Google Archives | Digital Watch Observatory

Google upgrades Gemini AI model with focus on developers

Google has launched a new version of its flagship AI model called Gemini 2.5 Pro Preview (I/O edition), ahead of its annual developer event.

The updated version promises major improvements in coding, app development, and video understanding, and replaces the existing Gemini 2.5 Pro model without changing the price.

Developers can access it through the Gemini API, Vertex AI, AI Studio, and the Gemini chatbot app for web and mobile.

Rather than sticking with older features, the I/O edition aims to reduce coding errors and improve how the model handles complex tasks like function calling and code transformation.

Google says the update directly responds to developer feedback by making the model more reliable and better at triggering functions accurately.

Gemini 2.5 Pro Preview (I/O edition) currently leads the WebDev Arena Leaderboard, a benchmark for creating functional and visually appealing web apps. It also scores highly in video analysis tasks, with a benchmark result of 84.8% on VideoMME, one of the best performances in the field so far.

Instead of letting competitors like OpenAI and xAI take the spotlight, Google is pushing to strengthen its position in the AI race. The timing of this release, just before the I/O conference, hints at more AI-related announcements to come as the tech giant seeks to keep pace in a rapidly evolving market.

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Google faces DOJ’s request to sell key ad platforms

The US Department of Justice (DOJ) has moved to break up Google’s advertising technology business after a federal judge ruled that the company holds illegal monopolies across two markets.

The DOJ is seeking the sale of Google’s AdX digital advertising marketplace and its DFP platform, which helps publishers manage their ad inventory.

It follows a ruling in April by Federal Judge Leonie Brinkema, who found that Google’s dominance in the online advertising market violated antitrust laws.

AdX and DFP were key acquisitions for Google, particularly the purchase of DoubleClick in 2008 for $3.1 billion. The DOJ argues that Google used monopolistic tactics, such as acquisitions and customer lock-ins, to control the ad tech market and stifle competition.

In response, Google has disputed the DOJ’s move, claiming the proposed sale of its advertising tools exceeds the court’s findings and could harm publishers and advertisers.

The DOJ’s latest filing also comes amid a separate legal action over Google’s Chrome browser, and the company is facing additional scrutiny in the UK for its dominance in the online search market.

The UK’s Competition and Markets Authority (CMA) has found that Google engaged in anti-competitive practices in open-display advertising technology.

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Google expands AdSense into AI amid rising regulatory pressure

Google has begun embedding advertisements within AI chatbot conversations as part of its AdSense network, strengthening its hold on the digital advertising market.

A company spokesperson confirmed that ‘AdSense for Search is available for websites that want to show relevant ads in their conversational AI experiences.’ The move comes as AI startups increasingly adopt advertising models to manage the steep costs of operating generative AI systems.

The introduction of ads into chatbot interactions continues Google’s two-decade-long strategy of extending its ad dominance to new technologies and user interfaces.

From revolutionising online ads with AdWords in 2000 to expanding into mobile and video, Google has consistently adapted its approach to maintain market leadership.

Integrating ads into AI chatbots marks the latest step, as the company responds to shifts in how users engage with digital content. This is especially vital as its core search ad business faces growing competition from AI-first platforms like Perplexity.

Google’s timing is also shaped by mounting regulatory pressure. In April 2025, a federal judge ruled the company had violated antitrust laws in key advertising markets, threatening its control of the digital ad ecosystem.

By establishing its ad presence in emerging AI markets, Google is seeking to secure new revenue streams and embed its standards before regulations catch up. This strategic pivot helps Google maintain relevance even as its traditional business faces legal challenges.

For AI startups, the introduction of advertising is driven by economic necessity. Generative AI systems incur high operational costs, making monetisation through ads increasingly attractive.

Partnering with Google offers immediate access to a global advertiser base and proven monetisation tools. Companies like iAsk and Liner have embraced the model, with Liner’s CEO describing their ads as an early version of Google’s own search ads.

As the AI market rapidly grows, projected to exceed $800 billion by 2030, establishing sustainable revenue models has become a priority.

