Competition regulation

Celebrity estates push back on Sora as app surges to No.1

OpenAI’s short-video app Sora topped one million downloads in under a week, then ran headlong into a likeness-rights firestorm. Celebrity families and studios demanded stricter controls. Estates for figures like Martin Luther King Jr. sought blocks on unauthorised cameos.

Users showcased hyperreal mashups that blurred satire and deception, from cartoon crossovers to dead celebrities in improbable scenes. All clips are AI-made, yet reposting across platforms spread confusion. Viewers faced a constant real-or-fake dilemma.

Rights holders pressed for consent, compensation, and veto power over characters and personas. OpenAI shifted toward opt-in for copyrighted properties and enabled estate requests to restrict cameos. Policy language on who qualifies as a public figure remains fuzzy.

Agencies and unions amplified pressure, warning of exploitation and reputational risks. Detection firms reported a surge in takedown requests for unauthorised impersonations. Watermarks exist, but removal tools undercut provenance and complicate enforcement.

Researchers warned about a growing fog of doubt as realistic fakes multiply. Every day, people are placed in deceptive scenarios, while bad actors exploit deniability. OpenAI promised stronger guardrails as Sora scales within tighter rules.

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Anthropic boosts cloud capacity with Google’s AI hardware

Anthropic has struck a multibillion-dollar deal with Google to expand its use of cloud computing and specialised AI chips. The agreement includes the purchase of up to one million Tensor Processing Units, Google’s custom hardware built to train and run large AI models.

The partnership will provide Anthropic with more than a gigawatt of additional computing power by late 2026. Executives said the move will support soaring demand for its Claude model family, which already serves over 300,000 business clients.

Anthropic, founded by former OpenAI employees, has quickly become a major player in generative AI. Backed by Amazon and valued at $183 billion, the company recently launched Claude Sonnet 4.5, praised for its coding and reasoning abilities.

Google continues to invest heavily in AI hardware to compete with Nvidia’s GPUs and rival US tech giants. Analysts said Anthropic’s expansion signals intensifying demand for computing power as companies race to lead the global AI revolution.

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Tech giants push AI agents into web browsing

Tech companies are intensifying competition to reshape how people search online through AI-powered browsers. OpenAI’s new Atlas browser, built around ChatGPT, can generate answers and complete web-based tasks such as making shopping lists or reservations.

Atlas joins rivals like Microsoft’s Copilot-enabled Edge, Perplexity’s Comet, and newer platforms Dia and Neon. Developers are moving beyond traditional assistants, creating ‘agentic’ AI capable of acting autonomously while keeping user experience familiar.

Google remains dominant, with Chrome holding over 70 percent of the browser market and integrating limited AI features. Analysts say OpenAI could challenge that control by combining ChatGPT insights with browser behaviour to personalise search and advertising.

Experts note the battle extends beyond browsers as wearables and voice interfaces evolve. Controlling how users interact with AI today, they argue, could determine which company shapes digital habits in the coming decade.

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Apple may have to pay $1.9B in damages to UK consumers over unfair App Store fees

Apple could face damages of up to £1.5 billion ($1.9 billion) after a British court ruled it overcharged consumers by imposing unfair commission fees on app developers.

The Competition Appeal Tribunal found that Apple abused its dominant position between 2015 and 2020 by charging excessive commissions, up to 30%, on App Store purchases and in-app payments. Judges ruled that the company’s fees should not have exceeded 17.5% for app sales and 10% for in-app transactions, concluding that half of the inflated costs were passed on to consumers.

The total damages, to be set next month, would compensate users who paid higher prices for apps, subscriptions and digital purchases. Apple said it will appeal, arguing that the App Store ‘helps developers succeed and provides consumers with a safe and trusted place to discover apps and make payments’.

The ruling comes as Apple continues to resist more burdensome antitrust regulation in Europe, which adds to Apple’s growing list of competition battles across Europe. Courts in the Netherlands and Belgium have accused the company of blocking alternative payment methods and charging excessive commissions, while similar lawsuits are ongoing in the United States.

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UN cybercrime treaty signed in Hanoi amid rights concerns

Around 73 countries signed a landmark UN cybercrime convention in Hanoi, seeking faster cooperation against online crime. Leaders cited trillions in annual losses from scams, ransomware, and trafficking. The pact enters into force after 40 ratifications.

UN supporters say the treaty will streamline evidence sharing, extradition requests, and joint investigations. Provisions target phishing, ransomware, online exploitation, and hate speech. Backers frame the deal as a boost to global security.

Critics warn the text’s breadth could criminalise security research and dissent. The Cybersecurity Tech Accord called it a surveillance treaty. Activists fear expansive data sharing with weak safeguards.

The UNODC argues the agreement includes rights protections and space for legitimate research. Officials say oversight and due process remain essential. Implementation choices will decide outcomes on the ground.

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MLK estate pushback prompts new Sora 2 guardrails at OpenAI

OpenAI paused the ability to re-create Martin Luther King Jr. in Sora 2 after Bernice King objected to user videos. Company leaders issued a joint statement with the King estate. New guardrails will govern depictions of historical figures on the app.

