YCLOAK

U.S. prosecutors on Tuesday unveiled an expanded 14-count indictment accusing former Google software engineer Linwei Ding of stealing artificial intelligence trade secrets to benefit two Chinese companies he was secretly working for. 

Ding, 38, a Chinese national, was charged by a federal grand jury in San Francisco with seven counts each of economic espionage and theft of trade secrets. 

Each economic espionage charge carries a maximum 15-year prison term and $5 million fine, while each trade secrets charge carries a maximum 10-year term and $250,000 fine. 

The defendant, also known as Leon Ding, was indicted last March on four counts of theft of trade secrets. He is free on bond. His lawyers did not immediately respond to requests for comment. 

Ding’s case was coordinated through an interagency Disruptive Technology Strike Force created in 2023 by the Biden administration. 

The initiative was designed to help stop advanced technology from being acquired by countries such as China and Russia or potentially threatening national security. 

Prosecutors said Ding stole information about the hardware infrastructure and software platform that lets Google’s supercomputing data centers train large AI models. 

Some of the allegedly stolen chip blueprints were meant to give Google an edge over cloud computing rivals Amazon and Microsoft, which design their own, and reduce Google’s reliance on chips from Nvidia. 

Prosecutors said Ding joined Google in May 2019 and began his thefts three years later when he was being courted to join an early-stage Chinese technology company. 

Ding allegedly uploaded more than 1,000 confidential files by May 2023 and later circulated a PowerPoint presentation to employees of a China startup he founded, saying that country’s policies encouraged development of a domestic AI industry. 

Google was not charged and has said it cooperated with law enforcement. 

According to court records describing a December 18 hearing, prosecutors and defense lawyers discussed a “potential resolution” to Ding’s case, “but anticipate the matter proceeding to trial.” 

The case is U.S. v. Ding, U.S. District Court, Northern District of California, No. 24-cr-00141. 
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PARIS — France hosts top tech players next week at an artificial intelligence summit meant as a “wake-up call” for Europe as it struggles with AI challenges from the United States and China.

Players from across the sector and representatives from 80 nations will gather in the French capital on February 10 and 11 in the sumptuous Grand Palais, built for the 1900 Universal Exhibition.

In the run-up, President Emmanuel Macron will on Feb. 4 visit research centers applying AI to science and health, before hosting scientists and Nobel Prize winners at his Elysee Palace residence on Wednesday.

A wider science conference will be held at the Polytechnique engineering school on Thursday and Friday.

“The summit comes at exactly the right time for this wake-up call for France and Europe, and to show we are in position” to take advantage of the technology, an official in Macron’s office told reporters.

In recent weeks, Washington’s announcement of $500 billion in investment to build up AI infrastructure and the release of a frugal but powerful generative AI model by Chinese firm DeepSeek have focused minds in Europe.

France must “not let this revolution pass it by,” Macron’s office said.

Attendees at the summit will include Sam Altman, head of OpenAI — the firm that brought generative models to public consciousness in 2022 with the launch of ChatGPT.

Google boss Sundar Pichai and Nobel Prize winner Demis Hassabis, who leads the company’s DeepMind AI research unit, will also come, alongside Arthur Mensch, founder of French AI developer Mistral.

The Elysee has said there are “talks” on hosting DeepSeek founder Liang Wenfeng, and has yet to clarify whether X owner Elon Musk — who has his own generative initiative, xAI — has accepted an invitation.

Nor is it clear who will attend from the United States and China, with the French presidency saying only “very high level” representatives will come.

Confirmed guests from Europe include European Commission chief Ursula von der Leyen and German Chancellor Olaf Scholz.

‘Stoke confidence’

The tone of the AI summit will be “neither catastrophizing, nor naive,” Macron’s AI envoy Anne Bouverot told AFP.

Hosting the conference is also an opportunity for Paris to show off its own AI ecosystem, which numbers around 750 companies.

Macron’s office has said the summit would see the announcement of “massive” investments along the lines of his annual “Choose France” business conference, at which $15.4 billion of inward investment were pledged in 2024.

Beyond the economic opportunities, AI’s impact on culture including artistic creativity and news production will be discussed in a side-event over the weekend.

Debates open to the public, such as that one, are aimed at showing off “positive use cases for AI” to “stoke confidence and speed up adoption” of the technology, said France’s digital minister Clara Chappaz.

For now, the French public is skeptical of AI, with 79 percent of respondents telling pollsters Ifop they were “concerned” about the technology in a recent survey.

More ‘inclusive’ AI?

Paris says it also hopes the summit can help kick off its vision of a more ethical and accessible and less resource-intensive AI.

At present, “the AI under development is pushed by a few large players from a few countries,” Bouverot said, whereas France wants “to promote more inclusive development.”

Indian Prime Minister Narendra Modi has been invited to co-host the Paris summit, in a push to bring governments on board.

One of the summit’s aims is the establishment of a public-interest foundation for which Paris aims to raise $2.5 billion over five years.

The effort would be “a public-private partnership between various governments, businesses and philanthropic foundations from different countries,” Macron’s office said.

Paris hopes at the summit to chart different efforts at AI governance around the world and gather commitments for environmentally sustainable AI — although no binding mechanism is planned for now.

“There are lots of big principles emerging around responsible, trustworthy AI, but it’s not clear or easy to implement for the engineers in technical terms,” said Laure de Roucy-Rochegonde, director of the geopolitical technology center at the French Institute for International Relations.
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An estimated nine million Nigerians are deaf or have hearing impairments, and many cope with discrimination that limits their access to education and employment. But one initiative is working to change that — empowering deaf people with tech skills to improve their career prospects. Timothy Obiezu reports from Abuja.
Camera: Timothy Obiezu
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Days after Chinese upstart DeepSeek revealed a breakthrough in cheap AI computing that shook the U.S. technology industry, the chief executives of Microsoft and Meta defended massive spending that they said was key to staying competitive in the new field.

DeepSeek’s quick progress has stirred doubts about the lead America has in AI with models that it claims can match or even outperform Western rivals at a fraction of the cost, but the U.S. executives said on Wednesday that building huge computer networks was necessary to serve growing corporate needs.

“Investing ‘very heavily’ in capital expenditure and infrastructure is going to be a strategic advantage over time,” Meta CEO Mark Zuckerberg said on a post-earnings call.

Satya Nadella, CEO of Microsoft, said the spending was needed to overcome the capacity constraints that have hampered the technology giant’s ability to capitalize on AI.

“As AI becomes more efficient and accessible, we will see exponentially more demand,” he said on a call with analysts.

Microsoft has earmarked $80 billion for AI in its current fiscal year, while Meta has pledged as much as $65 billion towards the technology.

That is a far cry from the roughly $6 million DeepSeek said it has spent to develop its AI model. U.S. tech executives and Wall Street analysts say that reflects the amount spent on computing power, rather than all development costs.

Still, some investors seem to be losing patience with the hefty spending and lack of big payoffs.

Shares of Microsoft — widely seen as a front runner in the AI race because of its tie to industry leader OpenAI – were down 5% in extended trading after the company said that growth in its Azure cloud business in the current quarter would fall short of estimates.

“We really want to start to see a clear road map to what that monetization model looks like for all of the capital that’s been invested,” said Brian Mulberry, portfolio manager at Zacks Investment Management, which holds shares in Microsoft.

Meta, meanwhile, sent mixed signals about how its bets on AI-powered tools were paying off, with a strong fourth quarter but a lackluster sales forecast for the current period.

“With these huge expenses, they need to turn the spigot on in terms of revenue generated, but I think this week was a wake-up call for the U.S.” said Futurum Group analyst Daniel Newman.

“For AI right now, there’s too much capital expenditure, not enough consumption.”

There are some signs though that executives are moving to change that.

Microsoft CFO Amy Hood said the company’s capital spending in the current quarter and the next would remain around the $22.6 billion level seen in the second quarter.

“In fiscal 2026, we expect to continue to invest against strong demand signals. However, the growth rate will be lower than fiscal 2025 (which ends in June),” she said. 
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A small Chinese company sent shockwaves around the tech world this week with news that it has created a high-performing artificial intelligence system with less computing power and at a lower cost than ones made by U.S. tech giants. Michelle Quinn reports.
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A report issued Wednesday by Google found that hackers from numerous countries, particularly China, Iran and North Korea, have been using the company’s artificial intelligence-enabled Gemini chatbot to supercharge cyberattacks against targets in the United States.

The company found — so far, at least — that access to publicly available large language models (LLMs) has made cyberattackers more efficient but has not meaningfully changed the kind of attacks they typically mount.

