US

Courts consider limits on AI evidence

A newly proposed rule by the Federal Judicial Conference could reshape how AI-generated evidence is treated in court. Dubbed Rule 707, it would allow such machine-generated evidence to be admitted only if it meets the same reliability standards required of expert testimony under Rule 702.

However, it would not apply to outputs from simple scientific instruments or widely used commercial software. The rule aims to address concerns about the reliability and transparency of AI-driven analysis, especially when used without a supporting expert witness.

Critics argue that the limitation to non-expert presentation renders the rule overly narrow, as the underlying risks of bias and interpretability persist regardless of whether an expert is involved. They suggest that all machine-generated evidence in US courts should be subject to robust scrutiny.

The Advisory Committee is also considering the scope of terminology such as ‘machine learning’ to prevent Rule 707 from encompassing more than intended. Meanwhile, a separate proposed rule regarding deepfakes has been shelved because courts already have tools to address the forgery.

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China creates AI to detect real nuclear warheads

Chinese scientists have created the world’s first AI-based system capable of identifying real nuclear warheads from decoys, marking a significant step in arms control verification.

The breakthrough, developed by the China Institute of Atomic Energy (CIAE), could strengthen Beijing’s hand in stalled disarmament talks, although it also raises difficult questions about AI’s growing role in managing weapons of mass destruction.

The technology builds on a long-standing US–China proposal but faced key obstacles: how to train AI using sensitive nuclear data, gain military approval without risking secret leaks, and persuade sceptical nations like the US to move past Cold War-era inspection methods.

So far, only the AI training has been completed, with the rest of the process still pending international acceptance.

The AI system uses deep learning and cryptographic protocols to analyse scrambled radiation signals from warheads behind a polythene wall, ensuring the weapons’ internal designs remain hidden.

The machine can verify a warhead’s chain-reaction potential without accessing classified details. According to CIAE, repeated randomised tests reduce the chance of deception to nearly zero.

While both China and the US have pledged not to let AI control nuclear launch decisions, the new system underlines AI’s expanding role in national defence.

Beijing insists the AI can be jointly trained and sealed before use to ensure transparency, but sceptics remain wary of trust, backdoor access and growing militarisation of AI.

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Clean energy projects in the US stall amid tax credit uncertainty

US clean energy companies are facing mounting uncertainty as Congress weighs deep cuts to green energy tax credits. Projects like HIF Global’s proposed $7bn e-methanol facility in Texas are now in limbo, with developers warning that the loss of hydrogen subsidies could stall investment decisions.

The plant would convert green hydrogen and captured carbon into low-emission fuel for global aviation and shipping, but without support, firms may shift focus to other markets.

The Biden-era Inflation Reduction Act (IRA) and Infrastructure Investment and Jobs Act (IIJA) had sparked billions in green investment, especially in Republican-led states.

However, the Trump administration’s rollback efforts and proposed budget cuts could sharply reduce or terminate credits for clean electricity, electric vehicles, and energy-efficient home improvements. Agencies have paused or delayed funding while legal disputes continue, worsening industry-wide uncertainty.

Clean energy investment fell for the second consecutive quarter, according to new data, with $6.9bn in battery manufacturing projects cancelled.

Developers now face rising tariffs, high interest rates, and unclear policy direction, leading to declining confidence in the market. Firms are adjusting strategies to appeal to stakeholders beyond climate goals, focusing instead on local benefits and energy security.

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EU says US tech firms censor more

Far more online content is removed under US tech firms’ terms and conditions than under the EU’s Digital Services Act (DSA), according to Tech Commissioner Henna Virkkunen.

Her comments respond to criticism from American tech leaders, including Elon Musk, who have labelled the DSA a threat to free speech.

In an interview with Euractiv, Virkkunen said recent data show that 99% of content removals in the EU between September 2023 and April 2024 were carried out by platforms like Meta and X based on their own rules, not due to EU regulation.

