Digital business models Archives | Page 477 of 583

iPhone 16e features Apple-designed C1 subsystem

Apple has introduced its first custom-designed modem chip, marking a significant step towards reducing reliance on Qualcomm. The new chip, a part of Apple’s C1 subsystem, debuts in the $599 iPhone 16e and will eventually be integrated across other products.

The C1 subsystem includes advanced components like processors and memory, offering better battery life and enhanced artificial intelligence features.

Apple has ensured the modem is globally compatible, testing it with 180 carriers in 55 countries. Executives highlight its ability to prioritise network traffic for smoother performance, setting it apart from competitors.

Modem development is highly complex, with few companies achieving global compatibility. Apple previously relied on Qualcomm but resolved to design its own platform after legal disputes and challenges with alternative suppliers.

The C1 subsystem represents Apple’s strategy to tightly integrate modem technology with its processors for long-term product differentiation.

Apple’s senior hardware executives described the C1 as their most complex creation, combining cutting-edge chipmaking techniques. The new platform underscores Apple’s focus on control and innovation in core technologies.

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New AI feature from Superhuman tackles inbox clutter

Superhuman has introduced a new AI-powered feature called Auto Label, designed to automatically categorise emails into groups such as marketing, pitches, social updates, and news. Users can also create custom labels with personalised prompts and even choose to auto-archive certain categories, reducing inbox clutter.

The company developed the tool in response to customer complaints about an increasing number of unwanted marketing and cold emails. While Gmail and Outlook offer spam filtering, Superhuman’s CEO, Rahul Vohra, said their new system aims to provide more precise classification. However, at launch, users cannot edit prompts for existing labels, meaning they must create new ones if adjustments are needed.

Superhuman is also enhancing its reminder system. The app will now automatically surface emails if a response is overdue and can draft AI-generated follow-ups in the user’s writing style. Looking ahead, the company plans to integrate personal knowledge bases, automate replies, and introduce workflow automation, making email management even more seamless.

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X discusses a new financing round at $44 billion

Elon Musk’s social media company X is currently in discussions to raise funds from investors at a $44 billion valuation, according to Bloomberg News. Musk purchased the platform, formerly known as Twitter, for the same price in 2022.

The financing talks are still ongoing, with the potential for details to change or even for the discussions to be abandoned altogether, the report added. The US company has not yet responded to requests for comment on the matter.

In related news, last month, it was reported that Morgan Stanley, Bank of America, and Barclays were preparing to sell up to $3 billion in debt holdings in X.

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Trump discusses TikTok sale with China

President Donald Trump confirmed on Wednesday that he was in active discussions with China over the future of TikTok, as the US seeks to broker a sale of the popular app. Speaking to reporters aboard Air Force One, Trump revealed that talks were ongoing, underscoring the US government’s desire to address national security concerns tied to the app’s ownership by the Chinese company ByteDance. The move comes amid growing scrutiny over TikTok’s data security practices and potential links to the Chinese government.

The Trump administration has expressed concerns that TikTok could be used to collect sensitive data on US users, raising fears about national security risks. As a result, the US has been pushing for ByteDance to sell TikTok’s US operations to an American company. This would be part of an effort to reduce any potential influence from the Chinese government over the app’s data and operations. However, the process has faced complexities, with discussions involving multiple stakeholders, including potential buyers.

While the negotiations continue, the future of TikTok remains uncertain. If a sale is not agreed upon, the US has indicated that it could pursue further actions, including a potential ban of the app. As these talks unfold, the outcome could have significant implications for TikTok’s millions of American users and its business operations in the US, with both sides working to find a solution that addresses the security concerns while allowing the app to continue its success.

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Hong Kong explores new virtual asset regulations

Hong Kong is considering approving derivatives and margin lending for virtual assets, aiming to strengthen its position as a global hub for digital assets, according to the Securities and Futures Commission (SFC). This move is part of the city’s broader strategy, initiated in 2022, to become a leading virtual asset trading centre, particularly after China’s cryptocurrency ban in 2021. The SFC’s CEO, Julia Leung, announced the potential inclusion of derivative products and margin lending for professional investors, highlighting ongoing efforts to enhance Hong Kong’s competitiveness in the sector.

As part of its regulatory push, the city has already issued nine virtual asset trading platform licences, with more applications under review. One such licence was granted to Bullish Group, the parent company of CoinDesk. Additionally, financial secretary Paul Chan noted that the government is working on advancing regulations for stablecoins, further solidifying Hong Kong’s ambitions in the digital asset space.

The city will soon release a detailed roadmap for virtual asset growth, which will outline future plans. Meanwhile, Hong Kong competes with cities like Singapore and Dubai, also striving to become leading centres for digital finance. The latest developments come amid a broader global shift in the cryptocurrency market, which has seen significant interest from institutional investors following regulatory changes in the US under President Trump.

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Resonac plans to pursue acquisitions after reducing borrowing

Resonac Holdings, a leading chip materials maker in Japan, is positioning itself to make strategic acquisitions after reducing its borrowing, according to CEO Hidehito Takahashi. Speaking to Reuters, Takahashi expressed the company’s intention to take an aggressive approach this year, particularly eyeing opportunities when a state-backed fund exits its competitor JSR, a photoresist maker recently taken private.

