Two years after the launch of ChatGPT, return on investment in generative AI has been elusive, but one area stands out: software development.
So-called code generation or code-gen startups are commanding sky-high valuations as corporate boardrooms look to use AI to aid, and sometimes to replace, expensive human software engineers.
Cursor, a code generation startup based in San Francisco that can suggest and complete lines of code and write whole sections of code autonomously, raised $900 million at a $10 billion valuation in May from a whos who list of tech investors, including Thrive Capital, Andreessen Horowitz and Accel.
Windsurf, a Mountain View-based startup behind the popular AI coding tool Codeium, attracted the attention of ChatGPT maker OpenAI, which is now in talks to acquire the company for $3 billion, sources familiar with the matter told Reuters.
Its tool is known for translating plain English commands into code, sometimes called vibe coding, which allows people with no knowledge of computer languages to write software. OpenAI and Windsurf declined to comment on the acquisition.
AI has automated all the repetitive, tedious work, said Scott Wu, CEO of code gen startup Cognition. The software engineers role has already changed dramatically. Its not about memorizing esoteric syntax anymore.
Founders of code-gen startups and their investors believe they are in a land grab situation, with a shrinking window to gain a critical mass of users and establish their AI coding tool as the industry standard.
But because most are built on AI foundation models developed elsewhere, such as OpenAI, Anthropic, or DeepSeek, their costs per query are also growing, and none are yet profitable.
Theyre also at risk of being disrupted by Google, Microsoft and OpenAI, which all announced new code-gen products in May, and Anthropic is also working on one as well, two sources familiar with the matter told Reuters.
The rapid growth of these startups is coming despite competing on big tech’s home turf. Microsofts GitHub Copilot, launched in 2021 and considered code-gens dominant player, grew to over $500 million in revenue last year, according to a source familiar with the matter.
Microsoft declined to comment on GitHub Copilots revenue. On Microsofts earnings call in April, the company said the product has over 15 million users.
Learn to code?
As AI revolutionizes the industry, many jobs – particularly entry-level coding positions that are more basic and involve repetition – may be eliminated. Signalfire, a VC firm that tracks tech hiring, found that new hires with less than a year of experience fell 24% in 2024, a drop it attributes to tasks once assigned to entry-level software engineers are now being fulfilled in part with AI.
Googles CEO also said in April that well over 30% of Googles code is now AI-generated, and Amazon CEO Andy Jassy said last year the company had saved the equivalent of 4,500 developer-years by using AI. Google and Amazon declined to comment.
In May, Microsoft CEO Satya Nadella said at a conference that approximately 20 to 30% of their code is now AI-generated. The same month, the company announced layoffs of 6,000 workers globally, with over 40% of those being software developers in Microsofts home state, Washington.
Were focused on creating AI that empowers developers to be more productive, creative, and save time, a Microsoft spokesperson said. This means some roles will change with the revolution of AI, but human intelligence remains at the center of the software development life cycle.
Mounting losses
Some vibe-coding platforms already boast substantial annualized revenues.
Cursor, with just 60 employees, went from zero to $100 million in recurring revenue by January 2025, less than two years since its launch. Windsurf, founded in 2021, launched its code generation product in November 2024 and is already bringing in $50 million in annualized revenue, according to a source familiar with the company.
But both startups operate with negative gross margins, meaning they spend more than they make, according to four investor sources familiar with their operations.
The prices people are paying for coding assistants are going to get more expensive, Quinn Slack, CEO at coding startup Sourcegraph, told Reuters.
To make the higher cost an easier pill to swallow for customers, Sourcegraph is now offering a drop-down menu to let users choose which models they want to work with, from open source models such as DeepSeek to the most advanced reasoning models from Anthropic and OpenAI so they can opt for cheaper models for basic questions.
Both Cursor and Windsurf are led by recent MIT graduates in their twenties, and exemplify the gold rush era of the AI startup scene. I havent seen people working this hard since the first Internet boom, said Martin Casado, a general partner at Andreessen Horowitz, an investor in Anysphere, the company behind Cursor.
Whats less clear is whether the dozen or so code-gen companies will be able to hang on to their customers as big tech moves in.
