Digital business models

India plans five-year limit on satellite spectrum

India’s telecom regulator plans to recommend allocating satellite broadband spectrum for around five years to assess market adoption, a move that goes against Elon Musk’s Starlink, which has been pushing for a 20-year permit.

The Telecom Regulatory Authority of India (TRAI) is finalising key recommendations on the licensing timeframe and pricing, opting for a shorter period to monitor industry growth before making long-term commitments.

A government official confirmed TRAI is inclined towards a five-year limit, allowing regulators to review the market and revise spectrum pricing as needed.

However, this decision could impact Starlink’s long-term plans in India, as its deals with Reliance and Airtel are still pending regulatory approvals. Meanwhile, industry forecasts suggest India’s satellite communication sector could expand over tenfold, reaching $25 billion by 2028.

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Zhipu AI raises 500 million yuan amid rising competition

Chinese startup Zhipu AI has secured 500 million yuan (£54.8 million) in funding from the state-owned Huafa Group, following a separate 1 billion yuan capital raise earlier this month.

Huafa Group, a government-backed conglomerate based in Zhuhai, Guangdong province, announced its investment as Chinese cities compete to support AI firms, a sector seen as critical in Beijing’s technological rivalry with the US.

The funding comes amid increasing competition in China’s AI industry, particularly with Hangzhou-backed DeepSeek, whose large language models have gained attention for their cost-effectiveness and performance against Western alternatives.

Zhipu AI, established in 2019 and recognised as one of China’s ‘AI tigers,’ has received investments from major tech firms including Tencent, Meituan, and Xiaomi. The startup was valued at 20 billion yuan (£2.2 billion) in a funding round last July, according to business registration platform Qichacha.

With the new funding, Zhipu AI aims to enhance technological innovation and further develop its GLM foundation model.

However, the company faces challenges on the international stage, having been added to the US Commerce Department’s export control list in January, restricting its access to American components.

Despite these hurdles, China continues to bolster its AI sector as it seeks to establish a leading position in global artificial intelligence development.

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FTC confirms no delay in Amazon trial

The US Federal Trade Commission (FTC) announced on Wednesday that it does not need to delay its September trial against Amazon, contradicting an earlier claim by one of its attorneys about resource shortages.

Jonathan Cohen, an FTC lawyer, retracted his statement that cost-cutting measures had strained the agency’s ability to proceed, assuring the court that the FTC is fully prepared to litigate the case.

FTC Chairman Andrew Ferguson reaffirmed the agency’s commitment, dismissing concerns over budget constraints and stating that the FTC will not back down from taking on Big Tech.

Earlier in the day, Cohen had described a ‘dire resource situation,’ citing employee resignations, a hiring freeze, and restrictions on legal expenses. However, he later clarified that these challenges would not impact the case.

The lawsuit, filed in 2023, accuses Amazon of using ‘dark patterns’ to mislead consumers into enrolling in automatically renewing Prime subscriptions, a program with over 200 million users.

With claims exceeding $1 billion, the trial is expected to be a high-profile battle between regulators and one of the world’s largest tech companies. Amazon has denied any wrongdoing, and three of its senior executives are also named in the case.

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Synapsia signs major contract for AI-powered urban solutions in Abu Dhabi

Italy’s Synapsia has signed a $2.5 billion agreement with UAE’s Bold Technologies to provide AI-powered city management solutions for Abu Dhabi.

The partnership aims to enhance urban infrastructure, transportation, and emergency response through AI. Payments will be made in five instalments over 18 months, subject to project milestones.

The initiative, described as a ‘cognitive city project,’ will use AI to improve efficiency by integrating real-time data across various sectors.

As part of the deal, the companies will establish a new entity, My Aion Inc., which is expected to launch an initial public offering on the Abu Dhabi stock exchange between 2027 and 2029.

Italy has been strengthening economic ties with Gulf nations under Prime Minister Giorgia Meloni, with the UAE pledging to invest $40 billion in Italy.

The agreement also highlights the UAE’s ambition to position itself as a leader in AI, competing with regional players such as Qatar and Saudi Arabia.

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Salesforce strengthens AI presence in Singapore with major funding

Salesforce has announced a $1 billion investment in Singapore over the next five years to drive the adoption of its AI agent development platform, Agentforce.

The initiative aims to address labour shortages and enhance productivity by integrating autonomous AI agents into the workforce.

The investment follows similar moves by the company, including a $500 million commitment in Saudi Arabia and Argentina to expand AI and cloud services.

Singapore has been a key market for Salesforce, with its AI Research hub established in the country in 2019. The company’s local clients include Singapore Airlines, Grab, and FairPrice Group.

As part of the expansion, Salesforce has signed an agreement with Singapore Airlines to integrate Agentforce and other AI-driven solutions into its customer service operations.

The company continues to focus on AI innovation while restructuring its workforce, aligning itself with other tech giants investing in Southeast Asia’s digital future.

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Bitwise unveils Bitcoin corporate treasury ETF for investors

Bitwise has introduced the Bitwise Bitcoin Standard Corporations ETF (OWNB), offering investors exposure to companies with significant Bitcoin holdings. The ETF tracks the Bitwise Bitcoin Standard Corporations Index, which includes companies holding at least 1,000 Bitcoin in their treasuries. As of 11 March, major holdings in the ETF include Strategy’s stock (MSTR), which serves as a Bitcoin fund for Michael Saylor, and Bitcoin miners like MARA Holdings, CleanSpark, and Riot Platforms.

