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Tesla’s long-awaited entry into the robotaxi market — expected later this month — is coming to Austin, Texas, which has emerged as a key battleground for self-driving technology.

CEO Elon Musk wrote in a post on X last week that the company has been testing Model Y vehicles with no safety drivers on board in the Texas capital for several days.

Tesla’s Austin robotaxi service will kick off with 10 vehicles and expand to thousands, moving into more cities if the launch goes well, Musk said in a May 20 interview with CNBC’s David Faber.

But while the market remains nascent, Tesla already faces a hefty amount of competition.

The electric vehicle maker is one of several companies using Austin as a testing ground and debut market for self-driving technology. They’re all taking advantage of Austin’s robotics and AI talent, tech-savvy residents, affordable housing relative to other technology hubs and a city layout with horizontal traffic lights and wide roads that makes it particularly conducive to mapping software.

But the biggest reason they love Texas may be the state’s robotaxi-friendly regulation.

Already in Austin are Alphabet’s Waymo, Amazon’s Zoox, Volkswagen subsidiary ADMT, and startup Avride.

Waymo began offering robotaxi rides in Austin with Uber in March. Zoox started testing there last year, while ADMT has been testing Volkswagen’s electric ID vehicles in the city since 2023. Avride is headquartered in Austin and is testing its autonomous vehicles and delivery robots in the Texas capital. Avride said it plans to begin offering paid robotaxi rides in the city later this year.

“The winners of the space are emerging, and it’s just a matter of scaling,” said Toby Snuggs, ​​head of sales and partnerships at Avride.

According to Uber, its Austin launch with Waymo has proved successful thus far. Uber CEO Dara Khosrowshahi told investors in May that riders are choosing the robotaxis over regular cars, and the company is preparing to scale its Austin autonomous fleet to hundreds of vehicles in the coming months, ahead of a robotaxi expansion into Atlanta later this year.

“These approximately 100 vehicles are now busier than over 99% of all drivers in Austin in terms of completed trips per day,” Khosrowshahi told investors in May.

Avride, which spun out of former parent company Yandex last year, has delivery robots in a fleet of about a dozen Hyundai Ioniq 5 vehicles in downtown Austin. The company said it plans to expand its Austin fleet to 100 vehicles later this year and aims to begin offering robotaxi rides in Dallas with Uber in 2025.

Tesla primarily relies on camera-based systems and computer vision to navigate its vehicles rather than the Waymo model of using sophisticated sensors such as lidar and radar. Tesla’s “generalized” approach to robotaxis is more ambitious and less expensive than Waymo’s, Musk said during Tesla’s first-quarter earnings call with investors in April. Musk has been promising Tesla investors that a self-driving car is on the way for roughly a decade and has repeatedly missed self-imposed deadlines.

“There’s probably a lot of ways it can be done, but we’re the only ones that have done it,” Waymo co-CEO Tekedra Mawakana told CNBC’s Deirdre Bosa in May. “We’ve been doing it 24 hours a day for almost five years. And so to us, it’s really important to focus on safety … and then cost — not cost and then safety.”

“You have to be able to see at night, you have to be able to have this vision that’s better than humans,” Mawakana said.

In addition to Austin, Phoenix is an AV hub for companies such as Waymo, which has been testing in the region since 2016. Waymo and the auto manufacturer Magna International announced in May that they plan to double robotaxi production at their new plant in the Phoenix suburb of Mesa by the end of 2026.

The San Francisco Bay Area, where Google began working on its self-driving car project in 2009, also has a large fleet of Waymo vehicles. Waymo opened its paid ride-hailing service to all local users almost a year ago, and said earlier this year that it’s expanding its service to include another 27 square miles of coverage in the region. Zoox is also testing in San Francisco.

While Tesla was started in the Bay Area, Musk moved its corporate headquarters to Austin in late 2021. In California, regulators at individual municipalities closely control where and how companies can operate autonomous vehicles. Texas has more relaxed regulations that benefit AV companies.

When Waymo decided on Austin, it “looked at the operational structure and how friendly the regulatory environment is,” said Shweta Shrivastava, Waymo’s senior product and strategy executive. “It’s a tech-forward city — there’s a lot of openness in terms of welcoming and adopting new technologies, so that’s been great.”

Part of that friendliness is a 2017 Texas law that prohibited municipalities from regulating autonomous vehicles, giving the state full authority.

“It’s not like California, where you have certain regulations in LA, separate regulations in San Francisco, and municipalities between,” said Yulia Shveyko, Avride’s head of communications. “In Texas, it’s the same all across the state, and this is one of the great things about being here as an operator.”

The state is responsible for establishing the framework for autonomous vehicle operation, which includes that AVs must adhere to the same regulations as traditional vehicles, including registration, insurance and compliance with traffic laws. Texas law also requires AVs to have data recording systems to document potential accidents and incidents.

The Texas Department of Transportation’s “role is to work with autonomous vehicle (AV) companies on what is needed to ensure the state’s infrastructure is prepared for the safe and efficient rollout of AVs,” a spokesperson said in an emailed statement.

Texas law allows for AV testing and operations on Texas roadways, “as long as they meet the same safety and insurance requirements as every other vehicle on the road.”

Companies are choosing to test their AVs in Austin because of its “lower barriers both in terms of regulation and the acceptance by consumers in the area,” said Wassym Bensaid, chief software officer at EV maker Rivian.

