TikTok faces divestment deadline in the US

Senator Richard Blumenthal has reaffirmed that ByteDance must divest TikTok’s US operations by January 19 or risk a ban. The measure, driven by security concerns over potential Chinese surveillance, was signed into law in April. A one-time extension of 90 days is available if significant progress is made, but Blumenthal emphasised that laws cannot be disregarded.

Blumenthal also raised alarms over China’s influence on US technology companies. Tesla’s production in China and the US military’s reliance on SpaceX were flagged as security risks. He pointed to Elon Musk’s economic ties with China as a potential vulnerability, warning that such dependencies could compromise national interests.

Apple faced criticism for complying with Chinese censorship and surveillance demands while generating significant revenue from the country. Concerns were voiced that major tech companies might prioritise profits over US security. Neither Apple nor Tesla has commented on these claims.

TikTok and ByteDance are challenging the divestment law in court. A decision is expected soon, but restrictions will tighten for app stores and hosting services if compliance is not achieved. The Biden administration has clarified that it supports ending Chinese ownership of TikTok rather than an outright ban.

OpenAI faces lawsuit from Indian News Agency

Asian News International (ANI), one of India’s largest news agencies, has filed a lawsuit against OpenAI, accusing it of using copyrighted news content to train its AI models without authorisation. ANI alleges that OpenAI’s ChatGPT generated false information attributed to the agency, including fabricated interviews, which it claims could harm its reputation and spread misinformation.

The case, filed in the Delhi High Court, is India’s first legal action against OpenAI on copyright issues. While the court summoned OpenAI to respond, it declined to grant an immediate injunction, citing the complexity of the matter. A detailed hearing is scheduled for January, and an independent expert may be appointed to examine the case’s copyright implications.

OpenAI has argued that copyright laws don’t protect factual data and noted that websites can opt out of data collection. ANI’s counsel countered that public access does not justify content exploitation, emphasising the risks posed by AI inaccuracies. The case comes amid growing global scrutiny of AI companies over their use of copyrighted material, with similar lawsuits ongoing in the US, Canada, and Germany.

German court rules Facebook users can seek compensation for data breach

Germany‘s Federal Court of Justice (BGH) has ruled that Facebook users affected by data breaches in 2018 and 2019 are entitled to compensation, even without proving financial losses. The court determined that the loss of control over personal data is sufficient grounds for damages, marking a significant step in data protection law.

The case stems from a 2021 breach involving Facebook’s friend search feature, where third parties accessed user accounts by exploiting phone number guesses. Lower courts in Cologne previously dismissed compensation claims, but the BGH ordered a re-examination, suggesting around €100 in damages could be awarded per user without proof of financial harm.

Meta, Facebook’s parent company, has resisted compensation, arguing that users did not suffer concrete damages. A spokesperson for Meta described the ruling as inconsistent with recent European Court of Justice decisions and noted that similar claims have been dismissed by German courts in thousands of cases. The breach reportedly impacted around six million users in Germany.

The court also instructed a review of Facebook’s terms of use, questioning whether they were transparent and whether user consent for data handling was voluntary. The decision adds pressure on companies to strengthen data protection measures and could set a precedent for future claims across Europe.

Tighter messaging controls for under-13 players on Roblox

Roblox has announced new measures to protect users under 13, permanently removing their ability to send messages outside of games. In-game messaging will remain available, but only with parental consent. Parents can now remotely manage accounts, oversee friend lists, set spending controls, and enforce screen time limits.

The gaming platform, which boasts 89 million users, has faced scrutiny over claims of child abuse on its service. In August, Turkish authorities blocked Roblox, citing concerns over user-generated content. A lawsuit filed in 2022 accused the company of facilitating exploitation, including sexual and financial abuse of a young girl in California.

New rules also limit communication for younger players, allowing under-13 users to receive public broadcast messages only within specific games. Roblox will implement updated content descriptors such as ‘Minimal’ and ‘Restricted’ to classify games, restricting access for users under nine to appropriate experiences.

