Meta Platforms, the parent company of Facebook and Instagram, is once again under fire by the European Consumer Organisation (BEUC) over its ad-free subscription service. Introduced in 2023, the fee-based option offered European users the ability to opt out of personalised ads, with a subsequent price cut of 40% implemented later that year. However, BEUC claims these changes are merely superficial and fail to address deeper concerns about fairness and compliance with EU consumer and privacy laws.
BEUC’s Director General, Agustin Reyna, criticised Meta for not providing users with a fair choice, alleging that the company still pressures users into accepting its behavioural advertising system. Reyna called on consumer protection authorities and the European Commission to investigate Meta’s practices urgently, emphasising the need for decisive action to safeguard users’ rights. The consumer group also accused Meta of misleading practices, unclear terms, and failing to minimise data collection while restricting services for users who decline data processing.
In response, a Meta spokesperson defended the company’s approach, arguing that its November 2023 updates go beyond EU regulatory requirements. Despite these assurances, EU antitrust regulators have raised concerns, accusing Meta of breaching the Digital Markets Act. They claim the ad-free service forces users into a binary choice, sparking broader concerns about how the tech giant balances profit with consumer protection.
As pressure mounts, Meta faces growing scrutiny over its compliance with EU laws, with regulators weighing potential measures to address BEUC’s allegations and ensure fair treatment for European users.
President Donald Trump unveiled a $500 billion private-sector initiative on Tuesday aimed at transforming AI infrastructure in the US. The joint venture, called Stargate, brings together OpenAI, SoftBank, and Oracle to build 20 massive data centres and create over 100,000 jobs. Backers have committed $100 billion for immediate deployment, with the remainder spread over the next four years.
The announcement, made at the White House with SoftBank CEO Masayoshi Son, OpenAI CEO Sam Altman, and Oracle Chairman Larry Ellison in attendance, underscores America’s push to lead in AI development. Ellison revealed that the first data centres, each half a million square feet, are already under construction in Texas. These facilities aim to power advanced AI applications, including analysing electronic health records to assist doctors.
Trump attributed the project’s launch to his leadership, with executives expressing their support. “We wouldn’t have decided to do this unless you won,” Son said. However, the ambitious project arrives amid concerns over the rising energy demands of AI data centres. Trump promised to simplify energy production for these facilities, even as experts warn of potential power shortfalls across the country in the coming decade.
The announcement comes against a backdrop of surging AI investments since OpenAI’s release of ChatGPT in 2022, which sparked widespread adoption of AI across industries. Oracle and other tech stocks, including Nvidia and Dell, climbed on the news, reflecting market enthusiasm for the Stargate project.
President Donald Trump’s executive order delaying the enforcement of a US TikTok ban has created new legal uncertainties for the platform and its service providers, including Google and Apple. Signed on Monday, the order pauses for 75 days a law requiring TikTok’s Chinese parent company, ByteDance, to divest the app over national security concerns.
While the order directs the Justice Department to halt enforcement and assures app distributors of no liability during the review period, legal experts warn that the promise offers little protection. Courts do not consider executive orders binding, and Trump could alter or selectively enforce the policy at any time, potentially exposing companies to massive penalties.
The ban, passed by Congress and upheld by the Supreme Court days before Trump’s order, imposes steep fines of $5,000 per user for violations, making compliance a high-stakes gamble for service providers. Critics argue that the legal ambiguity could also open companies to shareholder lawsuits if they ignore the ban based solely on Trump’s directive.
Trump’s move has reignited tensions between the White House and lawmakers, who overwhelmingly supported the ban over fears of Chinese influence. The coming weeks may bring further legal battles and political manoeuvring as the future of TikTok in the US hangs in the balance.
The International Telecommunication Union (ITU) has launched the AI Skills Coalition, a global initiative backed by 27 organisations, including Amazon Web Services, Microsoft, and Cognizant, to bridge the AI skills gap in developing countries. The coalition will provide accessible education and capacity-building in areas like generative AI, machine learning, and AI for sustainable development through a new online platform set to launch in March 2025.
The platform will offer free resources such as self-paced courses, webinars, in-person workshops, hybrid programs, and a comprehensive digital library of AI materials. In collaboration with the United Nations Development Programme (UNDP), the coalition will leverage UNDP’s global presence to ensure an inclusive, global approach to AI training, extending beyond the efforts of companies like Google, AWS, and Microsoft.
The initiative will also focus on underrepresented groups, including women, youth, and persons with disabilities, aiming to foster diversity in AI development. Specialised training programs for government officials will address AI governance, ethics, and policymaking, tailored to the needs of developing countries and least developed countries (LDCs).
The AI Skills Coalition’s efforts to deliver AI education and capacity-building aim to ensure that the benefits of AI are shared more equitably, addressing global inequalities in AI knowledge. By equipping the future workforce with critical skills and empowering policymakers to harness AI responsibly, the coalition seeks to support sustainable development and help countries navigate the unique challenges they face in the AI era.
Vodafone Cook Islands and Rivada have partnered to enhance telecommunications connectivity and drive digital transformation across the Oceania region. The collaboration addresses the challenges posed by the geographic isolation of the Cook Islands and other territories in Oceania. By utilising Rivada’s next-generation low-Earth orbit (LEO) satellite constellation, the Outernet, Vodafone intends to offer scalable, resilient connectivity for enterprises and government clients.
The Outernet’s innovative design combines inter-satellite laser links and advanced onboard processing to provide gigabit-speed connectivity globally, bypassing public internet and third-party infrastructure. This optical mesh network ensures secure, fast, and low-latency connections, delivering urban-centre-quality connectivity to remote regions, including the Pacific islands.
