European Union antitrust regulators are investigating whether Nvidia’s proposed $700 million acquisition of Run:ai could strengthen its dominant position in graphics processing units (GPUs). Nvidia currently holds 84% of the GPU market, far outpacing competitors Intel and AMD. Regulators are questioning Nvidia customers about potential bundling practices that might offer discounts for purchasing both its GPUs and software.
The European Commission is exploring whether such bundling provides Nvidia with a competitive edge and whether these practices could harm market competition. The Commission has set a preliminary review deadline of 20 December. Customers have also been asked how an open-source approach to Run:ai’s operations might impact their businesses. Nvidia has yet to comment on the inquiry.
GPUs are critical for data centres, gaming, and cryptocurrency mining, making this deal significant for the technology sector. The investigation could influence how Nvidia integrates Run:ai into its portfolio.
Meta Platforms has reported that generative AI had limited influence on misinformation campaigns across its platforms in 2023. According to Nick Clegg, Meta‘s president of global affairs, coordinated networks spreading propaganda struggled to gain traction on Facebook and Instagram, and AI-generated misinformation was promptly flagged or removed.
Clegg noted, however, that some of these operations have migrated to other platforms or standalone websites with fewer moderation systems. Meta dismantled around 20 covert influence campaigns this year. The company aims to refine content moderation while maintaining free expression.
Meta also reflected on its overly strict moderation during the COVID-19 pandemic, with CEO Mark Zuckerberg expressing regret over certain decisions influenced by external pressure. Looking forward, Zuckerberg intends to engage actively in policy debates on AI under President-elect Donald Trump‘s administration, underscoring AI’s critical role in US technological leadership.
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.
Amazon Web Services (AWS) has revealed advanced data centre servers powered by its in-house Trainium2 AI chips, marking a significant step in its efforts to rival Nvidia in the AI hardware market. The servers will form the backbone of a vast supercomputer designed to handle complex AI workloads, incorporating hundreds of thousands of Trainium2 chips. AI startup Anthropic will be the first to utilise the new system, highlighting its capabilities for AI research and deployment.
Apple has also confirmed its adoption of Trainium2 chips, underscoring the growing appeal of Amazon’s AI hardware in the competitive tech landscape. AWS CEO Matt Garman added that the Trainium3 chip, the next evolution in the series, will debut in 2024. This aligns with Amazon’s broader strategy to dominate AI technology, offering cutting-edge solutions for both startups and major corporations.
The announcement comes as Amazon intensifies efforts to challenge Nvidia, currently a leader in AI chip manufacturing. AWS‘s growing presence in the sector aims to meet surging demand for AI processing power while providing alternatives to established providers. These advancements not only strengthen Amazon’s position in AI technology but also attract major industry players like Apple, which is leveraging the chips to enhance its data operations.
Salesforce shares soared to a record high of $368.7 on Wednesday, climbing 11% after surpassing quarterly sales estimates and offering an optimistic outlook for its AI-driven products. The company’s newly launched Agentforce platform, designed to autonomously handle tasks, has become a key driver of this growth, with Salesforce banking on its potential to transform enterprise operations.
In a post-earnings call, executives highlighted Agentforce’s initial success, noting 200 deals closed since its late October release. Analysts expressed confidence in its long-term potential, predicting significant gains by 2026. The positive results prompted at least 20 analysts to raise their price targets, with the new median estimate sitting at $380—indicating a further 15% potential upside.
Salesforce’s market valuation surged by over $35 billion, reaching $316.85 billion. Third-quarter revenue grew by 8% to $9.44 billion, surpassing expectations. The momentum also lifted other US cloud companies, including Oracle, ServiceNow, Datadog, and Snowflake, which posted gains of 3% to 4%.
The company now forecasts fiscal year 2025 revenue of $37.8 billion to $38 billion. Analysts remain optimistic about Salesforce’s strategic push into AI and the revival of enterprise spending, positioning the firm for continued success heading into 2026.
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.
In recent years, China and Russia have significantly ramped up efforts to advance their semiconductor equipment industries, aiming to secure competitive positions in the global market. While the US, Netherlands, Japan, and South Korea dominate the semiconductor equipment sector, China’s aggressive R&D investments in etching, CVD, PVD, and packaging technologies are helping it make strides in domestic substitution. However, the country still lags in high-end lithography equipment, especially EUV machines.
