Economic Archives | Page 18 of 704 | Digital Watch Observatory

WTO members form duty-free pact after e-commerce moratorium lapses

The United States and 18 other World Trade Organization members have moved to create a separate pact pledging not to impose customs duties on electronic transmissions, after members failed to renew the wider WTO e-commerce moratorium.

According to the document cited in the report, the group includes the United States, Ja p an, South Korea, Singapore, Australia, Norway, and Argentina. The 19 members said they would not impose duties on electronic transmissions for an unspecified period and expressed disappointment that the multilateral moratorium had lapsed.

Members of the group said they remained committed to providing businesses and consumers with a measure of predictability and certainty in the absence of the WTO-wide moratorium. They also invited other WTO members to join the arrangement.

First agreed in 1998 and renewed repeatedly since then, the moratorium prevents WTO members from imposing customs duties on cross-border electronic transmissions, including streaming, downloads and software transfers.

At MC13 in March 2024, WTO members adopted the most recent ministerial decision on the issue, extending the practice of not imposing customs duties on electronic transmissions until the 14th Ministerial Conference or 31 March 2026, whichever came earlier.

Its lapse followed failed efforts to extend the arrangement, with Brazil maintaining its opposition to a four-year renewal.

US Ambassador to the WTO Joseph Barloon told delegates that Washington was launching the plurilateral agreement to give businesses and consumers greater certainty and predictability. He said the move did not close the door to multilateral engagement, but that the United States would not wait for all WTO members to agree before responding to stakeholder needs.

Business groups warned that the failure to preserve a WTO-wide moratorium would raise concerns about global digital trade. Sabina Ciofu of techUK said the 19-member pact offered a way forward but that the absence of a multilateral agreement was worrying. At the same time, International Chamber of Commerce Secretary General John Denton described the pact as a temporary fix rather than a substitute for a WTO-wide deal.

Why does it matter?

The lapse of the WTO e-commerce moratorium weakens one of the longest-standing global understandings underpinning digital trade. A 19-member pact may preserve duty-free treatment among participating economies, but it also points to a more fragmented environment in which rules for electronic transmissions could increasingly depend on partial arrangements rather than WTO-wide consensus.

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LinkedIn faces allegations over data access practices

Privacy rights group noyb has filed a complaint against LinkedIn, alleging that the platform restricts access to certain user data by placing it behind a paid Premium subscription.

The complaint centres on LinkedIn’s ‘Who’s viewed your profile’ feature, which shows users who have visited their profile. According to noyb, LinkedIn tracks profile visits and makes detailed visitor information available to Premium subscribers, while refusing to provide the same data free of charge when users submit an access request under Article 15 of the GDPR.

Noyb argues that users have the right to receive their own personal data free of charge under the EU data protection rules. The organisation claims that LinkedIn has cited data protection concerns when refusing access requests, despite making similar information available through its paid subscription service.

The complaint was lodged with the Austrian Data Protection Authority and seeks enforcement action requiring LinkedIn to provide the data requested, as well as potential penalties. Noyb also questions whether LinkedIn’s tracking of profile visits complies with the EU consent requirements.

LinkedIn has reportedly denied the allegations, saying it complies with applicable rules and provides relevant information in accordance with its privacy policies.

The case adds to ongoing scrutiny of how digital platforms handle data access rights in the EU, particularly when information collected about users is also used for paid services.

Why does it matter?

The complaint tests whether platforms can monetise access to information that may also fall under users’ GDPR right of access. If regulators side with noyb, the case could affect how subscription-based platforms structure premium features that involve personal data, especially when the same data is withheld from non-paying users who make formal access requests.

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Italy central bank backs review of tokenised SEPA payments

European policymakers are increasingly examining how traditional payment systems could evolve in response to the rise of digital assets. Bank of Italy Deputy Governor Chiara Scotti has suggested that the Single Euro Payments Area (SEPA) could be extended to tokenised payments to support Europe’s digital finance infrastructure.

Scotti described a tokenised SEPA framework as an important area for consideration, highlighting that Europe’s existing payments system already offers strong interoperability and shared standards.

Her remarks align with broader efforts by the European Central Bank to integrate distributed ledger technology into settlement systems.

The European Central Bank is currently developing initiatives such as Pontes, a pilot linking blockchain-based market platforms with central bank settlement infrastructure, alongside a longer-term roadmap known as Appia.

These projects aim to ensure euro-denominated settlement remains central as tokenised deposits and digital assets expand.

Policymakers warn that widespread stablecoin adoption could shift deposits away from banks, weakening financial stability and reducing the euro’s influence in digital markets. As a result, central bank money is being considered as a key anchor for future tokenised financial systems.

