The US Justice Department has urged a federal appeals court to reject TikTok‘s emergency request to delay a law requiring its Chinese parent company, ByteDance, to divest from the app by 19 January or face a nationwide ban. TikTok argued the law threatens to shut down one of America’s most popular social media platforms, which boasts over 170 million US users, while the Justice Department maintains that continued Chinese ownership poses a national security risk.
While the law would not immediately block users from accessing TikTok, the Justice Department admitted the lack of ongoing support would eventually render the app inoperable. A three-judge appeals court panel recently upheld the divestment requirement, and ByteDance has asked the US Supreme Court to review the case.
The controversy places TikTok’s future in the hands of the incoming presidential administration. President Joe Biden could grant a 90-day extension to the divestment deadline before President-elect Donald Trump, who has vowed to prevent a ban, takes office on January 20. Trump’s stance on TikTok has been consistent since his unsuccessful attempts to ban the app during his first term.
The law also strengthens the US government’s powers to ban other foreign-owned apps over data security concerns, following a broader trend initiated under Trump, including an earlier attempt to block Tencent-owned WeChat. As legal battles continue, TikTok’s operations in the US hang in the balance.
Policymakers seeking to regulate AI face an uphill battle as the science evolves faster than safeguards can be devised. Elizabeth Kelly, director of the US Artificial Intelligence Safety Institute, highlighted challenges such as “jailbreaks” that bypass AI security measures and the ease of tampering with digital watermarks meant to identify AI-generated content. Speaking at the Reuters NEXT conference, Kelly acknowledged the difficulty in establishing best practices without clear evidence of their effectiveness.
The US AI Safety Institute, launched under the Biden administration, is collaborating with academic, industry, and civil society partners to address these issues. Kelly emphasised that AI safety transcends political divisions, calling it a “fundamentally bipartisan issue” amid the upcoming transition to Donald Trump’s presidency. The institute recently hosted a global meeting in San Francisco, bringing together safety bodies from 10 countries to develop interoperable tests for AI systems.
Kelly described the gathering as a convergence of technical experts focused on practical solutions rather than typical diplomatic formalities. While the challenges remain significant, the emphasis on global cooperation and expertise offers a promising path forward.
President-elect Donald Trump has appointed Andrew Ferguson as the next chair of the US Federal Trade Commission (FTC), signaling a dramatic policy shift for the agency. Ferguson, who joined the FTC as a commissioner earlier this year, is set to take over on ‘day one’ of Trump’s administration, replacing Lina Khan. Khan’s tenure focused on regulating Big Tech, earning praise for her aggressive antitrust stance.
Ferguson promises to reverse what he calls Khan’s ‘anti-business agenda’ and tackle what he terms ‘Big Tech censorship’ and ‘wokeness.’ He emphasises a commitment to protecting free speech and ensuring America’s leadership in technology and innovation. Ferguson’s policy blueprint, revealed in a document obtained by Punchbowl News, also includes plans to counter the ‘trans agenda’ as part of broader cultural battles tied to his vision for the FTC.
Trump also announced Mark Meador, an antitrust lawyer, as a nominee for FTC commissioner. Together, Ferguson and Meador aim to reshape the FTC into a body that prioritises competition, innovation, and what they describe as the restoration of free-market principles. These appointments mark a significant pivot from the current US administration’s regulatory approach to Big Tech.
TikTok‘s Canadian branch has filed an emergency motion with the country’s Federal Court to review a government order requiring it to cease operations due to national security concerns. The company, owned by China’s ByteDance, is challenging the December 5 order and seeking either its annulment or a return to the government for further review. The motion argues that shutting down TikTok’s Canadian operations could result in significant job losses.
The legal challenge comes after Canada began investigating TikTok’s plans to expand its business in the country last year. The investigation led to last month’s order, which did not block Canadian access to the app but mandated the company’s exit from the Canadian market. TikTok emphasised the importance of maintaining a local presence for its platform in Canada, where it has over 14 million monthly users.
Under Canadian law, the government can assess foreign investments’ risks to national security, though details of the investigations are kept confidential. The case follows similar actions in the US, where the government has pressured ByteDance to sell TikTok’s US assets by January 2025 or face a ban. TikTok is currently seeking a temporary block on this US law as well.
Chinese drone manufacturers DJI and Autel Robotics face potential bans in the US under a proposed military bill. The legislation requires a national security review within a year to assess risks posed by their drones. If no review occurs, the companies will automatically join the Federal Communications Commission’s ‘Covered List,’ effectively blocking the sale of new models.
DJI, the world’s largest drone producer, claims the process is unfair, citing extensive security audits and enhanced privacy features. Autel Robotics, also impacted by the proposal, has previously been flagged for investigation over national security concerns.
