Author Archives: Francisca Samuel

Author: Francisca Samuel

Francisca Samuel is an editor at Tamara News, where she covers immigration, travel, business and technology news for readers across Africa and the Gulf.

One Lawmaker Says Big Tech Has ‘More Money Than God’ — and a Tax Break

Ohio state lawmaker Tristan Rader is pushing to claw back sales-tax exemptions worth more than $1.5 billion. Those data center tax breaks let Amazon, Google and Meta avoid tax last year alone, a figure he says blew past original state estimates by more than tenfold. Rader, a Democrat representing Lakewood, wants new data-center-specific taxes. He also wants requirements that the companies pay more toward the power and electrical infrastructure their facilities consume.

Data center tax breaks apply to cloud computing server infrastructure like this

How the data center tax breaks ballooned

Ohio’s sales-tax exemption for data centers was designed to attract investment. It lets operators avoid tax on qualifying equipment purchases in exchange for long-term commitments to build and hire in the state. Rader says the exemption’s actual cost to Ohio surged past $1.5 billion last year. That is more than ten times what state officials originally projected when the incentive was designed. The overshoot is large enough that it has drawn bipartisan attention to how the program is structured going forward.

Why one lawmaker is pushing back now

Rader’s objection is blunt: he argues Amazon, Google and Meta no longer need the incentive to justify building in Ohio. “They seem to have more money than God and they’re able to build without the need for these types of incentives,” he said. That framing casts the exemptions as an unnecessary subsidy to some of the world’s most profitable companies. It is not, he argues, a targeted tool for attracting investment that would not otherwise happen. His proposals include new data-center-specific taxes. He also wants operators to contribute more directly to the cost of power and electrical grid upgrades.

Ohio isn’t acting alone

The pushback fits a broader pattern of states rethinking how generously they court data centers. Ohio Governor Mike DeWine paused new applications for the sales-tax exemption in May 2026, effectively freezing the program while the state reassesses its cost. New York went further in July 2026, enacting a one-year statewide moratorium on new hyperscale data centers altogether. Both moves reflect growing concern among state officials. Hosting these facilities mainly brings construction jobs and a smaller number of permanent operations roles. Officials increasingly doubt that benefit still outweighs the tax revenue given up, and the strain the facilities place on local power grids.

What the companies have said

Amazon, Google’s parent Alphabet, and Meta did not immediately respond to requests for comment on Rader’s proposal. Their silence leaves the political framing largely to critics for now. All three companies have previously defended data-center investment in other states. They point to local job creation, community infrastructure spending, and long-term tax revenue once exemption periods expire.

What happens next for data center incentives nationally

Rader’s proposal would need to move through the Ohio legislature. Its prospects depend on how much appetite Republican leadership has for revisiting an incentive program tied to some of the state’s largest recent capital investments. More broadly, expect other state legislatures to watch Ohio and New York closely. Either state might successfully claw back incentives, or hold firm on a moratorium without scaring off future investment. If so, other states weighing similar hyperscale data-center proposals are likely to write tighter terms into their own incentive packages. Utility regulators are also part of this conversation. Much of the recent criticism centers as much on the strain hyperscale facilities place on regional power grids as on the tax revenue foregone. Several states are separately weighing whether data-center operators should pay a larger share of the transmission and generation capacity their facilities require.

Frequently asked questions

How large are the data center tax breaks in question?

Ohio’s sales-tax exemption for data centers cost the state more than $1.5 billion last year, according to state Rep. Tristan Rader, more than ten times the original estimate.

Which companies are named in the dispute?

Amazon, Google and Meta are the companies Rader specifically cited as beneficiaries of Ohio’s data center sales-tax exemption.

What is Rader proposing instead?

New data-center-specific taxes and requirements that operators pay more toward the cost of power and electrical infrastructure their facilities require.

Have other states taken similar action?

Yes. Ohio’s governor paused new exemption applications in May 2026, and New York enacted a one-year moratorium on new hyperscale data centers in July 2026.

Have Amazon, Google or Meta responded?

