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California wants to reduce traffic. The Newsom administration thinks AI can help

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California wants to reduce traffic. The Newsom administration thinks AI can help

Being stuck in traffic is a familiar problem for many Californians, but state officials want to harness the power of artificial intelligence to discover new solutions.

The California Department of Transportation, teaming up with other state agencies, is asking technology companies by Jan. 25 to propose generative AI tools that could help California reduce traffic and make roads safer, especially for pedestrians, cyclists and scooter riders. Generative AI tools such as ChatGPT can quickly produce text, images and other content, but the technology can also help workers brainstorm ideas.

The request shows how California is trying to tap into AI to improve government services at a time when lawmakers seek to safeguard against the technology’s potential risks. As Microsoft-backed OpenAI, Google and other tech giants roll out new AI-powered tools, the technology’s rapid pace of advancement has raised concerns about misinformation, job displacement, copyright infringement and privacy.

The state’s plan to potentially use artificial intelligence to help alleviate traffic jams stems from an executive order that Gov. Gavin Newsom signed in September about generative AI. As part of the order, the state also released a report outlining the benefits and risks of using AI in state government.

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California state agencies have access to a trove of valuable data, including from thousands of traffic sensors and cameras. Analyzing that data to quickly reduce traffic and improve safety can be challenging. The huge volume of data comes in various forms, such as photos, videos and text.

The state currently uses technology to help analyze traffic data, but the agencies rely heavily on workers to decide what to do to improve the flow of traffic in real time. Generative AI could come up with better solutions.

“It probably would change the strategy much, much faster than a human being will be able to do,” said Amy Tong, secretary of government operations for California.

There are many reasons why traffic jams happen, including crashes, debris in the roadway, major events that draw big crowds and bad weather. But there are also recurring issues that can make roads more congested, said California Secretary of Transportation Toks Omishakin.

For example, a narrow part of a road could hinder the flow of traffic. Workers could use generative AI to brainstorm solutions.

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“There’s potential for generative AI to actually help us better funnel traffic through those areas, instead of automatically thinking ‘Oh, let’s just widen the road. That’s the solution,’” he said.

Caltrans also wants to use generative AI to help achieve its vision of having zero road fatalities and serious injuries by 2050. Through analysis of crash sites, lighting conditions, traffic patterns and behavior of “vulnerable roadway users” such as pedestrians and cyclists, Caltrans says AI could help workers identify areas that are at higher risk for accidents and suggest safety measures.

“This proactive approach will enable transportation system operators and engineers to anticipate and address safety issues in advance or more quickly, rather than merely reacting to them after the fact,” a document outlining the problem Caltrans is trying to solve states.

As technology becomes more incorporated in state government work, Omishakin said he anticipates jobs will change but not be entirely replaced.

Companies are already using AI to analyze traffic patterns and the movement of people on the roads, including drivers and bicyclists. Google, for example, has a research initiative known as Project Green Light that cities such as Seattle are participating in that aims to improve the flow of traffic and reduce greenhouse gas emissions from cars on the road. As part of the project, Google uses AI to identify when engineers can adjust the timing of traffic lights and provides those recommendations to city officials.

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INRIX, a transportation analytics company, announced a new generative AI-powered product in November that could help cities better manage the flow of traffic. A report by the company found that Los Angeles in 2022 was the 6th-most congested city in the United States with delays costing drivers, on average, 95 lost hours and $1,601.

Technology also isn’t perfect and humans need to be in the mix to ensure that the AI system is using data from the right sources and not spewing out errors, Tong said. The state is also taking steps to limit potential data security and privacy issues. State data that vendors use in the AI systems have to be stored within Caltrans’ “managed cloud environments,” according to a document about the state proposal.

The state’s request for innovative ideas involves various steps that include the state evaluating the solutions the companies suggest. California, which faces a record $68-billion budget deficit, may then award a contract to companies. Other state agencies are also planning to ask businesses to provide ideas to help improve other state services, including call centers that help taxpayers, Tong said.

“We definitely have the budget constraint in mind, but at the same time, public safety is a high priority for the administration,” Tong said. “So that’s why we continue to explore these options.”

