US

Uber partners with WeRide to launch self-driving cars in UAE

Uber Technologies and WeRide announced a partnership on Wednesday to integrate the Chinese self-driving technology firm’s vehicles into Uber’s rideshare platform, beginning in the UAE. This collaboration represents WeRide’s first foray with a global ride-hailing service. This allows Uber to expand its reach beyond China while continuing to incorporate robotaxis into its offerings. Earlier this month, Uber also expanded its partnership with Waymo to roll out robotaxis in Austin and Atlanta, and in August, it teamed up with General Motors’ Cruise to feature autonomous vehicles on its platform beginning next year.

The WeRide partnership is scheduled to launch in Abu Dhabi later this year, following the company’s acquisition of the UAE’s first and only national license for self-driving vehicles, which allows it to test and operate robotaxis on public roads across the country. WeRide had aimed to list its shares in the US, targeting a valuation of up to $5 billion; however, its initial public offering has been postponed as the firm completes the necessary documentation.

Meanwhile, the Biden administration recently proposed restrictions preventing Chinese automakers from testing self-driving cars on US roads, extending to vehicle software and hardware produced by other foreign adversaries, including Russia.

FTC fines companies for misusing AI in e-commerce schemes

The US Federal Trade Commission (FTC) has cracked down on five companies for deceptive use of AI. Three cases involved businesses falsely claiming to help consumers generate passive income through e-commerce. The FTC also reached settlements with DoNotPay and Rytr, two companies accused of misleading consumers with their AI tools. DoNotPay, which marketed automated legal services, agreed to a $193,000 settlement and will notify customers of the tool’s limitations, while Rytr faced criticism for allowing users to create fake product reviews through its AI writing feature.

FTC Chair Lina M. Khan stressed that AI tools must comply with existing laws, making it clear that deceiving or misleading consumers with AI is illegal. Despite not admitting wrongdoing, both Rytr and DoNotPay settled with the FTC. Rytr agreed to discontinue its review-generating feature, used to create fake product reviews, while DoNotPay accepted a settlement without admitting fault.

The FTC’s actions have sparked internal debate on how to regulate AI. While all five commissioners supported cracking down on false AI claims, the two Republican commissioners raised concerns about the agency’s authority in the Rytr case. This division highlights differing views within the FTC on the scope of its regulatory powers when addressing AI-related issues.

US grants $123 million to Polar Semiconductor for plant expansion

The US Commerce Department has finalised a $123 million grant for Polar Semiconductor to expand its Minnesota facility, a development anticipated to nearly double the company’s production capacity for power and sensor chips. This grant marks the first award from the Biden administration’s $52.7 billion semiconductor manufacturing and research subsidy program, designed to strengthen domestic chip production. Commerce Secretary Gina Raimondo emphasised that this funding will help establish a new US-owned foundry, raising Polar’s output from about 20,000 wafers to 40,000 per month, serving key industries such as aerospace, automotive, and defence.

The state of Minnesota is contributing $75 million to Polar Semiconductor’s $525 million expansion project. Polar is primarily owned by Sanken Electric, holding a 70% stake, while Allegro MicroSystems owns the remaining 30%. Recently, the company secured investment commitments totalling $175 million from Niobrara Capital and Prysm Capital. Meanwhile, the US Commerce Department has allocated over $35 billion for various semiconductor initiatives, including substantial grants to major companies like Samsung, Intel, TSMC, and Micron Technology.

White House economic adviser Lael Brainard announced that more funding awards will be finalised shortly, with Commerce Secretary Gina Raimondo confirming additional financial support for companies expected in the coming weeks. This initiative is part of the 2022 chips law, which aims to boost US competitiveness against China and significantly enhance domestic chip production. Additionally, Congress has recently approved legislation designed to streamline federal permitting processes for semiconductor manufacturing projects, facilitating quicker and more efficient development in the industry.

Meta to expand investment in Vietnam

Vietnam’s President To Lam met with leading US firms in New York, pledging to strengthen the domestic tech sector. Discussions focused on boosting Vietnam’s digital transformation and enhancing strategic industries like AI and semiconductors. The Vietnamese president also held talks with major companies including Apple, Blackstone, and Warburg Pincus.

