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Meta postpones joining EU AI Pact, focuses on compliance

Meta Platforms has announced it will not immediately join the European Union‘s voluntary AI Pact, which is a temporary initiative ahead of the AI Act coming into force. The company is currently focusing on compliance with the forthcoming regulations set out in the act, but may sign the pact at a later stage.

The EU’s AI Act, agreed in May and adopted by the European Council, will introduce strict rules governing the development and use of artificial intelligence. Under these regulations, companies must provide detailed summaries of the data used to train their AI models. The majority of the law’s provisions will take effect from August 2026.

In the interim, the AI Pact encourages companies to voluntarily adopt some of the key requirements of the forthcoming act. Meta has expressed its support for harmonised EU regulations but is prioritising work on meeting the obligations of the AI Act.

The AI Act will be part of a wider legislative framework, joining the Digital Markets Act, Digital Services Act, Data Governance Act, and Data Act, in shaping the future of digital regulation in the EU.

Spotify enhances AI-powered playlists for premium users

Spotify is expanding its AI Playlist tool, which helps premium users create personalised playlists using generative AI, to four new markets, including the United States and Canada. Currently in beta, the feature allows subscribers to tailor their playlists with additional text prompts, enhancing the listening experience.

Launched earlier in the United Kingdom and Australia, AI Playlist is now being extended to Ireland and New Zealand as part of Spotify’s strategy to attract new subscribers. The company aims to differentiate itself from growing competition with Apple and Amazon by integrating more AI-driven features into its platform.

While the tool offers users customisable music choices, it is currently limited to music-related prompts and will not respond to queries about current events or brands. Spotify also provides other AI-powered tools like ‘daylist’, a playlist that updates daily, and ‘AI DJ’, which recommends music based on individual listening habits.

Spotify‘s paying subscribers rose 12% year-on-year, reaching 246 million in the second quarter. The company’s continued focus on AI innovations reflects its commitment to offering unique features to its global user base.

Volkswagen drivers get AI assistant powered by Google

Google has partnered with Volkswagen to provide key artificial intelligence capabilities for a new in-app assistant designed to assist drivers. The AI-powered assistant, available through a smartphone app, allows users to ask questions or point their cameras at vehicle dashboards for immediate, relevant information.

The assistant uses Google’s Gemini large language models, which are capable of processing and generating predictive responses based on human language. The tool was developed by incorporating Volkswagen manuals and YouTube videos related to vehicle maintenance into the AI’s database.

Google Cloud CEO Thomas Kurian highlighted the complexity of the project, explaining that it goes beyond simple speech-to-text translation. The AI’s multimodal capabilities, which process text, images, and videos, were essential to its development.

Currently available to around 120,000 Volkswagen Atlas and Atlas Cross Sport owners, the assistant will roll out to more models by next year. Google aims to expand its enterprise AI solutions through ventures like this, particularly as cloud computing continues to grow as a key segment of its business.

James Cameron joins Stability AI board

James Cameron, renowned director of films like Titanic and The Terminator, has joined the board of Stability AI, an AI startup based in London. The company, known for its AI-driven image-generation tools, is aiming to transform visual media through innovative technologies.

Stability AI’s CEO, Prem Akkaraju, highlighted the importance of Cameron’s appointment in helping the firm achieve its goal of providing creators with a comprehensive portfolio of AI tools. The company has raised significant funding, including $80 million earlier this year, and is seen as a competitor to AI tools from Google and OpenAI.

Cameron expressed excitement about how generative AI and computer-generated imagery could revolutionise storytelling, offering artists unprecedented ways to bring their ideas to life. Stability AI’s tools include Stable Video Diffusion, a text-to-video generation platform.

While the relationship between AI and Hollywood has grown closer, it has also sparked controversy. In 2023, writers and actors went on strike, pushing for protections against the unregulated use of AI in film and television production. Cameron joins other notable figures on the board, such as former Facebook president Sean Parker.

UK competition watchdog raises concerns over Google’s cookie policy

Google’s online advertising practices are under renewed scrutiny in the United Kingdom, as the Competition and Markets Authority (CMA) raised concerns over the company’s decision to retain third-party cookies in its Chrome browser. In July, Google reversed its plans to remove cookies, which track users across the web, after complaints from advertisers who rely on them to personalise ads. Advertisers feared that without cookies, they would have to depend on Google’s own user data, reducing competition.

To address these concerns, Google stated that Chrome users would be given the option to allow cookies to track them. However, the CMA invited feedback on this change and concluded that competition issues remain, despite Google’s revisions. The watchdog highlighted that Google’s approach could still harm competition in the digital advertising space.

The CMA announced it would seek further changes to Google’s plans to ensure fair competition. If Google does not adequately address the concerns, the CMA may take additional action to protect competition in the online advertising market.

Google has not yet responded to the CMA’s findings. The company’s advertising practices remain under global scrutiny as regulators examine their potential impact on market competition and consumer privacy.

Uber partners with WeRide to launch self-driving cars in UAE

Uber Technologies and WeRide announced a partnership on Wednesday to integrate the Chinese self-driving technology firm’s vehicles into Uber’s rideshare platform, beginning in the UAE. This collaboration represents WeRide’s first foray with a global ride-hailing service. This allows Uber to expand its reach beyond China while continuing to incorporate robotaxis into its offerings. Earlier this month, Uber also expanded its partnership with Waymo to roll out robotaxis in Austin and Atlanta, and in August, it teamed up with General Motors’ Cruise to feature autonomous vehicles on its platform beginning next year.

