Between January and July 2025, over 10,000 layoffs were attributed to artificial intelligence (AI), according to data from Challenger, Gray & Christmas, which ranks AI among the top five reasons for job cuts this year. The AI sector has expanded beyond a few major tech companies, with multiple high-performing models emerging globally, contributing to the concept of "sovereign AI," as noted by Ren Ito of Sakana AI Labs. This rapid AI growth has triggered a data center boom across the United States, leading to a critical bottleneck in the nation's power grid, forcing big tech firms to build their own power plants. Environmental regulations dating back half a century are also slowing the construction of these massive AI infrastructure facilities. Meanwhile, Silicon Valley's intense competition for AI talent may provide short-term advantages but risks stifling broader innovation. Job openings for new graduates in tech have been halved, reflecting the impact of AI on the next generation of talent. Despite ongoing immigration debates, some Silicon Valley companies are proactively initiating green card processes for new foreign employees from day one to secure top AI talent.