Tech Pro Brief

Fri 22 November 2024 | View online
Estimated reading time: 8-9 minutes

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🟡 Top stories

AI prohibitions  

Stakeholders are hampered as they are called to give input on prohibitions, one of the most important aspects of the Artificial Intelligence (AI) Act, since the Commission is yet to release draft guidelines. Read more. 

The telecoms Council conclusions’ adventure

While the European Commission leads a push for bold reforms, the Council has scaled back many proposals for the telecom sector, underscoring the complexity of balancing national interests, the EU’s competitiveness, and consumer protection. Read more. 

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🟡 AI

Parliament monitoring. AI Act co-rapporteur Brando Benifei (S&D, Italy) briefed IMCO on Monday, and newcomer Michael McNamara (Renew, Ireland) briefed LIBE on Thursday on the first meeting (held on 24 October) of the Parliament’s monitoring group of AI Act implementation. In LIBE, Birgit Sippel (S&D, Germany) said she was sad the second meeting was cancelled after it was announced, and Markéta Gregorová (Greens/EFA, Czechia) complained that she learned first about the planned 4 and 11 December meetings in the press.

 

AI Safety network. The AI Office attended the first meeting of the network of AI Safety Institutes (AISIs) in San Francisco on Wednesday and Thursday. The conference focused on AI-generated content and evaluations of general-purpose models. The safety institutes published joint mission and risk assessment statements. The work is "setting the stage for discussions at the Paris AI Action Summit in February 2025,” the Commission’s press release reads. The US will serve as the first chair of the network. 

 

EU-Singapore. The Commission signed an administrative arrangement between the AI Office and Singapore’s AI Safety Institute on Wednesday as part of the EU-Singapore Digital Partnership

 

US taskforce. The US AISI launched a task force that “brings together experts from Commerce, Defence, Energy, Homeland Security, NSA, and NIH to address national security concerns and strengthen American leadership in AI innovation” on Wednesday. The institute is seen as being in jeopardy as Trump has vowed to repeal Biden’s executive order that established it. 


Making the rounds. French Minister in charge of AI and digital policies Clara Chappaz met with “20 top VCs [venture capital firms]” and representatives from Anthropic, OpenAI, Meta, Microsoft, Google, and Nvidia in San Francisco in a visit to the US spanning Tuesday to Saturday. The objectives: incentivise funding in French Tech start-ups and prepare the Paris AI Summit in February. She also met with the AI Safety Institute.

 

Inference scaling laws. Much of the progress in general-purpose AI came from surprisingly consistent gains from scaling up compute resources used in training, often called ‘scaling laws.’ After recent reports of diminishing returns, some talk of inference scaling laws that describe gains from scaling up compute use when using an already trained model. NVIDIA was grilled about the new trend in their earnings call this week, as inference-specialised chips like Google’s TPUs that outperform NVIDIA chips for inference could chip off NVIDIA’s dominant position, TechCruchreported on Wednesday.  

 

Chinese reasoning. Chinese AI research lab Deepseek released a model on Wednesday rivalling OpenAI’s o1 model in reasoning capabilities, they announced on X. Both models are using extra inference computing to fact-check themselves. 

 

Le Chat. French Mistral AI released Pixtral Large and upgraded its ChatGPT-competitor Le Chat with image generation and web search, the company announced on Monday

 

Uber eyeing Pony. Uber seeks to invest more than $10 million (€9.6 million)worth of shares in Chinese autonomous driving company Pony AI’s US initial public offering, Bloombergreported on Thursday. 

 

Autonomous driving rules. Members of Trump’s team have told advisers they plan to make a federal framework for fully self-driving vehicles a priority, sources told Bloomberg.  

 

AI readiness. Only 6% of EU companies are “ready to capture AI’s potential, compared with 19% in the US and 20% in China, Cisco said in a study published on Thursday. 