Only 1% of cases involved ‘trusted flaggers’ — vetted organisations that report illegal content to national authorities. Just 0.001% of those reports led to an actual takedown decision by authorities, she added.

The DSA’s transparency rules made those figures available. ‘Often in the US, platforms have more strict rules with content,’ Virkkunen noted.

She gave examples such as discussions about euthanasia and nude artworks, which are often removed under US platform policies but remain online under European guidelines.

Virkkunen recently met with US tech CEOs and lawmakers, including Republican Congressman Jim Jordan, a prominent critic of the DSA and the DMA.

She said the data helped clarify how EU rules actually work. ‘It is important always to underline that the DSA only applies in the European territory,’ she said.

While pushing back against American criticism, Virkkunen avoided direct attacks on individuals like Elon Musk or Mark Zuckerberg. She suggested platform resistance reflects business models and service design choices.

Asked about delays in final decisions under the DSA — including open cases against Meta and X — Virkkunen stressed the need for a strong legal basis before enforcement.

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Chinese tech firms thrive amid US curbs

Nvidia CEO Jensen Huang has raised concerns that US export restrictions are accelerating the growth of Chinese AI firms, making them more competitive. In a recent interview, Huang highlighted that companies like Huawei — long blacklisted by the US — have become ‘formidable’ rivals.

The restrictions have hit Nvidia hard, with the company projecting an $8 billion revenue loss this quarter due to the limited access to the Chinese market, historically its largest for chips. The Biden administration’s AI diffusion rule, aimed at controlling the spread of advanced AI technologies, had already drawn criticism from Huang before being partially rolled back by the Trump administration in May.

Yet, Nvidia still faces tough restrictions, including a ban on selling even its downgraded H20 chip to China. The company was recently notified that it would need a special license to export the chip, leaving it with no viable alternative for the Chinese market.

Huang warned that efforts to keep cutting-edge AI tech out of China have largely backfired, as Chinese firms are finding workarounds and quickly catching up.

‘They’re doubling or quadrupling capabilities every year,’ he noted, stressing that the performance of Huawei’s latest AI chip now rivals Nvidia’s once-leading H200.

Despite Nvidia’s strong recent performance, Huang emphasised the long-term importance of re-engaging with China, home to the world’s largest community of AI researchers. He urged US policymakers to reconsider their approach, advocating for broader access to American AI technology to maintain leadership and influence in the global AI ecosystem.

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App Store revenue climbs amid regulatory pressure

Apple’s App Store in the United States generated more than US$10 billion in revenue in 2024, according to estimates from app intelligence firm Appfigures.

This marks a sharp increase from the US$4.76 billion earned in 2020 and reflects the growing importance of Apple’s services business. Developers on the US App Store earned US$33.68 billion in gross revenue last year, receiving US$23.57 billion after Apple’s standard commission.

Globally, the App Store brought in an estimated US$91.3 billion in revenue in 2024. Apple’s dominance in app monetisation continues, with App Store publishers earning an average of 64% more per quarter than their counterparts on Google Play.

In subscription-based categories, the difference is even more pronounced, with iOS developers earning more than three times as much revenue per quarter as those on Android.

Legal scrutiny of Apple’s longstanding 30% commission model has intensified. A US federal judge recently ruled that Apple violated court orders by failing to reform its App Store policies.

While the company maintains that the commission supports its secure platform and vast user base, developers are increasingly pushing back, arguing that the fees are disproportionate to the services provided.

The outcome of these legal and regulatory pressures could reshape how app marketplaces operate, particularly in fast-growing regions like Latin America and Africa, where app revenue is expected to surge in the coming years.

As global app spending climbs toward US$156 billion annually, decisions around payment processing and platform control will have significant financial implications.

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Iranian hacker admits role in Baltimore ransomware attack

An Iranian man has pleaded guilty to charges stemming from a ransomware campaign that disrupted public services across several US cities, including a major 2019 attack in Baltimore.