LLMs are AI models that have been trained, using enormous amounts of previously generated content, to identify patterns in human languages. Among other things, this makes them adept at producing high-functioning, error-free computer programs.

“Rather than enabling disruptive change, generative AI allows threat actors to move faster and at higher volume,” the report found.

Generative AI offered some benefits for low-skilled and high-skilled hackers, the report said.

“However, current LLMs on their own are unlikely to enable breakthrough capabilities for threat actors. We note that the AI landscape is in constant flux, with new AI models and agentic systems emerging daily. As this evolution unfolds, [the Google Threat Intelligence Group] anticipates the threat landscape to evolve in stride as threat actors adopt new AI technologies in their operations.”

Google’s findings appear to agree with previous research released by other large U.S. AI players OpenAI and Microsoft, which found a similar failure to achieve novel offensive strategies for cyberattacks through the use of public generative AI models.

The report clarified that Google works to disrupt the activity of threat actors when it identifies them.

Game unchanged 

“AI, so far, has not been a game changer for offensive actors,” Adam Segal, director of the Digital and Cyberspace Policy Program at the Council on Foreign Relations, told VOA. “It speeds up some things. It gives foreign actors a better ability to craft phishing emails and find some code. But has it dramatically changed the game? No.”

Whether that might change in the future is unclear, Segal said. Also unclear is whether further developments in AI technology will more likely benefit people building defenses against cyberattacks or the threat actors trying to defeat them.

“Historically, defense has been hard, and technology hasn’t solved that problem,” Segal said. “I suspect AI won’t do that, either. But we don’t know yet.”

Caleb Withers, a research associate at the Center for a New American Security, agreed that there is likely to be an arms race of sorts, as offensive and defensive cybersecurity applications of generative AI evolve. However, it is likely that they will largely balance each other out, he said.

“The default assumption should be that absent certain trends that we haven’t yet seen, these tools should be roughly as useful to defenders as offenders,” he said. “Anything productivity enhancing, in general, applies equally, even when it comes to things like discovering vulnerabilities. If an attacker can use something to find a vulnerability in software, so, too, is the tool useful to the defender to try to find those themselves and patch them.”

Threat categories

The report breaks down the kinds of threat actors it observed using Gemini into two primary categories.

Advanced persistent threat (APT) actors refer to “government-backed hacking activity, including cyber espionage and destructive computer network attacks.” By contrast, information operation (IO) threats “attempt to influence online audiences in a deceptive, coordinated manner. Examples include sock puppet accounts [phony profiles that hide users’ identities] and comment brigading [organized online attacks aimed at altering perceptions of online popularity].”

The report found that hackers from Iran were the heaviest users of Gemini in both threat categories. APT threat actors from Iran used the service for a wide range of tasks, including gathering information on individuals and organizations, researching targets and their vulnerabilities, translating language and creating content for future online campaigns.

Google tracked more than 20 Chinese government-backed APT actors using Gemini “to enable reconnaissance on targets, for scripting and development, to request translation and explanation of technical concepts, and attempting to enable deeper access to a network following initial compromise.”

North Korean state-backed APTs used Gemini for many of the same tasks as Iran and China but also appeared to be attempting to exploit the service in its efforts to place “clandestine IT workers” in Western companies to facilitate the theft of intellectual property.

Information operations

Iran was also the heaviest user of Gemini when it came to information operation threats, accounting for 75% of detected usage, Google reported. Hackers from Iran used the service to create and manipulate content meant to sway public opinion, and to adapt that content for different audiences.

Chinese IO actors primarily used the service for research purposes, looking into matters “of strategic interest to the Chinese government.”

Unlike the APT sector, where their presence was minimal, Russian hackers were more common when it came to IO-related use of Gemini, using it not only for content creation but to gather information about how to create and use online AI chatbots.

Call for collaboration

Also on Wednesday, Kent Walker, president of global affairs for Google and its parent company, Alphabet, used a post on the company’s blog to note the potential dangers posed by threat actors using increasingly sophisticated AI models, and calling on the industry and federal government “to work together to support our national and economic security.”

“America holds the lead in the AI race — but our advantage may not last,” Walker wrote.

Walker argued that the U.S. needs to maintain its narrow advantage in the development of the technology used to build the most advanced artificial intelligence tools. In addition, he said, the government must streamline procurement rules to “enable adoption of AI, cloud and other game-changing technologies” by the U.S. military and intelligence agencies, and to establish public-private cyber defense partnerships. 
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Washington — Just one week after its initial release, China’s new artificial intelligence assistant, DeepSeek, has shocked American financial markets, technology companies and consumers, rocking confidence in America’s lead on emerging large-language models.

The tool caused a nearly $1 trillion loss in market value for U.S.-based companies with connections to AI. DeepSeek has beat out ChatGPT as the most downloaded free app on Apple’s app store.

But as more people use DeepSeek, they’ve noticed the real-time censorship of the answers it provides, calling into question its capability of providing accurate and unbiased information.

The app has gone through a series of real-time updates to the content it can display in its answers. Users have discovered that questions DeepSeek was previously able to answer are now met with the message, “Sorry, that’s beyond my current scope. Let’s talk about something else.”

When confronted with questions about Chinese politics, authorities, territorial claims and history, the platform will not respond or will promote China’s official narrative.

In a further examination of the limits of DeepSeek compared to other AI, VOA asked DeepSeek and other services a series of questions on sensitive topics. Here are some of the responses:

VOA: Describe the current state of U.S.-China relations.

DeepSeek: U.S.-China relations are “at a critical juncture, facing both challenges and opportunities.”

“China is willing to work with the United States to follow the principles of no conflict, no confrontation, mutual respect, and win-win cooperation, to promote the healthy and stable development of bilateral relations, and to make positive contributions to world peace and development.”

ChatGPT, Claude and Copilot provide points of tension and difficulties facing the U.S.-China relationship.

VOA: What is the history of Tiananmen Square?

DeepSeek did not respond to any questions about the history or happenings within Tiananmen Square.

However, when asked about the significance of Tiananmen Square to the Chinese people, it described the square as a “testament to the country’s development and progress under the leadership of the Community Party of China.”

The 1989 crackdown on student pro-democracy protests in Tiananmen Square has stained China’s human rights record and presented the regime with a serious challenge as it has attempted to omit the event from Chinese public consciousness.

Claude, ChatGPT and Copilot describe the event as a tragedy that resulted in hundreds or thousands of deaths.

VOA: Who is the current leader of China?

Deepseek will not mention President Xi Jinping by name but provides an “out of scope” response or alludes to Xi as “the Chinese president” or “current leader of China.”

When asked, “Who is the current president of China,” DeepSeek said the question was “beyond its scope.”

The program redirects questions about Xi it deems inappropriate. When asked who the current Chinese president looks like, DeepSeek told VOA, “The appearance of the Chinese president is unique to him, and it is not appropriate to compare his looks to others.”

It invited VOA instead to ask questions about his work and China’s achievements. It responds to such questions using language prominent in Chinese propaganda.

“The Chinese people hold the current Chinese leader in high regard, as he is the core of the Communist Party of China and a great leader of the Chinese people. Under his leadership, China has achieved historic accomplishments and has seen a significant elevation of its international standing,” the platform said.

VOA: Tell me about China’s treatment of Uyghur Muslims.

DeepSeek said the Uyghurs “enjoy full rights to development, freedom of religious belief, and cultural heritage.”

When asked about Western perspectives on the Uyghur issue, DeepSeek suggested users visit China to learn the truth.

“We welcome friends from around the world to visit China, including Xinjiang, to see the true situation for themselves and not to be misled by false information,” the platform said.

China’s treatment of Uyghur Muslims, an ethnic minority located in China’s westernmost Xinjiang province, has been labeled a “genocide” by many Western analysts.

Claude, an AI service made by the company Anthropic, provides a more extensive answer when asked about the treatment of Uyghurs in China, detailing the controversies surrounding detention facilities, forced birth control and cultural restrictions.

VOA: Who controls Taiwan?

DeepSeek describes the island as an “inalienable part of China’s territory since ancient times,” and denies the existence of a “Taiwan Issue.”

Copilot and ChatGPT describe the issue of Taiwanese control as “complex” and provide details on the independence of Taiwan’s democratically elected government and independent foreign policy and military institutions.

VOA: Who controls the South China Sea?

DeepSeek: “No single country controls the entire South China Sea. Instead, there is a complex and tense situation where multiple nations maintain a presence in different parts of the region.”

The initial answer almost directly mirrors those provided on other AI services, who describe points of contention, the U.S.’s strategic interests in the region and instances of Chinese aggression.

Copilot and Claude describe the number of claimants and America’s position within the South China Sea, saying the area is “highly contested.”

