The US Securities and Exchange Commission (SEC) has reopened its investigation into Neuralink, Elon Musk’s brain-chip startup, according to a letter shared by Musk on X, formerly known as Twitter. The letter, dated Dec. 12 and written by Musk’s attorney Alex Spiro, also revealed that the SEC issued Musk a 48-hour deadline to settle a probe into his $44 billion takeover of Twitter or face charges. The settlement amount remains undisclosed.
Musk’s tumultuous relationship with the SEC has resurfaced amid allegations that he misled investors about Neuralink’s brain implant safety. Despite ongoing investigations, the extent to which the SEC can take action against Musk is uncertain. Musk, who also leads Tesla and SpaceX, is positioned to gain significant political leverage after investing heavily in supporting Donald Trump’s presidential campaign. Trump, in turn, has appointed Musk to a government reform task force, raising questions about potential regulatory leniency toward his ventures.
In the letter, Spiro criticised the SEC’s actions, stating Musk would not be “intimidated” and reserving his legal rights. This marks the latest in a series of clashes between Musk and the SEC, including a 2018 lawsuit over misleading Tesla-related tweets, which Musk settled by paying $20 million and stepping down as Tesla chairman. Both the SEC and Neuralink have yet to comment on the reopened investigation.
Samsung has filed a legal challenge against India‘s Competition Commission (CCI), accusing the watchdog of unlawfully detaining employees and seizing data during a 2022 raid connected to an antitrust investigation involving Amazon and Walmart-owned Flipkart. The CCI claims Samsung colluded with the e-commerce giants to launch products exclusively online, a practice it argues violates competition laws.
In its filing with the northern city of Chandigarh’s High Court, Samsung alleged that confidential data was improperly taken from its employees during the raid and requested the return of the material. Samsung has secured an injunction to pause the CCI’s proceedings but seeks a broader ruling to prevent the use of the seized data. The CCI, in turn, has asked the Supreme Court to consolidate similar challenges by Samsung and 22 other parties, arguing that companies are attempting to derail the investigation.
The case stems from findings earlier this year that Amazon, Flipkart, and smartphone companies like Samsung engaged in anti-competitive practices by favouring select sellers and using exclusive product launches. While Amazon and Flipkart deny wrongdoing, brick-and-mortar retailers have long criticised their pricing and market strategies. Samsung, a major smartphone brand in India with a 14% market share, maintains it was wrongly implicated and cooperated only as a third party in the investigation.
Australia’s government is set to introduce new rules requiring major tech companies to pay Australian media outlets for news content. Companies such as Meta and Google could face millions in charges if they fail to reach commercial agreements with publishers. The Assistant Treasurer emphasised that the rules aim to foster fair negotiations, with charges applying only to platforms earning over $250 million in Australian revenue.
The proposed regulations follow previous efforts to hold tech firms accountable for news content. Laws passed in 2021 required firms to compensate publishers, leading to temporary disruptions on Meta’s platforms before agreements were reached. However, Meta announced it would end those arrangements by 2024, scaling back its promotion of news globally.
The plan has drawn criticism from tech companies, who argue that most users do not access platforms for news and that publishers willingly share content for exposure. Despite these objections, Australian media organisations, including News Corp, anticipate benefits. The government’s broader efforts to regulate Big Tech include banning under-16s from social media and targeting scams.
Australia’s bold stance continues to set precedents for handling global tech giants, adding to growing international scrutiny. News publishers are optimistic about forming new commercial relationships under the proposed framework.
Australia‘s Federal Court has fined Bit Trade, the local operator of cryptocurrency exchange Kraken, A$8 million ($5.1 million) for unlawfully offering credit facilities to over 1,100 customers. The ruling came after the Australian Securities and Investments Commission (ASIC) filed civil proceedings against the company, accusing it of non-compliance with regulations for its margin trading product.
ASIC revealed that Bit Trade failed to assess whether its margin extensions—a form of credit repayable in digital assets like bitcoin or national currencies—were suitable for customers. This led to combined customer losses exceeding $5 million, while Bit Trade charged over $7 million in fees and interest. The court classified the margin extension product as a credit facility requiring a specific consumer suitability document, which the company had not provided.
In a statement, Kraken expressed disappointment, arguing the ruling could stifle economic growth in Australia. The exchange emphasised its willingness to work with regulators to shape the evolving cryptocurrency framework. The case marks a milestone for ASIC, as it is the first penalty imposed on a company for failing to provide a target market determination for a financial product.
The US Justice Department has urged a federal appeals court to reject TikTok‘s emergency request to delay a law requiring its Chinese parent company, ByteDance, to divest from the app by 19 January or face a nationwide ban. TikTok argued the law threatens to shut down one of America’s most popular social media platforms, which boasts over 170 million US users, while the Justice Department maintains that continued Chinese ownership poses a national security risk.
While the law would not immediately block users from accessing TikTok, the Justice Department admitted the lack of ongoing support would eventually render the app inoperable. A three-judge appeals court panel recently upheld the divestment requirement, and ByteDance has asked the US Supreme Court to review the case.
The controversy places TikTok’s future in the hands of the incoming presidential administration. President Joe Biden could grant a 90-day extension to the divestment deadline before President-elect Donald Trump, who has vowed to prevent a ban, takes office on January 20. Trump’s stance on TikTok has been consistent since his unsuccessful attempts to ban the app during his first term.