None of the three companies immediately responded to requests for comment on the proposal.

Why states offered these incentives in the first place

Sales-tax exemptions for data centers became a common economic-development tool over the past decade. States competed for the large capital investments hyperscale computing facilities represent, often running into the billions of dollars per site. The pitch to state legislatures was straightforward: exempt the equipment purchases from tax. In exchange, the state gains construction jobs, a smaller number of permanent operations positions, and property-tax revenue once any abatement period ends. What has changed is the sheer scale of recent AI-driven data center buildouts. That scale has made the true cost of these exemptions far larger than the modest programs originally designed for a handful of facilities per state.

More on the AI infrastructure buildout

For more on the infrastructure race behind this fight, see our reporting on Oracle’s delayed Project Jupiter data center and AMD’s climb to a trillion-dollar valuation.

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Insurers Say AI Just Added $942 Million to America’s Hospital Bills

The Blue Cross Blue Shield Association said on September 26, 2026, that AI coding tools have added roughly $942 million in extra hospital spending over two years. The figure puts a hard number on a dispute over insurers AI healthcare costs, one that has played out behind closed doors for months. The association’s analysis found a sharp rise in patients documented as having complex conditions. It found no matching change in the actual care those patients received.

Insurers AI healthcare costs tracked through hospital computer documentation systems

What the insurers AI healthcare costs analysis found

Blue Cross Blue Shield Association’s internal review looked at claims submitted using AI-assisted coding tools. That software helps hospitals translate patient charts into the billing codes insurers use to determine reimbursement. The analysis found patients increasingly coded as having complex, higher-reimbursement conditions. But BCBSA found no evidence of a corresponding change in the treatment those patients actually received. In other words, the diagnosis codes got more expensive on paper without the underlying care changing to match. That is exactly the pattern insurers watch for when coding practices shift from accurate documentation toward inflated billing.

Who is building the tools in question

The article names Abridge, an AI documentation startup, as one of the higher-profile companies in this space. The broader trend spans a wider set of AI coding and documentation vendors. Hospitals have adopted them over the past two years to speed up clinical paperwork. Abridge founder Shiv Rao acknowledged the risk of what he called “a horrible dystopic future.” In that future, hospital-side and insurer-side AI systems increasingly negotiate with each other, rather than humans reviewing claims directly. He also argued AI could eventually reduce friction and cost, rather than add to it.

Insurers say they are losing ground

Luke Chalker of BCBSA offered a blunter assessment. He described the current dynamic as “a completely one-sided blood bath” in disputes between hospitals and insurers over these claims. The framing reflects a broader anxiety inside the insurance industry. Hospitals have adopted AI coding tools faster and more aggressively than insurers have adopted AI systems that catch the resulting changes in coding patterns. That leaves payers reactive rather than in control of the trend.

Why this matters beyond the two industries fighting over it

Higher documented complexity translates into higher reimbursement. Those costs eventually show up somewhere in the system: premium increases, tighter prior-authorization rules, or renegotiated contracts between insurers and hospital networks. Patients rarely see the AI coding dispute directly. But its incentives can shape how aggressively their bills get coded, and how closely insurers scrutinize claims before paying them. The dispute also previews a wider pattern. AI tools are embedding themselves on both sides of high-stakes negotiations, from insurance claims to legal contracts to procurement.

What happens next in the AI coding fight

Expect insurers to push for their own AI-assisted auditing tools, capable of flagging documentation that looks statistically unusual. That would mirror the arms-race dynamic Rao described. Regulators and state insurance commissioners already scrutinize coding practices for signs of upcoding. A dollar figure this specific, from a major insurer trade group, is likely to draw their attention. Hospital associations, in turn, can be expected to push back on BCBSA’s methodology in the coming weeks.

Frequently asked questions

How much extra cost do insurers say AI added to healthcare billing?

The Blue Cross Blue Shield Association estimated roughly $942 million in additional spending over a two-year period tied to AI-assisted hospital coding.

What exactly did the analysis find?