“This is really what makes Austin and San Francisco more open to this technology,” Bensaid added. Rivian in March rolled out a “hands-free version” of its driver-assistance system for highway driving, and the company plans to have an “eyes-off-hands-off” system available by the end of next year, Bensaid said.

Texas’ transportation department created an AV task force in 2019. Formal meetings take place two to four times per year. Members of the task force include representatives from other agencies in the state and public entities as well as key industry stakeholders, its website says.

Waymo is an active member of the task force, the company confirmed.

The state’s transportation department didn’t respond to CNBC’s requests for further information about the task force.

Waymo has built goodwill with Austin officials by engaging with Texas stakeholders since it began testing in the city in 2015, the company told CNBC.

Known then as Google’s self-driving car project, the company started driving on Austin streets a decade ago with safety drivers on board.

Waymo closed Austin operations in 2019 to focus on its testing efforts in Phoenix, the spokesperson said, adding that it returned in March 2023, when the company’s technology was “more mature.”

Long before Waymo began testing in Austin, University of Texas at Austin’s Peter Stone entered his team’s vehicle in the Defense Advanced Research Projects Agency Urban Challenge in 2007. Stone is the director of the Learning Agents Research Group at UT, and his team’s entry was called Austin Robot Technology — one of the first deployments of a partially automated driving system on the streets of Austin.

Stone has been at the university for 23 years and has taught several students who are now employees at Waymo and other car companies, he said. Advancements in machine learning and years of testing have contributed to companies such as Waymo being able to navigate roads better than some human drivers, he said.

Officials from around the U.S. and the world are looking to Texas as a model for self-driving regulations, experts said. Some regulation, however, is still being sorted out.

Lewis Leff, City of Austin assistant director, said that more cities are reaching out to ask, “How do you handle these situations?” Cities that have inquired include New Orleans and Nashville, Tennessee, as well as some outside the U.S., Austin officials told CNBC.

“We were in Japan launching our service with Rakuten earlier this year and the minister of economics, and the questions they were asking was, ‘What is the regulation in Texas like?’” Avride’s Snuggs said.

Meanwhile, the AV industry is pushing for federal-level standards that would ease regulatory uncertainty around putting new tech on public roads. In Tesla’s third-quarter earnings in October, Musk said that should Donald Trump win the coming election, he would use his influence with the administration to push for federal AV regulation.

As president, Trump and his transportation secretary, Sean Duffy, have both been supportive of federal-level standards, Waymo’s Mawakana told CNBC in May, adding that she’s “optimistic” it will be arranged sometime during this presidential term. Waymo supports proposed federal frameworks for national safety standards and has voiced that support to the Trump administration, a company spokesperson said.

“Now’s the time,” Mawakana said, pointing to places such as China, which invests in AV supply chains and grants and has federal AV rules. “We should be in the exact same position.”

The concentration of regulatory power, however, comes with some concern that cities will be mostly powerless should issues arise, experts said.

A state senate transportation hearing in September addressed the lack of regulation in Texas for driverless vehicles.

“To many of our first responders communities, this is new territory for them,” Democratic Texas state Sen. Sarah Eckhardt reportedly said at the hearing. “I mean pulling over an autonomous vehicle, you know, what do you do? An autonomous vehicle in an accident, what do you do?”

In one example, Houston city officials reportedly faced delays in enforcement instructions from state regulators after Cruise cars caused a backup on the city’s Montrose Boulevard in 2023.

Texas has at least 17 companies that have deployed or tested on roads, said Nick Steingart, director of state affairs at Alliance for Automotive Innovation, at the state hearing.

“As the technology matured and evolved, we fully expected that the laws would evolve as well,” Steingart said.

The state is considering legislation that may provide some clarity, according to Austin’s transportation department.

Several AV companies in Austin have safety protocols and proactively work with local first responders. Zoox, for example, has held trainings with first responders and met with city officials, a spokesperson said. But there is technically no requirement for AV companies to engage with emergency services, Austin officials confirmed.

Companies hoping to succeed in Texas often begin their conversations with the state by focusing on safety first, Austin’s Leff said. “They note their technology can recognize a fire vehicle or a hand signal, so there’s a lot of focus on things like that,” he said.

Austin’s transportation department has been collecting information about incidents that pose a risk to public safety and relaying that data to the appropriate operators, the city said. It places “all reports we receive about AV incidents into our dashboard, about half of which over time have come from our city department colleagues,” city officials said.

Waymo, which has become one of the most visible leaders in the robotaxi market, has said it has made safety a priority. Mawakana and co-CEO Dmitri Dolgov told employees at a November all-hands meeting that they should scale up as aggressively as possible but do so with safety at the forefront of all their efforts, people familiar with the matter told CNBC. The people asked not to be named because they were not authorized to speak publicly.

Waymo tracks incidents involving its vehicles but doesn’t share city-level data publicly, a company spokesperson said.

With Texas regulation around AVs relatively lax, some AV makers worry what impact a collision by one of the players in the state could mean for the entire industry.

“It takes a long time to earn trust, and it doesn’t take that long to lose it,” Mawakana said. “There can always be an overreaction by regulators — their job is to protect the public.”

Already, the AV industry has suffered a number of black eyes. General Motors shut down its Cruise robotaxi service in December after one of its vehicles dragged a woman 20 feet on a street in San Francisco in 2023. Uber also pulled out of the self-driving space after one of its self-driving test vehicles struck and killed a woman in Arizona in 2018.