In a time when geopolitical tensions threaten subsea cables in Asia, the partnership will create a more reliable and secure telecommunications infrastructure for the region. The benefits of this partnership are expected to be far-reaching, particularly for remote communities and the outer islands of the Cook Islands.
The enhanced connectivity will support critical sectors like online education, healthcare, and business, driving technological innovation and economic growth. Phillip Henderson, CEO of Vodafone Cook Islands, expressed his enthusiasm for the partnership, emphasising how the Outernet will empower remote communities, providing them access to previously challenging services.
The partnership is poised to transform connectivity in the region, helping to bridge the digital divide and foster long-term economic development.
Oracle shares soared by nearly 9% in Frankfurt on Wednesday following an announcement from former US President Donald Trump about a groundbreaking AI initiative. Oracle, in collaboration with OpenAI and SoftBank, is set to establish a joint venture called Stargate, aiming to revolutionise AI infrastructure.
The ambitious project will see a staggering $500 billion investment, as revealed during Trump’s remarks at the White House the day before. The collaboration highlights the growing significance of AI and signals major players pooling resources to drive technological advancements in this domain.
Investor excitement around Stargate boosted Oracle’s stock performance significantly. After regular trading closed on Tuesday with a 7% rise, the company’s shares climbed an additional 3% in after-hours trading, reflecting strong market optimism.
SoftBank CEO Masayoshi Son’s decision to partner with OpenAI and Oracle on a $500 billion AI venture, Stargate, showcases his bold, headline-grabbing approach to dealing with the Trump administration. The project, announced at the White House alongside President Donald Trump, promises to build AI infrastructure in the US and marks a significant part of Son’s earlier $100 billion investment pledge. SoftBank shares surged 11% following the news, reflecting investor confidence in the group’s aggressive strategy.
However, analysts argue that Son’s methods, rooted in rapid decision-making and high-risk bets, are difficult for traditional Japanese corporations to replicate. Japan Inc’s emphasis on long-term planning contrasts sharply with Son’s willingness to embrace Trump’s pro-investment stance to navigate potential tariffs and trade pressures. The reluctance of other Japanese executives to engage directly with Trump highlights a broader struggle to adapt in a politically charged environment.
Son’s flashy investments draw comparisons to his previous $50 billion pledge during Trump’s first term and underscore his vision for AI as a transformative technology. While his moves are reestablishing SoftBank as a global player after setbacks like WeWork’s collapse, questions remain about how the Stargate project will be funded and whether traditional Japanese companies can adapt their strategies to find similar success in Trump’s America.
Microsoft announced changes to its longstanding agreement with OpenAI following the AI leader’s new partnership with Oracle and SoftBank on a $500 billion AI data centre project, Stargate. The joint venture, unveiled by President Donald Trump at the White House, aims to solidify US leadership in AI, leveraging Nvidia chips and other cutting-edge technologies.
While Microsoft retains exclusive rights to OpenAI’s APIs, the amendments now allow OpenAI to build additional capacity outside of Microsoft’s infrastructure. This paves the way for Oracle’s involvement in Stargate, which will operate as a separate entity with governance rights shared among founding members and external investors like UAE’s MGX. SoftBank CEO Masayoshi Son will chair the venture’s board.
Despite this shift, Microsoft remains a central technology partner, continuing to benefit from revenue-sharing agreements with OpenAI and maintaining exclusivity over key offerings through its Azure cloud service. “The key elements of our partnership remain intact through 2030,” Microsoft said, reaffirming its commitment to OpenAI’s long-term growth.
Oracle and OpenAI have not commented on Microsoft’s statements, but the partnership underscores the strategic realignments shaping the future of AI infrastructure in the US.
Samsung and LG Electronics may shift some home appliance production from Mexico to the United States, according to a South Korean news report. The potential move follows former President Donald Trump’s announcement of possible 25% tariffs on imports from Canada and Mexico, set to take effect on February 1.
Samsung is reportedly considering relocating dryer production to its South Carolina plant, while LG may move refrigerator production to its Tennessee factory, which already produces washing machines and dryers. Both companies are evaluating their operations as they adapt to market changes and trade policies.
In statements, Samsung emphasised its flexible global production strategy, while LG highlighted its commitment to adjusting production systems to meet market demands. These considerations reflect broader shifts in manufacturing strategies due to trade uncertainties.
Donald Trump has rescinded a 2023 executive order issued by Joe Biden aimed at mitigating risks associated with AI to consumers, workers, and national security. Biden’s order mandated that developers of high-risk AI systems share safety test results with the US government before public release, under the Defense Production Act. It also required federal agencies to establish safety standards addressing potential threats such as cybersecurity, chemical, and biological risks. This move came amid congressional inaction on AI legislation.
The Republican Party had pledged to overturn Biden’s order, claiming it stifled AI innovation. The party’s 2024 platform emphasises support for AI development that aligns with free speech and human progress. Generative AI technologies, capable of creating content like text and images, have sparked both excitement and concern over their potential to disrupt industries and eliminate jobs.
While Trump revoked Biden’s AI safety framework, he left intact another executive order issued last week that supports the energy needs of advanced AI data centres. Biden’s newer order calls for federal assistance, including leasing Defense and Energy Department sites, to support the rapid growth of AI infrastructure. Meanwhile, US companies like Nvidia have criticised recent Commerce Department restrictions on AI chip exports, reflecting ongoing tensions between regulation and innovation in the tech sector.