 

History of OpenAI distrust. Emails revealed in Elon Musk’s lawsuit against OpenAI showed that Ilysa Sutskever and Greg Brockman worried about Sam Altman’s motivations as early as 2017, Transformerreported on Tuesday. 

🟡 Competition

For whom the bell tolls. Amazon is likely to face a competition investigation in the EU next year over whether it favours its own products on its marketplace, Reutersreported citing people familiar with the matter on Thursday.  

 

Chrome breakup. The US Department of Justice proposed that Google sell off its Chrome browser as part of remedies for anticompetitive behaviour in the search market according to a Thursday court filing. Google called this an “extreme proposal” that would “would hurt consumers and America’s global technological leadership,” in a blog post.  

 

In the clear. The UK’s Competition Markets Authority cleared the Google-Anthropic partnership, saying it does not qualify for review under merger rules, according to a Tuesday statement. “The CMA does not believe that Google has acquired material influence over Anthropic as a result of the Partnership,” according to a summary of the decision.  

 

Commission’s guidance. The Commission published on Friday findings and guidelines on EU competition rules on Technology Transfer Agreements (TTBER). Expiring in 2026, the Commission is now set to continue its evaluation for a possible extension and review. 

 

India v Meta. The Competition Commission of India fined Meta INR 2.1 billion (€23.9 million) for implementing a privacy policy on WhatsApp that saw user data shared with other Meta platforms back in 2021, according to a Monday statement. The company is contesting the decision.  

🟡 Cybersecurity

Cyber spend. The percentage of IT full-time equivalent staff has decreased for the fourth year in a row, to 11.1% in 2023, while spending on cybersecurity has grown to 9%, ENISA said in a report, published on Thursday.  

 

AI for aircraft computers cybersecurity. The Commission unveiled the names of 24 companies that will receive €26 million in funding to develop cybersecurity solutions for aircraft, on Tuesday.  

 

Free Telegram. Last Tuesday, the Judicial Court of Paris ordered Telegram to reveal the identity of hackers that stole 19 million customers’ data from telecom operator Free, local media reported on Monday. Telegram’s CEO Pavel Durov remains under formal investigation by French judges and cannot leave the country. 

🟡 Data & Privacy

GDPR enforcement file. Rapporteur Markéta Gregorová confirmed again that the GDPR enforcement procedures regulation will likely not be done by the end of the year, as previously reported by Euractiv. Technical meetings were ongoing this week, and the Parliament will take stock of its work so far in mid-December, she told the LIBE committee on Thursday.  

 

Data protection agreements. A group of data protection commissions from around the world agreed on two key resolutions at the Global Privacy Assembly, which took place in October in the island of Jersey.  

  • One is about managing data flows, with the DPAs calling on lawmakers to “foster convergence on high standards and future interoperability when developing or updating data transfer tools.”  

  • Another resolution is to encourage the development of a privacy certification mechanism.  

🟡 Housekeeping

White smoke. The European Parliament approved the last commissioners, including Henna Virkkunen and Teresa Ribera. (Read more)


FCC chair. On Tuesday, Donald Trump appointed Brendan Carr as chair of the US federal telecommunications regulator (FCC). He is a “a warrior for free speech,” Trump wrote. In his chapter in Project 2025, a proposed transition project for the Republicans, he outlined his vision for the FCC:  

  • Rolling back legal immunity for social media for content posted on their platforms.

  • Increasing algorithm transparency.

  • Enhancing protection of subsea cables .

  • Favouring that Big Tech pays their “fair share” in connectivity.  

🟡 Industrial Strategy

Priorities. Tech lobby ITI focused on competitiveness and implementation in its policy priorities for Poland’s presidency of the Council, published on Tuesday.  

 

Diversifying the assembly line. Foxconn has told recruiters to drop gender, age, and marital status from job listings for iPhone assembly lines after a Reuters report found the Apple supplier discriminated against women, Reutersreported on Wednesday.  