The WeRide partnership is scheduled to launch in Abu Dhabi later this year, following the company’s acquisition of the UAE’s first and only national license for self-driving vehicles, which allows it to test and operate robotaxis on public roads across the country. WeRide had aimed to list its shares in the US, targeting a valuation of up to $5 billion; however, its initial public offering has been postponed as the firm completes the necessary documentation.

Meanwhile, the Biden administration recently proposed restrictions preventing Chinese automakers from testing self-driving cars on US roads, extending to vehicle software and hardware produced by other foreign adversaries, including Russia.

Meta introduces prototype of Orion AR glasses

At its annual Connect conference, Meta Platforms unveiled its first working prototype of augmented-reality glasses called Orion. CEO Mark Zuckerberg described the chunky black glasses as a glimpse into a future where virtual and physical worlds merge seamlessly, referring to them as a “time machine” that could transform user interactions. The announcement also featured improved AI chatbot capabilities and a new Quest mixed-reality headset, contributing to a record closing high for Meta shares at $568.31.

The Orion glasses, made from magnesium alloy and powered by custom silicon designed by Meta, will include features like hand-tracking, voice controls, and a wrist-based neural interface. Meta plans to refine the glasses to make them smaller and more affordable for a projected consumer launch in 2027. However, previous attempts at AR by major tech companies have often encountered challenges. Analysts recognise Meta’s goal of making augmented reality accessible, but public scepticism about AI technology continues to be a significant barrier.

Although Zuckerberg did not demonstrate the glasses’ features live, a video showcased testers, including Nvidia CEO Jensen Huang, interacting with the device. Meta’s existing Ray-Ban smart glasses gained popularity after the introduction of an AI assistant, which will soon allow users to scan QR codes and stream music using voice commands. Future updates for these glasses are set to include real-time language translation and video generation capabilities.

Alongside its AR announcements, Meta unveiled several AI updates, including improved audio responses for its digital assistant, Meta AI, which can now mimic celebrity voices. With over 400 million monthly users, Meta is heavily investing in AI and AR technologies, anticipating record capital expenses of $37 billion to $40 billion for 2024. However, despite these investments, the Reality Labs division reported substantial losses of $8.3 billion in the first half of this year.

Shein faces scrutiny in Italy for ‘greenwashing’ practices

Ital y‘s antitrust agency has launched an investigation into a Dublin-based company that runs Shein’s website and app over potentially deceptive environmental claims. The investigation targets Infinite Styles Services Co. Limited, accusing Shein of using unclear and misleading language to present its products as environmentally sustainable. It specifically questions claims related to Shein’s ‘evoluSHEIN’ collection, which may mislead consumers about the use of eco-friendly fabrics and the recyclability of its clothing.

Shein stated that it is prepared to cooperate with Italian authorities and provide necessary information fully. This investigation is part of a larger European push to combat ‘greenwashing,’ with the EU enforcing new rules that require companies to substantiate their environmental claims with clear evidence. Italy’s antitrust body also highlighted inconsistencies between Shein’s sustainability promises and the rise in greenhouse gas emissions the company reported in 2022 and 2023.

The case reflects a wider trend as European regulators intensify scrutiny of companies making environmental claims. Under Italy’s consumer protection laws, companies found guilty of misleading practices could face fines ranging from 5,000 to 10 million euros.

Blackstone confirms £10 billion AI centre in UK

Blackstone has announced a significant £10 billion investment to build an AI data centre in Blyth, northeast England. The project will create 4,000 jobs, including 1,200 positions dedicated to the site’s construction. The initiative highlights the growing demand for energy-intensive data centres, a sector that remains resilient for investors like Blackstone, despite challenges in other commercial property markets.

Blyth was previously earmarked as a site for an electric vehicle battery factory, but those plans collapsed after Britishvolt, a UK startup, folded last year. Prime Minister Keir Starmer praised the new project during his visit to New York, emphasising its potential to drive regional economic growth.

In addition to the data centre, Blackstone will invest £110 million in a local fund aimed at improving skills training and upgrading transport infrastructure in the area. Blackstone’s President, Jon Gray, confirmed the investment, signalling the company’s commitment to supporting the local economy.

This new project represents a shift for commercial landlords, as data centres emerge as a rare growth opportunity in the wake of falling demand for other assets like post-pandemic office spaces.

Zuckerberg highlights Meta AI’s expansion to 500 million users

Meta AI is fast becoming one of the world’s most widely used assistants, with nearly 500 million monthly active users, according to Mark Zuckerberg. Speaking at Meta Connect 2024, he highlighted its growth, pointing out that major markets like the EU have not yet been tapped.

India remains the largest user base for Meta AI, thanks to WhatsApp’s popularity, which boasts over 500 million users in the country. The AI is rapidly expanding its reach, placing it far ahead of competitors like OpenAI’s ChatGPT, which has around 200 million weekly users.

Alongside usage updates, Meta revealed new developments, including the Llama 3.2 models, offering enhanced multimodal capabilities. These models will be available in Europe, though they do not rely on European user data, due to regulatory concerns.

The event also introduced celebrity voices and new AI-powered features across platforms like Facebook, Instagram, and Messenger. Meta AI can now create photos, understand user images, provide answers, and even make edits.