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Google’s Gemini AI completes Pokémon Blue with a little help

Google’s cutting-edge AI model, Gemini 2.5 Pro, has made headlines by completing the 1996 classic video game Pokémon Blue. While Google didn’t achieve the feat directly, it was orchestrated by Joel Z, an independent software engineer who created a livestream called Gemini Plays Pokémon.

Despite being unaffiliated with the tech giant, Joel’s project has drawn enthusiastic support from Google executives, including CEO Sundar Pichai, who celebrated the victory on social media. The challenge of beating a game like Pokémon Blue has become an informal benchmark for testing the reasoning and adaptability of large language models.

Earlier this year, AI company Anthropic revealed its Claude model was making strides in a similar title, Pokémon Red, but has yet to complete it. While comparisons between the two AIs are inevitable, Joel Z clarified that such evaluations are flawed due to differences in tools, data access, and gameplay frameworks.

To play the game, Gemini relied on a complex system called an ‘agent harness,’ which feeds the model visual and contextual information from the game and translates its decisions into gameplay actions. Joel admits to making occasional interventions to improve Gemini’s reasoning but insists these did not include cheats or explicit hints. Instead, his guidance was limited to refining the model’s problem-solving capabilities.

The project remains a work in progress, and Joel continues to enhance the framework behind Gemini’s gameplay. While it may not be an official benchmark for AI performance, the achievement is a playful demonstration of how far AI systems have come in tackling creative and unexpected challenges.

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Google admits using opted-out content for AI training

Google has admitted in court that it can use website content to train AI features in its search products, even when publishers have opted out of such training.

Although Google offers a way for sites to block their data from being used by its AI lab, DeepMind, the company confirmed that its broader search division can still use that data for AI-powered tools like AI Overviews.

An initiative like this has raised concern among publishers who seek reduced traffic as Google’s AI summarises answers directly at the top of search results, diverting users from clicking through to original sources.

Eli Collins, a vice-president at Google DeepMind, acknowledged during a Washington antitrust trial that Google’s search team could train AI using data from websites that had explicitly opted out.

The only way for publishers to fully prevent their content from being used in this way is by opting out of being indexed by Google Search altogether—something that would effectively make them invisible on the web.

Google’s approach relies on the robots.txt file, a standard that tells search bots whether they are allowed to crawl a site.

The trial is part of a broader effort by the US Department of Justice to address Google’s dominance in the search market, which a judge previously ruled had been unlawfully maintained.

The DOJ is now asking the court to impose major changes, including forcing Google to sell its Chrome browser and stop paying to be the default search engine on other devices. These changes would also apply to Google’s AI products, which the DOJ argues benefit from its monopoly.

Testimony also revealed internal discussions at Google about how using extensive search data, such as user session logs and search rankings, could significantly enhance its AI models.

Although no model was confirmed to have been built using that data, court documents showed that top executives like DeepMind CEO Demis Hassabis had expressed interest in doing so.

Google’s lawyers have argued that competitors in AI remain strong, with many relying on direct data partnerships instead of web scraping.

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US antitrust trial sees Google defend Chrome and data control

Google has warned that proposed remedies in the ongoing US antitrust case, including a possible sell-off of Chrome, could expose users to data breaches and national security threats. Arguing that Google’s infrastructure is key to protecting Chrome against rising cyberattacks.

Google cited past breaches to emphasise the risks of moving such tools to buyers lacking similar security standards. The Justice Department, however, maintains that breaking up Google’s dominance would encourage fairer competition.

Proposals include banning exclusive deals, sharing user data to support rivals, and enabling Apple or others to shift default search settings. An economic expert testified these remedies could reduce Google’s market share from 88% to 51%, though full impact would take years to materialise.

Judge Amit Mehta raised concerns that dismantling Google’s monopoly might simply replace it with another, such as Microsoft. Google CEO Sundar Pichai is set to testify next, as the case continues through 9 May in the US.

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DW Weekly #210 – Trump’s tech stability, UN funding cuts, and global AI shifts

25 April – 2 May 2025

Dear readers,

In the week behind us, we focused on Trump’s first 100 days of digital governance. Dr Jovan Kurbalija, in his blog ‘Tech continuity in President Trump’s first 100 days’, deems that Trump’s approach to technology remained remarkably stable despite political turbulence in trade and environmental policy.

