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The Post Labor Day AI Panic Psyop Has Been Launched!

  

From Ed Dowd: Beyond the Narrative

 

Background

On Tuesday, September 8, the day after Labor Day weekend (love the timing!) a young man by the name of Jacob Coxon put out a post on X…his first post ever and it went mega viral. He is a former employee of both Anthropic and OpenAI and he warned about the dangers of AI. Within 24 hours Jacob‘s X post had received 123 million views 650,000 likes 190,000 followers. Even Elon weighed in and said “I don’t think this has ever happened for a post from a new account with almost no prior activity.“ Immediately mainstream media hopped on board to add to the virality of the post. The Wall Street Journal within a few hours had already interviewed Jacob and mainstream media piled on. Both sides of the house then piled on (mostly Democrats) with X post quotes calling immediately to ask for regulations and government interventions.

I created my Substack Ed Dowd: Beyond the Narrative to address issues such as this, and I believe this is a well-orchestrated psyop to move the needle and change minds.

Merriam-Webster Dictionary, “psyop.”

“A military operation usually aimed at influencing the enemy’s state of mind through noncombative means… also: someone or something used by the government to influence the population’s opinions and attitudes.”

I am not saying Jacob Coxon is a government asset. I am saying the last 72 hours look less like a whistleblower and more like an inorganic panic narrative.

Anomalies

The X account @hilbertspaess had almost no footprint before Tuesday night. The bio is two words: “ai research.” The account sat there for a year. Then, in one coordinated burst, a seven-post thread announcing a resignation from Anthropic, a warning that the labs are “gambling with our lives,” and a prediction that the people building this stuff privately believe it could kill everyone by the end of the decade. Overnight the post printed nine figures in views. Hundreds of thousands of likes. The account went from nobody to a household handle before most of the country had coffee.

That is not how organic X speech works: organic speech stumbles, it posts a draft, it deletes a typo and it has a history. This account had a history of silence, then a professionally punchy script, then the entire mainstream media stack that ran with it with hours of post.

The Wall Street Journal published an exclusive interview with Coxon very shortly after the post went live. Business Insider, Newsweek, the New York Post, Mashable, and Deadline, all ran the same quotes within hours. Then the next day live interviews on Fox News and CNN. That is not one reporter getting lucky on a late night scroll. That is a package. In my humble opinion you do not get a WSJ exclusive and a 100 million view thread by accident unless the interview was already in the can.

Then I did what I always do. I read the replies and skeptics on X. The anomaly hunters got there first. Parker Thayer laid out the timeline that made my former equity portfolio manager brain activate: the Journal piece “potentially” landing before the public post, an account with no prior engagement suddenly exploding, and the first quote posts arriving inside fifteen minutes from policy shops whose funding traces back to the same circle of Anthropic-adjacent philanthropy. Other users pointed at the empty follower graph, the sudden verification, the fact that the first amplifiers were not random citizens but people whose job is to turn fear into statutes and accusations of links to AI policy NGOs.

You can argue with any one of those dots. It is harder to argue with the cluster.

The big tell for me was what certain members of Congress do when a narrative is pre-cooked. Representative Ro Khanna very quickly quoted the thread and demanded a federal AI agency “like we have for nuclear power and airplanes,” pre-certification, kill switches, criminal penalties, and hearings with “researchers like Jacob.” He told Speaker Johnson to keep the House in session. On the other side of the Hill, Senator Bernie Sanders already had a superintelligence ban circulating with Representative Greg Casar creating a cabinet level agency, an advisory board of “experts,” the whole cathedral. Senators Chris Van Hollen and Richard Blumenthal piled on. OpenAI, not to be left out of its own “funeral”, started posting about national safety rules.

Classic Hegelian Dialectic

Thesis>Antithesis>Synthesis…also known as Problem>Reaction>Solution.

