This Thursday, the first test launch of SpaceX Starship rocket ended in a fiery explosion over the Gulf of Mexico. Despite the outcome, SpaceX does not consider its first test launch to be a failure.

Firstly, let’s talk about why this launch is so significant. SpaceX has already flown 162 missions using their Falcon rockets, all of which were a success. But the launch this Thursday was different, not just because of the outcome, but also the promise of the Starship rocket missions in the future.

The Starship rocket is a fully reusable most powerful launch vehicle ever constructed standing at the combined height of 120 meters and able to carry between 100 and 150 tons of payload. It consists of a booster called Super Heavy and spacecraft – Starship.

The Starship spacecraft is designed to reach Mars and is still at the early stages of testing. That is the main reason why so many eyes around the globe were fixated on the outcome of the Thursday’s launch. This is one of the first steps of many in the quest of humans reaching Mars.

So, what exactly happened? The spacecraft successfully lifted off the launch platform in Brownsville, Texas reaching maximum altitude of around 39 kilometers. During the ascend some of the 33 Raptor engines in the Super Heavy booster stopped working. The Starship spacecraft was supposed to separate from the Super Heavy booster once most of the fuel is used up. That did not happen.

Just four minutes into the launch the spacecraft started tumbling in the air, triggering the flight termination system that blew up the rocket, so it did not start careening off course.

Why is the launch not considered a failure then? Well, it is important to note that how SpaceX develops their space vehicles is very different from NASA. SpaceX works on the principal of trial and error, doing as much flight testing as possible, while NASA develops spacecrafts for sometimes decades, trying to make sure that the very first launch is a success.

SpaceX can afford this hands-on R&D method due to much lower costs of building the rocket than their counterpart NASA.

SpaceX considers just the lift-off from the launchpad to be a success for this first test launch.

Last week its more than likely that you have seen at least one article about the US Debt ceiling crisis, but what does it all mean? Do you need to be worried? Also, what actions are currently in place to avoid an economic disaster?

The United States debt ceiling is a set limit on the amount of debt that the US government can issue. US accumulates debt by issuing Treasury bills, notes, bonds, and US saving bonds. The United States operates on a national deficit year on year, spending more money than it brings in. The current debt ceiling limit of the US is at $31.4tn.

If the US does not raise the debt ceiling before it is reached the potential repercussions could include a downgrade of US Treasury securities by credit agencies, in turn increasing borrowing costs for businesses and individuals, as well as a drop in confidence in the eyes of investors. If you were to tally up these potential outcomes it would trigger an immediate recession in the US which could gradually trickle down to economies around the globe.

The fear of potential default would increase market volatility, meaning sudden fluctuations in stock prices, currency exchange rates, and commodity prices. Throughout history US Treasury bonds were and are considered some of the safest investments one can make, if a default was to happen investors would lose confidence in US government’s ability to manage its finances.

Higher borrowing costs would also be imminent as the risk perception associated with a potential default or credit rating downgrade would prompt lenders to ask for higher interest rates to hedge against increased risks.

Cash flow issues could also easily cause disruptions in supply chains, as US would be forced to cut spending immediately, in turn delaying payments to contractors and suppliers.

In extreme scenarios, if the debt ceiling is not raised in time, a default on US government obligations would have severe consequences for global financial markets once again causing a world-wide economic recession.

To end on a brighter note, it seems that Washington has reached a potential deal to raise the debt ceiling and cut government spending, but it is not yet passed. We can only hope that the agreement will come to fruition before 5^th of June, which is the presumed date that the US Treasury runs out of money.

The Group of Seven (G7) nations are planning to develop worldwide technical standards promoting responsible adoption of artificial intelligence (AI).

The initiative aims to facilitate interoperability, ethical AI development, and the seamless exchange of AI technologies across borders. The nations are planning to collectively address challenges and harness the full potential of AI.

Standardizing AI technical norms on a global scale can unleash the power of innovation and stimulate economic growth. By streamlining AI systems’ compatibility, organizations can more effectively integrate AI technologies into various sectors, boosting productivity and efficiency. Furthermore, consistent standards promote market confidence, encouraging investment in AI research and development.

The development of global AI technical standards also serves as a crucial step in ensuring ethical AI practices. Fairness, transparency, accountability, and privacy protection will be the premise for global AI technical standards and should help mitigate some of the risks associated with the global AI deployment. Addressing biases, safeguarding data privacy, and establishing clear guidelines for AI decision-making processes are the main things on the agenda.

One of the key challenges in establishing global AI technical standards lies in bridging the digital divide. Developing nations may face limitations in resources, infrastructure, and expertise necessary for effective AI adoption. Therefore, international cooperation must consider capacity-building initiatives, knowledge sharing, and technology transfer to promote inclusivity and prevent further disparities.

The G7’s call for global AI technical standards also emphasizes the importance of engaging with industry leaders and stakeholders. Collaboration with technology companies, research institutions, civil society, and international organizations are key to ensure a comprehensive approach to developing and implementing AI norms that cater to diverse needs and perspectives of people around the world.

The G7’s push to establish global AI technical standards is a welcome initiative in the face of uncertainty with AI becoming more and more predominant in our daily lives.