Catastrophic Fires Could Be Most Destructive, Costly In California History

Plus, a look at how people will rebuild as insurance companies deny coverage in CA

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Good morning,

One of the world’s biggest electronics events of the year, CES 2025, is underway in Las Vegas. 4,500 exhibitors, including 1,400 startups, are showcasing their latest high-tech innovations.

  • Among the standout products on display are robot pets, a “flavor-enhancing” electric salt spoon, and transparent television displays.

    • 🥄 Japanese beer company Kirin’s Electric Salt Spoon uses electric currents to concentrate sodium ion molecules, amplifying the taste of salt and umami flavors in dishes.

    • A $100,000 mini Smart House

    • Check out the solar-powered electric vehicle

    • 📺 You can buy LG’s 77-inch Transparent OLED TV for $60,000.

    • 🧸 ROPET, an AI robot pet, is being hailed as the next generation of interactive toys, reminiscent of Furby but with advanced AI sensors.

  • The three-day conference is set to wrap up on Friday, January 10.

So many inventions we didn’t know we needed… have a good one!

Mosheh, Jill, Sari, & Lauren

PS: Don’t forget to refer friends & family to subscribe to the Mo Newsletter… you could get free Mo News merch — DETAILS at the bottom of this newsletter!


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📌 APOCALYPTIC WILDFIRES ENGULF LA COUNTY

Los Angeles County is experiencing what feels like an apocalyptic scene, as multiple wind-driven wildfires continue to rage out of control, burning tens of thousands of acres and wiping out entire communities. At least five people have died, with several others suffering significant injuries.

  • Winds, which peaked around 100 mph, had weakened by Wednesday afternoon — allowing helicopters to drop water and fire retardants — but could stir back up this afternoon.

    • Los Angeles schools, the U.S.’s second-largest school district, are closed again today.

As of Wednesday evening, the number of wildfires burning in Los Angeles County grew to six. Most of the fires are 0% contained, with about 150,000 residents under mandatory evacuation orders.

ZOOMING IN
In total, the fires have burned more than 25,000 acres in just over a day and are not slowing down.

  • Wednesday evening, the Sunset Fire sprung up on the top of the iconic Hollywood Hills — threatening to send embers downrange and spreading. As of 1amET, it appeared firefighters were winning the fight against that blaze.

  • The Palisades Fire, burning in the coastal area between Malibu and Santa Monica, has already become the most destructive wildfire in Los Angeles County history.

    • At least 1,000 structures — including homes, schools, restaurants, and businesses — have been destroyed. That number is expected to climb.

Up to 1.9 million people were without power on Wednesday, as strong winds continued to knock down infrastructure through the evening.

  • The Eaton Fire in the Altadena and Pasadena areas have destroyed entire neighborhoods, and is threatening 13,000 buildings. It is responsible for the five deaths recorded so far, but California Gov. Gavin Newsom (D) told CNN there are “likely more.” Here is a satellite image of the destruction.

  • The Woodley Fire is the only of the LA County wildfire to have been controlled as of Wednesday night.

While the cause of the fires are still unknown and under investigation, research by the Western Fire Chiefs Association shows that human activity has sparked nearly 90% of wildfires in the U.S.

THE FIGHT TO SAVE LIVES
Firefighters from Northern California, Nevada, Washington, and Oregon have been deployed to help LA County. The teams are facing water shortages as some fire hydrants in Pacific Palisades went dry.

  • Mark Pestrella, director of LA County Public Works, said the hydrant system was "not designed to fight wildfires." LA water tanks are full, but are unable to keep up with record demand.

  • Resources stretched thin: LA Fire was prepared "for one or two major brush fires, but not four," the chief said on Wednesday.

    • Brian Rice, the president of California Professional Firefighters, said some firefighters were working 36 to 48 hour shifts to help their communities.

    • Many crews had to abandon whole streets that were burning, in order to fight another threatening fire.

THE BLAME GAMES
President-elect Donald Trump blamed the Biden administration and Gov. Newsom for deadly wildfires on Wednesday. Newsom's office shot back, saying the president-elect was "playing politics" during the crisis.

  • Trump’s post (above) appears to be referring to a 2020 presidential memorandum he oversaw, which sought to divert water from Northern California to farmland south. Newsom and California’s Attorney General at the time called the move a "harmful attack on our state's critical ecosystems and environment."

  • Patrick Soon-Shiong, the billionaire owner of the Los Angeles Times, slammed Mayor Karen Bass for slashing the LA Fire Department’s budget on X. She cut about $17.6 million (about 2 percent) of the department’s annual $820 million budget, as she reallocated more money to the police department.

    • Bass was on a trip to Africa when the fire broke out. She headed home Wednesday night, though some critics are saying she should have come back sooner.

