Meta opens Facebook Marketplace to rivals after EU antitrust fine

Meta has announced a new programme allowing rival classified ad providers to list their adverts on Facebook Marketplace, following a €797 million EU antitrust fine for unfair competition.

The European Commission ruled in November that Meta had given its own service an unfair advantage by tying Marketplace to Facebook and imposing restrictive trading conditions on competitors.

The company has challenged the fine in court but says the new initiative, called the Facebook Marketplace Partner Program, is a response to EU competition concerns.

The programme was tested last month in Germany, France, and the United States in partnership with eBay. Under the scheme, third-party online classified ad services can display their listings on Facebook Marketplace alongside user-generated listings.

Meta maintains that the EU’s decision unfairly targets US companies, with CEO Mark Zuckerberg previously describing EU actions as akin to a “tariff regime.”

The European Commission is now reviewing whether Meta has fully complied with the ruling. If found lacking, the company could face further scrutiny and potential penalties. The move marks a significant shift in how Marketplace operates, potentially reshaping competition in the online classified ads sector.

For more information on these topics, visit diplomacy.edu.

Trump and Musk’s X reach $10 million lawsuit settlement

Elon Musk’s platform X, formerly Twitter, has agreed to pay about $10 million to settle a lawsuit filed by Donald Trump. The case arose after Trump’s account was suspended following the storming of the US Capitol in January 2021. This marks the second social media settlement with Trump after Meta Platforms agreed to pay $25 million last month.

Trump filed lawsuits in 2021 against major platforms, including Facebook, X, and YouTube, alleging they unlawfully silenced conservative voices. Despite Trump’s reported close relationship with Musk, who contributed $250 million to his campaign, his legal team chose to pursue the settlement with X.

Musk, who leads Tesla and chairs the Department of Government Efficiency, a White House initiative, has not commented on the matter. Trump’s attorneys are reportedly also seeking a settlement with Google over his YouTube ban.

Requests for comment from X, Alphabet, and the White House remain unanswered. Settlements highlight the continuing legal battles between Trump and major tech companies over content moderation policies.

For more information on these topics, visit diplomacy.edu.

Germany investigates Apple’s App Tracking Transparency

Germany‘s Federal Cartel Office has expressed concerns over Apple’s App Tracking Transparency (ATT) feature, which could potentially violate antitrust rules for large tech companies. The regulator’s preliminary findings come after a detailed three-year investigation into the feature, which allows iPhone users to block advertisers from tracking their activities across multiple apps. The investigation is part of broader scrutiny over the influence of major tech companies on the digital advertising ecosystem.

In a statement released on Thursday, the Federal Cartel Office noted that Apple now has the opportunity to respond to the allegations. The authority’s concerns focus on whether ATT unfairly impacts the business models of other companies that rely on data-driven advertising, such as Meta Platforms, app developers, and startups. These businesses argue that the feature could severely limit their ability to target users with personalised ads, affecting their revenue generation strategies.

Apple has defended ATT as a crucial privacy tool that empowers users to have more control over their data. The company argues that the feature helps to protect user privacy by giving individuals the option to block third-party tracking. However, its critics, particularly in the advertising industry, contend that ATT has created an uneven playing field, disadvantaging businesses that depend on targeted advertising. The outcome of this investigation could have significant implications for Apple’s business practices in Europe.

For more information on these topics, visit diplomacy.edu.

Positron raises millions to challenge Nvidia in AI chips

AI chip startup Positron has raised $23.5 million in a bid to compete with industry leader Nvidia. The Reno-based company, which manufactures its chips in Arizona, claims its processors consume less than a third of the power of Nvidia’s high-performance H100 chips while maintaining similar capabilities. Investors in the funding round included Valor Equity Partners, Atreides Management, and Flume Ventures.

Positron’s chips are designed for AI inference, the stage where trained AI models are used rather than developed. While demand is currently higher for training chips, analysts predict that inference chips could soon become the more sought-after option as AI applications expand. This shift has led major players such as OpenAI, Google, and Meta to invest heavily in AI infrastructure, with spending expected to reach tens of billions of dollars this year.

