Atos aims for strategic government deal

Atos, the French IT firm, is pushing forward with efforts to sell its most strategic assets, including cybersecurity and supercomputing units, to the French government. The company, which supports the country’s military and secret services, announced that despite the expiration of an initial offer, discussions remain open, with a new proposal already submitted.

The company has been undergoing financial restructuring, having secured an agreement with key creditors earlier this year. The government in France, keen to retain control over critical technology, intends to continue negotiations and has promised a revised acquisition plan soon.

Atos shares have experienced a severe decline, falling 0.6% in early Paris trading and down 90% overall this year. Concerns over the country’s budget deficit, expected to reach 6.1% of GDP this year, may affect the government’s ability to mobilise the necessary funds for the acquisition.

The strategic assets at stake include Atos’ Advanced Computing, Critical Systems, and Cyber Products units. These divisions employ around 4,000 people and generate nearly €900 million in annual revenue. Any deal would require approval from the Nanterre Commercial Court, with a decision expected later this month.

Ireland launches EU-wide investigation into Ryanair’s use of facial recognition technology

Ireland’s Data Protection Commissioner (DPC) launched an EU-wide investigation into Ryanair’s use of facial recognition technology for customers booking through some third-party websites. The probe aims to determine if this practice violates EU privacy laws. The DPC’s action follows complaints from Ryanair customers across Europe regarding the airline’s additional verification process for bookings made through online travel agents (OTAs) rather than directly with Ryanair.

Ryanair, the largest airline in Europe by passenger numbers, welcomes the investigation, emphasising that the verification process protects customers from unverified online travel agents (OTAs) that may provide inaccurate contact or payment information. According to the airline’s website, these additional identity checks are part of its safety and security protocols. Passengers who wish to avoid facial recognition can either arrive at the airport two hours before departure or undergo a manual verification process, which may take up to seven days to complete.

Ryanair stated that verification is not required for bookings made directly on its website, mobile app, or through OTAs that have entered into commercial agreements with the airline. Since the beginning of the year, Ryanair has established 14 such partnerships. The airline asserts that both its biometric and manual verification methods are fully compliant with the EU’s General Data Protection Regulation (GDPR).

FERMA calls on European institutions to simplify cyber reporting obligations

The Federation of European Risk Management Associations (FERMA) has called on European institutions to simplify cyber reporting requirements and consider the insurance implications of cyber legislation. This appeal follows the release of the Cyber Reporting Stack report, developed in collaboration with WTW, which offers risk managers vital guidance on navigating the landscape of cyber policy and reporting obligations.

The report outlines current and forthcoming regulations, along with incident reporting requirements, featuring the General Data Protection Regulation (GDPR), Network and Information Security (NIS) 2 Directive, the Digital Operational Resilience Act (DORA), and the Cyber Resilience Act (CRA).

Charlotte Hedemark, President of FERMA, highlighted the growing burden of cyber reporting and added that FERMA believes companies need a streamlined and consistent set of requirements for reporting cyber incidents. The report recommends establishing a ‘single point of entry’ for cyber incident notifications and guides EU member states to streamline their processes and participant involvement.

Philippe Cotelle, Chair of FERMA’s Digital Committee, emphasised there currently needs to be regulations specifying the necessary risk management measures or considering their insurance implications.

Media company faces 30-day ban in Tanzania for ‘restricted content’

Tanzania’s communications regulator has suspended the online platforms of Mwananchi Communications Ltd for 30 days, accusing the company of publishing content that damaged the nation’s image. The Tanzania Communications Regulatory Authority (TCRA) cited violations of the country’s Online Content Regulations 2020 and claimed the media company had shared material that disrupted national unity, peace, and harmony. However, the TCRA did not reveal the specific nature of the content.

Mwananchi Communications posted an animated video on its X and Instagram platforms on 1 October, which depicted people expressing concerns about missing or murdered loved ones. The company later deleted the video and apologised, stating that the content was misinterpreted. Opposition party ACT-Wazalendo criticised the suspension, arguing that the government was silencing media outlets that expose the country’s real issues, especially following recent cases of violence against political figures.

This action has raised concerns over press freedom in Tanzania, with critics pointing out a recent shift in the government’s approach. While President Samia Suluhu Hassan has been praised for easing restrictions on political rallies and media, recent incidents such as protest bans and the arrests of journalists have sparked fears of a rollback in democratic freedoms. Mwananchi Communications has stated that it will comply with the suspension order.

X must pay fine over child protection dispute

An Australian court has upheld a ruling requiring Elon Musk’s X, previously known as Twitter, to pay a $418,000 fine. The fine was issued for failing to cooperate with a request from the eSafety Commissioner regarding anti-child-abuse measures on the platform.

X had contested the penalty, arguing that it was no longer bound by regulatory obligations following a corporate restructure under Musk’s ownership. However, the court ruled that the platform was still required to respond to the request made by the Australian internet safety regulator.

The eSafety Commissioner stated that accepting X’s argument could have set a worrying precedent for foreign companies merging to avoid regulatory responsibilities. Civil proceedings against X have also begun due to its noncompliance.

