E-commerce and trade

Intel appoints new CEO to compete in AI chip market

Intel has appointed tech industry veteran Lip-Bu Tan as its chief executive, aiming to revitalise the struggling chipmaker as it falls behind in the AI race.

Tan, set to take over next week, told employees that overcoming Intel’s challenges would not be easy but reaffirmed his commitment to an engineering-first approach.

Following the announcement, Intel’s shares surged by more than 10 per cent in after-market trading.

Once a dominant force in the semiconductor industry, Intel has been outpaced by Taiwan Semiconductor Manufacturing Co (TSMC) and Samsung Electronics, which lead in made-to-order chip production.

It also lags behind Nvidia, which has emerged as the top AI chip provider. Tan replaces Pat Gelsinger, who was ousted last year after the board lost confidence in his turnaround efforts, which included cutting 15,000 jobs and delaying chipmaking projects.

Tan, previously head of Cadence Design Systems, pledged to restore Intel’s reputation by taking calculated risks to outmanoeuvre competitors.

He intends to continue the company’s plan to manufacture chips for other firms, directly challenging TSMC. However, analysts remain cautious, questioning whether Intel will split its foundry and chip design businesses or prove its ability to deliver cutting-edge technology.

Intel also faces a growing battle in AI, where Nvidia dominates the data centre chip market. Analysts warn that without a compelling AI strategy, Intel could struggle to regain investor confidence.

Tan, however, remains optimistic, vowing to transform Intel into a world-class chipmaker while ensuring customer satisfaction.

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Singapore fraud case involves $390 million in transactions

Singapore prosecutors revealed on Thursday that a fraud case involving local firms accused of illegally supplying US servers to Malaysia involves transactions worth $390 million.

Three men—Singaporeans Aaron Woon and Alan Wei, along with Chinese national Li Ming—have been charged with deceiving tech giants Dell and Super Micro by misrepresenting the servers’ final destination.

The case has been linked to Chinese AI firm DeepSeek, which is under US scrutiny over the potential use of banned Nvidia chips.

While Singapore authorities confirmed the servers may have contained Nvidia components, they did not specify whether these were the restricted high-end semiconductors subject to US export controls.

Singapore’s Law and Home Affairs Minister K Shanmugam declined to comment on the alleged connection.

Prosecutors claim Wei paid himself tens of millions in dividends, while Woon received a multimillion-dollar bonus. Singaporean authorities are investigating a wider network of 22 individuals and companies suspected of similar fraudulent practices, with six additional arrests made.

The accused are set to reappear in court on May 2, while Malaysian authorities are also probing potential legal violations.

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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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Emmer pushes for pro-stablecoin laws and rejects CBDCs

US Representative Tom Emmer called for stronger pro-stablecoin laws during a House Financial Services Committee hearing on 11 March, while criticising central bank digital currencies (CBDCs) as a threat to American values. Emmer, who reintroduced the CBDC Anti-Surveillance State Act on 6 March, warned that CBDC technology could undermine American freedoms and privacy. The proposed bill seeks to block the creation of a US CBDC without Congress’s explicit approval, addressing concerns over financial surveillance.

Emmer argued that CBDCs could disrupt American financial independence, citing the risks of government control over citizens’ transactions. He also highlighted the privacy concerns surrounding digital currencies issued by central banks, stating that stablecoins offer a better alternative by promoting financial privacy and innovation without compromising personal freedoms.

At the same hearing, Paxos CEO Charles Cascarilla called for consistent stablecoin regulations across global jurisdictions to prevent regulatory loopholes. Cascarilla stressed the importance of clear, reciprocal rules that would level the playing field for stablecoin issuers in the US and globally, fostering a competitive market that benefits both consumers and investors.

Amidst growing support for pro-crypto policies, Emmer reiterated that the US must prioritise pro-stablecoin legislation while rejecting CBDCs to safeguard privacy and financial autonomy. The stance aligns with broader concerns raised by the growing influence of cryptocurrency companies in US politics, which could pose challenges to regulatory stability.

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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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Reliance Jio and SpaceX partner for Starlink in India

Mukesh Ambani’s Reliance Jio has struck a deal with Elon Musk’s SpaceX to bring Starlink satellite internet services to India, marking a surprising turn after months of rivalry over spectrum allocation.

Under the agreement, Jio will stock Starlink equipment in its retail stores, giving the US company direct access to thousands of outlets across the country.

Move like this one comes after New Delhi sided with Musk’s preferred method of spectrum allocation, despite Ambani’s earlier concerns that Starlink could dominate India’s telecom sector.

The deal follows a similar partnership between Starlink and Bharti Airtel, India’s second-largest telecom provider, both of which depend on government approval for operations to begin. While Airtel’s shares dipped slightly after the Jio announcement, Reliance Industries saw a marginal rise in trading.

Starlink, which has been awaiting licenses since 2022 due to national security concerns, is using the agreement as a low-cost entry into India’s fast-growing satellite internet market, expected to reach $1.9 billion by 2030.

For Musk, the stakes in India go beyond Starlink, as he recently secured a deal to open Tesla’s first showroom in the country.

However, high tariffs on imported electric vehicles remain a challenge. Meanwhile, Jio and SpaceX are also exploring other areas of cooperation, while Jio continues its own satellite broadband plans with Luxembourg-based SES.

Despite past disputes, the partnership signals a shift from competition to collaboration in India’s evolving telecom landscape.

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Duffy criticises Verizon over FAA contract delays

US Transportation Secretary Sean Duffy criticised Verizon on Tuesday for delays in its $2.4 billion, 15-year contract with the Federal Aviation Administration (FAA), saying the company is ‘not moving fast enough.’

As the FAA works to upgrade ageing air traffic control systems, Duffy stressed the need for multiple companies to contribute to the effort, adding that the American public ‘can’t wait 10 or 12 years’ for improvements.

Verizon defended its progress, stating it is actively working with FAA technology teams and is open to collaborating with other firms offering complementary services.

Meanwhile, SpaceX’s Starlink denied reports that it aims to take over the FAA contract, saying it could be a partial solution but has no plans to replace Verizon’s role.

The FAA has been testing Starlink terminals in Alaska to improve weather data access, while the Government Accountability Office warns that one-third of US air traffic control systems are outdated and unsustainable.

Some Democrats have suggested shifting the FAA contract to Starlink due to Elon Musk’s ties to Donald Trump, but no official decisions have been made.

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ICBC unveils $11 billion innovation fund

China’s Industrial and Commercial Bank (ICBC), the world’s largest commercial lender by assets, has launched an 80 billion yuan ($11.04 billion) technology and innovation fund to bolster the private sector.

The state-owned bank announced that the fund will focus on ‘hard technology’ fields such as semiconductors and advanced manufacturing rather than ‘soft’ technology like internet services.

ICBC chairman Liao Lin emphasised that the initiative aligns with central leadership directives, aiming to turn supportive policies into tangible benefits for private enterprises. The bank described the fund as ‘patient capital,’ indicating a long-term investment strategy rather than a rush for quick profits.

The launch follows China’s recent policy priorities for 2025, unveiled at its annual parliamentary meeting, which stress boosting consumption and achieving technological advances amid ongoing tensions with the US.

Additionally, the government plans to establish a state-backed fund to raise 1 trillion yuan from private investment to support technology startups.

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