Although Nvidia dominates roughly 80% of the AI chip market, rising costs and concerns over reliance on a single supplier have pushed major tech firms to seek alternatives. With its latest funding, Positron positions itself as a strong contender in the growing US and global AI chip industry, offering a more energy-efficient option for future AI applications.

For more information on these topics, visit diplomacy.edu

Amazon removes diversity references as companies scale back DEI policies

Amazon has removed references to ‘inclusion and diversity‘ from its latest annual report, signalling a shift away from diversity, equity and inclusion (DEI) initiatives. The change follows an internal memo from December, in which Amazon announced it was winding down certain DEI programmes by the end of 2024. Instead of maintaining separate initiatives, the company plans to integrate DEI efforts into broader corporate processes.

Tech giants such as Meta and Google have also been scaling back diversity programmes, facing pressure from conservative groups threatening legal action. Disney has similarly adjusted its DEI approach, removing mentions of its ‘Reimagine Tomorrow‘ programme while introducing an initiative to hire US military veterans. The trend reflects a broader corporate retreat from diversity-focused policies that gained traction after the 2020 protests against racial injustice.

Political opposition to DEI has grown, with President Donald Trump’s administration vowing to eliminate diversity policies in the private sector. In response, attorneys general from twelve US states, including New York and California, have reaffirmed their commitment to enforcing civil rights protections against workplace discrimination. The debate over DEI’s future remains contentious as businesses and lawmakers continue to clash over its role in corporate America.

UK gambling websites breach data protection laws

Gambling companies are under investigation for covertly sharing visitors’ data with Facebook’s parent company, Meta, without proper consent, breaching data protection laws. A hidden tracking tool embedded in numerous UK gambling websites has been sending data, such as the web pages users visit and the buttons they click, to Meta, which then uses this information to profile individuals as gamblers. This data is then used to target users with gambling-related ads, violating the legal requirement for explicit consent before sharing such information.

Testing of 150 gambling websites revealed that 52 automatically transmitted user data to Meta, including large brands like Hollywoodbets, Sporting Index, and Bet442. This data sharing occurred without users having the opportunity to consent, resulting in targeted ads for gambling websites shortly after visiting these sites. Experts have raised concerns about the industry’s unlawful practices and called for immediate regulatory action.

The Information Commissioner’s Office (ICO) is reviewing the use of tracking tools like Meta Pixel and has warned that enforcement action could be taken, including significant fines. Some gambling companies have updated their websites to prevent automatic data sharing, while others have removed the tracking tool altogether in response to the findings. However, the Gambling Commission has yet to address the issue of third-party profiling used to recruit new customers.

The misuse of data in this way highlights the risks of unregulated marketing, particularly for vulnerable individuals. Data privacy experts have stressed that these practices not only breach privacy laws but could also exacerbate gambling problems by targeting individuals who may already be at risk.

Meta partners with UNESCO to improve AI language technology

Meta has launched a new initiative with UNESCO to enhance AI language recognition and translation, focusing on underserved languages. The Language Technology Partner Program invites collaborators to provide speech recordings, transcriptions, and translated texts to help train AI models. The finalised models will be open-sourced, allowing broader accessibility and research.

The government of Nunavut in Canada is among the early partners, contributing recordings in Inuktut, a language spoken by some Indigenous communities. Meta is also releasing an open-source machine translation benchmark to evaluate AI performance across seven languages, available on Hugging Face.

While Meta presents the initiative as a philanthropic effort, improved AI language tools could benefit the company’s broader goals. Meta AI continues to expand multilingual support, including automatic translation for content creators. However, the company has faced criticism for its handling of non-English content, with reports highlighting inconsistencies in content moderation across languages.