In many cases, it’s less about who’s got the best technologyits about who is going to make the best use of that technology, and who’s going to be able to sell their products better than others, said Scott Raney, managing director at Redpoint Ventures, whose firm invested in Sourcegraph and Poolside, a software development startup thats building its own AI foundation model.
Custom AI models
Most of the AI coding startups currently rely on the Claude AI model from Anthropic, which crossed $3 billion in annualized revenue in May in part due to fees paid by code-gen companies.
But some startups are attempting to build their own models. In May, Windsurf announced its first in-house AI models that are optimized for software engineering in a bid to control the user experience. Cursor has also hired a team of researchers to pre-train its own large frontier-level models, which could enable the company to not have to pay foundation model companies so much money, according to two sources familiar with the matter.
Startups looking to train their own AI coding models face an uphill battle as it could easily cost millions to buy or rent the computing capacity needed to train a large language model.
Replit earlier dropped plans to train its own model. Poolside, which has raised more than $600 million to make a coding-specific model, has announced a partnership with Amazon Web Services and is testing with customers, but hasnt made any product generally available yet.
Another code gen startup Magic Dev, which raised nearly $500 million since 2023, told investors a frontier-level coding model was coming in summer 2024 but hasnt yet launched a product.
Poolside declined to comment. Magic Dev did not respond to a request for comment.
Anna Tong and Krystal Hu, Reuters
Since the weekend, several major fires have been raging across Canadas central and western provinces. The smoke from those fires is now drifting south across the U.S. border and is significantly impacting air quality in several U.S. cities. Heres what you need to know about the Canadian wildfires and their impact on the United States.
Whats happened?
Last week, several fires began raging across large portions of Canada, particularly in its central and western provinces, reports CNN. The wildfires are something that happens every year, but in recent years, their range and intensity have grown worse thanks to the drier conditions spurred on by climate change.
Data from the Canadian Interagency Forest Fire Centre (CIFFC) shows that as of Monday, June 2, active fires were raging in Canada. Those fires have been classified into four stages of control:
107 are raging out of control
26 are said to being held
68 are under control
7 are out of control and being monitored
Of the active fires, 74 are in Canadas westernmost province, British Columbia, which is above the U.S. states of Washington and Montana. The western province of Alberta has the second-highest number of active fires, with 56. Alberta stands above Montana. The central province of Manitoba currently has 25 active fires, followed by Ontario with 19 and Saskatchewan with 16.
Saskatchewan, Manitoba, and Ontario span the northern border of the United States from Montana to New York.
While the fires’ most disastrous effects are being felt by the Canadian people who live near their epicenters, residents of the United States are also being impacted due to the smoke from the fires drifting into the U.S.
Canadian wildfire and smoke impact maps 2025
There are several good mapping resources for those wanting to track the wildfire outbreak and its smoke effects across Canada and the United States.
The first map is maintained by the Canadian Interagency Forest Fire Centre (CIFFC). The interactive map displays the active fires that are currently raging in Canada. It color codes the fires based on their stage. There are four stages:
Under control (blue): The wildfire is completely contained and will be extinguished.
Being held (yellow): Given current weather conditions and resources, the wildfire is not anticipated to grow past expected boundaries.
Out of Control (Monitored) (purple): Fires with a monitored response type are being observed and assessed, but not immediately suppressed. As there is no suppression action being taken, these fires are considered out of control until declared out for national reporting purposes.
Out of Control (red): The wildfire is burning and is expected to continue growing.
The map further displays fires in all four stages based on their size, represented by dots of three different diameters.
The smallest dots signify that the fire covers 1 to 100 hectares
The medium dot signifies an area of 101 to 1,000 hectares
The largest dot signifies an area of greater than 1,000 hectares
As the CIFFCs map shows, some of the largest fires currently burning out of control are in central Canada, though there are several large fires northwest of Winnipeg, just over Montanas border, that are currently burning out of control.
[Screenshot: CIFFC]
The second map is provided by AirNow.gov. It displays air quality data from several U.S. government sources, including the Environmental Protection Agency (EPA), National Oceanic and Atmospheric Administration (NOAA), National Park Service, NASA, and the Centers for Disease Control and Prevention (CDC).
