Digital standards

OpenAI expands image generator access to all users

OpenAI has made its image generator, powered by the GPT-4o model, accessible to all users, CEO Sam Altman announced on X. Previously, this feature was available only to paying ChatGPT subscribers.

While there is no clear indication of how many images free-tier users can create, Altman previously mentioned a possible limit of three per day.

The tool has seen massive demand since its launch, with Altman joking that OpenAI’s GPUs were ‘melting’ under the pressure. However, it has also sparked controversy, particularly after users began generating images in the style of Studio Ghibli, raising copyright concerns.

Others have used the generator to create fake receipts, such as restaurant bills. OpenAI has responded by stating that all AI-generated images contain metadata identifying them and that the company takes action when violations occur.

In a major financial development, OpenAI has secured $40 billion in funding from SoftBank, valuing the company at $300 billion. The company also revealed that ChatGPT now boasts 500 million weekly active users and 700 million monthly active users, marking a significant milestone in its growth.

For more information on these topics, visit diplomacy.edu.

OpenAI’s Ghibli-style tool raises privacy and data issues

OpenAI’s Ghibli-style AI image generator has taken social media by storm, with users eagerly transforming their photos into artwork reminiscent of Hayao Miyazaki’s signature style.

However, digital privacy activists are raising concerns that OpenAI might use this viral trend to collect thousands of personal images for AI training, potentially bypassing legal restrictions on web-scraped data.

Critics warn that while users enjoy the feature, they could unknowingly be handing over fresh facial data instead of protecting their privacy, raising ethical questions about AI and data collection.

Beyond privacy concerns, the trend has also reignited debates about AI’s impact on creative industries. Miyazaki, known for his hand-drawn approach, has previously expressed scepticism about artificial intelligence in animation.

Additionally, under GDPR regulations, OpenAI must justify data collection under “legitimate interest,” but experts argue that users voluntarily uploading images could give the company more freedom to use them instead of requiring further legal justification.

OpenAI has yet to issue an official statement regarding data safety, but ChatGPT itself warns users against uploading personal photos to any AI tool unless they are certain about its privacy policies.

Cybersecurity experts advise people to think twice before sharing high-resolution images online, use passwords instead of facial recognition for device security, and limit app access to their cameras.

As AI-generated image trends continue to gain popularity, the debate over privacy and data ownership is unlikely to fade anytime soon.

For more information on these topics, visit diplomacy.edu.

Google expands Gemini Pro access

Google has made its powerful Gemini 2.5 Pro AI model available to free users for the first time. Previously reserved for subscribers, the experimental version is now accessible via the Gemini app, web platform, and AI Studio.

The model is designed to handle complex prompts, showcase advanced reasoning, and assist with coding tasks. It performs strongly in maths and science benchmarks, and even created a working video game from just one line of text in a demo.

Though still experimental, Gemini 2.5 Pro supports tools like file uploads and app extensions. Users can also see how it breaks down a request before replying, offering deeper insight into the through process of the AI.

For more information on these topics, visit diplomacy.edu.

TikTok Shop launches in France, Germany and Italy

TikTok is expanding its e-commerce push by launching TikTok Shop in France, Germany and Italy. Already active in Spain and Ireland, the feature allows users to buy products directly within the app via videos, livestreams and a dedicated shop tab.

Customers can now browse, order, and get personalised product suggestions without leaving TikTok. However, users under 18 won’t be able to access content linked to TikTok Shop, with the platform promising stricter moderation.

The move has sparked concern among French retailers, with trade groups calling on the government to act against what they see as unfair competition from platforms like TikTok, Shein and Temu. Lawmakers are also investigating TikTok’s impact on young users.

For more information on these topics, visit diplomacy.edu.

EU regulators seek common approach on DSA

The Coimisiún na Meán has warned that differing interpretations of the Digital Services Act (DSA) by EU regulators are hindering a unified approach to online platform regulation.