Despite challenges, China’s semiconductor equipment market is expected to see record-high purchases in 2024, surpassing $40 billion. Experts attribute this growth to localisations, new fabs, and global supply chain concerns. However, demand is expected to stabilise in 2025 once production lines are up and running, although long-term growth remains promising, fueled by applications in 5G, AI, and automotive electronics.
Meanwhile, Russia has accelerated its efforts to develop domestic semiconductor equipment, receiving over $2.5 billion in government funding. With a focus on manufacturing 200mm wafers for chips with nodes from 180nm to 90nm, Russia aims to reduce reliance on imports. The country’s ambitious goal is to replace 70% of imported equipment with domestically produced alternatives by 2030. Despite progress, Russian manufacturers like Angstrem and Mikron are still constrained to mature process nodes, depending on imported lithography systems.
Meta, the parent company of Facebook, plans to invest $10 billion to construct a state-of-the-art AI data centre in Richland Parish, Louisiana. Once completed, it will be the largest data centre in Meta’s global portfolio, designed to manage the vast data needs of AI and digital infrastructure. The facility is set to begin construction in December and is expected to take until 2030 to complete.
The company is working with Entergy, a utility provider operating in Louisiana, to ensure the centre’s energy consumption is fully matched by renewable sources. Entergy already supports similar projects, including Amazon’s upcoming cloud services facility in Mississippi, and operates two nuclear power plants in Louisiana.
As AI computing drives a surge in energy demand among tech giants like Meta, Amazon, and Microsoft, companies are increasingly exploring nuclear power to supplement renewable energy. However, challenges such as an ageing reactor fleet, regulatory hurdles, and supply chain limitations for uranium fuel may slow the adoption of nuclear energy.
Meta recently sought proposals from nuclear power developers to support its AI and environmental goals, aiming for 1 to 4 gigawatts of new US nuclear capacity by the early 2030s. The Louisiana data centre is part of Meta’s broader strategy to integrate sustainability with cutting-edge AI technology.
Elon Musk’s AI company, xAI, is preparing to expand its Memphis-based supercomputer, Colossus, to accommodate over one million graphics processing units (GPUs). Currently housing 100,000 GPUs, Colossus plays a central role in training xAI’s chatbot, Grok, as the company accelerates efforts to rival OpenAI in the AI landscape.
Nvidia will supply the GPUs, while Dell and Super Micro are tasked with assembling the server infrastructure in Memphis, according to the Greater Memphis Chamber. The expansion highlights xAI’s commitment to AI innovation, as Musk intensifies competition with OpenAI and its CEO, Sam Altman. Recently, Musk escalated his legal battle with OpenAI, alleging monopolistic practices in the AI sector.
Concerns about environmental impact loom large with the supercomputer’s planned growth. Colossus’s massive energy demands have drawn scrutiny from environmental groups. The Southern Environmental Law Center urged Tennessee authorities to investigate whether xAI was using unpermitted gas turbines to power the facility.
The Memphis project underscores Musk’s ambitions to reshape the AI industry. With Colossus’s tenfold expansion, xAI positions itself as a formidable challenger in the rapidly evolving AI arms race.
The Federal Reserve Chairman, Jerome Powell, has described Bitcoin as a competitor to gold, citing its role as a tool for preserving value rather than a mainstream currency. Referring to Bitcoin as ‘digital gold,’ Powell noted its volatility and clarified that it poses no threat to the dollar, instead competing with gold in its niche.
Powell expressed concerns about the crypto industry’s integration with traditional banking systems, stressing the need for adequate supervision and consumer protection. While the Federal Reserve does not directly regulate digital assets, Powell emphasised the importance of safeguarding investors across the growing crypto sector.
Despite Bitcoin’s growing prominence, Powell disclosed he does not personally hold any cryptocurrency. Meanwhile, Donald Trump’s administration has taken a bold stance on Bitcoin, proposing measures like the Bitcoin Strategic Reserve to address economic challenges. The Republican party continues to push for supportive legislation, such as the BITCOIN Act, aiming to cement Bitcoin’s place in the financial landscape.
