Category: Communications

  • Trump’s quest for chip revenue share is seen as a threat to global stability

    Trump’s quest for chip revenue share is seen as a threat to global stability

    The revenue-for-exports deal between the US government and two of the world’s biggest chipmakers opens a new front in a trading regime turned upside down by Donald Trump.

    Nvidia Corp. and Advanced Micro Devices Inc. agreed to pay the US government 15% of revenue from some chip sales to China. The chips — Nvidia’s H20 AI accelerator and AMD’s MI308 chips — were earlier banned by the Trump administration and require export licenses to sell.

    “To call this unusual or unprecedented would be a staggering understatement,” said Stephen Olson, a former US trade negotiator now with the Singapore-based ISEA — Yusof Ishak Institute. “What we are seeing is in effect the monetization of US trade policy in which US companies must pay the US government for permission to export. If that’s the case, we’ve entered into a new and dangerous world.”

    The chip-payment arrangement may face legal challenges because it could be construed as an export tax, something that’s not allowed under the constitution, trade experts said. The proposal is the latest direct government intervention into business and finance since Trump returned to the Oval Office in January. As well as a chaotic tariff campaign and persistent criticism of a sitting Federal Reserve chairman, Trump has used his Truth Social platform for everything from calling on CEOs to resign to offering commentary on corporate advertising campaigns.

    Trump’s transactional policy approach saw him approve the sale of United States Steel Corp. to Japan’s Nippon Steel Corp. in a $14.1 billion deal that included caveats such as agreeing to US national security rules and a “golden share” for the US government. Japan, South Korea and the European Union all pledged to invest billions in the US, helping secure tariff rates of 15%, while companies such as Apple Inc. have also skirted levies by promising to invest hundreds of billions of dollars.

    Trump signaled on Monday that he’d be open to allowing Nvidia to sell a scaled-back version of its most advanced AI chip to China. Trump said he would consider a deal that would allow Nvidia to ship its Blackwell chips to China if the company could design it to be less advanced.

    “It’s possible I’d make a deal” on a “somewhat enhanced — in a negative way — Blackwell” processor, he said in a briefing with reporters. “In other words, take 30% to 50% off of it.”

    The Nvidia and AMD revenue-sharing deals may now prompt the White House to target other industries and goods, according to Deborah Elms, head of trade policy at the Hinrich Foundation in Singapore.

    “The sky is the limit,” she said. “You could come up with all sorts of company-specific, country-specific combinations that would say, ‘No one else can trade, but if you pay us directly, then you get the ability to trade.’”

    Although Nvidia and AMD agreed to the terms, there are questions about the legality of the agreement, Elms said. The arrangement looks like an export tax, which is forbidden by the US Constitution.

    The Trump administration is already in the midst of a lawsuit related to his use of the International Emergency Economic Powers Act to levy what he called “reciprocal” tariffs on the world. On Friday, Trump warned of a “GREAT DEPRESSION” if US courts ruled that his tariffs were illegal.

    Chips are at the heart of the US-China battle to dominate industries of the future such as AI and automation. The Biden administration restricted the sale of advanced chips to China, prompting Nvidia to develop the H20 to comply with those restrictions. Trump administration officials tightened export controls in April by barring Nvidia from selling the chips without a permit.

    Last month, however, the White House decided to allow Nvidia and AMD to resume sales of chips designed specifically for the Chinese market, which are several rungs below the most advanced artificial intelligence accelerators. Commerce Secretary Howard Lutnick said the administration wanted Chinese developers “addicted” to American technology.

    China has grown increasingly hostile to the idea of Chinese firms deploying the H20, particularly after the US called for the chips to be installed with tracking technology to better enforce export controls. Yuyuantantian, a social media account affiliated with state-run China Central Television that regularly signals Beijing’s thinking about trade, on Sunday slammed the chip’s supposed security vulnerabilities and inefficiency.

    Still, Chinese companies could use the H20s because domestic firms can’t produce enough AI chips to meet demand. That potentially provides an opportunity for Nvidia and AMD to sell more — and now for the US government to earn additional revenue as well.

    Trump extended a pause of sky-high tariffs on Chinese goods for another 90 days into early November, stabilizing trade ties between the world’s two largest economies.

    “There’s clearly a shift by the administration to take a lighter national security stance as these negotiations are ongoing,” said Drew DeLong, lead in geopolitical dynamics practice at Kearney, a global strategy and management consulting firm.