DW Newsletter # 198 – DeepSeek, a new contender in the AI arena

 Page, Text

Dear readers,

When DeepSeek first emerged in late 2023, it seemed like another ambitious startup in the crowded AI landscape. Founded by Chinese hedge fund manager Liang Wenfeng, DeepSeek began with modest attention, releasing AI models that showed promise but were overshadowed by industry giants like OpenAI, Meta, and Google. However, in December 2024, the company catapulted into the global spotlight with the launch of DeepSeek R1, an AI model that shook the foundations of the tech world. This development was not just a technological marvel but a geopolitical wake-up call.

DeepSeek R1 stunned the industry with its ability to rival the capabilities of market leaders, achieving near-parity with models like GPT-4 and Gemini. What set it apart, however, was its shockingly low cost. While US companies like Meta and OpenAI pour billions into AI research and infrastructure, DeepSeek reportedly developed its model for just $5.6 million, leveraging less advanced chips that bypassed US export restrictions. The revelation underscored a significant shift in the AI arms race: resourcefulness could rival raw financial power. The app quickly became the most downloaded on Apple’s App Store, disrupting markets and causing US tech stocks to shed nearly $1 trillion in value within days.

 Animal, Fish, Sea Life, Shark, Bird

The conversation shifted to national security as the US government scrambled to respond. DeepSeek’s emergence directly challenged US dominance in AI and called into question the effectiveness of export restrictions imposed by the Biden administration. Returning for his second term, President Donald Trump convened a high-stakes meeting with Nvidia CEO Jensen Huang to discuss tightening chip export policies. Nvidia, whose shares dropped 17% after DeepSeek’s success, found itself at the centre of the geopolitical battle, with its cutting-edge AI chips both coveted and restricted.

The Trump administration is now contemplating additional measures to curb China’s access to advanced technology, including halting Nvidia’s H20 chip exports, initially designed to comply with export controls. Lawmakers from both parties are urging a thorough review of US export policies in light of DeepSeek’s achievements. Reports have even suggested that DeepSeek may have illegally obtained US-restricted chips, prompting investigations by the Commerce Department.

For its part, DeepSeek has embraced the controversy. Liang Wenfeng has framed the company’s success as a triumph of innovation over-dependence on Western technology. However, questions about the company’s transparency linger. Critics argue that DeepSeek’s low-cost claims omit the broader expenses of research and development, while concerns about its alignment with the Chinese government’s strategic goals have fueled scepticism in the West. The fact that DeepSeek’s earlier models censored politically sensitive content only deepens fears about its role in state-led narratives.

DeepSeek’s rise has challenged assumptions about the cost and accessibility of cutting-edge technology, prompting both excitement and unease. While the US tightens its policies and grapples with its response, DeepSeek’s trajectory is proof that the race for AI dominance is no longer confined to Silicon Valley; it’s now a high-stakes game of global power and influence.

Related news:

deepseek nvidia

US President Donald Trump and Nvidia CEO Jensen Huang discussed the challenges posed by China’s advancements in AI, particularly focusing on the impact of Chinese AI company DeepSeek.

Stay updated on DeepSeek developments!

In other news..

DeepSeek sparks AI investment surge in China

Chinese investors are flocking to AI-related stocks, betting that the success of home-grown startup DeepSeek will propel China to the forefront of the AI race amid the escalating Sino-US technology conflict.

Security concerns lead to Australian ban on DeepSeek

Concern over potential security threats has prompted Australia to ban Chinese AI startup DeepSeek from all government devices, joining a growing list of nations restricting its use.

Visit dig.watch now for the latest updates and other topics!

Marko and the Digital Watch team


Highlights from the week of 31-07 February 2025

eu flags in front of european commission

An LLM project to enhance multilingual AI accessibility.

cryptocurrency in the us

Lawmakers aim to clarify cryptocurrency regulations as the industry continues to expand.

deepseek

Domestic technological innovation amid global competition.

flag of usa and china on cracked concrete wall background

The trade war is raging on through retaliatory measures targeting major businesses.

ai brain intelligent ai technology digital graphic design electronics ai machine learning robot human brain science artificial intelligence technology innovation futuristic

Global collaboration on sustainable and inclusive AI development amid geopolitical tensions.

salesforce jobs layoffs ai

Affected employees can apply for other roles, though the company has not specified which divisions will see the biggest cuts.

trump tiktok ban sale bytedance

The app’s future in the US remains uncertain.

scroll

Hidden text unveiled with AI and X-ray tech.

eu sets rules for e commerce

These changes could have significant financial and operational implications for the e-commerce companies involved.

whatsapp 892926 1280

A recent investigation has revealed that dozens of WhatsApp users across the globe were targeted by advanced spyware designed to infiltrate their devices without any action on their part.

deepseek

The app sparks national pride and curiosity in the country.


