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National

Pro Rata

Axios Pro Rata

Uber has decided to shutter Drizly, an alcohol delivery service it bought three years ago for $1.1 billion, Axios has learned.

The big picture: Drizly was always a bit of an odd match for Uber, in that it didn't hire or contract its own delivery workers. Instead, Drizly provided backend tech that let local liquor stores provide their own deliveries.

The bigger issue, however, might have been cybersecurity. Drizly in 2020 confirmed a hack that exposed information on around 2.5 million customers.  

What it didn't say, however, was that the company had been aware of the security flaw for two years without fixing it. 

That information was discovered by the Federal Trade Commission, after Uber's acquisition of Drizly, and led to an FTC order that restricted the types of customer information that Drizly could collect and retain.

What they're saying: "After three years of Drizly operating independently within the Uber family, we've decided to close the business and focus on our core Uber Eats strategy of helping consumers get almost anything — from food to groceries to alcohol — all on a single app," Pierre-Dimitri Gore-Coty, Uber's SVP of delivery, tells Axios exclusively. 

He adds: "We're grateful to the Drizly team for their many contributions to the growth of the BevAlc delivery category as the original industry pioneer."

Scoop: Uber shutting down alcohol delivery service Drizly

Uber paid $1.1 billion to buy Drizly just two years ago.

Uber logo behind Drizly app, with a glass of wine.

Photo illustration: Thiago Prudêncio/SOPA Images/LightRocket via Getty Images.

Uber

Dealmaking

Latest news on Wall Street, Corporate America and financial regulation.

Business

Clarence B. Jones — who helped draft Martin Luther King Jr.'s "I Have a Dream" speech — told Axios the late civil rights leader would be "astonished if Trump were re-elected, but not that he is a candidate for president again."

Why it matters: Jones, MLK's lawyer, was a direct witness to some of the biggest moments of the Civil Rights Movement.

Driving the news: Jones is out with "Last of the Lions," an autobiography co-authored by Stuart Connelly that takes readers "across his whole life" — organized from idea to idea.

Jones smuggled out King's famous "Letter From Birmingham Jail," which was written on scraps of newsprint and toilet paper.

He also acted as an ambassador between King and Malcolm X.

What he's saying: "What the world fails to remember about Dr. King is his steadfast commitment to the exercise and dedication to a commonly acceptable standard or political morality," said Jones, who answered Axios' questions via Connelly.

"He would not understand philosophical concepts of 'alternative truths,' or alternative 'facts.'"

Summarizing Jones' message to Americans today, Connelly said: "When you're in the moment, you don't know you're making history. Nothing is for certain, nothing is preordained."

"Don't be complacent, and realize that you have to make the next bit of history."

The one thing Jones would want the world to remember about King, who would've turned 95 today:

"With a historically unique alliance with the Jewish community and Hispanic community, in 12 years and 4 months from 1956 to April 4, 1968,  the date of his assassination, with the exception of the presidency of Abraham Lincoln and the Emancipation Proclamation of 1863, Dr. King may have done more to achieve racial equality, access to economic opportunities, voting rights and personal access to political power, than any other person in the 400+ year history of the United States of America."

MLK confidant: He would've been "astonished" if Trump wins again

Jones, MLK's lawyer, was a direct witness to some of the biggest moments of the Civil Rights Movement.

Civil rights

2024 will be an election year like no other, as President Biden seeks re-election amid economic uncertainty, two wars and questions about his age. His likely foe, former President Trump, faces felony charges and vows revenge on his political enemies. Meanwhile, Americans generally are dissatisfied with those choices and are divided over immigration, race, education and more.

Politics & Policy

Media Trends

Axios Media Trends

ChatGPT maker OpenAI says it's rolling out new policies and tools meant to combat misinformation and abuse ahead of 2024 elections worldwide.

Why it matters: 2024 is one of the biggest election years in history — with high-stakes races in over 50 countries globally. It's also the first major election cycle where generative AI tools will be widely available to voters, governments and political campaigns.

What's happening: In a statement published Monday, OpenAI said it will lean into verified news and image authenticity programs to ensure users get access to high-quality information throughout elections.

The company will add digital credentials set by a third-party coalition of AI firms that encode details about the origin of images created using its image generator tool, DALL-E 3.