Hegel would recognize the move:

· Thesis-the labs are racing toward systems they cannot control

· Antithesis-the public is now terrified, and the screenshots of Coxon’s thread are the proof

· Synthesis-regulation, a licensing regime, a new agency and barriers to entry dressed up as “containment”

Then ask the only question that ever matters: Who benefits?

Let us start with who does not benefit:

· Not the open-source shops

· Not the startups that cannot afford a compliance department and a containment audit

· Not the Chinese labs, who will ignore the sermon and keep training regardless

The first beneficiaries are the two names in the original post: Anthropic and OpenAI.

They are burning cash at a rate that would make a 2000-2001 CLEC blush. Token prices keep falling. Enterprise demand is not doubling fast enough to offset it. The second derivative is slowing. Capex is a black hole. Valuations only work if the story stays vertical and the competitive set stays small. A federal moat with pre-certification, insurance mandates, criminal liability for unlicensed models does two things at once. It crushes the long tail of competitors who were eating their margins. And it gives the incumbents a political story to take to investors: “we are the responsible adults, the regulated utilities of intelligence, please keep funding the losses until the unit economics appear.”

The second beneficiary is the government itself (this push is mostly a Democrat project.)

A cabinet-level AI agency means new appropriations, new buildings, new GS-15s, new contractors, new “advisory boards” stuffed with the same people who wrote the talking points. Hearings mean travel budgets and television time. Pre-certification means a permanent inspection class. Mandatory insurance means a regulated market the agencies get to supervise. Every one of those is a funding request that survives the news cycle.

A few Republicans have already volunteered to help build the machine. Senator Josh Hawley has been the loudest, telling his own party it must “regulate” AI so it does not displace the worker, and he already has a bill with Blumenthal, co-sponsored by Senator Marsha Blackburn, to make federal reviews of advanced models mandatory. Representative Jay Obernolte has been shopping the Great American AI Act with Democrats Lori Trahan and House Republicans Scott Franklin and Erin Houchin. After Coxon’s thread, even Senator Ted Cruz, who spent last year trying to preempt state AI rules, posted that the risks are “dangerous and frightening,” that “we need guardrails,” and that he is working with Amy Klobuchar and John Thune on catastrophic bio and nuclear AI risk. You do not need the whole GOP…you only need a handful of names so the new agency can call itself bipartisan when the appropriation comes up.

Fear is how you grow the state when you cannot grow the economy.

Bottom Line

I recently wrote a post, Wall Street’s AI Capex Party...It’s 2 AM & The Bar is About To Close, where I outlined it is becoming more expensive to fund the buildout and investors are questioning the ultimate return on investment. A safety panic that ends in a licensing cartel is the most elegant refinancing I have seen in a long time for both the labs and the bureaucracy that will charge rent on the panic. You do not have to prove the models will kill us. You only have to make Congress and the public feel that they might. Fear is cheaper than a profitable product, and it is cheaper than a balanced budget.

Could Coxon be sincere? Sure…people leave jobs and people get scared…sincerity and utility are not opposites. The most effective operations use a real person with real anxiety and then put a megaphone, a Journal reporter, and a legislative calendar underneath him.

I do not know exactly how accurate these AI fears might be but I do know what a coordinated narrative looks like:

· An unused account, a same night exclusive

· Policy NGOs first in line comment

· Bills already written

· Multiple members of congress immediately posting on X their hot takes

· Two companies with a cash-burn problem recast as the only adults in the room

· Government, mostly Democrats, with just enough Republicans for cover, that suddenly needs another agency, another appropriation, and another reason to sit between you and the future.

· Two cash burning frontier AI companies that need to regulate their competition out of existence

Watch the cash, watch the narrative, watch the fear porn, watch who benefits…this is elaborate Kabuki Theater. After the Covid psyop this is the next big push in my opinion. All the signs are present.

“The one who states his case first seems right, until the other comes and examines him.” Proverbs 18:17

 

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