In Austin, a woman posted a TikTok video in April showing a Waymo vehicle that she said had abruptly stopped underneath a highway with her and another passenger inside. After other cars began honking at them, they contacted customer support for help but were told the Waymo couldn’t be moved. The woman said the car locked the passengers inside until they threatened to go live on TikTok.

“Now we’re walking,” the woman says in the video, “and our Waymo is still there. This is insane.”

Riders “always have the ability to pause their ride and exit the vehicle when desired by pulling the handle twice — once to unlock and another to open the door,” a Waymo spokesperson said in response to the video.

Despite such incidents, UT’s Stone said he thinks cities are being overly cautious.

“The standard people are aiming for is perfection, and the standard they should be aiming for is better than people,” he said. “A fatal car accident rarely makes the local news, but if autonomous cars reduce that number, it should be seen as a huge societal win.”

— CNBC’s Lora Kolodny and Deirdre Bosa contributed to this report.

This post appeared first on NBC NEWS

Peloton on Tuesday launched its own marketplace for reselling used equipment and gear as the company looks to capitalize on the many bikes and treadmills collecting dust in people’s homes.

The platform, dubbed Repowered, will allow members to post listings for their used Peloton equipment and gear and set a price with help from a generative AI tool, the company said.

Sellers have the final say on how much to list the item for, but the AI tool will suggest a price based on information about the product, such as its age, Peloton said.

It said sellers will get 70% of the sales price, while the rest will be shared between Peloton and its platform provider, Archive. Sellers will get a discount toward new equipment, while buyers will see the activation fee for a used product drop from $95 to $45, the company said.

Buyers will be able to see the equipment’s history on the listing and have the option to get the item delivered for an extra fee, Peloton said.

The resale market for used bikes and treadmills is booming. The company said it wants to streamline the sale process for members and offer a safe and comfortable way for prospective customers to buy equipment. It’s also an opportunity for Peloton to reach a wider array of new users as it plots a pathway back to growth.

Last summer, Peloton said it had started to see a meaningful increase in the number of new members who bought used Bikes or Treads from peer-to-peer markets such as Facebook Marketplace. At the time, it said paid connected fitness subscribers who bought hardware on the secondary market had grown 16% year over year, and it believed those subscribers exhibited a lower net churn rate — or membership cancellation — than rental subscribers.

Peloton has plenty of enthusiastic fans who use the company’s equipment every day, but some people have likened it to glorified clothes racks because so many people stop using them. While those owners paid for their exercise machines when they bought them, many have canceled their monthly subscription, which is how Peloton makes the bulk of its money, according to the company’s financial records.

Peloton is already reaping the subscription revenue from people who bought hardware on the secondary market, but now it will get a cut of that market with little upfront cost.

Repowered is a direct challenger to not just Facebook Marketplace but also the burgeoning startup Trade My Stuff, formerly known as Trade My Spin, which sells used Peloton equipment.

Trade My Stuff founder Ari Kimmelfeld told CNBC he previously met with Peloton to discuss ways to collaborate.

But Peloton said Repowered isn’t connected with Trade My Stuff.

Repowered is launching first in beta in New York City, Boston and Washington, D.C., with plans to go nationwide in the coming months, Peloton said. The platform will launch first to sellers, and once there’s enough inventory available, it’ll go live to buyers, the company said.

This post appeared first on NBC NEWS

Shares of Dollar General jumped nearly 16% on Tuesday after the discounter raised its outlook, saying it drew more middle- and higher-income shoppers amid fears that higher tariffs would hurt consumer spending.

The Tennessee-based retailer beat quarterly expectations for revenue and earnings. The company said it now anticipates net sales will grow about 3.7% to 4.7%, compared to its previous expectation of about 3.4% to 4.4%. It expects diluted earnings per share to range from $5.20 to $5.80, compared to its prior outlook of approximately $5.10 to $5.80. Dollar General anticipates same-store sales will increase 1.5% to 2.5%, higher than its previous guidance of about 1.2% to 2.2%.

Here’s how the retailer did for the fiscal first quarter compared with Wall Street’s estimates, according to a survey of analysts by LSEG:

In the three-month period that ended May 2, Dollar General reported net income of $391.93 million, or $1.78 per share, compared with $363.32 million, or $1.65, in the year-ago quarter.

As of Tuesday’s close, shares of Dollar General have risen about 48% so far this year. That far exceeds the roughly 1% gains of the S&P 500 during the same period. Shares of the retailer closed at $112.57 on Tuesday, bringing Dollar General’s market value to $24.76 billion.

Dollar General’s first-quarter results — and its stock performance — stand out in a retail industry that is already taking a hit from President Donald Trump’s tariffs. Companies including Best Buy, Macy’s and Abercrombie & Fitch have cut their profit outlooks due to tariffs.

On an earnings call Tuesday, Dollar General CEO Todd Vasos said the company has worked to reduce its exposure to China — and limit price hikes for shoppers. He said the retailer has worked with vendors to cut costs, moved manufacturing to other countries and made changes to its products or swapped them out for other merchandise.

He said direct imports make up about a mid- to high single-digit percentage of its overall purchases and indirect imports are about double that.

“While the tariff landscape remains dynamic and uncertain, we expect tariffs to result in some price increases as a last resort, though, we intend to work to minimize them as much as possible,” he said.

