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The Story Is with Elex Michaelson
CNN Projects Democrat Aisha Wahab Wins Swalwell's House Seat; Trump & Fmr. Fixer Michael Cohen Reunite After Yearslong Feud; Trump's Falling Approval Ratings Lower His Leverage; 75k Still Without Power In Indiana After Last Week's Storms; Hospital Chaplain Testifies In Lindsay Clancy Trial; FBI Says It Foiled A Plan To Bomb New York State Capitol; Flock Cameras In 33 States Are Being Vandalized; Romanian F- 16's Hit Suspected Russian Marine Drone; Pyongyang Silent On Trump's Stated Overture To Kim; Axios: Data Centers Playing Major Role In Midterm Elections; Prince Harry & Family To Move Back To Britain From The U.S. Aired 12-1a ET
Aired August 21, 2026 - 00:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
[00:00:00]
LAURA COATES, CNN HOST: Thank you all for watching. "The Story Is" with Elex Michaelson is next.
ELEX MICHAELSON, CNN HOST: I'm Elex Michaelson live in Los Angeles.
Coming up, the story is making nice from trusted fixer to sworn enemy, and now, an unexpected union. Donald Trump and Michael Cohen are talking again. But have they really buried the hatchet? What's really going on here? That's ahead.
The story is and I, quote, "flock off." The backlash over flocks surveillance cameras which use AI to track vehicles reaching a boiling point. Police like them, but protesters want them gone. We'll take an in-depth look at what's happening.
And the story is Swalwell's seat millions spent to stop Aisha Wahab. But now, the Democrat is heading to Congress. How she scored a victory with implications that reach well beyond the Bay Area? You see her standing by there live. Her first national interview since being declared the victor exclusively here on "The Story Is".
UNIDENTIFIED MALE: Live from Los Angeles, "The Story Is" with Elex Michaelson.
MICHAELSON: We start here in California where it's 9:00 p.m. CNN is projecting that the special election in the 14th Congressional District finally has a winner. Our decision desk says Democratic State Senator Aisha Wahab will win Tuesday's vote. She defeats Melissa Hernandez, the President of the Bay Area Rapid Transit Board.
Wahab will serve until the next Congress is sworn in in January, filling the vacancy left by Former Congressman Eric Swalwell. He resigned in April following allegations of sexual misconduct which he denies. Meanwhile, federal authorities are moving forward with their investigation into Swalwell. Agents seized electronic devices from him at the San Francisco airport over the weekend, and also raided his home in Washington. No comment from Swalwell or the FBI.
Sources say the raids are connected to claims of sexual assault. He's being investigated by both the Manhattan District Attorney's Office and the LA Sheriff's Department. One former staffer accused Swalwell of raping her which he once again denies.
But joining us live right now from Fremont is Aisha Wahab, which for the first time, we can say Congresswoman-Elect Wahab. How does that sound to you?
AISHA WAHAB, DEMOCRATIC CALIFORNIA STATE SENATOR: Thank you. Thank you so much.
It sounds good. It sounds perfect.
MICHAELSON: I mean, you know, this runoff election was a lot closer than the first round. Let's put numbers from round one. You were up nearly 43 percent to 17 percent in round one against Melissa Hernandez, a crowded field there.
The runoff goes down to the top two. That runoff currently at 53.1 to 47 percent. What's the big difference including, you know, lesser candidates? Well AIPAC spent a lot of money. Here's portion of CNN's reporting on this. We'll put it up on the screen.
"Ahead of Tuesday's runoff, AIPAC's Super PAC arm, United Democracy Project, injected nearly $2 million in advertising attacking Wahab and supporting Hernandez into the race according to AdImpact data, with another $1.9 million coming from BOLD America, a group that also receives funding from AIPAC."
Should AIPAC be afraid of you in Congress? And do you support U.S. taxpayer funding weapons for Israel?
WAHAB: No, I don't support weapons going out of this country. I think that there's a time and place for war, but just needless war is unnecessary and I've been very clear about that. I believe in human rights across the board.
I've said it a million times as a former foster youth, I think that we should care about the foster youth here in this country and in this county, as well as the kids being detained under United States ICE detention centers, as well as the kids abroad. And what we are seeing is not the American Dream or really upholds the American value system across this world.
So I think that it's a concern. I do believe in a strong relationship with all countries and all nations. And the United States needs to practice better diplomacy even with nations where we don't necessarily like their leadership or care for their leadership. And so I think that there is a difference in international relations and how we have gone about it in the last three decades. [00:05:05]
And I will say I'm a kid that grew up in the 9/11 era, and we've seen war after war after war, endless war that didn't actually serve a purpose and created more instability in those regions which actually does affect both Europe and the United States negatively.
MICHAELSON: I know you've called what Israel has done in Gaza a genocide. The other side would say that Israel has been one of America's greatest allies over the years and it's important to have support that state in the Middle East. What do you say to that, that Israel itself may not be able to exist without the support of the United States?