It found a sharp increase in patients coded as having complex conditions without a matching change in the actual care those patients received.

Which company is mentioned as a coding-tool provider?

Abridge, an AI documentation startup, is cited as a notable player. The trend, though, involves a broader set of AI coding vendors that hospitals have adopted.

Do hospitals dispute the insurers’ AI healthcare costs claim?

No formal hospital-industry rebuttal is detailed here. Disputes of this kind are typically contested, though, given the financial stakes on both sides.

What might change as a result?

Insurers are likely to invest in their own AI-based claim-auditing tools, and regulators who track coding practices may scrutinize the trend more closely.

How hospital coding actually works

Hospitals bill insurers using standardized diagnosis and procedure codes. Those codes determine how much a given claim gets reimbursed. More complex diagnoses generally attract higher payments, reflecting the added resources complex cases require. Hospitals adopted AI documentation tools largely to reduce the administrative burden on clinicians. The software transcribes patient encounters and suggests codes automatically, rather than requiring a doctor or coder to do that translation by hand. BCBSA is not arguing the tools are inaccurate in a technical sense. Its concern is that the pattern-matching may be nudging documentation toward higher-complexity codes faster than patient acuity is actually changing. That distinction is hard to prove definitively. It shows up clearly, though, in aggregate billing data over time.

More on AI and sensitive institutions

For more on how AI systems are reshaping sensitive institutions this month, see our coverage of the OpenAI Medicare portal breach and the simultaneous outage that hit major AI platforms.

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Africa’s Growth Engine Just Downshifted — One Country Held Firm

The European Bank for Reconstruction and Development trimmed its EBRD Africa growth outlook for Sub-Saharan Africa to 4.8% for 2026, down from an earlier 5.1% projection. The update, published September 24, 2026, pointed to higher oil prices, trade disruption linked to the Middle East conflict, and mounting debt-servicing costs across the region. It flagged Nigeria as one of the few economies whose forecast held steady, thanks to domestic reforms.

EBRD Africa growth outlook reflected in Nigerian business activity

What the EBRD Africa growth outlook actually shows

The EBRD’s downgrade covers Sub-Saharan Africa broadly. It moderates growth to 4.8% in 2026 and 4.7% in 2027, both below the bank’s previous estimates. The bank’s economists cited a familiar mix of pressures. Energy costs have climbed since the year’s Middle East disruptions. Investment flows into the region have weakened, and commodity price swings are hitting exporters unevenly. High debt-servicing costs stood out as a constraint. That leaves many governments with less room to cushion households or businesses against the slowdown.

Nigeria bucks the regional trend

Nigeria’s own forecast held at 4.2% growth for 2026, easing only slightly to 4.0% in 2027. The EBRD attributed that contrast directly to “economic reforms, investment activity and improved external balances.” That resilience places Nigeria alongside Benin, Côte d’Ivoire and Ghana, which the bank noted have completed IMF programs this year. Benin, Kenya, Ghana and Nigeria all received sovereign credit rating upgrades in 2026 too. Those upgrades matter in practice. They typically lower the cost of borrowing on international markets, partially offsetting the regional headwinds the EBRD describes.

Why the slowdown is happening now

Much of the regional pressure traces back to global forces outside any single African government’s control. The wider Middle East conflict has disrupted trade routes and shipping costs this year. Oil-importing economies across the region have felt that directly through higher energy bills. Several currencies remain under pressure at the same time. Debt-servicing costs continue to eat into government budgets that would otherwise fund infrastructure or subsidies. The EBRD’s report frames this as a structural vulnerability, not a one-off shock, since many of these fiscal constraints predate this year’s specific disruptions.

What it means for businesses and investors

A cut from 5.1% to 4.8% is not a collapse. But it does confirm that momentum built earlier in the decade is cooling. Investors weighing exposure to Sub-Saharan African markets will likely watch one thing closely: the credit-rating trajectory in Nigeria, Kenya and Ghana, more than the headline regional number. Those upgrades signal improving fiscal management even as the broader region faces external pressure. Companies with supply chains touching the region should expect continued volatility in energy costs and currency movements through the rest of 2026.