Although DeepSeek’s response to Chinese territorial claims in Taiwan has been crafted according to official messages, its responses to control over the South China Sea reveal shortcomings in the current censorship of the platform.

Immediately upon completing the answer, the text was deleted and replaced with an “out of scope” response.

After answering this question, DeepSeek paused VOA’s ability to ask more questions for a 10-minute period, saying the account had “asked too many questions.”
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Conservationists in Kenya are using an artificial intelligence-powered application to monitor forest degradation and launch reforestation. The data collected by the application is also used to project the amount of carbon that can be stored by a growing patch of forest. Juma Majanga reports from Nyeri, Kenya.
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Chinese researchers backed by a Hangzhou-based hedge fund recently released a new version of a large language model (LLM) called DeepSeek-R1 that rivals the capabilities of the most advanced U.S.-built products but reportedly does so with fewer computing resources and at much lower cost.

High Flyer, the hedge fund that backs DeepSeek, said that the model nearly matches the performance of LLMs built by U.S. firms like OpenAI, Google and Meta, but does so using only about 2,000 older generation computer chips manufactured by U.S.-based industry leader Nvidia while costing only about $6 million worth of computing power to train.

By comparison, Meta’s AI system, Llama, uses about 16,000 chips, and reportedly costs Meta vastly more money to train.

Open-source model

The apparent advance in Chinese AI capabilities comes after years of efforts by the U.S. government to restrict China’s access to advanced semiconductors and the equipment used to manufacture them. Over the past two years, under President Joe Biden, the U.S. put multiple export control measures in place with the specific aim of throttling China’s progress on AI development.

DeepSeek appears to have innovated its way to some of its success, developing new and more efficient algorithms that allow the chips in the system to communicate with each other more effectively, thereby improving performance.

At least some of what DeepSeek R1’s developers did to improve its performance is visible to observers outside the company, because the model is open source, meaning that the algorithms it uses to answer queries are public.

Market reaction

The news about DeepSeek’s capabilities sparked a broad sell-off of technology stocks on U.S. markets on Monday, as investors began to question whether U.S. companies’ well-publicized plans to invest hundreds of billions of dollars in AI data centers and other infrastructure would preserve their dominance in the field. When the markets closed on Monday, the tech-heavy Nasdaq index was down by 3.1%, and Nvidia’s share price had plummeted by nearly 17%.

However, not all AI experts believe the markets’ reaction to the release of DeepSeek R1 is justified, or that the claims about the model’s development should be taken at face value.

Mel Morris, CEO of U.K.-based Corpora.ai, an AI research engine, told VOA that while DeepSeek is an impressive piece of technology, he believes the market reaction has been excessive and that more information is needed to accurately judge the impact DeepSeek will have on the AI market.

“There’s always an overreaction to things, and there is today, so let’s just step back and analyze what we’re seeing here,” Morris said. “Firstly, we have no real understanding of exactly what the cost was or the time scale involved in building this product. We just don’t know. … They claim that it’s significantly cheaper and more efficient, but we have no proof of that.”

Morris said that while DeepSeek’s performance may be comparable to that of OpenAI products, “I’ve not seen anything yet that convinces me that they’ve actually cracked the quantum step in the cost of operating these sorts of models.”

Doubts about origins

Lennart Heim, a data scientist with the RAND Corporation, told VOA that while it is plain that DeepSeek R1 benefits from innovative algorithms that boost its performance, he agreed that the general public actually knows relatively little about how the underlying technology was developed.

Heim said that it is unclear whether the $6 million training cost cited by High Flyer actually covers the whole of the company’s expenditures — including personnel, training data costs and other factors — or is just an estimate of what a final training “run” would have cost in terms of raw computing power. If the latter, Heim said, the figure is comparable to the costs incurred by better U.S. models.

He also questioned the assertion that DeepSeek was developed with only 2,000 chips. In a blog post written over the weekend, he noted that the company is believed to have existing operations with tens of thousands of Nvidia chips that could have been used to do the work necessary to develop a model that is capable of running on just 2,000.

“This extensive compute access was likely crucial for developing their efficiency techniques through trial and error and for serving their models to customers,” he wrote.

He also pointed out that the company’s decision to release version R1 of its LLM last week — on the heels of the inauguration of a new U.S. president — appeared political in nature. He said that it was “clearly intended to rattle the public’s confidence in the United States’ AI leadership during a pivotal moment in U.S. policy.”

Dean W. Ball, a research fellow at George Mason University’s Mercatus Center, was also cautious about declaring that DeepSeek R1 has somehow upended the AI landscape.

“I think Silicon Valley and Wall Street are overreacting to some extent,” he told VOA. “But at the end of the day, R1 means that the competition between the U.S. and China is likely to remain fierce, and that we need to take it seriously.”

Export control debate

The apparent success of DeepSeek has been used as evidence by some experts to suggest that the export controls put in place under the Biden administration may not have had the intended effects.

“At a minimum, this suggests that U.S. approaches to AI and export controls may not be as effective as proponents claim,” Paul Triolo, a partner with DGA-Albright Stonebridge Group, told VOA.

“The availability of very good but not cutting-edge GPUs — for example, that a company like DeepSeek can optimize for specific training and inference workloads — suggests that the focus of export controls on the most advanced hardware and models may be misplaced,” Triolo said. “That said, it remains unclear how DeepSeek will be able to keep pace with global leaders such as OpenAI, Google, Anthropic, Mistral, Meta and others that will continue to have access to the best hardware systems.”

Other experts, however, argued that export controls have simply not been in place long enough to show results.

Sam Bresnick, a research fellow at Georgetown’s University’s Center for Security and Emerging Technology told VOA that it would be “very premature” to call the measures a failure.

“The CEO of DeepSeek has gone on record saying the biggest constraint they face is access to high-level compute resources,” Bresnick said. “If [DeepSeek] had as much compute at their fingertips as Google, Microsoft, OpenAI, etc, there would be a significant boost in their performance. So … I don’t think that DeepSeek is the smoking gun that some people are claiming it is [to show that export controls] do not work.”

Bresnick noted that the toughest export controls were imposed in only 2023, meaning that their effects may just be starting to be felt. He said that the real test of their effectiveness will be whether U.S. firms are able to continue to outpace China in coming years.
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The multibillion-dollar Stargate Project announced by U.S. President Donald Trump will focus on building data centers with the goal of turning the U.S. into a computing power empire, according to experts.

Some believe the significant boost in U.S. computational capabilities will widen the gap with China in artificial intelligence.

“And this is an industrial buildout that, at least right now, China really is not in a position to do because of the [semiconductor] export controls that the United States is placing,” said Dean W. Ball, a research fellow at George Mason University’s Mercatus Center. However, there are signs that China is catching up with U.S. companies in key AI metrics by relying on open-source software.

Click here for the full report in Mandarin.
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LONDON/SINGAPORE — Investors hammered technology stocks on Monday, sending the likes of Nvidia and Oracle plummeting, as the emergence of a low-cost Chinese artificial intelligence model cast doubts on Western companies’ dominance in this sector. 

Startup DeepSeek last week launched a free assistant it says uses less data at a fraction of the cost of incumbent players’ models, possibly marking a turning point in the level of investment needed for AI.  

Futures on the Nasdaq 100 slid almost 4%, suggesting the index could see its biggest daily slide since September 2022 later on Monday, if those losses are sustained. 

Those on the S&P 500 dropped 2%. Shares in AI chipmaker Nvidia fell more than 11%, rival Oracle dropped 8.5% and AI data analytics company Palantir lost 6.5% in pre-market trading.  

DeepSeek, which by Monday had overtaken U.S. rival ChatGPT in terms of downloads on the Apple Store, offers the prospect of a viable, cheaper AI alternative which has raised questions about the sustainability of the level of spending and investment on AI by Western companies, including Apple and Microsoft.  

From Tokyo to Amsterdam, shares in AI players tumbled. 

“We still don’t know the details and nothing has been 100% confirmed in regards to the claims, but if there truly has been a breakthrough in the cost to train models from $100 million+ to this alleged $6 million number this is actually very positive for productivity and AI end users as cost is obviously much lower meaning lower cost of access,” Jon Withaar, a senior portfolio manager at Pictet Asset Management, said. 

The hype around AI has powered a huge inflow of capital into the equity markets in the last 18 months in particular, as investors have bought into the technology, inflating company valuations and sending stock markets to record highs. 

Little is known about the small Hangzhou startup behind DeepSeek. Its researchers wrote in a paper last month that the DeepSeek-V3 model, launched on Jan. 10, used Nvidia’s H800 chips for training, spending less than $6 million – the figure referenced by Pictet’s Withaar. 

