The local community has raised some concerns about Rice Management Company's Ion project's effect on the Third Ward. Courtesy of Rice University

The city of Houston has been buzzing about Rice Management Company's Ion Innovation Hub — a 270,000-square-foot coworking and innovation hub project expected to deliver in 2021 — but there's one group isn't so thrilled with the plans: The Third Ward community.

In a public community meeting on November 12, community members gathered at the Wesley AME Church to plan a Community Benefits Agreement that would legally bind The Innovation District's development team and the Rice Management Company to move forward with the local residents' indicated best interests. According to the Houston Coalition for Equitable Development without Displacement, a newly formed group to work on the CBA, it would be the first of its kind in Houston.

The coalition is supported by Third Ward is Home Civic Club, the Emancipation Economic Development Council, the Texas Coalition of Black Democrats - Harris County, and the Houston Society for Change.

Gabriella Rowe, executive director of The Ion, presented the project's plans to the crowd, recognizing that innovation ecosystems across the country have issues with diversity.

"When you look around the tech ecosystems in the United States today, there are a couple things that stand out," Rowe says. "First and foremost is that they are extremely white and extremely male."

But since Houston is still developing its innovation infrastructure, Rowe says, the city has more opportunities to take the lessons learned from these other ecosystems and be more proactive about including diverse efforts.

One of the things The Ion is planning to incorporate to engage the community is a free coworking space — the only free coworking space in Houston, Rowe says. The Ion plans also include two public parks and community events, and both will be free and open to the public.

The Ion promises to bring free coworking, park space, and events to the area. Courtesy of Rice University

After the presentation, the estimated 150 community members in the crowd had the opportunity to address Rowe. While one local resident expressed concern with the non-inclusive verbiage The Ion is using — describing the area as "Midtown" over the pre-gentrification descriptor of Third Ward — other concerns surrounded the lack of diversity of the decision makers on the project.

"For me, that's where we need to start, which is in diversity," says Rowe, who mentions she has diversity among her programming team. "I look to all of you to come to get included in our team as we're growing."

Another concern that was raised was the job opportunities on the construction site itself. While Rowe didn't mention any specific job opportunities in construction, she did say she had been asked by the Rice Management Company to tap local artists to design the fences surrounding the site.

The meeting pivoted toward a discussion about the CBA and the importance the agreement would have moving forward. Assata Richards, founder of Sankofa Research Institute and local activist, and Mary Claire Neal, a Rice University student and leader of the Students for a Just and Equitable Innovation Corridor, and Carl Davis, chair of the Houston Society for Change and a representative of the church, have teamed up to move forward with the agreement.

Texas Appleseed, a group of volunteer lawyers, has agreed to help create and enforce the agreement, and Jeffrey Lowe, associate professor in the department of urban planning and environmental policy at Texas Southern University, has also advised the organizations.

"We've been told what's going to happen, but there's no binding agreement to make sure that it's going to happen," Richards says. "Those are just nice wishlists."

Moreover, the initiatives that have been suggested, enforceable or not, aren't enough, Richards adds, again stressing the importance of the CBA.

"We're going to be smarter this time. We're going to work with the people who have the power and make the decisions," Richards says. "You're doing all this development and come and tell me that you want art outside the building? We're talking millions of dollars of construction."

While the terms of the CBA are still in the works, some of the requests mentioned in the meeting include jobs, preservation of communities of color, affordable housing initiatives, access to affordable groceries, and opportunities for minority and African American-owned businesses.

The Ion Innovation Hub Proposed Site PlanThe Ion Innovation Hub Proposed Site Plan was included in notes pre-released ahead of the Houston Planning Commission's November 14 meeting. Photo via HPC

Neal proceeded with a presentation of actionable ways students and community members can get involved and make their voices heard. Her presentation included new concerns following the release of the master plan of The Innovation District, which the Houston Chronicle released earlier this week. The plans included a parking area that will be the next construction project following The Ion. The variance request is headed to the planning commission on Thursday.

"That's a two-day turnaround and it's the first opportunity for us to do something," Neal says. The group is intending to at least acquire a delay in the variance request moving forward.

The meeting wrapped up with a call to action for local residents as well as students. Since The Ion will include local academic institutions, student and alumni input is crucial.