Access to restricted content will now require users to be at least 17 years old and verify their age. These changes aim to enhance child safety amid growing concerns and highlight Roblox’s efforts to address ongoing challenges in its community.

Brendan Carr to lead FCC in Trump’s push for deregulation

President-elect Donald Trump has nominated Brendan Carr to lead the US Federal Communications Commission (FCC). Carr, an FCC commissioner since 2017, is a familiar figure within the administration and has aligned his policy views with Trump’s conservative agenda, particularly concerning free speech and deregulation. Often criticising tech giants like Alphabet and Meta, accusing them of stifling conservative voices, he has called for revisiting Section 230, which shields platforms from liability over user content. Carr advocates for changes to ensure anti-discrimination norms apply to tech firms and supports laws similar to those in Texas and Florida, enforcing platforms to accept diverse viewpoints. The US Supreme Court, however, is cautious about potential First Amendment conflicts, preserving platforms’ rights to moderate content.

Carr’s proposals extend to involving tech companies in funding the Universal Service Fund, which supports communication infrastructure, arguing their financial involvement is justified. Historically, tech firms have resisted this initiative, citing their substantial investments in infrastructure. Additionally, Carr opposes net neutrality, viewing it as restrictive to innovation. His experience includes contributing to repealing net neutrality under previous FCC Chairman Ajit Pai, with Carr arguing that alleged negative impacts, such as increased costs, did not materialise.

Removing Chinese telecom tech from US networks on national security grounds is also part of Carr’s agenda, seeking additional funding to replace it due to security concerns. He also labels TikTok a national threat, though Trump has softened his stance.

One of Carr’s crucial policy stances is to improve rural internet access through technologies like Starlink’s low-Earth orbit satellites, considering them cost-effective solutions. His agenda pushes for a deregulatory approach, reducing local government and regulatory barriers in telecom infrastructure to encourage growth and innovation.

Carr’s tenure is anticipated to bolster free speech and minimise regulation, aligning with Trump’s advocacy. However, his policies will likely stir debate, especially around balancing constitutional rights and industry demands. This approach suggests a potentially transformative phase for the FCC, marked by contentious discussions over free speech, regulation, and innovation under Trump’s forthcoming presidency.

Elon Musk files antitrust lawsuit against Microsoft and OpenAI

Elon Musk has expanded his legal battle against OpenAI by adding Microsoft to his lawsuit, accusing both companies of engaging in illegal practices to monopolise the generative AI market. The federal antitrust claims, filed in Oakland, California, argue that the partnership between OpenAI and its largest investor, Microsoft, has sidelined competitors and restricted investment opportunities for other AI developers.

Musk’s complaint, which builds on his initial lawsuit from August, claims that OpenAI, which he helped to establish as a nonprofit, has deviated from its original mission. It has transformed into a highly profitable company, valued at $157 billion, and Musk argues that its partnership with Microsoft has created unfair market dominance. He is seeking to have the licensing agreement between the two companies voided and for them to divest assets gained through what he calls monopolistic practices.

The lawsuit also accuses Microsoft and OpenAI of circumventing regulatory oversight by entering exclusive agreements that Musk believes resemble a merger, without going through standard antitrust reviews. OpenAI has dismissed the claims as unfounded, while Musk’s legal team insists that the companies’ actions are damaging competition and transparency in the AI sector.

Musk’s tensions with OpenAI have been ongoing since he left the organisation, which he co-founded to develop safe AI. As OpenAI transitioned to a for-profit structure and secured billions from Microsoft, concerns grew about the concentration of power in the hands of a few dominant players in AI.

Google launches Imagen 3 and Gemini on iPhones

Google has rolled out Imagen 3, its advanced text-to-image generation model, directly within Google Docs. The tool allows users to create realistic or stylised images by simply typing prompts. Workspace customers with specific Gemini add-ons will be the first to access the feature, which is gradually being made available. The addition aims to help users enhance communication by generating customised images without tedious searches.

