Donald Trump announced plans to impose tariffs on Canada and France in response to their digital services taxes on US technology companies. The former president criticised the taxes as unfair, arguing that only the United States should have the right to tax its own firms.
Canada began implementing the levy last year to ensure companies like Alphabet and Amazon contribute fairly despite often booking profits in low-tax jurisdictions.
Trump directed his economic team to develop a strategy for reciprocal tariffs against any country imposing duties on US imports. A White House fact sheet claimed that Canada and France each collect over $500 million annually from US firms through digital taxes, costing American businesses more than $2 billion per year. The statement argued that retaliatory tariffs would restore fairness to global trade.
The digital tax dispute has been a long-standing issue, with Washington previously challenging Canada’s approach under Joe Biden’s administration.
The United States had sought trade dispute consultations, calling the tax discriminatory. The office of Canadian Prime Minister Justin Trudeau has not yet commented on Trump’s latest tariff proposal.
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Elon Musk has stated he will withdraw his $97.4 billion bid for OpenAI’s non-profit arm if the company halts plans to become a for-profit entity. Musk’s lawyers clarified in a court filing that if OpenAI’s board agrees to maintain the charity’s mission and remove the ‘for sale’ sign from its assets, he will retract his offer. However, if the conversion to a for-profit model continues, Musk’s consortium insists the charity must be compensated by what an independent buyer would pay for its assets.
OpenAI, originally founded by Musk and Sam Altman in 2015 as a non-profit, is in the midst of restructuring. Altman, now CEO, has moved to create a for-profit unit within the organisation to attract investors like Microsoft.
Musk, who left the company over disagreements with Altman, is suing to block this transition. This legal battle intensified this week when Musk’s group made a bid to purchase the non-profit’s assets, which Altman has rejected, stating that the organisation is not for sale.
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The European Commission has abandoned proposed regulations on technology patents, AI liability, and privacy rules for messaging apps, citing a lack of foreseeable agreement among EU lawmakers and member states. The draft rules faced strong opposition from industry groups and major technology firms. A proposed regulation on standard essential patents, designed to streamline licensing disputes for telecom and smart device technologies, was scrapped after opposition from patent holders like Nokia and Ericsson. Car manufacturers and tech giants such as Apple and Google had pushed for reforms to reduce royalty costs.
A proposal that would have allowed consumers to sue AI developers for harm caused by their technology was also withdrawn. The AI Liability Directive, first introduced in 2022, aimed to hold providers accountable for failures in AI systems. Legal experts say the move does not indicate a shift in the EU’s approach to AI regulation, as several laws already govern the sector. Meanwhile, plans to extend telecom privacy rules to platforms like WhatsApp and Skype have been dropped. The proposal, first introduced in 2017, had been stalled due to disagreements over tracking cookies and child protection measures.
The decision has drawn mixed reactions from industry groups. Nokia welcomed the withdrawal of patent rules, arguing they would have discouraged European investment in research and development. The Fair Standards Alliance, representing firms such as BMW, Tesla, and Google, expressed disappointment, warning that the decision undermines fair patent licensing. The Commission has stated it will reassess the need for revised proposals but has not provided a timeline for future regulatory efforts.
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TikTok has returned to US app stores after President Donald Trump temporarily delayed a ban on the Chinese-owned social media platform. The app, which briefly went offline last month due to a new law requiring its parent company, ByteDance, to sell its US operations or face a ban, is now available for download again.
Despite TikTok resuming service, Google and Apple had initially removed it from their stores while awaiting assurances that they would not be penalised for hosting the app. Trump signed an executive order extending the deadline for TikTok’s sale by 75 days, allowing the platform to operate in the US without immediate repercussions.
The delay has sparked interest from potential buyers, including former Los Angeles Dodgers owner Frank McCourt, as analysts estimate TikTok’s US business could be worth up to $50 billion. The app, which had over 52 million downloads in 2024, remains one of the most popular in the country.
The law requiring ByteDance to sell TikTok’s US assets was signed last April by then-President Joe Biden, driven by national security concerns over potential Chinese government influence. That move marks an unprecedented step in US policy, granting the government broad authority to ban or force the sale of foreign-owned apps. Trump has stated that he is discussing TikTok’s future with multiple parties and expects to make a final decision by February.
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Elon Musk’s platform X, formerly Twitter, has agreed to pay about $10 million to settle a lawsuit filed by Donald Trump. The case arose after Trump’s account was suspended following the storming of the US Capitol in January 2021. This marks the second social media settlement with Trump after Meta Platforms agreed to pay $25 million last month.
Trump filed lawsuits in 2021 against major platforms, including Facebook, X, and YouTube, alleging they unlawfully silenced conservative voices. Despite Trump’s reported close relationship with Musk, who contributed $250 million to his campaign, his legal team chose to pursue the settlement with X.
Musk, who leads Tesla and chairs the Department of Government Efficiency, a White House initiative, has not commented on the matter. Trump’s attorneys are reportedly also seeking a settlement with Google over his YouTube ban.
Requests for comment from X, Alphabet, and the White House remain unanswered. Settlements highlight the continuing legal battles between Trump and major tech companies over content moderation policies.
