E-commerce and trade

Google pays around $1.4 billion over privacy case

Google has agreed to pay $1.375 billion to settle a lawsuit brought by the state of Texas over allegations that it violated users’ privacy through features such as Incognito mode, Location History, and biometric data collection.

Despite the sizable sum, Google denies any wrongdoing, stating that the claims were based on outdated practices which have since been updated.

Texas Attorney General Ken Paxton announced the settlement, emphasising that large tech firms are not above the law.

He accused Google of covertly tracking individuals’ locations and personal searches, while also collecting biometric data such as voiceprints and facial geometry — all without users’ consent. Paxton claimed the state’s legal challenge had forced Google to answer for its actions.

Although the settlement resolves two lawsuits filed in 2022, the specific terms and how the funds will be used remain undisclosed. A Google spokesperson maintained that the resolution brings closure to claims about past practices, instead of requiring any changes to its current products.

The case comes after a similar $1.4 billion agreement involving Meta, which faced accusations of unlawfully gathering facial recognition data. The repeated scrutiny from Texas authorities signals a broader pushback against the data practices of major tech companies.

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Google unveils AI tool to boost African businesses

Google has announced the beta launch of AI Max for Search Campaigns, a new tool aimed at helping local businesses, including those across Africa, reach more customers through smarter advertising.

The feature, which builds on Google’s Gemini AI models, enhances how businesses appear in search results, even when users type unexpected or highly specific queries.

As African economies continue to embrace digital transformation, AI Max offers vital support to small and medium-sized enterprises. The tool intelligently matches search terms, customises ad text in real time, and expands URL targeting to guide users to the most relevant content.

Designed to reduce the burden on entrepreneurs managing multiple responsibilities, the tool is seen as a cost-effective way to attract higher-intent customers with minimal effort.

This initiative complements Google’s ongoing support for African businesses, including training schemes like Hustle Academy. With AI Max, entrepreneurs now have access to technology that not only adapts to their needs but also improves their visibility in an increasingly competitive digital market.

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Apple explores AI search as Google deal faces questions

Apple is reportedly exploring a move towards integrating AI-powered search within its Safari browser, as questions mount over the future of its partnership with Google. Cue made the comments during his testimony in the US Department of Justice’s antitrust trial against Google’s parent company, Alphabet.

Senior Vice President Eddy Cue revealed the company is considering collaborations with AI search leaders such as OpenAI, Anthropic, and Perplexity, amid a broader shift in user behaviour towards AI tools.

Safari recently experienced its first decline in search usage, a trend attributed to users adopting AI-driven search solutions. While Apple currently integrates ChatGPT into Siri and plans to add Google’s Gemini, the company remains cautious about replacing Google as the default search engine.

Cue acknowledged the financial benefits of the $20 billion annual deal with Google and expressed concerns over jeopardising the partnership. Discussions continue as Apple balances innovation with maintaining its lucrative search agreement with Google.

Despite this, Cue predicts AI search engines could eventually surpass traditional models. Apple has also evaluated other AI technologies, including DeepSeek and xAI’s Grok, highlighting its growing interest in generative AI.

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FTC says Amazon misused legal privilege to dodge scrutiny

Federal regulators have accused Amazon of deliberately concealing incriminating evidence in an ongoing antitrust case by abusing privilege claims. The Federal Trade Commission (FTC) said Amazon wrongly withheld nearly 70,000 documents, withdrawing 92% of its claims after a judge forced a re-review.

The FTC claims Amazon marked non-legal documents as privileged to keep them from scrutiny. Internal emails suggest staff were told to mislabel communications by including legal teams unnecessarily.

One email reportedly called former CEO Jeff Bezos the ‘chief dark arts officer,’ referring to questionable Prime subscription tactics.

The documents revealed issues such as widespread involuntary Prime sign-ups and efforts to manipulate search results in favour of Amazon’s products. Regulators said these practices show Amazon intended to hide evidence rather than make honest errors.

The FTC is now seeking a 90-day extension for discovery and wants Amazon to cover the additional legal costs. It claims the delay and concealment gave Amazon an unfair strategic advantage instead of allowing a level playing field.

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Apple prepares low-power chip for smart eyewear

Apple is developing custom chips to power future smart glasses, AI servers, and new Mac models, according to a report by Bloomberg News.

The chip for the glasses is being designed with a focus on energy efficiency and advanced camera handling, and production could begin as early as late 2026 or 2027.

Built on technology similar to that of the Apple Watch instead of the iPhone, the chip is expected to consume significantly less power.

It will be manufactured by Taiwan’s TSMC and tailored to manage multiple cameras efficiently, potentially positioning Apple as a rival to Meta’s Ray-Ban smart glasses.

At the same time, Apple is working on new Mac processors—possibly branded as the M6 and M7—as well as AI server chips designed to support the Apple Intelligence platform. This system enables features like notification summaries, email rewriting, and access to OpenAI’s ChatGPT.

These projects come as Apple expands its silicon strategy. Earlier in 2025, the company unveiled its first custom modem for iPhones, and it plans to source over 19 billion chips from the US this year instead of depending on China, while also boosting production in India.

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Microsoft bans DeepSeek app for staff use

Microsoft has confirmed it does not allow employees to use the DeepSeek app, citing data security and propaganda concerns.