Maria Donde, Director of International Affairs at Coimisiún na Meán, highlighted the challenges of aligning various regulators’ approaches to the DSA, which has left room for interpretation.

She emphasised the importance of finding common ground, especially as the DSA, which came into effect last February, imposes transparency and election integrity requirements on platforms.

The DSA requires each EU member state to appoint a Digital Services Coordinator as a point of contact for platforms. Ireland, home to major platforms like TikTok and X, is at the forefront of enforcement.

Donde stressed the need for a consistent voice within the EU, particularly as the law faces criticism globally. The US government has condemned the EU’s regulatory approach, calling it a threat to free speech and accusing Europe of sidelining US tech companies.

The European Commission has already initiated several investigations under the DSA, targeting platforms such as X, TikTok, and Temu. These probes are ongoing, with potential fines for non-compliance reaching up to 6% of a company’s global turnover.

For more information on these topics, visit diplomacy.edu.

Fake movie trailer channels banned from monetization on YouTube

YouTube has taken action against AI-driven fake movie trailer channels, stripping them of their ability to monetize content. Following an investigation by Deadline, two of the most prominent channels, Screen Culture and KH Studio, have reportedly lost their ad revenue privileges.

With over two million subscribers and nearly two billion views combined, these channels created misleading trailers by splicing footage from existing films with AI-generated content.

Many unsuspecting viewers believed they were seeing genuine first looks at upcoming projects, such as Grand Theft Auto VI and Christopher Nolan’s The Odyssey.

Hollywood studios have reportedly lobbied YouTube to maintain monetization for such channels, though the reasons remain unclear. However, YouTube’s policies explicitly state that content must be ‘significantly changed’ and not copied solely for generating views.

While KH Studio’s founder defended their work as ‘creative exploration,’ Screen Culture’s founder questioned, ‘what’s the harm?’ YouTube’s latest crackdown suggests it is taking a firmer stance on AI-generated misleading content.

For more information on these topics, visit diplomacy.edu.

Elon Musk merges xAI and X to create XAI Holdings

Elon Musk’s AI startup xAI has officially acquired X, the social media platform (formerly Twitter), in an all-stock deal that values the two businesses combined at over $100 billion.

Musk disclosed that the transaction pegs xAI at $80 billion and X at $33 billion, though the latter includes $12 billion in debt, which brings its effective value to $45 billion.

The merged entity, XAI Holdings, streamlines Musk’s sprawling tech empire and solidifies the relationship between his AI pursuits and the platform that provides the training data.

According to Musk, the goal is to unify ‘data, models, compute, distribution and talent,’ enabling tighter integration between X’s reach and xAI’s growing capabilities.

This structural shift also clarifies to investors, many of whom have been concerned about X’s financial direction after Musk’s sweeping changes led to a loss of users and advertising partners.

Musk purchased Twitter in 2022 for $44 billion, which burdened the company with substantial debt. Since then, he has drastically altered the company’s operations and content policies under a ‘free speech absolutism philosophy,’ which has alienated many advertisers.

Although X’s advertising revenue dropped sharply post-acquisition, projections for 2025 show signs of recovery, with US ad sales expected to reach $1.31 billion, marking a 17.5% increase.

xAI, launched in 2023, has quickly positioned itself among leading AI labs. Its chatbot, Grok, has been trained using data from X, offering a competitive edge against other AI giants like OpenAI and Anthropic.

Analysts suggest that owning X gives xAI exclusive access to a rich proprietary data stream, something competitors lack. This advantage could strongly boost Grok’s development and positioning in the market.

Some investors in xAI, such as Andreessen Horowitz, Sequoia Capital, Fidelity, and BlackRock, also have stakes in X, making the merger a logical, if unexpected, evolution.

Financially, it also marks a turning point: banks that held onto Musk’s Twitter debt could finally sell it this year without losses, while X recently raised nearly $1 billion in new equity at a valuation close to its 2022 purchase price.

