EU plans new law to tackle online consumer manipulation

The European Commission is preparing to introduce the Digital Fairness Act, a new law that aims to boost consumer protection online instead of adding more regulatory burden on businesses.

Justice Commissioner Michael McGrath described the upcoming legislation as both pro-consumer and pro-business during a speech at the European Retail Innovation Summit, seeking to calm industry concerns about further EU regulation following the Digital Services Act and the Digital Markets Act.

Designed to tackle deceptive practices in the digital space, the law will address issues such as manipulative design tricks known as ‘dark patterns’, influencer marketing, and personalised pricing based on user profiling.

It will also target concerns around addictive service design and virtual currencies in video games—areas where current EU consumer rules fall short. The legislation will be based on last year’s Digital Fairness Fitness Check, which highlighted regulatory gaps in the online marketplace.

McGrath acknowledged the cost of complying with EU-wide consumer protection measures, which can run into millions for businesses.

However, he stressed that the new act would provide legal clarity and ease administrative pressure, particularly for smaller companies, instead of complicating compliance requirements further.

A public consultation will begin in the coming weeks, ahead of a formal legislative proposal expected by mid-2026.

Maria-Myrto Kanellopoulou, head of the Commission’s consumer law unit, promised a thoughtful approach, saying the process would be both careful and thorough to ensure the right balance is struck.

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EU refuses to soften tech laws for Trump trade deal

The European Union has firmly ruled out dismantling its strict digital regulations in a bid to secure a trade deal with Donald Trump. Henna Virkkunen, the EU’s top official for digital policy, said the bloc remained fully committed to its digital rulebook instead of relaxing its standards to satisfy American demands.

While she welcomed a temporary pause in US tariffs, she made clear that the EU’s regulations were designed to ensure fairness and safety for all companies, regardless of origin, and were not intended as a direct attack on US tech giants.

Tensions have mounted in recent weeks, with Trump officials accusing the EU of unfairly targeting American firms through regulatory means. Executives like Mark Zuckerberg have criticised the EU’s approach, calling it a form of censorship, while the US has continued imposing tariffs on European goods.

Virkkunen defended the tougher obligations placed on large firms like Meta, Apple and Alphabet, explaining that greater influence came with greater responsibility.

She also noted that enforcement actions under the Digital Markets Act and Digital Services Act aim to ensure compliance instead of simply imposing large fines.

Although France has pushed for stronger retaliation, the European Commission has held back from launching direct countermeasures against US tech firms, instead preparing a range of options in case talks fail.

Virkkunen avoided speculation on such moves, saying the EU preferred cooperation to conflict. At the same time, she is advancing a broader tech strategy, including plans for five AI gigafactories, while also considering adjustments to the EU’s AI Act to better support small businesses and innovation.

Acknowledging creative industries’ concerns over generative AI, Virkkunen said new measures were needed to ensure fair compensation for copyrighted material used in AI training instead of leaving European creators unprotected.

The Commission is now exploring licensing models that could strike a balance between enabling innovation and safeguarding rights, reflecting the bloc’s intent to lead in tech policy without sacrificing democratic values or artistic contributions.

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Microsoft pauses $1 billion data centre project in Ohio

Microsoft has announced it is ‘slowing or pausing’ some data centre construction projects, including a $1 billion plan in Ohio, amid shifting demand for AI infrastructure.

The company confirmed it would halt early-stage development on rural land in Licking County, near Columbus, and will repurpose two of the sites for farmland.

The decision follows Microsoft’s rapid scaling of infrastructure to meet the soaring demand for AI and cloud services, which has since softened. The company acknowledged that such large projects require continuous adaptation to align with customer needs.

While Microsoft did not specify other paused projects, it revealed the suspension of later stages of a Wisconsin data centre expansion.

The slowdown also coincides with changes in Microsoft’s partnership with OpenAI, with the two companies revising their agreement to allow OpenAI to build its own AI infrastructure. This move reflects broader trends in AI computing needs, which are expensive and energy-intensive.

Despite the pause in Ohio, Microsoft plans to invest over $80 billion in AI infrastructure this fiscal year, continuing its global expansion, though it will now strategically pace its growth to align with evolving business priorities.

Local officials in Licking County expressed their disappointment, as the area had been a hub for significant tech investments, including those from Google and Meta.

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IBM pushes towards quantum advantage in two years with breakthrough code

IBM’s Quantum CTO, Oliver Dial, predicts that quantum advantage, where quantum computers outperform classical ones on specific tasks, could be achieved within two years.

