Does Democrats’ Future Lie With Moderates or Progressives?

A.I. chip company Marvel is beefing up its data center business and buying optics maker Lumentum in a deal worth $80 billion. Plus, to curb the worst speeders, some states are trying out devices installed in cars that stop them from going over the speed limit. We'll get into how that's going. And with control of Congress on the line, Democrats are still trying to figure out if the emotional center of the party is with moderates or progressives. This is a moment where Democrats have to figure out what their message is going to be. And that's some of the fighting that we see happening within the party right now. It's Monday, November 2nd. I'm Alex Oseleff for The Wall Street Journal. This is the p.m. edition of What's News? The top headlines and business stories that move the world today. First up, just before we publish today, Apple reported its latest news. Its revenue grew 12 percent, slightly above Wall Street's expectations. Its gross profit margin at 47.9 percent also came in just ahead of analyst estimates. For more, go to WSJ.com, and you'll also hear more analysis on our show tomorrow morning. And two of the fastest-growing enablers of A.I. are teaming up. Custom A.I. chipmaker Marvel has agreed to buy Lumentum, a company that makes optics used in data centers like lasers and connectivity hardware. The all-stock deal worth roughly $10 billion. Marvel's offerings to create what the companies call a category leader in A.I. connectivity. NVIDIA is an investor in both companies. But if the deal with Lumentum goes through, Marvel's technology could benefit hardware that competes with NVIDIA's. Investors don't seem too excited about the deal. Marvel's stock fell 13 percent, and Lumentum slid 19 percent. In markets, oil prices fell on signs that both the U.S. and Iran might be willing to engage in diplomacy. And that helped push the Dow higher. It added 0.4 percent. But stocks' early gains mostly slipped away, with the Nasdaq falling more than 1 percent and the S&P 500 losing half a percent, as many tech stocks like Intel and Coreweave extended last week's losses. The route in technology stocks has the big investors who plan to participate in Anthropix IPO coalescing around a lower valuation for the artificial intelligence giant. The journal understands that in the past several days, institutional investors, have said Anthropix's valuation should be around $1.5 to $1.6 trillion, below the figures closer to $2 trillion that we've been hearing in recent months. Anthropix hasn't finalized a valuation target, and it's still considering how many shares it plans to sell. Have you ever been driving on the highway, minding your own business, and whoosh, someone going crazy fast zooms by you like rules simply don't exist? There's a name for those kinds of drivers. Superspeeders. And several states are taking steps to stop their reckless ways, using GPS technology to slow the cars down. I'm joined now by WSJ National Affairs reporter Scott Calvert. Scott, it seems like the system relies on devices in cars. How does this work exactly? So there is a device that sits just off to the dashboard, and it uses GPS and a map database to determine the speed limit on whatever stretch of road you're driving on. And then it uses GPS and a map database to determine the speed limit on whatever stretch of road you're driving on. And it keeps the car from accelerating above that speed limit. Why are states doing this, and what have they done in the past about this problem of superspeeders? Speeding has long been a leading cause of death on American roads and highways. More than 10,000 deaths per year nationwide. Lots of drivers who are convicted of reckless driving for really egregious speeding will have their licenses suspended, but up to 75% of people with a license suspension continue to drive. So states are looking for another approach, and they're using this technology as a way to address this superspeeding problem. So Virginia is one of the states implementing this program, which began in July. How has it been going so far? Since July, there have been about 100 of these intelligent speed assistance devices installed in cars in Virginia. And in some ways, it's going well. According to the organizers of the program, there have been a few glitches. I was talking with a couple of defense lawyers who do a lot of traffic cases, and I heard, about one instance where someone was on the highway, but for some reason the device said that the speed limit was only 35 miles per hour. So the car had to go much slower than highway speed. It's dangerous. And so that person actually had to pull over to the side of the road. There was another case where someone was driving down a road, and as they passed through an intersection, the device was picking up the speed limit of the cross street, which was lower. And that also forced the car below the actual legal speed limit on that stretch of road. I talked with the state agency, that runs this program, and they recognized that is a problem. And they say they've got a fix that they are going to be rolling out very soon. What are some of the other states considering similar programs? And are these pilots or is it something a little bit more permanent? So far, Virginia is one of eight states plus Washington, D.C., that have passed these laws that authorize the use of this technology to address super speeders. There has been bipartisan support, and there are a number of other states where this idea was considered by the state legislature, during 2026, but didn't get across the finish line. So there does seem to be a lot of momentum in terms of seeing this as a way to address this long-standing scourge. That was WSJ national affairs reporter, Scott Calvert. Thank you, Scott. Thank you. Coming up, is going to an elite liberal arts college like Williams actually a bargain now? For many students, it can be. More after the break. In political news, as you heard on this morning's show, Michigan Congresswoman Haley Stevens, who lost the Democratic Senate primary to progressive Abdul El-Sayed, endorsed his opponent, Republican Mike Rogers. And El-Sayed's campaign says that worked out well for him financially. It raised $2.4 million yesterday, its biggest fundraising day yet this election cycle. That primary between Stevens and El-Sayed was a closely watched race, representing two different states. And it's a race that's going to show the difference between the two different contingents of the Democratic Party, the moderates and the progressives. Contests around the U.S. are going to test which wing is resonating more with voters, and could show Democrats where the party is headed. Beyond Michigan, there's also