The merger may also influence broader industry trends. Analysts believe this move could inspire smaller social media platforms to seek strategic alliances with AI developers, especially given xAI’s high valuation.

One thing is clear: the XAI Holdings formation underscores a growing convergence between digital communication infrastructure and AI.

For more information on these topics, visit diplomacy.edu.

French watchdog fines Apple for abuse of app tracking tool

Apple has been fined €150 million ($162.42 million) by French antitrust regulators for allegedly abusing its dominant position in mobile app advertising between 2021 and 2023. The fine is the first to be imposed on Apple over its App Tracking Transparency (ATT) tool.

While the tool, which allows iPhone and iPad users to control app tracking, is not criticised itself, the French competition watchdog claimed its implementation was excessive and not proportional to its goal of protecting personal data.

The French regulators stated that ATT particularly harmed smaller publishers, who rely heavily on third-party data for their business. Despite the fine, Apple was not required to modify the ATT tool.

The decision follows complaints from online advertisers, publishers, and internet networks, who accused Apple of misusing its market power. Apple expressed disappointment with the fine but noted that no changes to the tool were mandated.

The fine comes after a €1.8 billion penalty last year from the EU, which accused Apple of restricting music streaming competitors. Additionally, the German antitrust agency has launched a probe into Apple for allegedly giving itself preferential treatment with the same privacy tool.

For more information on these topics, visit diplomacy.edu.

TikTok ban threatens 170 million American users

The US is just days away from imposing a ban on TikTok unless a deal is struck with its Chinese parent company ByteDance. The ban, set to take effect on Saturday, would affect 170 million American users of the popular app.

However, President Donald Trump has expressed confidence that an agreement will be reached in time. He extended the deadline from January to April 5 to give ByteDance more time to find a non-Chinese buyer for TikTok’s US operations.

Trump mentioned that there is significant interest from potential buyers, with private equity firm Blackstone reportedly evaluating a minority investment in TikTok’s US business.

The discussions are centred on ByteDance’s existing non-Chinese shareholders, including Susquehanna International Group and General Atlantic. Washington’s main concern is that TikTok’s ownership by ByteDance allows the Chinese government to potentially influence the app and collect data on Americans.

Despite the pressure, TikTok has yet to comment on the situation. If no agreement is reached by the deadline, TikTok faces the risk of being banned, though the app would remain on users’ devices if already installed. However, new users would not be able to download it.

The app is already banned in countries like India over similar national security concerns.

For more information on these topics, visit diplomacy.edu.

OpenAI faces copyright debate over Ghibli-style images

Studio Ghibli-style artwork has gone viral on social media, with users flocking to ChatGPT’s feature to create or transform images into Japanese anime-inspired versions. Celebrities have also joined the trend, posting Ghibli-style photos of themselves.

However, what began as a fun trend has sparked concerns over copyright infringement and the ethics of AI recreating the work of established artists instead of respecting their intellectual property.

While OpenAI has allowed premium users to create Ghibli-style images, users without subscriptions can still make up to three images for free.

The rise of this feature has led to debates over whether these AI-generated images violate copyright laws, particularly as the style is closely associated with renowned animator Hayao Miyazaki.

Intellectual property lawyer Even Brown clarified that the style itself isn’t explicitly protected, but he raised concerns that OpenAI’s AI may have been trained on Ghibli’s previous works instead of using independent sources, which could present potential copyright issues.

OpenAI has responded by taking a more conservative approach with its tools, introducing a refusal feature when users attempt to generate images in the style of living artists instead of allowing such images.

Despite this, the controversy continues, as artists like Karla Ortiz are suing other AI generators for copyright infringement. Ortiz has criticised OpenAI for not valuing the work and livelihoods of artists, calling the Ghibli trend a clear example of such disregard.

For more information on these topics, visit diplomacy.edu.