What happens through the rest of 2026

The EBRD typically revisits its regional forecasts twice a year. The next formal update would arrive in the first half of 2027, unless conditions shift sharply enough to warrant an interim revision. In the meantime, expect individual country reports from the IMF and World Bank to add more granular detail. Those reports should show how the debt-servicing burden and Middle East-linked trade disruption are playing out market by market. Oil importers most exposed to higher energy costs will likely feature most.

Frequently asked questions

What is the new EBRD Africa growth outlook for 2026?

The EBRD forecasts Sub-Saharan Africa will grow 4.8% in 2026, down from an earlier 5.1% projection, easing further to 4.7% in 2027.

Why did the EBRD cut its forecast?

The bank cited higher energy costs, trade disruption tied to the Middle East conflict, and weaker investment. High debt-servicing costs are also constraining government budgets across the region.

Is Nigeria affected by the downgrade?

Nigeria’s forecast held at 4.2% growth for 2026, which the EBRD attributed to domestic economic reforms, investment activity and improved external balances.

Which countries received credit rating upgrades in 2026?

Benin, Kenya, Ghana and Nigeria all received sovereign rating upgrades in 2026, according to the EBRD’s report.

When will the EBRD update this forecast again?

The bank typically revises its regional outlook twice a year. The next scheduled update would come in the first half of 2027, absent a major shift in conditions.

How the EBRD’s forecasts get used

The EBRD is one of several multilateral lenders, alongside the IMF and World Bank, whose regional forecasts matter well beyond the report itself. Sovereign investors, credit-rating agencies and multinational companies use them directly when deciding where to allocate capital. A downgrade like this one does not by itself change any country’s credit rating. But it does shape the narrative investors carry into their own risk assessments. That matters most for economies without the kind of recent rating upgrades that Nigeria, Kenya, Ghana and Benin secured this year. Governments in the region often respond to these periodic downgrades by highlighting their own reform programs. Nigerian officials, for instance, have pointed to improved external balances as evidence their economy can outperform the regional trend.

More on the global economy this week

For more on the global economic backdrop shaping this outlook, see our reporting on the Federal Reserve’s interest rate hike and the bond-market selloff in Treasury yields.

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A Federal Court Just Told Kalshi It Isn’t Above State Gambling Law

The 6th US Circuit Court of Appeals handed down a Kalshi prediction market ruling on September 25, 2026. It lets states regulate event-contract trading the same way they regulate gambling. The decision rejects Kalshi’s argument that federal oversight of its contracts preempts state gambling law. The Cincinnati-based court’s ruling immediately gives Ohio and Tennessee grounds to treat Kalshi’s sports and event contracts as regulated gambling activity.

Kalshi prediction market ruling affects trading screens showing event contracts

What the Kalshi prediction market ruling decided

Kalshi operates as a federally regulated exchange under the Commodity Futures Trading Commission. It argued that status meant individual states could not layer their own gambling rules on top of its contracts. The 6th Circuit disagreed. It found that states retain the authority to regulate event contracts that function like wagers on sports results and other outcomes. That holds regardless of federal exchange registration. The ruling does not shut Kalshi down. But it opens the door for state regulators in the 6th Circuit’s jurisdiction. They can require licensing, restrict certain contract types, or block the platform outright.

A split among the federal courts

The decision deepens a growing conflict between appeals courts. The 9th Circuit previously found Kalshi subject to Nevada’s gambling laws, aligning with Friday’s 6th Circuit outcome. The 3rd Circuit reached the opposite conclusion, ruling that New Jersey’s gambling statutes do not reach Kalshi’s contracts. Two circuits now sit on one side and a third on the other. Legal analysts say the Supreme Court may eventually need to step in. The question: are prediction markets federally exempt from state gambling oversight nationwide?

