Elon Musk, AI and the antichrist: the biggest tech stories of 2025

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Hello, and welcome to TechScape.I’m your host, Blake Montgomery, wishing you a happy and healthy end of the year.I myself have a cold.Today, we are looking back at the biggest stories in tech of 2025 – Elon Musk’s political rise, burst and fall; artificial intelligence’s subsumption of the global economy, all other technology, and even the Earth’s topography; Australia’s remarkable social media ban; the tech industry’s new Trumpian politics; and, as a treat, a glimpse of the apocalypse offered by one of Silicon Valley’s savviest and strangest billionaires.At the close of 2024, I wrote that Elon Musk’s support of Donald Trump had made him the world’s most powerful unelected man.

In 2025, his reign turned out to be short-lived,He rose fast and haphazardly, like a whizzing firework, only to explode spectacularly in June when he claimed in a post on X that the president of the United States was named in the government’s files on the convicted sex offender Jeffrey Epstein,Even in that short period of less than six months, Musk made a tremendous impact,He tore up wide swaths of the US government – tens of thousands of jobs, the security of extremely sensitive data, and entire agencies like USAid – that may never be stitched back together,After Doge imploded, Musk promised to turn back to his business empire, which saw great success and great failures alike in 2025.

His rocket company SpaceX saw continued growth and is poised to conduct an initial public offering next year, perhaps as the most valuable private company in the world.Electric carmaker Tesla, by contrast, faced violent backlash and major competition from its Chinese counterparts, which produced cheaper and more advanced vehicles while Tesla’s innovation and inventory stagnated.These headwinds caused a global sales slump for Musk’s carmaker.Look back at our reporting on Doge, Tesla, SpaceX, Musk himself:The ‘department of government efficiency’How an obscure US government office has become a target of Elon MuskHow Elon Musk’s billionaire Doge lieutenant took over the US’s biggest MDMA company | Technology | The GuardianThe chaos Elon Musk and Doge are leaving behind in WashingtonTesla faces backlash over Musk’s politicsEggings, swastikas and dog poop: Tesla bears brunt of people’s ire against Musk‘I’m selling the Nazi mobile’: Tesla owners offload cars after Musk’s fascist-style salutesLook ahead: SpaceX expands in preparation for 2026 IPOInside Elon Musk’s plan to rain SpaceX’s rocket debris over Hawaii’s pristine watersElon Musk’s SpaceX ‘preparing for flotation that could value it at over $1tn’Artificial intelligence has gone from a niche within tech to the industry’s most prominent focus.The Magnificent Seven – Apple, Amazon, Google, Microsoft, Meta, Nvidia and Tesla – are investing hundreds of billions of dollars into new software that they hope will do the bulk of humanity’s work before too long.

The investment is driving the bulk of the growth of the US’s economy, giving rise to fears of a financial bubble and its popping.The US and China are locked in a cold war-esque race against each other, with startups in each country vying for cutting-edge breakthroughs, as governments around the world are forced to decide how they will regulate a new technological force.Before AI can arrive at that future, though, it needs brains a la the Tin Man of The Wizard of Oz.Those brains come in the form of datacenters.These massive buildings, which house the millions and millions of semiconductor chips booming AI development, have cropped up around the world, met with enthusiasm from leaders eager for tax revenue and deep concern from environmental advocates and, increasingly, local community members.

The investment in and construction of datacenters wrought huge change in the physical landscape of the Earth in 2025 as tens of billions of dollars chased any available land, electricity, water and semiconductor chips.More from our reporting in the last year:DatacentersThe AI boom is heralding a new gold rush in the American westRevealed: Big tech’s new datacentres will take water from the world’s driest areasThe future of AIWhat will your life look like in 2035?‘It’s going much too fast’: the inside story of the race to create the ultimate AIMultitrillion-dollar valuationsIs AI a bubble that’s about to pop? – podcastWhat is new in UK-US tech deal and what will it mean for the British economy?But does it work?Meet the AI workers who tell their friends and family to stay away from AIElon Musk made a full-throated and whole-hearted embrace of Donald Trump in 2024 and 2025.He was not alone.Many of his fellows in Silicon Valley did the same, sitting beside the Trump family at the president’s inauguration after donating millions to his inaugural committee.The tech giants continued their embrace of Trump and his policies by scuttling their diversity, equity and inclusion programs, which they championed during Barack Obama’s presidency, and by cooperating with US Immigration and Customs Enforcement (ICE) in Trump’s harsh immigration crackdown.