WAHAB: Two things can be true. You know, as I stated, Israel can be an ally to the United States but at the same time, we should have the right as American citizens to criticize any foreign nation and their direction. I think that the fact that Israel has bombed multiple countries and largely expects the United States to defend them at every turn, it is our responsibility to say, hey, we're going to kind of rein this in because this is causing a lot of damage to the American people.
American soldiers are giving their lives for unnecessary wars and conflict. And, you know, I have called it a genocide but I also want to be very clear, human rights is not a zero-sum game. You can support the Palestinian people and their right to exist as well as supporting the Israeli people and their right to exist.
MICHAELSON: So you're facing off against Melissa Hernandez again in November for the full term.
WAHAB: Yes.
MICHAELSON: We spoke to her live on election night and I asked her what's the biggest difference between the two of you. Watch what she said.
(BEGIN VIDEO CLIP)
MELISSA HERNANDEZ, U.S. HOUSE DEMOCRATIC CANDIDATE: I truly believe that the biggest difference is people know who the Melissa Hernandez is and who the Melissa Hernandez has been. And so, when I knock on those doors, it's definitely me being able to engage with voters to be able to engage with residents within this district.
(END VIDEO CLIP)
MICHAELSON: What do you think she's insinuating there and how do you answer that question about what's the biggest difference between you two?
WAHAB: Well I don't think anybody knows the real Melissa Hernandez and primarily because she has told Republicans she's endorsed by Republican leaders, she's going to work with Republicans. She supports Republican values and then she tells Democrats that she's going to fight Trump and much more.
She's also distorted my record stating that, you know, I'm a member of DSA and I'm a socialist and radical and all these dog whistles from darkening my skin to doing a lot of questionable things. She has not denounced it or anything like that.
I will say for me, our race has always been to try to focus on the positive, try to bring people together to understand that this is one community. That we have to protect our most vulnerable community members as well as uplift the entire community, right, even if we don't necessarily understand them.
As hopefully as a Congress member, I want to be able to work with my Republican constituencies, serve them, as well as the people that did not vote for me, that also have supported me. And that is kind of the leadership that I'd like to embody and I have embodied as a state senator.
I will also say that this election and the value system that I have is I have a record. I have capped insulin at $35 for a 30-day supply, capped HOA fines to $100, fought, you know, people wearing masks and literally kidnapping people, protected women and children and so much more.
As a kid who ended up in the foster care system because my father was murdered, you know, I prioritize victims first, right?
MICHAELSON: Yes.
WAHAB: Not only victims, but the most vulnerable community member.
MICHAELSON: And I'm out of time, but just in like one or two sentences. You're the first Afghan American elected to Congress. You're going to be the first to ever serve there. You mentioned the 9/11 generation. What does that mean to you?
WAHAB: It's an honor of a lifetime. It is the American dream to go from foster care to, you know, refugee parents to Congress. That is the fabric and the beauty of the American Dream. It is possible -- so I'm very proud of that.
And to serve this district, you know, that's my ultimate goal and to really uplift the United States and the people. The people of this country deserve better and that is the frustration with both parties, is that we need to refocus --
MICHAELSON: Yes.
WAHAB: -- on the people and course correct.
MICHAELSON: Aisha Wahab, her first national interview with us here on "The Story Is" live from Fremont, California. Again, Congressmember- Elect, congratulations. Thanks for being with us.
WAHAB: Thank you, guys. MICHAELSON: Michael Cohen and Donald Trump appear to have buried the hatchet at least for now. New radio interview is shedding light on their reconciliation. Cohen was the President's former personal lawyer and fixer before becoming a fierce foe.
After their falling out, things got pretty nasty. Eight years ago, Cohen pled guilty to eight criminal counts in the hush money case and became the star witness in President Trump's own criminal trial. Here are some of the insults that they exchanged.
(BEGIN VIDEO CLIP)
[00:10:07]
DONALD TRUMP (R), PRESIDENT OF THE UNITED STATES: He's a weak person. And by being weak unlike other people that you watch, he's a weak person.
MICHAEL COHEN, TRUMP'S FORMER PERSONAL LAWYER AND FIXER: I know what Mr. Trump is. He is a racist, he is a con man, and he is a cheat. Mr. Trump called me a rat for choosing to tell the truth, much like a mobster would do when one of his men decides to cooperate with the government.
TRUMP: But, you know, he's a sleazebag. Everybody knows that.
(END VIDEO CLIP)
MICHAELSON: President Trump was wounded by the betrayal and Cohen, the only person to serve time for the President's scheme, made it clear he felt he'd been left out to dry. Their radio conversation, which the President taped from the White House, shows how they have, at least for now, put an end to the previous animosity.
(BEGIN VIDEO CLIP)
COHEN: How are you doing, sir? Welcome.
TRUMP: I'm good.
COHEN: Welcome.
TRUMP: Doing good. Country is doing good.
COHEN: Well, thanks to you, sir. So I want to go back to 2016, if we can, because you and I have obviously traveled a pretty rocky road together. You remember? Do you remember, sir, when I went on CNN with Brianna Keilar and she told me that you were underwater in the polls and I responded with those famous two words, says who, which became some worldwide meme and --
TRUMP: And advocate, and then they weaponized you like nobody's ever been weaponized like few have been.
