EU scrutiny intensifies over Broadcom VMware licensing dispute

Broadcom is facing increased regulatory pressure in the EU following a formal antitrust complaint concerning changes to VMware licensing practices.

The complaint highlights growing tensions between large technology providers and European cloud infrastructure firms.

The filing, submitted by Cloud Infrastructure Services Providers in Europe, raises concerns that revised licensing models could significantly alter market dynamics.

European providers argue that the changes may limit flexibility, increase costs, and affect their ability to compete effectively in the cloud services sector.

At the centre of the dispute lies the broader issue of market concentration and control over critical digital infrastructure.

Industry stakeholders suggest that restrictive licensing conditions could reshape access to essential virtualisation technologies, which underpin a wide range of cloud and enterprise services across the EU.

Regulatory attention is expected to focus on whether such practices align with the EU competition rules, particularly regarding fair access and market neutrality.

The case emerges at a time when European policymakers are intensifying oversight of dominant technology firms and seeking to strengthen digital sovereignty across strategic sectors.

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UK drops AI copyright opt-out plan amid growing industry divide

The UK Government has abandoned its previous preference for an AI copyright opt-out model, signalling a shift in policy following strong opposition from creative industries.

Ministers now acknowledge that there is no clear consensus on how AI developers should access copyrighted material.

Concerns from writers, artists and rights holders focused on the use of their work in training AI systems without permission.

Liz Kendall confirmed that extensive consultation exposed significant disagreement, prompting the government to step back from its earlier position that would have allowed the use of copyrighted content unless creators opted out.

A joint report from the Department for Science, Innovation and Technology and the Department for Culture, Media and Sport states that further evidence is required before any legislative change.

Policymakers in the UK will assess how copyright frameworks influence AI development, while also examining international regulation, licensing models and ongoing legal disputes.

Government strategy now centres on balancing innovation with fair compensation.

Officials emphasise that creators must retain control over how their work is used, while AI developers require access to high-quality data to remain competitive. Potential measures include labelling AI-generated content to reduce risks linked to disinformation and deepfakes.

No timeline has been set for reform, reflecting the complexity of aligning economic growth with intellectual property protection.

The debate unfolds alongside broader ambitions outlined by Rachel Reeves, who has identified AI as a central driver of future economic expansion, with the UK aiming to lead adoption across the G7.

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Amazon upgrades Alexa with AI features

Amazon is rolling out an AI upgrade to its Alexa assistant, aiming to make interactions more conversational and responsive. The new version is designed to follow the context and respond more naturally.

The update comes as Amazon seeks to compete with advanced AI chatbots that have gained popularity in recent years. Critics have argued that smart speakers have fallen behind newer AI tools.

Users in the UK are expected to notice more personalised and proactive responses from the upgraded assistant. This will be based on user and customer personal data. The service will be included with Prime subscriptions or offered as a standalone monthly option.

Analysts say the update could help Amazon gather even more user data and improve engagement by picking up on customers’ habits through conversations. However, questions remain about whether the changes will drive revenue or revive interest in smart speakers.

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Meta data processing ruled unlawful in Germany

A Berlin court has ruled that Meta unlawfully processed personal data through its Facebook platform, including information belonging to non-users. Judges found the ‘Find Friends’ feature lacked a valid legal basis for handling third-party data.

The court determined that Meta acted as a data controller and could not rely on consent, contract or legitimate interests to justify the processing. Non-users had no reasonable expectation that their data would be collected or stored.

The German judges also ruled that personalised advertising based on platform data breached GDPR rules. The processing was not considered necessary for providing a social media service and lacked a lawful basis.

However, the court accepted that sensitive personal data entered by users could be processed with explicit consent under the GDPR. The ruling is under appeal and may shape future enforcement of the EU data protection law.

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EU advances AI simplification effort ahead of further negotiations

A committee within the European Parliament has approved a proposal to simplify aspects of AI regulation, marking a step forward in efforts to refine the implementation of the AI Act.

An initiative that seeks to adjust certain requirements to support clearer compliance, particularly for industry stakeholders.

The proposal focuses on technical and procedural elements linked to how AI rules are applied in practice.

Lawmakers aim to ensure that regulatory obligations remain proportionate while maintaining existing safeguards. Part of the discussion includes how specific categories of AI systems should be addressed within the broader framework.

Some elements of the proposal may require further discussion in upcoming negotiations with the Council of the European Union. Areas under consideration include the treatment of sensitive AI applications and the balance between regulatory clarity and enforcement effectiveness.

The development reflects ongoing efforts within the EU to refine its approach to AI governance. As discussions continue, policymakers are expected to assess how adjustments can support innovation while maintaining consistency with existing legal principles.

