, the GCC, and ASEAN, where they discussed regional cooperation and economic integration to reduce reliance on the US. Premier Li Qiang called for a “large shared market” and closer exchanges to benefit global development. China is the Gulf region’s largest trading partner and has expanded visa-free policies for multiple countries since late 2023 to boost tourism after COVID restrictions. South China Morning Post

Chinese defense oversight official latest figure snared in military corruption crackdown. Zhang Jianhua, a former deputy head of China’s defense industry oversight agency (SASTIND), is under investigation for corruption. According to the Central Commission for Discipline Inspection, Zhang, 64, turned himself in and is suspected of “serious violations of discipline and law.” A veteran of the defense sector since 1990, he held various key roles, including overseeing military-civil projects and arms trade, and served as deputy director of both SASTIND and the China Atomic Energy Authority. His last known position was at a defense technology think tank. Zhang’s case is part of a wider anti-corruption crackdown sweeping through China’s defense industry and military, which has already targeted major companies and top generals. Two of his former superiors were also recently removed from their positions, though no official confirmation has been given on whether they are under investigation. South China Morning Post

North Korea and Russia's vice ministers discuss cooperation in Pyongyang. Russian Vice Minister of Internal Affairs Vitaly Shulika and North Korea’s Vice Minister of Public Security Ri Song Chol met in Pyongyang on Wednesday to discuss expanding cooperation and exchange, according to state media. The meeting included officials from both countries’ ministries and the Russian embassy. Shulika’s delegation arrived in Pyongyang on Monday. Reuters

AFRICA

Why Big Oil Turned to Trump for Help in Africa. The Trump administration has intervened in a dispute between major oil companies, such as Chevron and ConocoPhillips, and six Central African countries (including Cameroon, Equatorial Guinea, and Gabon) over where to deposit remediation funds—money reserved for environmental cleanup. The countries want the funds, worth as much as $10 billion, deposited at the Bank of Central African States (BEAC) to boost foreign currency reserves. The oil companies, citing best practices, insist on keeping the funds at U.S. or European banks, estimating the total amount at closer to $1 billion. The dispute has threatened fossil fuel projects valued at over $130 billion and risks derailing future investments. Negotiations, ongoing since 2018, have gained urgency as the companies face an April deadline to deposit the funds. BEAC has agreed to be a passive custodian during talks. The Trump administration’s involvement includes behind-the-scenes diplomacy and the threat of U.S. opposition to IMF support for the countries. Wall Street Journal

Jihadist violence and coups test West Africa ECOWAS bloc at 50. As the Economic Community of West African States (ECOWAS) marks its 50th anniversary, it faces severe challenges including terrorism, climate change, military coups, and poverty, according to its top official, Omar Alieu Touray. Jihadist violence has escalated in Nigeria and the Sahel region, where Burkina Faso, Mali, and Niger have withdrawn from the bloc after military coups and sanctions, forming the Alliance of Sahel States and aligning with Russia. Touray said ECOWAS would continue engagement with these countries. Analysts highlight insecurity as a major obstacle to economic prosperity in the region. Critics also point to ECOWAS’s silence over leaders extending their rule by amending constitutions, such as Togo’s Faure Gnassingbe, raising concerns over governance and the bloc’s effectiveness. Established in 1975 to promote economic integration and security, ECOWAS continues to struggle with internal divisions and mounting regional instability. Reuters

Sudan war shatters infrastructure, costly rebuild needed. Sudan’s ongoing civil war has devastated the country’s infrastructure, impacting power plants, hospitals, and water stations, especially in the capital Khartoum. The conflict between the Sudanese army and the RSF has killed tens of thousands in two years, displaced 13 million people, and sparked crises such as cholera outbreaks. Residents face prolonged blackouts, lack of clean water, and looted healthcare facilities. The cost of rebuilding is estimated at $1 trillion, but reconstruction is unlikely soon due to continued fighting, limited resources, and reduced global aid. Sudan’s oil production has halved, its main refinery is destroyed, and attacks on power and fuel infrastructure have further crippled the country. Looters have stripped valuable copper wiring, while residents resort to unsafe water sources. The UN and local authorities are focusing on small-scale recovery projects, like solar-powered water pumps and decentralizing services, as full-scale reconstruction remains unattainable amid the ongoing war. Reuters

CYBER, TECH & MARKETS

China to arm Tiangong space station with self-defense bots, scientist says. China is developing a self-defense system for its Tiangong space station, featuring robotic thrusters capable of intercepting and pushing away unidentified or suspicious spacecraft. According to Sun Zhibin of the National Space Science Centre, the system would allow operators to respond to potential threats by dodging, altering orbit, or deploying a small robot to redirect the object. This initiative follows past near collisions with SpaceX’s Starlink satellites, which forced emergency maneuvers by Tiangong. The move reflects growing international concerns over space security, particularly as the U.S., under President Trump, launches its $175 billion “Golden Dome” missile defense system aimed at countering threats from China and Russia. South China Morning Post

