Economic Archives | Page 442 of 709 | Digital Watch Observatory

Apple and Google face scrutiny over browser competition

Britain’s Competition and Markets Authority (CMA) has concluded that the mobile browser market, led by Apple and Google, is not functioning effectively for consumers and businesses. The findings support the regulator’s decision to launch an investigation into the sector earlier this year.

Concerns are largely focused on Apple’s policies regarding internet access through its Safari browser, which dominates its devices with an 88% market share. Google’s Chrome browser holds a 77% share on Android devices.

The UK CMA’s independent inquiry group suggested that if Apple and Google are found to have ‘strategic market status’ (SMS), regulatory interventions may be necessary to encourage competition. These could include measures allowing rival browsers to introduce new features.

Apple has defended its approach, arguing that proposed remedies could undermine security and user experience, while Google highlighted Android’s openness in fostering competition and innovation.

The investigation forms part of a broader effort to assess competition in mobile ecosystems, with final decisions expected later this year.

The inquiry group’s chair, Margot Daly, stated that limited competition between mobile browsers is stifling innovation, reinforcing the need for regulatory action.

The CMA’s ongoing probe into the dominance of Apple and Google aims to ensure a fairer and more competitive digital marketplace.

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AI demand drives record power sector deals

The US power industry is experiencing a surge in mergers and acquisitions (M&A) as record demand for electricity, particularly from AI-driven data centres, fuels heightened interest in power generation assets.

Industry experts predict 2025 will be a bumper year for such deals, with assets in high demand due to massive projections for future consumption. Notable transactions, such as Constellation Energy’s $16.4 billion acquisition of Calpine, highlight the sector’s boom in early 2025.

Private equity firms, pension funds, and other institutional investors are rapidly deploying capital into the power sector, with over $330 billion in capital waiting to be invested in infrastructure.

Many of these firms are targeting not only operational companies but also firms that manufacture energy equipment, positioning themselves to profit from the ongoing expansion of the power grid to meet AI-related demand.

While the US M&A frenzy contrasts with a broader slowdown in the market, the momentum in the power sector is expected to continue.

Challenges such as material shortages and regulatory uncertainties, particularly surrounding tariffs on essential materials, may impact future projects.

However, the increasing value of power infrastructure makes these challenges more manageable for investors keen to tap into the growing market.

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Singapore and Vietnam strengthen ties with digital asset agreement

Singapore and Vietnam have signed an agreement to enhance cooperation on financial market regulation and digital asset oversight.

The Monetary Authority of Singapore and Vietnam’s State Securities Commission will exchange expertise on supervisory practices, anti-money laundering measures, and counter-terrorism financing as part of the deal. The move aligns with growing economic ties between the two nations.

The agreement is expected to support Vietnam in developing a more robust regulatory framework for digital assets while ensuring fair and transparent financial markets.

Singapore’s Assistant Managing Director for Capital Markets, Lim Tuang Lee, highlighted the importance of cross-border financial connectivity, reinforcing both countries’ commitment to market stability.

Vietnam’s SSC Chairperson Vu Thi Chan Phuong described the partnership as a significant milestone in bilateral cooperation.

The signing took place during an official visit to Singapore, attended by Singapore Prime Minister Lawrence Wong and Vietnam’s General Secretary To Lam. The collaboration reflects a shared vision for stronger financial oversight and deeper regional integration.

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EU draft AI code faces industry pushback

The tech industry remains concerned about a newly released draft of the Code of Practice on General-Purpose Artificial Intelligence (GPAI), which aims to help AI providers comply with the EU‘s AI Act.

The proposed rules, which cover transparency, copyright, risk assessment, and mitigation, have sparked significant debate, especially among copyright holders and publishers.

Industry representatives argue that the draft still presents serious issues, particularly regarding copyright obligations and external risk assessments, which they believe could hinder innovation.

Tech lobby groups, such as the CCIA and DOT Europe, have expressed dissatisfaction with the latest draft, highlighting that it continues to impose burdensome requirements beyond the scope of the original AI Act.

Notably, the mandatory third-party risk assessments both before and after deployment remain a point of contention. Despite some improvements in the new version, these provisions are seen as unnecessary and potentially damaging to the industry.

Copyright concerns remain central, with organisations like News Media Europe warning that the draft still fails to respect copyright law. They argue that AI companies should not be merely expected to make ‘best efforts’ not to use content without proper authorisation.

Additionally, the draft is criticised for failing to fully address fundamental rights risks, which, according to experts, should be a primary concern for AI model providers.

The draft is open for feedback until 30 March, with the final version expected to be released in May. However, the European Commission’s ability to formalise the Code under the AI Act, which comes into full effect in 2027, remains uncertain.

Meanwhile, the issue of copyright and AI is also being closely examined by the European Parliament.

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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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AML Bitcoin CEO faces up to 30 years for investor deception

A US federal jury has convicted Rowland Marcus Andrade, the founder of AML Bitcoin, on charges of wire fraud and money laundering.

