Digital business models Archives | Page 294 of 564

The US considers chip tracking to prevent smuggling to China

The US is exploring how to build better location-tracking into advanced chips, as part of an effort to prevent American semiconductors from ending up in China.

Michael Kratsios, a senior official behind Donald Trump’s AI strategy, confirmed that software or physical updates to chips are being considered to support traceability.

Instead of relying on external enforcement, Washington aims to work directly with the tech industry to improve monitoring of chip movements. The strategy forms part of a broader national plan to counter smuggling and maintain US dominance in cutting-edge technologies.

Beijing recently summoned Nvidia representatives to address concerns over American proposals linked to tracking features and perceived security risks in the company’s H20 chips.

Although US officials have not directly talked with Nvidia or AMD on the matter, Kratsios clarified that chip tracking is now a formal objective.

The move comes even as Trump’s team signals readiness to lift certain export restrictions to China in return for trade benefits, such as rare-earth magnet sales to the US.

Kratsios criticised China’s push to lead global AI regulation, saying countries should define their paths instead of following a centralised model. He argued that the US innovation-first approach offers a more attractive alternative.

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Google AI Mode raises fears over control of news

Google’s AI Mode has quietly launched in the UK, reshaping how users access news by summarising information directly in search results.

By paraphrasing content gathered across the internet, the tool offers instant answers while reducing the need to visit original news sites.

Critics argue that the technology monopolises UK information by filtering what users see, based on algorithms rather than editorial judgement. Concerns have grown over transparency, fairness and the future of independent journalism.

Publishers are not compensated for content used by AI Mode, and most users rarely click through to the sources. Newsrooms fear pressure to adapt their output to align with Google’s preferences or risk being buried online.

While AI may streamline convenience, it lacks accountability. Regulated journalism must operate under legal frameworks, whereas AI faces no such scrutiny even when errors have real consequences.

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AI tools like Grok 4 may make developers obsolete, Musk suggests

Elon Musk has predicted a major shift in software development, claiming that AI is turning coding from a job into a recreational activity. The xAI CEO believes AI has removed much of the ‘drudgery’ from writing software.

Replying to OpenAI President Greg Brockman, Musk compared the future of coding to painting. He suggested that software creation will be more creative and expressive, no longer requiring professional expertise for functional outcomes.

Musk, a co-founder of OpenAI, left the organisation after a public dispute with the current CEO, Sam Altman. He later launched xAI, which now operates the Grok chatbot as a rival to ChatGPT, Gemini and Claude.

Generative AI firms are accelerating efforts in automated coding. OpenAI recently launched Codex to create a cloud-based software engineering agent, while Microsoft released GitHub Spark AI to generate apps from natural language.

xAI’s latest offering, Grok 4, supports over 20 programming languages and integrates with code editors. It enables developers to write, debug, and understand code using commands.

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Google rolls out Deep Think to Gemini AI Ultra users

Google has launched Deep Think for AI Ultra subscribers within the Gemini app, with the Gemini 2.5-based model also available to select mathematicians, offering powerful tools for complex problem-solving and mathematical exploration.

Google’s Deep Think AI, improved from its I/O version, offers quicker reasoning and enhanced usability. It achieved Bronze-level performance on the 2025 IMO standard in internal benchmarks.

Select mathematicians are now using Deep Think to test conjectures. Google notes its excellence in creative problem-solving through parallel reasoning for refined outcomes.

The model has been given extended inference time, enabling deeper analysis and more inventive answers. Reinforcement learning techniques guide it to explore longer reasoning paths, improving its problem-solving ability.

Beyond maths, Google considers Deep Think useful for design, planning, and coding. It can enhance web development, reason through scientific literature, and tackle algorithmic challenges, supporting users with strategic and iterative thinking across disciplines.

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India becomes McDonald’s global AI centre in major expansion

McDonald’s has declared its intention to significantly expand its footprint in AI, setting a global target of doubling AI investment by 2027. The company has designated Hyderabad, India, as its principal hub outside the US, focusing on data governance, engineering, and platform architecture.

AI technology in India already lives in 400 locations, where order-verifying systems automatically detect and correct errors before food is served. Plans are in place to scale that capability to 40,000 restaurants by 2027, enhancing operational efficiency across global markets.

McDonald’s is expanding AI use beyond order accuracy. Leadership has prioritised tools for forecasting customer demand, adjusting real-time pricing, and analysing product performance. A personalised application in development is intended to unify operations across multiple countries.

The Hyderabad centre aims to employ 2,000 tech professionals while prioritising tool and platform development over large-scale hiring. Similar global offices are being explored in Poland and Mexico.

A creative marketing angle is also emerging: McDonald’s India’s ‘Signature Collection’ campaign used generative AI to let customers design bespoke burgers via a chatbot, augmented by AI visuals, to create engaging brand experiences.

Strategic thinking among multinationals is shifting: firms like McDonald’s, Bupa, and Tesco are setting up global capability centres in India to sidestep competition for AI talent in Western markets. These centres now perform core AI functions rather than support tasks.

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AI is the next iPhone moment, says Apple CEO Tim Cook

Any remaining doubts about Apple’s commitment to AI have been addressed directly by its CEO, Tim Cook.

