Washington has blacklisted over two dozen Chinese entities, including Zhipu AI and Sophgo, for alleged links to restricted chip technology in Huawei processors. The Commerce Department has also tightened export controls on chips that could be diverted to Huawei.
Zhipu AI, backed by Tencent and Alibaba, was accused of contributing to China’s military modernisation through advanced AI research. Sophgo faced scrutiny after a chip found in Huawei’s Ascend 910B AI system matched one it ordered from Taiwan Semiconductor Manufacturing Co (TSMC).
The measures impose stricter licensing requirements for chip exports, targeting semiconductors at 14 or 16-nanometre nodes used in AI applications. New restrictions also affect DRAM memory, crucial for high-bandwidth AI processing, which could impact Chinese chipmaker CXMT.
Zhipu AI denied the claims, while Sophgo stated it had no direct or indirect ties to Huawei. Huawei and TSMC declined to comment on the latest sanctions, which build on previous curbs against Huawei and its network of suppliers.
TikTok faces an uncertain future as the US government’s 19 January 2025 deadline approaches, demanding ByteDance divest its US operations or face a nationwide ban. The ultimatum, backed by the Supreme Court’s apparent readiness to uphold the decision, appears to be the culmination of years of scrutiny over the platform’s data practices and ties to China. Amid this mounting pressure, reports suggest Elon Musk, the owner of X (formerly Twitter), could acquire TikTok’s US operations, a proposal that has sparked debates about its feasibility and geopolitical implications.
Now, let’s see how it began..
How did the TikTok odyssey begin?
The story of TikTok began in 2014 with Musical.ly, a social media app enabling users to create and share lip-sync videos. Founded in Shanghai, it quickly gained traction among US and European teenagers. By 2017, Musical.ly had over 100 million users and caught the attention of ByteDance, a Chinese tech giant that acquired it for $1 billion. In 2018, ByteDance merged Musical.ly with its domestic app Douyin, launching TikTok for international audiences. Leveraging powerful machine-learning algorithms, TikTok’s ‘For You Page’ became its defining feature, captivating users with an endless stream of personalised content.
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By 2018, TikTok had become one of the most downloaded apps globally, surpassing giants like Facebook and Instagram. Its cultural influence exploded, reshaping how content was created and consumed. From viral dance challenges to comedic skits, TikTok carved out a unique space in the digital world, particularly among younger users. However, its meteoric rise also brought scrutiny. Concerns emerged over user data privacy and potential manipulation by its parent company ByteDance, which critics claimed had ties to the Chinese government.
The ‘ban or divest’ saga
The incipit of the current conflict can be traced back to 2020 when then-President Donald Trump attempted to ban TikTok and Chinese-owned WeChat, citing fears that Beijing could misuse US data or manipulate public discourse through the platforms. The courts blocked Trump’s effort, and in 2021, President Joe Biden revoked the Trump-era orders, but initiated its review of TikTok’s data practices, keeping the platform under scrutiny. Despite challenges, TikTok continued to grow, surpassing 1 billion active users by 2021. It implemented community guidelines and transparency measures to address content moderation and concerns about misinformation. It also planned to store US user data on Oracle-operated servers to mitigate fears of Chinese government access. However, bipartisan concerns over TikTok’s influence persisted, especially regarding its ties to the Chinese government and the potential data misuse. Lawmakers and US intelligence agencies have long raised alarms about the vast amount of data TikTok collects on its US users and the potential for Beijing to exploit this information for espionage or propaganda. Therefore, last year, Congress passed a bill with overwhelming support requiring ByteDance to divest its US assets, marking the strictest legal threat the platform has ever faced.
The 19 January 2025 deadline and the rumours about Elon Musk’s potential acquisition of TikTok
By 2024, TikTok was at the centre of a geopolitical storm. The US government’s demand for divestment or a ban by 19 January 2025 intensified the platform’s challenges. Amid these disputes, Elon Musk, owner of X (formerly Twitter), has emerged as a potential buyer for TikTok’s US operations. Musk’s ties to US and Chinese markets via Tesla’s Shanghai production hub position him as a unique figure in this debate. If Musk were to acquire TikTok, it could bolster X’s advertising reach and data capabilities, aligning with his broader ambitions in AI and technology. However, such a sale would involve overcoming numerous hurdles, including ByteDance’s valuation of TikTok at $40–50 billion and securing regulatory approvals from both Washington and Beijing. On the other hand, ByteDance, backed by Beijing, is resisting the sale, arguing that the conditioning violates free speech and poses significant logistical hurdles.
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TikTok has attempted to safeguard its US user base of 170 million by planning to allow users to download their data in case the ban takes effect. It has also reassured its 7,000 US employees that their jobs and benefits are secure, even if operations are halted. While new downloads would be prohibited under the ban, existing users could retain access temporarily, although the platform’s functionality would degrade over time.