COHEN: Well, maybe just you and I, sir. But -- TRUMP: And you -- yes, me too, but I don't consider mine, you know,
mine was at a level that nobody's ever seen before. But they weaponized you. They weaponized a lot of people. And I respect the fact that you recanted.
COHEN: Yes.
TRUMP: Everything you said, and that's a big thing that you did.
(END VIDEO CLIP)
MICHAELSON: Let's talk about this with our panel, Former L.A. Mayor Eric Garcetti, Former U.S. Ambassador to India as well, and Political Strategist Mike Murphy, who's worked for years with the Republicans, not a big fan of Donald Trump and the co-host of the "Hacks on Tap" podcast.
Welcome, both of you. Good to have you on the panel for the first time, Mr. Mayor.
ERIC GARCETTI, FORMER LOS ANGELES MAYOR: Thank you. Well, it's great to see you.
MICHAELSON: So what's really going on here? It seems like there might be more to this story.
GARCETTI: Well, two things I would say. They always say the cliche in politics is there's no permanent friends or no permanent enemies. I never bought that. But Donald Trump is helping me actually believe that.
And second, I think distraction, distraction, distraction. When a war seems to have no end, when gas prices seem to still be high, when the economy is sometimes in freefall, what do you do? Bring it back to the soap opera, bring it back to the reality show.
And if you're following that, there's little that is as juicy as this reuniting. But it really is a way, I think, from where the average American is and what she or he is concerned about.
MICHAELSON: And maybe back to a place where Donald Trump likes to think about, which was the early days when this campaign won in 2016.
MIKE MURPHY, POLITICAL STRATEGIST & HOST, "HACKS ON TAP" PODCAST: Yes. To be honest, Elex, I couldn't be more bored with those two, particularly Cohen. Who cares what he thinks? This is two liars in love. I hate you. It's pro-wrestling.
I have a feeling that Cohen's probably broke. You know, there's some business involved. That's just a suspicion I have. But the stakes couldn't be lower. And I agree with the Mayor.
Meanwhile, we're paying minibar prices for gasoline. You know, meanwhile, we have an unstrategic war that's draining our missile munitions. And we're forcing these kids on the carriers. By the way, that ship is keeping huge operational readiness despite all this. You got to hand it to that crew and the quality of the U.S. Navy. But there's all this big, important stuff going on and a slappy fight between those two. Least important thing in the world.
MICHAELSON: So President Trump's poll numbers is at record lows. Reuters/Ipsos --
MURPHY: Yes.
MICHAELSON: -- now at 33 percent approval rating. You're a longtime Republican strategist. You've won a lot of Senate races. You've won a lot of House races. You've had to deal with midterms that are going well and midterms that are going bad.
If you're advising Republican candidates right now, what do you say? How do you deal with President Trump?
MURPHY: Build a time machine. So here's the problem. Donald Trump doesn't seem to care about the party getting reelected at all. Most presidents, when their numbers go to hell, immediately say, all right, we need a couple of smoke bombs. We need a new topic, some new faces around here. What's the change up?
He just puts his finger back in the light socket. You know, he doubles down on pain. So they're sitting over there in the Senate with a big crate of whiskey in front of them thinking, what the hell? These are Republican seats and we may lose them because the guy in the White House doesn't give a damn about us and he's not doing anything to help us out.
So it's incredibly rare in American politics to have a President on this kind of political suicide path in the midterms. But that's what he's doing. And he's running out of time. All he talks about, like, you know, I'm going to slander the poor man, but I think he's a little crazy, because crazy people like to talk only about things they are obsessed with.
[00:15:00]
In his case, building the big ballroom, who he is mad at this week. He's not talking about anything relevant to the voters he needs to survive.
MICHAELSON: That being said, Mr. Mayor, we've seen a lot of Democratic incumbents lose as well. There's a lot of anger on the left. There's anger on the right. There's anger in the center. How do you see the state of where voters are right now?
GARCETTI: First of all, thanks as a 12-year Navy guy. Shout out to our men and women on that ship and who are abroad right now. But I think that you're exactly right. Democrats, too, are facing some of the same headwinds.
Now, luckily, they don't have somebody like Donald Trump as visible. But you can see in Florida, you can see in Wisconsin, you can see in Texas, you can see in Louisiana, you can see in Wyoming that whether you're Democrat or Republican, you can make your case.
Somebody far right is winning in Texas and Louisiana. But in Wyoming, it's a centrist Republican. Same thing in Wisconsin. We elected a centrist over what was supposed to be a Democratic socialist. But in Florida, the Democratic socialist won.
I think we're obsessed with ideology and where people are left and right when the average voter is like, I just want change. I want whoever's there to be gone. And I'm willing to try anything different. Even in New York, you probably have some people who voted for Donald Trump because that was his promise. And Mamdani because that was his promise.
Voters are fed up and they're sick of people talking about themselves. I think I agree with Mike. We want candidates who are actually talking about us, not about themselves.
