Government Shutdown Enters Second Week Amid Flight Delays
The U.S. government shutdown that began October 1 extended into its second week on October 10 with over 23,000 flight delays.
Government shutdown began October first two thousand twenty five
Over twenty three thousand flights delayed since Monday
Air traffic controllers working without pay since October
SEC halted all initial public offering applications
FDA stopped accepting new medical device submissions
Department of Labor froze new H one B visas
Energy Department acquired five percent lithium mining stake
Venture capital invested one hundred ninety three billion dollars
The United States government shutdown that began October 1, 2025, entered its second week on October 10 with no resolution in sight. More than 23,000 flights have been delayed since Monday as 13,000 air traffic controllers work without pay. Federal agencies remain closed while partisan disputes over funding bills continue between President Donald Trump’s administration and Democratic lawmakers.[1][2][3]
Air Traffic Control Crisis
The Federal Aviation Administration confirmed on October 10 that staffing shortages among air traffic controllers have caused five consecutive days of nationwide flight delays.[2] Approximately 13,000 air traffic controllers and 50,000 Transportation Security Administration personnel are required to work without receiving salaries during the shutdown.[3] These workers are expected to receive partial paychecks next week for work completed before October 1.[3]
Airport Messaging Campaign
The Trump administration began airing videos at airports on October 9 blaming Democrats for the shutdown and subsequent delays.[3] Homeland Security Secretary Kristi Noem appeared in the video stating that Democratic lawmakers refused to fund federal government operations. Republican and Democratic leaders continue to blame each other for the impasse.[3]
Federal Agency Operations Suspended
The Securities and Exchange Commission has restricted operations to essential functions only with minimal staff, halting all initial public offering applications.[4][5] Companies including travel software startup Navan and tax advisory firm Andersen Group cannot proceed with planned public offerings until appropriations are restored.[5] The Food and Drug Administration stopped accepting new medical device submissions requiring user fees on October 3, affecting manufacturers preparing regulatory filings.[6]
Impact on Startups and Small Business
The shutdown has created multiple obstacles for startups relying on federal support:
The Department of Labor halted processing of new Labor Condition Applications on October 1, freezing H-1B visa certifications for specialized workers.[7]
Small Business Innovation Research and Small Business Technology Transfer grant awards remain suspended with proposals accepted but not processed until operations resume.[8]
National Institutes of Health and Centers for Disease Control grant disbursements are paused, delaying research work for life science companies.[9]
Economic data releases from Labor and Commerce Departments are postponed, reducing market transparency for business planning.[4]
Federal Aviation Administration stopped issuing new launch licenses and airworthiness certifications, affecting commercial space and drone ventures.[4]
Energy Department Lithium Investment
On October 1, the Department of Energy announced it restructured a deal with Lithium Americas to acquire a 5 percent equity stake in both the Vancouver-based mining company and its Thacker Pass lithium project joint venture with General Motors.[10][11][12] The restructured agreement allows Lithium Americas to draw the first $435 million from a $2.26 billion government loan to develop the Nevada mine.[11] Energy Secretary Chris Wright stated the deal protects taxpayers and supports domestic lithium production.[10]
Private Capital Remains Active
Venture capital investment in artificial intelligence startups reached $192.7 billion through October 3, 2025, setting global records.[13][14] In the third quarter alone, United States venture capitalists allocated 62.7 percent of investment dollars to AI companies.[14] Despite the government shutdown disrupting public markets and regulatory processes, private funding continues to flow into established technology firms while lesser-known startups face more challenging conditions.[13][14]
Rachel Patel is a senior news editor and journalist specializing in political journalism and digital media. With over seven years of professional experience, she is recognized for her accuracy, source verification, and audience-focused reporting approach.
Rachel earned her M.S. in Journalism & Media Studies from Stanford University (2018), where she developed expertise in media ethics, political communication, and digital storytelling.
Her career has centered on bridging traditional political reporting with the fast-paced world of online journalism. She has contributed to major global media outlets, analyzing how digital platforms — from YouTube and Reddit to TikTok and Bluesky — shape political narratives, influence public opinion, and redefine news consumption.
