Taco Bell parent company invests $1 billion in AI-powered restaurant technology

Taco Bell is ramping up its use of AI as part of a broader $1 billion investment by parent company Yum Brands in digital and technology.

At a recent investor event in New York, executives showcased the company’s ‘Byte by Yum’ AI tools, which aim to improve labour management and inventory tracking. Taco Bell’s Chief Digital and Technology Officer, Dane Mathews, said AI is already being used to streamline operations without reducing labour costs.

Around 500 Taco Bell locations in the United States now use AI-driven voice technology to handle drive-through orders, a significant increase from 100 locations in mid-2024.

During the investor event, executives presented a video skit demonstrating how AI could assist managers by suggesting staffing adjustments and optimising inventory. Analysts found the presentation both innovative and slightly unsettling, with Yum suggesting AI would help free up employees for other tasks rather than replace them.

Fast food chains are increasingly adopting AI to modernise operations, with companies like McDonald’s and Chipotle also investing in automation and digital tools. While Yum’s AI technology is currently used in nearly 25,000 of its 61,000 global restaurants, executives acknowledged there is still a long road ahead.

Analysts believe Yum may eventually commercialise its AI software beyond its own restaurant network. Taco Bell’s AI-driven strategy comes as the chain projects an 8% rise in same-store sales for the current quarter.

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AI to support China’s social welfare system

China is stepping up the use of AI and big data in elderly and social care as it seeks to address economic challenges posed by a shrinking workforce and an ageing population.

Civil affairs minister Lu Zhiyuan announced the initiative at the ‘Two Sessions’ political gathering, highlighting efforts to make services more accessible and efficient.

The country’s population has declined for a third consecutive year, with over 310 million people now aged 60 and above.

Officials are increasingly turning to technology to drive future growth. Local governments have moved swiftly to integrate AI into public services, with DeepSeek‘s chatbot gaining traction since its latest version was released in January.

Despite restrictions on AI chip sales imposed by the United States, DeepSeek’s cost-effective model has outperformed several Western competitors, reinforcing China’s position in AI development.

President Xi Jinping has reaffirmed the government’s support for AI, recently meeting with leaders from top technology firms, including DeepSeek, Tencent, Huawei and Xiaomi.

The push for AI adoption in social welfare services reflects a broader strategy to maintain economic stability and innovation in the face of demographic challenges.

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Indonesia approves Apple’s local content certificates

Indonesia has granted local content certificates for 20 Apple products, including the iPhone 16 after the company met requirements for locally-made components.

Apple still needs further approvals from the communications and trade ministries before it can officially sell the devices in the country.

The certification follows Apple’s recent pledge to invest over $300 million in Indonesia, including funding component manufacturing plants and a research and development centre.

Last year, the country had banned iPhone 16 sales due to non-compliance with local content rules.

Industry ministry spokesperson Febri Hendri Antoni Arief confirmed that Apple received certificates for 11 phone models and nine tablets.

However, negotiations had been ‘tricky’, according to Indonesia’s industry minister. Apple remains outside the top five smartphone brands in Indonesia, according to research firm Canalyst.

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Reddit launches new tools to improve user engagement

Reddit has introduced new tools to help users follow community rules and track content performance, aiming to boost engagement on the platform. The update comes after a slowdown in user growth due to Google’s algorithm changes, though traffic from the search engine has since recovered.

Among the new features is a ‘rules check’ tool, currently being tested on smartphones, which helps users comply with subreddit guidelines. Additionally, a post-recovery option allows users to repost content in alternative subreddits if their original submission is removed. Reddit will also suggest subreddits based on post content and clarify posting requirements for specific communities.

The company has enhanced its post insights feature, offering detailed engagement metrics to help users refine their content. This follows Reddit’s December launch of Reddit Answers, an AI-powered search tool designed to provide curated summaries of community discussions, which is still in beta testing.

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US House subpoenas Alphabet over content moderation

The US House Judiciary Committee subpoenaed Alphabet on Thursday, demanding information on its communications with the Biden administration regarding content moderation policies. The committee, led by Republican Jim Jordan, also requested similar communications with external companies and groups.

The subpoena specifically seeks details on discussions about restricting or banning content related to US President Donald Trump, Elon Musk, COVID-19, and other conservative topics. Republicans have accused Big Tech companies of suppressing conservative viewpoints, with the Federal Trade Commission warning that coordinating policies or misleading users could breach the law.

Last year, Meta Platforms acknowledged pressure from the Biden administration to censor content, but Alphabet has not publicly distanced itself from similar claims. A Google spokesperson stated the company will demonstrate its independent approach to policy enforcement.

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FCC to vote on GPS alternatives amid rising interference fears

The US Federal Communications Commission (FCC) is set to vote next month on exploring alternatives to GPS due to growing national security concerns.

FCC Chair Brendan Carr warned that relying on a single system for navigation and timing leaves the United States vulnerable to disruptions. Reports of increased GPS interference, particularly spoofing attacks since 2023, have raised fears of accidents if aircraft are misdirected.

Concerns over GPS security have been discussed for years, with President Donald Trump and bipartisan lawmakers calling for action.