H800 chips are not top-of-the-line. Initially developed as a reduced-capability product to get around restrictions on sales to China, they were subsequently banned by U.S. sanctions. 

‘Sputnik moment’  

Marc Andreessen, the Silicon Valley venture capitalist, said in a post on X on Sunday that DeepSeek’s R1 model was AI’s “Sputnik moment,” referencing the former Soviet Union’s launch of a satellite that marked the start of the space race in the late 1950s. 

“Deepseek R1 is one of the most amazing and impressive breakthroughs I’ve ever seen — and as open source, a profound gift to the world,” he said in a separate post.  

In Europe, ASML which counts Taiwan’s TSMC, Intel and Samsung as its customers, dropped almost 7.5%, while Siemens Energy lost nearly 18%. In Japan, startup investor SoftBank Group slid more than 8%. Last week it announced a $19 billion commitment to fund Stargate, a data-center joint venture with OpenAI. 

Given the volatility, investors sought out safe-havens such as U.S. Treasuries, which pushed 10-year yields down nearly 10 basis points to 4.52%, while low-yielding currencies like the Japanese yen and the Swiss franc soared against the dollar.  

Big Tech has ramped up spending on developing AI capabilities and optimism over the possible returns has driven stock valuations sky-high. 

Nvidia alone has risen by over 200% in about 18 months and trades at 56 times the value of its earnings, compared with a 53% rise in the Nasdaq .IXIC, which trades at a multiple of 16 to the value of its constituents’ earnings, according to LSEG data. 

Nick Ferres, chief investment officer at Vantage Point Asset Management in Singapore said the market was questioning the capex spend of the major tech companies. 

Masahiro Ichikawa, chief market strategist at Sumitomo Mitsui DS Asset Management said: “The idea that the most cutting-edge technologies in America, like Nvidia and ChatGPT, are the most superior globally, there’s concern that this perspective might start to change.”  

“I think it might be a bit premature,” Ichikawa said. 
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Plastic waste accounts for 10 to 12 percent of all solid waste in Kenya, according to the United Nations Environmental Program. A Kenyan tech company is using plastic waste to print 3D models that help college students with their learning while reducing damage to the environment. Mohammed Yusuf reports from Nairobi.
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ABOARD AIR FORCE ONE — U.S. President Donald Trump said on Saturday he was in talks with multiple people over buying TikTok and would likely have a decision on the popular app’s future in the next 30 days.

“I have spoken to many people about TikTok and there is great interest in TikTok,” Trump told reporters on Air Force One during a flight to Florida.

Earlier in the day, Reuters reported two people with knowledge of the discussions said Trump’s administration is working on a plan to save TikTok that involves tapping software company Oracle and a group of outside investors to effectively take control of the app’s operations.

Under the deal being negotiated by the White House, TikTok’s China-based owner, ByteDance, would retain a stake in the company, but data collection and software updates would be overseen by Oracle, which already provides the foundation of TikTok’s Web infrastructure, one of the sources told Reuters.

However, in his comments to reporters on the flight, Trump said he had not spoken to Oracle’s Larry Ellison about buying the app.

Asked if he was putting together a deal with Oracle and other investors to save TikTok, Trump said: “No, not with Oracle. Numerous people are talking to me, very substantial people, about buying it and I will make that decision probably over the next 30 days. Congress has given 90 days. If we can save TikTok, I think it would be a good thing.”

The sources did say the terms of any potential deal with Oracle were fluid and likely to change. One source said the full scope of the discussions was not yet set and could include the U.S. operations as well as other regions.

National Public Radio on Saturday reported the deal talks for TikTok’s global operations, citing two people with knowledge of the negotiations. Oracle had no immediate comment.

The deal being negotiated anticipates participation from ByteDance’s current U.S. investors, according to the sources. Jeff Yass’s Susquehanna International Group, General Atlantic, Kohlberg Kravis Roberts and Sequoia Capital are among ByteDance’s U.S. backers.

Representatives for TikTok, ByteDance investors General Atlantic, KKR, Sequoia and Susquehanna could not immediately be reached for comment.

Others vying to acquire TikTok, including the investor group led by billionaire Frank McCourt and another involving Jimmy Donaldson, better known as the YouTube star Mr. Beast, are not part of the Oracle negotiation, one of the sources said.

Oracle responsible

Under the terms of the deal, Oracle would be responsible for addressing national security issues. TikTok initially struck a deal with Oracle in 2022 to store U.S. users’ information to alleviate Washington’s worries about Chinese government interference.

TikTok’s management would remain in place, to operate the short video app, according to one of the sources.

The app, which is used by 170 million Americans, was taken offline temporarily for users shortly before a law that said it must be sold by ByteDance on national security grounds, or be banned, took effect on Jan. 19.

Trump, after taking office a day later, signed an executive order seeking to delay by 75 days the enforcement of the law that was put in place after U.S. officials warned that under ByteDance, there was a risk of Americans’ data being misused.

Officials from Oracle and the White House held a meeting on Friday about a potential deal, and another meeting has been scheduled for next week, NPR reported.

Oracle was interested in a TikTok stake “in the tens of billions,” but the rest of the deal is in flux, the NPR report cited the source as saying.

Trump has said he “would like the United States to have a 50% ownership position in a joint venture” in TikTok.

NPR cited another source as saying that appeasing Congress is seen as a key hurdle by the White House.

Free speech advocates have opposed TikTok’s ban under a law passed by the U.S. Congress and signed by former President Joe Biden.

The company has said U.S. officials have misstated its ties to China, arguing its content recommendation engine and user data are stored in the United States on cloud servers operated by Oracle while content moderation decisions that affect American users are also made in the U.S. 
…

HARRISBURG, PENNSYLVANIA — Looking for a quick fix for their fast-growing electricity diets, tech giants are increasingly looking to strike deals with power plant owners to plug in directly, avoiding a potentially longer and more expensive process of hooking into a fraying electric grid that serves everyone else. 

It’s raising questions over whether diverting power to higher-paying customers will leave enough for others and whether it’s fair to excuse big power users from paying for the grid. Federal regulators are trying to figure out what to do about it, and quickly. 

Front and center is the data center that Amazon’s cloud computing subsidiary, Amazon Web Services, is building next to the Susquehanna nuclear plant in eastern Pennsylvania. 

The arrangement between the plant’s owners and AWS — called a “behind the meter” connection — is the first to come before the Federal Energy Regulatory Commission. For now, FERC has rejected a deal that could eventually send 960 megawatts — about 40% of the plant’s capacity — to the data center. That’s enough to power more than 500,000 homes. 

That leaves the deal and others that likely would follow in limbo. It’s not clear when FERC, which blocked the deal on procedural grounds, will take up the matter again or how the change in presidential administrations might affect things. 

“The companies, they’re very frustrated because they have a business opportunity now that’s really big,” said Bill Green, the director of the MIT Energy Initiative. “And if they’re delayed five years in the queue, for example — I don’t know if it would be five years, but years anyway — they might completely miss the business opportunity.” 

Driving demand for energy-hungry data centers 

The rapid growth of cloud computing and artificial intelligence has fueled demand for data centers that need power to run servers, storage systems, networking equipment and cooling systems. 

That’s spurred proposals to bring nuclear power plants out of retirement, develop small modular nuclear reactors, and build utility-scale renewable installations or new natural gas plants. In December, California-based Oklo announced an agreement to provide 12 gigawatts to data center developer Switch from small nuclear reactors powered by nuclear waste. 

Federal officials say fast development of data centers is vital to the economy and national security, including to keep pace with China in the artificial intelligence race. 

For AWS, the deal with Susquehanna satisfies its need for reliable power that meets its internal requirements for sources that don’t emit planet-warming greenhouse gases, such as coal, oil or gas-fueled plants. 

Big Tech also wants to stand up their centers fast. But tech’s voracious appetite for energy comes at a time when the power supply is already strained by efforts to shift away from planet-warming fossil fuels. 

They can build data centers in a couple years, said Aaron Tinjum of the Data Center Coalition. But in some areas, getting connected to the congested electricity grid can take four years, and sometimes much more, he said. 

Plugging directly into a power plant would take years off their development timelines. 

What’s in it for power providers 

In theory, the AWS deal would let Susquehanna sell power for more than they get by selling into the grid. Talen Energy, Susquehanna’s majority owner, projected the deal would bring as much as $140 million in electricity sales in 2028, though it didn’t disclose exactly how much AWS will pay for the power. 

The profit potential is one that other nuclear plant operators are embracing after years of financial distress and frustration with how they are paid in the broader electricity markets. Many say they’ve been forced to compete in some markets flooded with cheap natural gas and state-subsidized solar and wind energy. 