What the industry gave, it reaped tenfold in deregulation, friends high up in Washington like JD Vance and David Sacks, and a Trump order for states not to regulate AI signed just weeks ago.More from our reporting this year:Donations and Trump’s inaugurationElon Musk appears to give fascist-style salute after Trump inauguration – videoTrump inauguration: Zuckerberg, Bezos and Musk seated in front of cabinet picks‘The reign of terror is over’: my weird weekend partying with the triumphant tech rightDEI scuttledZuckerberg’s swerve: how diversity went from being a Meta priority to getting cancelledImmigrants surveilledDocuments offer rare insight on ICE’s close relationship with PalantirICE is using smartwatches to track pregnant women, even during labor: ‘She was so afraid they would take her baby’This year saw Australia take the extraordinary measure of banning children under 16 from social media.The remarkable measure went into effect just weeks ago after a slew of legal challenges and protests from tech companies.Read some of our comprehensive reporting on the ban:Millions of children and teens lose access to accounts as Australia’s world-first social media ban beginsThe Guardian view on Australia’s social media ban: dragging tech companies into action | EditorialAustralia’s social media ban launched with barely a hitch – but the real test is still to comeIn the weirdest news of 2025, the billionaire venture capitalist and conservative svengali Peter Thiel gave a series of fevered, incoherent lectures about the antichrist and the coming of the end times.We obtained leaked audio of the talks.

You can read for yourself the gibberish he uses to bend the ears of serious academics and San Francisco startup CEOs alike or, if you’d prefer not to give your attention directly to him, engage with a sharp critical interpretation by a professor hailing from the same university as Thiel’s mentor.Our stories on the gospel according to Peter:Inside tech billionaire Peter Thiel’s off-the-record lectures about the antichristPeter Thiel’s off-the-record antichrist lectures reveal more about him than Armageddon | Adrian Daub
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CDs return to Christmas shopping lists as gen Z embrace ‘retro renaissance’

Forget the vinyl revival. CD players and compact discs are back on Christmas lists this year amid a wave of 90s nostalgia and coveted “deluxe” releases from big acts such as Taylor Swift and Pink Floyd.Demand for compact discs peaked in the mid-00s and many households ditched their systems and libraries as digital music took off. But the distinctive whirr is returning to bedrooms around the country, with retailers and marketplaces experiencing an uptick in appetite for vintage tech and music to play on it.John Lewis has upped its range of CD players to meet resurgent demand and says sales are up 74% in the last year

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US economy grew strongly in third quarter, GDP report says

The US economy surged over the summer, the commerce department announced on Tuesday in one of the final snapshots of the nation’s finances to be released in 2025.Gross domestic product (GDP) – a broad measure of the value of goods and services – rose at an annualized rate of 4.3% over the third quarter, far higher than expected and its fastest rate in two years.The surprisingly strong growth “reflected increases in consumer spending, exports, and government spending that were partly offset by a decrease in investment”, according to the Bureau of Economic Analysis.Economists had been expecting the growth rate to slow to 3

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Ryanair fined €256m over ‘abusive strategy’ to limit ticket sales by online travel agencies

Ryanair has been fined €256m (£223m) by Italy’s competition authority for abusing its dominant market position to limit sales of tickets by online travel agents.The authority said Europe’s largest airline had “implemented an abusive strategy to hinder travel agencies” via an “elaborate strategy” of technical obstacles for agents and passengers to make it difficult for online travel agents to sell Ryanair tickets and instead force sales through its own website.The fine related to Ryanair’s conduct between April 2023 and at least until April 2025, the authority said on Tuesday. It said Ryanair had prevented online travel agents from selling tickets on its flights in combination with other airlines and services, weakening competition.Ryanair said it would immediately appeal against the “legally flawed” ruling

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Four-day week may be considered a sign of failure, England councils told

The secretary for local government has written to all councils to warn that adopting a four-day week for staff puts them at risk of being declared a failing authority, according to reports.Twenty-five councils have discussed a four-day week policy and one, South Cambridgeshire district council, has already moved to the pattern.While councils are free to set their own policies, the government has the power to take control if an authority is deemed to be failing.In a letter to councils seen by the Daily Telegraph, Steve Reed said that staff doing “part-time work for full-time pay” could be an indicator of “failure”.He said: “The provision the current guidance makes in relation to the four-day week remains in force … I take this issue very seriously, in particular that ‘council staff undertaking part-time work for full-time pay without compelling justification’ would be considered an indicator, among a wide range of factors, of potential failure

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Tesla’s EU sales slump continues as Chinese rivals thrive

Tesla continued a run of weak sales in the EU in November, with new car registrations of Elon Musk’s brand down a third, while Chinese carmakers’ sales soared.Tesla sold 12,130 new cars across the EU last month, down from 18,430 in November 2024, shrinking its market share from 2.1% to 1.4%, according to data from the European Automobile Manufacturers’ Association (Acea), a lobby group.The Chinese carmaker BYD recorded by far the fastest sales growth, with registrations across Europe almost tripling year on year up to November, to 42,500

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‘We’ve seen it decimate areas’: Somerset town’s traders oppose parking charges

The shop windows are decked out in their festive finery, there are carols on the stereos and the tills are ringing. The independent stores, cafes and restaurants lining Hill Road in the Somerset seaside town of Clevedon are hoping to take advantage of the crucial pre-Christmas period.The street’s colourful shops, along with the town’s Victorian pier, are among Clevedon’s best-known landmarks, making Hill Road popular with locals and visitors. It even stood in for the high street in the ITV drama Broadchurch.However, Hill Road’s traders are looking ahead to the new year with concern after proposals by North Somerset council to introduce car parking charges on local streets