The looming deadline has sparked a surge in alternative platforms, such as RedNote (known in China as Xiaohongshu), which has seen a significant influx of US users in anticipation of TikTok’s potential exit.
TikTok’s cultural legacy and future
The fate of TikTok in the US hangs in the balance as President-elect Donald Trump considers an executive order to delay the enforcement of the ‘ban or divest’ law by up to 90 days. The potential extension, supported by figures from both political sides, including Senate Majority Leader Chuck Schumer and Trump’s incoming national security adviser Mike Waltz, aims to provide ByteDance, TikTok’s Chinese owner, additional time to divest its US operations and avoid a nationwide ban. With over 170 million American users and substantial ad revenue at risk, lawmakers are increasingly wary of the disruption a ban could cause, signalling bipartisan support to keep the app operational while addressing national security concerns. TikTok CEO Shou Zi Chew’s attendance at Trump’s inauguration further hints at a shift in relations between the platform and the new administration. Meanwhile, the uncertainty has already driven US users to explore alternatives like RedNote as the clock ticks down to the Sunday deadline.
Either way, TikTok’s impact on culture and technology is undeniable. It has redefined digital content creation and inspired competitors like Instagram Reels and YouTube Shorts. Yet, its journey highlights the challenges of navigating geopolitical tensions and concerns over data privacy in a hyper-connected world. As the 19 January deadline looms, TikTok stands at a crossroads. Whether it becomes part of Musk’s tech empire, succumbs to a US ban, or finds another path, its legacy as a trailblazer in short-form video content remains secure. The platform’s next chapter, however, hangs in the balance, as these TikTok developments underscore the broader implications of its struggles, including the reshaping of the social media landscape and the role of government intervention in regulating digital platforms.
Crypto scammers have increasingly turned to Telegram malware scams, with reports revealing a staggering 2,000% rise in such incidents since November. Unlike traditional phishing scams, these schemes involve fake verification bots within bogus trading, airdrop, and alpha groups, tricking users into downloading malware. Once installed, the malware allows attackers to steal passwords, crypto wallet keys, and browser data.
Security experts have noted this shift as scammers adapt to user awareness of phishing links. Malware tactics, such as fake Cloudflare verification pages and copied text injection, now dominate the landscape. Security firm Scam Sniffer highlighted that these scams target legitimate communities and rely on sophisticated social engineering to lure victims.
The consequences are severe yet difficult to measure, with $2.3 billion stolen in 2024 across 165 incidents, according to Cyvers. Whilst losses in December were lower than usual, scammers continue to evolve their methods, making these attacks increasingly challenging to counter.
Italian startup iGenius has launched Colosseum 355B, a large language model built using the latest Nvidia technology, designed for industries with strict data protection and compliance needs. CEO Uljan Sharka highlighted the challenges that tight regulations pose for AI adoption in sectors like finance, heavy industry, and government, where data security is paramount.
Unlike major competitors like OpenAI, iGenius offers open-source AI models that allow companies to run the technology on their own infrastructure, ensuring that sensitive data remains in-house. The startup is already in talks with potential clients in the financial services and industrial sectors.
Sharka also traveled to Brussels to present the new model to the European Commission, aiming to gain regulatory approval and foster wider adoption in Europe’s heavily regulated markets.
TikTok is preparing to shut down its US operations on Sunday unless a federal ban is averted at the last minute, according to sources. The ban, stemming from a law signed last April, requires TikTok’s Chinese parent company, ByteDance, to sell its US assets by January 19 or face nationwide restrictions. The Supreme Court is currently deliberating on whether to uphold or pause the ban, but no ruling has been made yet.
President-elect Donald Trump, set to take office the day after the ban would take effect, is reportedly considering a temporary suspension of the shutdown. However, legal uncertainty clouds the possibility of such action. Meanwhile, the Biden administration, in its final days, has signalled it will not block the ban without a credible divestment plan from ByteDance. TikTok has argued that the law violates First Amendment rights and warned that a prolonged ban could lead to significant user loss and global disruptions to its services.
If the ban proceeds, TikTok plans to display a pop-up message informing users of the shutdown and allow them to download their data. The app would become largely inoperable as US companies would no longer be permitted to provide critical services for its maintenance. TikTok has emphasised its ability to restore operations quickly if the ban is reversed but warned that the shutdown would impact not just American users but its global platform due to its reliance on US-based infrastructure.
The political and legal standoff has sparked widespread public and corporate reactions. Social media users have expressed disappointment at the impending ban, while TikTok’s US operations, employing over 7,000 workers, hang in the balance. Despite ongoing efforts to delay the enforcement, the platform faces an uncertain future as Sunday’s deadline looms.