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Germany‘s Federal Cartel Office has expressed concerns over Apple’s App Tracking Transparency (ATT) feature, which could potentially violate antitrust rules for large tech companies. The regulator’s preliminary findings come after a detailed three-year investigation into the feature, which allows iPhone users to block advertisers from tracking their activities across multiple apps. The investigation is part of broader scrutiny over the influence of major tech companies on the digital advertising ecosystem.
In a statement released on Thursday, the Federal Cartel Office noted that Apple now has the opportunity to respond to the allegations. The authority’s concerns focus on whether ATT unfairly impacts the business models of other companies that rely on data-driven advertising, such as Meta Platforms, app developers, and startups. These businesses argue that the feature could severely limit their ability to target users with personalised ads, affecting their revenue generation strategies.
Apple has defended ATT as a crucial privacy tool that empowers users to have more control over their data. The company argues that the feature helps to protect user privacy by giving individuals the option to block third-party tracking. However, its critics, particularly in the advertising industry, contend that ATT has created an uneven playing field, disadvantaging businesses that depend on targeted advertising. The outcome of this investigation could have significant implications for Apple’s business practices in Europe.
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Thomson Reuters has won a legal battle against Ross Intelligence, after a judge ruled that the law firm’s use of Thomson Reuters’ legal content to train an AI model violated US copyright laws. The case stems from a 2020 lawsuit where Thomson Reuters accused the now-defunct legal research firm of using its Westlaw platform to build a competing AI system without permission.
Judge Stephanos Bibas confirmed that Ross Intelligence’s use of the content did not qualify as “fair use” under US copyright law, which permits limited use of copyrighted material for purposes such as teaching or research. Thomson Reuters expressed satisfaction with the ruling, stating that copying its content for AI training was not a fair use.
This case is part of a broader trend of legal challenges involving AI and copyright issues, with authors, artists, and music labels filing similar lawsuits against AI developers for using their works without compensation. These cases all involve the claim that tech companies have used vast amounts of human-created content to train AI models, raising concerns about intellectual property rights and the ethics of AI development.
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A Chicago family and their nanny were kidnapped for five days in October by armed men demanding a ransom in cryptocurrency. The kidnappers stole $15 million in digital assets, including Bitcoin and Ether, and forced the victims to transfer funds from their crypto accounts before releasing them.
The incident began when one of the suspects pretended to be at the door to fix a damaged garage, only to overpower the family with a gun. The victims were then transported to an Airbnb and later to another location, where they were threatened with death unless they complied with the kidnappers’ demands.
FBI agents were able to track the suspects using surveillance footage and forensic evidence. The investigation led to six arrests, with one suspect, Zehuan Wei, apprehended while trying to re-enter the US in January. The remaining suspects are believed to have fled to China.
This case highlights the growing trend of crypto-related kidnappings, as criminals target individuals with access to digital currencies. Recently, other high-profile kidnappings for cryptocurrency ransom have also made headlines, including the abduction of a Ledger co-founder and a Toronto CEO.
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US Vice President JD Vance criticised Europe’s heavy-handed AI regulations at a Paris summit, warning they could stifle innovation. He argued the EU’s approach, including the Digital Services Act and GDPR, burdens smaller firms with high compliance costs, which could harm AI’s transformative potential. Vance also dismissed content moderation policies as authoritarian censorship.
The United States and Britain opted not to sign the summit’s declaration advocating inclusive, ethical, and safe AI. Vance emphasised America’s intention to lead AI innovation and resist regulatory frameworks that might hinder its progress. French President Emmanuel Macron and European Commission chief Ursula von der Leyen countered by stressing that regulation is essential to build public trust in AI.
Geopolitical competition dominated discussions, with Vance warning of potential risks in partnering with China. He cautioned against allowing authoritarian regimes to influence critical information infrastructure through subsidised technology exports. Although he didn’t name DeepSeek, a recent Chinese AI development, his remarks highlighted growing concerns about maintaining technological leadership.
The summit exposed significant policy differences, with the US prioritising rapid AI advancement over stringent safety measures. Critics labelled this a missed opportunity to address broader AI risks, including supply chain security and workforce disruptions.
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Brazil’s finance minister, Fernando Haddad, has dismissed claims that the country is considering taxing US tech companies in retaliation for new American tariffs on steel imports. The report, published by Folha de S.Paulo, suggested that President Luiz Inácio Lula da Silva’s administration was weighing levies on firms such as Amazon, Meta, and Google. Haddad stated that the information was incorrect and reaffirmed that the government would only make decisions based on concrete developments.
The United States is expected to introduce new 25% tariffs on steel and aluminium imports, adding to existing trade restrictions. As one of the largest suppliers of steel to the United States, Brazil has been closely monitoring the situation. Haddad emphasised that the government would adopt a measured approach, making announcements only when appropriate to avoid misinterpretation.
Previous discussions within Brazil‘s finance ministry have explored the possibility of taxing big tech firms as part of broader fiscal policies. However, no formal decision has been made, and Haddad’s comments suggest that any future action will depend on concrete economic considerations rather than speculation.
