Digital business models Archives | Page 415 of 581

New Zealand central bank warns of AI risks

The Reserve Bank of New Zealand has warned that the swift uptake of AI in the financial sector could pose a threat to financial stability.

A report released on Monday highlighted how errors in AI systems, data privacy breaches and potential market distortions might magnify existing vulnerabilities instead of simply streamlining operations.

The central bank also expressed concern over the increasing dependence on a handful of third-party AI providers, which could lead to market concentration instead of healthy competition.

A reliance like this, it said, could create new avenues for systemic risk and make the financial system more susceptible to cyber-attacks.

Despite the caution, the report acknowledged that AI is bringing tangible advantages, such as greater modelling accuracy, improved risk management and increased productivity. It also noted that AI could help strengthen cyber resilience rather than weaken it.

The analysis was published just ahead of the central bank’s twice-yearly Financial Stability Report, scheduled for release on Wednesday.

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Trump says America needs crypto to stay ahead

Donald Trump has renewed his support for the cryptocurrency industry, calling it vital for America’s innovation and future. In an interview with NBC News, the president stressed that the US should embrace crypto. He warned that the country could fall behind global competitors like China without action.

He described the sector as young but increasingly significant.

Trump pointed to Bitcoin’s resilience during recent market volatility, claiming it has outpaced traditional sectors such as US stocks. He argued that the growing interest in crypto reflects its potential as a long-term hedge. Millions of people around the world are now engaging with the industry.

Addressing speculation about his gains, Trump denied profiting from his pro-crypto stance. He stated that he hasn’t even reviewed his crypto portfolio and dismissed accusations related to his TRUMP token and other family ventures.

Despite backlash and ethical concerns, Trump remains committed to making the US a global leader in digital assets.

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RackBank launches $118 million AI data centre park in India

RackBank has opened a new AI data centre park in Nava Raipur, Chhattisgarh, with an initial investment of ₹10 billion (around $118 million).

Instead of relying on conventional data infrastructure, the facility focuses on GPU-based computing, AI processing and data analytics, and is expected to generate over 500 jobs, primarily in the IT sector.

Spread across 13.5 acres, the park includes a designated Special Economic Zone and begins operations with a 5 MW capacity. Rather than stopping there, RackBank plans to scale the facility to 150 MW, which could draw an additional ₹20 billion in investment.

The park has been designed to position India as a competitive force in AI infrastructure.

Instead of standard cooling methods, RackBank is deploying its proprietary direct-to-chip and Varuna liquid immersion systems, which aim to cut cooling costs by up to 70% and enhance energy efficiency.

The company envisions the centre as a hub for academic, industrial and governmental collaboration, helping businesses leverage India’s growing GPU capabilities.

Officials see the initiative as a major step toward digital self-reliance. Rather than concentrating such developments in traditional tech hubs, the project puts Chhattisgarh on the national map for data management and AI innovation.

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Google admits using opted-out content for AI training

Google has admitted in court that it can use website content to train AI features in its search products, even when publishers have opted out of such training.

Although Google offers a way for sites to block their data from being used by its AI lab, DeepMind, the company confirmed that its broader search division can still use that data for AI-powered tools like AI Overviews.

An initiative like this has raised concern among publishers who seek reduced traffic as Google’s AI summarises answers directly at the top of search results, diverting users from clicking through to original sources.

Eli Collins, a vice-president at Google DeepMind, acknowledged during a Washington antitrust trial that Google’s search team could train AI using data from websites that had explicitly opted out.

The only way for publishers to fully prevent their content from being used in this way is by opting out of being indexed by Google Search altogether—something that would effectively make them invisible on the web.

Google’s approach relies on the robots.txt file, a standard that tells search bots whether they are allowed to crawl a site.

The trial is part of a broader effort by the US Department of Justice to address Google’s dominance in the search market, which a judge previously ruled had been unlawfully maintained.

The DOJ is now asking the court to impose major changes, including forcing Google to sell its Chrome browser and stop paying to be the default search engine on other devices. These changes would also apply to Google’s AI products, which the DOJ argues benefit from its monopoly.

Testimony also revealed internal discussions at Google about how using extensive search data, such as user session logs and search rankings, could significantly enhance its AI models.

Although no model was confirmed to have been built using that data, court documents showed that top executives like DeepMind CEO Demis Hassabis had expressed interest in doing so.

Google’s lawyers have argued that competitors in AI remain strong, with many relying on direct data partnerships instead of web scraping.

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Cyber incident disrupts services at Marks & Spencer

Marks & Spencer has confirmed that a cyberattack has disrupted food availability in some stores and forced the temporary shutdown of online services. The company has not officially confirmed the nature of the breach, but cybersecurity experts suspect a ransomware attack.

