US

UK refuses to include Online Safety Act in US trade talks

The UK government has ruled out watering down the Online Safety Act as part of any trade negotiations with the US, despite pressure from American tech giants.

Speaking to MPs on the Science, Innovation and Technology Committee, Baroness Jones of Whitchurch, the parliamentary under-secretary for online safety, stated unequivocally that the legislation was ‘not up for negotiation’.

‘There have been clear instructions from the Prime Minister,’ she said. ‘The Online Safety Act is not part of the trade deal discussions. It’s a piece of legislation — it can’t just be negotiated away.’

Reports had suggested that President Donald Trump’s administration might seek to make loosening the UK’s online safety rules a condition of a post-Brexit trade agreement, following lobbying from large US-based technology firms.

However, Baroness Jones said the legislation was well into its implementation phase and that ministers were ‘happy to reassure everybody’ that the government is sticking to it.

The Online Safety Act will require tech platforms that host user-generated content, such as social media firms, to take active steps to protect users — especially children — from harmful and illegal content.

Non-compliant companies may face fines of up to £18 million or 10% of global turnover, whichever is greater. In extreme cases, platforms could be blocked from operating in the UK.

Mark Bunting, a representative of Ofcom, which is overseeing enforcement of the new rules, said the regulator would have taken action had the legislation been in force during last summer’s riots in Southport, which were exacerbated by online misinformation.

His comments contrasted with tech firms including Meta, TikTok and X, which claimed in earlier hearings that little would have changed under the new rules.

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Big Tech accused of undue influence over EU AI Code

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

The report, published by Corporate Europe Observatory and LobbyControl, claims firms such as Google, Microsoft, Meta, Amazon, and OpenAI were granted privileged access to shaping the voluntary code, which aims to help companies comply with the upcoming AI Act.

While 13 Commission-appointed experts led the process and over 1,000 participants were involved in feedback workshops, civil society groups and smaller stakeholders were largely side-lined.

Their input was often limited to reacting through emojis on an online platform instead of engaging in meaningful dialogue, the report found.

The US government also waded into the debate, sending a letter to the Commission opposing the Code. The Trump administration argued the EU’s digital regulations would stifle innovation.

Critics meanwhile say the EU’s current approach opens the door to Big Tech lobbying, potentially weakening the Code’s effectiveness just as it nears finalisation.

Although the Code was due in early May, it is now expected by June or July, just before new rules on general-purpose AI tools come into force in August.

The Commission has yet to confirm the revised timeline.

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Trump eases auto tariffs amid industry concerns

President Donald Trump has signed executive orders easing his controversial 25% tariffs on automobiles and parts, aiming to relieve pressure on carmakers struggling with rising costs.

The move follows warnings from manufacturers and analysts that the tariffs could inflate prices, harm domestic production and slow the industry’s recovery. Trump framed the measure as a temporary bridge, allowing automakers time to shift more manufacturing into the US instead of facing harsh penalties.

The changes include a short-term rebate system tied to the proportion of foreign parts used in vehicles assembled domestically. Automakers have been told they’ll have two years of reduced levies, giving them time to reconfigure supply chains and invest in new US-based facilities.

Officials claim announcements on job creation and plant expansion are expected soon, with companies like Stellantis, Ford, and GM praising the policy shift as a step toward competitiveness rather than an immediate fix.

However, some experts warn that the industry needs stability instead of unpredictable policy swings. They argue that relocating production takes years and billions in investment, not mere months.

With vehicle prices already high and supply chains stretched, economists question whether the tariff adjustments can offset the broader economic risks posed by Trump’s wider trade strategy.

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IBM commits billions to future US computing

IBM has unveiled a bold plan to invest $150 billion in the United States over the next five years. The move is designed to accelerate technological development while reinforcing IBM’s leading role in computing and AI.

A significant portion, over $30 billion, will support research and development, with a strong emphasis on manufacturing mainframes and quantum computers on American soil.

These efforts build on IBM’s legacy in the US, where it has long played a key role in advancing national infrastructure and innovation.