The AirNow map casts colors across the United States that represent the air quality. Those colors are:
Green: good air quality
Yellow: moderate
Orange: unhealthy for sensitive groups
Red: unhealthy
Purple: very unhealthy
Brown: hazardous
The map currently shows that the worst air quality in America is in Minnesota, Wisconsin, Iowa, Illinois, Michigan, and Indianathe states directly under some of the worst fires in Manitoba and Ontario.
[Screenshot: AirNow]
Several cities in Minnesota and Wisconsin are under orange unhealthy for sensitive groups and red unhealthy conditions, including the Duluth and Twin Cities areas of Minnesota, along with Madison and Milwaukee in Wisconsin.
However, much of the central eastern and eastern seaboard of the United States, extending all the way to Florida, is also under yellow moderate air quality conditions due to the smoke from the Canadian wildfires drifting south.
But some better news is on the horizonat least when it comes to air quality in the United States.
p>AirNows map shows that on Wednesday, air quality should improve in the Minnesota and Wisconsin areas, reducing from red unhealthy status to orange unhealthy for sensitive groups only.
Unfortunately for Canada, the country is only at the beginning of its annual wildfire season. Already, the nation is at a National Preparedness Level (NPL) of fivethe highest possible and one in which full commitment of national resources is ongoing to support fighting the fires.
As noted by CNN, Canada did not reach the NPL level of five last year until July 15. This year, it reached that level on May 28.
Believe nothing. not even peoples runs, a viral post on X reads.
believe nothing. not even people's runspic.twitter.com/tvYjzZbhZF— Pedro Duarte (@peduarte) May 20, 2025
The accompanying video shows a program that maps running or cycling routes, which users can then upload to online exercise-tracking platforms like Strava and Maprunnerall without ever lacing up their shoes. Insane, I hate it and I love it. great work, the X user added.
The website, called Fake My Run, is described by its developer Arthur Bouffard, 26, in a recent interview with The New York Times, as truly a milestone in lazy technology innovation. On the site, users can draw or choose a route on a map, set a pace, date, and start time, and even input heart rate data. They then add a name and description before downloading a fake workout summaryfor just $0.42 per file.
the haters said it couldn't be donethey were wrongintroducing heart rate data generation for https://t.co/j8RvzkVggm pic.twitter.com/x1d8NeLM29— Arthur Bouffard (@arthurbfrd) May 26, 2025
If this sounds insane, thats exactly the point. Its like cheating at solitaire, one X user put it. But Bouffard, a runner himself, created Fake My Run after growing disillusioned with the evolving culture of the sport.
Running used to be a very personal sport that was mainly practised to challenge yourself, to improve your physical and mental health, to stay in shape, to compete with others, to discover new parts of the world, etc, he explained in a post on X. In the last couple of years, I’ve seen running increasingly shift towards becoming a social status and way of signalling a lifestyle.
Will I get sued for this? Ive just built https://t.co/xNRh2i2CGQ a website that lets you create fake running activitiesStrava mules have gone viral recently for charging 10-20$ to run for other people and improve their stats, which made me think there has to be an easier way pic.twitter.com/YgROVefm5t— Arthur Bouffard (@arthurbfrd) May 20, 2025
Running is booming. The number of people in running clubs has risen by 25% in the U.S. over the past five years, according to Running USA. Some now list marathon times on their résumés. These days, if you didnt post your 5km PB on Instagram or Strava, did it even happen? Would you still run a marathon if the catch was that you could never mention it or post about it?
Even more extreme, Bouffard says, are the so-called Strava mulespeople paid $1020 to log fake runs for others seeking virtual praise without any of the sweat. Like social media though, running posts can be faked. Which is in part why I made Fake My Run. As a way to challenge the culture shift around running, Bouffard continued.
Although Bouffard insists the app is intended purely for entertainment and educational purposes, the fitness platforms it satirizes arent amused. A spokesperson for Strava told the Times the company has already taken steps to delete activities and ban accounts that have used Fake My Run. Since launching, the site has attracted more than 200,000 visitors, and around 500 have purchased tokens to generate fake runs.
So, next time your Strava rival shaves 10 minutes off their personal bestmaybe take it with a pinch of salt.
At Odie Bs, a sandwich shop in Denver, recovery from drug and alcohol use is part of daily operations.
Seventy percent of our staff is active in recovery, Cliff Blauvelt, co-owner of Odie Bs, said in a video testimonial. We try to provide a safe space where people can feel comfortable.