Meta, which already has millions of Facebook users in Vietnam, committed to increasing its investment in the country. Plans include expanding virtual reality production in Vietnam, signalling a stronger presence in the nation’s tech landscape. Meta’s Nick Clegg expressed confidence in Vietnam’s digital potential.

During Lam’s visit, cooperation agreements with US firms were signed. These agreements cover various sectors such as energy, artificial intelligence, and a new data centre initiative, further solidifying ties between the two nations.

The Vietnamese government emphasised that digital transformation will be key to future economic growth. Lam reaffirmed Vietnam’s commitment to advancing the tech economy and fostering innovation through international collaboration.

Dutch minister advocates for free trade with China

During a visit to Washington, Netherlands’ economy minister Dirk Beljaarts emphasised the significance of China as a trading partner. They advocated for the semiconductor equipment maker ASML to operate with maximum freedom. His discussions with US Deputy Secretary of Commerce Don Graves were focused on enhancing bilateral trade rather than addressing export restrictions, which are not under his jurisdiction.

Beljaarts’ visit comes amid anticipation of expanded US export rules affecting semiconductor sales to China. ASML, a leading supplier to chip manufacturers, recently faced new export license requirements imposed by the Dutch government, influenced by US pressure.

While the US is a crucial ally of the Netherlands, Beljaarts highlighted that ASML’s main markets are in Taiwan, China, and South Korea. He stressed the need to maintain balanced trade relationships, arguing that ‘We have our economy to uphold,’ and expressed pride in ASML as a vital asset for the Dutch economy.

G42 teams up with Nvidia on AI for weather forecasting

UAE-based AI firm G42 has announced a partnership with US chipmaker Nvidia to focus on developing advanced climate technology. A new operational base and lab will be established in Abu Dhabi to create AI solutions that improve global weather forecasting. This collaboration comes as the UAE seeks to diversify its economy away from oil through heavy investment in AI technologies.

UAE’s government-backed G42 has been making strides in the AI sector, forging agreements with various US firms. Recently, G42 and Microsoft revealed plans to open two AI centres in Abu Dhabi, further expanding the Gulf nation’s capabilities in AI research. These developments align with Abu Dhabi’s broader goals of advancing technological cooperation with the US.

While the UAE builds on AI collaboration, concerns have emerged in Washington about US technology potentially reaching China. To counter this, the US government has introduced stricter export controls on AI chips to the region. However, this has not hampered the UAE’s ambitions for AI growth and strategic partnerships.

Next week, UAE President Sheikh Mohammed bin Zayed Al Nahyan will visit the White House, marking a historic moment. Discussions will centre around regional security and technological cooperation in AI with President Joe Biden, reinforcing the strategic relationship between the two nations.

Vietnam and US firms formalise collaboration in energy and AI sectors

According to a statement from the Vietnamese government, Vietnamese and US businesses have reached several agreements to collaborate on energy, AI, and data infrastructure. These partnerships were sealed during a business forum in the US, marking a step forward in economic cooperation between the two nations.

The memorandums of understanding (MoUs) include vital agreements such as a technology transfer deal between PetroVietnam and Kellogg Brown and Root, a partnership on liquefied natural gas (LNG) between PetroVietnam’s subsidiary PTSC and Excelerate Energy, and an AI and data centre development collaboration between Sovico Group and U.S.-based Supermicro. Budget airline Vietjet signed a $1.1 billion deal with Honeywell Aerospace Technologies for avionics and technical services to support its aircraft fleet.

Vietnamese President attended the forum To Lam, who is set to meet with US President Joe Biden on the sidelines of the UN General Assembly in New York. Lam highlighted the potential for deeper collaboration between the two countries and expressed hope that the US would become Vietnam’s top foreign investor.

Vietnam has also been advocating for the US to officially recognise it as a market economy, a status that could ease trade tensions and reduce anti-dumping duties. However, the US Commerce Department recently classified Vietnam as a non-market economy, a designation Vietnam has long sought to change. If Vietnam reapplies, the process for review could take months.

US officials highlight Africa’s role in global AI

African perspectives are vital for developing AI solutions tailored to the continent’s unique challenges, according to US officials. At the Global Inclusivity and AI: Africa Conference, the acting Special Envoy for Critical and Emerging Technology, Dr Seth Center, and Deputy Assistant Secretary of State for African Affairs, Joy Basu, emphasised the importance of African representation in shaping global AI policies.