Why regulators are moving now

The timing is not coincidental. New York sued a Kalshi competitor, Polymarket, days before the 6th Circuit ruling, accusing it of running an unlicensed gambling operation. New York Governor Kathy Hochul said plainly that “by running an unlicensed gambling operation, Polymarket has done more than just knowingly violate state law.” Prediction markets have grown quickly over the past two years. Retail traders use them to bet on everything from elections to sports outcomes. State attorneys general and gaming commissions have grown more assertive in response. They increasingly treat that growth as a licensing and consumer-protection issue, not a novel financial product exempt from their reach.

What it means for traders and the industry

For everyday users, the immediate effect depends on where they live. Traders in Ohio and Tennessee could see new restrictions on which Kalshi contracts are available to them. That mirrors how online sports betting is already licensed state by state. The split rulings create genuine uncertainty for the broader prediction-market industry’s expansion plans. A platform now has to navigate different legal standards depending on which federal circuit a user’s state falls under. That holds until the Supreme Court steps in, or Congress writes a uniform federal standard.

What comes next for prediction markets

Kalshi has not said whether it will seek a rehearing or push directly for Supreme Court review. A formal certiorari petition, if filed, would take months to resolve. In the meantime, expect other states within the 6th Circuit’s reach to test similar arguments against Kalshi and rivals like Polymarket. Gaming regulators outside that reach are watching too. The New York case against Polymarket will be an early signal. It will show how aggressively states plan to use their gambling laws against this category of trading platform.

Frequently asked questions

What did the Kalshi prediction market ruling actually decide?

The 6th US Circuit Court of Appeals ruled that states can regulate Kalshi’s event contracts as gambling. It rejected the company’s argument that federal exchange registration preempts state oversight.

Which states are directly affected first?

Ohio and Tennessee, both within the 6th Circuit’s jurisdiction, can now apply their gambling laws to Kalshi’s event contracts.

Does this ruling shut Kalshi down?

No. It lets affected states regulate or restrict specific contracts. Kalshi keeps operating in jurisdictions where courts or regulators have not imposed similar restrictions.

Why do different courts disagree on this?

The 9th Circuit sided with state regulation in a Nevada case, matching the 6th Circuit. The 3rd Circuit found New Jersey’s gambling law did not apply to Kalshi, creating a split that could draw Supreme Court review.

Is Polymarket involved in this ruling?

Not directly, but New York sued Polymarket days earlier over similar unlicensed-gambling allegations, showing regulators are pursuing multiple prediction-market platforms at once.

What should traders on these platforms expect?

Traders should expect the availability of certain contracts to vary by state as more regulators test their authority following this decision.

How prediction markets differ from traditional betting

Kalshi and its rivals describe their products as event contracts. These financial instruments pay out based on whether a defined event occurs. The companies market them more like derivatives than a sportsbook wager. Supporters of that framing say event contracts serve a genuine price-discovery function. They let traders hedge real-world risks tied to elections, economic data or corporate outcomes. A traditional bet does not offer that. Critics disagree, including several of the state regulators now asserting authority over these platforms. A contract paying out on a sports score, they argue, is a wager no matter how it is packaged. That is precisely the argument the 6th Circuit accepted this week.

More on this week’s markets

For more on this week’s financial-market backdrop, see our coverage of the stock market’s weekly gains and the bond-market rout in Treasury yields.

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A Magnitude 6.6 Quake Just Rattled the Pacific — What USGS Found

A magnitude 6.6 New Caledonia earthquake struck the Pacific on September 25, 2026, at 21:23 UTC, according to the US Geological Survey. It hit 80 kilometers east-northeast of Tadine at a shallow depth of 10 kilometers. Seismologists watch shallow, offshore quakes like this one most closely for tsunami potential. The USGS rated the alert level Green, its lowest tier, meaning it expected limited casualties and damage.