Blauvelt has struggled with alcohol use for more than 20 years. He co-owns Odie Bs with his wife, Cara Blauvelt.
One employee, Molly, said working at Odie Bs helped her focus on sobriety and reconnect with her sense of purpose.
I was burned out, I was working a lot of hours. I started dry January, and after a few months I realized I needed to quit drinking, she said in the same video testimonial. Cara definitely helped with my sobriety journey, just reminding me one day at a time, and now, I have been sober for going on two years.
Colorado is one of more than 30 states that have launched recovery-friendly workplace programs in recent years. Theyre part of a growing effort to reframe how employers address addiction, mental health and recovery for the well-being of their employees and businesses.
Our team from the Centers for Health, Work & Environment at the Colorado School of Public Health works with employers to develop training guidelines and policies to help make their workplaces supportive of recovery.
Over the past three years, weve worked to understand the tools employers need to better support employees with substance use disorders.
Many are deeply motivated but lack formal policies or training. That gap is what the Colorado Recovery Friendly Workplace Initiative is designed to fill.
Since 2021, our team has developed and delivered recovery and mental health training to more than 8,000 Colorado employees. They represent more than 100 businesses in industries ranging from local government to construction companies and health care providers. Our training sessions focus on equipping individuals with an understanding of mental health and substance use disorders, explaining how to combat stigma, and outlining how to navigate accommodations in the workplace.
The toll of addiction
Substance use is not just a personal issue; its a public health and workforce challenge.
In 2023, 1,865 Coloradans died from a drug overdose, according to data from the Colorado Department of Public Health and Environment. Thats up about 65 deaths from the previous year. Nationally, overdose deaths have more than doubled since 2015.
In high-risk industries, such as construction and mining, where physically demanding work, long hours and job insecurity are common, workers have some of the highest rates of nonmedical opioid use. These workers are thus at a high risk of developing substance use disorders.
They also face other mental health challenges. These same sectors face the highest suicide rates across all occupations and nearly double that of the general public.
Recovery, as defined by the Substance Abuse and Mental Health Services Administration, a federal agency, includes a process of change through which people improve their health and wellness, live self-directed lives, and strive to reach their full potential. In Colorado, an estimated 400,000 people identify as being in recovery. Many of them are working, raising families and rebuilding their lives.
The economic impact of substance use is significant. Colorado has lost more than 360 million work hours to opioid use over the past decade, according to the American Action Forum, a nonprofit that conducts economic analyses. Thats the equivalent of 173,000 full-time jobs for one year.
In 2017 alone, the cost of lost productivity due to opioid use disorder and fatal opioid overdose in Colorado was estimated to be US$834 million.
Employers save an average of $8,500 per year for each employee in recovery, according to the National Safety Council. These savings come from lower health care costs, reduced absenteeism and decreased turnover. In other words, when employers retain and support workers through recovery rather than lose them to untreated substance use, they see measurable benefits.
A shifting policy landscape
In 2024, Colorado lawmakers passed a bill for supporting recovery and addressing the opioid epidemic. The legislation provided funding to establish the Recovery Friendly Workplaces Initiative and the voluntary employer participation and certification program.
In early 2025, funding for the initiative was removed from the state budget due to a broader fiscal shortfall. The funding cut disrupted many of our planned activities, and we are currently relying on interim support from counties and state offices.
Looking ahead
Small businesses remain a priority for our team, despite recent funding cuts. Many lack human resources departments or formal wellness programs but are nonetheless deeply committed to helping their employees succeed.
A Colorado Recovery Friendly Workplace Initative participant, Absolute Caulking & Waterproofing of Colorado, employs 39 people. Absolute has championed recovery-friendly policies as something the business values.
This partnership saves us time and resources, which is invaluable for our small, family-owned business, said Sarah Deering, vice president of the company.
The road ahead presents challenges, including limited funding, the societal stigma around recovery and all of the complexities of recovery itself. But we continue to follow the scientific evidence. Our research team is evaluating the outcomes of our programs to better understand their impact and hopefullyinform future policy recommendations. We are committed to the belief that work can and should be a place of healing.