The retailer paused clothing and home orders on its website and app after issues arose over the Easter weekend, affecting contactless payments and click-and-collect systems. M&S said it took some systems offline as a precautionary measure.

Reports have linked the incident to the hacking group Scattered Spider, although M&S has declined to comment further or provide a timeline for the resumption of online orders. The disruption has already led to minor product shortages and analysts anticipate a short-term hit to profits.

Still, M&S’s food division had been performing strongly, with grocery spending rising 14.4% year-on-year, according to Kantar. The retailer, which operates around 1,000 UK stores, earns about one-third of its non-food sales online. Shares dropped earlier in the week but closed Tuesday slightly up.

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Meta introduces face recognition to help UAE users recover hacked accounts

Meta is introducing facial recognition tools to help UAE users recover hacked accounts on Facebook and Instagram and stop scams that misuse public figures’ images. The technology compares suspicious ads to verified profile photos and removes them automatically if a match is found.

Well-known individuals in the region are automatically enrolled in the programme but can opt out if they choose. A new video selfie feature has also been rolled out to help users regain access to compromised accounts.

This allows identity verification through a short video matched with existing profile photos, offering a faster and more secure alternative to document-based checks.

Meta confirmed that all facial data used for verification is encrypted, deleted immediately after use, and never repurposed.

The company says this is part of a broader effort to fight impersonation scams and protect both public figures and regular users, not just in the UAE but elsewhere too.

Meta’s regional director highlighted the emotional and financial harm such scams can cause, reinforcing the need for proactive defences.

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Premium subscribers on X to get 4K video upload option

X is introducing support for 4K video uploads for select creators, aiming to enhance engagement and reduce reliance on rival platforms like YouTube.

The company announced that premium subscribers will soon gain access to this high-resolution feature, expanding beyond the existing 1080p limit.

Since Elon Musk acquired the platform, X has steadily increased video upload limits to encourage richer content sharing. Earlier this year, the company launched a vertical video feed with a dedicated shortcut in its mobile apps.

The move comes amid speculation around a potential TikTok ban in the US, offering X an opportunity to gain traction with video-focused users. X has not yet confirmed whether the current upload size or duration restrictions will change.

These updates reflect X’s broader push to position itself as a viable destination for video creators. By offering higher-quality uploads and a streamlined viewing experience, the platform aims to retain users and attract content from elsewhere

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Microsoft says AI now writes nearly a third of its code

Microsoft CEO Satya Nadella revealed that AI now writes between 20% and 30% of the company’s internal code.

He shared this figure during a fireside conversation with Meta CEO at the recent LlamaCon conference. Nadella added that AI-generated output varies by programming language.

Nadella’s comments came in response to a question from Zuckerberg, who admitted he didn’t know the figure for Meta. Google’s CEO Sundar Pichai recently reported similar figures, saying AI now generates over 30% of Google’s code.

Despite these bold claims, there’s still no industry-wide standard for measuring AI-written code. The ambiguity suggests such figures should be interpreted cautiously. Nevertheless, the trend highlights the growing impact of generative AI on software development.

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Trump Media may launch a crypto wallet and token

Trump Media & Technology Group is considering launching a crypto token and digital wallet to complement its Truth+ streaming service.

The new asset would be introduced as part of a broader rewards programme. It could be used to pay for subscriptions before expanding to other offerings within the company’s ecosystem.

Other components of the ‘Truth ecosphere’ include Truth Social, a social network favoured by Donald Trump, and Truth.Fi, a recently launched fintech platform. Truth.Fi is developing investment products with an ‘America-First’ theme.

It aims to combine cryptocurrencies and traditional assets in customised ETFs by the end of the year.

Despite declining prices of Trump-affiliated me me coins, including those linked to Donald and Melania Trump, Trump Media remains committed to crypto.

The firm has already pledged up to $250 million of its cash reserves to Bitcoin and similar assets. Its annual meeting is scheduled for Wednesday.

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Meta unveils personalised AI assistant

Meta Platforms has launched a dedicated AI assistant app powered by its open-source Llama 4 language model, stepping up efforts to compete with leading chatbot providers like OpenAI.

Unlike typical AI chat tools, Meta AI integrates personal data from the company’s popular platforms, including Facebook, Instagram, WhatsApp and Messenger, to deliver more tailored responses.

According to Meta, the assistant can remember details users choose to share and adapt its replies based on individual preferences and behaviours across its services.

The personalised functionality is currently limited to users in the United States and Can a da. The launch coincides with Meta’s first LlamaCon event, held on 29 April at its California headquarters.

CEO Mark Zuckerberg has committed up to $65 billion in capital expenditure to strengthen the company’s AI infrastructure. He believes Meta AI will become the world’s most widely-used assistant by 2025, potentially reaching more than 1 billion users.

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