MICHAELSON: And one of the issues that is animating people in a way that we haven't seen in a long time is AI data centers.
UNIDENTIFIED MALE: Yes, yes.
MICHAELSON: So when you guys come back in a little bit, we're going to get into a discussion about that, which is really powerful in politics right now. We'll see you guys hanging out for the next hour and a half.
We appreciate it, Mike Murphy and Eric Garcetti.
More than 29 million people are under flood watches in multiple states in the Northeast. Heavy drenching storms sweeping through New York City and other parts of the East Coast on Thursday. Look at this, bringing threats of significant flash flooding, tornadoes, damaging gusty winds. The severe weather is expected to end soon as the cold front driving the storm moves offshore.
And check out this video. This is wild. On Thursday, a tornado. Look at that. A roof comes off of a motel, literally pulls the roof off, wrecking other parts of the town as well. At least one man died after being struck by lightning on a beach in Virginia.
Tens of thousands of people in Northwest Indiana are still without electricity. They've been in the dark there for more than a week after deadly storms knocked down power lines across the region. Six adults and a four-year-old boy were killed in the storms that began last week there.
Almost a third of the 75,000 without power are in the majority black city of Gary, Indiana, of course, the home of the Jackson family. Residents lined up at community centers for hot meals and to charge their phones. People there have voiced frustration that they're being ignored, but utility officials there denying that.
The power company says electricity will not be fully restored until next Tuesday. That's a long time without power. An alleged ISIS-inspired plot to bomb the New York State Capitol has been stopped in its tracks. Still ahead, the suspect gets caught red- handed buying supplies to build a fake bomb.
Plus, a crime-fighting tool has become the target of vandals. Ahead, we'll tell you why flock cameras are provoking so much anger.
(COMMERCIAL BREAK)
[00:22:51]
MICHAELSON: Jurors in the trial of Lindsay Clancy heard testimony Thursday from Sheila Cavanaugh, Clancy's hospital chaplain. Cavanaugh met with Clancy following her suicide attempt back in 2023. Clancy is accused of strangling her three children in January 2023. She allegedly told the chaplain that she heard a voice in her head telling her to do things in order to keep her kids safe.
(BEGIN VIDEO CLIP)
SHEILA CAVANAUGH, HOSPITAL CHAPLAIN: She said to me as I held her hand to comfort her, "I am so glad my children are safe."
UNIDENTIFIED MALE: Was there any other conversation that you had with her?
CAVANAUGH: I replied theologically to Lindsay and I said, "Lindsay, your children are safe. They're safe in heaven with God." And I held her hand throughout that conversation and we prayed for them.
UNIDENTIFIED MALE: Did she make any other statements to you?
CAVANAUGH: She did. She alluded to having heard a voice. And the voice, according to Lindsay, told her that if she did not follow the command, neither she nor her children would be safe.
(END VIDEO CLIP)
MICHAELSON: Clancy's defense attorney says that she should not be held criminally responsible for her children's death because she suffered from postpartum psychosis. Supporters of Clancy gathered outside the courthouse on Thursday wearing pink as a sign of solidarity. The weeks-long trial is starting to wrap up after prosecutors rested their case on Monday.
The FBI says it has foiled a plot to bomb the New York State Capitol in Albany. Officials say 35-year-old Jessica Bowie conducted surveillance of the building after pledging allegiance to ISIS. She later met with undercover agents who posed as the group facilitators. She went to Home Depot to buy what she believed were the supplies for the bomb.
On Wednesday, agents gave Bowie an inert explosive device before the FBI arrested her. She's been charged with attempting to provide material support to a terrorist group. According to the criminal complaint, Bowie said she wanted to destroy as much of the building as possible and kill senators while they're meeting. Her attorney declined to comment on the case.
[00:25:07]
The U.S. Justice Department is seizing the opportunity to defend Flock cameras, which are the automated street-side devices that read and record license plates.
(BEGIN VIDEO CLIP)
JOHN SARCONE, FIRST ASSISTANT U.S. ATTORNEY FOR THE NORTHERN DISTRICT OF NEW YORK: Whoever is against having those cameras -- what are they called, Chief? Flock cameras? Think about this, of what just occurred, what we prevented, OK? If you don't have Flock cameras, how are law enforcement going to detect and see somebody walking around possibly looking to blow up your state capitol or commit terrorist acts?
(END VIDEO CLIP)
MICHAELSON: But that's not how many Americans view Flock's nationwide network. CNN's Meena Duerson now on the growing outrage over what some see as the makings of a surveillance state.
(BEGIN VIDEOTAPE)
MEENA DUERSON, CNN CORRESPONDENT: So we're in downtown Minneapolis where hundreds of people have come out to protest against Flock.
UNIDENTIFIED MALE: Flock cameras, bro, I hate those things.
DUERSON: They're protesting what they say is surveillance that they didn't sign up for.
CROWD: No blanket (ph)! No blanket (ph)!
DUERSON: One of the biggest faces of this protest calls himself NoMark. He says he's a masked vigilante who's saving the country from Flock.