The milestone is seen as possible due to advances in error mitigation techniques, which enable quantum computers to provide reliable results despite their inherent noise. While full fault-tolerant quantum systems are still years away, IBM’s focus on error mitigation could bring real-world results soon.

A key part of IBM’s progress is the introduction of the ‘Gross code,’ a quantum error correction method that drastically reduces the number of physical qubits needed per logical qubit, making the engineering of quantum systems much more feasible.

Dial described this development as a game changer, improving both efficiency and practicality, making quantum systems easier to build and test. The Gross code reduces the need for large, cumbersome arrays of qubits, streamlining the path toward more powerful quantum computers.

Looking ahead, IBM’s roadmap outlines ambitious goals, including building a fully error-corrected system with 200 logical qubits by 2029. Dial stressed the importance of flexibility in the roadmap, acknowledging that the path to these goals could shift but would still lead to the achievement of quantum milestones.

The company’s commitment to these advancements reflects the dedication of the quantum team, many of whom have been working on the project for over a decade.

Despite the excitement and the challenges that remain, IBM’s vision for the future of quantum computing is clear: building the world’s first useful quantum computers.

The company’s ongoing work in quantum computing continues to capture imaginations, with significant steps being taken towards making these systems a reality in the near future.

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Google unveils new AI agent toolkit

This week at Google Cloud Next in Las Vegas, Google revealed its latest push into ‘agentic AI’. A software designed to act independently, perform tasks, and communicate with other digital systems.

Central to this effort is the Agent Development Kit (ADK), an open-source toolkit said to let developers build AI agents in under 100 lines of code.

Instead of requiring complex systems, the ADK includes pre-built connectors and a so-called ‘agent garden’ to streamline integration with data platforms like BigQuery and AlloyDB.

Google also introduced a new Agent2Agent (A2A) protocol, aimed at enabling cooperation between agents from different vendors. With over 50 partners, including Accenture, SAP and Salesforce, already involved, the company hopes to establish a shared standard for AI interaction.

Powering these tools is Google’s latest AI chip, Ironwood, a seventh-generation TPU promising tenfold performance gains over earlier models. These chips, designed for use with advanced models like Gemini 2.5, reflect Google’s ambition to dominate AI infrastructure.

Despite the buzz, analysts caution that the hype around AI agents may outpace their actual utility. While vendors like Microsoft, Salesforce and Workday push agentic AI to boost revenue, in some cases even replacing staff, experts argue that current models still fall short of real human-like intelligence.

Instead of widespread adoption, businesses are expected to focus more on managing costs and complexity, especially as economic uncertainty grows. Without strong oversight, these tools risk becoming costly, unpredictable, and difficult to scale.

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Tech stocks rally after Trump halts tariffs

Global stock markets experienced a significant surge following President Donald Trump’s announcement of a 90-day suspension on tariffs for several countries. The tech-heavy Nasdaq Composite Index soared over 12%, marking its second-best day ever and the most substantial gain since January 2001.

Leading technology firms saw remarkable recoveries. Apple’s shares jumped over 15%, achieving their best performance since January 1998, after enduring a severe four-day decline that erased nearly $800 million in market value.

Tesla and Nvidia also experienced substantial gains, rising 18% and 22% respectively, while Meta Platforms increased by 15%. Amazon, Microsoft, and Alphabet each posted gains of around 10%.

Asian markets mirrored this positive trend, with Japan’s benchmark index climbing more than 2,000 points shortly after the Tokyo exchange opened. Investors responded favourably to the tariff relief, anticipating reduced trade tensions and improved economic prospects.

Despite the optimism, concerns remain regarding ongoing trade disputes, particularly with China. While tariffs were paused for several nations, levies on Chinese imports were raised to 125%, potentially impacting companies with significant manufacturing operations in China, such as Apple.

Analysts caution that, despite the current market rally, the long-term implications of these trade policies warrant close monitoring.

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Google pushes AI limits with Ironwood

Google has announced Ironwood, its latest and most advanced AI processor, marking the seventh generation of its custom Tensor Processing Unit (TPU) architecture.

Designed specifically for the growing demands of its Gemini models, particularly those requiring complex simulated reasoning, which Google refers to as ‘thinking’, Ironwood represents a significant leap forward in performance.

Instead of relying solely on software updates, Google is highlighting how hardware like Ironwood plays a central role in boosting AI capabilities, ushering in what it calls the ‘age of inference.’