China mission lifts off to explore two unusual objects that haven’t been visited by spacecraft before. On May 28, 2025, China launched its Tianwen-2 mission from the Xichang Satellite Launch Center, marking a significant advancement in its deep-space exploration efforts. The mission aims to collect samples from the near-Earth asteroid 469219 Kamoʻoalewa (2016 HO3) and return them to Earth by late 2027. Following the sample return, the spacecraft is scheduled to continue its journey to study the main-belt comet 311P/PANSTARRS, with an anticipated arrival in 2035. This dual-objective mission seeks to enhance understanding of the solar system's formation and evolution, particularly regarding the origins of water and organic compounds. Tianwen-2 is part of China's broader strategy to establish itself as a leading force in planetary science and space exploration. CNN

European media uncover documents on Russian modernization of nuclear facilities. According to documents examined by the German newspaper, Der Spiegel, and Danwatch, an independent Danish media and research center, Russia's underground nuclear missile silos and infrastructure are undergoing extensive modernization. Der Spiegel and Danwatch analyzed over two million documents from Russia's public procurement databases, which describe details of Russian nuclear facilities, including their layout. According to Der Spiegel, the procurement databases “even contain floor plans and infrastructure details for nuclear weapons silos.” The documents also reveal that European companies are indirectly providing supplies for the modernization through small local companies and subsidiaries. Danwatch described the databases as “an enormous Russian security breach (that has) exposed the innermost parts of Russia’s nuclear modernization.” The reports from the German and Danish outlets provide detailed descriptions of nuclear base security systems, including layers of electric fences, seismic and radioactivity sensors, and explosion-proof doors. Cybernews Danwatch The Sun

Czech Republic condemns Chinese cyberespionage attack on foreign ministry network. The Czech Republic has accused the Chinese government of attempting to hack an unclassified network of its Ministry of Foreign Affairs. The allegations were announced on Wednesday, following an extensive investigation into the campaign that began in 2022. The three Czech intelligence agencies and the country's cybersecurity agency assessed with a high degree of certainty that APT31, also known as Judgment Panda, carried out the cyberespionage operation. APT 31 has been linked by Western governments to China's Ministry of State Security. The Czech government did not say if the breach of the network was successful. Czech Foreign Affairs Minister Jan Lipavsky said attribution for the attack was intended to expose Chinese efforts to undermine democracies through hacking, information operations, and propaganda. Lipavsky said the Chinese ambassador has been summoned to allow the government to convey that “such hostile activities have a damaging impact on our bilateral relations.” NATO and the European Union supported the Czech announcement. Kaja Kallas, the EU’s foreign policy chief, criticized Beijing while noting that several member states have attributed similar activities to China. The RecordBloombergReuters BleepingComputerSouth China Morning PostPolitico EU

Ukrainian media outlets hit by over 200 Russian cyberattacks since beginning of war. Ukrainian media outlets have been hit by over 200 successful cyberattacks by Russian hackers since the war's onset three years ago. Targets have included television channels, news agencies, and state-run media. Researchers at the SSSCIP, the state agency responsible for protecting information and critical infrastructure, described the operations as aimed at spreading pro-Russian propaganda, manipulating public opinion, and creating chaos. Tactics used by hackers include publishing disinformation, eradicating content, and launching DDoS attacks to temporarily disrupt media access. Social media accounts of journalists and media organizations have also been compromised in attempts to spread false information. In addition, researchers found that Russian-generated deepfakes were used “to discredit Ukrainian military commanders, volunteers, and international partners by imitating their speeches and statements.” The most recent SSSCIP report does not identify the threat actors although the agency in the past attributed malign cyber operations to Russian state-controlled operatives, including the notorious Sandworm unit. The Record

Ukrainians face high treason charges for providing dashcam video of military sites to Russians. Five Ukrainians have been arrested by the SBU, the country's security service, and accused of using dashboard cameras to covertly film military sites in an operation to help Russian forces direct missile strikes across the country. The Ukrainians, aged 16 to 23, include a student from Zaporizhzhia, his acquaintances, and two brothers from Kharkiv. According to the SBU, the suspects allegedly parked cars with activated dashcams near military targets and recorded for up to 12 hours. The group reportedly was recruited through Telegram messaging channels promising "easy money." Charges of high treason have been filed under martial law, carrying punishments of up to life imprisonment and property confiscation. The SBU has warned previously about the use of surveillance cameras by Russian intelligence to monitor critical infrastructure and defense systems. In a separate case, a man was detained in Kyiv for installing cameras in high-rise buildings overlooking energy sites that allegedly allowed Russian forces to assess damage from missile strikes.The Record