"We want you to hold up and pause and think carefully on how this development is going to benefit and affect the community," Richards says.

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Houston lab explores how AI bots can help the elderly

AI for aging

The University of Houston’s Empathetic Lifespan AI & Robotics for Aging (ELARA) Lab is currently conducting research into how AI bots may be able to help the elderly live more social and independent lives through several ongoing initiatives.

The lab officially launched last month as part of the Gerald D. Hines College of Architecture & Design under the leadership of Assistant Professor Chorong Park. Part of the lab’s mission is tackling ongoing problems with aging, such as dealing with disabilities and social isolation. Researchers’ current work is focused on designing a new AI companion bot specifically tailored to the needs of older people.

“We need to take all the needs of older adults seriously,” Park said in a news release. “They won't use the robot if they don't feel at ease or if they feel they are being constantly watched.”

The field testing of new AI bots in this population hopes to overcome several traditional obstacles in technology use among the elderly. A study by Park shows that many older people have a fear of overt surveillance when using advanced AI. There is also ageism to consider. Most new technologies are designed with younger and employed buyers in mind, not retirees who may need help remembering daily tasks or accessing important information.

“The more older adults are excluded from technology development, the worse those technology gaps will become,” Park said. “AI and the majority of technologies are created for younger people, so my research method integrates older adults directly into the design process.”

ELARA recently collaborated with the Mamie George Community Center in Richmond, Texas, to track seniors’ response to desktop AI bots like Emo and Cupboo. Researchers also had participants use air-dry modeling clay to create their ideal robotic companion.

While the eventual AI bot may be able to help the elderly feel less isolated and more supported, there are concerns to consider. A study published in the Asian Journal of Psychology charted the development of delusional thinking in a 72-year-old woman who became convinced the empathic-response bot was in love with her. The rise of “AI psychosis” has the potential to exacerbate mental health problems, particularly in socially isolated people, which a quarter of Americans over the age of 65 are.

ELARA’s research is focused on creating “pet-like” AI models with enhanced trust cues. If it can overcome the dangers of socially isolated people relying on AI for companionship, it could be a big step forward for independent aging.

SpaceX IPO set to be biggest ever and could make Elon Musk a trillionaire

IPO News

SpaceX says it plans to raise up to $75 billion when it goes public this month, setting the stage for the largest-ever stock market debut and putting Elon Musk on course to becoming the world's first trillionaire.

The company, formally known as Space Exploration Technologies Corp., said Wednesday it will sell 555.6 million shares at $135 a piece in an initial public offering. The estimated proceeds would easily top the $26 billion raised by oil giant Saudi Aramco in 2019. The offering would also give SpaceX a market value of $1.77 trillion. Only six companies in the S&P 500 are currently worth more, with Nvidia tops at $5.2 trillion.

Besides the size of the offering and the expected proceeds, SpaceX's amended prospectus updates details about how much control of the company Musk will have. As SpaceX's CEO, chief technical officer and chairman, Musk's voting power will come primarily through his ownership of 5.22 billion Class B shares, which give the holder 10 votes for every share held. According to the filing, Musk would have 82.4% of the voting power in the company.

Forbes currently values Musk's net worth at $826 billion and his stake in SpaceX at $542 billion. The estimated value of his SpaceX holdings was based on an overall value for the company of $1.25 trillion. Based on those numbers, a $1.77 trillion valuation for SpaceX would boost Musk's net worth by $223 billion, making him a trillionaire. However, much of Musk's worth is in stock that he has yet to cash in.

Even as it makes a bid for a blockbuster market debut, SpaceX is currently losing billions of dollars a year. The filing shows that the company lost $2.6 billion from operations last year on $18.7 billion in revenue, and the losses kept piling up at the start of this year, too.

Fantastical plans

Time will tell how SpaceX fares on the market. Musk's plans for the company are as fantastical as the money he hopes raise in the sale.

Colorful, even frightening in parts, the IPO document strikes a contrast with the typically dry, technical prose in IPO documents, detailing plans to use proceeds from the sale to help put men on the moon again and perhaps even Mars. In one section, it talks of a need to build "a permanent human colony" on the red planet with "at least one million inhabitants" as existential threats loom that could consign man to "the same fate as the dinosaurs."