CFO Kelly Dilts said on the company’s earnings call that full-year guidance assumes that Dollar General will be able to offset “a significant portion of the anticipated tariff impact on our gross margin, but also allows for some incremental pressure on consumer spending.”

Customer traffic dipped by 0.3% in the first quarter compared to the year-ago period, but shoppers spent more when they visited. The average transaction amount rose 2.7%, as sales in the food, seasonal, home and apparel categories all grew.

Vasos added tariffs have also increased U.S. consumers’ desire to find deep discounts. Vasos said the company’s first-quarter results reflect Dollar General’s gains from “customers across multiple income bands seeking value.”

He said store traffic and the company’s market research indicates that more middle- and higher-income customers have come to its stores more frequently and spent more when they visited.

“We are pleased to see this growth with a wide range of customers and are excited about our ongoing opportunity to grow [market] share with them,” he said.

Those gains have helped as Dollar General’s core customer “remains financially constrained,” Vasos said. According to a survey by the company, he said 25% of customers reported having less income than they did a year ago and almost 60% of core customers said “they felt the need to sacrifice on necessities in the coming year.”

Dollar General’s sales largely come from U.S. consumers who are on a tight budget. About 60% of the retailer’s sales come from households with an annual income of less than $30,000 per year, Vasos said last fall at a Goldman Sachs’ retail conference.

In addition to wooing value-conscious shoppers, Dollar General has tried to tackle company-specific problems that drew government scrutiny and tested customer loyalty. The discounter, which has more than 20,000 stores across the country, has paid steep fines to the Labor Department for workplace safety violations due to blocked fire exits and dangerous levels of clutter.

Vasos highlighted some of the ways that Dollar General has tried to improve the customer experience. Among them, it’s worked to reduce employee turnover, and it took about 1,000 individual items off its shelves so it can keep top-selling items in stock, he said.

Dollar General has launched its own home delivery service, which is now available at more than 3,000 stores. Its deliveries through DoorDash have grown, too, with sales up more than 50% year over year in the quarter.

Dollar General has also bulked up its merchandise categories outside of the food and snack aisles, adding more discretionary items like seasonal decor and home items.

Vasos said sales in those categories have also gotten a boost from middle- and higher-income customers shopping its stores.

Its newer store chain, Popshelf, sells mostly discretionary items and caters to consumers with higher household incomes than Dollar General’s typical shoppers. Vasos did not share a specific metric for the chain, but said Popshelf’s same-store sales delivered strong growth in the quarter. The company recently changed the store layout to emphasize toys, beauty and party candy.

This post appeared first on NBC NEWS

After too many nights of pulling children from the rubble of Russian drone strikes, the weekend’s devastating attacks on Moscow’s military pride mark a moment of brief respite for Ukrainian morale, and yet another twist of the unexpected in the Kremlin’s war of choice.

It may be hard to fathom the precise impact of Ukraine’s wily drone assault on Russian air bases thousands of miles beyond the Ukrainian border. Kyiv said 41 long-range bomber jets were set aflame and that the attacks hit 34% of Russia’s strategic cruise missile carriers at its main bases.

We don’t know how many bombers Russia had that were fully functional – after years of taxing nightly missions over Ukraine – and how many others had been cannibalized for spare parts, but some reports suggest Russia only had about 20 of the propeller-driven Tu-95s and about 60 supersonic Tu-22M3s in service.

It will become clear in the months ahead to what extent this really dents the terror the air raid sirens bring across Ukraine. But if what Kyiv says is true – 117 relatively cheap drones taking out dozens of planes and causing what one security source estimated to be $7 billion in damage – then the economics of the war have shifted.

And it marks another point in which guile triumphs over the giant. Russia’s main card is its vastness – of military resources, frontline manpower, tolerance for pain and financial reserves. But repeatedly, Kyiv has shown targeted pin pricks can burst these bubbles.

In late 2022, the Ukrainians struck supply lines across occupied northern parts of Ukraine, causing a swift and embarrassing collapse of Russian positions. In 2023, they hit the Kerch Strait bridge linking Russia to occupied Crimea. And last year they invaded Kursk, Russia proper, exposing the vulnerability of the Russian war machine’s borders.

On each occasion, the narrative of the war swung back in Ukraine’s favor. But no time is it needed more than this week, after months in which the vital plank of US support has been in doubt, and as Russian and Ukrainian delegations met for a second round of peace talks in Turkey.

It also brings to the forefront one of the key lessons of this war: the capacity for advances in technology, solid intelligence and bold execution to reverse military trajectories many observers felt were settled. Ukraine’s first use of attack drones in 2023 has evolved to a widescale tactic, enabling it to survive the onslaught of overwhelming Russian infantry attacks across wide, imperiled frontlines. It has sent sea-drones to hit Russia’s prized Black Sea Fleet.

And most extraordinarily, this weekend, Ukraine says its air defenses repelled, with unparalleled success, a record Russian drone attack of 472 Shaheds. Ukraine shot down or used electronic warfare to block 382 of them, according to the air force, a feat that again suggests a technological advance, and the possibility that dwindling air defense interceptor supplies from the United States may not be the immediate horrific threat thought a month ago.