OpenAI said families and authorised estates should control how likenesses appear. Representatives can request removal or opt-outs. Free speech was acknowledged, but respectful use and consent were emphasised.

Policy scope remains unsettled, including who counts as a public figure. Case-by-case requests may dominate early enforcement. Transparency commitments arrived without full definitions or timelines.

Industry pressure intensified as major talent agencies opted out of clients. CAA and UTA cited exploitation and legal exposure. Some creators welcomed the tool, showing a split among public figures.

User appetite for realistic cameos continues to test boundaries. Rights of publicity and postmortem controls vary by state. OpenAI promised stronger safeguards while Sora 2 evolves.

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EU MiCA greenlight turns Blockchain.com’s Malta base into hub

Blockchain.com received a MiCA license from Malta’s Financial Services Authority, enabling passported crypto services across all 30 EEA countries under one EU framework. Leaders called it a step toward safer, consistent access.

Malta becomes the hub for scaling operations, citing regulatory clarity and cross-border support. Under the authorisation, teams will expand secure custody and wallets, enterprise treasury tools, and localised products for the EU consumers.

A unified license streamlines go-to-market and accelerates launches in priority jurisdictions. Institutions gain clearer expectations on safeguarding, disclosures, and governance, while retail users benefit from standardised protections and stronger redress.

Fiorentina D’Amore will lead the EU strategy with deep fintech experience. Plans include phased rollouts, supervisor engagement, and controls aligned to MiCA’s conduct and prudential requirements across key markets.

Since 2011, Blockchain.com says it has processed over one trillion dollars and serves more than 90 million wallets. Expansion under MiCA adds scalable infrastructure, robust custody, and clearer disclosures for users and institutions.

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Japan’s G-QuAT and Fujitsu sign pact to boost quantum competitiveness

Fujitsu and AIST’s G-QuAT have signed a collaboration to lift Japan’s quantum competitiveness, aligning roadmaps, labs, and funding toward commercialisation. The pact focuses on practical outcomes: industry-ready prototypes, interoperable tooling, and clear pathways from research to deployment.

The partners will pool superconducting know-how, shared fabs and test sites, and structured talent exchanges. Common testbeds will reduce duplication, lift throughput, and speed benchmarks. Joint governance will release reference designs, track milestones, and align on global standards.

Scaling quantum requires integrated systems, not just faster qubits. Priorities include full-stack validation across cryogenics and packaging, controls, and error mitigation. Demonstrations target reproducible, large-scale superconducting processors, with results for peer review and industry pilots.

G-QuAT will act as an international hub, convening suppliers, universities, and overseas labs for co-development. Fujitsu brings product engineering, supply chain, and quality systems to translate research into deployable hardware. External partners will be invited to run comparative trials.

AIST anchors the effort with the national research capacity of Japan and a mission to bridge lab and market. Fujitsu aligns commercialization and service models to emerging standards. Near-term work packages include joint pilots and verification suites, followed by prototypes aimed at industrial adoption.

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EU investigates Meta and TikTok for DSA breaches

The European Commission has accused Meta and TikTok of breaching the Digital Services Act (DSA), highlighting failures in handling illegal content and providing researchers access to public data.

Meta’s Facebook and Instagram were found to make it too difficult for users to report illegal content or receive responses to complaints, the Commission said in its preliminary findings.

Investigations began after complaints to Ireland’s content regulator, where Meta’s EU base is located. The Commission’s inquiry, which has been ongoing since last year, aims to ensure that large platforms protect users and meet EU safety obligations.

Meta and TikTok can submit counterarguments before penalties of up to six percent of global annual turnover are imposed.

Both companies face separate concerns about denying researchers adequate access to platform data and preventing oversight of systemic online risks. TikTok is under further examination for minor protection and advertising transparency issues.

The Commission has launched 14 such DSA-related proceedings, none concluded.

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Microsoft faces legal action for alleged Copilot subscription deception

The Australian Competition and Consumer Commission (ACCC) has launched Federal Court proceedings against Microsoft Australia and its parent company. The regulator alleges Microsoft misled 2.7 million Australians over Microsoft 365 subscription changes after adding its AI assistant, Copilot.

The ACCC says Microsoft told subscribers to accept higher-priced Copilot plans or cancel, without mentioning the cheaper Classic plan that kept original features. Customers could only discover this option by starting the cancellation process.

ACCC Chair Gina Cass-Gottlieb said Microsoft deliberately concealed the Classic plan to push users onto more expensive subscriptions. She noted that Microsoft 365 is essential for many and that customers deserve transparent information to make informed choices.

The regulator believes many users would have stayed with their original plans if they had known all the options.

The ACCC is seeking penalties, injunctions, and redress, claiming millions faced financial harm from higher renewal charges. The case underscores the regulator’s focus on protecting consumers in the digital economy and ensuring fair practices by major technology firms.

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