Maine, where longtime incumbent Republican Senator Susan Collins faces progressive candidate Troy Jackson. I'm a Mainer, a dad, a fifth-generation logger from Allagash. I'm a progressive. I've been tested. I've won time and time again. In deep red Trump country, by double digits. Journal political reporter Sabrina Rodriguez joins me from Texas to discuss these key races for Democrats. Sabrina, why is Maine such a crucial test for the progressive wing of the party? They've tried multiple cycles to unseat Republican Senator Susan Collins. This is a state that voted for Kamala Harris in 2024. So it's one that they really want to be able to flip in the midterms. Some of the complaints that we're hearing from. these more establishment-aligned folks that is happening around Maine, about had they had a more traditional, moderate candidate, they would have a better fight against Susan Collins. Is it unusual to see this kind of party infighting an election where Democrats are expected to do well? I mean, it really speaks to where the Democratic Party is today. You know, poll after poll shows us that, you know, the president's approval rating is down, and that Democrats are not going to vote for him. Democrats are poised to retake the House and are very much competitive. And there is a real possibility of them also flipping the Senate. But there's still a big debate within the party about what direction they need to take looking to 2028. This election, in very many ways, is a referendum on President Trump. But the same polls that we look at that show Republicans in trouble also show that the Democratic brand has not had this big resurgence, that there are people still very frustrated and not happy with the Democrats. So this is a moment where Democrats have to figure out what their message and their vision is going to be looking forward. Is there any one race that you think will show whether it's the moderates or progressives that represent that future vision? I think it's going to take looking at several races to really get that full picture. But, you know, I'm reporting in Texas and following very closely the Ken Paxton versus, James Tallarico race. You know, if Tallarico wins in Texas, it'll be the first Democrat to do that in more than 30 years to flip a statewide race here. So I think Democrats are going to be definitely taking some cues from how he did it if he were to be successful. Would you call Tallarico a progressive candidate? I mean, Tallarico himself used to identify as a progressive. And now, you know, I interviewed him recently and he rejects that label. He says that he used to look at politics as a liberal. He says that he used to look at politics as a left-right spectrum and that now he looks at it as a top-bottom spectrum and that he feels like it's really everyone versus the billionaire class and that so much of our politics is shaped by the richest people in this country and in the world. That was WSJ political reporter Sabrina Rodriguez. Thanks, Sabrina. Thank you. And in Washington, President Trump gave a speech this afternoon in front of the Lincoln Memorial reflecting pool. Republicans hoped his remarks would be a forceful closing argument for the GOP less than 24 hours. before the midterm elections. at length today about the renovation of the reflecting pool. He talked about restoring fountains and statues, the new White House ballroom, and improvements to the grass in front of the White House. His speech also returned to many of the same points he raised during his final sprint of midterm campaign rallies. He described Democrats as radicals. They call it the house of Satan, and we change that. We call the United States the house of God. They call it the house of Satan. We don't want people that call the United States the house of Satan. When you vote, remember a party that hates America cannot be allowed to rule over the people who built our country. He also highlighted what he described as foreign policy achievements in Venezuela and Greenland, and he promised $5,000 checks to every American adult if Republicans keep control of Congress. We'll leave a link to WSJ analysis of which races to watch, as well as our midterms live blog in the show notes. And finally, the sticker price for a year at Williams College, the small prestigious liberal arts school in Massachusetts, runs nearly $100,000. But on average, students there pay far less, usually around $15,000. That's even less than the in-state tuition for the University of Massachusetts Amherst, which is $23,000. Williams is one of a number of elite liberal arts colleges that have long been known for eye-watering, and they've been around for a long time. price tax that are these days turning out to be more of a bargain for many students. Journal reporter Terrell Wright breaks down why students there are paying so much less on average. These colleges provide very generous financial aid packages for families. For example, students at Williams, roughly half of them get financial aid. And if you make under $200,000 a year, you get full tuition. So these schools have very comprehensive financial aid packages that are not very well advertised. But the secret is starting to get out, and they want people to know as quickly as possible. As we've discussed on the show before, many universities are facing an existential crisis. There are fewer 18-year-olds than there used to be, even as people are questioning the value of a college degree. So for a growing number of schools, getting enough applicants and keeping admission rates low is proving challenging. Terrell says this financial aid is making these liberal arts schools more appealing to applicants. They want very competitive students to apply to their colleges. And one of the ways of doing this is by saying, you don't have to pay that much. And they're able to do this because they have rather large endowment sizes. So these colleges are taking their large endowments given to them by very generous and wealthy donors and using a lot of that money to attract sort of the most competitive students possible so that they do not see declines in enrollment. I'll also mention that there are a group of students who don't have a college degree. who do pay the full freight for tuition. And those families can often afford this amount of money. And those students are helping to subsidize the others who are making under that $200,000 threshold. And that's what's news for this Monday afternoon. Today's show was produced by Danny Lewis and Anthony Bansi with supervising producer Tali Arbel. I'm Alex Oselev for The Wall Street Journal. We'll be back with a new show tomorrow morning. Thanks for listening. I'm Alex Oselev and I'll see you next time on The Wall Street Journal.