Italy’s financial watchdog, Consob, has begun experimenting with AI to enhance its oversight capabilities, particularly in the initial review of listing prospectuses and the detection of insider trading. According to Consob, these AI algorithms aim to swiftly identify potential instances of insider trading, which traditionally requires significantly more time when conducted manually.
The agency reported that its AI algorithms can detect errors in just three seconds, a task typically taking a human analyst at least 20 minutes. These efforts were part of testing conducted last year using prototypes developed in collaboration with Scuola Normale Superiore University in Pisa, alongside an additional model developed independently.
Consob views the integration of AI as pivotal in enhancing the effectiveness of regulatory controls to detect financial misconduct. The next phase involves transitioning from prototype testing to fully incorporating AI into Consob’s regular operational procedures. That initiative mirrors similar efforts by financial regulators globally who are increasingly leveraging AI to bolster consumer protection and regulatory oversight.
For instance, in the United Kingdom, the Financial Conduct Authority (FCA) has utilised AI technologies to combat online scams and protect consumers. That trend underscores a broader international movement within regulatory bodies to harness AI’s potential in safeguarding market integrity and enhancing regulatory efficiency.
AI startup EvolutionaryScale has secured $142 million in seed funding, led by investors including Nat Friedman, Daniel Gross, and Lux Capital. Both Amazon Web Services (AWS) and NVIDIA’s venture capital arm participated in this substantial funding round. Lux Capital’s co-founder Josh Wolfe likened EvolutionaryScale’s achievements to a ‘ChatGPT moment for biology,’ highlighting their development of a groundbreaking large language model capable of designing new proteins and biological systems.
EvolutionaryScale aims to deploy its AI across diverse applications, from accelerating drug discovery processes to engineering microbes that can degrade plastic pollution. The company’s chief scientist, Alex Rives, emphasised the growing significance of AI in creating innovative biological solutions. That aligns with broader industry trends where AI is increasingly pivotal in advancing biotech and pharmaceutical research.
However, concerns have been raised regarding the potential misuse of generative AI in bioweapons development. Despite these ethical considerations, EvolutionaryScale plans to use its newly secured funding to train its AI models further and expand its team for collaborations within the biotech sector. They have also released the ESM3 models, with the smaller variant open-sourced for non-commercial research, while AWS and NVIDIA will offer the larger ESM3 commercially.
Why does it matter?
One notable achievement highlighted by EvolutionaryScale involves engineering a novel fluorescent protein using their ESM3 model. That protein represents a significant departure from naturally occurring variants, a process typically requiring nature millions of years to evolve. The company’s advancements underscore the transformative potential of AI in pushing the boundaries of biological innovation.
During the 2024 AI Retreat, the Artificial Intelligence, Digital Economy, and Remote Work Applications Office of the United Arab Emiratesentered a strategic partnership with Rittal FZE, a Rittal and Co KG division based in Herborn, Germany. Rittal, a renowned provider of IT infrastructure solutions, power distribution, climate management, and industrial enclosures, is set to collaborate with the UAE to enhance the implementation and training of AI technologies. This partnership, focusing on advancing technology and training, is poised to inspire and excite the future of AI in the UAE.
The Executive Director of the AI, Digital Economy, and Remote Work Applications Office, Saqr Binghalib, underscored that the UAE government prioritises enhancing skills in digital advancement. He stressed that such efforts are vital for enhancing the country’s standing as a leading global AI hub and fostering stronger collaborations with the private sector. Rittal is committed to advancing technology and training through AI advancements and other smart applications, especially to support robotics and Industry 4.0 programming. The AI Retreat in 2024 saw the participation of over 2,000 decision-makers, experts, and representatives from the public and private sectors.
Google is enhancing Gmail with new AI features designed to streamline email management. A new Gemini side panel is being introduced for the web, which is capable of summarising email threads and drafting new emails. Users will receive proactive prompts and can ask freeform questions, utilising Google’s advanced models like Gemini 1.5 Pro. The mobile Gmail app will also feature Gemini’s ability to summarise threads.