Prosecutors revealed that Andrade deceived investors by falsely claiming the cryptocurrency featured advanced anti-money laundering technology and was on the verge of adoption by the Panama Canal Authority. No such agreement existed.

The fraudulent scheme allowed Andrade to raise millions of dollars, of which over $2 million was spent on luxury cars and real estate in Texas.

Federal agents traced investor funds through multiple bank accounts, leading to financial fraud charges. Acting US Attorney Patrick D. Robbins stressed that exploiting investors for personal gain would not go unpunished.

FBI and IRS officials highlighted their commitment to safeguarding financial markets from fraudulent schemes. Andrade is scheduled for sentencing on 22 July 2025 and faces up to 30 years in prison. His illegally acquired assets are also subject to forfeiture.

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Kraken strengthens UK presence with FCA regulatory licence

Kraken has obtained an Electronic Money Institution (EMI) licence from the UK’s Financial Conduct Authority (FCA), allowing it to issue electronic money and improve deposit and withdrawal services for British customers.

The approval enables the exchange to strengthen ties with traditional financial institutions and expand its offerings in one of its most active markets.

FCA’s decision comes amid rising crypto adoption in the UK, with over seven million adults now holding digital assets. Kraken has reported increased trading volumes in GBP, further cementing its role in the country’s expanding crypto economy.

The approval follows Kraken’s recent authorisation under the EU’s MiFID framework, positioning the company as a key bridge between crypto and traditional finance across Europe.

Kraken has been active in the UK since 2014, becoming the first major exchange to introduce BTC/GBP trading pairs. Today, it supports over 300 cryptocurrencies and collaborates with major UK sports brands such as Williams Racing F1 and Tottenham Hotspur FC.

Looking ahead, the company plans to launch new crypto and fiat products for UK users, further enhancing its platform.

The exchange is also preparing for a potential initial public offering (IPO) in 2026, encouraged by what it sees as a more favourable regulatory climate.

Meanwhile, Kraken has successfully reached an agreement with the US Securities and Exchange Commission (SEC) to dismiss a lawsuit against it, securing a legal victory without penalties or changes to its business operations.

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Google enhances Gemini AI with smarter personalisation

Google has announced an update to its Gemini AI assistant, enhancing personalisation to better anticipate user needs and deliver responses that feel more like those of a personal assistant.

The feature, initially available on desktop before rolling out to mobile, allows Gemini to offer tailored recommendations, such as travel ideas, based on search history and, in the future, data from apps like Photos and YouTube.

Users can opt in to the new personalisation features, sharing details like dietary preferences or past conversations to refine responses further.

Google assures that users must explicitly grant permission for Gemini to access search history and other services, and they can disconnect at any time.

However, this level of contextual awareness could give Google an advantage over competitors like ChatGPT by leveraging its vast ecosystem of user data.

The update signals a shift in how users interact with AI, bringing it closer to traditional search while raising questions for publishers and SEO professionals.

As Gemini increasingly provides direct, personalised answers, it may reduce the need for users to visit external websites. While currently experimental, the potential for Google to push broader adoption of AI-driven personalisation could reshape digital content discovery and search behaviour in the future.

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Trump’s viral ‘Everything is computer’ sparks new meme coin frenzy

A new meme coin, Everything is Computer (EIC), has taken the crypto market by storm after a viral comment from US President Donald Trump.

The phrase, which originated from Trump’s reaction to a Tesla’s interior, quickly became a meme on X, formerly Twitter. In response, traders launched the EIC token on Pump.fun, with its price initially surging to $0.007 on Raydium.

The token recorded over $15 million in trading volume within 24 hours, attracting significant attention across the Solana ecosystem.

Additional liquidity pools, including Meteora, also saw millions in activity as traders flocked to capitalise on the trend. However, EIC has since dropped to around $0.0028, reflecting the volatility of the memecoin sector.

Some investors are wary of potential risks, citing Pump.fun’s track record of meme coin failures and the recent LIBRA rug pull.

Despite this, the hype around Everything is Computer remains strong, with many believing its viral origins could help it avoid the fate of other short-lived meme coins. Whether it can maintain momentum or fade into obscurity remains to be seen.

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Major companies back global nuclear energy expansion

Several major companies, including Amazon and Google, have pledged to support the goal of tripling the world’s nuclear energy capacity by 2050.

However, this commitment was made during the CERAWeek conference in Houston, with other signatories such as shale company Occidental and Japanese firm IHI Corp. The World Nuclear Association (WNA) facilitated the pledge and expects more industries, including maritime and aviation, to join in the coming months.

Nuclear energy currently accounts for 9% of the world’s electricity, produced by 439 power reactors. As large tech companies like Amazon and Google pursue nuclear projects, including small modular reactors, the demand for uranium, essential for nuclear technology, has surged.

However, uranium supply remains constrained, mainly coming from Kazakhstan, Canada, and Australia.

With high demand, uranium prices reached a 16-year peak last year, driven by supply disruptions during the COVID-19 lockdowns.

Despite this, global nuclear power generation continues to be concentrated in just a few countries, with 411 reactors in operation as of early 2025, providing a combined 371 gigawatts of capacity.

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