New Caledonia earthquake magnitude tracked on seismograph monitoring equipment

Where the New Caledonia earthquake struck

The epicenter sat in open water off Tadine. That town sits on the Loyalty Islands, part of New Caledonia, a French territory roughly 1,500 kilometers east of Australia. The region sits along a seismically active stretch of the Pacific. It has produced moderate-to-strong earthquakes before; a magnitude 7.7 event struck the nearby Loyalty Islands region in 2021. Monitoring networks across the Pacific recorded Saturday’s quake within minutes. Regional tsunami warning centers reviewed the data. They found no grounds for a widespread coastal evacuation.

Why a Green alert still matters

USGS uses its PAGER system to estimate likely fatalities and economic losses within hours of a quake. It color-codes the result from Green through Red. A Green rating for the New Caledonia earthquake means the modeled probability of significant casualties stays low, largely because the epicenter sat offshore and away from dense population centers. That does not rule out localized damage on the Loyalty Islands themselves, where older buildings can be vulnerable even to moderate shaking. Local authorities typically still run on-the-ground damage assessments over the following days, regardless of the automated alert level.

A pattern of Pacific seismic activity this year

The quake adds to a string of significant Pacific Rim events in 2026. That reflects the ordinary background rate of seismicity along the region’s subduction zones, not any single unusual trend. Still, each event draws renewed attention to the Pacific Tsunami Warning Center’s monitoring network. That network continuously screens undersea earthquakes for the depth, magnitude and location that could generate a damaging wave.

What travelers and residents should watch for

Airlines and cruise operators serving the South Pacific routinely monitor USGS and national tsunami center bulletins after any quake above magnitude 6.0 in the region. No advisories were issued for shipping lanes or coastal flights this time, and New Caledonia’s main airport continued normal operations. Residents in low-lying coastal areas still face a standing precaution after any offshore quake: move to higher ground if the shaking itself feels strong or prolonged, rather than waiting for an official alert. A very close offshore quake can generate a local wave faster than warnings can be issued.

What happens in the aftermath

French territorial authorities and New Caledonia’s own civil security services are expected to complete structural inspections of public buildings on the Loyalty Islands over the coming days. Aftershocks are common after a magnitude 6.6 event. They can continue for days or weeks, generally decreasing in size and frequency over time. The USGS updates its earthquake catalog in near real time. Any significant aftershock or revised magnitude will appear there first. Residents and travelers can check that catalog directly rather than relying only on secondhand reports, which is often the fastest way to confirm whether a felt tremor was a new event or simply an aftershock of Friday’s quake.

Frequently asked questions

How strong was the New Caledonia earthquake?

The US Geological Survey recorded it at magnitude 6.6, striking 80 kilometers east-northeast of Tadine at a shallow depth of 10 kilometers on September 25, 2026.

Was a tsunami warning issued?

No widespread tsunami warning was issued. Regional monitoring centers reviewed the earthquake’s characteristics and did not find grounds for a broad coastal evacuation.

What does a Green PAGER alert mean?

It is the USGS’s lowest alert tier, indicating a low estimated likelihood of significant casualties or damage based on the earthquake’s location, depth and magnitude.

Is New Caledonia prone to earthquakes?

Yes. The Loyalty Islands sit in a seismically active part of the Pacific that has produced several moderate-to-strong earthquakes in recent years, including a magnitude 7.7 event in 2021.

Were flights or shipping affected?

No advisories were issued for regional flights or shipping lanes, and New Caledonia’s main airport continued normal operations after the quake.

How earthquakes like this get measured and named

The USGS’s global seismic network automatically logs every earthquake above roughly magnitude 4.5, anywhere in the world, within minutes. Hundreds of monitoring stations triangulate the epicenter and estimate magnitude from the size of the recorded seismic waves. The “80 km ENE of Tadine” description is standard USGS shorthand. Rather than naming a quake after a single town, the agency measures distance and direction from the nearest significant population center to the calculated epicenter. That is why offshore events get described relative to the closest coastal town, even when people felt the shaking across a wider stretch of ocean and coastline.

Pacific travel and shipping coverage on Tamara News

Pacific weather and seismic disruption has been a recurring theme this month — see our reporting on Typhoon Dujuan’s disruption of Tokyo flights and Hurricane Nolo’s impact on Hawaii travel.

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