However, these upgrades will only be accessible to paid Gemini users. To benefit from these features, one must be a Google Workspace customer with a Gemini Business or Enterprise add-on, a Gemini Education or Education Premium subscriber, or a Google One AI Premium member. Despite their potential usefulness, it’s advised not to depend entirely on these AI tools for critical work, as AI can sometimes produce inaccurate information.
In addition to Gmail, Google is incorporating Gemini features into the side panels of Docs, Sheets, Slides, and Drive. The rollout follows Google’s earlier promises at the I/O conference. Further AI enhancements, including ‘Contextual Smart Reply,’ are expected to arrive for Gmail soon.
Geologists are expressing concerns about potential Chinese censorship and bias in GeoGPT, a new AI chatbot backed by the International Union of Geological Sciences (IUGS). Developed under the Deep-time Digital Earth (DDE) program, which is heavily funded by China, GeoGPT aims to assist geoscientists, particularly in developing countries, by providing access to extensive geological data. However, issues around transparency and censorship have been highlighted by experts, raising questions about the chatbot’s reliability.
Critics like Prof. Paul Cleverley have pointed out potential censorship and lack of transparency in GeoGPT’s responses. Although DDE representatives claim that the chatbot’s information is purely geoscientific and free from state influence, tests with its underlying AI, Qwen, developed by Alibaba, suggest that certain sensitive questions may be avoided or answered inadequately. That contrasts with responses from other AI models like ChatGPT, which provide more direct information on similar queries.
Further concerns are raised about the involvement of Chinese funding and the potential for biassed data usage. Geoscientific research, which includes valuable information about natural resources, could be strategically filtered. Additionally, the terms of use for GeoGPT prohibit generating content that undermines national security or incites subversion, aligning with Chinese laws, which may influence the chatbot’s outputs.
The IUGS president, John Ludden, has stated that GeoGPT’s database will be made public once appropriate governance is ensured. However, with the project being predominantly funded by Chinese sources, geoscientists remain sceptical about the impartiality and transparency of GeoGPT’s data and responses.
Shopify is launching its new AI chatbot, ‘Sidekick,’ in early access as part of its 2024 Summer Edition updates. Sidekick, initially revealed last year, is designed to assist merchants with tasks such as creating discount codes, generating store reports, and suggesting blog post ideas. Currently, Sidekick is available to merchants with English stores in North America, but Shopify plans to expand its availability to other languages and regions.
In addition to Sidekick, Shopify announced several other AI tools to improve merchant efficiency. One notable feature is AI-powered product categorisation, which helps merchants by automatically suggesting taxonomy for product listings, making items more discoverable. Another tool provides suggested replies for customer chats in Shopify Inbox, although these replies need to be finalised by the merchant. Shopify is considering allowing AI to handle customer chats independently in the future.
Shopify is also enhancing its AI-powered image generator, which was launched in January, by integrating it into its iOS and Android apps and expanding its use within the Shopify admin. Over the past six months, Shopify merchants have saved over one million AI-generated images, highlighting the tool’s popularity and effectiveness.
The United States has introduced draft rules to regulate investments in China, particularly in AI and other advanced technology sectors that could pose national security threats. The US Treasury Department released these proposed rules following President Joe Biden’s executive order in August, which targets semiconductors, quantum computing, and AI investments. The draft rules require US individuals and companies to identify and report transactions that may be restricted or banned, aiming to prevent US expertise from aiding China’s technological advancements.
The Treasury’s proposed rules include various exceptions, such as transactions in the US national interest or involving publicly traded securities. The regulations would specifically ban transactions involving AI for certain end uses and systems using significant computing power but require notifications for other AI-related investments. These rules focus primarily on China, Macau, and Hong Kong, though they might be expanded later.
