Davos spotlight: AI regulation needs global consistency

The CEO of Japanese IT giant NTT DATA has called for global standards in AI regulation to mitigate the risks posed by the rapidly advancing technology. Speaking at the World Economic Forum in Davos, Switzerland, Abhijit Dubey emphasised that inconsistent regulations could lead to significant challenges. He argued that standardised global rules are essential for addressing issues like intellectual property protection, energy efficiency, and combating deepfakes.

Dubey pointed out that the key to unlocking AI’s potential lies not in the technology itself, which he believes will continue to improve rapidly, but in ensuring businesses are prepared to adopt it. A company’s ability to leverage AI, he said, depends on the readiness of its workforce and the robustness of its data architecture.

He stressed that companies must align their AI strategies with their broader business objectives to maximise productivity gains. ‘The biggest issue isn’t the technology it’s whether organisations are set up to implement it effectively,’ Dubey noted.

The discussion at Davos highlighted the urgent need for collaboration among governments, businesses, and industry leaders to create cohesive AI regulations that balance innovation with risk management.

Meta’s smart glasses with AI: More hype than help

Meta’s new Ray-Ban smart glasses, featuring a Live AI assistant, promise a futuristic way to interact with the world. Users can ask questions about their surroundings, with the AI offering answers in real time. From recipe ideas to decorating advice, Live AI aims to be a virtual assistant that sees what you see and responds conversationally.

Despite its intriguing potential, Live AI struggles in everyday use. Its responses often state the obvious, like suggesting scrambled eggs when a fridge has two eggs and no milk. Users also find it challenging to remember to use the feature, with a smartphone search frequently feeling more practical and efficient. Moreover, the AI’s suggestions often lack the depth needed to be genuinely useful.

Making Live AI effective requires users to master the art of asking precise, specific questions a skill that doesn’t come naturally to everyone. This, combined with issues like misinterpreting conversations and a short battery life, makes the technology feel less magical in real-world scenarios. While the glasses point to a vision of hands-free AI, they currently struggle to provide a compelling alternative to existing devices.

Zuckerberg drives Meta’s bold AI ambitions with $65 billion plans for 2025

Meta Platforms plans to invest up to $65 billion in 2025 to strengthen its artificial intelligence infrastructure, positioning itself against competitors OpenAI and Google. Chief Executive Mark Zuckerberg announced the plans, including ramped-up hiring for AI roles and the development of a massive 2-gigawatt data centre, enough to cover much of Manhattan.

The company, a significant buyer of Nvidia’s AI chips, aims to have over 1.3 million graphics processors in place by the end of the year. Meta intends to introduce about 1 gigawatt of computing power in 2025, marking a pivotal step in its strategy. Zuckerberg highlighted the transformative potential of AI, predicting its influence on Meta’s products and business over the coming years.

Competition in the AI sector has intensified, with companies like Microsoft and Amazon also committing tens of billions to AI infrastructure. Meta’s announcement follows news of Stargate, a $500 billion AI venture involving OpenAI, SoftBank, and Oracle. Analysts suggest Meta’s timing underscores its determination to remain a key player in the AI race.

Meta has distinguished itself with its open-source Llama AI models, which are freely accessible to consumers and businesses. Zuckerberg expects Meta’s AI assistant, already serving 600 million users, to reach over 1 billion by 2025. The planned investment significantly exceeds previous spending levels, signalling Meta’s commitment to leading in the rapidly evolving AI landscape

Major AI data centre under construction in Texas

A large-scale data centre tied to Donald Trump’s US$100 billion Stargate initiative is being built in Abilene, Texas. Covering 875 acres, the site is comparable in size to New York’s Central Park.

The project involves collaboration between OpenAI, SoftBank, and Oracle, with Oracle leasing the facilities. Construction is led by Crusoe Energy Systems, Blue Owl Capital, and Primary Digital Infrastructure, while financing comes from JPMorgan Chase and others.

The initial phase includes a 200-megawatt data centre, with future plans to expand capacity to 1.2 gigawatts. At least 57 full-time jobs are expected at the site, offering average annual salaries of US$57,600.

Abilene’s development underscores Texas’s growing importance in AI and digital infrastructure, marking a significant milestone in the Stargate initiative.

OpenAI launches AI assistant for everyday tasks

OpenAI has launched an advanced AI agent, Operator, designed to automate repetitive online tasks such as ordering groceries or booking restaurants. Operator uses its own browser to interact with buttons, menus, and text fields, removing the need for custom API integrations.

The tool operates independently once enabled, but it is designed to seek user approval for actions involving sensitive information like logins or payments. Its functionality relies on OpenAI’s GPT-4o vision model and advanced reasoning capabilities, allowing it to self-correct mistakes or transfer control back to users when needed.

Operator is currently in a research preview phase, available exclusively to US-based ChatGPT Pro subscribers. Feedback from early adopters will shape its future development before it becomes accessible to more users.

OpenAI is collaborating with companies including DoorDash, Uber, and StubHub to align Operator with real-world needs and industry norms, ensuring practicality and reliability for diverse applications.

Zira launches AI platform for telecom operators

Bosnia and Herzegovina-based Zira has introduced a new AI-powered platform designed to help telecom operators maximise their business support system (BSS) data. The platform uses predictive and generative AI to enhance operations, optimise pricing strategies, and adapt to shifting market trends. Wholesale operators can leverage the tool to improve route efficiency, manage traffic volumes, and boost customer experiences while safeguarding service continuity.

