EU regulators seek common approach on DSA

The Coimisiún na Meán has warned that differing interpretations of the Digital Services Act (DSA) by EU regulators are hindering a unified approach to online platform regulation.

Maria Donde, Director of International Affairs at Coimisiún na Meán, highlighted the challenges of aligning various regulators’ approaches to the DSA, which has left room for interpretation.

She emphasised the importance of finding common ground, especially as the DSA, which came into effect last February, imposes transparency and election integrity requirements on platforms.

The DSA requires each EU member state to appoint a Digital Services Coordinator as a point of contact for platforms. Ireland, home to major platforms like TikTok and X, is at the forefront of enforcement.

Donde stressed the need for a consistent voice within the EU, particularly as the law faces criticism globally. The US government has condemned the EU’s regulatory approach, calling it a threat to free speech and accusing Europe of sidelining US tech companies.

The European Commission has already initiated several investigations under the DSA, targeting platforms such as X, TikTok, and Temu. These probes are ongoing, with potential fines for non-compliance reaching up to 6% of a company’s global turnover.

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Elon Musk merges xAI and X to create XAI Holdings

Elon Musk’s AI startup xAI has officially acquired X, the social media platform (formerly Twitter), in an all-stock deal that values the two businesses combined at over $100 billion.

Musk disclosed that the transaction pegs xAI at $80 billion and X at $33 billion, though the latter includes $12 billion in debt, which brings its effective value to $45 billion.

The merged entity, XAI Holdings, streamlines Musk’s sprawling tech empire and solidifies the relationship between his AI pursuits and the platform that provides the training data.

According to Musk, the goal is to unify ‘data, models, compute, distribution and talent,’ enabling tighter integration between X’s reach and xAI’s growing capabilities.

This structural shift also clarifies to investors, many of whom have been concerned about X’s financial direction after Musk’s sweeping changes led to a loss of users and advertising partners.

Musk purchased Twitter in 2022 for $44 billion, which burdened the company with substantial debt. Since then, he has drastically altered the company’s operations and content policies under a ‘free speech absolutism philosophy,’ which has alienated many advertisers.

Although X’s advertising revenue dropped sharply post-acquisition, projections for 2025 show signs of recovery, with US ad sales expected to reach $1.31 billion, marking a 17.5% increase.

xAI, launched in 2023, has quickly positioned itself among leading AI labs. Its chatbot, Grok, has been trained using data from X, offering a competitive edge against other AI giants like OpenAI and Anthropic.

Analysts suggest that owning X gives xAI exclusive access to a rich proprietary data stream, something competitors lack. This advantage could strongly boost Grok’s development and positioning in the market.

Some investors in xAI, such as Andreessen Horowitz, Sequoia Capital, Fidelity, and BlackRock, also have stakes in X, making the merger a logical, if unexpected, evolution.

Financially, it also marks a turning point: banks that held onto Musk’s Twitter debt could finally sell it this year without losses, while X recently raised nearly $1 billion in new equity at a valuation close to its 2022 purchase price.

The merger may also influence broader industry trends. Analysts believe this move could inspire smaller social media platforms to seek strategic alliances with AI developers, especially given xAI’s high valuation.

One thing is clear: the XAI Holdings formation underscores a growing convergence between digital communication infrastructure and AI.

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French watchdog fines Apple for abuse of app tracking tool

Apple has been fined €150 million ($162.42 million) by French antitrust regulators for allegedly abusing its dominant position in mobile app advertising between 2021 and 2023. The fine is the first to be imposed on Apple over its App Tracking Transparency (ATT) tool.

While the tool, which allows iPhone and iPad users to control app tracking, is not criticised itself, the French competition watchdog claimed its implementation was excessive and not proportional to its goal of protecting personal data.

The French regulators stated that ATT particularly harmed smaller publishers, who rely heavily on third-party data for their business. Despite the fine, Apple was not required to modify the ATT tool.

The decision follows complaints from online advertisers, publishers, and internet networks, who accused Apple of misusing its market power. Apple expressed disappointment with the fine but noted that no changes to the tool were mandated.

The fine comes after a €1.8 billion penalty last year from the EU, which accused Apple of restricting music streaming competitors. Additionally, the German antitrust agency has launched a probe into Apple for allegedly giving itself preferential treatment with the same privacy tool.

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Apple developing AI coach for Health app

Apple is reportedly working on a revamped version of its Health app, which will feature an AI coach designed to help users improve their health instead of simply tracking basic data.

The AI coach will offer personalised advice based on data collected from users’ medical devices, with a particular focus on food tracking.

Bloomberg’s Mark Gurman, who initially reported on the project in 2023, now indicates that development is progressing, with the new feature expected to launch as part of iOS 19.4, possibly by spring or summer 2026.

The AI coach is currently being trained using data from Apple’s physicians, and the company plans to incorporate more medical professionals to provide health-related content, including videos, instead of relying solely on general advice. The new service is reportedly being referred to as Health+.

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OpenAI faces copyright debate over Ghibli-style images

Studio Ghibli-style artwork has gone viral on social media, with users flocking to ChatGPT’s feature to create or transform images into Japanese anime-inspired versions. Celebrities have also joined the trend, posting Ghibli-style photos of themselves.

However, what began as a fun trend has sparked concerns over copyright infringement and the ethics of AI recreating the work of established artists instead of respecting their intellectual property.