DUERSON (voice-over): Flock license plate cameras use AI to track vehicles. Police contract with the company using its national database to find stolen cars and missing people. But dozens of officers are now accused of misusing the data, like a cop investigators say searched for his ex 717 times.
In videos that have gotten millions of views, NoMark destroys the cameras, making him a hero to a growing following angry over surveillance.
UNIDENTIFIED MALE: Let's go, let's go.
UNIDENTIFIED MALE: I took down a Flock camera in honor of you.
UNIDENTIFIED MALE: Did you actually?
UNIDENTIFIED MALE: Yes. Yes, yes, bro, yes.
UNIDENTIFIED MALE: Oh, look at that.
DUERSON: Oh wow, someone got this one.
UNIDENTIFIED MALE: Someone beat me to it. It seemed like, you know, every like week I would see a new article about how these cameras are being misused, how they're being used to stalk people.
DUERSON: When you hear law enforcement talk about all the uses, you know, for these cameras, what's your reaction?
UNIDENTIFIED MALE: Flock cameras haven't been here forever. Crimes, they can solve crimes without them. But I think for every crime that these cameras solve, there's 10 issues with them.
DUERSON: What to you makes these cameras different? Because there's surveillance cameras everywhere.
UNIDENTIFIED MALE: They can look up exactly where you've been. It stores your information. Like if they put it in your license plate, they can have it. You know, this person is right here right now.
DUERSON: Do you feel like it's too much information?
UNIDENTIFIED MALE: I think it's way too much information. I think it's way too powerful, especially, you know, you don't even need a warrant to search it. You can look up anyone, even if they're, you know, suspected of a crime or not.
DUERSON: Flock is one of a handful of companies that make ALPRs, which is an automated license plate reader. And they work by capturing when your vehicle goes past them, the license plate, but also any markings on the vehicle that are distinguishing.
Flock says they have over 120,000 cameras across 49 states.
DUERSON (voice-over): Anger against Flock has now reached a fever pitch. We found its cameras have been vandalized in more than 33 states. Earlier this month in Winona, Minnesota, police announced that every single Flock camera in town had been stolen.
DUERSON: This is one of the eight cameras that Winona police say were cut down by vandals.
UNIDENTIFIED MALE: (INAUDIBLE) the Flock camera.
DUERSON: Did you get that? This guy just drove by and shouted, (INAUDIBLE) the Flock cameras. That seems like basically the sentiment that led to these getting chopped down in the middle of the night.
JEROME CHRISTENSON, WINONA, MINNESOTA CITY COUNCIL MEMBER: Yes, that's the post. You bet you.
DUERSON: So somebody just cut this off?
CHRISTENSON: Just got up here and (INAUDIBLE).
DUERSON (voice-over): Jerome Christenson is on the city council here in Winona.
DUERSON: What do you think should happen?
CHRISTENSON: I'd put them back right where they were. I think that they provide a useful tool for our local police catching the bad guys.
DUERSON: Do you think that these are legitimate concerns that people are having?
CHRISTENSON: Of course they are. AI is creeping into our everyday lives. We're on the edge of the profoundly unfamiliar.
DUERSON (voice-over): Nearly two weeks after the cameras were stolen, Winona police announced they would not be replaced.
UNIDENTIFIED MALE: Yes, so I am prepared to talk about the horrors of Flock cameras and surveillance, et cetera. I'm now going to say thank you to all of you.
UNIDENTIFIED MALE: While I don't like rewarding bad behavior, I'm glad to see the Flock cameras gone.
CHRISTENSON: For the moment, we're not going to rush out and buy new cameras and put them up and make a big deal out of it. Just let it settle down. It'll go away.
DUERSON: Do you think people are going to forget about this?
CHRISTENSON: Oh yes, yes, yes. As soon as the football season starts. If the Vikings start winning, nobody in Winona is going to pay a whole hell of a lot of attention.
DUERSON (voice-over): Last week, Flock announced changes to address criticisms, shortening the time the company stores data and adding safeguards to flag inappropriate lookups.
[00:30:05]
In an interview with CNN, CEO Garrett Langley apologized to those who felt they'd been victimized by the technology.
GARRETT LANGLEY, FOUNDER & CEO, FLOCK: I'm sorry that the system has failed you. I'm sorry that you no longer trust the police department that's job is to protect you.
DUERSON: Does Flock take accountability?
LANGLEY: I think the whole industry does. You know, we have an obligation to make everyone feel safe.
DUERSON (voice-over): But the backlash shows no sign of slowing down. Anti-Flock activists behind the page DeFlock say they've tracked over 100 cities who've stopped using the cameras. Politicians on both sides of the aisle are now calling for the cameras to be regulated or even banned.
DUERSON: Do you think that there is a movement towards this kind of vigilante justice? You think it's like a dangerous way to go?
UNIDENTIFIED MALE: I think a lot of people feel that the system is not working right now. So people are starting to take it into their own hands. I mean, I wish people didn't have to do that.
You know, I wish the system just worked. I think it is a little dangerous. I think it's a little scary that people do this. But, I mean, I do think it's nice to see people fighting back.
