EU Greenlights Microsoft Offer to Purchase Activision Blizzard

European Union regulators have approved Microsoft’s proposed $68.7 billion purchase of game company Activision Blizzard. The European Commission accepted Microsoft’s remedies for staving off antitrust concerns in the area of cloud gaming. Microsoft said it would guarantee at least 10 years of access to Activision titles on third party cloud services, which satisfied the 27-nation bloc’s executive body. The EU announced its decision just weeks after UK lawmakers blocked the acquisition, and in the U.S. Microsoft is fending off efforts by the Federal Trade Commission to cancel the deal. Continue reading EU Greenlights Microsoft Offer to Purchase Activision Blizzard

Biden Administration Hosts Tech Elite at White House AI Meet

The Biden administration has committed $140 million to create seven new artificial intelligence research hubs, bringing the national total to 25. The announcement coincided with Vice President Kamala Harris’ Thursday meeting with representatives from Alphabet, Anthropic, Microsoft, and OpenAI and new White House guidance on AI development. The developments are part of an effort to curtain security risks associated with AI and ensure that it is implemented responsibly. “The private sector has an ethical, moral and legal responsibility to ensure the safety and security of their products,” Harris said following the meeting, which included a drop-in by President Biden. Continue reading Biden Administration Hosts Tech Elite at White House AI Meet

Big Tech Braces for Potential Impact of EU Digital Markets Act

The European Union’s Digital Markets Act, applicable as of May 1, finds tech giants scrambling to anticipate regional compliance. The regulatory framework aims to ensure tech giants don’t abuse their clout by taking advantage of consumers and smaller companies. Within two months, companies providing core platform services will have to notify the European Commission and provide all relevant information. The Commission will then have two months to identify companies that fit the DMA definition of “gatekeeper.” Those that do will be subject to DMA rules and have six months to conform. Continue reading Big Tech Braces for Potential Impact of EU Digital Markets Act

EU Considers Technology Updates for Next Draft of the AI Act

The European Union, which has been working on artificial intelligence legislation for the past two years, is playing last minute catch-up with rapidly evolving technology as it retools a final draft law that can be adopted, possibly by the end of the year. While the European Council in December thought it had completed its framework in all but the details, that version largely deferred attaching specific rules to generative AI, which having since exploded, has triggered a movement among member states to add those guardrails along with rules for general purpose AI. Continue reading EU Considers Technology Updates for Next Draft of the AI Act

Federal Government Continues to Grapple with AI Guidelines

Agencies across the federal government are actively exploring steps to regulate artificial intelligence, seeking to ensure it is safe now while minimizing future harms. The Commerce Department this week issued a public request for comment to be accepted within the next 60 days, then used by U.S. policymakers as they consider new rules for a consumer technology sector that has exploded globally in 2023. The move by Commerce comes on the heels of a scathing advisory by the Federal Trade Commission, which has been examining ways generative AI could be misused for scams or fraud. Continue reading Federal Government Continues to Grapple with AI Guidelines

Microsoft Plans to Launch Its Own Mobile Games App Store

If it overcomes regulatory hurdles and completes its $75 billion acquisition of Activision Blizzard, Microsoft plans to launch a mobile app store for games to challenge Apple and Google, according to Phil Spencer, CEO of Microsoft Games. The EU’s Digital Markets Act mandates that the makers of Android devices and iPhones must make their mobile platforms accessible to app stores by third parties, with enforcement beginning in March 2024. That means Microsoft could open a mobile app store as soon as next year, adapting the company’s Xbox and Game Pass apps to accommodate sales to mobile devices. Continue reading Microsoft Plans to Launch Its Own Mobile Games App Store

ByteDance Must Sell Chinese TikTok Stake or Face U.S. Ban

The Biden administration has reportedly come to the conclusion that ByteDance must sell its stake in TikTok or face the possibility of a U.S. ban. The decision comes as Congress turns up the heat on action against TikTok, which is suspected of compromising U.S. data and potentially manipulating news feeds to influence opinion. It follows a quiet, years-long assessment by the Committee on Foreign Investment in the U.S. (CFIUS), which The Wall Street Journal says “made the sale demand recently.” The Treasury Department, which oversees CFIUS, declined to comment. Continue reading ByteDance Must Sell Chinese TikTok Stake or Face U.S. Ban