But what of the wider impact of the bold drone attack inside Russia – one so deep, in Belaya, Irkutsk, that it was almost halfway across Siberia? What does it change in a war where Russia is slowly advancing, and showing little genuine interest in a ceasefire and the peace that might come with it? This is an unknowable, but not a zero. Losing these aircraft has a practical effect, and impacts upon Russian military pride and anxiety. Even airfields deep in Siberia are not safe.

Russia’s lumbering bulk of a military machine projects invulnerability and fearlessness towards the longest of wars as a tactic. It uses the idea of time being on its side as a key asset. But strikes like the weekend’s show its hardware is vulnerable, limited and probably not easy to replace.

Moscow may brush off this latest setback, its rigidly subservient state media able to sustain any narrative the Kremlin chooses. But that does not alter the reality of its troubles. It did not stop the short-lived Wagner rebellion of 2023, or the Ukrainian incursion into Kursk last year.

The damage is twofold: to the internal narrative that Moscow can do this indefinitely – it clearly cannot, if surprises like these keep coming. And secondly, to its ability to visit the sort of bulk destruction it has relied upon to grind forwards in the war. The latter can slow its progress, but former is more dangerous. Tiny cracks can spread. For now, they are all Ukraine is able to inflict, but their longer-term impact, like so much in this war, is utterly unpredictable.

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Britain will build new attack submarines, invest billions on nuclear warheads and move towards “war-fighting readiness,” Prime Minister Keir Starmer said Monday, as he braces for a landmark report into the state of the country’s military.

Starmer’s government said it would build “up to” 12 new attack submarines as part of its AUKUS partnership with the United States and Australia, replacing the country’s current class of seven subs from the late 2030s.

And he will launch a “historic renewal” of the UK’s nuclear deterrent backed by a £15 billion ($20.3 bn) investment, Starmer said in a speech in Scotland on Monday.

The announcements come as a long-awaited review into Britain’s armed services is published Monday. Experts have been calling for a modernization of Britain’s armed services for decades, cries that have grown in volume since Russia’s invasion of Ukraine three years ago.

“When we are being directly threatened by states with advanced military forces, the most effective way to deter them is to be ready, and frankly, to show them that we’re ready to deliver peace through strength,” Starmer said Monday.

But Starmer refused to set out the timeline for his pledge that Britain’s overall defense spending would hit 3% of the UK’s gross domestic product (GDP). The uplift, announced earlier this year, is set to be reached by the end of the next parliament in 2034, but is dependent on economic conditions.

And the prime minister did not set out where the money to pay for the new weaponry will come from; he previously announced cuts to the UK’s aid budget to fund the uplift in defense spending, and he declined to rule out similar moves on Monday.

The fiscal promise from the UK falls short of defense spending promises from some NATO countries, whose spending has been closely scrutinized by US President Donald Trump.

NATO’s Secretary General Mark Rutte said last month he “assumed” NATO members will agree on a defense spending target of 5% at June’s NATO summit, a significant increase from the 2% benchmark, which was agreed to in 2014.

Per 2024 NATO data, only Poland’s defense expenditure was above 4% of GDP, although Latvia and Estonia had promised increases to 5%, with Italy promising a hike to between 3.5 and 5% of GDP. The US’ defense expenditure sat at 3.38% of GDP in 2024, making up some 64% of total NATO expenditure.

Russia’s invasion of Ukraine – and the subsequent pressure from Trump’s administration on European nations to boost their own military capabilities – has sparked a race among Europe’s key military powers to boost their readiness and counter the Russian threat should the White House pull its support for Kyiv.

The UK “cannot ignore the threat that Russia poses,” Starmer told the BBC on Monday. “Russia has shown in recent weeks that it’s not serious about peace, and we have to be ready.”

Starmer said Monday he intended to turn the UK into a “battle-ready, armour-clad nation with the strongest alliances, and the most advanced capabilities, equipped for the decades to come.”

Alongside the promised submarines, Starmer said that a “hybrid Royal Navy” will patrol the North Atlantic — a key transit route for Russian submarines to reach the eastern US seaboard — signalling a move to more drone-based naval capabilities.

The review, commissioned by his government and led by former NATO chief George Robertson, is expected to highlight a number of emerging threats, such as drone warfare, in which Britain is falling behind.

Given decades of shrinking investment in the British military, questions have been raised over the deterrence that Britain’s conventional and nuclear weapons offer, particularly given its reliance on a US supply chain.In the last eight years, the UK has publicly acknowledged two failed nuclear missile tests, one of them in the waters off Florida, when dummy missiles didn’t fire as intended.

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Russian and Ukrainian delegates met in Istanbul on Monday for their second set of direct peace talks, a day after Kyiv launched a shock drone attack on Russia’s nuclear-capable bombers, in an operation that President Volodymyr Zelensky said was a year and a half in the making.

After the initial round of discussions in the Turkish city last month – the first between the warring countries since soon after Russia’s full-scale invasion in early 2022 – both sides agreed to share their conditions for a full ceasefire and a potentially lasting peace. Zelensky said Sunday that Ukraine had presented Moscow with its “logical and realistic” demands, but said Russia had not yet shared its memorandum.

“We don’t have it,” Zelensky said. “The Turkish side doesn’t have it, and the American side doesn’t have the Russian document either. Despite this, we will attempt to achieve at least some progress on the path toward peace.”