Research highlights the growing interest in AI within the telecoms sector. A recent survey by Arthur D. Little found that 71% of telecom executives cited enhanced customer experience as a key benefit of AI integration. Intelligent network optimisation and predictive maintenance were also identified as critical advantages, reducing downtime and operational costs by up to 30%.

Zira’s Chief Product Officer Amir Turalić emphasised the platform’s potential, stating its forecasting capabilities address capacity and pricing challenges while informing better decision-making. Turalić noted Zira is collaborating with clients on live projects to support diverse use cases and refine the platform.

The telecom industry’s adoption of AI remains largely theoretical, with limited deployment stories to date. Zira’s innovation seeks to bridge this gap, providing a tailored solution for the BSS layer and accelerating the adoption of AI-driven tools across networks.

Stargate AI project sparks tension between Trump and Musk

President Donald Trump dismissed criticism from Elon Musk regarding a $500 billion artificial intelligence project announced earlier this week. The venture, named Stargate, involves OpenAI, SoftBank, and Oracle, with plans to construct data centres and create over 100,000 US jobs. Key leaders, including Masayoshi Son of SoftBank, Sam Altman of OpenAI, and Larry Ellison of Oracle, joined Trump at the White House for the announcement.

Musk, who has served as a close adviser to Trump, expressed doubts on social media about the project’s financial backing, claiming SoftBank lacks the necessary funds. The Tesla CEO and world’s richest man has a long-standing rivalry with OpenAI CEO Sam Altman, a central figure in the initiative. Musk questioned whether the collaboration could secure adequate investment for the ambitious venture.

In response, Trump dismissed the concerns, suggesting Musk’s comments stemmed from personal animosity toward Altman. Trump highlighted that the project would not rely on government funding, emphasising that the private entities involved are financially capable. He downplayed any potential fallout with Musk, stating that disagreements are natural in such high-stakes partnerships.

A Trump adviser hinted that tensions between the two could escalate, potentially jeopardising their working relationship. Musk currently leads Trump’s government efficiency initiative, raising questions about how this dispute might affect their collaboration.

Trump orders AI action plan to enhance US dominance

US President Donald Trump has signed an executive order aimed at solidifying the country’s dominance in artificial intelligence. The directive includes creating an Artificial Intelligence Action Plan within 180 days to promote economic competitiveness, national security, and human well-being. The White House confirmed this initiative as part of efforts to position the nation as a global AI leader.

Trump has also instructed his AI and national security advisers to dismantle policies implemented by former President Joe Biden. Among these is a 2023 order requiring AI developers to submit safety test results to the government for systems with potential risks to national security, public safety, or the economy.

Biden’s policies aimed to regulate AI development under the Defence Production Act to minimise risks posed by advanced technologies. Critics argue the approach imposed unnecessary constraints, while supporters viewed it as a safeguard against potential misuse of AI.

The latest move reflects Trump’s broader strategy to reshape the nation’s AI framework, focusing on economic growth and innovation while rolling back measures seen as restrictive.

Stargate venture to support OpenAI, according to FT.

Stargate, a new joint venture formed by OpenAI, SoftBank, and Oracle, aims to build data centres across the US to support the growing demands of AI. According to a report by the Financial Times on Thursday, these data centres will be dedicated solely to OpenAI, the company behind the popular ChatGPT. The collaboration between these tech giants underscores the increasing importance of robust infrastructure to power the next wave of AI innovation.

The exclusive focus on OpenAI’s needs comes when AI technologies rapidly expand, with the demand for high-performance computing capabilities soaring. The partnership will allow OpenAI to scale its operations and provide the necessary computing power for its cutting-edge AI models. As companies worldwide race to develop more advanced AI tools, the infrastructure provided by Stargate is expected to play a crucial role in supporting the next generation of AI services.

Oracle and SoftBank’s involvement brings significant expertise in cloud infrastructure and global telecom, making the venture a powerful alliance in the competitive AI landscape. The project highlights the growing intersection of cloud computing, data storage, and AI as companies like OpenAI push the boundaries of what AI can achieve.

GameOn founder faces fraud charges

The founder and former CEO of GameOn, an AI startup in San Francisco, has been indicted for orchestrating a six-year-long fraud scheme that allegedly defrauded investors and the company out of over $60 million. Alexander Beckman, 41, faces 23 criminal charges, while his wife, Valerie Lau Beckman, 38, who worked as a lawyer for the company, is charged with 16 counts, including obstruction. Both have pleaded not guilty. The US Securities and Exchange Commission has also filed civil charges against the couple.

Beckman is accused of deceiving investors by inflating the company’s financial status, including fabricating fake customer relationships, overstating revenue, and creating fraudulent bank statements and audit reports. He allegedly went as far as impersonating individuals to share false information. Meanwhile, Lau Beckman allegedly assisted her husband by providing authentic audit reports to help fabricate false documents and delete critical files after an investigation began.

The Beckmans are also accused of misusing investor funds for personal expenses, including purchasing a luxury home, vehicles, and covering costs for their wedding. The fraudulent activities reportedly continued up until Beckman’s resignation as CEO in July 2024. GameOn, which has since been rebranded as On Platform, eventually admitted to the financial discrepancies and laid off most of its employees.

The case underscores the need for integrity in the tech industry, particularly within startups, as federal prosecutors emphasise that fraud cannot fuel innovation.