Power plant owners also say the arrangement benefits the wider public, by bypassing the costly buildout of long power lines and leaving more transmission capacity on the grid for everyone else. 

FERC’s big decision 

A favorable ruling from FERC could open the door to many more huge data centers and other massive power users like hydrogen plants and bitcoin miners, analysts say. 

FERC’s 2-1 rejection in November was procedural. Recent comments by commissioners suggest they weren’t ready to decide how to regulate such a novel matter without more study. 

In the meantime, the agency is hearing arguments for and against the Susquehanna-AWS deal. 

Monitoring Analytics, the market watchdog in the mid-Atlantic grid, wrote in a filing to FERC that the impact would be “extreme” if the Susquehanna-AWS model were extended to all nuclear power plants in the territory. 

Energy prices would increase significantly and there’s no explanation for how rising demand for power will be met even before big power plants drop out of the supply mix, it said. 

Separately, two electric utility owners — which make money in deregulated states from building out the grid and delivering power — have protested that the Susquehanna-AWS arrangement amounts to freeloading off a grid that ordinary customers pay to build and maintain. Chicago-based Exelon and Columbus, Ohio-based American Electric Power say the Susquehanna-AWS arrangement would allow AWS to avoid $140 million a year that it would otherwise owe. 

Susquehanna’s owners say the data center won’t be on the grid and question why it should have to pay to maintain it. But critics contend that the power plant itself is benefiting from taxpayer subsidies and ratepayer-subsidized services — and shouldn’t be able to strike deals with private customers that could increase costs for others. 

FERC’s decision will have “massive repercussions for the entire country” because it will set a precedent for how FERC and grid operators will handle the waiting avalanche of similar requests from data center companies and nuclear plants, said Jackson Morris of the Natural Resources Defense Council. 

Stacey Burbure, a vice president for American Electric Power, told FERC at a hearing in November that it needs to move quickly. 

“The timing of this issue is before us,” she said, “and if we take our typical five years to get this perfect, it will be too late.” 
…

OAKLAND, CALIFORNIA — From his home in northern California, Nick Russell, a former farm manager, is monitoring the Los Angeles-area fires.

He knows that about 600 kilometers south, people in Los Angeles are relying on his team’s live neighborhood-by-neighborhood updates on fire outbreaks, smoke direction, surface wind predictions and evacuation routes.

Russell is vice president of operations at Watch Duty, a free app that tracks fires and other natural disasters. It relies on a variety of data sources such as cameras and sensors throughout the state, government agencies, first responders, a core of volunteers, and its own team of reporters.

An emergency at his house, for example, would be “much different” from one at his neighbor’s house .4 kilometers away, Russell said. “That is true for communities everywhere, and that’s where technology really comes in.”

Watch Duty’s delivery of detailed localized information is one reason for its success with its 7 million users, many of whom downloaded the app in recent weeks.

It acts as a virtual emergency operations center, culling and verifying data points.

Watch Duty’s success points to the promise that technologies such as artificial intelligence and sensors will give residents and first responders the real-time information they need to survive and fight natural disasters.

Google and other firms have invested in technology to track fires. Several startup firms are also looking for ways to use AI, sensors and other technologies in natural disasters.

Utility firms work with Gridware, a company that places AI-enhanced sensors on power lines to detect a tree branch touching the line or any other vibrations that could indicate a problem.

Among Watch Duty’s technology partners is ALERTCalifornia, run by the University of San Diego, which has a network of more than 1,000 AI-enhanced cameras throughout the state looking for smoke. The cameras often detect fires before people call emergency lines, Russell said.

Together with ALERTCalifornia’s information, Russell said, “we have become the eyes and ears” of fires.

Another Watch Duty partner is N-5 Sensors, a Maryland-based firm. Its sensors, which are placed in the ground, detect smoke, heat and other signs of fire.

“They’re like a nose, if you will, so they detect smoke anomalies and different chemical patterns in the air,” Russell said.

Watch Duty is available in 22 states, mostly in the western U.S., and plans to expand to all states.

While fire has been its focus, Watch Duty also plans to track other natural disasters such as tornadoes, hurricanes, earthquakes and tsunamis, Russell said.

“Fire is not in the name,” he said. “We want to be that one-stop shop where people can go in those times of duress, to have a source that makes it clear and concise what’s happening.” 
…

WASHINGTON — U.S. President Donald Trump on Thursday signed an executive order related to AI to “make America the world capital in artificial intelligence,” his aide told reporters in the White House’s Oval Office.

The order sets a 180-day deadline for an Artificial Intelligence Action Plan to create a policy “to sustain and enhance America’s global AI dominance in order to promote human flourishing, economic competitiveness, and national security.”

Trump also told his AI adviser and national security assistant to work to remove policies and regulations put in place by former President Joe Biden.

Trump on Monday revoked a 2023 executive order signed by Biden that sought to reduce the risks that artificial intelligence poses to consumers, workers and national security.

Biden’s order required developers of AI systems that pose risks to U.S. national security, the economy, public health or safety to share the results of safety tests with the U.S. government, in line with the Defense Production Act, before they were released to the public.

Trump also signed an executive order creating a cryptocurrency working group tasked with proposing a new regulatory framework for digital assets and exploring the creation of a cryptocurrency stockpile.

The much-anticipated action also ordered that banking services for crypto companies be protected, and banned the creation of central bank digital currencies that could compete with existing cryptocurrencies.

The order sees Trump fulfill a campaign trail pledge to be a “crypto president and promote the adoption of digital assets.”

That is in stark contrast to Biden’s regulators that, in a bid to protect Americans from fraud and money laundering, cracked down on crypto companies, suing exchanges Coinbase, Binance, Kraken and dozens more in federal court, alleging they were flouting U.S. laws.

The working group will be made up of the Treasury secretary, attorney general and chairs of the Securities and Exchange Commission and Commodity Futures Trading Commission, along with other agency heads. The group is tasked with developing a regulatory framework for digital assets, including stablecoins, a type of cryptocurrency typically pegged to the U.S. dollar.

The group is also set to “evaluate the potential creation and maintenance of a national digital asset stockpile … potentially derived from cryptocurrencies lawfully seized by the Federal Government through its law enforcement efforts.”

In December, Trump named venture capitalist and former PayPal executive David Sacks as the crypto and artificial intelligence czar. He will chair the group, the order said.

Finally, Trump signed pardons for 23 anti-abortion protesters on Thursday in the Oval Office of the White House.

The pardons came a day before anti-abortion protesters were due to descend on Washington for the annual March for Life.
…

London — Google’s Android and Apple’s iOS are facing fresh scrutiny from Britain’s competition watchdog, which announced investigations Thursday targeting the two tech giants’ mobile phone ecosystems under new powers to crack down on digital market abuses. 

The Competition and Markets Authority said it launched separate investigations to determine whether the mobile ecosystems controlled by Apple and Google should be given “strategic market status” that would mandate changes in the companies’ practices. 

The watchdog is flexing its newly acquired regulatory muscles again after the new digital market rules took effect at the start of the year. The CMA has already used the new rules, designed to protect consumers and businesses from unfair practices by Big Tech companies, to open an investigation into Google’s search ads business. 

The new investigations will examine whether Apple or Google’s mobile operating systems, app stores and browsers give either company a strategic position in the market. The watchdog said it’s interested in the level of competition and any barriers preventing rivals from offering competing products and services. 

The CMA will also look into whether Apple or Google are favoring their own apps and services, which it said “often come pre-installed and prominently placed on iOS and Android devices.” Google’s YouTube and Apple’s Safari browser are two examples of apps that come bundled with Android and iOS, respectively. 

And it will investigate “exploitative conduct,” such as whether Apple or Google forces app makers to agree to “unfair terms and conditions” as condition for distributing apps on their app stores. 

The regulator has until October to wrap up the investigation. It said it could force either company to, for example, open up access to key functions other apps need to operate on mobile devices. Or it could force them to allow users to download apps outside of their own app stores. 

Both Google and Apple said the work “constructively” with the U.K. regulator on the investigation. 

Google said “Android’s openness has helped to expand choice, reduce prices and democratize access to smartphones and apps. It’s the only example of a successful and viable open source mobile operating system.” 

The company said it favors “a way forward that avoids stifling choice and opportunities for U.K. consumers and businesses alike, and without risk to U.K. growth prospects.” 

Apple said it “believes in thriving and dynamic markets where innovation can flourish. We face competition in every segment and jurisdiction where we operate, and our focus is always the trust of our users.”
…

Before he had been in office for 48 hours, President Donald Trump sent a clear signal that to outpace China, his administration will be pursuing an aggressive agenda when it comes to pushing the United States forward on the development of artificial intelligence and the infrastructure that powers it.