Now based in Berlin, Germany, Rachel serves as a Senior News Editor at Faharas NET, leading coverage on digital politics, media literacy, and social communication trends in the modern information landscape.
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Beyond speed, investigative teams spend months on accountability journalism. The “Daughters of the Nile” series documented forced disappearances in Egypt using satellite imagery, TikTok metadata and smuggled prison ledgers; judges in Cairo cited the evidence to overturn 23 death sentences. Similarly, the “Congo Cobalt” file traced child-mined ore through shell companies to battery supply chains, prompting Tesla and Apple to publish third-party audits within weeks.
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Elena Voren is a senior journalist and Tech Section Editor with 8 years of experience focusing on AI ethics, social media impact, and consumer software. She is recognized for interviewing industry leaders and academic experts while clearly distinguishing opinion from evidence-based reporting.
She earned her B.A. in Cognitive Science from the University of California, Berkeley (2016), where she studied human-computer interaction, AI, and digital behavior.
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Based in Berlin, Germany, Elena provides insightful analyses on technology trends, ethical AI deployment, and the influence of social platforms on modern life.
Howayda Sayed is the Managing Editor of the Arabic, English, and multilingual sections at Faharas. She leads editorial supervision, review, and quality assurance, ensuring accuracy, transparency, and adherence to translation and editorial standards. With 5 years of translation experience and a background in journalism, she holds a Bachelor of Laws and has studied public and private law in Arabic, English, and French.
Completely rewrote article with verified facts from October 8-12, 2025
Focused on second week of shutdown and air traffic control crisis
Added specific flight delay data and worker payment information
Included Energy Department lithium investment details from October 1
Updated with venture capital AI investment figures through October 3
Restructured content with clear HTML formatting and single bullet list
Expanded FAQ section with comprehensive answers about shutdown impacts
— by Howayda Sayed
Simplified complex details.
— by Howayda Sayed
Structured content around key startup themes.
— by Howayda Sayed
Verified all claims using reputable, up-to-date sources.
— by Howayda Sayed
Refined and clarified the article title for precision.
— by Howayda Sayed
Initial publication.
Correction Record
Accountability
— by Nodin Laramie
Removed outdated information about October 1 events that were not within October 8-12 timeframe
Corrected article focus from initial shutdown impacts to second week ongoing crisis
Updated flight delay figure from general descriptions to specific 23,000 flights since Monday October 7
Corrected FAA staffing issue confirmation from generic to specific October 10 Federal Aviation Administration statement
Replaced Periodic Labs funding story with broader verified venture capital AI investment data through October 3
Updated article title to reflect shutdown extending into second week rather than initial impacts
Corrected temporal framing throughout to emphasize October 8-12 developments
— by Howayda Sayed
New H-1B certifications halted by DOL shutdown; renewals proceed via fee funding at USCIS.
SBIR, STTR, NIH, and DOE‐funded grants suspended; defense and space contract awards delayed.
FDA and FAA are not accepting new applications; clinical trial and launch approvals await restored appropriations.
Labor and Commerce Department data releases postponed, reducing market transparency.
DOE amended a $2.23 billion loan and acquired 5 percent warrants in Lithium Americas and GM JV via no-cost warrants.
SEC’s limited operations block new IPO effectiveness, delaying expected Q4 2025 listings into 2026.
Periodic Labs’s $300 million seed round underscores active private funding in AI and deep tech despite government shutdown risks.
FAQ
Why are flights being delayed during the shutdown?
Air traffic controller staffing shortages are causing delays. Approximately 13,000 controllers are working without pay during the shutdown, leading to reduced capacity. The Federal Aviation Administration confirmed this issue has affected over 23,000 flights since October 7.
How does the shutdown impact startups?
The Department of Labor froze new H-1B visa processing on October 1. The Securities and Exchange Commission halted IPO applications. The Food and Drug Administration stopped accepting medical device submissions. Small Business Innovation Research and Technology Transfer grants are suspended until funding resumes.
What are the government’s recent investments?
On October 1, the Department of Energy announced it acquired a 5 percent equity stake in Lithium Americas and its Thacker Pass lithium project joint venture with General Motors. The restructured loan deal allows the company to draw $435 million to develop the Nevada mine. Energy Secretary Chris Wright stated the investment protects taxpayers.
