Glenn Greenwald
Politics • Culture • Writing
Lee Fang Reacts to Trump's Speech to Congress; Will DOGE Tackle Military Waste?
SYSTEM UPDATE #418
March 07, 2025
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The following is an abridged transcript from System Update’s most recent episode. You can watch the full episode on Rumble or listen to it in podcast form on Apple, Spotify, or any other major podcast provider.

System Update is an independent show free to all viewers and listeners, but that wouldn’t be possible without our loyal supporters. To keep the show free for everyone, please consider joining our Locals, where we host our members-only aftershow, publish exclusive articles, release these transcripts, and so much more!

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Hey, this is Lee Fang. I'm your host of System Update, coming to you live from a very foggy San Francisco. Glenn Greenwald is out this week. 

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Last night, Trump gave his fifth State of the Union address. The president doubled down on tariffs, called for an end to the war in Ukraine, and touted his many executive orders, especially on DEI. And yes, there were moments of theatrics between Trump and the Democrats in the audience. 

But Trump did something special that I think deserves greater scrutiny. Unlike recent administrations, including his own, he dedicated a big part of his speech to his quest to root out wasteful spending. Let's watch a clip: 

Video. Donald Trump, Joint Address to Congress. March 4, 2025.

This is an important topic and one that really cuts across ideological and partisan lines. Or at least it should. Corruption is a soul-sucking force not only because it bloats government debt and deficits. We all suffer from waste – for every fraudulent contract, for every misallocated dollar, that's a loss of resources that could have been spent making America more educated, more secure, healthy, and prepared for the future. It's also a problem that fuels alienation. We lose faith in our elected officials, and our entire system of governance, when we can't count on basic accountability for how our tax dollars are spent. 

Where I live, in San Francisco, the government has one of the largest per capita local budgets in the world, yet problems never seem to go away, no matter how much money gets spent, housing gets more expensive, there are rampant overdose deaths, a growing homeless population despite the highest level of spending on homeless outreach programs in the nation, out of control property crime, empty storefronts, and programs that seem like a parody of municipal waste. 

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$1.7 million spent building a single toilet in Noe Valley? (The New York Times. January 24, 2024) $2 billion on a small expansion of the Muni subway, which was over budget, which blew through deadlines, and is now shutting down just after opening because of faulty construction? And the more the city spends, the more questions are raised as NGO and private contractors keep getting busted with their hands in the cookie jar – we've had repeated FBI raids of city workers and city contractors, scandal after scandal about missing funds and kickback schemes. The problems seem endless and given that so many Democratic leaders – from Nancy Pelosi to Kamala Harris to Gavin Newsom – got their political start in this city, it’s no wonder that many Americans question whether these Californians are fit to lead. (The San Francisco Standard. April 12, 2024.)

But as bad as the problems of San Francisco have become, the city pales in comparison to the federal government. The Government Accountability Office estimated that between 2018 and 2022, taxpayers lost somewhere between $233 billion and $521 billion due to fraud. 

Much of that money was lost during the pandemic, when a gusher of nearly $2 trillion went out with little accountability. Both Democrats and Republicans are to blame for the lack of oversight. 

But this is not a phenomenon that is limited to the emergency actions taken around COVID-19, not even close. The most pernicious, systemic fraud can be found throughout the system, especially in health care and defense spending. 

President Donald Trump, to his credit, has made it a focal point of his administration. His new Department of Government Efficiency, also known as DOGE, helmed in part by Elon Musk, has rapidly deployed in agency after agency, slashing private contracts and cutting the workforce. In particular, he has moved to scale down the entire USAID budget. 

Like a lot of the Trump administration, it's a mix of good and bad, of bold action that no other administration would take, alongside reckless actions that could do real harm. In many cases, they're missing the window of opportunity to go after real waste embedded in our system and have instead cut self-funding agencies like the CFPB. 

First, let's talk a little bit about the good around USAID cuts. I've reported for years on USAID money going to groups that work to overthrow foreign governments, undermine democratic elections, and indeed, censor even Americans over bogus claims of "misinformation." Congressional Democrats have claimed that USAID simply, in the words of Senator Chris Murphy, "supports freedom fighters" all over the globe. 