    While the US has intervened before, including by taking stakes in private companies after the 2008 financial crisis, a similar deal like the one struck with Nvidia and AMD is hard to remember and — without proper oversight — could lead to a “crony capitalism state,” according to Scott Kennedy, senior adviser at the Center for Strategic and International Studies in Washington.

    “It represents a huge shift in the way the American economy is supposed to operate,” Kennedy said. “It won’t make anyone happy except maybe the Chinese, who will get their chips and watch the US political system go through gyration and domestic tensions.” Bloomberg

  • As per CEO, Orange is open to M&A debates with SFR

    As per CEO, Orange is open to M&A debates with SFR

    Orange is open to consolidation talks with French rival SFR, pending the completion of its debt restructuring, the chief executive of France’s biggest telecom provider said.

    “I can confirm that, France being our first market, we are ready to engage and indeed, there are preliminary discussions between operators,” CEO Christel Heydemann said in a post-earnings call with analysts.

    She did not specify if SFR, also one of France’s top operators, was one of the companies Orange was talking to.

    “We do think there is a need for consolidation – it is true in France and it is true in Europe,” Heydemann said.

    Orange reported a 3.8% rise in its half-year core earnings after leases (EBITDAaL), buoyed by a strong performance in the French market and continued double-digit percentage growth in Africa and the Middle East.

    It also said it planned to finalise the signing of its Spanish fibre network joint venture within the previously announced time frame.

    “This will be completed in terms of signing by the end of the summer, and then the closing will be before the end of the year,” finance chief Laurent Martinez told journalists.

    MasOrange, owned by Orange and MasMovil, is set to hold 50% of the venture, while Vodafone Spain, owned by Zegona Communications, will hold 10%. The remaining 40% is yet to be assigned to an investor, with Martinez declining to comment on whether a partner had been identified.

    Orange had 15.5 million fibre-to-the-home customers globally at the end of the reporting period, up from 15 million in the last quarter. Its number of mobile customers worldwide grew to 98.1 million from 95.7 million three months ago.

    Its half-year EBITDAaL – a common earnings metric used by telecom firms – was 5.66 billion euros ($6.55 billion) and met analysts’ consensus in the first half of 2025.

    The company also nudged up its full-year EBITDAaL target to more than 3% growth, from around 3% previously. Reuters

  • Shanghai hosts China’s premier AI event, which aims to surpass the US

    Shanghai hosts China’s premier AI event, which aims to surpass the US

    Star founders, Beijing officials and deep-pocketed financiers converge on Shanghai by the thousands this weekend to attend China’s most important AI summit. At the top of the agenda: how to propel Beijing’s ambitions to leapfrog the US in artificial intelligence — and profit off that drive.

    The World Artificial Intelligence Conference, which has featured Elon Musk and Jack Ma in years past, was devised to showcase the cutting-edge of Chinese technology. This year’s attendance may hit a record as it’s taking place at a critical juncture in the US-Chinese tech rivalry.

    This week, US President Donald Trump unveiled his so-called AI Action Plan — a sort of call to arms to ensure the country keeps its lead in the post-ChatGPT epoch. At the same time, the emergence of DeepSeek in January galvanized a generation of Chinese developers to ride a nationwide investment and innovation wave. From Alibaba Group Holding Ltd. to fledgling firms such as Minimax, the country’s aspirants in the field have since moved aggressively to try and close the gap with the likes of OpenAI and Google.

    “While many recognize DeepSeek’s achievements, this represents just the beginning of China’s AI innovation wave,” said Louis Liang, an AI sector investor with Ameba Capital. “We are witnessing the advent of AI mass adoption, this goes beyond national competition.”

    The Shanghai conference rundown for now remains largely unknown — as it has in years past just days before kickoff. Chinese Premier Li Qiang will attend, and tech leaders from Tencent Holdings Ltd. to ByteDance Ltd. and startups like Zhipu AI and Moonshot are likely to turn out in force. On Friday, shares in AI-linked Chinese companies including CloudWalk Technology Co. climbed sharply.

    Here’s what we can expect from the summit starting Saturday.