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Read Nick Bilton’s Letter to Scott Pelley

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Read Nick Bilton’s Letter to Scott Pelley

Dear Mr. Pelley:

I meant what I said in my letter last week to the 60 Minutes team: joining 60 Minutes is the honor of my career and I am grateful to be working alongside the people who have contributed to the most important television journalism brand this country has ever produced. While I’m new to 60 Minutes, I’ve devoted my career to investigative journalism and storytelling. I started this job excited to collaborate and to benefit from the wisdom and experience of the 60 Minutes veterans, with you among them. For that reason, one of the first things I did in my new role was call you to talk and invite you to dinner. It is a profound disappointment that you rejected that overture and chose ambush instead. Yesterday, you hijacked my first meeting with staff to disparage me, my qualifications, and my intentions with remarkable incivility and contempt. I welcome a diversity of viewpoints and respectful debate among the team, but this was nothing of the sort. Yesterday’s performative display of hostility enacted in front of the staff instead of in a civil, private conversation-demonstrated that you have no interest in contributing to the future success of the show, or approaching my new tenure with a mind open to collaboration and progress. I am here to deliver first-in-class news programming, not to make headlines about newsroom drama. I am eager to work alongside those who share this goal.

Despite yesterday’s misconduct, I had hoped that in sitting down with you today we could find a path forward together. You made clear that you are not interested in such a path.

Your antipathy to the future of the show has come through loud and clear. And I have heard you. I therefore write on behalf of CBS News, Inc. (“CBS”) to inform you that your employment with CBS is terminated for cause effective immediately. Enclosed is your formal termination letter.

Sincerely,

Nick Bilton

Executive Producer, 60 Minutes

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Aspiration co-founder sentenced to 14 years for fraud

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Aspiration co-founder sentenced to 14 years for fraud

The co-founder of Aspiration, Joseph Sanberg, was sentenced to 14 years in prison on Monday after defrauding investors and lenders of over $248 million.

The startup, an eco-friendly digital banking company boasting fossil fuel-free investments, carbon offsets for gas purchases, and a debit card with cash-back benefits for shopping at clean companies, was founded by Sanberg and Andrei Cherny. Cherny left the company in 2022 and has not been charged.

Sanberg, an Orange County native, pleaded guilty to wire fraud in October after being arrested in March last year. Aspiration subsequently filed for bankruptcy and liquidated all of its assets by July.

Sanberg and venture capitalist Ibrahim AlHusseini, who also faces charges, together forged a series of bank statements in order to obtain loans. From 2020 to 2021, the pair forged AlHusseini’s bank statements to show millions of dollars in assets in order to obtain millions of dollars from lenders.

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Additionally, they forged a letter from their audit committee stating that $250 million in funds were available, when in reality Aspiration had less than $1 million. The amount of loans defrauded exceeded $248 million.

In 2021, Sanberg artificially inflated Aspiration’s 2021 revenue by $44 million by recruiting 27 fake customers to sign letters of intent pledging tens of thousands of dollars per month for tree planting services. Sanberg himself funded the contracts and used the inflated revenue numbers to obtain more loans.

The charges sparked an NBA investigation into salary cap allegations due to Aspiration’s connections with Clippers owner Steve Ballmer.

Ballmer personally invested $60 million in Aspiration, all of which was lost. He is now the target of a civil lawsuit alleging his participation in the scheme. Ballmer denies the allegations.

The team announced a $300-million sponsorship deal with Aspiration, and Clippers player Kawhi Leonard signed a four-year, $28-million marketing contract with the company, which reportedly performed no duties. The issue has raised concerns about how players are circumventing the NBA’s salary cap.

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The team lost the $300-million sponsorship deal and an additional $20 million paid for carbon offset purchases.

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Monterey Park takes landmark vote on banning data centers

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Monterey Park takes landmark vote on banning data centers

Residents in the city of Monterey Park will be the first in the nation to vote on a permanent ban on data centers Tuesday.

If approved, Measure NDC would prohibit data centers within the city limits and could only be overturned by another vote.