IBM highlighted the importance of its Poughkeepsie facility, which produces systems powering over 70% of global transaction value.

It also views quantum computing as a leap that could unlock solutions beyond today’s digital capabilities, bolstering economic growth, job creation, and national security.

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TikTok moves into Japanese E-commerce

Chinese social media giant TikTok is preparing to launch its online shopping service in Japan within the coming months, according to a report by the Nikkei newspaper.

The company plans to begin recruiting sellers soon for TikTok Shop, its e-commerce arm that has already made waves in other regions through livestream-based sales of a wide range of products, from footwear to cosmetics.

The move is part of TikTok’s broader strategy to grow internationally, especially while its future in the US remains uncertain. The platform recently expanded into France, Germany and Italy, pushing further into the European market instead of relying solely on existing user bases.

TikTok Shop is known for offering attractive discounts and allowing users to earn commissions by promoting items in live broadcasts.

In contrast, TikTok’s operations in the US continue to face political and regulatory hurdles. A law passed in 2024 requires ByteDance, TikTok’s China-based parent company, to sell off its US assets by January 19.

Although President Donald Trump indicated a deal might still happen, he also suggested any agreement could be delayed due to shifting dynamics in US-China trade relations.

Despite not immediately responding to media requests for comment, TikTok seems determined to strengthen its foothold in international markets.

By entering Japan’s e-commerce space, the company signals it intends to expand through business innovation and regional diversification instead of waiting for political clarity in the United States.

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UN prepares for possible shifts in US financial contributions

The United Nations faces renewed financial uncertainty as Donald Trump’s administration reviews all US support for international organisations. Trump has already slashed voluntary funding across multiple UN agencies and withdrawn from bodies like the World Health Organization and the Human Rights Council.

A leaked White House memo even suggests that cuts to assessed contributions—mandatory payments that keep core UN operations running—are on the table, sparking fears of a major financial crisis. While a complete US withdrawal from the UN is seen as unlikely, experts warn that the US could cripple the organisation by indefinitely halting payments, creating a gaping hole in its budget.

In 2023, the US contributed around $13 billion to the UN, covering about a quarter of its budget. The potential for missed payments raises concerns not just about immediate financial collapse, but about the future of multilateralism itself, drawing parallels to the League of Nations’ demise in the early 20th century.

The situation is complicated by internal divisions within the Republican Party, with some favouring a transactional approach to UN reform while others push a hardline, anti-multilateralist agenda. With peacekeeping budget negotiations looming and no US ambassador to the UN yet appointed, uncertainty dominates.

Meanwhile, UN Secretary-General António Guterres has launched the UN80 initiative, aiming to streamline operations and reassure sceptical donors, but it remains unclear if these reforms will be enough to placate Washington.

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Trump’s first 100 days show steady tech policy

In his blog post ‘Tech continuity in President Trump’s first 100 days,’ Jovan Kurbalija highlights that Trump’s approach to technology remained remarkably stable despite political turbulence in trade and environmental policy. Out of 139 executive orders, only nine directly addressed tech issues, focusing mainly on digital finance, AI leadership, and cybersecurity, reflecting a longstanding US tradition of business-centric tech governance.

Trump’s administration reinforced the idea of letting the tech sector evolve without heavy regulatory interference, even as international players like the EU pushed for stronger digital sovereignty measures. Content moderation policies saw a significant shift, notably with an executive order to curb federal involvement in online censorship, aligning with moves by platforms like Meta and X (formerly Twitter) toward deregulation.

Meanwhile, the prolonged TikTok saga underlined the growing intersection of tech and geopolitics, with ByteDance receiving a deadline extension to sell its US operations amid rising tensions with China. In AI policy, Trump steered away from Biden-era safety concerns, favouring economic competitiveness and educational reforms to strengthen American AI leadership, while public consultations revealed a broad range of industry perspectives.

