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Good morning readers. Imagine yourself driving down the freeway, thinking about the plans you made for the weekend or that movie you’re so excited to see when you realize, as you lift your foot off the gas, the pedal is trapped. Last week, a video went viral of a man driving his Cybertruck where the gas pedal got stuck while driving and wouldn’t return to its original position. Tesla has done a full recall of roughly 4,000 trucks experiencing the same issue. The company first became aware of the issue on March 31st. With deliveries below expectations, this recall adds to Tesla's challenges amid disappointing first-quarter vehicle deliveries and a stock that just won’t stop declining.

Let’s jump into today’s storylines.

In today’s digest:

• Supreme Court decides whether homelessness is a crime

• Headline Hustle: VW workers vote to join the UAW in historic win for the union, the House passes a bill to expedite the sale of TikTok or ban it from the U.S., Bitcoin completes its fourth-ever halving

• Microsoft’s new AI can make the Mona Lisa rap…with just one image

• The Week Ahead: What to Expect

• Pulse Points: What’s Trending

LAW

When pitching a tent sparks a constitutional debate

You know you've hit a societal crossroad when pitching a tent in a city park doesn't just mean you're about to roast marshmallows—it's ground zero for a Supreme Court showdown.

This Monday, the Supreme Court will deliberate a case pivotal for America’s unhoused population, questioning if criminalizing street living under anti-camping laws is a breach of the Eighth Amendment's ban on "cruel and unusual" punishment.

From park benches to court benches

On any given night, more than 650,000 Americans are unhoused. Despite this, cities like Grants Pass, Oregon, have turned to strict anti-camping laws to curb the sight of people sleeping in public spaces. It's a move that some view as necessary for public safety and health, while others see it as criminalizing the very existence of the homeless.

For some, the city’s escalating ticketing tactics felt like harassment, a thinly veiled attempt to push them out of town. The fines are steep—$295 per violation, doubling if unpaid—and after two tickets, they could be banned from the park for 30 days. Violating that order could land a person in jail for a month.

The Supreme Court is set to decide whether such laws cross the line into unconstitutional territory.

• City officials argue that the Eighth Amendment's ban on "cruel and unusual" punishment applies to harsher practices like torture, not to simple fines for sleeping in public.

• Meanwhile, advocates for the homeless point to a 1962 Supreme Court ruling that found criminalizing a person's status, rather than specific conduct, violates the Eighth Amendment.

The implications of the ruling are profound. It will determine how cities across the nation respond to the homelessness crisis, affecting not only the unhoused but also policymakers, nonprofit organizations, and city residents. While many agree that allowing people to sleep in unsafe conditions isn't ideal, there's also a consensus that ticketing people who have nowhere else to go is far from compassionate.

No easy answers. Governors, nonprofits, and even the Biden administration are treading carefully. A too-broad ruling could tie the hands of cities, but an overly narrow one could make the streets even harsher for the homeless.

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IN THE KNOW

Headline Hustle

🚗 Volkswagen workers vote to join the UAW in historic win for the union. Workers at Volkswagen's Chattanooga, Tennessee plant have voted overwhelmingly to join the United Auto Workers (UAW), marking a significant achievement for the union beyond Detroit's Big Three automakers. With 73% of the vote in favor, the NLRB awaits certification before VW must engage in bargaining with the union. President Biden and UAW leaders lauded the victory, viewing it as a pivotal moment in the union's expansion efforts. Despite past failures, the UAW aims to negotiate better conditions for VW workers and eyes further organizing efforts at Mercedes-Benz.

📱 U.S. House passes bill to expedite the sale of TikTok or ban it entirely. The U.S. House of Representatives has passed a bill requiring ByteDance, the owner of TikTok, to divest the popular social media platform or face a ban in the country. This move, part of a broader legislative package, signals renewed efforts to address national security concerns linked to the app's Chinese ownership. With bipartisan support, the bill grants a nine-month window for ByteDance to sell TikTok, offering potential Senate approval and President Biden's backing. However, TikTok plans to challenge the bill, arguing the legislation infringes on free speech rights.