Yard signs saying “No Data Center” in English and Chinese with images of dragons line sidewalks in the San Gabriel Valley city.

As a wave of data center opposition sweeps the country, numerous towns and counties across the U.S. have instituted temporary moratoria and other restrictions on the facilities. But only a handful have instituted indefinite bans, and just four other towns have sent related matters to the ballot.

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Supporters are hoping the vote will set a precedent for the rest of the region, where residents are fighting proposals in Vernon and City of Industry.

“This is about as permanent a ban as we can get,” said Steven Kung, co-founder of the group No Data Center Monterey Park. “Winning Measure NDC would send a huge message to the rest of the San Gabriel Valley about how residents don’t want data centers.”

The ballot measure emerged from the fight against a 247,000-square-foot center proposed in 2024 by the Australian-owned investment firm HMC StratCap for a residential area in Monterey Park.

The facility would have sat less than 500 feet away from the nearest home and used three times the electricity of the 60,000-person, predominantly Asian American city.

While the developer touted the potential for jobs and tax revenue, residents expressed concerns about noise and air pollution, rising electricity rates and a potential to lower property values.

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The company pulled its plans in late March following public outcry and a March 4 city council vote to extend a temporary data center moratorium and place a ban on Tuesday’s ballot.

In a letter to the city council, HMC StratCap said it would pursue a different use for the land and would not engage in a ballot measure fight.

The city council later banned data centers indefinitely, the first in California to do so, said Mayor Elizabeth Yang. But she’s still been out campaigning for the measure with all four other council members.

“If a council puts in an ordinance, a future council can reverse it too,” said Yang. “With the ballot measure, unbanning it is a lot harder because you need the entire city to vote on it.”

The measure proposes the ban “to protect air quality, drinking water resources, and public health” and “prevent impacts to electricity and water rates.”

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While California places third in the country for existing data centers with about 300 facilities, it hasn’t been a hot spot in the recent AI-driven data center boom. High electricity rates, expensive land and regulatory hurdles mean that fewer, and smaller, facilities are currently planned than in Virginia, Texas, Georgia, Illinois or Arizona.

“Most of California’s data centers are small by today’s standards,” said Shaolei Ren, an engineering professor at UC Riverside who studies how to reduce the environmental impacts of data centers. “Ten years ago, they would be medium-sized, but the power demand for new AI data centers has increased a lot.”

The average operating data center demands 45 megawatts, according to the Washington Post, while the average planned one would draw 430 MW. The one proposed for Monterey Park would have required about 50 MW at peak demand.

As proposals crop up in SoCal, they’re met with fierce opposition. Montebello, El Monte and Baldwin Park have all enacted temporary moratoria, and Alhambra recently banned data centers as part of a zoning code update. City of Industry, Vernon, City of Commerce and Santa Fe Springs are moving in the other direction, trying to court developers and streamline data center approvals. Community groups are fighting that.

Outside the San Gabriel Valley, residents of Coachella and Imperial County are showing up in droves to protest local proposals.

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Matthew Shaw, a volunteer with the Coalition for Responsible Data Center Development, who recently published a report on opposition to AI data centers, said a vote to ban them in Monterey Park “would lead to copycats, partially because so many groups are just opposed to any data center development at all.”

While there is no formal opposition to Measure NDC, some building trades like Ironworker Local 433 supported the Monterey Park data center when it was still live before city council. Those in the data center industry are lamenting the state of public opinion.

“These are multi-billion-dollar assets that are built by multi-trillion-dollar companies. These things will get done,” said Mehdi Paryavi, chairman of the International Data Center Authority. “My biggest problem is that our industry does not invest enough in community engagement.”

Paryavi said towns that seek to limit data centers are missing out on thousands of jobs generated by data center construction, operations and customers, as well as faster artificial intelligence speeds and better performance.

Kung said local community organizers are “looking at the empirical evidence” and seeing a ban as a win.

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“We’ve never seen a city that embraces a data center and is like, ‘Look how our quality of life has increased, look how all the revenue has gone into citywide improvements,’” he said. “That just doesn’t exist.”

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