Competition regulation

Crypto wallet apps must now comply with new Google Play rules

Google Play is introducing new policies for cryptocurrency wallet applications. The new rules will require them to be licensed in more than fifteen countries, including the United States and the European Union.

The changes, which come into effect on 29 October, will require providers in the US to register as a money services business or money transmitter. Those in the EU, meanwhile, must register as a crypto-asset service provider.

The updated rules, which aim to ensure compliance with industry standards, will not apply to non-custodial wallets. Following initial concerns from the crypto community, Google clarified the policy on X, stating that non-custodial apps are not in scope.

The new regulations could lead to a broader adoption of Know Your Customer checks and other anti-money laundering measures for the affected apps.

Google Play has a mixed history with cryptocurrency, having previously banned crypto mining apps in 2018 and removed several crypto news and video games. In 2021, the company removed several deceptive apps for allegedly tricking users into paying for an illegitimate cloud service.

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Perplexity AI offers US$34.5b for Google Chrome

Perplexity AI has made a surprise US$34.5 billion offer to acquire Google’s Chrome browser, which could align with antitrust measures under consideration in the US.

The San Francisco-based startup submitted the proposal in a letter of intent, claiming it would keep Chrome independent while prioritising openness and consumer protection.

The bid arrives as Google awaits a court ruling on potential remedies after being found to have maintained an illegal monopoly in online search.

US government lawyers have suggested Chrome’s divestment instead of allowing Google to strengthen its dominance through AI. Google has urged the court to reject such a move, warning that a sale could harm innovation and reduce quality.

Analysts at Baird Equity Research said Perplexity’s offer undervalues Chrome and may be intended to prompt rival bids or influence the judge’s decision. They added that Perplexity, which already operates its browser, could gain an advantage if Chrome became independent.

Google argues that most Chrome users are outside the US, meaning a forced sale would have global implications. The ruling is expected by the end of August, with the outcome likely to reshape the competitive landscape for browsers as AI increasingly shapes how users access the internet.

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UK-based ODI outlines vision for EU AI Act and data policy

The Open Data Institute (ODI) has published a manifesto setting out six principles for shaping European Union policy on AI and data. Aimed at supporting policymakers, it aligns with the EU’s upcoming digital reforms, including the AI Act and the review of the bloc’s digital framework.

Although based in the UK, the ODI has previously contributed to EU policymaking, including work on the General-Purpose AI Code of Practice and consultations on the use of health data. The organisation also launched a similar manifesto for UK data and AI policy in 2024.

The ODI states that the EU has a chance to establish a global model of digital governance, prioritizing people’s interests. Director of research Elena Simperl called for robust open data infrastructure, inclusive participation, and independent oversight to build trust, support innovation, and protect values.

Drawing on the EU’s Competitiveness Compass and the Draghi report, the six principles are: data infrastructure, open data, trust, independent organisations, an inclusive data ecosystem, and data skills. The goal is to balance regulation and innovation while upholding rights, values, and interoperability.

The ODI highlights the need to limit bias and inequality, broaden access to data and skills, and support smaller enterprises. It argues that strong governance should be treated like physical infrastructure, enabling competitiveness while safeguarding rights and public trust in the AI era.

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Nvidia holds record share of S&P 500

Nvidia now accounts for more than 8% of the S&P 500, the largest share ever held by a single stock since records began in 1981. The company’s market value reached about $4.5 trillion on Monday, driven by unprecedented demand for its AI chips.

Its share price surged 239% in 2023, 171% in 2024, and 36% in 2025.

While investor sentiment remains strong, analysts warn of mounting risks. Political tensions with China, potential export restrictions, and reliance on overseas resellers could threaten sales.

Over the weekend, reports emerged of an agreement with the US government allowing Nvidia and AMD to give 15% of Chinese chip revenue in exchange for export licences, potentially boosting growth by more than 20%.

Infrastructure is another concern. Analysts say customers now face delays from chip shortages, limited power grid capacity, and data centre cooling systems.

Some of Nvidia’s biggest clients could become direct rivals, challenging its 75% profit margin and long-term dominance in AI infrastructure.

Nvidia’s unprecedented weight in the S&P 500 closely ties the index’s performance to its fortunes. While demand for AI hardware remains high, the company’s growth trajectory depends on navigating political, infrastructure, and competitive pressures.

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Musk threatens legal action against Apple over AI App rankings

Elon Musk has announced plans to sue Apple, accusing the company of unfairly favouring OpenAI’s ChatGPT over his xAI app Grok on the App Store.

Musk claims that Apple’s ranking practices make it impossible for any AI app except OpenAI’s to reach the top spot, calling this behaviour an ‘unequivocal antitrust violation’. ChatGPT holds the number one position on Apple’s App Store, while Grok ranks fifth.

Musk expressed frustration on social media, questioning why his X app, which he describes as ‘the number one news app in the world,’ has not received higher placement. He suggested that Apple’s ranking decisions might be politically motivated.

The dispute highlights growing tensions as AI companies compete for prominence on major platforms.

Apple and Musk’s xAI have not responded yet to requests for comment.

The controversy unfolds amid increasing scrutiny of App Store policies and their impact on competition, especially within the fast-evolving AI sector.

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Musk and OpenAI CEO Altman clash over Apple and X

After Elon Musk accused Apple of favouring OpenAI’s ChatGPT over other AI applications on the App Store, there was a strong response from OpenAI CEO Sam Altman.

Altman alleged that Musk manipulates the social media platform X for his benefit, targeting competitors and critics. The exchange adds to their history of public disagreements since Musk left OpenAI’s board in 2018.