Kurbalija also noted the administration’s steady hand in cybersecurity, focusing on technical infrastructure while minimising concern over misinformation, and in digital economy matters, where new tariffs and the removal of the de minimis import exemption pointed toward a potentially fragmented global internet. In the cryptocurrency sector, Trump adopted a crypto-friendly stance by creating a Strategic Bitcoin Reserve and easing previous regulatory constraints, though these bold moves sparked fears of financial volatility.

Despite these tactical shifts, Kurbalija concludes that Trump’s overarching tech policy remains one of continuity, firmly rooted in supporting private innovation while navigating increasingly strained global digital relations.

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Alibaba launches Qwen3 AI model

As the AI race intensifies in China, Alibaba has unveiled Qwen3, the latest version of its open-source large language model, aiming to compete with top-tier rivals like DeepSeek.

The company claims Qwen3 significantly improves reasoning, instruction following, tool use, and multilingual abilities compared to earlier versions.

Trained on 36 trillion tokens—double that of Qwen2.5—Qwen3 is available for free download on platforms like Hugging Face, GitHub, and Modelscope, instead of being limited to Alibaba’s own channels.

The model also powers Alibaba’s AI assistant, Quark, and will soon be accessible via API through its Model Studio platform.

Alibaba says the Qwen model family has already been downloaded over 300 million times, with developers creating more than 100,000 derivatives based on it.

With Qwen3, the company hopes to cement its place among the world’s AI leaders instead of trailing behind American and Chinese rivals.

Although the US still leads the AI field—according to Stanford’s AI Index 2025, it produced 40 major models last year versus China’s 15— Chinese firms like DeepSeek, Butterfly Effect, and now Alibaba are pushing to close the quality gap.

The global competition, it seems, is far from settled.

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Deepfake victims gain new rights with House-approved bill

The US House of Representatives has passed the ‘Take It Down’ Act with overwhelming bipartisan support, aiming to protect Americans from the spread of deepfake and revenge pornography.

The bill, approved by a 409-2 vote, criminalises the distribution of non-consensual intimate imagery—including AI-generated content—and now heads to President Donald Trump for his signature.

First Lady Melania Trump, who returned to public advocacy earlier this year, played a key role in supporting the legislation. She lobbied lawmakers last month and celebrated the bill’s passage, saying she was honoured to help guide it through Congress.

The White House confirmed she will attend the signing ceremony.

The law requires social media platforms and similar websites to remove such harmful content upon request from victims, instead of allowing it to remain unchecked.

Victims of deepfake pornography have included both public figures such as Taylor Swift and Alexandria Ocasio-Cortez, and private individuals like high school students.

Introduced by Republican Senator Ted Cruz and backed by Democratic lawmakers including Amy Klobuchar and Madeleine Dean, the bill reflects growing concern across party lines about online abuse.

Melania Trump, echoing her earlier ‘Be Best’ initiative, stressed the need to ensure young people—especially girls—can navigate the internet safely instead of being left vulnerable to digital exploitation.

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IBM commits $150 billion to US tech

IBM has announced a major investment plan worth $150 billion over the next five years to solidify its role as a global leader in advanced computing and quantum technologies.

The move also aims to support US economic growth by expanding local innovation and manufacturing, instead of relying heavily on overseas operations.

Over $30 billion of the funding will be directed towards research and development, helping IBM advance in areas such as mainframe and quantum computer production.

According to CEO Arvind Krishna, this commitment ensures that IBM remains the core hub of the world’s most sophisticated computing and AI capabilities. The company already operates the largest fleet of quantum computing systems and intends to continue building them in the US.

The announcement comes amid a wider shift among major tech firms investing heavily in US-based infrastructure.

Companies like Nvidia and Apple have each pledged massive sums—Nvidia alone is preparing to invest up to $500 billion—in response to President Donald Trump’s call for greater domestic manufacturing through policies like reciprocal tariffs.

By focusing investment at home instead of abroad, IBM joins a growing list of tech leaders aligning with government efforts to revitalise American industry while maintaining their global competitiveness in AI and next-generation computing.

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