The firm says it's experimenting with a new "provenance classifier" tool that can detect AI-generated images that have been made using DALL-E. It hopes to make that tool available to its first group of testers, including journalists, researchers and other tech platforms, for feedback.

OpenAI will continue integrating its ChatGPT platform with real-time news reporting globally, "including attribution and links," it said. That effort builds on a first-of-its-kind deal announced with German media giant Axel Springer last year that offers ChatGPT users summaries of select global news content from the company's outlets.

In the U.S., OpenAI says it's working with the nonpartisan National Association of Secretaries of State to direct ChatGPT users to CanIVote.org for authoritative information on U.S. voting and elections.

Between the lines: Because generative AI technology is so new, OpenAI says it's still working to understand how effective its tools might be for political persuasion.

To hedge against abuse, the firm doesn't allow people to build applications for political campaigning and lobbying, and it doesn't allow engineers to create chatbots that pretend to be real people, such as candidates. 

Like most tech firms, it doesn't allow users to build applications for its ChatGPT platform that deter people from participating in the democratic process.

Yes, but: Those policies can change based on the evolution of OpenAI's technology.

Case-in-point: Last week, the firm quietly deleted language from its policies that expressly prohibited the use of its technology for military purposes, The Intercept reported.

The big picture: Social media and search platforms have spent many years developing rules and tools to combat abuse during elections. But they still struggle to stop abuse due to their massive size.

Their efforts have at least created a roadmap for firms like OpenAI to follow as they scale publicly.

Go deeper: How generative AI will impact elections around the world 

OpenAI unveils plans for tackling abuse ahead of 2024 elections

There are high-stakes races in over 50 countries globally this year.

Illustration of eye emojis with the OpenAI logo in the pupil

OpenAI

Media

Tech Regulation

From the Valley to D.C., Big Tech players like Facebook, Google and Amazon are under more scrutiny than ever as new technology develops and privacy and antitrust concerns grow in lockstep with companies’ ambitions.

Technology

Secretary of Defense Lloyd Austin has been released from the hospital, the Defense Department said in a statement Monday.

Why it matters: The initial secrecy surrounding Austin's two-week hospitalization has prompted criticism from members of Congress, and President Biden called it a lapse in judgment.

"The Secretary continues to recover well and, on the advice of doctors, will recuperate and perform his duties remotely for a period of time before returning full-time to the Pentagon," the Defense Department's statement said. 

State of play: Austin was hospitalized on Jan. 1 after experiencing complications from a treatment for prostate cancer. 

The prognosis for Austin's prostate cancer diagnosis is strong, the Defense Department said.

He has no further treatment planned other than regular surveillance. 

"As I continue to recuperate and perform my duties from home, I'm eager to fully recover and return as quickly as possible to the Pentagon," Austin said in a statement. 

Catch up fast: Austin's hospitalization caught many U.S. officials by surprise when it was announced on Jan. 5 -- four days after he was admitted. 

The backlash over the lack of communication from Austin and the Department of Defense was swift, and some in Congress stated they had lost faith in Austin's ability to perform his duties. 

Despite the pushback and calls for Austin's resignation, the White House said it has no plans to remove him from his post.

Austin later acknowledged he could have done a "better job ensuring the public was appropriately informed."

Go deeper: Biden: Austin had lapse in judgment by not disclosing hospitalization

Biden: Austin had lapse in judgment by not disclosing hospitalization

Defense Secretary Lloyd Austin released from hospital

He will perform his duties remotely before returning to the Pentagon, the Defense Department said Monday.

Lloyd Austin speaks into a microphone with an image of the Pentagon behind him and an American flag off to the side. 

U.S. Secretary of Defense Lloyd Austin speaks during a virtual meeting on Nov. 22. Photo: Anna Moneymaker/Getty Images

Lloyd Austin

Boeing will add inspections for its 737-9 fleet after a mid-flight emergency revealed the potential of loose bolts on plugged exit doors for several planes. 

Why it matters: The plane model is remaining grounded for the foreseeable future, as the company faces a lawsuit. 

Earlier this month, a door plug blew out of a Boeing 737-9 jet during an Alaska Airlines flight, prompting the door to fly open as the plane approached an altitude of 16,000 feet. 