Musk’s platform has clashed with authorities in Australia before, notably in a case where X refused to remove content showing a stabbing incident. The company claimed that one country should not dictate global online content.

US SEC appeals ruling on XRP status

The US Securities and Exchange Commission (SEC) has announced its intention to appeal a recent court ruling that limits its authority to oversee cryptocurrency markets. This decision stems from a July 2023 ruling by US District Judge Analisa Torres, which concluded that the XRP token sold by Ripple Labs on public exchanges does not qualify as a security. As a result, the approximately $757 million in sales of XRP would not fall under the protective regulations enforced by the SEC.

Ripple Labs, which could also appeal aspects of the ruling, has expressed its frustration with the SEC’s move. CEO Brad Garlinghouse labelled the decision to appeal as ‘misguided’ and ‘infuriating,’ yet he remained confident, stating that XRP’s status as a non-security is currently upheld in law. This ongoing legal battle could have significant implications for the broader regulatory landscape surrounding cryptocurrencies in the US.

Amazon accused of illegal union-busting by US labour board

Amazon faces a fresh legal challenge from the US National Labor Relations Board (NLRB) over its relationship with drivers employed by a third-party contractor, Battle Tested Strategies (BTS). The NLRB claims that Amazon is a ‘joint employer’ of BTS drivers and broke federal labour laws by refusing to negotiate with a union representing those drivers. The complaint stems from Amazon’s decision to terminate its contract with BTS after the drivers at a California facility voted to unionise with the Teamsters union last year.

Amazon denies the allegations, asserting it does not exert enough control over the drivers’ working conditions to be classified as a joint employer under labour law. However, the NLRB previously found merit in the union’s claims that Amazon holds significant control over the drivers, and the board plans to issue additional complaints involving other Amazon contractors. The case will be heard in March 2025, with potential implications for Amazon’s dealings with drivers nationwide.

The issue of joint employment has been hotly debated in the US for years, with labour advocates pushing for a broader definition of employer responsibility. At the same time, businesses argue that only direct control should qualify. A ruling against Amazon could force the company to bargain with driver unions and alter its relationships with contractors across its delivery network.

Judge rules in favour of eBay in environmental lawsuit

A United States federal judge has dismissed a Department of Justice lawsuit accusing eBay of violating environmental laws by allowing the sale of harmful products on its platform. The ruling cited Section 230 of the Communications Decency Act, which shields online platforms from liability over user content.

The judge concluded that eBay’s administrative support for sellers did not make it liable for the unlawfulness of the products sold. She also ruled that eBay was not a ‘seller’ as it did not physically possess or hold title to the items in question.

The lawsuit accused eBay of enabling the sale of thousands of devices designed to evade vehicle emissions controls, unregistered pesticides, and products containing harmful chemicals. The government argued that this conduct violated several environmental laws, including the Clean Air Act.

eBay responded by stating its dedication to maintaining a trusted marketplace and promised to continue investing in measures to prevent the sale of prohibited items. The Justice Department declined to comment on the ruling.

Google and Samsung face antitrust lawsuit from Epic Games

Epic Games has accused Google and Samsung of conspiring to protect Google’s Play Store from competition through Samsung’s Auto Blocker feature. The gaming company plans to file a lawsuit in a United States court, alleging that the Auto Blocker, introduced in late 2023, deters users from downloading Android apps from sources outside Google’s Play Store or Samsung’s Galaxy Store.

Epic argues that Samsung’s Auto Blocker was made the default setting in mid-2024 to reduce the impact of a 2023 US court ruling that required Google to make it easier for users to access apps from alternative sources. Epic claims this action violates US antitrust laws by reducing consumer choice and stifling competition, which would otherwise drive down app prices.

Tim Sweeney, CEO of Epic Games, described the lawsuit as part of a larger global effort to defend competition and its benefits for consumers. The company also plans to raise these concerns with regulators in the European Union, which has scrutinised Google’s business practices in the past.

Epic previously sued Google in 2020, accusing the tech giant of maintaining an illegal monopoly over app distribution and payments. The lawsuit follows the verdict in that case, where a US court found Google had acted unlawfully.

Social platform X must pay fines before Brazil ban is lifted

Brazil’s Supreme Court has ruled that social platform X, formerly known as Twitter, must pay $5 million in pending fines before being allowed to resume operations in the country. The platform, owned by Elon Musk, was suspended in Brazil after failing to comply with court orders to block accounts spreading hate speech and to appoint a legal representative.

Judge Alexandre de Moraes said the fines, totalling 18.3 million reais ($3.4 million), remain unpaid, alongside an additional fine of 10 million reais ($1.8 million) imposed after X became briefly accessible to some users last week. The court can use frozen funds from X and Starlink accounts in Brazil, but Starlink must first withdraw its appeal against the fund freeze.

X has since complied with court orders, blocking the accounts as instructed and naming a legal representative in Brazil. A source close to the company suggested that while X is likely to pay the original fines, it may contest the extra penalty imposed after the platform ban.

The platform has been unavailable in Brazil since late August. Musk had initially criticised the court’s actions as censorship but began complying with the rulings last week.