    DeepSeek’s Aura
    Neither the startup nor its reclusive founder Liang Wenfeng feature in the advance literature for the event. And yet, the two-year-old firm is likely to be one of the topics du jour. Bloomberg

  • Launch of the NISAR Earth Observation Satellite is set on July 30

    Launch of the NISAR Earth Observation Satellite is set on July 30

    The unique Earth observation satellite NASA-ISRO Synthetic Aperture Radar (NISAR) will be launched through the GSLV-S16 on July 30, said ISRO chairman V Narayanan.

    Weighing 2,392 kg, NISAR is a unique Earth observation satellite and the first to observe the Earth with a dual-frequency Synthetic Aperture Radar (NASA’s L-band and ISRO’s S-band) both using NASA’s 12m unfurlable mesh reflector antenna, integrated to ISRO’s modified 13k satellite bus.

    It will observe earth with a swath of 242 km and high spatial resolution, using SweepSAR technology for the first time, according to the space agency.

    It will be launched from the Satish Dhawan Space Centre, Sriharikota.

    “The Earth observation satellite jointly developed by ISRO and NASA will be sent into space on July 30 by the GSLV-F16 rocket made in India,” Indian Space Research Organisation chairman V Narayanan said.

    It will be launched at a distance of 740 km. It can take pictures of the earth 24 hours a day in all weather conditions and the satellite can detect landslides, aid in disaster management and monitor climate change, he said while speaking to reporters at the airport in Chennai on Sunday (July 27, 2025) night.

    “The satellite will benefit India, the US and the entire world… it is also crucial for monitoring earth’s natural resources,” he added.

    On Gaganyaan, India’s human spaceflight Mission, Narayanan said a humanoid, called Vyommitra, will be sent into space in December this year. Once it proved to be successful, two other uncrewed missions would be launched next year.

    Following the success, the Gaganyaan Mission will be launched in March 2027 as Prime Minister Narendra Modi has said.

    ‘NISAR’ launch will upscale ISRO’s international collaborations, says Jitendra Singh
    Union Minister for Science and Technology Dr Jitendra Singh disclosed that the much-anticipated launch of the NASA-ISRO Synthetic Aperture Radar (NISAR) satellite mission is scheduled for July 30, 2025, at 17:40 hrs from the Satish Dhawan Space Centre, Sriharikota.

    As the first joint Earth observation mission between the Indian Space Research Organisation (ISRO) and the United States’ National Aeronautics and Space Administration (NASA), the event marks a defining moment in the journey of Indo-US space cooperation and also in ISRO’s overall international collaborations, he said. The mission will be launched aboard India’s GSLV-F16 rocket.

    Singh, who has been monitoring the mission closely, said the launch reflects the maturing of strategic scientific partnerships and India’s emergence as a credible global player in advanced Earth observation systems. While expressing his wish to be physically present in Sriharikota to witness the historic event, the Minister acknowledged that the ongoing Parliament session may hold him back in Delhi.

    “This mission is not just about a satellite launch–it is a moment that symbolises what two democracies committed to science and global welfare can achieve together. NISAR will not only serve India and the United States but will also provide critical data for countries around the world, especially in areas like disaster management, agriculture, and climate monitoring,” said Dr Singh.

    Singh further noted that this mission lives up to Prime Minister Narendra Modi’s vision of India becoming a ‘Vishwa Bandhu’–a global partner that contributes to the collective good of humanity.

    A key feature of the mission is that all data generated by NISAR will be made freely accessible within one to two days of observation and in near real-time in case of emergencies. This democratisation of data is expected to support global scientific research and decision-making, especially for developing countries that may not have access to similar capabilities.

    Notably, the NISAR mission is the first time a GSLV rocket is being used to place a satellite in sun-synchronous polar orbit, signalling ISRO’s growing technical sophistication in supporting diverse space missions. The dual radar payload aboard NISAR will employ SweepSAR technology for high-resolution, all-weather, day-and-night imaging of the Earth’s surface with a wide swath of 242 kilometres.

    The Union Minister also underlined the importance of Earth observation missions in the context of climate resilience and sustainable development. “Missions like NISAR are no longer confined to scientific curiosity — they are instrumental in planning, risk assessment, and policy intervention. As climate change impacts intensify, timely and accurate data from satellites like NISAR will be indispensable for governments to act proactively,” he said.

    While the mission has seen a long gestation period of over a decade and a joint investment exceeding $1.5 billion, the payoff in terms of global utility and technological advancement is expected to be transformative. The launch of NISAR is being closely watched by space agencies, environmental researchers, and policymakers worldwide.