While OpenAI has allowed premium users to create Ghibli-style images, users without subscriptions can still make up to three images for free.

The rise of this feature has led to debates over whether these AI-generated images violate copyright laws, particularly as the style is closely associated with renowned animator Hayao Miyazaki.

Intellectual property lawyer Even Brown clarified that the style itself isn’t explicitly protected, but he raised concerns that OpenAI’s AI may have been trained on Ghibli’s previous works instead of using independent sources, which could present potential copyright issues.

OpenAI has responded by taking a more conservative approach with its tools, introducing a refusal feature when users attempt to generate images in the style of living artists instead of allowing such images.

Despite this, the controversy continues, as artists like Karla Ortiz are suing other AI generators for copyright infringement. Ortiz has criticised OpenAI for not valuing the work and livelihoods of artists, calling the Ghibli trend a clear example of such disregard.

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Facebook introduces Friends tab for a personalised feed

Facebook is making it easier for users to focus on posts from friends and family with a new Friends tab, with Meta announcing the feature as part of an effort to bring back the ‘OG’ Facebook experience. The latest addition allows users to view a feed filled exclusively with content from their friends.

The Friends tab, located in the tab bar at the bottom of the app, displays posts, stories, and videos from friends, along with birthday reminders, friend requests, and suggested connections. Users in the United States and Canada can customise their tab bar if the feature does not appear automatically.

The move by Meta mirrors similar updates on other social media platforms, such as Threads and X, which introduced dedicated tabs for following-only content.

The change aims to restore Facebook’s original purpose—connecting users with friends and family—by reducing the prominence of algorithm-driven posts from non-followed accounts.

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Google’s popular search feature gets a rival from Perplexity

AI search company Perplexity is developing a feature similar to Google’s popular Circle to Search, according to CEO Aravind Srinivas. He announced on X that the functionality would be ‘coming soon’ to all Android users, though specific details remain unclear.

A demo video shared by Srinivas showed how users can highlight text in conversations with Perplexity and request further information.

In the demo, a user circled a mention of Roger Federer and asked about his net worth, prompting Perplexity to fetch details from the web. However, since Google has trademarked ‘Circle to Search’, Perplexity may need a different name for its version.

Perplexity has been gaining popularity as an AI-powered search assistant, with some users preferring it over Google’s Gemini. The company recently introduced an AI-driven web browser called Comet, though it remains uncertain whether it will expand beyond smartphones to platforms like Windows and macOS.

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AI chatbot shows promise in mental health assistance

Dartmouth College researchers have trialled an AI chatbot, Therabot, designed to assist with mental health care. In a groundbreaking clinical trial, the app was tested on individuals with major depressive disorder (MDD), generalised anxiety disorder (GAD), and those at risk for eating disorders.

The results showed encouraging improvements, with users reporting up to a 51% reduction in depression and a 31% decrease in anxiety. These outcomes were comparable to traditional outpatient therapy.

The trial also revealed that Therabot was effective in helping individuals with eating disorder risks, leading to a 19% reduction in harmful thoughts about body image and weight issues.

Researchers noted that after eight weeks of engagement with the app, participants showed significant symptom reduction, marking progress comparable to standard cognitive therapy.

While Therabot’s success offers hope, experts highlight the importance of balancing AI with human oversight, especially in sensitive mental health applications.

The study’s authors emphasised that while AI can help improve access to therapy, particularly for those unable to access in-person care, generative AI tools must be used cautiously, as errors could have serious consequences for individuals at risk of self-harm.

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WhatsApp wins support in EU fine appeal

WhatsApp has gained support from an adviser to the European Court of Justice in its fight against a higher fine imposed by the EU privacy watchdog.

The Irish Data Protection Authority fined WhatsApp 225 million euros ($242.2 million) in 2021 for privacy breaches.

The fine was increased after the European Data Protection Board (EDPB) intervened.

A lower tribunal had rejected WhatsApp’s challenge, saying the company lacked legal standing. However, WhatsApp appealed to the Court of Justice of the European Union (CJEU).

Advocate General Tamara Capeta disagreed with the tribunal, recommending that the case be referred back to the General Court for further review.

The CJEU usually follows the adviser’s recommendations, and a final ruling is expected soon. This case could have significant implications for the fine imposed on WhatsApp.

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Trump weighs tariff cuts to secure TikTok deal

US President Donald Trump has indicated he is willing to reduce tariffs on China as part of a deal with ByteDance, TikTok’s Chinese parent company, to sell the popular short-video app.

ByteDance faces an April 5 deadline to divest TikTok’s US operations or risk a nationwide ban over national security concerns.

The law mandating the sale stems from fears in Washington that Beijing could exploit the app for influence operations and data collection on American users.

Trump suggested he may extend the deadline if negotiations require more time and acknowledged China’s role in the deal’s approval. Speaking to reporters, he hinted that tariff reductions could be used as leverage to finalise an agreement.

China’s commerce ministry responded by reaffirming its stance on trade discussions, stating that engagement with Washington should be based on mutual respect and benefit.

The White House has taken an active role in brokering a potential sale, with discussions centring on major non-Chinese investors increasing their stakes to acquire TikTok’s US operations. Vice President JD Vance has expressed confidence that a framework for the deal could be reached by the April deadline.

Free speech advocates, meanwhile, continue to challenge the law, arguing that banning TikTok could violate the First Amendment rights of American users.

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