It is not yet clear if Ukraine’s daring Sunday air raid will streamline that path or make it more thorny. Kyiv has long sought to impress upon the Kremlin that there are costs to prolonging its campaign, but some analysts have warned that the operation – which struck Russian airfields thousands of miles from Ukraine’s borders – will only replenish Moscow’s resolve.

The mission, codenamed “Spiderweb,” was one of the most significant blows that Ukraine has landed against Russia in more than three years of full-scale war. Ukraine’s security service, the SBU, said it had smuggled the drones into Russia, hiding them in wooden mobile homes latched onto trucks. The roofs were then remotely opened, and the drones deployed to launch their strikes on four Russian airfields across the vast country.

Vasul Malyuk, the head of the SBU, said the attack caused an estimated $7 billion in damage and had struck 34% of Russia’s strategic cruise missile carriers – a total of 41 aircraft. These targets were “completely legitimate,” Malyuk said, stressing that Russia had used the planes throughout the conflict to pummel Ukraine’s “peaceful cities.”

The operation has provided a much-needed boost to morale in Ukraine, which has come under fierce Russian bombardment since peace talks began in mid-May, and is bracing for an expected summer offensive. Moscow launched a record 472 drones at Ukraine overnight into Sunday, only hours before the Ukrainian attack, according to Ukrainian officials.

At a summit in Lithuania on Monday, an upbeat Zelensky said the operation proved that Ukraine has “stronger tactical solutions” than Russia.

“This is a special moment – on the one hand, Russia has launched its summer offensive, but on the other hand, they are being forced to engage in diplomacy,” Zelensky said.

The talks in Istanbul are a test of how genuine that engagement is. Last month, Russian President Vladimir Putin proposed holding “direct talks” with Ukraine in Turkey, but didn’t show up, despite Zelensky agreeing to meet. In the end, Moscow sent a low-level delegation to negotiate instead.

In the latest sign of his frustration that the war he pledged to end in a day is showing little sign of stopping, US President Donald Trump said last week that Putin had gone “absolutely crazy,” after Moscow launched the largest aerial attack of the war.

Trump has repeatedly told Russia and Ukraine there will be consequences if they don’t engage in his peace process, although he has so far resisted growing calls from lawmakers in his Republican Party to use sanctions to pressure Putin into winding down his war.

Speaking in Lithuania, Zelensky said that if Monday’s meeting “brings nothing, that clearly means strong new sanctions are urgently, urgently needed.”

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Police investigating the disappearance of British toddler Madeleine McCann will carry out fresh searches near the Portuguese holiday resort she was last seen 18 years ago, authorities said on Monday.

The 3-year-old disappeared from her bed while on vacation with her family in the Praia da Luz resort, in southern Portugal, on May 3, 2007. She has not been seen since.

Detectives acting on a request from a German public prosecutor will carry out “a broad range” of searches this week in the area of Lagos, in southern Portugal, a Portuguese police statement said.

The main suspect in the case is a German national identified by media as Christian Brueckner, who is currently serving a seven-year prison sentence in Germany for raping a 72-year-old woman in Portugal in 2005.

He is under investigation on suspicion of murder in the McCann case but hasn’t been charged. He spent many years in Portugal, including in Praia da Luz, around the time of the child’s disappearance. Brueckner has denied any involvement in her disappearance.

Prosecutors in Braunschweig, Germany, who are responsible for the investigation, didn’t give details of the “judicial measures” taking place in Portugal, according to Germany’s dpa news agency. They said the measures are being carried out by Portuguese authorities with support from officers from Germany’s Federal Criminal Police Office.

Britain’s Metropolitan Police said it was “aware of the searches being carried by the BKA (German federal police) in Portugal as part of their investigation into the disappearance of Madeleine McCann.”

“The Metropolitan Police Service is not present at the search, we will support our international colleagues where necessary,” the force added, without giving more details.

The McCann case received worldwide interest for several years, with reports of sightings of her stretching as far away as Australia as well as books and television documentaries about her disappearance.

Almost two decades on, investigators in the UK, Portugal and Germany are still piecing together what happened on the night she disappeared. She was in the same room as her brother and sister — 2-year-old twins — while their parents, Kate and Gerry, had dinner with friends at a nearby restaurant.

The last time police resumed searches in the case was in 2023, when detectives from the three countries took part in an operation searching near a dam and a reservoir about 50 kilometers (30 miles) from the Praia da Luz resort.

Madeleine’s family marked the 18th anniversary of her disappearance last month, and expressed their determination to keep searching.

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Ukraine’s drone attack against Russian airfields was audacious and daring. But most of all, it was meticulously planned and flawlessly executed.

Kyiv struck where it could make a difference, damaging or destroying military aircraft that Moscow has been using to terrorize Ukrainian civilians with near daily aerial attacks.

The Ukrainian Security Service said 41 Russian aircraft were hit, including strategic bombers and surveillance planes, although it is unclear how many were taken completely out of action.

Justin Bronk, a senior research fellow at the Royal United Services Institute in London, said the attack was “a stunning success for Ukraine’s special services.”

“If even half the total claim of 41 aircraft damaged/destroyed is confirmed, it will have a significant impact on the capacity of the Russian Long Range Aviation force to keep up its regular large-scale cruise missile salvos against Ukrainian cities and infrastructure, whilst also maintaining their nuclear deterrence and signaling patrols against NATO and Japan,” he wrote in a note.

This is what we know about how the attack unfolded.