At an all-hands meeting on Apple’s Cupertino campus, Cook told employees that the AI revolution is as big as the internet, smartphones, cloud computing, and apps.

According to Bloomberg’s Power On newsletter, Cook clarified that Apple sees AI as an imperative. ‘Apple must do this,’ he said, describing the opportunity as ‘ours to grab’.

Despite Apple unveiling its AI suite, Apple Intelligence, only in June, well after competitors, Cook remains optimistic about Apple’s ability to take the lead.

‘We’ve rarely been first,’ he told staff. ‘There was a PC before the Mac; a smartphone before the iPhone; many tablets before the iPad; an MP3 player before the iPod.’

Cook stressed that Apple had redefined these categories and suggested a similar future for AI, declaring, ‘This is how I feel about AI.’

Cook also outlined concrete steps the company is taking. Around 40% of the 12,000 hires made last year were allocated to research and development, with much of the focus on AI.

According to Bloomberg, Apple is also reportedly developing a new cloud-computing chip, code-named Baltra, designed to support AI features. In a recent interview with CNBC, Cook stated that Apple is open to acquisitions that could accelerate its progress in the AI sector.

Apple is not alone in its intense focus on AI. Rival firms are also increasing expectations and pressure. Sergey Brin, the former Google CEO who has returned to the company, told employees that 60-hour in-office work weeks may be necessary to win the AI race.

Reports of burnout and extreme workloads are becoming more frequent across leading AI firms. Former OpenAI engineer Calvin French-Owen recently described the company’s high-pressure and secretive culture.

French-Owen noted that the environment had become so intense that leadership offered the entire staff a week off to recover, according to Wired.

AI has become the next major battleground in big tech, with companies ramping up investment and reshaping internal structures to secure dominance.

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Samsung TV apps are working again after global outage

Samsung smart TVs have returned to normal after a widespread outage that left users unable to access popular streaming apps like YouTube, Apple TV, and Hulu. The disruption began on Thursday evening, with users reporting issues across multiple countries.

While the apps remained visible, attempts to open them produced server maintenance and connectivity errors. Netflix appeared unaffected, likely due to its use of an independent content delivery system.

Samsung has not publicly stated about the outage, and the exact cause remains unknown. Most users now report that their apps are working again.

Some regained access by holding the power button on their remote to perform a hard reboot of the TV.

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Banks invest billions as blockchain goes mainstream

Traditional banks have invested over $100 billion in blockchain projects from 2020 to 2024, showing that digital assets are going mainstream. A report by Ripple, CB Insights, and the UK Centre for Blockchain Technologies reviewed over 10,000 deals and surveyed 1,800 finance leaders globally.

Despite regulatory uncertainty and market volatility, banks are boosting custody, tokenisation, and payment infrastructure investments.

Payment infrastructure attracted the most funding, followed by crypto custody and on-chain foreign exchange. About 25% of investments target firms supporting settlement and asset issuance rails.

Over 90% of finance executives expect blockchain and digital assets to have a significant impact on finance by 2028.

Banks focus on digital asset custody, stablecoins, and tokenised real-world assets, while consumer-facing crypto services remain less critical.

The report highlights that investment aims to modernise finance systems rather than fuel speculation. Many banks plan digital asset initiatives within three years, from tokenised bonds to interoperable layers for CBDCs and stablecoins.

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Zuckerberg’s billion-dollar AI buyout blocked by Aussie innovator

Andrew Tulloch, an Australian AI engineer raised in Perth, has reportedly rejected a US$1 billion (A$1.55 billion) compensation package from Mark Zuckerberg’s Meta.

Tulloch, a University of Sydney mathematics graduate with a near-perfect ATAR, co-founded the AI start-up Thinking Machines Lab earlier this year with former OpenAI CTO Mira Murati.

Thinking Machines Lab, focused on building safer, customisable multimodal AI systems, has already secured US$2 billion in seed funding and is now valued at $12 billion. Investors include major tech firms Nvidia, AMD and Cisco, and the Albanian government.

According to the Wall Street Journal, Meta attempted to acquire the company and later made direct offers to key employees. Tulloch declined the offer, which Meta dismissed as “inaccurate and ridiculous.”

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Eswatini advances digital vision with new laws, 5G and skills training

Eswatini is moving forward with a national digital transformation plan focused on infrastructure, legislation and skills development.

The country’s Minister of ICT, Savannah Maziya, outlined key milestones during the 2025 Eswatini Economic Update, co-hosted with the World Bank.

In her remarks, Maziya said that digital technology plays a central role in job creation, governance and economic development. She introduced several regulatory frameworks, including a Cybersecurity Bill, a Critical Infrastructure Bill and an E-Commerce Strategy.

Additional legislation is planned for emerging technologies such as AI, robotics and satellite systems.

Infrastructure improvements include the nationwide expansion of fibre optic networks and a rise in international connectivity capacity from 47 Gbps to 72 Gbps.

Mbabane, the capital, is being developed as a Smart City with 5G coverage, AI-enabled surveillance and public Wi-Fi access.

The Ministry of ICT has launched more than 11 digital public services and plans to add 90 more in the next three years.

A nationwide coding initiative will offer digital skills training to over 300,000 citizens, supporting wider efforts to increase access and participation in the digital economy.

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