Changes Ahead for Big Tech When EU Regulations Enforced

The European Union’s implementation of the Digital Services Act (DSA) and the Digital Markets Act (DMA) is poised to trigger worldwide changes on familiar platforms like Google, Instagram, Wikipedia and YouTube. The DSA addresses consumer safety while the DMA deals with antitrust issues. Proponents say the new laws will help end the era of self-regulating tech companies. Although as in the U.S., the DSA makes clear that platforms aren’t liable for illegal user-generated content. Unlike U.S. law, the DSA does allow users to sue when tech firms are made aware of harmful content but fail to remove it. Continue reading Changes Ahead for Big Tech When EU Regulations Enforced

White House Gives Agencies 30 Days to Impose a TikTok Ban

U.S. government agencies have 30 days to remove the TikTok app from federal devices and systems, the White House said Monday. A memo from Office of Management and Budget director Shalanda Young advised that in the interest of national security, the China-owned app must be purged from phones and Internet traffic firewalled from reaching it. The government ban was ordered by Congress in December, and follows similar moves in Canada, Taiwan, the EU, and many U.S. states. While the policy affects only a small portion of U.S. TikTok users, it fuels the controversy and emboldens those calling for an outright ban on the ByteDance-owned video app. Continue reading White House Gives Agencies 30 Days to Impose a TikTok Ban

Supreme Court Asks DOJ to Weigh In on Online Speech Laws

The Supreme Court of the United States has delayed its decision in a request to hear three cases that would test the constitutionality of Texas and Florida laws that propose to allow lawsuits on the basis of political censorship by online platforms. Although the cases would not be heard until the court’s next session, which extends into 2024, the laws remain blocked in the interim. Rather than deciding outright whether it will grant certiorari, SCOTUS on Monday asked the Justice Department to file the Biden administration’s position, forestalling immediate deliberations. Continue reading Supreme Court Asks DOJ to Weigh In on Online Speech Laws

UK Online Safety Bill to Exert Pressure on Social Media Execs

British legislators seem ready to make good on a threat to add criminal liability and jail time for high-level social media executives who fail to protect children from online harm as part of the Online Safety Bill. While the bill also aims to protect adults from fraud and malfeasance, its strictest provisions are geared toward child protection. The current proposal could win approval by the House of Commons within the week, and would then move to the upper chamber, the House of Lords, later in the quarter for further revision. Enactment is anticipated by year’s end.
Continue reading UK Online Safety Bill to Exert Pressure on Social Media Execs

CES: Addressing Challenges to Creating Global AI Standards

Both the European Parliament (the EU’s law-making body) and the U.S. National Institute of Standards and Technology (NIST) were represented on a CES panel on “AI Rules and Tools,” moderated by CTA vice president of emerging technology policy Doug Johnson. Also on the panel were executives from Facebook parent Meta Platforms and insurance provider Elevance Health, for a robust discussion on how to arrive at standards and regulations for the powerful — but often industry-based — AI technologies that will also be accepted by countries around the world and industries with competing interests. Continue reading CES: Addressing Challenges to Creating Global AI Standards

EU Pushes Its Antitrust Case Against Facebook Marketplace

The European Commission has formed a “preliminary view” that Meta Platforms has breached EU antitrust law by manipulating competition in the online classified advertising markets on Facebook and Instagram. The Commission took particular umbrage with the bundling of Meta’s Facebook with access to Facebook Marketplace, which allows users to buy and sell items. Meta could face a fine as high as $11.8 billion if the allegations of self-dealing prove true. The Commission also claims Meta is imposing unfair conditions on Marketplace competitors for its own benefit. Continue reading EU Pushes Its Antitrust Case Against Facebook Marketplace

Apple Plans to Open iOS to Third-Parties Thanks to EU Laws

Apple is planning to allow app sideloading in response to the European Union’s Digital Markets Act, set to take effect in 2024. The move reverses long-held policies that were a source of ire to many Apple developers as well as global regulators. It is believed the new approach could spillover to other regions where lawmakers are at various stages of reining in Big Tech, with companies including Google and Meta Platforms also in the crosshairs. The news sent shares up among companies that offer dating apps, including Match Group and Bumble. Spotify also got a bump. Continue reading Apple Plans to Open iOS to Third-Parties Thanks to EU Laws

European Council Weighs in on the Artificial Intelligence Act

The European Council (EU’s governing body) has adopted a position on the Artificial Intelligence Act, which aims to ensure that AI systems used or marketed in the European Union are safe and respect existing laws on fundamental rights. In addition to defining artificial intelligence, the European Council’s general approach specifies prohibited AI practices, calls for risk level allocation, and stipulates ways to deal with those risks. The Council — comprised of EU heads of state — becomes the first co-legislate to complete this initial step, with the European Parliament expected to offer its version of the AIA in the first half of 2023. Continue reading European Council Weighs in on the Artificial Intelligence Act