US lawmakers remain concerned about potential surveillance risks and data vulnerabilities linked to Chinese drones. DJI has refuted these claims, emphasising that no forced labour is involved in its production, despite customs citing related concerns to block imports.
The controversy reflects escalating tensions in US-China relations, particularly in technology and national security domains. The outcome of the proposed bill could reshape the landscape of the commercial drone market in the United States.
US government agencies are set to brief the House of Representatives on a widespread cyberespionage campaign allegedly linked to China. Known as Salt Typhoon, the operation reportedly targeted American telecommunications firms to steal call metadata and other sensitive information. A similar briefing was held for senators last week.
The White House revealed that at least eight US telecom companies had been affected, with a large number of citizens’ data compromised. Senator Ron Wyden is drafting legislation in response, while Senator Bob Casey expressed significant concern, noting that legislative action might be delayed until the new year.
On Wednesday, a Senate Commerce subcommittee will examine the broader risks posed by cyber threats to communication networks. Industry representatives, including Competitive Carriers Association CEO Tim Donovan, will contribute insights on best practices to counter such attacks.
China has denied the allegations, labelling them as disinformation, and reaffirmed its opposition to cyber theft. Officials and lawmakers continue to emphasise the gravity of the breaches, with Senator Richard Blumenthal calling the scale of Chinese hacking efforts ‘terrifying.’
Google has joined forces with TPG Rise Climate and other investors to back clean energy developer Intersect Power in a funding round exceeding $800 million. The investment aligns with Google’s strategy to expand its domestic data centre capacity as demand for AI-driven cloud services surges.
These data centres will be part of innovative industrial parks co-developed with Intersect Power, integrating gigawatts of clean energy generation alongside state-of-the-art computing facilities. That approach reflects a shift in addressing the growing strain on US power grids, exacerbated by the energy-intensive requirements of generative AI technologies.
By situating data centres adjacent to carbon-free power plants, Google aims to streamline energy delivery, enhance grid reliability, and fast-track project timelines. The first co-located facility is slated to begin operations in 2026, with full completion expected by 2027.
Google, a primary customer of Intersect Power’s new clean energy facilities, underscores that these projects are designed to launch simultaneously with their data centres. That directly contributes to grid stability while meeting Google’s operational energy needs. Founded in 2016, Intersect Power focuses on scalable, low-carbon energy solutions and is backed by TPG’s climate-focused fund.
The US Department of Commerce has finalised a $6.1B subsidy for Micron Technology, marking one of the largest awards under the CHIPS and Science Act. The funds will support the construction of new semiconductor plants in New York and Idaho, with expectations to create at least 20,000 jobs by the end of the decade.
An additional $275M investment has been earmarked for expanding Micron’s Virginia facility, which focuses on producing chips for critical sectors like defense, automotive, and networking. The White House emphasised that this effort aims to strengthen national security by reducing reliance on foreign suppliers, particularly from China and Taiwan.
The Biden administration has made semiconductor independence a priority, providing similar funding to companies like Intel and Taiwan Semiconductor Manufacturing Co. These initiatives aim to secure the US position in global chip production, a vital industry for technological and economic stability.
China has launched an anti-monopoly investigation into US chipmaker Nvidia, citing possible violations linked to its acquisition of Mellanox Technologies in 2020. The move is widely seen as retaliation against recent US restrictions on China’s semiconductor sector, including curbs on advanced chip exports.
Nvidia, which dominates China’s AI chip market, is accused of breaching conditions tied to the Mellanox deal, such as fair trade requirements and restrictions on bundling products. The probe comes amid heightened trade tensions, with Beijing encouraging local companies to avoid US chips and Washington tightening export controls on critical semiconductor technologies.
Analysts suggest the investigation is unlikely to significantly impact Nvidia in the near term, as its most advanced chips are already restricted from sale in China. However, the company faces growing competition from domestic firms like Huawei. China accounted for 17% of Nvidia’s revenue last year, down from 26% two years prior, as US-China tech conflicts continue to reshape the global semiconductor landscape.
TikTok and its parent company, ByteDance, have filed an emergency motion with a federal appeals court to temporarily halt a US law that would force ByteDance to sell TikTok by 19 January or face a nationwide ban. The companies argue that without the delay, the popular app could shut down in the US, affecting 170 million monthly users and numerous businesses reliant on the platform.
The motion follows a decision by an appeals court panel upholding the divestment requirement. TikTok’s lawyers assert the Supreme Court should have time to review the case and highlight President-elect Donald Trump’s stated intention to prevent the ban. The incoming administration, they argue, could reconsider the law and render the case moot.
The law granting the US government authority to ban foreign-owned apps over data security concerns has faced criticism, with TikTok warning the decision could disrupt services globally. As the January deadline looms, ByteDance faces challenges in demonstrating sufficient progress toward a divestment to secure an extension, even as political and legal battles intensify.
