Lawsuit over Google Play gift card scams dismissed

A federal judge has dismissed a proposed class-action lawsuit claiming Google illegally profited from scams involving Google Play gift cards. The plaintiff, Judy May, alleged she lost $1,000 after a scammer posed as a government official, instructing her to purchase Google Play gift cards to claim grant money. She argued that Google should have warned consumers about such scams on the card packaging.

However, Judge Beth Labson Freeman ruled that Google was not responsible for May’s losses, as the tech giant neither caused her financial harm nor knowingly benefited from the stolen funds. Freeman also dismissed claims that Google’s 15% to 30% commission on purchases using the gift cards was linked to the initial fraud.

The Federal Trade Commission reported that Americans lost $217 million to gift card fraud in 2023, with Google Play cards implicated in roughly 20% of reported cases. Though May’s case was dismissed, the judge allowed her the option to refile.

Data center growth at power plants faces regulatory hurdles

The Federal Energy Regulatory Commission (FERC) is examining the rapid growth of energy-intensive data centers being built next to US power plants. Known as co-location, this trend is driven by the tech sector’s need for large amounts of power for AI and other data-heavy operations. Co-locating data centers near power plants offers companies quicker access to electricity, bypassing the longer process of connecting to the broader grid.

However, regulators and industry experts are concerned about the impact on costs and reliability for other electricity consumers. If data centers use power plants that typically supply the public grid, there are questions about how such facilities will handle power disruptions and whether they will lean on the grid as backup. This could mean higher electricity bills for consumers who fund grid infrastructure, a point raised by FERC Commissioner Mark Christie.

The regulatory scrutiny comes as companies like Amazon and Google look to establish co-located data centers to meet growing energy needs. A recent arrangement in Pennsylvania, where Amazon bought a data center linked to a nuclear plant, has stirred debate among electric utilities over infrastructure costs and reliability. FERC’s review could lead to new guidelines clarifying financial responsibilities and operational rules for these partnerships.

UK court sides with Google in YouTube Shorts trademark case

Google has won a trademark lawsuit brought by Shorts International, a British company specialising in short films, over the use of the word ‘shorts’ in YouTube‘s short video platform, YouTube Shorts. London’s High Court found no risk of consumer confusion between Shorts International’s brand and YouTube’s platform, which launched in 2020 as a response to TikTok‘s popularity.

Shorts International, known for its short film television channel, argued that YouTube Shorts infringed on its established trademark. However, Google’s lawyer, Lindsay Lane, countered that it was clear the ‘Shorts’ platform belonged to YouTube, removing any chance of brand confusion.

Judge Michael Tappin ruled in favour of Google, stating that the use of ‘shorts’ by YouTube would not affect the distinctiveness or reputation of Shorts International’s trademark. The court’s decision brings the legal challenge to a close, dismissing all claims of infringement.

Google researchers discover first vulnerability using AI

Google researchers announced a breakthrough in cybersecurity, revealing they have discovered the first vulnerability using a large language model. This vulnerability, identified as an exploitable memory-safety issue in SQLite—a widely used open-source database engine—marks a significant milestone, as it is believed to be the first public instance of an AI tool uncovering a previously unknown flaw in real-world software.

The vulnerability was reported to SQLite developers in early October, who promptly addressed the issue on the same day it was identified. Notably, the bug was discovered before being included in an official release, ensuring that SQLite users were unaffected. Google emphasised this development as a demonstration of AI’s significant potential for enhancing cybersecurity defences.

The initiative is part of a collaborative project called Big Sleep, which involves Google Project Zero and Google DeepMind, stemming from previous efforts focused on AI-assisted vulnerability research.

Many companies, including Google, typically employ a technique known as ‘fuzzing,’ where software is tested by inputting random or invalid data to uncover vulnerabilities. However, Google noted that fuzzing often needs to improve in identifying hard-to-find bugs. The researchers expressed optimism that AI could help bridge this gap. ‘We see this as a promising avenue to achieve a defensive advantage,’ they stated.

The identified vulnerability was particularly intriguing because it was missed by existing testing frameworks, including OSS-Fuzz and SQLite’s internal systems. One of the key motivations behind the Big Sleep project is the ongoing challenge of vulnerability variants, with more than 40% of zero-day vulnerabilities identified in 2022 being variants of previously reported issues.

OpenAI adds search capabilities to ChatGPT

OpenAI has introduced new search functions to its popular ChatGPT, making it a direct competitor with Google, Microsoft’s Bing, and other emerging AI-driven search tools. Instead of launching a separate search engine, OpenAI chose to integrate search capabilities directly into ChatGPT, which will pull information from the web and relevant sources based on user questions.

Initially, ChatGPT’s search feature will be available to Plus and Team users, with plans to expand access to enterprise and educational users, as well as free users, in the coming months. OpenAI’s partnerships with major publishers like Condé Nast, Time, and the Financial Times aim to provide a rich pool of content for ChatGPT’s search.

This launch follows OpenAI’s selective testing of SearchGPT, an AI-based search prototype, earlier in the year. With its recent funding round boosting its valuation to an estimated $157 billion, OpenAI continues to strengthen its standing as a leading private AI company.

