Huawei has announced that its latest operating system, HarmonyOS NEXT, will incorporate China’s central bank digital currency, the digital yuan. Officially launched on 22 October 2023, HarmonyOS NEXT will streamline digital yuan access for Huawei’s extensive user base, estimated at nearly 1 billion people. This marks the first in-house operating system developed entirely by Huawei, positioning it as the world’s third most popular operating system after Android and iOS.
With the digital yuan built directly into the operating system, users can access the currency without needing a separate application, simplifying its use. Huawei has also announced improvements in digital wallet management and enhanced interoperability with other financial applications, making the central bank’s digital currency more accessible and practical. Plans to expand the digital yuan’s reach across IoT devices and smart chips signal further integration across a range of technologies.
This integration comes at a time when China’s digital yuan is gaining momentum domestically and internationally. Recently, the International Air Transport Association (IATA) included the digital yuan as the first digital currency it will accept, citing China’s leading position in digital currency adoption. Meanwhile, China is preparing to update its Anti-Money Laundering laws to address risks associated with virtual assets, underscoring the country’s evolving approach to digital finance.
Nvidia is seeking antitrust approval from the European Union for its planned acquisition of Israeli AI startup Run:ai valued at approximately $700 million. The European Commission has raised concerns that the merger could harm competition in the markets where both companies operate, prompting increased scrutiny of tech giants acquiring startups. This move reflects a broader regulatory trend aimed at preventing potential monopolistic practices in the tech sector.
Although the acquisition does not meet the EU’s turnover threshold for automatic review, it was flagged by Italy’s competition agency, which requested the EU to investigate further. The Commission has accepted this request, indicating that the transaction could significantly impact competition across the European Economic Area.
In response to the regulatory review, Nvidia expressed its readiness to cooperate and answer any questions regarding the acquisition. The company is committed to ensuring that AI technologies remain accessible across various platforms, emphasising its role as a leader in the chip industry, particularly for AI applications like ChatGPT.
Thailand’s Board of Investment (BOI) announced on Friday it has approved $2 billion in new investments aimed at bolstering the nation’s data centre and electronics manufacturing sectors. Among these, a significant investment comes from a subsidiary of Alphabet Inc., which will allocate 32.8 billion baht ($968 million) toward the development of a hyperscale data centre. This facility is expected to strengthen Thailand’s data infrastructure, accommodating the growing demand for digital services and data management across Southeast Asia.
The BOI highlighted that these investments align with Thailand’s strategic vision to transform into a regional tech and manufacturing hub. By enhancing its digital infrastructure and encouraging foreign investment in high-tech sectors, the country hopes to create a more resilient, future-ready economy. The addition of hyperscale data centres, in particular, will enable Thailand to meet increasing demands from cloud service providers, e-commerce companies, and other data-intensive industries.
Thailand has seen a surge in interest from global tech giants looking to establish operations in Southeast Asia, a region marked by rapid digital adoption and economic growth. BOI’s continued support for high-tech projects like these reflects the country’s focus on building a sustainable ecosystem for digital and electronics manufacturing, positioning Thailand as a key player in Asia’s digital economy.
SkyBridge Capital’s Anthony Scaramucci expressed confidence that the United States will address its debt crisis by allowing controlled inflation, despite potential impacts on lower- and middle-income households. Speaking at the Reuters Global Markets Forum, Scaramucci took a positive stance on debt management, diverging from many analysts who worry about mounting U.S. debt and possible downgrades to its credit rating. The US fiscal deficit recently rose by 8%, reaching $1.833T, the third largest in US history.
Scaramucci also shared his support for Vice President Kamala Harris’s economic plan over that of Donald Trump, despite Wall Street’s leanings toward Trump. He suggested that a second Trump administration could see increased interest in cryptocurrencies, with bitcoin potentially benefiting from Trump’s pro-crypto stance.
Predicting a significant increase in bitcoin’s value, Scaramucci anticipated the cryptocurrency reaching $170,000 by mid-2026, a threefold jump. This forecast reflects his confidence in bitcoin’s limited supply and rising demand amid financial market shifts.
PepsiCo is enhancing data collaboration with major retailers in response to declining sales and shifting consumer preferences toward budget options. The Lay’s and Tostitos maker has seen recent decreases in snack sales volumes, prompting adjustments to product sizes and a renewed focus on advertising. In early October, PepsiCo revised its annual sales forecast, reflecting the need to adapt to current market dynamics.
The data-sharing initiative, led by PepsiCo‘s senior vice president of strategy, Angelika Kipor, enables the company to gain insights into shoppers’ purchasing habits while helping retailers improve their supply chain accuracy. By sharing predictive data, PepsiCo assists retailers in optimising product orders, leading to higher sales—recently seen in collaboration with Carrefour, where the grocer expanded its PepsiCo product range based on historical data insights.
Retailer partnerships also help PepsiCo make data-driven supply chain adjustments using AI, a practice gaining traction among consumer goods companies looking to streamline operations. Kipor emphasised that while data-sharing strengthens trust with retailers, it remains separate from PepsiCo’s pricing negotiations, which have eased since the company’s commitment last year not to implement further price hikes on snacks and drinks despite ongoing inflation.