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Meta to end Instagram private message encryption after May 8

The US tech giant, Meta, has announced that end-to-end encryption for private messages on Instagram will no longer be supported after 8 May.

Previously, such a technology ensured that only intended recipients could read messages, preventing even Meta from accessing their contents.

The decision follows concerns from law enforcement and child protection organisations, which argued that encrypted messages can make it harder to identify harmful content involving children.

Meta has stated that the update allows the platform to monitor messages while maintaining standard privacy safeguards.

End-to-end encryption had been the default for several messaging platforms, including WhatsApp, Messenger, and other Meta services.

The company first signalled its intent to expand encryption across Instagram and Messenger in 2019, implementing it in 2023. The plan was met with objections from organisations such as the Internet Watch Foundation and the Virtual Global Taskforce.

These groups highlighted potential risks in preventing the timely detection of harmful content, particularly child sexual abuse material.

Meta’s shift reflects a compromise between privacy, platform security, and online child safety. The company has not provided further details on changes to encryption policies beyond Instagram’s private messaging service.

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Google responds to UK digital market rules and CMA proposals

Debate over proposed UK digital market rules is intensifying, with Google outlining its position and emphasising the need to balance competition with user experience and platform integrity. The company said it supports the objectives of the Competition and Markets Authority but warned that some proposals could introduce risks for users.

Google argued that maintaining fair and relevant search results remains a priority, stating that its ranking systems are designed to prioritise quality rather than favour its own services. It cautioned that certain third-party proposals could expose its systems to manipulation, potentially weakening protections against spam and reducing the pace of product improvements.

The company also addressed user choice on Android devices, noting that existing options already allow users to select preferred services. It suggested that adding frequent mandatory choice screens could disrupt user experience, proposing instead a permanent settings-based option to change defaults without repeated prompts.

Regarding publisher relations, Google highlighted efforts to increase control over how content is used, particularly with generative AI features such as AI Overviews. It said new tools are being developed to allow publishers to opt out of specific AI functionalities while maintaining visibility in search results.

Google said it would continue engaging with UK regulators to shape rules that support users, publishers, and businesses, while ensuring that innovation and service quality are not compromised.

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EU child safety rules lapse amid ongoing debate over privacy and enforcement

The European Union has been unable to reach an agreement on extending temporary rules that allow online platforms to detect child sexual abuse material, leaving the current framework set to expire in April.

Discussions between the European Parliament and the Council of the European Union concluded without reaching a consensus on how to proceed with such measures.

The existing rules permit technology companies to voluntarily scan their services for harmful content, supporting efforts to identify and remove illegal material.

The European Commission had proposed a temporary extension while negotiations continue on a permanent framework under the Child Sexual Abuse Regulation, but differing views on scope and safeguards prevented agreement.

Stakeholders across sectors have highlighted the importance of maintaining effective tools to address online harms, while also emphasising the need to respect fundamental rights.

Previous periods of legal uncertainty have shown that detection capabilities may be affected when such frameworks are absent, although assessments of effectiveness remain subject to ongoing debate.

At the same time, concerns have been raised regarding the broader implications of monitoring digital communications. Some perspectives stress that any approach should carefully consider privacy protections, particularly in relation to secure and encrypted services.

Attention now turns to ongoing negotiations on a long-term regulatory solution.

The outcome will shape how the EU approaches the challenge of addressing harmful online content while safeguarding rights and ensuring proportional and transparent enforcement.

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South Korea seeks support for global AI hub

South Korea is seeking international support for a proposed global AI hub to advance cooperation on technology and governance. The initiative was discussed during talks with Switzerland’s leadership.

Officials in Switzerland met with South Korea’s prime minister to strengthen bilateral ties and support the project. The programme is intended to promote collaboration on AI rules, education and innovation.

The government of South Korea has also engaged several UN agencies to support the initiative. Agreements outline cooperation to help establish the hub and expand global dialogue on AI development.

Leaders in South Korea say the country aims to contribute its strong information technology capabilities to the project. The initiative reflects broader efforts to position the nation as a key player in global AI policy and innovation.

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Dublin launches major data centre microgrid

A new 110MW data centre microgrid has been launched in Dublin to support rising AI-driven energy demand. The system is designed to provide reliable power during early development stages before full grid connection.

The project combines energy generation, battery storage and heat recovery to improve efficiency and resilience. Developers say the system can help address power constraints affecting large-scale cloud and AI facilities.

Industry leaders in Dublin say the microgrid offers a model for integrating renewable energy with traditional infrastructure. The approach could be replicated in other European markets facing similar grid limitations.

Experts say the system also enables future innovations such as hydrogen integration and district heating. The project reflects a broader shift towards treating energy as a strategic asset in the expansion of AI infrastructure.

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