Musk has almost equally ambitious plans for his other publicly traded company, Tesla. His goal is to transform the maker of electric vehicles into a producer of robotaxis and humanoid robots. Dan Ives of Wedbush Securities wrote in a research note that he expects Tesla and SpaceX to merge next year.

AI plays a key role

Key to the success of both companies — and any merged entity — is artificial intelligence. In its IPO filing, SpaceX says it sees potential revenue from AI of up to $26.5 trillion. But that depends on another lofty Musk ambition — putting data centers in space, which is not technologically possible at the moment.

Transforming his space company into a primarily AI-focused company will be a challenge for Musk, who started xAI in 2023 with 11 other co-founders who have all since left. Some were recruited away by rivals.

Its main AI product, the chatbot Grok, is "less impressive than anything that we see from any other major player in the space, whether that's OpenAI, or Anthropic, or (Google's) Gemini," said IDC analyst Arnal Dayaratna.

Dayaratna said that doesn't mean SpaceX doesn't have potential as a major AI player, thanks in part to its computing partnership with Anthropic and Musk's recent deal that gave SpaceX the rights to buy AI coding tool Cursor for $60 billion later this year. Folding in Cursor's capabilities would give SpaceX access to the coveted business customers now using Anthropic's Claude or OpenAI's ChatGPT.

SpaceX plans to use the net proceeds from the IPO to fund the expansion of infrastructure for its AI and rocket businesses, and to beef up the constellation of satellites that power Starlink Mobile, among other investments.

The company plans to list on the Nasdaq under the symbol "SPCX" and could begin trading as soon as the end of next week.

And SpaceX isn't the only colossal market debut investors are now bracing for. Earlier this week, Anthropic submitted a confidential filing with the U.S. Securities and Exchange Commission to officially start its own IPO clock.

OpenAI has not yet reported filing the initial SEC paperwork, but an IPO from the ChatGPT maker is widely expected.

"This listing represents the first major test for public markets after years of muted IPO activity with SpaceX paving the way for AI giants Anthropic and OpenAI to follow soon after," Ives wrote.

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Associated Press Technology Writer Matt O'Brien contributed.

New UH survey reveals concerns over AI data center growth in Houston

data findings

A new report out of the University of Houston shows that area residents remain wary of the long-term effects of operating data centers.

The recent survey from the University of Houston’s latest SPACE City Panel, conducted by the Center for Public Policy at the Hobby School of Public Affairs, shows that while 85 percent of Houston-area residents use AI, nearly 63 percent oppose the construction of AI data centers within 1 mile of their homes.

Respondents’ concerns centered around data centers’ high energy demand and the area’s power grid reliability. According to the survey, 32 percent of residents who oppose local data center projects would be more likely to support the centers if they relied on renewable energy over fossil fuels.

“Respondents understand that AI can bring economic and educational benefits, but they are also concerned about the physical infrastructure needed to fuel AI, especially data centers,” Soran Mohtadi, post-doctoral fellow at the Hobby School and a researcher on the report, said in a news release. “This physical infrastructure demands more electricity and water, leading to environmental impacts.”

Experts estimate that 6.5 gigawatts of data center capacity will be added to the Texas grid by 2030. And Houston’s data center capacity is predicted to more than double by 2028.

The Electric Reliability Council of Texas also projects electricity demand could reach 218 gigawatts by 2031, which would be more than double the record peak set in August 2023. Data centers are expected to account for 86 gigawatts of that new demand.

Survey respondents also said they are concerned about the state's future water supply, given the large amounts of water that data centers need to stay cool.

In terms of who’s responsible for that issue, 57.6 percent of respondents said they put the onus on Texas lawmakers, while 31.5 percent say tech companies should be responsible.

Additionally, more than 75 percent of respondents believed that data center developers and technology companies—not residents—should bear the cost of infrastructure upgrades to support data centers.

“Every decision legislators make has implications on residents’ everyday lives and local infrastructure now and in the future,” Maria P. Perez Arguelles, lead researcher on the report and research assistant professor at the Hobby School, added in the news release. “This issue is going to become more important in years to come, so this is just the beginning.”

Read the full report here.