The FCC’s March 27 vote will launch an inquiry into alternative Positioning, Navigation, and Timing (PNT) systems that could complement or replace GPS. The aim is to encourage innovation in navigation technology and strengthen resilience against disruptions.

GPS plays a crucial role in aviation, replacing traditional ground-based navigation systems. However, its reliance on satellite signals makes it susceptible to interference.

The Federal Aviation Administration is already working on global authentication measures to counter spoofing threats and improve the security of satellite-based navigation.

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Singapore expands charges in server fraud case

Singapore authorities have filed additional charges against three men in a widening investigation into server fraud, which may involve AI chips, court documents revealed on Thursday.

The suspects are accused of deceiving tech firms Dell and Super Micro by falsely representing the final destination of the servers they purchased.

Officials have stated the servers could contain Nvidia chips but have not confirmed whether they fall under US export controls.

The case is part of a broader probe involving 22 individuals and companies suspected of fraudulent transactions. US authorities are also investigating whether Chinese AI firm DeepSeek has been using restricted American chips.

Singapore has confirmed that some servers were sent to Malaysia, where authorities are now examining if any laws were violated.

Two suspects, Aaron Woon and Alan Wei, face additional fraud charges, while a third, Li Ming, had his earlier charge updated to include an alleged offence dating back to 2023.

Lawyers representing the men have either declined to comment or stated that the case is complex due to its international scope.

Meanwhile, Singapore police have seized 42 electronic devices and are analysing bank statements as they work with foreign law enforcement to trace the movement of funds.

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Alibaba unveils new AI model boosting shares by 8%

Alibaba Group’s latest AI breakthrough sent its Hong Kong-listed shares soaring more than 8% on Thursday.

The e-commerce giant announced its new AI reasoning model, QwQ-32B, which it claims performs on par with DeepSeek’s R1 model despite having far fewer parameters—32 billion compared to 671 billion.

The unveiling comes as China pushes for advancements in AI, humanoid robots, and 6G technology, with government support pledged on Wednesday.

Alibaba’s new model is available through its chatbot service, Qwen Chat, which offers various AI models, including the high-powered Qwen2.5-Max.

The company said QwQ-32B demonstrated strong performance in areas such as mathematical reasoning, coding, and problem-solving, competing closely with top global models like OpenAI’s o1 mini and DeepSeek’s R1.

DeepSeek has gained recognition in China for producing highly efficient AI models at a fraction of the cost of its Western rivals.

Meanwhile, another Chinese AI innovation also made headlines on Thursday. A startup called Monica introduced an AI agent named Manus, which reportedly outperformed OpenAI’s Deep Research on an AI assistant benchmark.

Unlike traditional chatbots, AI agents are designed for more complex tasks, with Manus capable of creating travel itineraries and comparing insurance policies.

Currently available by invitation only, the agent gained significant attention online, with a demonstration video amassing over 280,000 views and users eager to gain access.

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Google unveils experimental AI search for premium users

Google has introduced an experimental version of its search engine that removes the traditional 10 blue links in favour of AI-generated summaries.

The new ‘AI Mode’ is available to subscribers of Google One AI Premium, a $19.99 per month plan, and can be accessed through a tab alongside existing options like Images and Maps.

Users will see a detailed AI summary with hyperlinks to cited sources, replacing standard search results with a search bar for follow-up questions.

The feature is powered by a customised version of Google’s Gemini 2.0 model, designed to handle complex queries more effectively.

AI Overviews, which provide summaries atop search results, are already available in over 100 countries, with advertisements integrated into them since last May. Google says the new AI-driven approach responds to demand from “power users” seeking more AI-generated responses.

As Google pushes deeper into AI-powered search, it faces competition from Microsoft-backed OpenAI, which introduced search capabilities to ChatGPT last October.

The shift has raised concerns among content creators, with edtech company Chegg suing Google in February, alleging that AI previews are reducing demand for original content and hurting publishers’ ability to compete.

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Scale AI wins Pentagon AI contract

Scale AI has secured a multimillion-dollar contract with the US Department of Defense to develop AI tools for military operations. The project, named Thunderforge, is the Pentagon’s flagship AI initiative aimed at enhancing decision-making, simulation, and operational planning. Led by the Defense Innovation Unit, the programme will see collaboration with technology partners such as Microsoft and Anduril, initially focusing on the Indo-Pacific and European Commands before expanding further.

Thunderforge represents a shift towards AI-driven military strategies, promising increased speed and efficiency in modern warfare. The Department of Defense and Scale AI have emphasised the importance of rapid response times, with the technology designed to process vast amounts of information quickly. However, while Scale AI has assured that human oversight will be maintained, the Defence Innovation Unit has not explicitly highlighted this aspect in its communications.

The deal comes as more AI firms reconsider their stance on military applications. Companies like OpenAI, Microsoft, and Google have altered policies that previously restricted AI development for defence purposes. Critics argue that these technologies could be used for harmful applications despite company assurances, raising ethical concerns about the potential for AI in warfare. Some experts warn that firms may have limited control over how their AI is ultimately deployed.

This latest partnership highlights the growing integration of AI into defence strategies, despite previous pushback from tech industry employees. While firms insist their technologies will be used responsibly, concerns remain over the long-term implications of AI-driven warfare and the ability to ensure its ethical use.

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