🪙 Bitcoin completes its ‘fourth-ever’ halving. The Bitcoin network went through its fourth "halving" over the weekend, halving the rewards for miners to 3.125 bitcoins. While this event typically doesn't immediately impact Bitcoin's price, investors anticipate future gains based on historical trends post-halving. Analysts are predicting that mining companies will get hit the hardest as the supply gets cut in half. Others foresee a short-term price dip post-halving due to overbought conditions, yet expect prices to remain high in the long term, citing various factors like regulatory developments and Ethereum ETF approvals.

AI

Mona Lisa raps? Microsoft’s new AI can make anything talk (and rap)

Imagine Leonardo da Vinci’s surprise if he saw his serene Mona Lisa break into a comedic rap. Thanks to Microsoft’s cutting-edge AI, this isn't just a quirky thought experiment anymore. Last week, Microsoft researchers unveiled an AI model capable of turning any static image—yes, even the Mona Lisa—into a video of that face speaking, complete with naturalistic movements and syncopated lip-syncing.

Dubbed VASA-1, this AI marvel doesn’t just animate art; it brings to life cartoons and photorealistic faces alike. In a standout demo, the iconic Mona Lisa was seen reciting lines from Anne Hathaway, leaving the audience both amused and slightly unnerved by the surreal realism.

From canvas to conversation

VASA-1 doesn't just work on photorealistic faces; it can animate cartoons, artwork, and even classic paintings. The AI technology aims to make education more engaging and could potentially improve accessibility for those with communication challenges. It might even lead to virtual companions for humans—imagine having a digital friend who never blinks too much or raises an eyebrow at your weird jokes.

But there's a catch: while the tech is fun and innovative, it's also making some nervous due to its potential for misuse. Deepfakes are already a concern, and tools like VASA-1 could easily be used to impersonate people or spread misinformation. This is why Microsoft is holding back on a public release, similar to OpenAI's cautious approach with its AI-generated video tool, Sora.

Animating with care. Microsoft said they're not releasing VASA-1 until they're confident it won't be used to create harmful or misleading content. And while impressive, the model still shows some AI awkwardness, like irregular blinking and exaggerated eyebrows.

WEEK AHEAD

What to expect

• The landmark criminal trial of Donald Trump: Former US president and likely Republican candidate for the upcoming election, Donald Trump, is set to begin with opening arguments on Monday for his hush money trial. This trial marks the first time a former US president faces criminal charges, with a jury appointed swiftly last week.

• Trump also appeals fraud judgement this week: Another New York courtroom will hold a hearing regarding the $175mn bond Trump posted as he appeals against a $454mn fraud judgment, following a request from the state’s attorney-general Letitia James for more details.

• India’s general election continues: The country’s election, spanning staggered rounds of polling until June 1st, progresses to its next stage this week.

What else is happening…

• A busy week for first-quarter earnings is expected, with approximately 150 S&P 500 companies scheduled to report, including some of the largest companies in the market. Verizon reports on Monday; Pepsi, Spotify, Tesla and Visa on Tuesday; AT&T, Boeing, Chipotle and Meta on Wednesday; Apple, Intel and Microsoft on Thursday.

• Mary J. Blige, Cher, Dave Matthews Band, Foreigner, Peter Frampton, Kool & The Gang, Ozzy Osbourne and A Tribe Called Quest were all inducted into the Rock and Roll Hall of Fame 2024.

SNIPPETS

Pulse Points

• Chinese half-marathon champion gets disqualified—along with the runners who let him win.

• Warner Bros. CEO David Zaslav saw a 27% increase in his salary (equaling $49.7 million) despite the company losing money in 2023.

• Terry Anderson, a former war journalist for the Associated Press who was held hostage by Hezbollah in Lebanon for over six years, has passed away at the age of 76.

• Tinder has introduced a new feature called "Share My Date," allowing users to send a link with details of their upcoming date, including the match’s name, location, date, and time, which can be edited up to 30 days in advance.

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