That reality, however, is much murkier. USAID has funded the Zinc Network, an anti-disinformation contractor that has targeted reporter Max Blumenthal, politician Vivek Ramaswamy, and Congressman Andy Biggs. USAID also funded a pesticide industry public relations effort known as v-Fluence, which dug up dirt about American food journalists such as Michael Pollan and Mark Bittman. But most troubling, the foreign assistance agency has financed a network of groups in Ukraine that have spread unsubstantiated claims that Americans in favor of peace are part of a dangerous misinformation network tied to the Kremlin. 

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The controversial agency provides backdoor ways for the American government to finance propaganda against American citizens. 

In Ukraine, USAID, through its contractor Internews, supports a network of social media-focused news outlets, including the New Voice of Ukraine, VoxUkraine, Detector Media, and the Institute of Mass Information. 

These news outlets have produced a series of videos and reports targeting economist Jeffrey Sachs, commentator Tucker Carlson, journalist Glenn Greenwald, and Professor John Mearsheimer, as figures within a "network of Russian propaganda".

(Lee Fang. Substack. February 4, 2025.)

In other words, American taxpayers have been funding a defamatory smear campaign against other American citizens, all in order to build out support for another forever war. 

But let's not forget, USAID also helps administer global health programs which have been widely touted for saving millions of lives. USAID helps administer PEPFAR, a program to distribute HIV AIDS medications, and the agency also funds the distribution of medicine and preventative care for malaria, polio, tuberculosis, and a variety of programs for maternal and child health care in developing countries. 

There's a pause in these programs as the administration reviews them, but it seems clear that there's a real risk that they may be cut. These programs might not be perfect, but they've generally impacted the world in profound and positive ways. Given how much other waste, fraud and abuse exists in our system, these global health programs should be a low priority, if not even a not a priority at all, when it comes to cuts. 

Where should we be cutting? To prepare the segment, I just looked back at my own reporting over the last decade. I've written for years about Pentagon waste that is far beyond the dollar figure for any silly sounding science grant or health program that was discussed last night at the State of the Union. 

In 2015, a military blimp broke free from its harness in suburban Maryland and dragged a cable through homes, causing destruction and property damage. Where did this thing come from? 

Video. WMAR-2 News. November 4, 2015

The project was called JLENS, or "Joint Land Attack Cruise Missile Defense Elevated Netted Sensor System." Produced by Raytheon at nearly $3 billion cost to the Army, the project was intended to defend against cruise missiles. Theoretically, it was supposed to track objects over an area the size of Texas. But these blimps kept getting destroyed in weather events and faced chronic technical issues. Frankly, they didn't seem to serve any useful purpose. Finally, former Joint Chief of Staff James Cartwright rescued the program, and had it deployed to Afghanistan, where it again failed to provide any real protection to U.S. troops. But Cartwright, after securing the deal, joined Raytheon's board of directors, a job that paid him nearly $900,000 a year. Inevitably JLENS ended up in Maryland, where it eventually untethered and caused random destruction. 

This phenomenon is actually not unique. There are dozens of failed missile defense and radar systems that get re-funded year after year by Congress under the influence of defense lobbyists and the allure for politicians and staff to one day become defense lobbyists. 

Let's take a look at a few quick examples. 

Ground-Based Missile Defense System Has Serious Flaws, Experts Say

 

Despite billions of dollars invested in technology development, Coyle said, the basic architectures of both anti-missile systems “are in doubt because so many parts don’t work, don’t exist, or aren’t achievable.” (AAAS. June 19, 2013)

The government has spent $40 billion on the Ground-based Midcourse Defense system, managed by Raytheon and Boeing. That program, which was carefully with was carefully scripted with conditions in which the system operators knew the exact location, trajectory, speed, and dimensions of test missiles, even under those conditions, the GMD intercept systems failed to consistently produce any interceptions. 

There's the Kinetic Energy Interceptor, a project from North of Grumman in Raytheon, that also failed missile interception systems and was canceled after Navy officials found multiple problems, including its limited range. That program costs $1.7 billion. (Bloomberg. August 2, 2011.)