Customer data from Etsy and other online vendors leak through system vulnerability. Customer files from Etsy, Poshmark, and TikTok vendors, primarily affecting U.S. clients, have been exposed through a system vulnerability in Azure Blob Storage containers. Over 1.6 million files containing names, home addresses, email addresses, and ordering details reportedly have been exposed. The bulk of the data comes from Etsy, with fewer files originating from TikTok, Poshmark, and Embroly. Analysts say that skilled attackers could use the leaked details to impersonate trusted shipping providers or Etsy itself, thereby duping victims into confirming personal details, making payments, or clicking on malicious links. Scammers could also use specific products of recent orders to lure recipients into clicking links or opening attachments containing malware. Cybernews

OpenAI CFO says future IPO possible if market, company circumstances support move. OpenAI chief financial officer Sarah Friar told the Dublin Tech Summit that the company's restructuring could result in a future IPO, depending on the conditions of public markets and OpenAI's readiness for such a move. In December, OpenAI announced plans to transition its for-profit arm into a "public benefit corporation" (PBC). The company modified that plan earlier in May by providing the nonprofit parent company with control of the PBC. Friar said that "a PBC gets us to an IPO-able event ... if and when we want to." Friar cautioned the summit audience, "Nobody tweet in this room that Sarah Friar just said anything about OpenAI ultimately going public. I did not. I said it could happen." Friar acknowledged the heated competition in AI search applications, noting that it "is becoming a big market." She added, "In that world, I don't really want people spending an inordinate amount of time trying to save an extra 1 percent when I would rather they went out and kind of built the next state-of-the-art product." Reuters

EU plans special tech fund streamlined procedures to promote startup creation. The European Union is planning a special fund to attract tech startups to make the bloc more welcoming for startups while narrowing the financing and innovation gap with the U.S. The European Commission, the EU’s executive arm, has identified regulatory fragmentation across the 27 countries and inadequate financing as key factors discouraging startup growth. In response, the commission plans to simplify rules, including labor and tax law, to enable startups to launch rapidly in Europe, possibly within 48 hours. The Scaleup Europe Fund, a privately managed and co-financed initiative, will be a component of the European Innovation Council Fund. A commission official acknowledged that access to financing is a shortcoming, noting that European startups have approximately seven times less capital available to grow than their U.S. counterparts. The official added that another factor is speed, saying that the EU can be “very slow” in granting approvals. Wall Street JournalReuters

China may ease rare earth export processes for Chinese suppliers, European customers. According to Chinese state media, Beijing may relax restrictions on rare earths exports for selected Chinese and European semiconductor firms. Last month China required all exporters to obtain licenses for seven rare earths and related products. The official China Daily reported the rare earth controls were discussed Tuesday at a meeting between Chinese and European semiconductor firms hosted by China's commerce ministry. Jens Esklund, president of the European Union Chamber of Commerce in China, described the meeting as providing "European Chamber members the opportunity to express in person the urgent need to accelerate approval processes, to ensure the stability of their supply chains." Esklund told Reuters that streamlining the approval process "is imperative, as many European production lines will come to a halt very soon due to the shortage of crucial inputs." Reuters

Musk Vows to Refocus on SpaceX After Third Mid-Flight Explosion. SpaceX’s latest Starship test flight on Tuesday ended in failure—its third in a row—after the rocket lost control mid-flight due to a propellant leak. Despite the setback, Elon Musk pledged to become more involved in SpaceX operations, promising a faster launch cadence and renewed focus on solving the rocket’s technical challenges. The two previous failures, in April and November 2023, also ended before key objectives were completed. Musk, who recently said he would scale back his political engagements to concentrate on his businesses, emphasized the progress made but acknowledged that Starship is still far from operational. With critical technologies like orbital refueling and life support still undeveloped, experts remain skeptical about his goals, including Mars cargo missions by 2026 and a lunar landing for NASA by 2027. Musk’s increased involvement is seen as essential to getting the Starship program back on track. Bloomberg

Crypto crime spills over from behind the screen to real-life violence. A surge in violent crimes linked to cryptocurrency has emerged, involving kidnappings, assaults, and ransom demands. Cases include an Italian man allegedly tortured for his Bitcoin password in New York, a French businessman’s father kidnapped, and his finger severed to demand ransom, and a Connecticut couple carjacked and assaulted due to their son’s alleged involvement in a massive Bitcoin theft. These incidents reflect a trend in which criminals are combining physical violence with cybercrimes to exploit the largely unregulated cryptocurrency sector. Experts attribute this rise to the ease of anonymity, lack of regulation, and the massive sums involved in crypto markets, alongside criminals’ belief that tracing transactions is difficult. The FBI reported $6.5 billion in cryptocurrency theft losses in 2024, part of an overall $16.6 billion in internet-related crime. Associated Press

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