Speaking at a Senate hearing, company president Brad Smith explained the decision stems from fears that data shared with DeepSeek could end up on Chinese servers and be exposed to state surveillance laws.

Although DeepSeek is open source and widely available, Microsoft has chosen not to list the app in its own store.

Smith warned that DeepSeek’s answers may be influenced by Chinese government censorship and propaganda, and its privacy policy confirms data is stored in China, making it subject to local intelligence regulations.

Interestingly, Microsoft still offers DeepSeek’s R1 model via its Azure cloud service. The company argued this is a different matter, as customers can host the model on their servers instead of relying on DeepSeek’s infrastructure.

Even so, Smith admitted Microsoft had to alter the model to remove ‘harmful side effects,’ although no technical details were provided.

While Microsoft blocks DeepSeek’s app for internal use, it hasn’t imposed a blanket ban on all chatbot competitors. Apps like Perplexity are available in the Windows store, unlike those from Google.

The stance against DeepSeek marks a rare public move by Microsoft as the tech industry navigates rising tensions over AI tools with foreign links.

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Gemini Nano boosts scam detection on Chrome

Google has released a new report outlining how it is using AI to better protect users from online scams across its platforms.

The company says AI is now actively fighting scams in Chrome, Search and Android, with new tools able to detect and neutralise threats more effectively than before.

At the heart of these efforts is Gemini Nano, Google’s on-device AI model, which has been integrated into Chrome to help identify phishing and fraudulent websites.

The report claims the upgraded systems can now detect 20 times more harmful websites, many of which aim to deceive users by creating a false sense of urgency or offering fake promotions. These scams often involve phishing, cryptocurrency fraud, clone websites and misleading subscriptions.

Search has also seen major improvements. Google’s AI-powered classifiers are now better at spotting scam-related content before users encounter it. For example, the company says it has reduced scams involving fake airline customer service agents by over 80 per cent, thanks to its enhanced detection tools.

Meanwhile, Android users are beginning to see stronger safeguards as well. Chrome on Android now warns users about suspicious website notifications, offering the choice to unsubscribe or review them safely.

Google has confirmed plans to extend these protections even further in the coming months, aiming to cover a broader range of online threats.

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OpenAI launches data residency in India for ChatGPT enterprise

OpenAI has announced that enterprise and educational customers in India using ChatGPT can now store their data locally instead of relying on servers abroad.

The move, aimed at complying with India’s upcoming data localisation rules under the Digital Personal Data Protection Act, allows conversations, uploads, and prompts to remain within the country. Similar options are now available in Japan, Singapore, and South Korea.

Data stored under this new residency option will be encrypted and kept secure, according to the company. OpenAI clarified it will not use this data for training its models unless customers choose to share it.

The change may also influence a copyright infringement case against OpenAI in India, where the jurisdiction was previously questioned due to foreign server locations.

Alongside this update, OpenAI has unveiled a broader international initiative, called OpenAI for Countries, as part of the US-led $500 billion Stargate project.

The plan involves building AI infrastructure in partner countries instead of centralising development, allowing nations to create localised versions of ChatGPT tailored to their languages and services.

OpenAI says the goal is to help democracies develop AI on their own terms instead of adopting centralised, authoritarian systems.

The company and the US government will co-invest in local data centres and AI models to strengthen economic growth and digital sovereignty across the globe.

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CrowdStrike cuts jobs amid AI shift

Cybersecurity firm CrowdStrike is laying off 500 employees—5% of its workforce—as it shifts towards an AI-led operating model to boost efficiency and hit a $10 billion annual revenue goal.

In a letter to staff, CEO George Kurtz described AI as a ‘force multiplier’ meant to reduce hiring needs instead of expanding headcount.

The restructure, expected to cost up to $53 million through mid-2026, will still see hiring in customer-facing and engineering roles.

Yet despite its optimism, the company’s regulatory filings flag notable risks in depending on AI, such as faulty outputs, legal uncertainty, and the challenge of managing fast-moving systems. Analysts have also linked the shift to wider market pressures, not merely strategic innovation.

Principal analyst Sofia Ali warned that the AI-first approach may backfire if transparency, governance, and human oversight are not prioritised. Over-reliance on automation—especially in threat detection or customer support—could erode user trust instead of reinforcing it, particularly during critical incidents.

CrowdStrike’s move mirrors a broader tech trend: over 52,000 tech jobs were cut in early 2025 as firms embraced AI to replace automatable roles. For cybersecurity leaders, the challenge now lies in balancing AI’s promise with the human expertise essential to trust and resilience.

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Indian stock exchanges curb foreign access amid cybersecurity concerns

India’s two largest stock exchanges, the National Stock Exchange (NSE) and BSE Ltd, have temporarily restricted overseas access to their websites amid rising concerns over cyber threats. The move does not affect foreign investors’ ability to trade on Indian markets.

Sources familiar with the matter confirmed the decision followed a joint meeting between the exchanges, although no recent direct attack has been specified.

Despite the restrictions, market operations remain fully functional, with officials emphasising that the measures are purely preventive.

The precautionary step comes during heightened regional tensions between India and Pakistan, though no link to the geopolitical situation has been confirmed. The NSE has yet to comment publicly on the situation.

A BSE spokesperson noted that the exchanges are monitoring cyber risks both domestically and internationally and that website access is now granted selectively to protect users and infrastructure.

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