DUERSON (voice-over): Meena Duerson, CNN, Minneapolis.
(END VIDEOTAPE)
MICHAELSON: Romania says it has prevented a suspected Russian attempt to strike its offshore natural gas project. Still ahead, how this naval drone was neutralized before it reached its target?
(COMMERCIAL BREAK)
[00:36:04]
MICHAELSON: The European Commission is warning about the growing threat of hybrid warfare following a new incident on Thursday. This video shows Romanian F-16 jets striking a marine drone near an offshore gas project in the Black Sea. Romania says it believes the explosive packed drone was launched by Russia.
Meanwhile, the Kremlin is not letting up on its attacks on Kyiv, where air raid alerts sounded at least three times on Thursday. That followed a massive barrage of strikes the night before when Ukraine said at least 17 people were killed and dozens were wounded. The attacks damaged a school, a hospital and residential buildings drawing sharp international condemnation.
The annual U.S. South Korean war games will end in the coming hours, five days ahead of the original schedule. President Trump scaled him back, saying he made a new outreach to North Korean leader Kim Jong- un. But despite the apparent goodwill gesture, no one in Pyongyang is confirming that the two leaders are even in touch.
CNN's Will Ripley reports from the region.
(BEGIN VIDEOTAPE)
WILL RIPLEY, CNN SENIOR INTERNATIONAL CORRESPONDENT (voice-over): Tonight, a new suspected ballistic missile launch from North Korea, the third test South Korea and Japan tracked just this month. But North Korean state media is unusually silent as one of Pyongyang's most powerful voices pushes back on President Trump's latest claims about Kim Jong-un.
The North Korean leader's younger sister, Kim Yo Jong, says she knows absolutely nothing about any recent communication between her brother and Trump. "Perhaps it is the only matter I do not know about in relation to our supreme leadership's foreign policy," she says. The statement follows an extraordinary few days. Trump touting how great he gets along with Kim, posting this old picture and even a meme of Kim on the phone, saying, "Hey, Donald, we cool, right?" At Trump's direction, U.S. and South Korea are abruptly cutting their biggest summertime military exercise from 11 days to five. Trump calling the exercises costly and hostile, blaming Seoul for failing to help denuclearize Iran.
Kim's sister seems unimpressed. "Reducing the scale or duration of an exercise does not change the nature of military exercises that are provocative and aggressive," she says. South Korea's President, Lee Jae Myung, posting on X, he respects President Trump's effort to create conditions for dialogue and says he hopes it can restart talks with Pyongyang.
TRUMP: Yes, I will be.
RIPLEY (voice-over): Trump telling reporters he plans to meet with Kim this year.
TRUMP: He has 57 very powerful nuclear weapons. Should it never allowed it to happen. They should have never allowed it. If I would the president, I wouldn't have allowed it.
RIPLEY (voice-over): But experts say Kim's nuclear arsenal has only grown since Trump's historic diplomacy during his first term ended with no deal. And Kim is no longer nearly as isolated. His closest military partner now, Russian strongman Vladimir Putin.
This weekend, as Trump was posting about Kim, Kim was publicly praising Putin and their anti-U.S. alliance, invoking their shared struggle for justice. North Korea is supplying weapons and manpower for Putin's war in Ukraine, giving Kim's military modern combat experience. Kim's sister acknowledges her brother still has personally good memories and feelings toward Trump, but says, "Nevertheless, the United States' hostile policy has not changed."
In fact, earlier this year, the North Korean leader told his parliament the Iran war proves he was right not to give up his nuclear weapons. "The United States is now resorting to acts of state- sponsored terrorism and aggression," he said. "The hostile forces wanted us to make a different choice, preaching a payment for our giving up of nuclear weapons. But the present situation clearly proves our nuclear possession is irreversible."
(END VIDEOTAPE)
RIPLEY (on-camera): So if denuclearization is off the table, as North Korea insists it is, then the big question becomes, what do Trump and Kim actually have to talk about? As for the timing of a potential meeting, the Wall Street Journal is saying possibly November, when President Trump is scheduled to be here in this region.
[00:40:02]
But last year, President Trump floated the idea publicly of a meeting with North Korea, and they never responded. Will Ripley, CNN, Hong Kong.
MICHAELSON: We'll see what happens next. Will, thank you.
The midterm election is just around the corner, and an issue driving voters is AI data centers. After the break, our panel discusses why this issue is pushing candidates to change their stances. Eric Garcetti, Mike Murphy, back next.
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MICHAELSON: Data centers have become a major issue in the upcoming midterm elections. Axios reports candidates from both parties are now distancing themselves from projects their party leaders have courted for years. On Tuesday, Pennsylvania Governor Josh Shapiro imposed new guardrails on data centers as his Republican opponent, Stacy Garrity, accused him of, quote, "rolling out the red carpet for the industry."
Now, the shift comes amid growing public backlash over data centers. In Wisconsin, Republican gubernatorial candidate Tom Tiffany is running attack ads calling his Democratic opponent data center David Crowley. Remember, Democrat Frances Hong ran against data centers in that primary, she lost ultimately to Crowley.