Indonesia bans Google and Apple smartphone sales

Indonesia has banned sales of Google’s Pixel smartphones due to regulations requiring a minimum of 40% locally manufactured components in devices sold within the country. This decision follows a similar ban on Apple’s iPhone 16 for failing to meet these content standards. According to Febri Hendri Antoni Arief, a spokesperson for Indonesia’s industry ministry, the rules aim to ensure fairness among investors by promoting local sourcing and partnerships.

Google stated that its Pixel phones are not officially distributed in Indonesia, though consumers can still import them independently if they pay applicable taxes. Officials are also considering measures to deactivate unauthorised imports to enforce compliance.

Despite Google and Apple not being leading brands in Indonesia, the market holds significant potential for global tech firms due to its large, tech-savvy population. However, Bhima Yudhistira from the Centre of Economic and Law Studies warned that these restrictions may deter foreign investment, creating what he calls ‘pseudo protectionism’ that could dampen investor sentiment in the region.

Microsoft accuses Google of running campaigns in Europe to undermine its reputation

Microsoft took the unusual step of publicly accusing Google of conducting ‘shadow campaigns’ in Europe to undermine Microsoft’s reputation with regulators. According to a blog post by Microsoft lawyer Rima Alaily, Google allegedly hired the advisory firm DGA Group to organise the Open Cloud Coalition, enlisting European cloud companies to act as a front while Google finances and directs its operations. The coalition, recently launched, purports to advocate for a ‘fair, competitive, and open cloud industry’ across Europe.

Alaily claims this is part of Google’s pattern of targeting Microsoft, citing Google’s involvement in the Coalition for Fair Software Licensing and a separate effort to sway Cloud Infrastructure Services Providers in Europe with significant financial offers to oppose Microsoft’s proposed antitrust settlement. The conflict adds fuel to the rivalry between the two tech giants, who already compete intensely across cloud infrastructure, online advertising, AI, and productivity software.

In response, a Google spokesperson noted that Microsoft’s cloud licensing practices create vendor lock-in, potentially stifling competition, cybersecurity, and innovation. Hours after Microsoft published accusations, the Open Cloud Coalition formally announced its formation, listing Google as a member and calling on European authorities to intensify scrutiny on cloud competition issues. In September, Google said it was filing a complaint against Microsoft with the European Commission over what Google considers unfair practices for licensing the Windows Server operating system. 

Russia issues $20 decillion fine to Google over YouTube channel ban amidst geopolitical tensions

Russia has slapped Google with an astronomical fine of $20 decillion, or 2 undecillion rubles, over the tech giant’s removal of Russian state-backed TV channels from YouTube. This 33-digit penalty, which has been mounting for four years since the initial court case in 2020, far exceeds Google’s entire market value and dwarfs even the global GDP, which stands at around $110 trillion.

Legal experts note that such an enormous fine is largely symbolic. Roman Yankovsky from the HSE Institute of Education explained that Russia has no real way to enforce this penalty internationally, as Google’s market cap sits at just over $2 trillion. The original case stemmed from YouTube’s ban of the Russian channel Tsargrad, following US sanctions imposed on the channel’s parent company.

While Google hasn’t commented, analysts view the fine as part of Russia’s broader pushback against Western tech companies and their content policies.

Google holds back on project Astra launch

Google has delayed the release of its next-generation AI agents, part of a project called Astra, until 2025 at the earliest. CEO Sundar Pichai outlined the timeline during the company’s Q3 earnings call, indicating that significant AI advancements are still under development.

Project Astra, first demonstrated at Google’s I/O conference in May 2024, aims to integrate AI with real-world understanding. Applications include smartphone apps capable of recognising objects through the camera and answering questions based on the environment. The project also envisions advanced AI assistants capable of carrying out tasks such as purchasing items or booking flights on behalf of users.

Reports earlier in October suggested that Google had planned to release a consumer version of an AI agent by December 2024. However, this release now seems unlikely unless the agent operates separately from Astra’s technologies. The decision reflects the challenges involved in developing reliable AI capable of complex interactions and real-time reasoning.

Companies like Anthropic have launched similar generative AI models with some success, but these models have also encountered difficulties in completing basic tasks. Google’s cautious approach may reflect a broader need to ensure functionality before releasing the technology to the public.

Kenya partners with Google to drive digital transformation and economic growth

Kenya partners with Google to enhance its digital infrastructure and empower its citizens in the evolving digital economy. The collaboration aims to create a robust digital ecosystem that meets current technological needs while anticipating future demands.

Kenya seeks to empower decision-makers with real-time insights by utilising AI and data-driven technologies, enhancing operational efficiency and facilitating effective governance. A key focus of the partnership is revitalising the tourism sector through Google’s technology, attracting more international visitors and showcasing the country’s unique landscapes, wildlife, and cultural heritage.

Additionally, prioritising cybersecurity measures is critical to building trust among citizens and ensuring a secure digital environment. The initiative will also promote skills training to equip Kenyans with essential digital competencies, fostering innovation and creativity while contributing to the overall growth of the nation’s economy.

Through this partnership, Kenya addresses immediate technological needs and lays a foundation for sustainable development in the digital space. By enhancing digital literacy and integrating advanced technologies, the collaboration positions Kenya as a leader in the region’s technological landscape.

Why does it matter?

The comprehensive approach ensures that as the digital economy expands, citizens are well-prepared to navigate the challenges and opportunities that arise, ultimately driving growth and resilience in the face of rapid technological advancements.