The ETF aims to capitalise on the increasing trend of companies buying Bitcoin as a strategic reserve asset, perceiving it as a scarce, liquid asset that is independent of government influence. Bitwise’s index is weighted according to Bitcoin holdings, with the largest holding capped at 20%. The popularity of Bitcoin treasuries has surged, with corporate Bitcoin holdings exceeding $54 billion as of 11 March, a figure driven by rising Bitcoin prices in 2024.

The ETF launch comes amid growing interest in Bitcoin-focused investment products, with other asset managers, such as Strive and REX Shares, planning similar offerings. In addition to companies, even the US government has begun developing a strategic Bitcoin reserve. The move signals a broader shift towards recognising Bitcoin as an integral part of corporate and governmental financial strategies.

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OpenAI launches responses API for AI agent development

OpenAI has unveiled new tools to help developers and businesses build AI agents, which are automated systems that can independently perform tasks. These tools are part of OpenAI’s new Responses API, allowing enterprises to create custom AI agents that can search the web, navigate websites, and scan company files, similar to OpenAI’s existing Operator product. The company plans to phase out its older Assistants API by 2026, replacing it with the new capabilities.

The Responses API provides developers with access to powerful AI models, such as GPT-4o search and GPT-4o mini search, which are designed for high factual accuracy. OpenAI claims these models can offer more reliable answers than previous versions, with GPT-4o search achieving a 90% accuracy rate. Additionally, the platform includes a file search feature to help companies quickly retrieve information from their databases. The CUA model, which automates tasks like data entry, is also available, allowing developers to automate workflows with more precision.

Despite its promise, OpenAI acknowledges that there are still challenges to address, such as AI hallucinations and occasional errors in task automation. However, the company continues to improve its models, and the introduction of the Agents SDK gives developers the tools they need to build, debug, and optimise AI agents. OpenAI’s goal is to move beyond demos and create impactful tools that will shape the future of AI in enterprise applications.

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AI will enhance, not replace, programmers, says IBM CEO

At the SXSW conference, IBM CEO Arvind Krishna addressed two key topics: global trade and the role of artificial intelligence in programming. Krishna expressed his belief that global trade remains vital for economic growth, citing the historical correlation between increased trade and GDP growth.

He also argued that embracing international talent through policies supporting immigration would benefit the US, allowing it to remain competitive in the global market.

Turning to AI, Krishna disagreed with predictions that AI would soon take over coding entirely. Instead, he believes AI will increase programmer productivity by assisting with simpler tasks, allowing developers to focus on more complex problems.

He argued that AI could boost the output of existing teams, helping companies gain market share by enabling faster production and more efficient workflows.

While AI may revolutionise some aspects of work, Krishna maintained that it won’t replace human workers entirely. Drawing a parallel with the initial fears surrounding calculators and Photoshop, he described AI as a tool that enhances rather than replaces human expertise.

His comments come amid growing discussions about the future role of AI in various industries, including programming. Krishna also acknowledged the ongoing challenges in AI, such as intellectual property concerns and the need for energy-efficient models.

Krishna further stated that while AI would become cheaper and more accessible, it would not be the key to groundbreaking scientific discoveries. Instead, he emphasised the potential of quantum computing to accelerate innovation, with IBM’s ongoing investments in the technology.

His remarks highlighted both the promise and the limitations of AI, positioning it as an important tool in advancing industries but not a solution to all challenges.

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Elea introduces AI-powered solution for pathology labs

Elea, a Hamburg-based startup, is harnessing the power of AI to tackle inefficiencies in healthcare, starting with pathology labs.

The company’s AI operating system replaces outdated systems, offering a voice-powered solution that automates tasks such as report transcription and data handling.

Elea’s tool promises to significantly reduce the time it takes for labs to generate reports, with initial results showing a reduction from weeks to just a few days.

The AI system is designed to integrate seamlessly into existing lab processes, acting as an all-in-one solution that coordinates tasks traditionally managed by separate systems.

Elea’s cloud-based platform uses speech-to-text and text-to-structure technologies to automate everything from report writing to handling laboratory equipment, streamlining operations and reducing human error.

Founded in 2024, Elea has already secured a partnership with a major German hospital group, and it plans to expand internationally, particularly into the US The company recently raised €4 million in seed funding to support its growth.

Elea is betting on a gradual scaling strategy, aiming to improve productivity in pathology labs before potentially expanding its AI tools to other areas of healthcare, such as radiology.

Despite potential challenges, including accuracy concerns and data privacy, Elea is confident in its ability to revolutionise lab work.

By focusing on operational workflows, the German company hopes to improve both the speed and reliability of healthcare services, offering a glimpse into the future of AI in the medical field.

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Brazil’s tax chief calls for stricter controls on digital payments

Brazil’s tax revenue service may restart discussions on requiring financial technology firms to report transaction values, citing concerns over money laundering through lesser-known payment institutions.

Revenue service head Robinson Barreirinhas told a Senate hearing that the government still aims to extend its transaction-tracking intelligence to fintechs, despite public backlash that led to a suspension of the plan last year.

Authorities argue that fintechs, including those using the Pix instant payment system, should be subject to the same reporting rules as banks.

However, opposition to President Luiz Inácio Lula da Silva’s administration portrayed the measure as a hidden tax on workers, forcing the government to pause the rule in January amid falling approval ratings.

Barreirinhas emphasised that the ease of opening accounts in fintech platforms makes them vulnerable to illicit financial activity.

The tax agency remains concerned about organised crime funding in Brazil‘s economy, particularly through smuggled cigarettes, online betting, and cryptocurrencies.

Officials suggest that stronger oversight of digital transactions is necessary to prevent these activities from flourishing, potentially reigniting debate over the suspended regulations.

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