President Biden issued an executive order on AI yesterday that is as comprehensive as a typical dad steakhouse order. The first-of-its-kind federal action aims to regulate an industry that has been mostly left to its own devices.

The biggest consequence? The developers of future advanced AI models will have to submit safety test results to Uncle Sam to prove they are not a public threat.

It’ll be a group effort

Different parts of the government will have a role in ensuring the tech doesn’t cause too much of a ruckus:

• The National Institute of Standards and Technology will set benchmarks for safety testing, which the Department of Homeland Security and the Department of Energy will use to evaluate risks to national security and infrastructure.
• The Department of Commerce will issue directions for watermarking AI-made content, so you can know if that Harry and Meghan divorce announcement is a deepfake.
• The Department of Labor and the National Economic Council will study ways to mitigate the effects of AI on jobs.
• The Department of Justice will get extra training and tech assistance to investigate cases of AI algorithmic bias. Landlords, federal benefits programs, and government contractors will receive guidance to ensure that they’re using AI equitably.

What else? The White House will develop guidelines for federal agencies to strengthen AI privacy protection practices, but Biden said it’s up to Congress to pass consumer privacy rules for the industry. The order also aims to standardize the government’s use of AI by streamlining the process for federal agencies to buy AI tools and hire experts. And it provides resources for small developers and researchers in an attempt to prevent a handful of corporate behemoths from dominating the industry.

But…the order is only a starting point that establishes important norms. It consists primarily of recommendations and contains some guidance that isn’t enforceable by the executive branch, making it unclear how effective it’ll be in practice. And, of course, it has little power over international AI developers.—SK

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UAW’s big strike against Big Three ends. The autoworkers union reached a tentative deal with GM, the last holdout after fellow Detroit car companies Ford and Stellantis reached tentative agreements with the UAW, ending the six-week strike GM said was costing it $200 million per week. Although all the tentative deals must still be ratified by union members, the proposed four-year contracts look like big wins for the UAW, which got its members the biggest wage increases in decades.

Netanyahu says no to cease-fire. As Israel continued to push deeper into the Gaza Strip, Prime Minister Benjamin Netanyahu rejected growing calls for a cease-fire to facilitate the release of the more than 200 Israeli hostages held by Hamas or allow more humanitarian aid to reach Palestinians. “Calls for a cease-fire are calls for Israel to surrender to Hamas,” he said. In a first, Israel rescued a soldier held hostage by Hamas (Hamas had previously released four civilians), but one German-Israeli hostage is believed to be dead. In the US, the Biden administration said it’s taking action to combat antisemitism on college campuses a day after Jewish students at Cornell were threatened with violence.

Apple upgrades its chips. The tech giant hopes to juice its computer sales by putting a new line of processing chips into its Macs that, in keeping with the Halloween theme of Apple’s announcement last night, the company billed as “scary fast.” The Macs with the speedier chips will be available as of next week, and Apple is counting on them to get snapped up during the holiday season after Mac sales slumped 7% last quarter. In addition to the souped-up chips, Apple is also making some computers cheaper: The 14-inch MacBook Pro will go for $1,599, while last year’s model was $1,999.

When you combine rising costs of living with a hankering for chicken nuggets, you get honey mustard stains on your shirt and a butt-kicking earnings report from Mickey D’s.

Thanks largely to menu price hikes (which have made a Big Mac combo cost $18 at one Connecticut location), McDonald’s reported $6.69 billion in global revenue for Q3 yesterday—a 14% increase from this time last year that beat Wall Street estimates. CEO Chris Kempczinski said it proved that the economy’s “difficult times” present an opportunity for the chain.

Why are economic woes a McBoon? In the US, McDonald’s has been gaining market share among middle- and high-income customers who are cutting their spending by trading fancy meals for fast food. Meanwhile, people making less than $45,000 pulled back on Big Macs in Q3, but the foot traffic dip was offset by the higher menu prices.

McDonald’s also attributed its above-expectation earnings to recent marketing campaigns and to its app, delivery, and in-store kiosks, which drove 40% of Q3 sales.

Looking ahead…McD’s will raise menu prices again in California next year to counteract the cost of the state increasing its minimum wage for fast-food workers to $20/hour.—ML

Fellas, make some space in whatever corner of your room is used as a closet.

Kim Kardashian’s $4 billion underwear company, Skims, debuted its first men’s collection last week. Presumably inspired by the basketball practice scene in John Tucker Must Die, it’s hitting the courts, too: NBA and Skims announced a multiyear deal yesterday that makes Skims the official underwear partner of the NBA, WNBA, and USA Basketball.

Big picture: The market for men’s underwear has long been dominated by Hanes and Fruit of the Loom, but Skims CEO Jens Grede thinks the company can disrupt the industry with its functional fabrics in chic neutral shades.

It’s brought in male athletes with plenty of panache to help. Brazilian soccer star Neymar, Oklahoma City Thunder’s Shai Gilgeous-Alexander, and San Francisco 49ers defensive end Nick Bosa were tapped for the first ad campaign.

Skims said men accounted for 20% of its website traffic prior to the release of the men’s line. Within the first five minutes of launch, the website had 25,000 orders.

Looking ahead…as Skims sees continued success, we may see more than underwear. A men’s shapewear line is reportedly in the works.—CC

Stat: Another day, another new high-profile member of the billionaires club: Forbes says Magic Johnson is worth $1.2 billion. He’s the fourth athlete to cross the nine zeros threshold after fellow NBA stars Michael Jordan and LeBron James and golfer Tiger Woods. But only $40 million comes from his time on the basketball court. Turns out he’s also an MVP at investing—he’s made bank from putting money into sports teams, Starbucks, movie theaters, Burger King, 24 Hour Fitness, and, most significantly, if least dramatically, his controlling stake in Iowa-based life insurer EquiTrust.

Quote: “I disagreed with nearly every article written about me then.”

Sam Bankman-Fried talked to the media a lot, both when he was the face of a crypto exchange that appeared to be thriving and after FTX collapsed (a move just about any criminal lawyer would advise against). Testifying for a third day in the criminal fraud trial against him, SBF mostly claimed not to remember many of the things he said to reporters when prosecutors brought them up, including comments he’d made about the relationship between FTX and Alameda Research and also whether he objected to comments printed in the New York Times about his hair. But he did recall not loving most of what got printed after things went south.

Read: Millennial meme marketing must end. (Embedded)

Watch: The history of how one fed-up gardener created trick-or-treating.

Go Gothic: These novels are scarier than any slasher flick.

Think fast: Choose from more than 100 easy DIY costumes for that last-minute party invite, or take inspiration from a Japanese contest and go as something mundane.

Don’t waste it: The recipes to make with your leftover candy.

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