Liliana Tenney is an assistant professor at the Department of Environmental & Occupational Health at the University of Colorado Anschutz Medical Campus and Olivia Zarella is a research associate at the Center for Health, Work & Environment at the University of Colorado Anschutz Medical Campus.
This article is republished from The Conversation under a Creative Commons license. Read the original article.
Migraine sufferers have heard it all: ice hats, essential oils, ginger tea. The latest advice? Head to McDonalds and order a large Coca-Cola and fries, dubbed the McMigraine meal.
One viral video with 5.7 million views reads: Trying McDonalds chips and a Diet Coke because Ive had a headache for 48 hours and TikTok said it would help. In the caption, the TikTok creator confirmed the hack worked.
@millyhancockk Can confirm it works original sound – Franklin Saint
Another posted, the migraine girls get it” while pulling up to a McDonalds drive-through. A third asked, can someone please explain why the McMigraine always works?
While TikTok health hacks should be taken with a generous pinch of salt, this one may have some basis in science. This is a hack thats relatively well known in the migraine community, neurologist and fellow migraine sufferer Jessica Lowe (@doctorbrainbarbie), explained in a TikTok video with 9.3 million views. A large coke from Mcdonalds has about 80 milligrams of caffeine in it. That right there is probably enough to stop your migraine in its tracks.
@doctorbrainbarbie McDonalds Migraine hack explained by a Neurologist. #migraine #migraines #migrainerelief #migrainetiktok #headache #headacherelief #neurology original sound – Doctor Brain Barbie
Caffeine acts as a vasoconstrictormeaning it narrows blood vessels, which helps counter the dilation that occurs during a migraine. The fries offer both electrolytes and carbohydrates. Mcdonalds is well known to have some of the saltiest fries around, Lowe added. Electrolytes can ease migraine symptoms tied to dehydration or low sodium, while carbs may help if the trigger is hunger or a drop in blood sugar.
Still, proceed with caution. For some people, caffeine and fast food can trigger migraines rather than relieve them. Dr. Kay Kennis, a trustee for the Migraine Trust and a GP who specializes in migraines, told the BBC that McDonalds food may also contain high levels of tyraminea known potential trigger.
If youre struggling with migraines, consult your healthcare provider to explore treatment options. But if you’re craving McDonalds in the meantime, go for ityou just might get some relief.
The iconic Goodyear airships are taking a victory lap over the skies of an Ohio city this week.The Akron-based tire company is celebrating the 100th anniversary of “Pilgrim,” its first blimp to take flight just outside of the city on June 3, 1925.Goodyear began experimenting with vessels that would be lighter than aircraft in the early 1900s, and the dirigibles have since become a lasting and iconic symbol of the corporate brand. For some, it evokes nostalgia, while for others it offers a glimpse into a larger-than-life part of advertisement history.Here is a by-the-numbers look at Goodyear airships over time:
1910
Goodyear establishes an Aeronautics Department to build lighter-than-air aircrafts, and by 1912 the company had built its first balloon.In 1930, the “Defender” blimp became the first airship in the world to carry a lit neon sign so the company’s name could be seen after dark.Goodyear began making airships for the U.S. Navy in 1917, and its first blimpthe first commercial non-rigid airship flown using heliumlaunched years later, becoming a marketing tool.From 1942 to 1944, the company built more than 150 airships for the Navy to serve in World War II, flying patrol over warships on the seas with zero reported loss of ships when a blimp was on watch.
New Year’s Day 1955
The Goodyear Blimp has been a regular at major sporting events since flying above the 1955 Rose Bowl. A few years later, it became a service vehicle for television coverage while simultaneously functioning as a highly visible advertising platform.Since that time, blimps have undergone wholesale changes and improved dramatically: steering technology; safety innovations; high-definition cameras; aerial views captured with specialized systems that compensate for movement during filming, resulting in stable and smooth footage footage; and much quieter rides thanks to relocated engines and propellers.
4 blimps
There currently are four Goodyear Blimpsthe three in the U.S. and one in Friedrichshafen, Germany.Today’s Goodyear Blimps are semi-rigid dirigibles, meaning they have an internal frame as compared to previous eras of blimps that could be fully deflated. In 2014, Goodyear transitioned to the New Technology semi-rigid airship platform designed to allow for improved maneuverability and speed.