Why does it matter?

The debate reflects Europe’s effort to maintain control over its monetary system as payments move toward tokenised and blockchain-based infrastructure. Without central bank money integrated into these systems, risks include weaker financial stability, fragmented payment networks, and greater reliance on external stablecoin ecosystems, potentially reducing the euro’s role in digital finance.

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Norway joins Pax Silica initiative to secure AI and semiconductor supply chains

The Pax Silixca initiative, which focuses on secure AI, semiconductor, and critical raw materials supply chains, has expanded with the addition of Norway. The partnership aims to strengthen technological innovation while protecting sensitive technologies.

Norway joins a group of 14 participating countries, including the USA, Japan, the UK and India. Norwegian officials said participation could improve market access for domestic companies operating in advanced technological sectors and strengthen economic security cooperation with strategic partners.

Minister of Trade and Industry, Cecilie Myrseth, said the initiative aligns with Norway’s goal of expanding cooperation with leading countries in AI and emerging technologies. Norwegian ambassador to the USA, Anniken Huitfeldt, is expected to formally sign the agreement on behalf of the country.

The move also complements broader Norwegian and European efforts to secure access to critical technologies and supply chains. The government highlighted initiatives linked to the European Chips Act and the EU Critical Raw Materials Act as part of a wider strategy to strengthen technology resilience and industrial competitiveness.

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Apple may be preparing a major Siri AI shake-up in iOS 27

Apple is reportedly preparing a major expansion of Apple Intelligence that could allow users to choose which AI model powers Siri and other system features. According to recent reports, iOS 27, iPadOS 27, and macOS 27 may introduce a new ‘Extensions’ framework designed to integrate third-party AI systems directly into Apple’s software ecosystem.

The reported feature would allow applications such as Gemini and Claude to connect with Siri through their App Store apps. Users may be able to select different AI providers for different tasks, while Apple is also said to be testing separate Siri voices for responses generated by external models rather than Apple’s own systems.

The move would expand Apple’s broader AI partnership strategy rather than replace existing integrations. ChatGPT already supports selected Apple Intelligence functions, and earlier reporting suggested Google Gemini could eventually power parts of Siri itself. The new framework appears aimed at turning Apple devices into a wider AI platform that supports multiple large language models rather than a single assistant stack.

Apple is expected to present further details during its Worldwide Developers Conference on 8 June 2026. If the reported changes materialise, they could significantly reshape how users interact with AI assistants by giving them more control over which models handle tasks such as search, writing, and image generation.

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Siri AI delays lead to $250 million Apple settlement

Apple has agreed to pay $250 million to settle a class action lawsuit alleging that it misled consumers about the readiness and availability of AI-powered Siri features promoted ahead of the iPhone 16 launch. Under the proposed agreement, eligible US customers who bought supported iPhone models between 10 June 2024 and 29 March 2025 may receive between $25 and $95 per device, depending on the number of claims. Apple denied wrongdoing and settled the case without admitting liability.

The complaint argued that consumers who purchased supported iPhone 15 and iPhone 16 models expected advanced Apple Intelligence features and a significantly upgraded Siri experience that were not available at the time of sale. Plaintiffs said Apple’s marketing created the impression that the new capabilities would arrive sooner and with broader functionality than users ultimately received.

The settlement comes shortly before Apple’s annual Worldwide Developers Conference, where the company is widely expected to present further updates to Siri and its wider AI strategy.

Why does it matter?

The case shows how AI product marketing is becoming a legal and regulatory risk, not just a branding issue. As technology companies use generative AI features to drive device sales and platform adoption, courts and consumers are paying closer attention to whether those capabilities are actually available when products reach the market. The Apple settlement suggests that overstating AI readiness can create liability even before regulators step in, making transparency around launch claims increasingly important across the sector.

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Generative AI guidance issued by Australia’s New South Wales tribunal

The New South Wales Civil and Administrative Tribunal has issued guidance on the acceptable use of generative AI in tribunal proceedings as part of Privacy Awareness Week NSW 2026, which this year focuses on personal information risks in the age of AI.

According to NCAT, generative AI tools may be used to assist with administrative and organisational tasks such as summarising material, organising information, or preparing chronologies. At the same time, the tribunal warns that such tools can create privacy risks if users enter personal, sensitive, or confidential information.

The guidance is set out in NCAT Procedural Direction 7 on the use of generative AI, together with an accompanying fact sheet. NCAT says the aim is to clarify when generative AI may be used in tribunal-related work while reinforcing obligations to protect personal and confidential information.