Or what about "The Multi-Object Kill Vehicle," developed by Raytheon and Lockheed Martin at a cost of $700 million. This program was canceled after military officials found that the anti-missile program faced insurmountable technical challenges. 

Or finally, the Sea-Based X-Band Radar, a floating radar designed to detect enemy missile launches, which failed after tests found that the radar had a limited field of vision and was highly vulnerable to corrosion at sea. The program, managed by Boeing and Raytheon, cost $2.2 billion. 

The Pentagon’s $10-billion bet gone bad Los Angeles Times

Trying to fashion a shield against a sneak missile attack, military planners gambled on costly projects that flopped, leaving a hole in U.S. homeland defense.

(Los Angeles Times. April 5, 2025.)

I could go on and on, just on the failed missile defense and radar systems. And I could spend another hour talking about faulty logistics systems, corrosive and fraudulent work on submarines that leave them completely ineffective and inoperable, billions of dollars of waste on MRAPs and tanks and the list keeps going on and on. Where's the watchdog? Who's keeping this accountable? 

There are a few champions in Congress – people like Rand Paul and Bernie Sanders, who consistently call out military waste, but they are in the minority. The defense industrial lobby largely keeps Congress and any administration, Democrat or Republican, completely subdued and subservient. 

We heard reports initially that DOGE was crossing the Potomac and planning to tackle military fraud and waste. But so far, we've only heard about canceled military DEI contracts. I have no problem cutting the DEI contracts. But let's be honest, that is small potatoes compared to the big fraudulent and wasteful contracts from the defense industrial base. 

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The Interview: Danielle Brian

Project on Government Oversight is a non-profit in Washington D.C. that investigates waste, fraud, and abuse. As a journalist, I've relied on POGO's investigations for a very long time. They've investigated Pentagon waste of all types, everything from the $500 hammer that went kind of viral back in the 1980s to more recent failed radar systems, the F-22, the F-35, a lot of issues around the Abrams tanks. They've also investigated other. Federal contracts, the waste, fraud and abuse that occurred during the pandemic and a lot of those multi-billion-dollar rescue packages. They've been around for 40 years doing really vital work and since the topic du jour in Washington is waste, fraud and abuse, I thought it would be great to talk to POGO today. 

Danielle Brian is the executive director of POGO. She's an award-winning journalist really doing cutting-edge work in this guard! 

Lee Fang:  Danielle, welcome to the program. 

Danielle Brian: Thanks so much, Lee. It's lovely to be here. 

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U.S. and Israel vs Iran: Repeating War on Iraq Scripts; Overwhelming Bipartisan Consensus for Israel's Wars
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The following is an abridged transcript from System Update’s most recent episode. You can watch the full episode on Rumble or listen to it in podcast form on Apple, Spotify, or any other major podcast provider.  

System Update is an independent show free to all viewers and listeners, but that wouldn’t be possible without our loyal supporters. To keep the show free for everyone, please consider joining our Locals, where we host our members-only aftershow, publish exclusive articles, release these transcripts, and so much more!

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The war initiated by Israel against Iran last Thursday was dangerous from the start and has each day only become more dangerous. President Trump has boasted of his pre-war coordination with Prime Minister Benjamin Netanyahu. He's already been using U.S. military assets to protect Israel. He's now even re-deploying aircraft carriers in the Pacific, where we're told they are guarding against America's greatest enemy – China – now to the Middle East, where Israel has demanded they go to support its war. 

Just a few minutes ago, President Trump ordered the 16 million people who live in Tehran to immediately evacuate a city where it's now 2 a.m. 

With Israel, as always, demanding more. Now, they want the U.S. planes and bombs to destroy Iran's underground nuclear facilities for them. The former Israeli defense minister went on CNN just an hour ago and told President Trump in the U.S. that it's our obligation to fight this war with them. And for them, President Trump has repeatedly opened the possibility of even greater U.S. involvement in the war. 