Resonac, formed by Showa Denko’s acquisition of Hitachi Chemical, has been divesting assets, including a planned partial spin-off of its petrochemical business. Takahashi sees JSR’s potential exit as a key opportunity for Resonac to expand its footprint in the semiconductor materials sector. Japan’s semiconductor market remains competitive, despite the country’s reduced role in chip manufacturing, and companies like Resonac must scale up to remain viable.

In addition to its expansion efforts, Resonac is establishing an R&D centre in Silicon Valley to strengthen its ties with firms in the region. However, Takahashi made it clear that the company is not currently considering manufacturing materials in the US, though future demand could prompt a reassessment of such plans.

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Meta announces LlamaCon as it accelerates AI push

Meta has unveiled plans to host its first-ever developer conference dedicated to generative AI, called LlamaCon. Scheduled for April 29, the event will focus on Meta’s open-source AI efforts, particularly its Llama models.

The company aims to share updates that will help developers build new AI-powered applications. Additional details are expected in the coming weeks, with Meta’s broader annual conference, Meta Connect, set for September.

The company has positioned itself as a leader in open-source AI, boasting hundreds of millions of downloads of its Llama models. Major firms, including Goldman Sachs, AT&T, and Accenture, are among those integrating Llama into their services.

However, reports suggest that Meta has been caught off guard by the rapid rise of Chinese AI company DeepSeek, whose latest models may challenge Llama’s dominance. Meta has reportedly launched internal efforts to study DeepSeek’s approach to efficiency and cost reduction.

With a planned $80 billion investment in AI this year, Meta is pushing ahead with new Llama models that could include reasoning, multimodal, and autonomous capabilities. CEO Mark Zuckerberg has expressed confidence in Llama’s potential to become the most widely used AI model.

However, Meta is also facing legal and regulatory challenges, including lawsuits over alleged copyright violations and privacy concerns in the European Union that have delayed some AI launches.

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AI sizing tools aim to reduce fashion returns

Online fashion retailers are increasingly using artificial intelligence to tackle the costly issue of clothing returns, with up to 30% of purchases being sent back due to sizing problems. A study by McKinsey estimates that each return costs between $21 and $46, significantly affecting profit margins. Many customers order multiple sizes and return those that don’t fit, creating logistical headaches for retailers.

To address this, companies are adopting AI-driven sizing tools. French start-up Fringuant, for instance, uses an algorithm that analyses a shopper’s height, weight, and a quick selfie to predict the best size. Zalando, a German e-commerce giant, has also implemented its own AI-powered tool that guides customers by comparing their body shape with garment dimensions. These technologies are already helping some brands reduce return rates significantly.

Beyond sizing, AI is also improving warehouse operations to prevent shipping mistakes. Smart cameras on order pickers’ trolleys at logistics firms help ensure the right product is selected, while AI-equipped robots track stock levels, reducing errors that lead to returns. As online shopping continues to grow, retailers hope these innovations will streamline processes and boost efficiency.

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Juventus gains backing from Tether

Tether, the cryptocurrency firm behind one of the world’s leading stablecoins, has invested in Juventus, Italy’s most popular football club. Holding a 5% stake valued at approximately €50 million, Tether revealed it has acquired shares gradually over recent months.

CEO Paolo Ardoino, a Juventus supporter, highlighted the firm’s desire to explore collaborative opportunities while remaining a minority investor.

Tether has expressed its willingness to cooperate with Juventus’ management and owners, aiming to enhance the club’s brand globally. Potential collaboration may include utilising Tether’s payment platform and vast user base of 400 million, particularly in emerging markets.

Ardoino noted that football clubs must adopt forward-looking strategies to connect with fans using innovative technologies.

Juventus, controlled by the Agnelli family through investment company Exor, has faced financial challenges recently, including losses nearing €200 million in the last fiscal year. Exor has denied any plans to sell its majority stake, which currently stands at 64%.

Ardoino emphasised that Tether’s goal is supportive rather than aggressive, focusing on unlocking the club’s untapped potential.

Tether remains a dominant player in the stablecoin market, with over $140 billion tokens in circulation. Despite regulatory concerns about stablecoins’ risks to financial systems, Tether’s profitability exceeded $13 billion in 2024, providing ample resources for strategic investments like its stake in Juventus.

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Judge allows Musk’s DOGE to keep accessing government data

A US federal judge has denied a request to temporarily block Elon Musk’s Department of Government Efficiency (DOGE) from accessing data from seven federal agencies or making further workforce cuts. The lawsuit, brought by 14 Democratic attorneys general, argued that DOGE was overstepping its authority by reshaping agencies and obtaining vast amounts of government information. However, Judge Tanya Chutkan ruled that the plaintiffs failed to prove immediate harm, allowing DOGE to continue operations.

Despite this decision, the judge acknowledged serious constitutional concerns regarding Musk’s authority. She noted that Musk had not been nominated by the US President Trump or confirmed by the Senate, raising potential violations of the Appointments Clause. In her ruling, Chutkan also criticised the Trump administration’s legal arguments, suggesting inconsistencies in its justification for DOGE’s powers.

While the restraining order was denied, the states can still pursue their case, potentially seeking a preliminary injunction to halt DOGE’s access to federal data. New Mexico Attorney General Raúl Torrez vowed to continue the legal fight, accusing Musk of destabilising government functions and acting without proper oversight. The battle over DOGE’s legitimacy is expected to intensify in the coming months.

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