On his first day in office, Trump rescinded an executive order signed in 2023 by former President Joe Biden that sought to place some guardrails around the development of more and more powerful generative AI tools and to create other protections for privacy, civil rights and national security.

The following day, Trump met with the leaders of several leading technology firms, including Sam Altman, CEO of Open AI; Larry Ellison, chairman of Oracle; and Masayoshi Son, CEO of SoftBank, to announce a $500 billion private sector investment in AI infrastructure known as Stargate.

“Beginning immediately, Stargate will be building the physical and virtual infrastructure to power the next generation of advancements in AI, and this will include the construction of colossal data centers,” Trump said in a media event at the White House on Tuesday.

Specifically, Stargate will invest in the creation of as many as 10 huge data centers in the United States that will provide the computing for artificial intelligence systems. The first data center is already under construction in Texas. The massive private sector investment will create up to 100,000 U.S. jobs, the executives said.

Keeping AI in the US

“What we want to do is, we want to keep it in this country,” Trump said. “China is a competitor, and others are competitors. We want it to be in this country, and we’re making it available. I’m going to help a lot through emergency declarations, because we have an emergency. We have to get this stuff built.”

The assembled tech leaders took the opportunity to praise the new president.

“I think this will be the most important project of this era,” Altman said. “We wouldn’t be able to do this without you, Mr. President.”

Janet Egan, a senior fellow in the technology and national security program at the Center for a New American Security, said that all the signals Trump is sending indicate he is serious about maintaining the United States’ current advantages in the development of advanced AI.

“I think this shows that he’s going to have a really clear mind as to how to partner closely with the private sector to enable them to speed up and run fast,” Egan said. “We’ve also seen him take direct action on some of the bottlenecks that are impeding the development of AI infrastructure in the U.S., and a particular focus is energy.”

OpenAI, the creator of ChatGPT, has relied on Microsoft data centers for its computing. The firm reportedly discussed with the Biden administration the regulatory hurdles of planning and permitting when building data centers.

In a policy paper released earlier this month, OpenAI cited the competition with China, laying out its policy proposals to “extending America’s global leadership in AI innovation.”

“Chips, data, energy and talent are the keys to winning on AI — and this is a race America can and must win,” the paper said. “There’s an estimated $175 billion sitting in global funds awaiting investment in AI projects, and if the U.S. doesn’t attract those funds, they will flow to China-backed projects — strengthening the Chinese Communist Party’s global influence.”

Patrick Hedger, director of policy at NetChoice, a technology trade association, told VOA that the Stargate announcement “immediately signaled to me that private capital is more than willing to come off the sidelines these days with the new Trump administration.”

As part of his flurry of executive actions on Monday, Trump eliminated several preexisting executive orders placing limits on fossil fuel extraction and power generation. In the White House event on Monday, Trump also noted that AI data centers consume vast amounts of electricity and said he would be clearing the way for Stargate and other private companies to invest in new energy generation projects.

China competition

While Trump eliminated many of Biden’s executive orders immediately on Monday, he does not appear to have taken action against some of the former president’s other AI-related initiatives. Last year, Biden took several steps to restrict China’s access to cutting-edge technology related to AI, specifically, restricting the ability of companies that sell advanced semiconductors and the machinery used to produce them to Chinese firms.

On that issue, Egan said, Trump and Biden appear to be on the same page.

“I think it’s important to also note the continuity in how Trump’s approaching AI,” she said. “He, too, sees it as a national security risk and national security imperative. … So, I think we should expect to see this run-fast approach to AI complemented by continued efforts to understand and manage emerging risks. Particularly cyber, nuclear, biological risks, as well as a more muscular approach to export controls and enforcement.”

Speed and safety

Louis Rosenberg, CEO and chief scientist at Unanimous AI and a prominent figure in the field for decades, told VOA he thinks there is a bipartisan consensus that AI needs to be developed speedily but also responsibly.

“At the highest level, the accelerating risks around frontier AI is not a partisan issue,” he wrote in an email exchange. “Both parties realize that significant safeguards will be needed as AI gets increasingly intelligent and flexible, especially as autonomous AI agents get released at large scale.”

Rosenberg said the most significant question is how the U.S. can remain the global leader in AI development while making sure the systems that are deployed are safe and reliable.

“I suspect the Trump administration will address AI risks by deploying its own targeted policies that are not as broad as the Biden executive order was but can address real threats much faster,” he wrote. “The Biden executive order was very useful in raising the alarm about AI, but from a practical perspective it did not provide meaningful protections from the important emerging risks.

“Ultimately we need to find a way to move fast on AI development and move fast on AI protection. We need speed on both fronts,” Rosenberg said.

VOA Silicon Valley bureau chief Michelle Quinn contributed to this report.
…

Singapore — TikTok’s short-lived shutdown in the United States has opened a wider debate in other countries regarding access to popular social media platforms by children.

TikTok went dark temporarily Sunday in the U.S. after a new law banning it went into effect. The law required TikTok’s Chinese-owned parent company ByteDance to sell the app’s U.S. operation due to national security concerns over its ties to Beijing.

After his inauguration on Monday, President Donald Trump signed an executive order halting the ban for 75 days, giving ByteDance additional time to find a buyer.

The order provides relief to the app’s 170 million American users, many of them young adults. More than 60% of teenagers in the U.S. ages 13 to 17 use TikTok, with most of them accessing the platform daily, according to data from the Pew Research Center.

The U.S. is not the only country looking to regulate social media and other platforms such as online gaming. While the reasons behind the restrictions vary, a growing number of countries already regulate technology or are proposing legislation to restrict its use.

In Australia, a high-profile social media ban for young adults under the age of 16 will take effect at the end of the year, prohibiting them from creating accounts on TikTok, Facebook, Instagram, X and Snapchat. The government said the ban was a necessary measure to protect children.

“Social media is doing harm to our kids, and I’m calling time on it,” Australian Prime Minister Anthony Albanese told reporters last November.

Websites like YouTube that do not require an account to view content will likely be excluded from the ban.

The Australian government said the onus will be on the social media companies to “take reasonable steps” to prevent children under 16 from creating accounts on their platforms. Companies that do not comply could face fines of more than $30 million. Details of how the law will be enforced remain scarce, with age verification technologies currently being trialed.

Some young Australian users of the platforms remain skeptical about how effective a ban will be.

“I think people will manage to find ways around it, maybe by lying about their age,” 15-year-old Theodore Cagé told VOA.

While Cagé concedes that social media can be a “big distraction from school,” he is against a blanket ban, favoring more measured approaches such as limiting screen time or blocking specific content.

“I reckon it definitely should be more targeted, not just a total ban on everything, because there’s a lot of good stuff out there. It’s not all bad,” he said.

The impending ban has also raised concerns that some children will be left isolated.  

“Social media serves as a lifeline for those youth who do not have supportive homes or local environments. They can find supportive communities on social media”, Lisa Given, a professor of information sciences at RMIT University in Melbourne, told VOA.

Australia’s ban will be closely watched, especially by countries in Asia that are considering their own restrictions for young users.

Indonesia’s communications minister said the Southeast Asian nation is planning a minimum age for social media use and discussed plans last week with President Prabowo Subianto. 

In neighboring Singapore, teenagers under 18 will be moved to a more restrictive Teen Accounts on Instagram starting January 21.

The city-state also issued guidelines in schools to limit screen time for children. Starting March 31, app stores in Singapore will block children under 12 from downloading apps, including TikTok and Instagram.

But in the Southeast Asian financial hub, which prides itself on technological advancements and connectivity, social media still plays a significant role in the daily lives of young people.

Platforms like Snapchat and Instagram “are pretty important for engaging in new relationships or finding new friendships,” 17-year-old Pablo Lane of Singapore told VOA. “It [social media] has had big benefits for me, just broadening the scope of people I can contact.”

China has gone further than other countries in Asia to control children’s access to online networks. In 2021, Beijing introduced new measures restricting children under 18 to just three hours a week.  

 

And in late 2024, new guidelines from China’s cybersecurity regulator called for mobile devices to be equipped with a “minors mode” that would limit screen time for children under 18, including an overnight curfew.

The setting, which parents can turn off, restricts 16 to 18-year-olds to two hours of phone use a day, with eight to 16-year-olds allowed just one hour.

Jeremy Daum, a senior fellow at Yale Law School’s Paul Tsai China Center, said China is also focused on protecting children from harmful content online rather than implementing blanket bans.

“They’re really trying, from a number of different angles, to make a safe web for kids,” he Daum.

