Google has filed a lawsuit against the Consumer Financial Protection Bureau (CFPB) over its decision to place the company’s payment division under federal supervision. The legal dispute arises from the CFPB’s claims that Google’s handling of its payment products, including a discontinued peer-to-peer payment service, posed risks to consumers.
The lawsuit, lodged in the Washington, DC district court, argues that the CFPB’s actions constitute government overreach. Google asserts the decision was based on limited and unverified user complaints, stating that a discontinued product cannot pose consumer risks. The CFPB, however, maintains that its supervisory authority is essential to enforcing compliance with financial laws, even for defunct services.
Google spokesperson José Castañeda described the agency’s oversight as unnecessary, reiterating that the company’s payment products have always prioritised user safety. Google also claims the CFPB set an unreasonably low standard for determining consumer risks, leading to undue regulatory burdens.
The CFPB’s authority to oversee nonbank financial institutions, announced in 2022, allows it to conduct examinations and intervene against potential risks to consumers. Google contends that applying such measures to its payments division is unjustified and aims to challenge the agency’s approach in court.
President-elect Donald Trump‘s transition team has invited tech giants, including Google, Microsoft, Meta, Snap, and TikTok, to a mid-December meeting focused on combating online drug sales, according to a report by The Information. The meeting aims to gather insights from these companies about challenges and priorities in addressing illegal drug activity on their platforms.
Trump has pledged to tackle the fentanyl crisis, emphasising stricter measures against its flow into the US from Mexico and Canada. He has also proposed a nationwide advertising campaign to educate the public about the dangers of fentanyl. Tech companies have faced scrutiny in the past for their platforms’ roles in facilitating drug sales, with Meta under investigation and eBay recently settling a case for failing to prevent the sale of devices used to make counterfeit pills.
The transition team has not commented publicly on the meeting, but it underscores the growing intersection between technology and public health issues, particularly as the US grapples with the devastating impact of fentanyl addiction and trafficking.
Google’s newest AI, the PaliGemma 2 model, has drawn attention for its ability to interpret emotions in images, a feature unveiled in a recent blog post. Unlike basic image recognition, PaliGemma 2 offers detailed captions and insights about people and scenes. However, its emotion detection capability has sparked heated debates about ethical implications and scientific validity.
Critics argue that emotion recognition is fundamentally flawed, relying on outdated psychological theories and subjective visual cues that fail to account for cultural and individual differences. Studies have shown that such systems often exhibit biases, with one report highlighting how similar models assign negative emotions more frequently to certain racial groups. Google says it performed extensive testing on PaliGemma 2 for demographic biases, but details of these evaluations remain sparse.
Experts also worry about the risks of releasing this AI technology to the public, citing potential misuse in areas like law enforcement, hiring, and border control. While Google emphasises its commitment to responsible innovation, critics like Oxford’s Sandra Wachter caution that without robust safeguards, tools like PaliGemma 2 could reinforce harmful stereotypes and discriminatory practices. The debate underscores the need for a careful balance between technological advancement and ethical responsibility
Microsoft has introduced Copilot Vision, an AI-powered feature available in a limited US preview for users of Microsoft Edge. This experimental tool, part of the Copilot Labs program, can read web pages to answer user queries, summarise and translate content, and even assist with tasks like finding discounts or offering gaming tips. For example, it can provide recipes from a cooking site or strategic advice during an online chess game.
To address privacy concerns, Microsoft emphasises that Copilot Vision deletes all processed data at the end of each session and does not store information for model training. The feature is initially restricted to a pre-approved list of popular websites, excluding sensitive or paywalled content, though Microsoft plans to expand compatibility over time.
Microsoft’s cautious rollout reflects ongoing efforts to balance innovation with publisher concerns over AI’s use of web data. The company is collaborating with third-party publishers to ensure the tool benefits users without compromising website content or functionality.
FCC Chairwoman Jessica Rosenworcel has proposed requiring US communications providers to certify annually that they have plans to defend against cyberattacks. The move comes amid growing concerns over espionage by ‘Salt Typhoon,’ a hacking group allegedly linked to Beijing that has infiltrated several American telecom companies to steal call data.
Rosenworcel highlighted the need for a modern framework to secure networks as US intelligence agencies assess the impact of Salt Typhoon’s widespread attack. A senior US official confirmed the hackers had stolen metadata from numerous Americans, breaching at least eight telecom firms.
The FCC proposal, which Rosenworcel has circulated to other commissioners, would take effect immediately if approved. The announcement follows a classified Senate briefing on the breach, but industry giants like Verizon, AT&T, and T-Mobile have yet to comment.