Musk’s claim centres on Apple’s refusal to list X or Grok (XAI’s AI app) in the App Store’s ‘Must have’ section, despite X being the top news app worldwide and Grok ranking fifth.

Although Musk has not provided evidence for antitrust violations, a recent US court ruling found Apple in contempt for restricting App Store competition. The EU also fined Apple €500 million earlier this year over commercial restrictions on app developers.

OpenAI’s ChatGPT currently leads the App Store’s ‘Top Free Apps’ list for iPhones in the US, while Grok holds the fifth spot. Musk’s accusations highlight ongoing tensions in the AI industry as big tech companies battle for app visibility and market dominance.

The situation emphasises how regulatory scrutiny and legal challenges shape competition within the digital economy.

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Huawei’s dominance in AI sparks national security debate in Indonesia

Indonesia is urgently working to secure strategic autonomy in AI as Huawei rapidly expands its presence in the country’s critical infrastructure. Officials are under pressure to swiftly adopt enforceable safeguards to balance innovation and security. The aim is to prevent critical vulnerabilities from emerging.

Huawei’s telecom dominance extends into AI through 5G infrastructure, network tools, and AI cloud centres. Partnerships with local telecoms, along with government engagement, position the company at the heart of Indonesia’s digital landscape.

Experts warn that concentrating AI under one foreign supplier could compromise data sovereignty and heighten security risks. Current governance relies on two non-binding guidelines, providing no enforceable oversight or urgent baseline for protecting critical infrastructure.

The withdrawal of Malaysia from Huawei’s AI projects highlights urgent geopolitical stakes. Indonesia’s fragmented approach, with ministries acting separately, risks producing conflicting policies and leaving immediate gaps in security oversight.

Analysts suggest a robust framework should require supply chain transparency, disclosure of system origins, and adherence to data protection laws. Indonesia must act swiftly to establish these rules and coordinate policy across ministries to safeguard its infrastructure.

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DeepSeek’s efficiency forces OpenAI to rethink closed AI model strategy

OpenAI has released reasoning-focused open-weight models in a strategic response to China’s surging AI ecosystem, led by DeepSeek’s disruptive efficiency. Unlike earlier coverage, the shift is framed not merely as competitive posturing but as a deeper recognition of shifting innovation philosophies.

DeepSeek’s rise stems from maximizing limited resources under the US’s export restrictions, proving that top-tier AI doesn’t require massive chip clusters. The agility has emboldened the open-source AI sector in China, where over 10 labs now rival those in the US, fundamentally reshaping competitive dynamics.

OpenAI’s ‘gpt-oss’ models, which reveal numerical parameters for customization, mark a departure from its traditional closed approach. Industry watchers see this as a hybrid play, retaining proprietary strengths while embracing openness to appeal to global developers.

The implications stretch beyond technology into geopolitics. US export controls may have inadvertently fueled Chinese AI innovation, with DeepSeek’s self-reliant architecture now serving as a proof point for resilience. DeepSeek’s achievement challenges the US’s historically resource-intensive approach to AI.

AI rivalry may spur collaboration or escalate competition. DeepSeek advances models like DeepSeek-MoE, while OpenAI strikes a balance between openness and monetization. Global AI dynamics shift, raising both technological and philosophical stakes.

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UAE Ministry of Interior uses AI and modern laws to fight crime

The UAE Ministry of Interior states that AI, surveillance, and modern laws are key to fighting crime. Offences are economic, traditional, or cyber, with data tools and legal updates improving investigations. Cybercrime is on the rise as digital technology expands.

Current measures include AI monitoring, intelligent surveillance, and new laws. Economic crimes like fraud and tax evasion are addressed through analytics and banking cooperation. Cross-border cases and digital evidence tampering continue to be significant challenges.

Traditional crimes, such as theft and assault, are addressed through cameras, patrols, and awareness drives. Some offences persist in remote or crowded areas. Technology and global cooperation have improved results in several categories.

UAE officials warn that AI and the internet of Things will lead to more sophisticated cyberattacks. Future risks include evolving criminal tactics, privacy threats, skills shortages, and balancing security and individual rights.

Opportunities include AI-powered security, stronger global ties, and better cybersecurity. Dubai Police have launched a bilingual platform to educate the public, viewing awareness as the first defence against online threats.

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Nvidia and AMD to pay 15% share of China AI chip revenue to secure US export licences

Nvidia and Advanced Micro Devices have agreed to hand 15% of their Chinese AI chip sales revenue to the US government in return for export licences.

The arrangement, covering Nvidia’s H20 accelerator and AMD’s MI308 model, is considered unusual and could prove contentious for both companies and Beijing.

The deal reflects Washington’s willingness to link trade concessions to financial payments, but analysts note there is little precedent for such a targeted export levy.

Critics warn the move could undermine the national security rationale for export controls, making it harder to convince allies to adopt similar measures. Beijing, meanwhile, has voiced security concerns over the H20 chip’s performance and alleged vulnerabilities.

Industry observers suggest the payment requirement could discourage further expansion by US chipmakers in China, the world’s largest semiconductor importer, and give local producers an advantage in building domestic capacity.

Chinese firms such as Huawei are already increasing market share amid tighter restrictions on US technology.

The potential sums involved are significant. Before restrictions were imposed, Nvidia had generated over $7 billion in H20 sales to China in a single quarter. In comparison, AMD could earn up to $5 billion annually if full access to the market resumed.

However, uncertainties over demand and regulatory conditions remain.

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