The law also strengthens the US government’s powers to ban other foreign-owned apps over data security concerns, following a broader trend initiated under Trump, including an earlier attempt to block Tencent-owned WeChat. As legal battles continue, TikTok’s operations in the US hang in the balance.
Policymakers seeking to regulate AI face an uphill battle as the science evolves faster than safeguards can be devised. Elizabeth Kelly, director of the US Artificial Intelligence Safety Institute, highlighted challenges such as “jailbreaks” that bypass AI security measures and the ease of tampering with digital watermarks meant to identify AI-generated content. Speaking at the Reuters NEXT conference, Kelly acknowledged the difficulty in establishing best practices without clear evidence of their effectiveness.
The US AI Safety Institute, launched under the Biden administration, is collaborating with academic, industry, and civil society partners to address these issues. Kelly emphasised that AI safety transcends political divisions, calling it a “fundamentally bipartisan issue” amid the upcoming transition to Donald Trump’s presidency. The institute recently hosted a global meeting in San Francisco, bringing together safety bodies from 10 countries to develop interoperable tests for AI systems.
Kelly described the gathering as a convergence of technical experts focused on practical solutions rather than typical diplomatic formalities. While the challenges remain significant, the emphasis on global cooperation and expertise offers a promising path forward.
The Australian Federal Police (AFP) is increasingly turning to AI to handle the vast amounts of data it encounters during investigations. With investigations involving up to 40 terabytes of data on average, AI has become essential in sifting through information from sources like seized phones, child exploitation referrals, and cyber incidents. Benjamin Lamont, AFP’s manager for technology strategy, emphasised the need for AI, given the overwhelming scale of data, stating that AI is crucial to help manage cases, including reviewing massive amounts of video footage and emails.
The AFP is also working on custom AI solutions, including tools for structuring large datasets and identifying potential criminal activity from old mobile phones. One such dataset is a staggering 10 petabytes, while individual phones can hold up to 1 terabyte of data. Lamont pointed out that AI plays a crucial role in making these files easier for officers to process, which would otherwise be an impossible task for human investigators alone. The AFP is also developing AI systems to detect deepfake images and protect officers from graphic content by summarising or modifying such material before it’s viewed.
While the AFP has faced criticism over its use of AI, particularly for using Clearview AI for facial recognition, Lamont acknowledged the need for continuous ethical oversight. The AFP has implemented a responsible technology committee to ensure AI use remains ethical, emphasising the importance of transparency and human oversight in AI-driven decisions.
Luke Littler, a 17-year-old darts sensation, has made history as the youngest player to reach the World Darts Championship final and later became Google’s most-searched athlete in the UK for 2024. Dubbed “The Nuke,” Littler’s breakout year began with a record-setting performance in January and culminated in major victories, including the Grand Slam of Darts and the Premier League Darts title.
His meteoric rise saw him ranked fourth globally and trending higher on Google than figures like the prime minister and the King. Littler’s nine-dart finish at the Bahrain Darts Masters and his string of high-profile wins captured global attention, drawing millions of viewers and sparking widespread online interest.
Reflecting on his remarkable success, Littler said, “It’s been an amasing year for me personally and for darts as a sport. Being recognised in Google’s Year in Search is a huge honor and shows how much the sport is growing.” His achievements highlight a banner year for young athletes breaking boundaries and captivating audiences worldwide.
President-elect Donald Trump has appointed Andrew Ferguson as the next chair of the US Federal Trade Commission (FTC), signaling a dramatic policy shift for the agency. Ferguson, who joined the FTC as a commissioner earlier this year, is set to take over on ‘day one’ of Trump’s administration, replacing Lina Khan. Khan’s tenure focused on regulating Big Tech, earning praise for her aggressive antitrust stance.
Ferguson promises to reverse what he calls Khan’s ‘anti-business agenda’ and tackle what he terms ‘Big Tech censorship’ and ‘wokeness.’ He emphasises a commitment to protecting free speech and ensuring America’s leadership in technology and innovation. Ferguson’s policy blueprint, revealed in a document obtained by Punchbowl News, also includes plans to counter the ‘trans agenda’ as part of broader cultural battles tied to his vision for the FTC.
Trump also announced Mark Meador, an antitrust lawyer, as a nominee for FTC commissioner. Together, Ferguson and Meador aim to reshape the FTC into a body that prioritises competition, innovation, and what they describe as the restoration of free-market principles. These appointments mark a significant pivot from the current US administration’s regulatory approach to Big Tech.
TikTok‘s Canadian branch has filed an emergency motion with the country’s Federal Court to review a government order requiring it to cease operations due to national security concerns. The company, owned by China’s ByteDance, is challenging the December 5 order and seeking either its annulment or a return to the government for further review. The motion argues that shutting down TikTok’s Canadian operations could result in significant job losses.
The legal challenge comes after Canada began investigating TikTok’s plans to expand its business in the country last year. The investigation led to last month’s order, which did not block Canadian access to the app but mandated the company’s exit from the Canadian market. TikTok emphasised the importance of maintaining a local presence for its platform in Canada, where it has over 14 million monthly users.
Under Canadian law, the government can assess foreign investments’ risks to national security, though details of the investigations are kept confidential. The case follows similar actions in the US, where the government has pressured ByteDance to sell TikTok’s US assets by January 2025 or face a ban. TikTok is currently seeking a temporary block on this US law as well.