246 feet
The Goodyear Blimp is 246 feet long (75 meters), which would cover about 80% of a football field. It is 58 feet (18 meters) high and holds three Olympic-sized swimming pools’ worth of helium.Goodyear gets helium for its blimps from multiple sources. Because helium is a finite resource, the company purifies its helium every six to eight weeks to extend its life.The blimp travels more than 100 days per year, with trips ranging anywhere from three days to three weeks. A crew of nearly 20 people travel with the airship whenever it is touring. Today’s Goodyear Blimps fly between 1,000 and 1,500 feet (305 meters and 457 meters) in the air and travel at speeds up to 73 miles per hour (117 kilometers per hour).
10 blimp pilots
There currently are fewer blimp pilots in the world than astronauts, according to Goodyear, which has 10 full-time pilots. To serve in that job, you must have a commercial pilot license followed by approximately 250 hours of training to earn an additional lighter-than-air airship rating from the Federal Aviation Administration.
2,500 and 500,000
The blimp has covered more than 2,500 events and taken more than 500,000 passengers for rides, according to Goodyear. Former President Ronald Reagan might be the most famous passenger, but it was rapper Ice Cube who raised the blimp’s street cred when he included a line about it in his 1992 song titled “It Was A Good Day.”
Bruce Shipkowski, Associated Press
Staff of the Federal Emergency Management Agency were left baffled on Monday after the head of the U.S. disaster agency said he had not been aware the country has a hurricane season, according to four sources familiar with the situation.
The remark was made during a briefing by David Richardson, who has led FEMA since early May. It was not clear to staff whether he meant it literally, as a joke, or in some other context.
The U.S. hurricane season officially began on Sunday and lasts through November. The National Oceanic and Atmospheric Administration forecast last week that this year’s season is expected to bring as many as 10 hurricanes.
A spokesperson for the Department of Homeland Security, FEMA’s parent agency, said the comment was a joke and that FEMA is prepared for hurricane season.
The spokesperson said under Homeland Security Secretary Kristi Noem and Richardson “FEMA is shifting from bloated, DC-centric dead weight to a lean, deployable disaster force that empowers state actors to provide relief for their citizens.”
Richardson said during the briefing that there would be no changes to the agency’s disaster response plans despite having told staff to expect a new plan in May, the sources told Reuters.
Richardson’s comments come amid widespread concern that the departures of a raft of top FEMA officials, staff cuts and reductions in hurricane preparations will leave the agency ill-prepared for a storm season forecast to be above normal.
Democrats criticized Richardson following the Reuters report.
Top Senate Democrat Chuck Schumer posted the Reuters headline about Richardson on X and said he was “unaware of why he hasn’t been fired yet.”
Representative Bennie Thompson, the senior Democrat on the House Homeland Security Committee with oversight of FEMA, issued a statement to Reuters that read:
“Suffice to say, disaster response is no joke. If you dont know what or when hurricane season is, youre not qualified to run FEMA. Get someone knowledgeable in there.
Hurricanes kill dozens of people and cost hundreds of millions of dollars annually across a swath of U.S. states every year. The storms have become increasingly more destructive and costly due to the effects of climate change.
Richardson’s comment purporting ignorance about hurricane season spread among agency staff, spurring confusion and reigniting concern about his lack of familiarity with FEMA’s operations, said three sources.
Richardson, who has no disaster response experience, said during Monday’s briefing, a daily all-hands meeting held by phone and videoconference, that he will not be issuing a new disaster plan because he does not want to make changes that might counter the FEMA Review Council, the sources said.
President Donald Trump created the council to evaluate FEMA. Its members include DHS head Noem, governors and other officials.
In a May 15 staff town hall, Richardson said a disaster plan, including tabletop exercises, would be ready for review by May 23.
CONFUSION
The back-and-forth on updating the disaster plan and a lack of clear strategic guidance have created confusion for FEMA staff, said one source.
Richardson has evoked his military experience as a former Marine artillery officer in conversations with staff.
Before joining FEMA, he was assistant secretary at DHS’ office for countering weapons of mass destruction, which he has told staff he will continue to lead.
Richardson was appointed as the new chief of FEMA last month after his predecessor, Cameron Hamilton, was abruptly fired.