Toyota and Nippon Telegraph and Telephone (NTT) plan to invest 500 billion yen ($3.27 billion) by 2030 to create an AI-driven platform to reduce traffic accidents. Announced in a joint statement, the Japanese automaker and telecom giant aims to launch the platform by 2028, using extensive data to support driver-assistance technology. This project, initiated amid rising pressure on Japanese automakers to compete in the autonomous driving space, is expected to enhance safety features such as improved visibility in urban areas and smoother expressway merging.
The companies intend the platform to benefit not only their own operations but also government and industry partners, setting a long-term goal to minimise traffic accidents. Toyota and NTT, who first collaborated on 5G-connected car technology in 2017, see this project as part of a broader vision for zero-accident mobility, aiming for widespread adoption by 2030.
Toyota’s existing investments in autonomous technology include Woven by Toyota, a unit established in 2021 focused on AI mobility. Woven by Toyota is also developing the Arene automotive software platform and Woven City, a testing hub in Shizuoka. As part of these advancements, NTT and Toyota also plan to test self-driving technology as early as 2025.
Interest in cryptocurrency has seen new applications for Bitcoin, including its recent adoption in life insurance by Meanwhile, which claims to be the first company to denominate policies in Bitcoin. Rather than using dollars, Meanwhile’s life insurance policies operate entirely in Bitcoin, covering everything from premium payments to policy loans and payouts.
Meanwhile offers whole life insurance, so holders are covered for life. Director of Wealth and Asset Management, Danny Baer, highlights unique tax advantages, particularly thetax-free policy loan option. This allows policyholders to borrow Bitcoin against the policy’s value. As Bitcoin increases in price, the value of the policy and the amount that can be borrowed also rise, and the loaned Bitcoin’s cost basis adjusts to the current rate.
Baer suggests that if Bitcoin’s price skyrockets over time, the ability to borrow against the policy without incurring capital gains tax could be highly beneficial for long-term holders. Meanwhile’s Bitcoin-denominated approach appeals to those looking to invest in an asset with a low time preference, which complements the long-term nature of whole life insurance.
Big technology firms, including Microsoft and Meta, are significantly increasing their investments in AI data centres to meet soaring demand, but Wall Street is looking for quicker returns on these expenditures. Both companies reported rising capital expenses due to their AI initiatives, with Alphabet also indicating that its costs would remain elevated. Amazon is expected to follow suit in its upcoming earnings report.
This surge in capital spending could impact profit margins, causing concern among investors. Shares of major tech companies, including Meta and Microsoft, fell by around 4% in premarket trading, despite reporting better-than-expected profits for the July-September quarter. Analysts warn that while the race to build AI capacity is intensifying, it will take time for these investments to yield returns.
Microsoft’s capital expenditures for a single quarter now surpass its total annual spending from prior years. The company noted a 5.3% increase in spending, amounting to $20 billion, while also predicting further increases related to AI. However, they warned of potential slowdowns in growth for their Azure cloud business due to data centre capacity constraints. Similarly, Meta anticipates a “significant acceleration” in AI infrastructure costs next year.
The tech industry is experiencing bottlenecks, particularly as chipmakers like Nvidia struggle to keep up with the demand for AI chips. Advanced Micro Devices has also reported that AI chip demand is outpacing supply, limiting growth potential. Despite these challenges, both Microsoft and Meta maintain that it is still early in the AI cycle and emphasise the long-term benefits of their investments, echoing earlier experiences during the development of cloud technology.
De Nederlandsche Bank (DNB), the Netherlands’ central bank, has fined crypto exchange Bybit €2.2 million ($2.4 million) for operating in the country without the required registration. Bybit’s non-compliance with the Anti-Money Laundering and Anti-Terrorist Financing Act triggered the fine, as the exchange had not registered to support oversight and prevent illicit financial flows. The legislation, enacted in 2020, mandates that crypto providers register to reduce risks tied to anonymous transactions.
DNB stated that Bybit’s non-compliance hindered its ability to report suspicious transactions to Dutch authorities, a critical component of financial oversight. Although DNB acknowledged the severity and duration of the breach, it reduced the fine due to Bybit’s efforts to resolve the issue by transferring Dutch customers to local partner SATOS B.V., which holds a compliant operating licence.
Acknowledging the fine, Bybit underscored its commitment to regulatory adherence. CEO Ben Zhou highlighted Bybit’s actions in 2022 to mitigate potential risks, affirming the company’s goal of responsible growth through close cooperation with European regulators.
The European Commission is preparing to investigate Chinese online retail giant Temu for possibly breaching rules designed to curb illegal product sales, according to sources cited by Bloomberg News. The inquiry follows an initial request from the Commission on 11 October for Temu to outline its efforts to prevent illegal items from being sold on its platform under the EU’s Digital Services Act (DSA).
Temu, a unit of PDD Holdings, has been classified as a ‘very large online platform’ (VLOP) by the EU, a designation that requires strict compliance with measures to counteract illegal content and counterfeit goods. While Temu submitted its response to the EU’s information request by the 21 October deadline, the Commission will determine its next steps after reviewing the data provided. Neither the European Commission nor Temu has commented on the impending investigation.
The Digital Services Act mandates platforms with more than 45 million users to ensure they are taking adequate steps to combat illegal content. The outcome of this investigation could have significant implications for both Chinese, Temu and other online marketplaces operating within the EU.
