The United States Consumer Financial Protection Bureau (CFPB) announced on Friday it will subject Google Payment Corp., Alphabet‘s payment arm, to federal oversight, citing potential risks to consumers. The move follows complaints involving fraud and unauthorised transactions, although the agency stopped short of alleging direct misconduct.
Google has filed a lawsuit challenging the order, arguing that the service in question is no longer active and poses no risk. The CFPB, however, maintains its authority to regulate even discontinued services if they posed prior risks.
The announcement comes as the Biden administration intensifies regulation of tech-driven financial services, seeking parity with traditional banks. Last month, the CFPB finalised rules extending banking supervision to tech firms offering payment and digital wallet services, a move opposed by Republican lawmakers.
With Biden leaving office and President-elect Trump set to return, the decision may face political challenges. Google’s case highlights the broader conflict between Silicon Valley and federal regulators over financial innovation.
The National Center for Public Policy Research, a Washington DC-based think tank, has proposed that Amazon consider adopting a Bitcoin corporate treasury strategy. The proposal will be tabled at the company’s April 2025 shareholder meeting, highlighting concerns over inflation risks eroding Amazon’s $88 billion in cash and short-term cash equivalents. According to the proposal, the Consumer Price Index (CPI) underestimates true inflation, with authors suggesting that the actual rate may be twice the reported figure, posing risks to shareholder value.
Bitcoin is presented as a potential hedge against these economic pressures. The think tank points to Bitcoin’s performance as evidence, noting that the cryptocurrency outperformed corporate bonds by 126% over the past year and saw a 1,246% increase over the last five years. They recommend Amazon allocate at least 5% of its assets to Bitcoin to safeguard its financial reserves, drawing on the success of MicroStrategy’s own Bitcoin treasury strategy as a proven example. MicroStrategy’s holdings are currently valued at over $40 billion, putting the company at about $17 billion in profit.
The idea is gaining traction among other companies as well. MARA, formerly Marathon Digital, recently raised $1 billion through a 0% interest convertible note offering to purchase 6,474 Bitcoin for its corporate treasury. Additionally, artificial intelligence firm Genius Group has converted a portion of its treasury into Bitcoin, having acquired 110 BTC at an average price of $90,932 each. These moves suggest that a Bitcoin treasury strategy is becoming an increasingly popular choice for companies looking to strengthen their financial positions amid market uncertainty.
Apple plans to launch its own cellular modem chips next year, starting with the iPhone SE, replacing components from Qualcomm. This marks a significant step towards reducing reliance on the chipmaker, whose modems have powered iPhones for years. Apple aims to phase out Qualcomm’s technology entirely by 2027.
The move follows Apple’s $1 billion acquisition of Intel‘s modem unit in 2019 and its integration of modem design into its chip development team. Additionally, Apple has signed a multi-billion-dollar deal with Broadcom for 5G components.
Qualcomm has acknowledged Apple’s transition but is leveraging advancements in laptops and AI-powered data centres to offset expected revenue declines. Investors and suppliers like Skyworks Solutions and Qorvo are closely monitoring the impact of Apple’s strategy on their business.
Palantir Technologies and Anduril Industries have joined forces to optimise defence data for AI training. Palantir’s platform will organise and label sensitive defence data for model training, while Anduril’s systems will manage the retention and distribution of this information for national security applications.
The collaboration highlights challenges in deploying AI for defence, where sensitive data complicates model training. Anduril recently partnered with OpenAI to integrate advanced AI into security missions, underscoring its commitment to autonomous defence solutions.
Palantir, a key player in the AI boom, continues to see robust demand from governments and businesses seeking advanced software solutions.
Polish authorities have detained Dmitry V., the former head of Russia’s crypto exchange WEX, in Warsaw following an extradition request from the US Department of Justice. During his tenure at WEX, Dmitry V. was suspected of fraud and money laundering. He is facing potential extradition to the US, where charges could carry a maximum 20-year prison sentence.
Dmitry V. has been linked to WEX, a successor to BTC-e, once Russia’s largest cryptocurrency platform before its collapse in 2018. The exchange was infamous for lax identity checks and ties to high-profile crypto hacks, including the Mt. Gox breach. Around $450 million remains unaccounted for from WEX, which had processed over $9 billion in transactions during its operation.
This is not Dmitry V.’s first arrest; he was previously detained in Poland in 2021 and later apprehended by Interpol in Croatia in 2022. His history also includes a 2019 arrest in Italy, which was short-lived due to errors in the extradition process.