The US Department of Justice announced that 37-year-old Sina Gholinejad admitted to computer fraud and conspiracy to commit wire fraud, offences that carry a maximum combined sentence of 30 years.

Rather than targeting private firms, Gholinejad and his accomplices deployed Robbinhood ransomware against local governments, hospitals and non-profit organisations from early 2019 to March 2024.

The attack on Baltimore alone resulted in over $19 million in damage and halted critical city functions such as water billing, property tax collection and parking enforcement.

Instead of simply locking data, the group demanded Bitcoin ransoms and occasionally threatened to release sensitive files. Cities including Greenville, Gresham and Yonkers were also affected.

Although no state affiliation has been confirmed, US officials have previously warned of cyber activity tied to Iran, allegations Tehran continues to deny.

Gholinejad was arrested at Raleigh-Durham International Airport in January 2025. The FBI led the investigation, with support from Bulgarian authorities. Sentencing is scheduled for August.

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OpenAI expands in Asia with new Seoul branch

OpenAI is set to open a new office in Seoul, responding to surging demand for its AI tools in South Korea—the country with the second-highest number of paid ChatGPT subscribers after the US.

The move follows the establishment of a South Korean unit and marks OpenAI’s third office in Asia, following Tokyo and Singapore.

Jason Kwon, OpenAI’s chief strategy officer, said Koreans are not only early adopters of ChatGPT but also influential in how the technology is being applied globally. Instead of just expanding user numbers, OpenAI aims to engage local talent and governments to tailor its tools for Korean users and developers.

The expansion builds on existing partnerships with local firms like Kakao, Krafton and SK Telecom. While Kwon did not confirm plans for a South Korean data centre, he is currently touring Asia to strengthen AI collaborations in countries including Japan, India, and Australia.

OpenAI’s global growth strategy includes infrastructure projects like the Stargate data centre in the UAE, and its expanding footprint in Asia-Pacific follows similar moves by Google, Microsoft and Meta.

The initiative has White House backing but faces scrutiny in the US over potential exposure to Chinese rivals.

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AI regulation fight heats up over US federal moratorium

The US House of Representatives has passed a budget bill containing a 10-year moratorium on the enforcement of state-level artificial intelligence laws. With broad bipartisan concern already surfacing, the Senate faces mounting pressure to revise or scrap the provision entirely.

While the provision claims to exclude generally applicable legislation, experts warn its vague language could override a wide array of consumer protections and privacy rules in the US. The moratorium’s scope, targeting AI-specific regulations, has triggered alarm among concerned groups.

Critics argue the measure may hinder states from addressing real-world harms posed by AI technologies, such as deepfakes, discriminatory algorithms, and unauthorised data use.

Existing and proposed state laws, ranging from transparency requirements in hiring and healthcare to protections for artists and mental health app users, may be invalidated under the moratorium.

Several experts noted that states have often acted more swiftly than the federal government in confronting emerging tech risks.

Supporters contend the moratorium is necessary to prevent a fragmented regulatory landscape that could stifle innovation and disrupt interstate commerce. However, analysts point out that general consumer laws might also be jeopardised due to the bill’s ambiguous definitions and legal structure.

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Most X users regain access after global glitch

X, formerly known as Twitter, has resumed normal operations for most users following a global outage early Friday.

Reports of the disruption surged shortly after 8AM ET, before rapidly declining within the hour. NetBlocks confirmed the outage was not linked to any national internet restrictions.

The incident followed a fire earlier in the week at a data centre in US Oregon reportedly owned by X.

Sources cited by Wired indicated that the blaze involved backup batteries and required a prolonged emergency response. Users had already reported problems in the days prior.

Although service has stabilised, the X developer status page still notes degraded performance with login features.

The company has yet to comment publicly on the situation. User concerns remain visible across social media platforms and tech forums.

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