The latest: Boeing is adding inspections throughout its build process to "provide one more layer of scrutiny on top of the thousands of inspections performed today across each 737 airplane, and build on the reviews we have implemented to catch potential non-conformances," the company said on Monday.

Boeing will also review the work of Spirit AeroSystems, which installed the door plug that malfunctioned on the Alaska Airlines flight. 

Zoom out: The company is also opening its factories to airlines, and allow them to inspect its production and quality procedures. 

"Customer representatives will continue to have access to anything they want to see onboard their airplane before delivery," the company said.

Between the lines: The Federal Aviation Administration said on Friday it would increase oversight of Boeing's production and manufacturing. 

The FAA is also investigating Boeing over whether the company failed to ensure that the jets were safe.

Meanwhile, Alaska Airlines said on Saturday that it will "enhance" its oversight of planes manufactured by Boeing by performing additional inspections.

Go deeper: What's going on with Boeing 737 Max 9 planes

What's going on with Boeing 737 Max 9 planes

Boeing adds more inspections for its 737-9 Max fleet

The plane model is remaining grounded for the foreseeable future.

Alaska Airlines Boeing 737 MAX 9 aircraft N705AL is seen grounded at Portland International Airport on Jan. 9. Photo: Mathieu Lewis-Rolland/Getty Images

Boeing 737 MAX

Breaking climate science and policy coverage as extreme weather events reshape communities. Keep tabs on the race to a low carbon economy, which may be bumpy as governments, climate tech startups and major oil and gas companies race to find their niche amid the changing energy landscape.

Energy & Climate

Latino

Axios Latino

Black descendants of enslaved people once owned by members of the Muscogee (Creek) Nation are seeking full tribal membership in a case that's now backlogged in the tribe's court system. 

Why it matters: Muscogee (Creek) Nation Freedmen are the latest group to seek full tribal membership amid a racial reckoning among Indigenous tribes and resistance from some tribal leaders.

Quick catchup: A Muscogee (Creek) Nation District Court in September ruled in favor of citizenship for two Freemen descendants, paving the way for other descendants to seek citizenship.

Rhonda Grayson and Jeffery Kennedy had sued the tribe's citizenship board for denying their applications. 

Following the ruling, the tribe's Supreme Court issued a stay of enforcement of the District Court's recent after an appeal from the tribe.

Zoom in: Freedmen descendants say the tribe's Treaty of 1866 provides that descendants listed on the Creek Freedmen Roll are eligible for tribal citizenship.

It's part of a decades-long fight among Freedmen descendants, but the tribe has repeatedly rejected allowing them tribal membership, citing tribal sovereignty. 

What they're saying: "There's just a level of anti-Black hatred that permeates the Creek Nation that is almost unseen anywhere else in this nation," Damario Solomon-Simmons, a lawyer for the Creek Freedmen and a descendant himself, told Axios. 

"They have erased and deleted the contributions of Creek Freedmen, of Black Creeks like we just never existed." 

The other side: Muscogee Nation Attorney General Geri Wisner did not return messages from Axios.

In a statement to other media outlets, Wisner disagreed with the earlier ruling based on "deeply flawed reasoning."

"The MCN Constitution, which we are duty-bound to follow, makes no provisions for citizenship for non-Creek individuals."

A mother and child in front of a home of Creek Freedmen in 1900.

A mother and child in front of a home of Creek Freedmen in 1900. Photo: Corbis via Getty Images

Families of Creek enslaved people seek tribal citizenship

Creek Freedmen are the latest group to seek full tribal membership amid a racial reckoning among Indigenous tribes

Axios

Monday's top stories

Scoop: Uber shutting down alcohol delivery service Drizly

MLK confidant: He would've been "astonished" if Trump wins again

OpenAI unveils plans for tackling abuse ahead of 2024 elections

Defense Secretary Lloyd Austin released from hospital

Boeing adds more inspections for its 737-9 Max fleet

Families of Creek enslaved people seek tribal citizenship

GOP hopefuls spend big in Iowa

Haley, DeSantis focus late pitches on Iowa suburbs

MLK's words resonate with both sides of Israeli-Palestinian conflict

Arctic blast leaves over 110 million under wind chill warnings

In photos: GOP 2024 rivals make last-ditch appeal to Iowa voters in frigid cold