Transcription
Welcome back everyone. Thank you so much for joining me today. And a special thank you as always to every single one of you who has become a subscriber on Substack, Patreon, here on YouTube or who has otherwise supported my work. I want you to know that I appreciate every single one of you.
In the moment that's already been called a milestone in transatlantic relations, President Trump and UK Prime Minister Starmer just signed what Starmer described as a groundbreaking new UK US tech prosperity deal. That is the official name of the agreement. It is being described as the most substantial bilateral investment package in British history. Is that really the case? What's really behind it? First, let's cover the details of the agreement. They're very important and then we will discuss what this means in simple terms in real life and the dangers that it poses.
In a press release, 10 Downing Street called the agreement, quote, "The largest commercial package ever secured during a state visit. The deals and investment that you're announcing today break all records." What a day. 250 billion pounds flowing both ways across the Atlantic. It is the biggest investment package of its kind in British history. And perhaps that is not an exaggeration. Trump himself declared that quantum computing, fusion, 6G, and civil nuclear energy would all be core areas of cooperation going forward, all under the banner of deregulation and innovation.
The deal includes 250 billion pounds or roughly $340 billion in transatlantic investment and that includes $24 billion that is pledged by US companies into the UK alone and 90 billion pounds that are coming from Blackstone over the next decade. At the heart of the agreement is artificial intelligence. The deal includes major investments from some of the biggest players in the AI and tech sector such as uh American companies such as Nvidia, OpenAI, Google, Microsoft, Salesforce and Nscale.
First, let's look at the numbers. Microsoft alone has committed $30 billion while Google is investing another $7 billion into the UK's tax sector. and scale will partner with the UK government which uh in my opinion should raise some red flags and they're going to build what's being called the country's largest supercomput. Up to 15,000 new jobs are expected to be created as a direct result of this deal. And of course these are highskilled future oriented positions in sectors like quantum computing fusion energy civil nuclear technology and the development of 6G wireless networks.
It is a bold vision no doubt but the USUK deal doesn't stop at tech energy too is a major component. According to Starmer, the UK has struck a new deal on civil nuclear power. That includes the construction of 12 advanced nuclear reactors in the northeast of England, which is a region, as you may know, that was hit very hard by de-industrialization. Needless to say, the UK as its economy is collapsing. And uh, of course, that's to put it mildly. I have two recent videos here on my channel with uh details uh on the UK economy and uh the major challenges that it's facing. You're welcome to watch it next. But the UK is betting on the United States to help out. But the question is at what cost?
The United States is the clear winner here. It positions the United States as not just a leader in developing these AI and nuclear technologies, but this deal is effectively positioning the United States as a leader in exporting these technologies too, which enables the United States to shape global standards in the process. Remember that the UK made major concessions to the United States earlier this year. uh it eliminated tariffs on US steel and aluminum and it opened uh up its markets to American agricultural goods to ethanol and industrial machinery.
For both Trump and Starmer, nuclear energy isn't so much of an environmental issue. Of course, it's not. This is a geopolitical issue because independent energy sources have become central to national security. But when you rely on a foreign actor to do the job for you, to build your 12 advanced nuclear reactors for you, things may get less advantageous. Let's just put it that way.
Now, on paper, this is a historic partnership, no doubt. A $200 billion US UK tech deal that is celebrated by PM Starmer and President Donald Trump as the cornerstone of a bold new era in AI and innovation. But if you look deeper, as the dust settles, it becomes crystal clear that this isn't just about progress. This is about power. This is about profit. And also a profound lack of transparency. This deal is about empowering big tech giants, big tech companies that would then provide enormous profits to their stakeholders at your expense. While an average person is manipulated to believe that it is all for their good, Trump celebrated what he called the next logical step. Those are his words in global tech leadership. And there was a really interesting moment. Laughing, he turned to Jensen Juan and said, "You're taking over the world, Jensen. I hope you're right." And uh he laughed, but it didn't quite feel like a joke. That's I mean, I'm looking at you guys. You're taking over the world, Jensen. I don't know what you're doing here. I I hope you're right. Child, all I can say is we both hope you're right, but uh it's pretty amazing.
Starmer named US and British giants such as Amazon, Blackstone, Microsoft, GSK, BP, and Rolls-Royce as core partners in this deal. But while the government is celebrating a windfall of uh foreign investment of profits that they're expecting to receive, others see the fine print or arguably lag thereof as cause for serious concern. One major point that causes suspicion here is that no one outside the inner circle has seen the actual text of the deal. Nobody knows how private data will be protected by foreign American firms, how it will be used and for what purposes. And that is not sitting well with many people. For example, Nick Deran uh from Global Justice Now put it bluntly. He said, "We don't know what we're given away." He warned that the deal could lead to the erosion of digital regulations, including the UK's digital services tax and may pave the way for bigger, more dangerous monopolies. And it's fair to argue that he's absolutely right. The deal hands power to US corporations at the expense of individual privacy and uh likely at the expense of British sovereignty.
Further scrutiny comes from reporting by Dismog UK which revealed that Warren Stevens, Trump's ambassador to London and a major investor, owns hundreds of millions in shares of companies directly profiting from this deal, including Microsoft, Google, and Nvidia. Stevens also made a sevenf figureure donation to Trump's inauguration fund. The backlash extends beyond data and regulation. Prominent artists and creative groups including Elton John, Paul McCartney, and others have condemned the agreement's failure to protect copyrighted works. And here's a quote. AI companies have ingested millions of works without permission or payment. They said in an open letter, the first duty of government is to protect its citizens, not promote foreign corporate interests. And I would absolutely agree with that statement. Foreign corporate interests are definitely the priority here and uh the citizens of the UK have a lot to think about.
Environmental concerns have also been raised and I would like to briefly discuss them here. At the mass protest in London that took place during Trump's visit, there were warnings uh that were voiced that without green infrastructure powering AI data centers will only deepen UK dependence on fossil fuels. Of course, we all understand that uh you know big oil companies here in the United States are lobbyists on the Capitol Hill and they will directly benefit from that too. So while Trump and Starmer celebrate what they call innovation and progress, the question remains innovation for whom? Progress for what? And who benefits? Until the public sees the full details of the agreement until the UK Parliament gets its say, many believe that this isn't a triumph of tech diplomacy. It is a warning sign.
Let me know what you think about this new agreement. Are you concerned? Do you feel that this is going to be a a sign of progress moving forward? Let me know what your thoughts are in the comments below. As always, I would love to hear from you. Give this video a thumbs up, consider sharing it, and subscribe on YouTube. I would love to have you back for my next one. And if you enjoy reading, if you would like a bit more content, check out my Substack and Patreon. I'll see you in my new one tomorrow. Take care.