However, this TPU is not just faster but dramatically more scalable. Ironwood chips will operate in tightly connected clusters of up to 9,216 units, each cooled by liquid and linked through an enhanced Inter-Chip Interconnect.

These chips can also be deployed in smaller 256-chip servers, offering flexibility for cloud developers and researchers.

Instead of offering modest improvements, Ironwood delivers a peak throughput of 4,614 teraflops per chip, alongside 192GB of memory and 7.2 terabits per second of bandwidth, making it vastly superior to its predecessor, Trillium.

Google says this advancement is more than a performance boost, it’s a foundation for building AI agents that can act on a user’s behalf by gathering information and producing outputs proactively.

Rather than functioning as passive tools, AI systems powered by Ironwood are intended to behave more independently, reflecting a growing trend toward what Google calls ‘agentic AI.’

While Google’s comparison to supercomputers like El Capitan may be flawed due to differing hardware standards, there’s no doubt Ironwood is a substantial upgrade. The company claims it is twice as powerful per watt as the v5p TPU, even if the newer Trillium (v6) chip wasn’t included in the comparison.

Regardless, Ironwood is expected to power the next generation of AI breakthroughs, as the company prepares to move beyond its current Gemini 2.5 model.

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Blockchain app ARK fights to keep human creativity ahead of AI

Nearly 20 years after his AI career scare, screenwriter Ed Bennett-Coles and songwriter Jamie Hartman have developed ARK, a blockchain app designed to safeguard creative work from AI exploitation.

The platform lets artists register ownership of their ideas at every stage, from initial concept to final product, using biometric security and blockchain verification instead of traditional copyright systems.

ARK aims to protect human creativity in an AI-dominated world. ‘It’s about ring-fencing the creative process so artists can still earn a living,’ Hartman told AFP.

The app, backed by Claritas Capital and BMI, uses decentralised blockchain technology instead of centralised systems to give creators full control over their intellectual property.

Launching summer 2025, ARK challenges AI’s ‘growth at all costs’ mentality by emphasising creative journeys over end products.

Bennett-Coles compares AI content to online meat delivery, efficient but soulless, while human artistry resembles a grandfather’s butcher trip, where the experience matters as much as the result.

The duo hopes their solution will inspire industries to modernise copyright protections before AI erodes them completely.

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Microsoft’s Copilot Vision now sees your entire screen to guide you through apps

Microsoft is testing a major upgrade to its Copilot AI that can view your entire screen instead of just working within the Edge browser.

The new Copilot Vision feature helps users navigate apps like Photoshop and Minecraft by analysing what’s on display and offering step-by-step guidance, even highlighting specific tools instead of just giving verbal instructions.

The feature operates more like a shared Teams screen instead of Microsoft’s controversial Recall snapshot system.

Currently limited to US beta testers, Copilot Vision will eventually highlight interface elements directly on users’ screens. It works on standard Windows PCs instead of requiring specialised Copilot+ hardware, with mobile versions coming to iOS and Android.

Alongside visual assistance, Microsoft is adding document search capabilities. Copilot can now find information within files like Word documents and PDFs instead of just searching by filename.

Both updates will roll out fully in the coming weeks, potentially transforming how users interact with both apps and documents on their Windows devices.

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Amazon launches Nova Sonic AI for natural voice interactions

Amazon has unveiled Nova Sonic, a new AI model designed to process and generate human-like speech, positioning it as a rival to OpenAI and Google’s top voice assistants. The company claims it outperforms competitors in speed, accuracy, and cost, and it is reportedly 80% cheaper than GPT-4o.

Already powering Alexa+, Nova Sonic excels in real-time conversation, handling interruptions and noisy environments better than legacy AI assistants.

Unlike older voice models, Nova Sonic can dynamically route requests, fetching live data or triggering external actions when needed. Amazon says it achieves a 4.2% word error rate across multiple languages and responds in just 1.09 seconds, faster than OpenAI’s GPT-4o.

Developers can access it via Bedrock, Amazon’s AI platform, using a new streaming API.

The launch signals Amazon’s push into artificial general intelligence (AGI), AI that mimics human capabilities.

Rohit Prasad, head of Amazon’s AGI division, hinted at future models handling images, video, and sensory data. This follows last week’s preview of Nova Act, an AI for browser tasks, suggesting Amazon is accelerating its AI rollout beyond Alexa.

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