The event focused on fostering deeper conversations about AI’s potential role in Africa’s development. Basu praised the diverse voices from across the continent and stressed the need for African leaders to influence AI’s future applications, especially in sectors like agriculture and healthcare. The conference marked a pivotal step in increasing African engagement in critical technology discussions, which are already being supported in global forums like the G20 and the United Nations.

AI could help Africa achieve its Sustainable Development Goals, addressing key challenges across agriculture, healthcare, and education, according to Dr Seth Center. He noted the transformative role AI can play in boosting economic development, reducing poverty, and improving healthcare access. However, collaboration, both regional and global, will be essential to ensuring that AI is developed responsibly.

Startups and entrepreneurs will play a significant role in shaping Africa’s AI landscape, with many countries already crafting national AI strategies. The African Union is also working on governance frameworks to enable cross-border collaboration. These efforts will help unlock opportunities for innovation, ensuring AI’s benefits reach all parts of the continent.

US moves to ban Chinese tech in smart vehicles

The US Commerce Department is set to introduce a new regulation to ban Chinese software and hardware in autonomous and connected vehicles in the country, citing national security concerns. The proposal, expected to be announced soon, reflects growing worries from the Biden administration about the potential risks posed by Chinese companies collecting sensitive data on US drivers and infrastructure. Additionally, there are fears that foreign actors could manipulate connected vehicles, potentially creating significant security threats.

The proposed restrictions would apply to Chinese-made vehicles with communication or autonomous driving systems, escalating trade tensions between the US and China. The proposal follows last week’s move by the Biden administration to impose steep tariffs on Chinese imports, including electric vehicles and key components like batteries. Commerce Secretary Gina Raimondo has been vocal about the potential dangers of Chinese technology in US vehicles, stressing the catastrophic risks if critical software were turned off in large numbers of cars.

President Joe Biden had already initiated a review of whether Chinese vehicle imports posed security threats due to their integration with connected-car technology. The new rules could come into effect gradually, with software restrictions starting as early as the 2027 model year and hardware prohibitions beginning in 2029 or 2030. These measures would cover vehicles equipped with specific Bluetooth, satellite, wireless features and fully autonomous cars capable of operating without drivers.

Why does this matter?

US lawmakers have raised concerns about Chinese companies gathering sensitive data, and the proposed restrictions would also extend to other foreign adversaries like Russia. However, automakers, including major companies like General Motors and Toyota, have expressed worries about the time and complexity required to replace existing systems, noting that vehicle components undergo extensive testing and cannot easily be swapped.

Although Chinese-made vehicles currently make up a small fraction of US imports, the new rule aims to ensure the long-term security of connected cars on US roads. The White House recently approved the final proposal, which would not apply to specialised vehicles like those used in agriculture or mining but will impact all other sectors. The move seems a clear effort to protect the US supply chain in an increasingly connected world where cars function as ‘smartphones on wheels.’

Elon Musk faces potential sanctions from US SEC

The US Securities and Exchange Commission (SEC) is seeking sanctions against Elon Musk for failing to appear for court-ordered testimony regarding his $44 billion acquisition of Twitter. Musk, citing the need to oversee SpaceX’s Polaris Dawn mission launch, notified the SEC just hours before the scheduled testimony on 10 September that he would not attend. The SEC, however, contends Musk was aware of the launch in advance and accused him of employing delay tactics, as his absence violated a May court order.

Musk’s legal team defended his actions, stating that his presence was critical for the safety of the astronauts, and rescheduled the testimony for 3 October. They argue that the situation was an emergency that Musk had not created and believe that further sanctions are unnecessary. However, the SEC remains sceptical, warning that Musk’s failure to appear in October could result in additional legal action.

Why does this matter?

The ongoing SEC investigation focuses on whether Musk violated securities laws in early 2022 when he delayed disclosing his purchase of Twitter stock after reaching a 5% ownership threshold. Musk eventually revealed a 9.2% stake and made a bid for the company. Despite his claim of misunderstanding disclosure rules, the SEC continues to scrutinise his actions, reflecting Musk’s long-standing clashes with the regulator, which began with a 2018 lawsuit over tweets about taking Tesla private.