There are so many aspects of this new conflict worth covering and dissecting –and we will do so throughout the week – but tonight we want to focus on the amazing ease the U.S. government has in convincing its population to support whatever new war is presented to it. Over four years ago, intense war propaganda from the U.S. political class and media persuaded Americans to want to fund and arm the war in Ukraine – a war that is still dragging on with no favorable end in sight – and overnight huge numbers of people in the United States have suddenly become convinced without having ever said so previously that war with Iran is some sort of moral imperative as well as a strategic necessity for the survival of American citizens of the United States. 

No matter how debunked, discredited and disgraced that Iraq war narrative has become, as long as one just waits 20 or 25 years, then, apparently, that same script just works like magic all over again. You just haul it out, fearmongering, and huge numbers of people respond by saying, "Yes, let's go to war, let' kill people." 

We'll examine all of that, as well as the standard bipartisan unity in support of new American wars and especially wars involving Israel, you hear Democrats almost unanimously, either staying quiet or praising President Trump, with just a few exceptions from both parties. And we'll look at that as well. 

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If you're an American citizen as an adult, you have seen the United States repeatedly go to war. Anyone 18 or over has seen the United States involved in all sorts of wars and that's after the Iraq war, which is now 22 years ago. Essentially, if you're American, it means forever, for a long, long time, for many decades, that you are a citizen of a country that's always at war. 

After World War II, there was a very visible and clear pattern, which is that the U.S. government convinces its citizens, enough of them, to support the war at the beginning. They deluge them with war propaganda, which is extremely strong, primal, tribal and enough Americans initially support the war to let the U.S. government politically go and drop bombs or finance some other country to go drop bombs for it. Then, after six months, a year, or two years, or four years, polls show that Americans overwhelmingly oppose the war that they were convinced to support. Going back to the war in Vietnam, throughout the 1980s’ wars, the War on Terror in Afghanistan, in Iraq, in Syria, in Libya, the financing of the war in Ukraine, Israel's destruction of Gaza, bombing Yemin and now this new war that the United States is becoming increasingly involved in, in lots of different ways and we're only on the fifth day.

You just see so many Americans on a dime the minute a new war is presented to them, with whatever pretext can be conjured, even if they're exactly the same pretext that most Americans lived through watching proved to be complete lies the last time it was used in 2003, even though it's exactly the same script, exactly the same pretext, coming from exactly the same people. You can get enough Americans to immediately stand up and start cheering for death and destruction and bombing. Not all, a very substantial minority oppose it, I think if the U.S. overtly gets even more involved in the war in Iran, obviously anything resembling ground troops entering Iran, but even perhaps prolonged bombing of Iran as well through U.S. jets and bombs, as President Trump has indicated and Israel has demanded, maybe some of that will erode, that support will erode. But all that's needed is enough support at the beginning of the war to let the government start it. And once the U.S. government enters the war, it doesn't matter anymore whether the people continue to support it; then it's just already done. All the normal arguments are assembled about why we can't stop, why we can't cut and run, why that would be appeasement, etc., etc. All the same scripts all the time, used over and over, and even though they get proven to be discredited, or unpersuasive, or full of lies, you just use the same ones each time. And that's how the United States stays as a country at war.

We've been hearing a lot of people saying, “Look, I'm happy that Israel is bombing Iran, as long as the U.S. has no involvement in the war, we don't enter it, we don't have to pay for it. As long as it's not our war, I'm fine with it.” But, of course, the entire Israeli military is funded by American taxpayers. Every time Israel has a new war, the weapons that it uses come from the United States, transferred to Israel. We pay for their wars, we arm their wars, we support diplomatically those wars and we use our military assets every single time and our intelligence apparatus to support and enable the war, as the United States is already doing. We already have multiple new U.S. military assets ordered to the region by President Trump. They're already active in protecting Israel from retaliation. President Trump openly said that he is considering the possibility of involving the U.S. even more directly in this war with Iran: "We're not involved in it. It's possible we could get involved. But we are not at this moment involved," the president said. (ABC News. June 15, 2025.)