Reading corner

BLOG featured image 2025 20
www.diplomacy.edu

Imagine 100,000 people standing in utmost silence for 15 minutes, with their phone flashlights pointed at the sky. They pay tribute to the 15 innocent people who died under the rubble of the collapsed, newly reconstructed eave of the railway station in the city of Novi Sad, Serbia. 100,000 students and supporting citizens, standing still and united in palpable silence, in Belgrade, the capital of Serbia. Those present witnessed a moment that sent a chill up their spine.

download 10 1
dig.watch

In this digitally porous media world, information spreads faster than ever, empowering creativity but also unleashing avalanches of misinformation and deepfakes that blur reality. High-profile clashes, from Novak Djokovic boycotting…

BLOG featured image 2025 18
www.diplomacy.edu

Part 2 examines the UN’s funding paradox: 128 nations contributing 2.2% of the budget can outvote major donors. Can China replace US leadership? Is Security Council reform urgent? Explore power shifts, moral authority, and the future of multilateralism.

BLOG DeepSeek some trade related aspects of the breakthrough
www.diplomacy.edu

DeepSeek’s open-source approach promotes accountability and allows developing countries to leverage AI solutions, potentially levelling the playing field. The shift towards open-source models may also encourage smaller players to create tailored AI systems, fostering a collaborative environment rather than a competitive race. Consequently, trade and technological diffusion can significantly enhance global economic growth and innovation.

BLOG featured image 2025 19
www.diplomacy.edu

What if we could overcome overconsumption? Could Wikipedia’s approach of respect and collaboration offer a solution? Aldo Matteucci writes.

Italian activist targeted by spyware, Meta warns

Luca Casarini, a prominent Italian migrant rescue activist, was warned by Meta that his phone had been targeted with spyware. The alert was received through WhatsApp, the same day Meta accused surveillance firm Paragon Solutions of using advanced hacking methods to steal user data. Paragon, reportedly American-owned, has not responded to the allegations.

Casarini, who co-founded the Mediterranea Saving Humans charity, has faced legal action in Italy over his rescue work. He has also been a target of anti-migrant media and previously had his communications intercepted in a case related to alleged illegal immigration. He remains unaware of who attempted to hack his device or whether the attack had judicial approval.

The revelation follows a similar warning issued to Italian journalist Francesco Cancellato, whose investigative news outlet, Fanpage, recently exposed far-right sympathies within Prime Minister Giorgia Meloni’s political youth wing. Italy’s interior ministry has yet to comment on the situation.

Meta to restrict high-risk AI development

Meta has introduced a new policy framework outlining when it may restrict the release of its AI systems due to security concerns. The Frontier AI Framework categorises AI models into ‘high-risk’ and ‘critical-risk’ groups, with the latter referring to those capable of aiding catastrophic cyber or biological attacks. If an AI system is classified as a critical risk, Meta will suspend its development until safety measures can be implemented.

The company’s evaluation process does not rely solely on empirical testing but also considers input from internal and external researchers. This approach reflects Meta’s belief that existing evaluation methods are not yet robust enough to provide definitive risk assessments. Despite its historically open approach to AI development, the company acknowledges that some models could pose unacceptable dangers if released.

By outlining this framework, Meta aims to demonstrate its commitment to responsible AI development while distinguishing its approach from other firms with fewer safeguards. The policy comes amid growing scrutiny of AI’s potential misuse, especially as open-source models gain wider adoption.