 

AI Manhattan project. The US-China Security Review Commission issued its almost 800-page report to the US Congress on Tuesday, recommending Congress “establish and fund a Manhattan Project-like program dedicated to racing to and acquiring an Artificial General Intelligence (AGI) capability.” 

 

Cloud competition observatory. The cloud provider lobby CISPE, which includes AWS and European cloud companies, launched a “European cloud competition observatory” on Wednesday. This was foreseen in its dispute settlement with Microsoft over its alleged anti-competitive bundling practices. The observatory will be tasked to judge Microsoft’s adherence to its commitments

🟡 Platforms

DSC meeting. The Commission held the ninth meeting of member states’ digital services coordinators on 19 November, according to a press release. Ongoing investigations were discussed, as well as the Commission’s work on transparency reporting, age verification, and the Codes of Conduct on hate speech and disinformation.  

 

Protection of children. The annual conference Safer Internet Forum organised by the Commission took place on Thursday and was dedicated to protecting children against inappropriate content and cyberbullying, taking stock of the French Screen Commission or Italian guidelines banning the use of smartphones and tablets in schools. 

 

Musk eyed Substack. Musk tried to buy Substack in 2023 after buying Twitter in 2022, The New York Timesreported on Tuesday.  

 

Bluer skies. Since the election of Donald Trump, who nominated Musk – owner of X – as a ,member of his cabinet, social media Bluesky has experienced an unprecedented growth of users, reaching 20 million worldwide on Tuesday. 

 

Short-term rental v Catalan government. The European Holiday Home Association (EHHA), the lobby of short-term rental (STR) companies including Airbnb and Expedia, filed an official complaint to the Commission on Wednesday against a 2023 Catalan decree. The Catalan decree introduced five-year licensing requirements, caps on flats used  – setting thresholds of dwellings for touristic use per 100 inhabitants – and restrictions in tourist-heavy places. The Catalan decree is "not proportionate" to the aim of fighting housing shortage and is in breach of the EU's Services Directive, wrote the Commission in a document sent to Spanish authorities and dated February 2024 and seen by Euractiv. 
 

Restructuring in Hangzhou. Alibaba is merging its domestic and overseas e-commerce divisions in a single entity to be led by Jian Fang, who has led the overseas e-commerce arm, which owns AliExpress, SCMPreported on Thursday, citing a company statement. Its domestic arm has seen sluggish growth amid a slowing economy and fierce competition, whereas under Fang’s leadership, the international expansion has recorded 29% year-on-year revenue growth in the third quarter of 2024.  

🟡 Space

€150 million for European space launcher. The Exploration Company announced on Monday that it had closed €152 million ($160 million) in funding to develop a “European reusable space capsule.” 

 

Starship failure. With Donald Trump in attendance, SpaceX did not manage on Wednesday to have its booster return to the giant metal arms which successfully caught the previous Starship Super Heavy booster in October. It instead splashed in the Gulf of Mexico, a press release explained. 

🟡 Telecom

New subsea cable cuts. Two undersea fibre-optic cables were cut in the Baltic Sea linking Finland, Germany, Lithuania, and Sweden on Monday. Governments expressed their concerns and believed these were due to sabotage or hybrid warfare, although investigations are still ongoing. The topic was discussed at the Coreper I meeting on Wednesday as Baltic Sea countries have been alerting of potential sabotage of undersea infrastructures since the still unresolved sabotage of the Nord Stream gas pipeline in 2022. 

What else we’re reading this week: 

  • At 50, Microsoft Is an AI Giant, Open-Source Lover, and as Bad as It Ever Was (Wired)  

  • How OpenAI stress-tests its large language models (MIT Technology Review

  • Matt Clifford: the UK tech adviser whose influence has drawn sceptics (FT)  

Read more

Today’s brief was brought to you by Euractiv’s Tech team

Today’s briefing was prepared by the Tech team: Eliza Gkritsi, Théophane Hartmann, and Jacob Wulff Wold. Share your feedback or information with us at digital@euractiv.com.

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