Competition regulation Archives | Page 38 of 113

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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Russia orders Apple to set Russian search engine by default

Russia’s federal anti-monopoly service has ordered Apple to preinstall a Russian-made search engine, such as Yandex or Mail.ru, by default on all devices sold in Russia and the Eurasian Economic Union. The regulator claims Apple’s current setup gives foreign providers unfair market advantages.

The letter from FAS director Maxim Shaskolsky said Apple’s practices breach consumer protection laws by denying users equal access to local services. Authorities argue that default settings favour non-Russian search engines and restrict fair competition within domestic markets.

Apple has until 31 October to comply or face potential fines and restrictions. Russia’s Ministry of Digital Affairs warned of serious consequences if the company ignores the directive. Officials noted that Google previously avoided penalties after offering users a search engine choice.

Apple’s relations with Moscow have been tense since 2024, when the firm removed VPN apps under government pressure. Digital rights groups described the move as a threat to privacy, and analysts see the latest demand as part of Russia’s push for greater online control.

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Australia demands answers from AI chatbot providers over child safety

Australia’s eSafety Commissioner has issued legal notices to four major AI companion platforms, requiring them to explain how they are protecting children from harmful or explicit content.

Character.ai, Nomi, Chai, and Chub.ai were all served under the country’s Online Safety Act and must demonstrate compliance with Australia’s Basic Online Safety Expectations.

The notices follow growing concern that AI companions, designed for friendship and emotional support, can expose minors to sexualised conversations, suicidal ideation, and other psychological risks.

eSafety Commissioner Julie Inman Grant said the companies must show how their systems prevent such harms, not merely react to them, warning that failure to comply could lead to penalties of up to $825,000 per day.

AI companion chatbots have surged in popularity among young users, with Character.ai alone attracting nearly 160,000 monthly active users in Australia.

The Commissioner stressed that these services must integrate safety measures by design, as new enforceable codes now extend to AI platforms that previously operated with minimal oversight.

A move that comes amid wider efforts to regulate emerging AI technologies and ensure stronger child protection standards online.

Breaches of the new codes could result in civil penalties of up to $49.5 million, marking one of the toughest online safety enforcement regimes globally.

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