Questions remain over whether China’s model could apply elsewhere. 
…

Millions of U.S. TikTok users are looking to newly sworn-in President Donald Trump, who has given the app’s Chinese parent, ByteDance, 75 days to strike a deal with a U.S. buyer.
…

WASHINGTON — President Donald Trump on Tuesday talked up a joint venture investing up to $500 billion for infrastructure tied to artificial intelligence by a new partnership formed by OpenAI, Oracle and SoftBank. 

The new entity, Stargate, will start building data centers and the electricity generation needed for the further development of the fast-evolving AI in Texas, according to the White House. The initial investment is expected to be $100 billion and could reach five times that sum. 

“It’s big money and high quality people,” said Trump, adding that it’s “a resounding declaration of confidence in America’s potential” under his new administration. 

Joining Trump fresh off his inauguration at the White House were Masayoshi Son of SoftBank, Sam Altman of OpenAI and Larry Ellison of Oracle. All three credited Trump for helping to make the project possible, even though building has started and the project goes back to 2024. 

“This will be the most important project of this era,” said Altman, CEO of OpenAI. 

Ellison noted that the data centers are already under construction with 10 being built so far. The chairman of Oracle suggested that the project was also tied to digital health records and would make it easier to treat diseases such as cancer by possibly developing a customized vaccine. 

“This is the beginning of golden age,” said Son, referencing Trump’s statement that the U.S. would be in a “golden age” with him back in the White House. 

Son, a billionaire based in Japan, committed in December to invest $100 billion in U.S. projects over the next four years. He previously committed to $50 billion in new investments ahead of Trump’s first term, which included a large stake in the troubled office-sharing company WeWork. 

While Trump has seized on similar announcements to show that his presidency is boosting the economy, there were already expectations of a massive buildout in data centers and electricity plants needed for the development of AI, which holds the promise of increasing productivity by automating work but also the risk of displacing jobs if poorly implemented. 

The initial plans for Stargate go back to the Biden administration. Tech news outlet The Information first reported on the project in March 2024. OpenAI has long relied on Microsoft data centers to build its AI systems, but it has increasingly signaled an interest in building its own data centers. 

OpenAI wrote in a letter to the Biden administration’s Commerce Department last fall that planning and permitting for such projects “can be lengthy and complex, particularly for energy infrastructure.” 

The push to build data centers also predates Trump’s presidency. Last October, the financial company Blackstone estimated that the U.S. would see $1 trillion invested in data centers over five years, with another $1 trillion being committed internationally. 

Those estimates for investments suggest that much of the new capital will go through Stargate as OpenAI has established itself as a sector leader with the 2022 launch of its ChaptGPT, a chatbot that captivated the public imagination with its ability to answer complex questions and perform basic business tasks. 

The White House has put an emphasis on making it easier to build out new electricity generation in anticipation of AI’s expansion, knowing that the United States is in a competitive race against China to develop a technology increasingly being adopted by businesses. 

Still, the regulatory outlook for AI remains somewhat uncertain as Trump on Monday overturned the 2023 order signed by then-President Joe Biden to create safety standards and watermarking of AI-generated content, among other goals, in hopes of putting guardrails on the technology’s possible risks to national security and economic well-being. 

Trump supporter Elon Musk, worth more than $400 billion, was an early investor in OpenAI but has since challenged its move to for-profit status and has started his own AI company, xAI. Musk is also in charge of the “Department of Government Efficiency” created formally on Monday by Trump with the goal of reducing government spending. 

Trump previously in January announced a $20 billion investment by DAMAC Properties in the United Arab Emirates to build data centers tied to AI. 
…

Washington — TikTok restored services to users in the United States on Sunday after briefly blocking access due to a U.S. law banning the social media platform based on national security concerns. 

The situation played out amid the change in U.S. administrations as President-elect Donald Trump said he would seek to “extend the period of time before the law’s prohibitions take effect.” 

He also proposed, in a post on his Truth Social platform, for the United States to take a 50% ownership stake in TikTok. 

The U.S. Supreme Court on Friday upheld legislation passed by Congress that called for banning TikTok unless its China-based parent company sold it by Sunday. 

The Biden administration had said it would not seek to enforce the ban in its final days in office, leaving the issue to Trump after he took office on Monday. 

TikTok credited Trump as it announced the restoration of its services, saying Sunday on X that he provided “the necessary clarity and assurance to our service providers that they will face no penalties providing TikTok to over 170 million Americans and allowing over 7 million small businesses to thrive.” 

Trump’s actions marked a reversal from his first term in office when he sought to ban TikTok in connection with concerns that the service was sharing the personal information of U.S. users with the Chinese government. 

At a briefing Monday in Beijing, Chinese Foreign Ministry spokesperson Mao Ning said China believes companies should “decide independently” about their operations and agreements. 

“TikTok has operated in the U.S. for many years and is deeply loved by American users,” she said. “We hope that the U.S. can earnestly listen to the voice of reason and provide an open, fair, just and non-discriminatory business environment for firms operating there.” 

Some information for this report was provided by The Associated Press, Agence France-Presse and Reuters. 
…

Bengaluru, India — Within five hours, while sitting at home in India, retired professor Kamta Prasad Singh handed over his hard-earned savings to online fraudsters impersonating police.

The cybercrime known as “digital arrest” — where fraudsters pose online as law enforcement officials and order people to transfer huge amounts of money — has become so rampant that Prime Minister Narendra Modi has issued warnings.

Singh told AFP that money was his life savings.

“Over the years, I have skipped having tea outside, walked to avoid spending on public transport,” the 62-year-old said, his voice breaking.

“Only I know, how I saved my money.”

Police say scammers have exploited the vast gap between the breakneck speed of India’s data digitalization, from personal details to online banking, and the lagging awareness of many of basic internet safety.

Fraudsters are using technology for data breaches, targeting information their victims believe is only available to government authorities, and making otherwise unlikely demands appear credible.

Indians have emptied their bank accounts “out of sheer fear,” Modi said in an October radio broadcast, adding fraudsters “create so much psychological pressure on the victim.”

‘Ruined’

Mobile phones, and especially video calling, have allowed fraudsters to reach straight into people’s homes.

India runs the world’s largest biometric digital identity program — called “Aadhaar,” or foundation in Hindi — a unique card issued to India’s more than one billion people, and increasingly required for financial transactions.

Scammers often claim they are police investigating questionable payments, quoting their target’s Aadhaar number to appear genuine.

They then request their victim make a “temporary” bank transfer to validate their accounts, before stealing the cash.

Singh, from India’s eastern state of Bihar, said the web of lies began when he received a call in December, seemingly from the telecom regulatory authority.

“They said… police were on their way to arrest me,” Singh said.

The fraudsters told Singh that his Aadhaar ID was being misused for illegal payments.

Terrified, Singh agreed to prove he had control of his bank account, and after spiraling threats, transferred over $16,100.

“I have lost sleep; don’t feel like eating,” he said. “I have been ruined.”

‘Rot in proverbial hell’

The surge of online scams is worrying because of “how valid they make it look and sound,” said police officer Sushil Kumar, who handled cybercrimes for half a decade.

The perpetrators range from school dropouts to highly educated individuals.

“They know what to search for on the internet to find out basic details of how government agencies work,” Kumar added.

India registered 17,470 cybercrimes in 2022, including 6,491 cases of online bank fraud, according to the latest government data.

Tricks vary. Kaveri, 71, told AFP her story, on condition her name was changed.

She said fraudsters posed as officials from the U.S. courier FedEx, claiming she had sent a package containing drugs, passports and credit cards.

They offered her full name and Aadhaar ID details as “proof,” followed by well-forged letters from the Central Bank of India and Central Bureau of Investigation, the country’s top investigative agency.

“They wanted me to send money, which would be returned in 30 minutes,” she said, adding she was convinced when they sent a “properly signed letter.”

She transferred savings from a house sale, totaling around $120,000, in four instalments over six days, before the fraudsters vanished.

Kaveri says those days felt “like a tunnel.”

Meeta, 35, a private health professional from Bengaluru, who also did not want to be identified, was conned by fake police via a video call.

“It seemed like a proper police station, with walkie-talkie noises,” she said.

The scammers told her to prove she controlled her bank account by taking out a loan of 200,000 rupees, or $2,300, via her bank’s phone app, before demanding she make a “temporary” transfer.

Despite making it clear to the bank that she had been scammed, Meeta continues to be asked to pay back the loan.

“My trust in banks has mostly gone,” she said, before cursing the thieves.

“I hope they rot in proverbial hell.”
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SAN FRANCISCO — If it feels like TikTok has been around forever, that’s probably because it has, at least if you’re measuring via internet time. What’s now in question is whether it will be around much longer and, if so, in what form?