The tribunal also draws a clear line around evidentiary material. Generative AI must not be used to generate or alter evidence in tribunal proceedings, including statements, affidavits, statutory declarations, character references, or other evidentiary documents.

NCAT further states that generative AI must not be used to generate content for an expert report unless the tribunal has given permission. It is encouraging parties and their representatives to review the guidance before using such tools in proceedings.

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ILO warns lifelong learning is critical for the future AI economy

The International Labour Organization has warned t hat governments must place lifelong learning at the centre of economic and social policy as AI, digitalisation and demographic shifts continue transforming labour markets worldwide. The organisation said stronger and more inclusive learning systems are necessary to prevent widening inequality between workers, industries and countries.

According to the ILO’s new report, titled ‘Lifelong learning and skills for the future’, only 16% of people aged between 15 and 64 participated in structured training during the previous year. Access remains significantly higher among full-time employees in formal companies, where employer-supported training reaches 51%.

The ILO report warns that workers in informal jobs and smaller enterprises continue relying mainly on learning through experience instead of structured education programmes. Furthermore, the study found that employers increasingly seek combinations of digital, socio-emotional, communication and problem-solving skills rather than narrow technical expertise alone.

While demand for AI-related capabilities is expected to increase, the report noted that most workers currently use ready-made AI tools that require broader digital literacy, critical thinking and collaborative abilities instead of specialist engineering knowledge.

The ILO also highlighted the growing importance of green and care economy skills. It estimates that 32% of workers globally already perform environmentally relevant tasks, while demand for long-term care workers could almost double by 2050.

The organisation called for greater public investment, stronger institutional coordination and inclusive lifelong learning strategies capable of supporting workers throughout rapidly changing technological and economic transitions.

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Bank of America forum highlights AI, quantum and Asia Pacific innovation

Bank of America convened its fifth Breakthrough Technology Dialogue in Singapore, bringing together leaders from business, academia, and science to discuss emerging technologies shaping the future. The event focused on areas including AI, quantum computing, energy, MedTech, and space.

The forum also highlighted the growing importance of the Asia Pacific in driving technological development and deployment. According to Bank of America, the region’s strong research base, advanced manufacturing capacity, and expanding digital infrastructure are helping position it at the centre of global innovation.

Designed as a high-level platform for discussion, the dialogue explored how emerging technologies are reshaping industries and economies. Participants also examined longer-term investment approaches and the need to connect innovation with practical use cases that can scale across markets.

The initiative reflects Bank of America’s wider approach to technology investment, combining large-scale spending with a stated focus on client and employee needs and on solutions that can be delivered at scale. The event is increasingly being presented as a global forum for shaping views on the next generation of technological change.

Why does it matter?

The significance of the dialogue lies less in any single announcement than in the way it brings together investors, executives, academics, and technologists around the sectors likely to shape future industrial and economic power. The emphasis on Asia Pacific also reflects a broader recognition that leadership in AI, quantum, and other frontier technologies will depend not only on research breakthroughs, but also on where they are manufactured, financed, and deployed at scale.

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Canada moves to strengthen photonic semiconductor and AI capabilities

The Government of Canada has announced plans to spin off the National Research Council of Canada’s Canadian Photonics Fabrication Centre into a commercially operated entity to expand domestic semiconductor manufacturing and strengthen the country’s AI infrastructure.

The initiative forms part of Ottawa’s broader strategy to reinforce technological sovereignty and reduce dependence on foreign supply chains in critical technologies. Located in Ottawa, the Canadian Photonics Fabrication Centre is currently North America’s only end-to-end pure-play compound semiconductor facility and has supported photonics development for more than two decades through wafer design, fabrication, and testing services.

Minister of Industry and Minister responsible for Canada Economic Development for Quebec Regions Mélanie Joly said the spin-off is intended to attract private-sector investment, support Canadian innovation, and expand the country’s role in advanced manufacturing sectors, including defence, aerospace, automotive technologies, and AI.

The government also links the initiative to growing global demand for AI computing infrastructure, where photonic semiconductors are increasingly seen as important for improving energy efficiency, heat management, and data-transfer performance in large-scale data centres. Ottawa says the future commercial entity will remain anchored in Canada while helping domestic firms scale photonic and quantum technologies.

The expected result is a stronger Canadian supply chain for advanced semiconductor manufacturing and better support for fast-growing small and medium-sized enterprises working on AI and quantum systems. In that sense, the move is less about volume chip production and more about securing a specialised domestic capability in a strategically important part of the semiconductor stack. This final sentence is an inference based on the government’s framing of CPFC’s role and Canada’s wider AI and photonics strategy.

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