The UK’s Competition and Markets Authority (CMA) has postponed the release of provisional findings from its cloud computing investigation to January 2025, according to an updated timeline. Despite this delay, the final report remains on schedule for July 2025. The investigation targets potential anti-competitive practices in a market heavily influenced by Amazon Web Services, Microsoft Azure, and Google Cloud Platform.
This inquiry follows concerns raised by the UK media regulator Ofcom, which highlighted issues such as restrictive data transfer fees and volume discounts that might prevent customers from switching providers or using multiple suppliers. Microsoft’s software licensing terms, especially concerning its Windows Server and Microsoft 365 products, are also under scrutiny for potentially disadvantaging competitors.
Adding to Microsoft’s challenges, a legal claim filed at the UK Competition Appeal Tribunal accuses the company of imposing punitive licensing policies that could cost British businesses over £1B in damages. Meanwhile, the US Federal Trade Commission is conducting a parallel antitrust investigation, broadening the global focus on the tech giant’s market practices.
The CMA’s findings and potential legal outcomes could reshape the dynamics of cloud computing, a vital sector for businesses and governments worldwide.
The UK Competition and Markets Authority (CMA) has approved the merger between Vodafone and Three, two of the country’s largest telecom operators, in a $19 billion deal. The merger, which has faced intense scrutiny, was initially investigated due to concerns over potential price hikes, reduced services, and lower investments in mobile networks. However, the CMA approved the deal with conditions to address these concerns, including commitments for significant investment in a nationwide 5G network.
The companies must also cap mobile tariffs for the next three years and maintain contractual terms for mobile virtual network operators (MVNOs) during that period. The CMA’s decision marks a shift from previous cases where “4-3” mergers in the telecom sector were allowed only with significant structural changes. This approval is seen as a pragmatic approach, with the CMA confident that competition will be strengthened by a well-resourced trio of mobile operators in the UK.
Vodafone’s CEO, Margherita Della Valle, welcomed the approval, emphasising the benefits for consumers and businesses, including wider coverage and faster mobile speeds. The merger is expected to accelerate the UK’s position in European telecommunications, with a combined investment in the sector. The CMA and Ofcom will oversee the implementation of the agreed measures to ensure competition is maintained.
US agencies have briefed senators on ‘Salt Typhoon,’ a Chinese cyber-espionage campaign allegedly targeting American telecommunications networks. Officials claim the hackers stole call metadata and other sensitive information, affecting at least eight US telecom firms and dozens of companies worldwide. The breaches have sparked bipartisan concern, with some senators pressing for stronger preventive measures and legislation.
Telecom giants like Verizon, AT&T, and T-Mobile acknowledged the incidents but downplayed the impact on customer data. Federal agencies, including the FBI and Cybersecurity and Infrastructure Security Agency, emphasised the challenge of fully removing hackers from networks, while incoming FCC Chair Brendan Carr pledged to strengthen cybersecurity defences.
China has denied the allegations, calling them disinformation. Meanwhile, a Senate subcommittee hearing on December 11 will focus on the risks posed by such cyber threats and explore ways to protect US communications infrastructure.
Microsoft is facing a £1 billion legal claim in the UK, alleging it imposed unfair licensing fees on businesses using rival cloud services like Amazon, Google, and Alibaba. The case, brought by competition lawyer Maria Luisa Stasi, accuses Microsoft of deterring customers from using competing cloud platforms by inflating fees for its Windows Server software.
The licensing changes, introduced in 2020, reportedly incentivised customers to choose Microsoft’s Azure platform, raising concerns about restricted competition. Britain’s competition watchdog is also scrutinising Microsoft’s cloud practices as part of a broader industry investigation.
The United StatesFederal Trade Commission has similarly launched an antitrust probe into Microsoft’s cloud computing and software licensing, investigating potential market abuse. Microsoft’s actions have sparked global attention over its influence in the cloud sector, which is dominated by Microsoft, Amazon, and Google.
Vietnam has temporarily suspended operations of Chinese online retailer Temu after the company failed to meet a business registration deadline set for the end of November. The trade ministry announced the move as part of broader efforts to regulate foreign e-commerce platforms, citing concerns over heavy discounting and potential counterfeit sales.
Temu, owned by China’s PDD Holdings, began serving Vietnamese shoppers in October but must now complete its registration process to resume operations. The platform’s Vietnamese-language options were removed, and Temu confirmed it is working with authorities to comply but gave no timeline for its return.
Shein, another Chinese retailer affected by the deadline, also had its Vietnamese site disabled, though it remains unclear if its operations were officially suspended. The crackdown comes amid Vietnam’s push for stricter tax regulations, including ending value-added tax exemptions for low-cost imported goods, a change expected to impact foreign e-commerce platforms significantly.