Imagen 3 initially faced setbacks due to historical inaccuracies in generated images, causing Google to delay its release. Following improvements, the feature launched quietly earlier this year and is now integrated into the Gemini platform. The company emphasises the tool’s ability to streamline creativity and simplify the visual content creation process.

Google has also introduced its Gemini app for iPhone users, following its February release on Android. The app boasts advanced features like Gemini Live in multiple languages and seamless integration of popular Google services such as Gmail, Calendar, and YouTube. Users can also access the powerful Imagen 3 tool within the app.

The Gemini app is designed as an AI-powered personal assistant, bringing innovation and convenience to mobile users globally. Google’s Brian Marquardt highlights the app’s capability to transform everyday tasks, offering users an intuitive and versatile digital companion.

Turkey sanctions Twitch for user data breach

Turkey‘s Personal Data Protection Board (KVKK) has fined Amazon’s gaming platform Twitch 2 million lira ($58,000) following a significant data breach, the Anadolu Agency reported. The breach, involving a leak of 125 GB of data, affected 35,274 individuals in Türkiye.

KVKK’s investigation revealed that Twitch failed to implement adequate security measures before the breach and conducted insufficient risk and threat assessments. The platform only addressed vulnerabilities after the incident occurred. As a result, KVKK imposed a 1.75 million lira fine for inadequate security protocols and an additional 250,000 lira for failing to report the breach promptly.

This penalty underscores the increasing scrutiny and regulatory actions against companies handling personal data in Türkiye, highlighting the importance of robust cybersecurity measures to protect user information.

Meta defends Instagram, WhatsApp acquisitions in high-stakes antitrust trial

A US judge has ruled that Meta Platforms, the parent company of Facebook, must face trial in an antitrust lawsuit filed by the Federal Trade Commission (FTC). The lawsuit, initiated during the Trump administration, alleges that Meta’s acquisitions of Instagram in 2012 and WhatsApp in 2014 were intended to stifle emerging competition and maintain a social media monopoly. Meta has countered the FTC’s claims, arguing that the regulators ignore substantial competition from platforms like TikTok, YouTube, and LinkedIn.

This case is part of a broader crackdown on Big Tech by United States regulators. The FTC and the Department of Justice are pursuing major antitrust lawsuits against several technology giants, including Amazon and Apple. Alphabet’s Google also faces two significant legal challenges, with one case already finding that the company unlawfully restricted competition among search engines. These lawsuits reflect intensified regulatory efforts to address concerns over the market power of leading technology firms.

Meta’s legal battle could set a significant precedent for how tech conglomerates operate and acquire competitors. Critics argue that Meta’s dominance has harmed innovation and user choice, while the company insists it faces robust competition across the digital landscape. As Meta prepares for trial, the outcome could have far-reaching implications for the tech industry and future regulatory actions against monopolistic practices.

La Vanguardia cuts ties with X over toxic content

Spanish newspaper La Vanguardia has announced it will stop posting on X, formerly known as Twitter, citing growing concerns over hate speech, disinformation, and toxic content. The paper, Spain’s fourth most-read publication, criticised the platform’s moderation failures under Elon Musk, claiming it has become an “echo chamber” for conspiracy theories and bots.

The decision follows similar moves by Britain’s The Guardian and highlights growing alarm about X’s role in amplifying harmful narratives, especially amid sensitive events such as Spain’s recent floods. La Vanguardia editor Jordi Juan suspended his personal account, calling the platform’s content increasingly manipulative and profit-driven.

Since Musk’s acquisition of X in 2022, the platform has faced criticism for tolerating misinformation and hate, allegedly to boost ad revenue. The paper noted that X has left key European Union disinformation programs, further eroding trust. While journalists will retain personal accounts, the newspaper itself will suspend activity, preserving its 1.7M-follower archive for historical purposes.