Striking from within Russia

The attacks targeted four airfields deep inside Russia, with the farthest one, the Belaya base in Irkutsk region, some 4,500 kilometers (2,800 miles) from Ukraine’s border with Russia.

The other targets included the Olenya base near Murmansk in the Arctic Circle, more than 2,000 kilometers (1,200 miles) from Ukraine; the Diaghilev airbase in Ryazan Oblast, some 520 kilometers (320 miles) from Ukraine; and the Ivanovo air base, which is a base for Russian military transport aircraft, some 800 kilometers (500 miles) from the border.

A visual shared by the SBU, Ukraine’s security agency, also showed another base in the eastern Amur region as a target. It is not clear whether an attack on this base failed or was aborted.

It’s these huge distances from the border with Ukraine that likely made Russia complacent about protecting the sites.

Its most prized aircraft at the Belaya base were regularly parked in plain sight in the airfield, clearly visible in publicly available satellite images – including on Google Maps.

Moscow likely believed the distance itself was enough to keep the aircraft safe from Ukrainian attacks.

Russia maintains air superiority over Ukraine and while Kyiv’s allies have supplied Ukraine with some long-range missile systems, including US-made ATACMS and British-French Storm Shadows, neither has the range to strike this deep inside Russia.

Ukraine has been using drones against targets inside Russia, including in Moscow, but the low speed at which they travel makes them relatively easy for Russian air defenses to strike them.

This is where the audacity of the attack really played out: rather than trying to fly the drones all the way from the border, Ukraine managed to smuggle them right next to the sites it wanted to target and launched them from there.

Insufficient Russian defenses

Russia’s radar and air defenses at these bases were not prepared for such a low-altitude and sudden attack.

The only effective way to stop an attack like this is with heavy machine guns. Russia has been using these against Ukrainian sea drones in the Black Sea.

But these were either not available or not deployed quickly enough at the air bases targeted by Ukraine on Sunday – most likely because Russia simply didn’t foresee this type of attack.

Russia’s Defense Ministry confirmed in a statement that the attacks – which it called “terror attacks” were launched from the vicinity of the airfields.

Ukraine’s President Volodymyr Zelensky said 117 drones were used in the operation.

According to the SBU, the drones were smuggled into Russia by its operatives. At some point, likely while already in Russia, the drones were then hidden inside mobile wooden sheds.

These wooden cabins were then placed on trucks and driven to locations near the bases.

Ukraine did not disclose how exactly it managed to get the vehicles into the vicinity of high-profile military targets without detection, but reports in Russian media suggested it was relatively simple.

Baza and Astra, two Russian Telegram channels, both reported that the trucks were bought by a Ukrainian man who lived in Russia who then simply paid a quartet of drivers to get them where he needed them.

Neither Russian nor Ukrainian authorities commented on these reports, but the Russian state news agency RIA reported that authorities in the Irkutsk region were searching for a man who was suspected of being involved in the attack. His name matched the name reported by Baza and Astra.

The Ukrainian Security Service said the operatives involved in the operation were safely back in Ukraine by the time the attacks started. Zelensky said they worked across multiple Russian regions spanning three time zones.

“They would have likely setup an internet hub allowing the pilots to (control them) remotely, each rapidly deploying each FPV (first person view drones), hitting each target one by one.”

The source said the communication hub could be “a simple Russian cell phone” which is harder to track than other systems, such as Starlink that is used widely in Ukraine.

A source briefed on the matter confirmed the attack was carried out via Russian telecommunications networks.

Once the trucks were in place and the drones ready to go, the cabin roofs opened and the drones flew towards their targets.

‘Brilliant operation’

They are seen heading towards the Belaya air base in the distance, where thick dark smoke is already billowing from a previous strike.

Another video from the same location shows the truck used to transport the drones on fire after what appears to be an explosion designed to self-destruct the truck.

Zelensky said on Sunday that the attack was in the making for one year, six months and nine days, and praised the security services for a “brilliant” operation.

Russian officials have downplayed the attack, saying strikes were repelled in the Ivanovo, Ryazan and Amur regions but that “several pieces of aircraft” caught fire after attacks in the Murmansk and Irkutsk regions. It added that the fires had since been extinguished.

It said there were no casualties. But while Russian authorities tried to downplay the attack, several high-profile Russian military bloggers have been vocal in their criticism.

Rybar, a high-profile Russian military blog, said the attack caused a “tragic loss for the entire Russian air fleet” and was a result of “criminal negligence.”

Ukraine said it destroyed several TU-95 and Tu-22M3 strategic bombers and one of Russia’s few remaining A-50 surveillance planes.

A source briefed on the matter said 27 Tu-95, four Tu-160, two Tu-22M3 and “probably” an A-50 were hit.

The Tu-22M3 is Russia’s long-range missile strike platform that can perform stand-off attacks, launching missiles from Russian airspace well behind the front lines to stay out of range of Ukrainian anti-aircraft fire.

Russia had 55 Tu-22M3 jets and 57 Tu-95s in its fleet at the beginning of the year, according to the “Military Balance 2025” report from the International Institute for Strategic Studies think tank.

The Tu-95 joined the Soviet Union air force in the 1950s, and Russia has modified them to launch cruise missiles like the Tu-22.

Bronk, the RUSI expert, said that replacing some of these aircraft would be very difficult for Russia because they have not been produced for decades.