Connected to Trump’s foreign policy is the UN situation. Namely, the UN faces renewed financial uncertainty as Donald Trump’s administration reviews all US support for international organisations.

The US president has instead proposed substantial reductions or even the elimination of federal income taxes once the full impact of import tariffs is realised. In a 27 April post on Truth Social, Trump revealed that the plan would primarily benefit individuals earning less than $200,000 annually. Trump has also signed executive orders easing his controversial 25% tariffs on automobiles and parts to relieve pressure on carmakers struggling with rising costs.

The European Commission faces growing criticism after a joint investigation revealed that Big Tech companies had disproportionate influence over drafting the EU’s Code of Practice on General Purpose AI.

Alphabet, Google’s parent company, may soon be forced to split into separate entities, with its Chrome browser emerging as a desirable target.

The UAE has announced the launch of its AI Academy, aiming to strengthen the country’s position in AI innovation both regionally and globally.

The United Kingdom and the United States are set to strengthen their collaboration in advancing cryptocurrency adoption.

Microsoft has unveiled a set of five digital commitments aimed at supporting Europe’s technological and economic future.

Intel is witnessing strong demand for its older Raptor Lake and Alder Lake processors, as buyers shy away from newer AI-enhanced chips like Meteor and Lunar Lake.

For the main updates and reflections, consult the Radar and Reading Corner below.

DW Team

RADAR

Highlights from the week of 25 – 2 May 2025

Trump’s first 100 days show steady tech policy

As digital tensions rise globally, President Trump’s early tech agenda signals a strategic gamble that bets on tradition while the rest of the world pushes for transformation.

eu flags in front of european commission 1

Big Tech accused of undue influence over EU AI Code

The US government opposes the new AI Code, calling it anti-innovation. Critics say Big Tech had too much access.

UN prepares for possible shifts in US financial contributions

As the UN braces for possible funding upheavals, the future of global cooperation could hinge on decisions unfolding quietly behind closed doors in Washington.

Trump eases auto tariffs amid industry concerns

Ford, GM, and Stellantis welcome Trump’s tariff rollback as a step forward, though supply chain challenges remain.

US department of justice google chrome antitrust lawsuit

Tech giants circle as Chrome faces possible break-up

With a 65% market share, Chrome could reshape the tech landscape if sold. OpenAI, Yahoo and others are circling.

OpenAI’s CEO Altman confirms rollback of GPT-4o after criticism

Following backlash, OpenAI restores GPT-4o’s previous version and vows to avoid disingenuous praise in future.

UK and US join forces to promote responsible cryptocurrency adoption

International cooperation is essential for success, with both countries aiming to set groundbreaking regulatory standards for the crypto industry.

hand holds european union flag in an open window background blue sky silhouette of the city

Microsoft outlines new commitments to Europe’s digital future

New data centre growth will double Microsoft’s European capacity between 2023 and 2027.

generate classroom with person raising hand

AI educational race between China and USA brings some hope

As global powers invest in shaping the next generation of AI innovators, classrooms emerge as unexpected arenas where technology, diplomacy, and geopolitics converge.

Google’s Gemini AI sees rapid surge in adoption

ChatGPT and Meta AI still lead in total user base.

south korean flag in mans hand on the world map background

South Korea’s ruling party targets crypto deregulation in its new agenda

The PPP aims to overhaul digital asset laws, allowing non-profits to trade crypto and institutionalising corporate participation by Q2 of this year.

View all updates

READING CORNER

BLOG From geopolitics to classrooms featured image

From geopolitics to classrooms: The hopeful side of the US-China AI race

The competition between the US and China in AI education is emerging as a vital battleground amidst geopolitical tensions. Both nations prioritise AI education to prepare future generations for a transformative technological landscape.

Tech continuity in President Trump’s first 100 days

During President Trump’s first 100 days, technology policy exhibited continuity rather than disruption, focusing on AI and digital regulation characterised by incremental adjustments.