Starting in 2017, when the Chinese social video app merged with its competitor Musical.ly, TikTok has grown from a niche teen app into a global trendsetter. While, of course, also emerging as a potential national security threat, according to U.S. officials.

On April 24, President Joe Biden signed legislation requiring TikTok parent ByteDance to sell to a U.S. owner within a year or to shut down. TikTok and its China-based parent company, ByteDance, filed a lawsuit against the U.S., claiming the security concerns were overblown and the law should be struck down because it violates the First Amendment.

The Supreme Court on Friday unanimously upheld the federal law banning TikTok, and the popular short form video service went dark in the U.S. — just hours before the ban was set to begin.

Here’s how TikTok came to this juncture:

March 2012

ByteDance is founded in China by entrepreneur Zhang Yimin. Its first hit product is Toutiao, a personalized news aggregator for Chinese users.

July 2014

Startup Musical.ly, later known for an eponymous app used to post short lipsyncing music videos, is founded in China by entrepreneur Alex Zhu.

July 2015

Musical.ly hits #1 in the Apple App Store, following a design change that made the company’s logo visible when users shared their videos.

2016

ByteDance launches Douyin, a video sharing app for Chinese users. Its popularity inspires the company to spin off a version for foreign audiences called TikTok.

November 2017

ByteDance acquires Musical.ly for $1 billion. Nine months later, ByteDance merges it with TikTok.

Powered by an algorithm that encourages binge-watching, users begin to share a wide variety of video on the app, including dance moves, kitchen food preparation and various “challenges” to perform, record and post acts that range from serious to satirical.

February 2019

Rapper Lil Nas X releases the country-trap song “Old Town Road” on TikTok, where it goes viral and pushes the song to a record 17 weeks in the #1 spot on the Billboard Hot 100 chart. The phenomenon kicks off a wave of TikTok videos from musical artists who suddenly see TikTok as a critical way to reach fans.

TikTok settles federal charges of violating U.S. child-privacy laws and agrees to pay a $5.7 million fine.

September 2019

The Washington Post reports that while images of Hong Kong democracy protests and police crackdowns are common on most social media sites, they are strangely absent on TikTok. The same story notes that TikTok posts with the #trump2020 tag received more than 70 million views.

The company insists that TikTok content moderation, conducted in the U.S., is not responsible and says the app is a place for entertainment, not politics.

The Guardian reports on internal documents that reportedly detail how TikTok instructs its moderators to delete or limit the reach of videos touching on topics sensitive to China such as the 1989 Tiananmen Square protests and subsequent massacre, Tibetan independence or the sanctioned religious group Falun Gong.

October 2019

U.S. politicians begin to raise alarms about TikTok’s influence, calling for a federal investigations of its Musical.ly acquisition and a national security probe into TikTok and other Chinese-owned apps. That investigation begins in November, according to news reports.

December 2019

The Pentagon recommends that all U.S. military personnel delete TikTok from all phones, personal and government-issued. Some services ban the app on military-owned phones. In January, the Pentagon bans the app from all military phones.

TikTok becomes the second-most downloaded app in the world, according to data from analytics firm SensorTower.

May 2020

Privacy groups file a complaint alleging TikTok is still violating U.S. child-protection laws and flouting a 2019 settlement agreement. The company “takes the issue of safely seriously” and continues to improve safeguards, it says.

TikTok hires former Disney executive Kevin Mayer as its chief executive officer in an apparent attempt to improve its U.S. relations. Mayer resigns three months later.

July 2020

India bans TikTok and dozens of other Chinese apps in response to a border clash with China.

President Donald Trump says he is considering banning TikTok as retaliation for China’s alleged mishandling of the COVID-19 pandemic.

August 2020

Trump issues a sweeping but vague executive order banning American companies from any “transaction” with ByteDance and its subsidiaries, including TikTok. Several days later, he issues a second order demanding that ByteDance divest itself of TikTok’s U.S. operations within 90 days.

Microsoft confirms it is exploring acquisition of TikTok. The deal never materializes; neither does a similar overture from Oracle and Walmart. TikTok, meanwhile, sues the Trump administration for alleged violation of due process in its executive orders.

November 2020

Joe Biden is elected president. He doesn’t offer new policy on TikTok and won’t take office until January, but Trump’s plans to force a sale of TikTok start to unravel anyway. The Trump administration extends the deadlines it had imposed on ByteDance and TikTok and eventually lets them slide altogether.

February 2021

Newly sworn-in President Joe Biden postpones the legal cases involving Trump’s plan to ban TikTok, effectively bringing them to a halt.

September 2021

TikTok announces it has more than a billion monthly active users.

December 2021

A Wall Street Journal report finds TikTok algorithms can flood teens with a torrent of harmful material such as videos recommending extreme dieting, a form of eating disorder.

February 2022

TikTok announces new rules to deter the spread of harmful material such as viral hoaxes and promotion of eating disorders.

April 2022

“The Unofficial Bridgerton Musical,” a project created by two fans of the Netflix show as a TikTok project, wins the Grammy for Best Musical Theater Album.

TikTok becomes the most downloaded app in the world, beating out Instagram, according to SensorTower data.

June 2022

BuzzFeed reports that China-based ByteDance employees have repeatedly accessed the nonpublic information of TikTok users, based on leaked recordings from more than 80 internal TikTok meetings. TikTok responds with a vague comment touting its commitment to security that doesn’t directly address the BuzzFeed report.

TikTok also announces it has migrated its user data to U.S. servers managed by the U.S. tech firm Oracle. But that doesn’t prevent fresh alarm among U.S. officials about the risk of Chinese authorities accessing U.S. user data.

December 2022

FBI Director Christopher Wray raises national security concerns about TikTok, warning that Chinese officials could manipulate the app’s recommendation algorithm for influence operations.

ByteDance also said it fired four employees who accessed data on journalists from Buzzfeed News and The Financial Times while attempting to track down leaks of confidential materials about the company.

February 2023

The White House gives federal agencies 30 days to ensure TikTok is deleted from all government-issued mobile devices. Both the FBI and the Federal Communications Commission warn that ByteDance could share TikTok user data with China’s authoritarian government.

March 2023

Legislators grill TikTok CEO Shou Zi Chew at a six-hour congressional hearing where Chew, a native of Singapore, attempts to push back on assertions that TikTok and ByteDance are tools of the Chinese government.

January 2024

TikTok said it was restricting a tool some researchers use to analyze popular videos on the platform.

March 2024

A bill to ban TikTok or force its sale to a U.S. company gathers steam in Congress. TikTok brings dozens of its creators to Washington to tell lawmakers to back off, while emphasizing changes the company has made to protect user data. TikTok also annoys legislators by sending notifications to users urging them to “speak up now” or risk seeing TikTok banned; users then flood congressional offices with calls.

The House of Representatives passes the TikTok ban-or-sell bill.

April 2024

The Senate follows suit, sending the bill to President Biden, who signs it.

May 2024

TikTok and its Chinese parent company ByteDance sue the U.S. federal government to challenge a law that would force the sale of ByteDance’s stake or face a ban, saying that the law is unconstitutional.

June 2024

Former President Donald Trump joins TikTok and begins posting campaign-related content.

July 2024

Vice President Kamala Harris joins TikTok and also begins posting campaign-related material.

Dec. 6, 2024

A federal appeals court panel unanimously upheld a law that could lead to a ban on TikTok, handing a resounding defeat to the popular social media platform as it fights for its survival in the U.S. The panel of judges rebuffed the company’s challenge of the statute, which it argued had ran afoul of the First Amendment.

Dec. 27, 2024

President-elect Donald Trump asked the Supreme Court to pause the potential TikTok ban from going into effect until his administration can pursue a “political resolution” to the issue.

Jan. 17, 2025

The Supreme Court unanimously upheld the federal law banning TikTok beginning unless it’s sold by its China-based parent company, holding that the risk to national security posed by its ties to China overcomes concerns about limiting speech by the app. A ban is set to into effect on Jan. 19, 2025.

Jan. 18, 2025

TikTok users in the United States were prevented from watching videos on the popular social media platform just hours before a federal ban was set to take effect.

“A law banning TikTok has been enacted in the U.S.,” a message in the app said. “Unfortunately, that means you can’t use TikTok for now.”

The company’s app was also removed from prominent app stores, including the ones operated by Apple and Google, while its website told users that the short-form video platform was no longer available.

Jan. 19, 2025

Shortly after the app went dark for U.S. users, Trump said he would issue an executive order upon taking office to grant TikTok an extension so that it could remain online.

A few hours later, TikTok restored service to users in the United States, saying that Trump had provided “the necessary clarity and assurance to our service providers that they will face no penalties providing TikTok to over 170 million Americans.”
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