That all depends on what you mean by ‘involved.’ We're paying for the war, we're arming the war, we've deployed military assets that are actively now trying to shoot down missiles coming from Iran as retaliation for the Israelis launching a completely unprovoked attack on Iran, based on the claim that Iran was about to get nuclear weapons, just weeks away, something they've been saying for 30 years, as we've shown you many times, same thing that was said in 2002. 

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U.S. Involvement in Israel's Iran Attack; the View from Tehran: Iranian Professor on Reactions to Strikes; CATO Analysts on Dangers and War Escalations

The following is an abridged transcript from System Update’s most recent episode. You can watch the full episode on Rumble or listen to it in podcast form on Apple, Spotify, or any other major podcast provider.  

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Today's most important news is obvious: Israel last night launched a major military assault on Iran, targeting residential buildings in Tehran, where military commanders and nuclear physicists live with their families, as well as bombing multiple nuclear facilities throughout the country. 

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Federal Court Dismisses & Mocks Lawsuit Brought by Pro-Israel UPenn Student; Dave Portnoy, Crusader Against Cancel Culture, Demands No More Jokes About Jews; Trump's Push to Ban Flag Burning
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The following is an abridged transcript from System Update’s most recent episode. You can watch the full episode on Rumble or listen to it in podcast form on Apple, Spotify, or any other major podcast provider.  

System Update is an independent show free to all viewers and listeners, but that wouldn’t be possible without our loyal supporters. To keep the show free for everyone, please consider joining our Locals, where we host our members-only aftershow, publish exclusive articles, release these transcripts, and so much more!

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In the first segment, we’ll talk about the victimhood narrative that holds that American Jews, in general, and Jewish students on college campuses in particular, are uniquely threatened, marginalized and endangered. One of the faces of this student victimhood narrative has become Eyal Yakoby, who is a vocal pro-Israel activist and a student at the University of Pennsylvania. 

In 2024, he was invited by House Republicans to stand next to House Speaker Mike Johnson and he proclaimed: I do not feel safe. He said it over and over. “I do not feel safe” has kind of become the motto for his adult life. Now, he seized on those opportunities by initiating a lawsuit against the University of Pennsylvania seeking damages for what he said was the school's failure to fulfill its duties to keep him safe. Mind you, he was never physically attacked, never physically menaced, never physically threatened, but nonetheless claimed that the school had failed to keep him safe and told the congress in the country that he did not feel safe. 

The federal judge who is presiding over his lawsuit, who just happens to be a Jewish judge, a conservative judge, appointed by George W. Bush, not only dismissed Yakoby's lawsuit as without any basis, but really viciously mocked it, depicting his claims as a little more than petulant entitled demands from a privileged Ivy League student who wants to not be exposed to any ideas or political activism that might upset him – sort of depicting him as the Princess in “The Princess and the Pea,” Andersen’s literary fairytale about a princess who's so sensitive to anything that might concern her, that she's even unable to sleep if there's a pea buried beneath the seventeenth mattress on which she sleeps. 

This judicial decision is worth examining not only for the schadenfreude of watching one of America's whiniest pro-Israel activists be exposed as a self-interested fraud that he is, but also for what it says about the broader narrative that has been so relentlessly pushed and so endlessly exploited from so many corners, insisting that the supreme victim group of the United States is, of all people, American Jews. 

Then: speaking of extreme entitlement, Barstool founder Dave Portnoy made quite a name for himself over many years by ranting against the evils of cancel culture, championing the virtues of free speech, and viciously mocking as snowflakes and as people who are far too sensitive anyone who takes offense at jokes, offensive jokes told by comedians. That is what made it so odd – yet so telling – when this weekend we watched the very same Dave Portnoy viciously berated one of his employees for disagreeing with Portnoy's insistence that while jokes about everyone and every group continue to be appropriate, there must now be one exception: namely, according to Portnoy, jokes about Portnoy's own group,  American Jews,  must now be suspended and deemed too dangerous to permit. 

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There have been really a lot of radical and fundamental changes, first on the political culture and then in our legal landscape as a result of the attack on October 7, and particularly the desire of the United States – by both parties – to arm the Israelis, to fund the Israelis, to protect the Israelis as they went about and destroyed Gaza. 

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