Rewriting the AI playbook: How Meta plans to win through openness

What happens when one of the world’s biggest tech giants bets its future not on control, but on giving its most powerful AI tools away for free?

Weapons of Emotional Destruction

What if the internet’s true legacy isn’t connection, but emotional warfare? In 2015, Aldo Matteucci asked whether we’ve unleashed a fire that even Shiva could not contain.

UPCOMING EVENTS

5 May 2025

May 2025 online courses | Diplo Academy

May 2025 online courses | Diplo Academy Diplo Academy is excited to announce the start of four online courses on 5 May 2025:

7 May 2025

WSIS+20 review: What’s in it for Africa?

WSIS+20 review: What’s in it for Africa? An expert-guided dialogue among diplomats | Dedicated exclusively to African Permanent Missions to the UN in Geneva.

7 May 2025

Swiss Tripartite Platform: Meeting on WSIS+20

Swiss Plateforme Tripartite: Meeting on WSIS+20 On 6 May, the Swiss Federal Office of Communications (OFCOM) will host a virtual meeting on the WSIS+20

NotebookLM expands podcast-style summaries

Google has significantly upgraded its NotebookLM platform by expanding the Audio Overviews feature to support more than 50 languages.

Previously available only in English, the tool now allows users to generate audio summaries in various languages, making it easier to consume complex or untranslated content. These AI-generated summaries are styled like a podcast and feature two artificial hosts discussing selected material.

NotebookLM is aimed at helping users study and synthesise information from different sources. With the latest update, people can now listen to summaries of foreign-language research papers or long-form English content in their preferred language.

A new ‘Output Language’ option also enables users to switch between languages on demand, making it easier to create or consume multilingual material. Although the added language support is currently limited to NotebookLM, Google says similar features will come to Google Docs in the coming months.

The functionality is particularly useful for learners who want to improve their language comprehension by listening to familiar content in a new language. NotebookLM remains free to use, while NotebookLM Plus is available for those on the Google One AI Premium plan.

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Tech giants circle as Chrome faces possible break-up

Alphabet, Google’s parent company, may soon be forced to split into separate entities, with its Chrome browser emerging as a particularly attractive target.

With Chrome controlling over 65% of the global browser market, interest is mounting from AI-driven firms and legacy tech companies alike, all eager to take control of a platform that reaches billions of users.

OpenAI, known for ChatGPT, sees Chrome as a natural fit for its expanding AI ecosystem, especially with search features increasingly integrated into its chatbot.

Rival AI search firm Perplexity is also eyeing Chrome instead of building from scratch, viewing it as a shortcut to mainstream adoption and a rich source of user data and engagement.

Yahoo, backed by Apollo Global Management, is reportedly considering a $50 billion bid, even while developing its own browser internally.

Despite legal uncertainties and the threat of drawn-out regulatory battles, the opportunity to own Chrome could radically shift influence in the tech sector, especially while Google faces mounting antitrust scrutiny.

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Cybercriminals target Gmail accounts in sophisticated new attack

Gmail users are facing a serious new threat that could lead to their accounts being hijacked by cybercriminals.

Experts at Malwarebytes have issued an urgent warning about a sophisticated scam that is bypassing Gmail’s usually reliable spam filters, putting billions of accounts at risk.

The scam was first noticed by Nick Johnson, a developer with the Ethereum Name Service, who received an official-looking email supposedly from Google.

Although it appeared genuine and even passed all verification checks, the link inside redirected users to a fraudulent site hosted via Google’s own website creation platform. Cybercriminals exploited the fact that anyone can create pages on sites.google.com to make the scam look credible.

Google has acknowledged the attack, linked to the Rockfoils threat group, and confirmed that new protections are being rolled out.

While measures are underway to address the vulnerability, security experts strongly advise Gmail users to remain cautious and follow essential safety practices to avoid falling victim.

Simple actions, such as avoiding links in unsolicited emails, double-checking email headers, and refusing to use Google credentials to sign into other services, can significantly reduce the risk. Staying vigilant is now more important than ever to protect personal data and online security.

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