Hamilton had publicly broken with Trump over the future of the agency, but sources told Reuters that Trump allies had already been maneuvering to oust him because they were unhappy with what they saw as Hamilton’s slow-moving effort to restructure FEMA.
Trump has said FEMA should be shrunk or even eliminated, arguing states can take on many of its functions, as part of a wider downsizing of the federal government. About 2,000 full-time FEMA staff, one-third of its total, have been terminated or voluntarily left the agency since the start of the Trump administration in January.
Despite Noem’s prior comments that she plans to eliminate FEMA, in May she approved Richardson’s request to retain more than 2,600 short-term disaster response and recovery employees whose terms were set to expire this year, one of the sources said, confirming an earlier report by NBC News.
Those short-term staff make up the highest proportion of FEMA employees, about 40%, and are a pillar of the agency’s on-the-ground response efforts.
FEMA recently sharply reduced hurricane training and workshops for state and local emergency managers due to travel and speaking restrictions imposed on staff, according to prior Reuters reporting.
Leah Douglas, Ted Hesson and Nathan Layne, Reuters
U.S. economic growth will slow to 1.6% this year from 2.8% last year as President Donald Trump’s erratic trade wars disrupt global commerce, drive up costs and leave businesses and consumers paralyzed by uncertainty.The Organization for Economic Cooperation and Development forecast Tuesday that the U.S. economythe world’s largestwill slow further to just 1.5% in 2026. Trump’s policies have raised average U.S. tariff rates from around 2.5% when he returned to the White House to 15.4%, highest since 1938, according to the OECD. Tariffs raise costs for consumers and American manufacturers that rely on imported raw materials and components.World economic growth will slow to just 2.9% this year and stay there in 2026, according to the OECD’s forecast. It marks a substantial deceleration from growth of 3.3% global growth last year and 3.4% in 2023.The world economy has proven remarkably resilient in recent years, continuing to expand steadilythough unspectacularlyin the face of global shocks such as the COVID-19 pandemic and Russia’s invasion of Ukraine.But global trade and the economic outlook have been clouded by Trump’s sweeping taxes on imports, the unpredictable way he’s rolled them out and the threat of retaliation from other countries.Reversing decades of U.S. policy in favor of freer world trade, Trump has levied 10% taxestariffson imports from almost every country on earth along with specific duties on steel, aluminum and autos. He’s also threatened more import taxes, including a doubling of his tariffs on steel and aluminum to 50%.Without mentioning Trump by name, OECD chief economist Álvaro Pereira wrote in a commentary that accompanied the forecast that “we have seen a significant increase in trade barriers as well as in economic and trade policy uncertainty. This sharp rise in uncertainty has negatively impacted business and consumer confidence and is set to hold back trade and investment.”Adding to the uncertainty over Trump’s trade wars: A federal court in New York last week blocked most of Trump’s tariffs, ruling that he’d overstepped his authority in imposing them. Then an appeals court allowed the Trump administration to continue collecting the taxes while appeals worked their way through the U.S. courts.Chinathe world’s second-biggest economyis forecast to see growth decelerate from 5% last year to 4.7% in 2025 and 4.3% in 2026. Chinese exporters will be hurt by Trump’s tariffs, hobbling an economy already weakened by the collapse of the nation’s real estate market. Some of the damage will be offset by help from the government: Beijing last month outlined plans to cut interest rates and encourage bank lending as well as allocating more money for factory upgrades and elder care, among other things.The 20 countries that share the euro currency will collectively see economic growth pick up from 0.8% last year to 1% in 2025 and 1.2% next year, the OECD said, helped by interest rate cuts from the European Central Bank.The Paris-based OECD, comprising 38 member countries, works to promote international trade and prosperity and issues periodic reports and analyses.
Paul Wiseman, AP Economics Writer
The U.S. Food and Drug Administration said on Monday that it had launched a generative AI tool, Elsa, aimed at improving efficiency across its operations, including scientific reviews.
“Today’s rollout of Elsa is ahead of schedule and under budget, thanks to the collaboration of our in-house experts across the centers,” said FDA Commissioner Marty Makary.
The agency said it is already using Elsa to expedite clinical protocol reviews, shorten the time needed for scientific evaluations, and pinpoint high-priority inspection targets.
Once the FDA receives an application for a potential drug approval, it has six to 10 months to make a decision.
