Swedish telecom company Ericsson has secured a new multi-billion dollar deal to supply 5G equipment to India‘s Bharti Airtel, according to sources. This follows a $3.6 billion contract last month with Vodafone Idea, shared with Nokia and Samsung, highlighting Ericsson’s expanding presence in India’s growing 5G market.
Ericsson’s shares rose nearly 9% on Tuesday after the company reported third-quarter earnings that exceeded analyst expectations, driven by strong demand in North America. Adjusted earnings reached 7.327 billion Swedish crowns ($0.7 billion), up from 3.9 billion crowns a year earlier, while net sales fell 4% year-on-year to 61.8 billion crowns, still surpassing forecasts. The North American market showed over 50% year-on-year growth, offsetting declines in northeast and southeast Asia.
CEO Börje Ekholm noted signs of market stabilisation, attributing demand for 5G largely to growth in mobile internet consumption. He highlighted that the rapid rollout of 5G in India has inflated sales but remains optimistic about growth opportunities despite challenges in China. With improved gross margins and positive outlook comments, analysts are forecasting upgrades to Ericsson’s earnings before interest and tax for 2024 and 2025. The results signal a recovery for Ericsson, which has faced slowing demand for its 5G equipment and previously announced layoffs to cut costs.
World Liberty Financial, a crypto project backed by Donald Trump, has secured over 100,000 signups ahead of its WLFI token launch on 15 October. The WLFI token, built on Ethereum as an ERC-20 asset, will serve as the governance token for the decentralised finance (DeFi) platform, allowing users to borrow, lend, interact with liquidity pools, and transact with stablecoins. In the US, however, only accredited investors will have access.
The platform’s team, including Zak Folkman, reiterated its plans to raise $300 million through the WLFI token sale, aiming for a $1.5 billion valuation. The project will initially launch on Ethereum with plans to expand to layer-2 networks. Former President Trump has pledged to turn the US into the world’s ‘crypto capital’ if elected in November, as he leads Kamala Harris by 9% on the Polymarket betting platform.
Adobe has launched its Firefly Video Model, an AI tool that generates video from text prompts, stepping into the growing competition in generative AI for film and television production. This move positions Adobe alongside rivals like OpenAI, ByteDance, and Meta Platforms, all of whom have recently released similar video tools.
Adobe, however, distinguishes itself by training its models on data it owns the rights to, ensuring the generated content can be legally used for commercial purposes. While a general release date is not confirmed, Adobe has begun offering access to those who signed up for the waiting list.
Although no customers have been announced for the video tool, Gatorade is using Adobe’s image generation model to create custom bottle designs, and Mattel has applied the technology in designing packaging for its Barbie dolls. Adobe has geared its video tools towards creators, making them user-friendly for everyday video production.
Ely Greenfield, Adobe’s chief technology officer for digital media, highlighted that the focus is on ensuring the AI understands key video production concepts like camera angles and motion, allowing it to seamlessly blend with conventional footage.
Sebastien Bubeck, Microsoft’s vice president of GenAI research, is leaving the company to join OpenAI, the AI startup behind ChatGPT. Microsoft has not provided details on the role Bubeck will assume at OpenAI but has confirmed it will continue its relationship with him through its backing of the company.
While Bubeck did not respond to requests for confirmation, Microsoft stated that he is departing to further his work on artificial general intelligence (AGI). Despite his exit, the majority of his team working on Microsoft’s smaller Phi large language models (LLMs) will stay on to continue their work.
This follows a series of recent departures from OpenAI, including longtime chief technology officer Mira Murati. However, OpenAI CEO Sam Altman has denied that these exits are linked to any planned restructuring of the company.
Bubeck’s departure marks a significant shift in Microsoft’s AI research landscape but highlights ongoing collaboration with OpenAI, with whom it shares a deep investment in the future of AGI.
US officials are considering restricting the sale of advanced AI chips from Nvidia and other American firms to certain countries, focusing on the Persian Gulf region. These deliberations aim to limit exports based on national security concerns, Bloomberg News has reported, citing sources familiar with the discussions.
The idea has gained traction in recent weeks, although plans remain in early stages and may change. Neither the US Commerce Department nor Nvidia commented on the matter. Intel and AMD also did not immediately respond to inquiries from Reuters.
Recent regulatory updates from the Commerce Department could simplify the export process. Data centres in the Middle East may apply for Validated End User status, enabling them to obtain AI chips through a general authorisation, bypassing the need for individual export licences.
In 2023, the Biden administration expanded licensing rules to tighten AI chip exports to over 40 countries, including some Middle Eastern nations, amid concerns that exports might be diverted to China or used in ways conflicting with US security interests.
WhatsApp is facing potential sanctions from India’s Competition Commission (CCI) over its controversial 2021 privacy policy update, which has raised significant privacy concerns. The CCI is reportedly preparing to take action against the messaging platform, owned by Meta, for allegedly breaching antitrust laws related to user data handling. The policy, which allows WhatsApp to share certain user data with Meta, has faced widespread criticism from regulators and users who view it as intrusive and unfair.