OpenAI has introduced a new beta feature called Tasks in ChatGPT, expanding into the virtual assistant market. Tasks will let users schedule future actions such as reminders for concert ticket sales or recurring updates like daily weather reports.
ChatGPT may also suggest tasks based on user conversations, with users retaining control to accept or decline them. The feature aims to compete with virtual assistants like Apple’s Siri and Amazon’s Alexa, both of which are being enhanced with AI capabilities.
The updated Alexa will include generative AI features for task automation, with Amazon CEO Andy Jassy announcing its launch in the coming months. Apple has also integrated ChatGPT into Siri under its ‘Apple Intelligence’ initiative, seeking user permission for queries sent to OpenAI’s service.
The US Justice Department has removed malware from over 4,200 computers worldwide in an operation targeting a hacking group linked to the Chinese government. The malware, known as ‘PlugX,’ was used to steal information and compromise systems across the United States, Europe, and Asia. Investigators identified the cybercriminals behind the attack as ‘Mustang Panda’ and ‘Twill Typhoon,’ groups believed to have received financial support from China.
Court documents filed in the US District Court for the Eastern District of Pennsylvania allege that the Chinese government paid Mustang Panda to develop PlugX. The malware has been active since at least 2014 and was used not only to target governments and businesses but also Chinese political dissidents. Officials described the operation as a critical step in neutralising cyber threats backed by foreign states.
Authorities emphasised the growing risks posed by state-sponsored hacking groups and their ability to infiltrate global networks. The Justice Department remains committed to dismantling cyber threats and preventing adversaries from exploiting sensitive information. The scale of the attack highlights the persistent threat of cyber espionage and the need for international cooperation in addressing cybersecurity challenges.
Polymarket, a cryptocurrency-based prediction market, has come under fire for alleged violations of Singapore’s strict gambling laws. Authorities blocked access to the platform, deeming it an unlicensed gambling site. Those who attempt to bypass restrictions risk hefty fines and jail time under the Gambling Control Act 2022.
Further criticism erupted as Polymarket allowed users to bet on tragic events like the devastating Palisades wildfire in Los Angeles. The platform’s wildfire-related betting markets have been widely condemned as unethical, with accusations of profiting from human suffering. Polymarket’s attempts to defend its actions have done little to appease public outrage.
Meanwhile, Polymarket faces intense scrutiny in the US. The FBI recently raided CEO Shayne Coplan’s residence, seizing electronic devices, while the CFTC subpoenaed Coinbase for information on the platform’s activities. Despite its rapid growth during the US elections, with record-breaking trading volumes, Polymarket now grapples with plummeting activity and mounting regulatory challenges.
A French interior designer, identified as Anne, has fallen victim to a sophisticated scam in which she was tricked into believing she was in a relationship with actor Brad Pitt. Over the course of a year, the scammer, using AI-generated images and fake social media profiles, manipulated Anne into sending €830,000 for purported cancer treatment after a fabricated story involving the actor’s frozen bank accounts.
The scam began when Anne received messages from a fake ‘Jane Etta Pitt,’ claiming the Hollywood star needed someone like her. As Anne was going through a divorce, the AI-generated Brad Pitt sent declarations of love, eventually asking for money under the guise of urgent medical needs. Despite doubts raised by her daughter, Anne transferred large sums, believing she was saving a life.
The truth came to light when Anne saw Brad Pitt in the media with his current partner, and it became clear she had been scammed. However, instead of support, her story has been met with cyberbullying, including mocking social media posts from groups like Toulouse FC and Netflix France. The harassment has taken a toll on Anne’s mental health, and police are now investigating the scam.
The case highlights the dangers of AI scams, the vulnerabilities of individuals, and the lack of empathy in some online responses.
A massive data breach has hit Gravy Analytics, a major US location data broker, compromising precise smartphone location data and internal company information. Hackers claim to have gained access to the company’s systems since 2018, exposing sensitive coordinates that track individuals’ movements. The stolen data includes customer details from prominent firms like Uber, Apple, and government contractors.
Gravy Analytics, through its subsidiary Venntel, has previously sold large amounts of location data to US government agencies. The breach highlights significant security lapses, with the stolen data now at risk of being sold on the dark web. The precise latitude and longitude records could put individuals, especially those in vulnerable positions, in danger.
The incident has sparked fresh scrutiny over data brokers, who often collect and sell sensitive information with little transparency. In December, the FTC moved to restrict Gravy Analytics from selling location data except in cases of national security or law enforcement. Critics argue that these companies prioritise profits over privacy and have called for stricter regulations to hold them accountable.