Elsa assists with reading, writing, and summarizing tasks. It can summarize adverse events to support safety profile assessments of drugs and rapidly compare packaging inserts.
“Elsa offers a secure platform for FDA employees to access internal documents while ensuring all information remains within the agency. The models do not train on data submitted by regulated industry, safeguarding the sensitive research and data handled by FDA staff,” the FDA said.
In May, the regulator said it would fully integrate AI by June 30, following an experimental run.
Puyaan Singh, Reuters
One of the most popular auto repair and tire shops in America said it will shutter 145 locations across the country by the end of the month. Monro Inc. (Nasdaq: MNRO) announced the move in its fourth-quarter fiscal 2025 results last week. Heres what you need to know about the Monro auto chain closures.
What is Monro?
Monro, sometimes called Monro Muffler Brake, is one of the largest auto repair shops and tire chains in the country. The company operates 1,260 stores across 32 states, according to its most recent financial filings and website. It also has 48 franchised locations. Monro says it generated approximately $1.2 billion in sales from those stores and works on about five million vehicles a year in the U.S.
Founded in 1957, Monro became a publicly traded company in 1991. It is listed on the Nasdaq under the ticker MNRO.
In recent years, the company has struggled as consumers have cut back on discretionary auto-related spending in the wake of inflationary costs. As noted by CoStar News, those consumers have reduced their purchases of tires and auto services, which typically have higher margins, thus eating into Monros profits.
In March, Monros board decided a change in leadership was necessary. That change saw Monros then-CEO Michael Broderick depart the company, replaced by AlixPartners managing director Peter Fitzsimmons.
Upon announcing the companys Q4 2025 resultsthe quarter that ended March 29, 2025Fitzsimmons announced that Monro would be closing 145 underperforming stores.
Monros closing stores and closure dates identified
In its earnings release, the company said it had conducted a comprehensive store portfolio review that identified 145 underperforming stores for closure.
It went on to note that all 145 stores would close by the end of Q1 of 2026, which is Monro’s current quarter and which closes at the end of this month.
However, while Monro says it has identified the closing stores, it has not released a list of which locations are closing. It has also not stated which of its store brands will be affected.
Reached for comment by Fast Company, a Monro spokesperson said the retailer’s priority at the moment is to ensure that employees impacted by the closures are properly supported.
“We have communicated this news directly with our impacted teammates and are deeply grateful to them for their dedication and commitment to the communities we serve,” the spokesperson said. “We are focused on supporting our teams through this transition and growing our business by continuing to deliver a five-star customer experience to our guests around the country.”
Monro doesnt operate all of its 1,260 stores under a Monro moniker. It has more than a dozen brands:
Monro Auto Service and Tire Centers
Tire Barn Warehouse
Tire Warehouse
Ken Towery’s Tire & Auto Care
Allen Tire Company
Monro Commercial Solutions
Car-X Tire and Auto
Mr. Tire Auto Service Centers
Tire Choice Auto Service Centers
Free Service Tire Company, Inc.
Mountain View Tire & Auto Service
Skips Tire
Lloyds Tire
Calabasas Car Care
Buds Tires
Monro is also not the only large auto-related chain that is reducing its physical footprint. Late last year, Advanced Auto Parts said it would close 700 of its 5,000 stores.
Monros Q4 2025 results and stock price
For its most recent quarter, Q4 of fiscal 2025, which ended on March 29, Monro reported $295 million in sales. That was down 4.9% from the $310.1 million in sales during the same quarter a year earlier.
However, Monro said that 2025s Q4 had six fewer selling days than 2024s Q4, which contributed to the lower sales number. The company said it had a net loss for Q4 2025 of $21.3 million versus a net gain of $3.7 million for the quarter a year earlier.
As I reflect on my first eight weeks, Im pleased with our detailed assessment of the business,” Fitzsimmons said in a statement accompanying the results. “We have identified four key areas of focus as opportunities for improvement.
Fitzsimmons said he believes the plan will “drive enhanced profitability” while increasing operating income.
Since announcing its Q4 2025 results and store closure plans on May 28, MNRO stock has surged more than 23%. However, the stock is down more than 37% year to date. Over the past 12 months, MNRO shares have fallen 34%.