The CCI’s investigation suggests that WhatsApp’s data-sharing practices, particularly involving business transaction data, may give Meta an unfair competitive advantage, violating provisions against the abuse of dominance. A draft order has been prepared to penalise both WhatsApp and Meta, as the CCI’s director general has submitted findings indicating these violations.
In response, WhatsApp stated that the case is still under judicial review and defended its privacy policy by noting that users had the choice to accept the update without losing access to their accounts. If sanctions are imposed, this could represent a pivotal moment in India’s efforts to regulate major tech firms and establish precedents for the intersection of privacy and competition laws in the digital age.
Reliance Jio has requested Union Minister Jyotiraditya Scindia to intervene with the Telecom Regulatory Authority of India (TRAI) to revise its consultation paper on spectrum allocation rules. The operator emphasises the urgent need to establish a level-playing field between terrestrial and satellite service providers, especially with new entrants like Starlink and Amazon’s Kuiper seeking to enter the Indian market.
Jio warns that Trai’s failure to address competitive dynamics could compromise fair competition and lead to legal challenges, as it may violate Supreme Court rulings emphasising transparency and equity in spectrum allocation. The telecom operator insists that comprehensive assessments of market demand and technological advancements are essential for ensuring fair treatment of all service providers in the allocation process.
Furthermore, Jio criticises the administrative allocation process adopted by the Department of Telecom and Trai for satellite services in India, arguing that it needs more thorough analysis and stakeholder input. The company firmly rejects any preferential treatment for satellite communication services, asserting that such an approach undermines the principles of non-discrimination and fairness.
Jio calls for spectrum assignment policies to align with established legal standards, ensuring that all players, regardless of whether they provide terrestrial or satellite services, are subject to the same fair and transparent regulatory framework.
OpenAI‘s head of media partnerships, Varun Shetty, recently stated that the company does not intend to share advertising revenue from its SearchGPT product with publishers. During his address at the Twipe Digital Growth Summit in Brussels, Shetty highlighted OpenAI’s belief that it can provide value to publishers by driving significant traffic from new audiences rather than offering financial compensation. He also acknowledged the importance of a mutually beneficial relationship and indicated that OpenAI is exploring ways to ensure publishers find enough value to remain included in SearchGPT results.
Varun Shetty compared OpenAI’s approach to that of Google’s AI Overviews, which have been criticised for diminishing publishers’ visibility in search results. In contrast, the AI-powered search engine Perplexity has established revenue-sharing agreements with multiple publishers, and Microsoft has announced plans to pay publishers for content featured by its productivity assistant, Copilot. Currently, in an experimental phase, SearchGPT aims to provide answers in natural language while clearly indicating sources. OpenAI intends to integrate SearchGPT into its flagship ChatGPT product by the end of the year.
Shetty stressed the need to balance user experience with publisher needs, noting that while users seek answers, they also want to verify information. He assured publishers they could opt out of SearchGPT results if desired, and any publisher wanting to participate only needs to permit OpenAI’s search bot on their site. He emphasised that SearchGPT has the potential to drive significant traffic without complicating the decision-making regarding content training.
In addition to discussing SearchGPT, Shetty expressed how OpenAI could assist the news industry, noting that while audiences are not interested in AI-generated news, AI can help streamline journalistic tasks, such as story recommendations and multimedia management. He also hinted at advancements in the next GPT model, which will enable more complex user requests, enhancing its usefulness for various applications.
Deutsche Bank has entered a strategic partnership with Keyrock, a crypto-native market maker, to bolster its global market-making and OTC trading operations. The collaboration is set to improve settlement processes and expand Keyrock’s operations across regions like Europe, the Middle East, and Asia-Pacific. Deutsche Bank will provide multi-currency accounts and access to over 100 currency pairs, enabling Keyrock to trade efficiently and reduce settlement risks.
Keyrock CEO Kevin de Patoul welcomed the partnership, emphasising Deutsche Bank’s industry expertise and innovative approach. Kilian Thalhammer, Deutsche Bank’s Global Head of Merchant Solutions, noted that this move reflects the bank’s commitment to supporting fintech and blockchain advancements.
This partnership follows Deutsche Bank’s earlier steps into blockchain technology, including its involvement in Singapore’s Project Guardian. The bank’s proactive stance on digital assets highlights its increasing engagement with the evolving financial markets.
The increasing use of AI and machine learning in financial services globally could lead to financial stability risks, according to the Governor of the Reserve Bank of India (RBI), Shaktikanta Das. Speaking at an event in New Delhi, Das cautioned that the reliance on a small number of technology providers could lead to concentration risks in the sector.
Disruptions or failures in these AI-driven systems could trigger cascading effects throughout the financial industry, amplifying systemic risks, Das warned. In India, financial institutions are already employing AI to improve customer experience, reduce operational costs, and enhance risk management through services like chatbots and personalised banking.
However, AI adoption comes with vulnerabilities, including increased exposure to cyber attacks and data breaches. Das also raised concerns about the ‘opacity’ of AI algorithms, which makes them difficult to audit and could lead to unpredictable market consequences.
Das further emphasised the risks posed by the rapid growth of private credit markets, which operate with limited regulation. He warned that these markets have not been tested under economic downturns, presenting potential challenges to financial stability.