Those are just two examples of a much bigger political shift. Let's talk about this and more with our panel. Mike Murphy, Longtime Political Strategist and Host of the "Hacks on Tap" podcast, Former U.S. Ambassador to India, and former L.A. Mayor Eric Garcetti. Welcome back.
So let's put up this Axios story up on the screen. And here's what it says in terms of the headline. "Data center uproar scrambles the midterm elections." Some of the states we're talking about here, put this up on the screen as well.
Ohio, Texas, Pennsylvania, Wisconsin, Wyoming, Michigan all having this data center issue. And all of it, Mike, not necessarily the Republican Democratic divide. Why is this issue so passionate, so personal for so many people?
MURPHY: It's hit a huge chord. And I asked ChatGPT about it, which says data centers love puppies and children and leave them alone. Now, what's happening here is it's a perfect storm on the right and the left because it's not like a NIMBY, Not In My Back Yard thing. It's much bigger than that because everything that scares people about technology right now.
My kids on the screen too much. Big brother knows everything about me. An AI computer is going to take my job as a paralegal in two years. How can I fight that? What do I do? Break my phone? No. But that big box full of computers they want to build eight miles from here, I can fight that.
It's also driving for many people a concern about power, electricity bills --
GARCETTI: Yes.
MURPHY: -- and water, you know, environmental impact. Now, the problem is if we don't build any data centers and our friends over in the People's Republic of China build all the data centers, my advice to my kid is learn Chinese --
MICHAELSON: Yes. Well, and --
MURPHY: -- because it's also very important economically.
MICHAELSON: And they're not huge on the environmental regulations and --
MURPHY: No, no. Well, protests don't necessarily work as well.
MICHAELSON: Yes, yes.
MURPHY: It's a good way to get three squares a day behind bars.
MICHAELSON: But on that word power, which Mike mentioned, and he's obviously referring to the actual power --
GARCETTI: Yes.
MICHAELSON: -- but there's a power dynamic of this too, where the, quote unquote, you know, "AI oligarch overlords" --
GARCETTI: Yes.
MICHAELSON: -- who were at the inauguration were making all of this money while all these people are losing their jobs. And a lot of people feel like this is an opportunity to give them a middle finger.
GARCETTI: 100 percent. It's like, it's the prism for our anxiety right now. You know, you see folks who are paying 20 percent within a couple of months more on their power bills. We're seeing water levels at a record low here in the West. And suddenly people are saying those guys get the power and the water first.
I was in deep red Indiana where my wife's from and saw spontaneous signs that were coming up, save our water, protect our power bills. This is a truly grassroots movement. And there's a group of mayors who have now come together that I've worked with through C40 cities that have put a global pact together saying, we're not necessarily against these, but make sure it's renewable power so we're not actually adding to the crisis that we see.
Make sure you're saving our water, keeping our power rates down, and give us a little bit of this profit, too. This shouldn't be just something that we have short-term jobs and you have the long-term profits. We want a piece.
MICHAELSON: I mean, how would you think about this if you were the mayor of Los Angeles or the mayor of another big city? Would you want the data centers and potentially the money that comes with it and the tax revenue and all the rest of it? Would you fight it?
GARCETTI: Only if it comes with those conditions. And what I would do, as I'm doing here, is come together with other mayors because you can say no one day, they'll go down the block and find a mayor who will say yes or a city that needs the money. I think you have to have solidarity across this country and also across the world so these standards get established and America can get these but in the right way.
MICHAELSON: But consider that -- the point you were making earlier, Mike, like the mayor or the governor of New York has said that we're going to have a statewide data center moratorium. But they're going to use the AI, right? In New York City, they're going to -- it's got to go somewhere.
MURPHY: Yes.
MICHAELSON: So where does it go?
MURPHY: Well, I think you're going to see some states with a lot of wide open spaces are going to go to the people who need the data centers. And again, we make them all go away. That's a big loss for America. We're in a competitive world on computing and AI power.
[00:50:01]
We do not want the world's dominant AI to be taught with Chinese communist values, not American or Western European values. So how do you do it? Well, you've got to go to the deep capital pockets of the companies that are in this race.
MICHAELSON: Deep.
MURPHY: Yes, very deep.
MICHAELSON: Deep, deep.
MURPHY: And you've got to say --
UNIDENTIFIED MALE: Got new pockets (ph).
MURPHY: You guys got to step up and write the check to cover the failure we've had in public policy to build power in this country. We are lousy at building power plants, including clean stuff like nuclear. We get very stupid about the new gen nuclear.
There are new natural gas plants that can be massively clear. There's geothermal. Of course, solar farms are skyrocketing. Trump's declared war on wind, that's bad. But their capital has to make these things self-sustaining or even grid contributing in power. And they've got to pay a lot of that there.
GARCETTI: And it's an opportunity to do that. I mean, the three states that added the most renewable power in America last year --
MURPHY: Yes. GARCETTI: -- Florida, Texas and Ohio, also called red states. So don't believe the headlines. This is an opportunity for left and right, Democrats and Republicans, to do the right things. But we have to remember, we have the power to stop and we have the power to permit.
