Unexplained drone sightings across New Jersey have led the Federal Aviation Administration (FAA) to impose a temporary ban on drone flights over critical infrastructure in 22 towns, including Jersey City, Elizabeth, and Camden. The restriction, effective until 17 January, limits drone activity within one nautical mile up to 400 feet in affected areas. Officials cite ‘special security reasons’ for the measures, even warning of potential use of deadly force against threatening unmanned aircraft.
The US FAA first implemented similar restrictions in late November around specific sites, but the recent expansion reflects growing concern. While a joint statement from the FAA, FBI, and Department of Homeland Security reassures that the drones do not present an immediate national security risk, authorities remain tight-lipped about their origin. Many sightings have been attributed to commercial or hobbyist drones, law enforcement aircraft, and even misidentified stars.
Despite these reassurances, public anxiety persists, fuelled by weeks of speculation and conspiracy theories in the New York City metro area. Lawmakers are pressing for new regulations to improve drone tracking and accountability, as officials scramble to address the unease surrounding this enigmatic aerial phenomenon.
Despite the incoming administration of Donald Trump, the US shift towards renewable energy is expected to continue, according to Mitsubishi UFJ Financial Group’s (MUFG) Americas CEO, Kevin Cronin. While Trump’s policies may favour fossil fuels, Cronin emphasised that renewable energy projects, which take years to plan and build, remain integral to the bank’s strategy regardless of political changes. MUFG, Japan’s largest banking group, remains committed to financing these long-term projects.
The bank’s position has been bolstered by President Joe Biden’s Inflation Reduction Act, which supports infrastructure and renewable investments. However, the real growth opportunity now lies in the booming demand for energy from data centres, driven by AI. Data centre capacity is expected to double by 2030, making reliable energy — both renewable and fossil-based — critical for future expansion.
MUFG has maintained its lead in project finance for 14 consecutive years and is adapting to state-level variations in energy policy. Since selling its retail banking arm in 2022, MUFG has focused on wholesale banking and technology-related sectors, even hiring talent from the collapsed Silicon Valley Bank to strengthen its position. The US market remains a cornerstone of MUFG’s global profits, contributing nearly 30% of its earnings in the last fiscal year.
Democratic Senator Ed Markey and Republican Senator Rand Paul are urging President Joe Biden to extend the January 19 deadline for ByteDance, the China-based owner of TikTok, to sell the app’s US assets or face a nationwide ban. The Supreme Court is set to hear arguments on January 10 regarding ByteDance’s legal challenge, which claims the law mandating the sale violates First Amendment free speech rights. In their letter to Biden, the senators highlighted the potential consequences for free expression and the uncertain future of the law.
The controversial legislation, signed by Biden in April, was passed due to national security concerns. The Justice Department asserts that TikTok’s vast data on 170 million American users poses significant risks, including potential manipulation of content. TikTok, however, denies posing any threat to US security.
The debate has split lawmakers. Senate Minority Leader Mitch McConnell supports enforcing the deadline, while President-elect Donald Trump has softened his stance, expressing support for TikTok and suggesting he would review the situation. The deadline falls just a day before Trump is set to take office on January 20, adding to the uncertainty surrounding the app’s fate.
The US Department of Commerce has asked Nvidia to investigate how its AI chips ended up in China despite ongoing export restrictions, The Information reported. In response, Nvidia has called on major distributors like Super Micro and Dell to conduct customer inspections in Southeast Asia. Nvidia chips, embedded in server products, have allegedly been smuggled to Chinese entities through various schemes, including duplicating or altering serial numbers.
Super Micro and Dell stated they strictly enforce export regulations and will terminate relationships with partners who violate these controls. Super Micro also confirmed it investigates unauthorised exports and complies with all US export laws.
These developments come as the Biden administration intensifies its crackdown on chip sales to China. Despite the broadened restrictions on high-end AI chips in 2023, Chinese institutions reportedly acquired Nvidia chips through resellers. Earlier this month, the US further limited semiconductor exports to 140 additional companies, underscoring efforts to control the flow of advanced technology to China.
The US Supreme Court has agreed to review a case involving TikTok and its Chinese parent company, ByteDance, in a challenge against a law requiring the app’s sale or a ban in the US by January 19. The court will hear arguments on 10 January but has not yet decided on TikTok’s request to block the law, which it claims violates free speech rights under the First Amendment. TikTok, used by 170 million Americans, argues the law would harm its operations and user base, while US officials cite national security concerns over data access and content manipulation.
The Justice Department has labelled TikTok a significant security risk due to its Chinese ownership, while TikTok denies posing any threat and accuses lawmakers of speculation. The law, passed in April and signed by President Biden, would ban the app unless ByteDance divests its ownership. The company warns that even a temporary shutdown could damage its US market share, advertising revenue, and ability to recruit creators and staff.
The case also reflects heightened tensions between the US and China over technology and trade policies. TikTok’s fate could set a precedent for the treatment of other foreign-owned apps, raising questions about free speech and digital commerce. The Supreme Court’s decision may have far-reaching implications for the platform’s future and US-China relations.
The US Commerce Department has finalised a $458 million grant for SK Hynix to support an advanced chip packaging plant and AI research facility in Indiana. The South Korean company, a key supplier for Nvidia, plans to invest $3.87 billion in the project, which will produce high-bandwidth memory chips used in AI systems. The government will also provide $500 million in loans as part of the deal.