Sens. Mike Lee (R-Utah) and Peter Welch (D-Vt.) are calling for an investigation into potential antitrust violations by FanDuel and DraftKings. In a joint letter to the Federal Trade Commission (FTC) and the US Department of Justice, the lawmakers accused the two sports betting giants of collaborating to suppress competition in the online sports betting market. The issue centres around their 2016 merger attempt, which was blocked by the FTC due to concerns about market dominance.
Since the merger was scrapped, Lee and Welch argue that FanDuel and DraftKings have used their dominance in fantasy sports to stifle smaller competitors in the online betting space. They claim that the companies, through the Sports Betting Alliance trade group, have intimidated rivals, blocked access to technology, and undermined marketing opportunities, which could harm innovation and prevent new players from entering the market.
FanDuel and DraftKings have not publicly commented on the allegations, and the Justice Department has acknowledged receipt of the letter but has not provided further details. The news has caused a drop in DraftKings’ stock, with Sen. Lee highlighting the potential societal impacts of the companies’ actions.
The European Union is investigating Nvidia’s business practices, focusing on whether the AI chip leader ties its GPU products to other hardware like networking equipment. Nvidia, which dominates the GPU market with an 84% share, has faced increasing global scrutiny due to its role in the AI and accelerated computing sectors.
Regulators recently distributed questionnaires to Nvidia’s competitors and customers as part of their preliminary fact-finding process. If proven, antitrust violations could result in fines up to 10% of the company’s annual global turnover.
Nvidia has denied any wrongdoing, asserting its products compete on merit and support customer choice. The inquiry coincides with a separate investigation by France‘s antitrust authority, which may soon press charges.
Pavel Durov, founder of Telegram, appeared in a Paris court on 6 December to address allegations that the messaging app has facilitated criminal activity. Represented by his lawyers, Durov reportedly stated he trusted the French justice system but declined to comment further on the case.
The legal proceedings stem from charges brought against Durov in August, accusing him of running a platform that enables illicit transactions. Following his arrest at Le Bourget airport, he posted a $6 million bail and has been barred from leaving France until March 2025. If convicted, he could face up to 10 years in prison and a fine of 500,000 euros.
Industry experts fear the case against Durov reflects a broader crackdown on privacy-preserving technologies in the Web3 space. Parallels have been drawn with the arrest of Tornado Cash developer Alexey Pertsev, raising concerns over government overreach and the implications for digital privacy.
Google’s DeepMind has introduced GenCast, a cutting-edge AI weather prediction model that outperforms the European Centre for Medium-Range Weather Forecasts’ (ECMWF) ENS, widely regarded as the global leader in operational forecasting. A study in Nature highlighted GenCast’s superior accuracy, predicting weather more effectively 97.2% of the time during a comparative analysis of 2019 data.
Unlike earlier deterministic models, GenCast creates a complex probability distribution of potential weather scenarios by generating 50 or more forecasts per instance. This ensemble approach provides a nuanced understanding of weather trajectories, elevating predictive reliability.
Google is integrating GenCast into its platforms like Search and Maps, while also planning to make real-time and historical AI powered forecasts accessible for public and research use. With this advancement, the tech giant aims to revolutionise weather forecasting and its applications worldwide.
TikTok Shop has experienced remarkable growth during the holiday shopping season in the US, with consumers flocking to the platform for deals. Launched in September 2023, it has quickly emerged as a major player in e-commerce, offering merchandise from top brands like e.l.f. Cosmetics and Ninja Kitchen. According to the platform, sales reached $100 million on Black Friday alone, driven by increased adoption among its 170 million US users.
Merchants and influencers have embraced TikTok Shop’s unique model, which combines advertising and live shopping streams. The number of live sessions hosted monthly has nearly tripled in the past year, showcasing products that appeal to buyers through targeted content. Some shoppers have noted faster delivery times compared to Amazon, enhancing TikTok’s competitive edge.
The platform’s success comes as its parent company, ByteDance, faces a looming divestiture mandate in the US to avoid a ban. Analysts suggest such a move could significantly impact TikTok Shop, which has become a vital revenue stream for many brands. Marketing experts describe it as an irreplaceable channel that is excelling in connecting shoppers with tailored content.
Competition remains intense with rivals like Shein and Temu, which also target US consumers with low-cost goods. TikTok Shop continues to gain market share, buoyed by its ability to curate personalised shopping experiences and capitalise on the social media platform’s immense popularity.