  • L.A. City Councilmember Traci Park, who represents Pacific Palisades, said “The chronic under-investment in the city of Los Angeles in our public infrastructure and our public safety partners was evident and on full display over the last 24 hours.”

Some scientists are blaming climate change for the historic natural disaster: conditions contributing to the the size, intensity, and damage caused by the wildfires — along with strength of the winds — are linked to global phenomena in recent years. But it is just one of several reasons for these fires.


📌 HOW CA HOMES & BUSINESSES WILL REBUILD AS INSURANCE COMPANIES CUT COVERAGE

The Palisades Fire, currently the largest wildfire in Los Angeles County, may become the costliest wildfire in U.S. history, according to Daniel Swain, a climate scientist at UCLA.

BY THE NUMBERS
Already, the fire has destroyed more than 1,000 structures — the most in Los Angeles County history, according to CalFire.

  • The 2018 Camp Fire, which devastated Paradise, CA and killed 85 people, is so far the deadliest and most expensive wildfire in California history ($16.5 billion). It burned more structures than the next seven most destructive fires in the state’s history combined.

Many LA residents now face an uphill battle to rebuild, and insurance issues are making recovery even more daunting.

COVERAGE CRISIS
Last year, State Farm canceled 72,000 policies in California, including 30,000 home insurance policies — some in areas now impacted by this week’s fires. Several other companies, including State Farm, stopped writing new policies in California in recent years, following back-to-back devastating wildfire seasons in 2017 and 2018.

  • As leader of the largest home insurance provider in California, State Farm’s CEO said the company was "reluctant" to cut coverage in at-risk areas, but the company struggled amidst rising natural disaster risks and massive financial losses from previous fire devastation.

    • In Pacific Palisades, where the fires have been raging, about 70% of the 2,342 policyholders lost their coverage.

  • Residents who cannot secure private fire insurance can apply for California’s FAIR Plan, seen as a temporary safety net for those left uninsured. But it’s often more expensive than standard policies.

    • The number of people on the FAIR plan more than doubled since 2020, reaching nearly 452,000 policies.

    • And many people cannot afford the more expensive coverage — leading some to forego it.

WHAT’S NEXT
In December, California passed a new regulation requiring insurers to offer coverage in wildfire-prone areas to prevent mass policy cancellations.

  • But, many communities have yet to feel the impact. Companies are required to increase coverage in high-risk areas by 5% every two years, or until policies in risk-prone areas reach at least 85% of their market share in the state.


⏳ SPEED READ

🚨NATION

📌 Biden, a new great-grandfather, visits baby and firefighters in California detours (POLITICO)

📌 Biden on whether he had stamina to serve another term: "I don't know" (CBS)

📌 Trump asks the Supreme Court to block sentencing in his hush money case in New York (AP) Trump speaks with Justice Alito amid push (ABC)

📌 Garland prepares to release Jack Smith’s report on 2020 election subversion case against Trump (AXIOS)

 🌎 AROUND THE WORLD

📌 Mexico's president claps back at Trump renaming Gulf of Mexico, suggests new name for U.S. — America Mexicana (NBC)

📌 An Italian journalist is freed from detention in Iran and returns home (AP)

📌 Two Americans arrested in Venezuela on eve of Maduro inauguration over ‘terrorism’ claims (FOX)

📌 Israeli military says hostage found dead in Gaza tunnel, ‘grave concerns’ for second captive (CNN)

 📱BUSINESS, SCIENCE & TECH

📌 Apple says it will update AI feature after inaccurate news alerts (BBC)

📌 Lucky, Eddie Bauer, Forever 21 Operator Merges With JCPenney (YAHOO)

📌 Major Florida grower to end citrus operations after years of hurricanes and tree disease (WTSP)

📌 Anthropic raising new money at $60 billion valuation (AXIOS)

 🎬 SPORTS & ENTERTAINMENT

📌 ‘Wicked’ tops SAG Awards nominations as many big names are snubbed (AP)

📌 Prince Archie and Princess Lilibet make rare appearance in Meghan Markle's tribute to dog Guy (PEOPLE)

📌 Paris Hilton, Leighton Meester, Adam Brody, Billy Crystal, Eugene Levy, Anna Faris and more celebrities lose homes in the LA fires (VARIETY)

📌 Jessica Alba and Cash Warren split, to file for divorce after 16 years of marriage (US)


🗓 ON THIS DAY: JANUARY 9

  • 1493: Christopher Columbus, sailing near present-day Dominican Republic, noted seeing three “mermaids” in his journal — in reality, they were manatees. He described them as “not half as beautiful as they are painted.”

  • 1951: The United Nations headquarters officially opened in New York City.

  • 1981: Phil Collins released “In the Air Tonight.”

  • 2001: Apple launched iTunes, revolutionizing digital music alongside the iPod, which debuted later that year. Six years later, Apple CEO Steve Jobs unveiled the iPhone on this day.

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