The Indiana facility is expected to create 1,000 jobs and strengthen the US semiconductor supply chain. SK Hynix’s CEO, Kwak Noh-Jung, highlighted the importance of building a resilient AI chip infrastructure in the United States. This grant is part of the $39 billion program approved by Congress in 2022 to boost domestic semiconductor production.
The Commerce Department has issued grants to major chipmakers like Intel, Micron, and TSMC. With the SK Hynix deal complete, only Samsung’s $6.4 billion award remains pending. The initiative aims to bolster US leadership in semiconductor technology and reduce reliance on foreign manufacturing.
Instagram is poised to account for more than half of Meta Platforms’ US advertising revenue by 2025, according to research firm Emarketer. This anticipated growth is largely attributed to the platform’s enhanced monetisation strategies, particularly its focus on short-form video content such as Reels, which competes directly with TikTok and YouTube Shorts.
The increasing engagement with Reels has attracted marketers seeking to capitalise on the popularity of short videos, leading to a significant rise in ad placements. In 2024, Instagram’s ad revenue was primarily derived from its Feed (53.7%) and Stories (24.6%). However, the combined revenue share from Explore, Reels, and potentially Threads is projected to grow to 9.6% in 2025.
Jasmine Enberg, principal analyst at Emarketer, notes that users now spend nearly two-thirds of their Instagram time watching videos, underscoring the platform’s shift towards video-centric content. Additionally, if a TikTok ban were to be enforced in the US, Reels could become a prominent alternative for advertisers, further boosting Instagram’s market share.
Attorneys for Arm and Qualcomm are clashing in a US federal court this week over a dispute that could shape the future of the chip industry. The case centres on whether Qualcomm’s acquisition of Nuvia in 2021 for $1.4 billion allowed the transfer of computing core designs that build on Arm’s architecture. Arm, whose technology dominates the smartphone market and is increasingly used in laptops, argues that Nuvia’s designs are derivatives of its intellectual property and fall under licensing restrictions.
At the heart of the trial is the testimony of Gerard Williams, a former Apple executive who founded Nuvia. While Arm’s attorneys contend that Nuvia’s work is derived from Arm’s technology, Williams insisted the influence of Arm’s architecture was minimal, estimating it made up ‘one percent or less’ of Nuvia’s final designs. Qualcomm’s lawyers are defending their right to use Nuvia’s cores, highlighting how the company customises and extends Arm’s technology.
The outcome of this trial could impact Qualcomm’s ambitions in the laptop market, where it partners with Microsoft to compete against Apple’s custom chips. With potential losses of $50 million annually in licensing fees for Arm at stake, both companies are vying for control over the boundaries of intellectual property rights. A verdict could come as early as this week, and Qualcomm’s CEO Cristiano Amon may soon take the stand.
US authorities are weighing a potential ban on TP-Link Technology Co., a Chinese router manufacturer, over national security concerns, following reports linking its home internet routers to cyberattacks. According to the Wall Street Journal, the US government is investigating whether TP-Link routers could be used in cyber operations targeting the US, citing concerns raised by lawmakers and intelligence agencies.
In August, two US lawmakers urged the Biden administration to examine TP-Link and its affiliates for possible links to cyberattacks, highlighting fears that the company’s routers could be exploited in future cyber operations. The Commerce, Defence, and Justice departments have launched separate investigations into the company, with reports indicating that a ban on the sale of TP-Link routers in the US could come as early as next year. As part of the investigations, the Commerce Department has reportedly subpoenaed the company.
TP-Link has been under scrutiny since the US Cybersecurity and Infrastructure Agency (CISA) flagged vulnerabilities in the company’s routers, that could potentially allow remote code execution. This comes amid heightened concerns that Chinese-made routers could be used by Beijing to infiltrate and spy on American networks. The US government, along with its allies and Microsoft, has also uncovered a Chinese government-linked hacking campaign, Volt Typhoon, which targeted critical US infrastructure by taking control of private routers.
The Commerce, Defence, and Justice departments, as well as TP-Link, did not immediately respond to requests for comment.
Basis, an AI startup, has secured $34 million in a Series A funding round to develop its AI-powered accounting automation product. The round, led by Khosla Ventures, attracted a diverse group of investors, including NFDG (the AI-focused fund managed by former GitHub CEO Nat Friedman and ex-Apple executive Daniel Gross), OpenAI board members Larry Summers and Adam D’Angelo, and Google’s chief scientist Jeff Dean.
The New York-based company is part of a growing group of AI startups creating autonomous agents—systems capable of performing tasks independently. Basis’ product, designed specifically for accounting firms, can handle various workflows such as entering transactions, verifying data accuracy, and integrating with popular ledger systems like QuickBooks and Xero. The product has already shown promising results, with large firms like Wiss reporting a 30% reduction in time spent on manual accounting tasks. Basis functions similarly to a junior accountant, allowing staff to focus on reviewing the AI’s work rather than completing tasks themselves.
Basis also aims to address the critical shortage of accountants in the US, exacerbated by retiring baby boomers and a decline in younger generations entering the profession. According to the Bureau of Labor Statistics, the accounting sector employs over 3 million people, but the number of candidates sitting for the CPA exam has fallen by 33% between 2016 and 2021. The shortage has led many firms to outsource work to countries like India. Moreover, with AI’s potential to automate tasks traditionally performed by accountants, the sector is expected to experience significant disruption. A 2023 OpenAI paper suggested that automation powered by large language models could eventually impact all accountant and auditor roles.