MICHAELSON: It'll be fascinating to watch how this plays out. Perhaps the issue of our time, AI.
MURPHY: We can't be stupid about it --
GARCETTI: Yes.
MURPHY: -- but it can't be a blank check to anybody with money either.
MICHAELSON: And, of course, they may end up in space, which is a whole other thing.
MURPHY: Or floating around.
MICHAELSON: They're looking at that. SpaceX looking at that.
Gentlemen, you'll be back at the top of the hour to talk more about what's happening right now inside the Democratic Party, which is an interesting debate.
But coming up next, Prince Harry and his family moving back to Britain. We know that. So how do Londoners feel about the spare son returning home? We'll hear from some of them next.
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MICHAELSON: Royal watchers here in California, Britain and around the world are reacting to the news that Prince Harry and his family will move back to the U.K. later this month. On Thursday, British Prime Minister Andy Burnham was asked if the government will provide and pay for their security.
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ANDY BURNHAM, BRITISH PRIME MINISTER: Well, this is a private matter. It's a matter for Harry and for Meghan. And we wish them well in the move that they're making.
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MICHAELSON: So that sounds like a no, I guess. People on the streets of London mixed feelings about the move.
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OLIVER, ACCOUNTANT: I'm not especially happy about it because they trashed the whole country numerous times. Betrayed their family. Betrayed his king, his father. Went out to America and now they're bored and now they want to come back. EDWARD OWEN, SHIP BROKER: But maybe he's just truly British at the end of the day and he just misses home, but I don't know. It's very -- this will be a complete surprise to us, isn't it?
HANNAH PERRY, WORKS AT A THINK TANK: I guess I think it suggests hopefully they're in a happier place. Perhaps they feel more welcome. I hope it means good things for them as a couple.
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MICHAELSON: Royal Reporter Sandro Monetti told us last night that Harry's approval rating is in the 30s. Her approval is in the 20s in that country.
CNN's Max Foster has more from London.
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MAX FOSTER, CNN ROYAL CORRESPONDENT (voice-over): It's a move nobody saw coming. Prince Harry and Meghan returning to the U.K. six years after they stepped back from official royal duties and fell out with other members of the royal family. Both the Duke and the Duchess of Sussex have spoken out repeatedly about the unfair treatment they believe they received in the U.K., including tabloid intrusion and racism in the British establishment.
In April, Meghan told young people during a visit to Australia --
MEGHAN MARKLE, DUCHESS OF SUSSEX: For now, 10 years, every day for 10 years, I've been bullied and attacked and I was most trolled person in the entire world. Man or woman. I'm still here.
FOSTER (voice-over): Why the couple have decided to return now is unclear. A source close to the couple only remarked how much they enjoyed their visit to the U.K. last month. In July, King Charles hosted Harry, Meghan, and their children at his private country residence in Gloucestershire.
It was the first time in four years that the King had seen the whole family. However, Harry has made several solo trips back to the U.K. since moving to California, including after King Charles' cancer diagnosis.
FOSTER: CNN understands that when the family moves over to the United Kingdom, they'll be staying in a private residence, not a royal residence, and they won't be returning to their full-time royal roles.
Where that residence will be is a mystery at this point, but the British media are speculating it could be in the affluent Cotswolds, in the countryside in Oxfordshire. It could be near Althorp House, which is the Spencer family ancestral home where Princess Diana, Harry's mother, is buried. Or it could possibly be near friends that they've retained here in the United Kingdom.
The other big question is about security, how that will be afforded. Prince Harry recently lost a case against the government's decision to downgrade their taxpayer-funded security.
FOSTER (voice-over): In a BBC interview last year, he said the decision made it impossible for him to return to the U.K. with his family, explaining --
PRINCE HARRY, DUKE OF SUSSEX: I can't see a world in which I would be bringing my wife and children back to the U.K. at this point. No matter how much private security I have around me, there's only so much that I can do and operate and function within the U.K. when it comes to supporting my charities, visiting my friends, all of these things.
FOSTER (voice-over): However, the couple's children, Prince Archie, seven, and Princess Lilibet, five, have now been enrolled at British schools. The new school year begins in September, meaning their move is likely to take place soon, possibly within a matter of days.
UNIDENTIFIED FEMALE: Are you feeling excited for your parents?
FOSTER (voice-over): Once back, the couple are expected to carry on the kind of charity work they've been doing in California and outside the U.K.
UNIDENTIFIED MALE: Welcome to Australia.
FOSTER (voice-over): It's not yet clear how long they'll stay or how closely they'll coordinate with the royal household to avoid clashes in public engagements and how they'll be folded into private royal family events. CNN understands the king was only told on Sunday about their decision to move back.
The Sussexes may have kept their secret until now, but how much privacy they can hold once they're back in the U.K. remains to be seen.
Max Foster, CNN, Buckingham Palace, London.
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MICHAELSON: Thanks for watching the first hour of "The Story Is." The next hour starts right now.