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Around 13% of Mexicans likely turned out to vote in the country’s first-ever judicial election, Mexico’s INE electoral authority said on Monday, as the government hailed a successful process while analysts said the low turnout could undermine an already controversial reform.

President Claudia Sheinbaum estimated that some 13 million of around 100 million eligible voters cast ballots on Sunday to elect some 2,600 judges and magistrates, including all nine Supreme Court justices.

Counting is set to conclude on June 15, but INE officials estimated the turnout at between 12.57% and 13.32% using a calculation based on several samples taken across the country.

Sheinbaum called the process a “complete success,” citing a free vote and a frugal campaign at a morning press conference.

“Everything can be perfected. We will draw conclusions from yesterday to make improvements for 2027,” she said, pointing to another vote in two years that is scheduled to fill over 1,000 more judicial positions.

Interior Minister Rosa Icela Rodriguez said that “the voting took place in a climate of peace and tranquility across the length and breadth of the country.”

“Yesterday’s turnout at the polls met expectations,” she said. “It was an innovative process that generated interest among the participants.”

Voting in Mexico is not mandatory and there is no minimum turnout required to legitimize an election. Pollsters had warned of poor turnout over boycott calls by the opposition and the complexity of voting for a large number of candidates.

Questionable credentials

Goldman Sachs’ chief Latin America economist, Alberto Ramos, said in a note that the low turnout took away from the process’ legitimacy, and that the pre-selection process and logistical organization were “fraught with controversy.”

“The vast majority of the roughly 3,400 candidates were largely unknown, many have limited legal experience and some questionable credentials for the seats they are seeking,” he said.

Bradesco analyst Rodolfo Ramos said he thought the turnout was surprisingly low, “considering Sheinbaum’s high approval rating and the fact that the majority of Mexicans were in favor of directly voting for judges.”

Sheinbaum, who inherited the judicial election project from her predecessor and mentor, former President Andres Manuel Lopez Obrador, has backed the vote as a way to democratize justice and root out corruption and nepotism.

However, critics say it could remove checks and balances on the executive power and allow for organized crime groups to wield greater influence by running their own candidates.

The run-up to the vote had been dominated by a scandal over some of the candidates, including a convicted drug smuggler and a former lawyer of drug kingpin Joaquin “El Chapo” Guzman.

Late on Sunday, Mexico’s Specialized Prosecutor’s Office for Electoral Crimes said it had received 23 reports of possible electoral crimes related to the elections of nearly 900 positions at the federal-level judiciary.

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So, Russia and Ukraine are still as far apart as ever, with the two warring countries unable to make a significant breakthrough in direct talks in Istanbul.

While there was agreement to exchange more prisoners, Moscow and Kyiv remain deeply divided over how to bring the costly and bitter Ukraine war to an end.

Russia has shown itself to be particularly uncompromising, handing Ukrainian negotiators a memorandum re-stating its maximalist, hardline terms which would essentially amount to a Ukrainian surrender.

Expectations were always low for a Kremlin compromise. But Moscow appears to have eliminated any hint of a readiness to soften its demands.

The Russian memorandum again calls on Ukraine to withdraw from four partially occupied regions that Russia has annexed but not captured: a territorial concession that Kyiv has repeatedly rejected.

It says Ukraine must accept strict limits on its armed forces, never join a military alliance, host foreign troops or aquire nuclear weapons. It would be Ukrainian demilitarization in its most hardline form, unpalatable to Ukraine and much of Europe, which sees the country as a barrier against further Russian expansion.

Other Russian demands include the restoration of full diplomatic and economic ties, specifically that no reparations will be demanded by either side and that all Western sanctions on Russia be lifted.

It is a Kremlin wish-list that, while familiar, speaks volumes about how Moscow continues to imagine the future of Ukraine as a subjugated state in the thrall of Russia, with no significant military of its own nor real independence.

This uncompromising position comes despite two important factors which may have given the Kremlin pause.

Firstly, Ukraine has developed the technical capability to strike deep inside Russia, despite its staggering disparity of territory and resources. The stunning drone strikes recently targeting Russian strategic bombers at bases thousands of miles from Ukraine is a powerful illustration of that. Ukraine, it seems, has some cards after all, and is using them effectively.

Secondly – and arguably more dangerously for Moscow – the Kremlin’s latest hardline demands come despite US President Donald Trump’s increasing frustrations with his own Ukraine peace efforts.

Trump has already expressed annoyance with his Russian counterpart, Vladimir Putin, who he said had gone “absolutely MAD” after massive Russian strikes on Ukraine last week.

But now, Trump himself is under pressure as a cornerstone of his second term foreign policy – bringing a rapid end the Ukraine war – looks decidedly shaky.

There are powerful levers to pull if Trump chooses, like increasing US military aid or imposing tough new sanctions, such as those overwhelmingly supported in the US Senate. One of the key backers of a cross-party senate bill that aims to impose “crippling” new measures on Moscow, Senator Richard Blumenthal, accused Russia of “mocking peace efforts” at the Istanbul talks and in a carefully worded post on X accused the Kremlin of “playing Trump and America for fools.”

It is unclear at the moment how the mercurial US president will react, or what – if anything – he will do.

But the outcome of the Ukraine war, specifically the brokering of peace deal to end it, has become inextricably linked with the current administration in the White House.

The fact that Putin has once again dug in his heels and presented an uncompromising response to calls for peace, may now force Trump to act.

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