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Newsom Tells California Agencies To Keep Saying AI Despite Trump 'Super Intelligence' Order
Authored by Chase Smith via The Epoch Times,
California Gov. Gavin Newsom on Sept. 30 ordered state agencies to keep using the term "artificial intelligence," one day after President Donald Trump directed the federal executive branch to replace it with "super intelligence."
Newsom signed an executive order saying all agencies and departments under his authority "shall refer to Artificial Intelligence and AI as 'Artificial Intelligence' and 'AI,' notwithstanding any rebranded or different terminology used by the federal government, unless inconsistent with the law."
The order says that while terminology can have significance, "purporting to change something's name cannot distract a person of normal intelligence from recognizing the impotent and craven failure to take action to address well-documented emerging security and safety risks posed by that thing."
The order does not name Trump or the White House - however, an accompanying statement by Newsom does reference the president.
"Super intelligence is clearly not coming from the White House - that's why California continues to lead," Newsom said in a statement.
He said AI should expand opportunity rather than come at the expense of workers and families.
OCTOBER ONLY.$10 OFFYOUR NEXT ORDER.$30 min. Ends Oct 31. One per customer.GET MY $10 OFF →Signs you up for ZeroHedge Store emails. Can't be combined. Every order helps support ZeroHedge.In response to a request for comment on Newsom's order, the White House pointed to recent public remarks by Trump.
"We don't call it artificial intelligence because it's not artificial. It's real. It's a terrible word," Trump said. "It's amazing it lived on so long, actually."
"We looked at 'superior intelligence.' We looked at 'supreme intelligence,' but I didn't want to mix it up with the Supreme Court - get myself in trouble," he said. "Artificial means it's fake or it's false, and this is not. This is real."
Trump added the United States and China are the only two countries competing in the field, and that the United States is "leading them by a lot."
"Whoever wins super intelligence wins," he said.
Trump's order, signed on Sept. 29, directs agencies, "to the maximum extent permitted by law," to use "Super Intelligence" and "SI" in place of "Artificial Intelligence" and "AI."
It says the executive branch "will not acknowledge the usage of 'Artificial Intelligence' and 'AI' in any applicable setting."
That covers official correspondence, public communications, websites, reports, policy documents, and other non-statutory documents.
It does not require changes to previously issued regulations, contracts, grants, or other historical documents.
The order says the new term "more appropriately captures the promise, potential, and rapidly advancing capabilities of these technologies."
A White House fact sheet says the order also directs the president's science adviser to propose a federal definition of "Super Intelligence" within 60 days.
Newsom signed 13 bills on Sept. 30 addressing AI in the workplace, health care, digital watermarks, deepfakes and digital replicas, legal work, and gene synthesis companies, his office said.
It described the workplace measures as the nation's first.
They prohibit employers from relying only on AI when making a disciplinary or termination decision; require employers to disclose when an AI system causes a mass layoff, relocation, or termination; and ban workplace surveillance tools in bathrooms, according to the governor's office.
"Workers across California have demanded that our state lead the way in regulating AI in our workplaces. And today, we see that begin to happen," California Federation of Labor Unions President Lorena Gonzalez said of four of the bills.
She said the bills show how to "put guardrails on AI at work" and "put workers first."
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Brazil Braces For Election Volatility As Bolsonaro Gains On Lula, Bullish Options Bets Explode
The big election focus this weekend will be on Sunday, with the latest polling data showing right-wing Senator Flávio Bolsonaro and socialist President Luiz Inácio Lula da Silva are statistically tied. Polymarket, meanwhile, shows Bolsonaro with a wide lead.
Bloomberg reports that neither Bolsonaro nor Lula is expected to secure an outright victory in Sunday's first round of voting. This suggests that a second round on October 25 is highly possible.
For weeks, we've outlined that high volatility is expected in the Brazilian currency and stocks after this weekend's first round of voting.
Traders are increasingly positioning for former President Jair Bolsonaro's eldest son to beat the socialist. As we've pointed out, this could set up the next big squeeze.
So far, the election trade in Brazil is gathering steam: currency volatility is surging, bullish stock options have erupted, and Polymarket odds give Bolsonaro roughly a 55.6% chance of winning.
The Brazilian real's one-week implied volatility has jumped above 31%, its highest level since late 2022. That exceeds the one-month measure, which captures both voting rounds but remains below 25%, highlighting the extreme concentration of risk ahead of Sunday.
Open interest in options on the iShares MSCI Brazil ETF (EWZ) has hit a record of 9 million contracts, driven mostly by calls. Demand for bullish options on the main equity benchmark Ibovespa index has also increased since late August.
Citigroup and JPMorgan analysts have told clients to use options that would benefit from a stronger real, while Brazilian hedge funds, including Ibiuna and Verde, have told clients they have positioned themselves with options for a potential stock rally.
"We expect the biggest surprise to come in the first round, with Flávio likely to finish ahead of Lula," Fabricio Taschetto, CIO at Ace Capital, wrote in a note. He added that the market reaction could exceed the move already priced into options.
BofA analyst David Beker told clients, "Brazil outperformed LatAm and global markets this week. Focus is on the first round of elections on Sunday."
Tyler Durden Fri, 10/02/2026 - 16:40