Former Treasury official Laura Black highlighted that these rules would necessitate increased due diligence by US investors when dealing with Chinese companies in the specified sectors. The regulations also align with existing export controls on advanced semiconductors to China, aiming to hinder China’s military modernisation efforts. Violations of these rules could result in criminal and civil penalties, including unwinding investments.d
Why does it matter?
Treasury officials have engaged with international partners to discuss these investment restrictions, with the European Commission and the United Kingdom considering similar measures to address outbound investment risks. Public comments on the proposed rules are open until 4 August, with final regulations expected by the end of the year.
ByteDance, the Chinese owner of TikTok, is collaborating with US chip designer Broadcom to develop an advanced AI processor. This 5-nanometer chip, compliant with US export restrictions, will be manufactured by Taiwan’s TSMC. The initiative is aimed at securing a stable supply of high-end chips amid ongoing US-China tensions.
Unannounced to the public, the partnership represents one of the few recent collaborations involving advanced technology between US and Chinese firms since Washington’s 2022 export controls on cutting-edge semiconductors. ByteDance’s tie-up with Broadcom, an existing partner, is expected to reduce costs and ensure a steady supply of sophisticated chips, which are essential for ByteDance’s AI initiatives.
The new chip is still in the design phase, with manufacturing not expected to start this year. ByteDance’s push in generative AI requires advanced chips, which have become more challenging to obtain due to US sanctions. The company has been stockpiling Nvidia chips and has purchased AI accelerators from Huawei, emphasising the critical need for powerful algorithms across its platforms, including TikTok and Douyin.
ByteDance is actively hiring for semiconductor-related roles, including ASIC chip designers, and has been recruiting top talent from other Chinese AI chip firms. The company’s strategic efforts highlight its commitment to overcoming challenges posed by restricted access to advanced technology.
Oracle has announced it will be investing $1 billion over the next decade in AI and cloud computing in Spain to cater to the growing demand for its services in the country. This investment will be used to establish a new cloud region enabling customers to transition workloads from their data centres to Oracle Cloud Infrastructure.
Additionally, it will assist in compliance with regulations such as the EU’s Digital Operational Resilience Act (DORA) and the European Outsourcing Guidelines. This initiative marks Oracle’s third cloud region in Madrid in collaboration with Telefonica España as project partner. Albert Triola, the head of Oracle Spain, emphasised the company’s dedication to supporting organisations in Spain across various sectors and sizes, aiming to accelerate the adoption of cloud technologies to enhance business performance.
José Luis Escrivá, Spain’s minister for digital transformation and public administration noted that this investment will empower Spanish enterprises and public sector entities to innovate with AI and accelerate their digital transformation process.
Why does it matter?
Oracle’s optimistic forecast for fiscal 2025 revenue growth surpassed analysts’ expectations thereby reflecting the growing demand for its AI-driven cloud services.
Furthermore, Oracle announced collaborations with OpenAI and Google Cloud with the objective of expanding its cloud infrastructure offerings to customers thus showing its commitment to enhancing its cloud services portfolio.
Huawei Technologies announced significant advancements in operating systems and AI, achieving in 10 years what took the US and Europe 30 years. Richard Yu, chairman of Huawei’s Consumer Business Group, highlighted these achievements at a developer conference in Dongguan.
Huawei’s Harmony operating system is now on over 900 million devices, which marks a substantial progress since its launch in 2019 when US restrictions cut Huawei off from Google’s Android support. Yu noted that Huawei’s Ascend AI infrastructure is now the second most popular, following Nvidia.
Why does it matter?
The rise of the Internet of Things has provided Huawei an opportunity to surpass long-time Western dominance in software. Additionally, Huawei’s smartphone business has rebounded with the Mate 60, featuring a new China-made chip. Sales of Harmony-equipped smartphones increased by 68% in the first five months of the year. In Q1 2024, HarmonyOS became the second best-selling mobile OS in China, overtaking Apple’s iOS with a 17% market share.