    As the countdown to July 30 begins, Dr Jitendra Singh reiterated that India’s space program under the guidance of Prime Minister Modi is steadily transitioning from traditional utility-based missions to those that position the country as a knowledge contributor to the global commons. “NISAR is not just a satellite; it is India’s scientific handshake with the world,” he said. PTI

  • Bharti Airtel exceeds TCS & sets a new market value milestone

    Bharti Airtel exceeds TCS & sets a new market value milestone

    Bharti Airtel (Airtel) on Monday edged past Tata Consultancy Services (TCS) to become the country’s third most valuable company.

    At the last close, the telecom major was valued at Rs 11.45 trillion, while TCS’ market capitalisation stood at Rs 11.43 trillion. Occupying the top positions were Reliance Industries and HDFC Bank with market capitalisations of Rs 19.3 trillion and Rs 15.34 trillion, respectively.

    The two stocks have moved in opposite directions over the past year. While Airtel is up 30 per cent over the past year, TCS is down 26 per cent, leading to the 56 percentage point difference between the two over this period.

    The gains for Airtel are on the back of subscriber premiumisation, fall in capex intensity and expectation of higher free cash flows going ahead. Jefferies in a recent report pointed out that at 42 per cent annual earnings growth and one-time price to earnings growth, Airtel is the cheapest stock among Indian consumer/largecap space.

    The brokerage expects strong growth and falling capex intensity to drive a 25 per cent annual growth in free cash flows and a 70 per cent rise in return on capital employed by FY28.

    Airtel, according to the brokerage, is on track to $200 billion in market capitalisation (around $130 billion now) in two years given that mega-caps in telecom have emerged only from those countries that have high-population (300 million plus) and limited competition (<4 operators).

    On the other hand, the country’s largest software company is struggling with falling growth and muted outlook. What has plagued the software sector and the company are delays in decision-making and project commencement amid heightened macro uncertainty. While the management expects FY26 to be better than FY25, aided by a recovery in the second half and led by a strong deal pipeline, near-term demand remains muted, mainly due to macroeconomic uncertainty and geopolitical factors.

    “Much against the industry perspective that the worst was largely behind in Q4FY25, it looks like that uncertainty’s impact on demand intensified in Q1FY26, leading to even sectors like BFSI declining on a Q-o-Q basis,” BOB Capital Markets in a post Q1 note said.

    The slowdown intensification has caught TCS by surprise, leading to lowering of utilisation and, therefore, impacting its margins adversely, said the brokerage, which has a hold rating. Business Standard

  • China rejects its role in the cyberattacks on Singaporean infra

    China rejects its role in the cyberattacks on Singaporean infra

    The Chinese embassy in Singapore refuted claims that an espionage group accused of performing cyberattacks on Singapore’s critical infrastructure was linked to China.

    In a Facebook post published over the weekend, the Chinese embassy said such claims were “groundless smears and accusations”.

    “The embassy would like to reiterate that China is firmly against and cracks down all forms of cyberattacks in accordance with law. China does not encourage, support or condone hacking activities.”

    A Singapore minister said the espionage group UNC3886 was “going after high value strategic threat targets, vital infrastructure that delivers essential services” but did not give details of the attacks.

    The minister did not link the group to China but Google-owned cybersecurity firm Mandiant has described UNC3886 as a “China-nexus espionage group” that has attacked defence, technology and telecommunications organisations in the United States and Asia.

    Beijing routinely denies any allegations of cyberespionage, and says it opposes all forms of cyberattacks and is in fact a victim of such threats.

    Singapore’s critical infrastructure sectors include energy, water, banking, finance, healthcare, transport, government, communication, media, as well as security and emergency services, according to the country’s cyber agency. Reuters

  • Reliance Industries posts its highest-ever profit, its shares fall

    Reliance Industries posts its highest-ever profit, its shares fall

    Shares of Reliance Industries Ltd (RIL) slipped in trade on Monday after the diversified conglomerate reported its earnings report for the quarter ended June 30, sparking bullish brokerage commentary.

    Reliance Industries reported a 77 percent gain in net profit for the June quarter to Rs 30,783 crore, driven by a one-time gain from divesting its stake in Asian Paints. Even after excluding the Rs 8,924 crore gain, profit was up 25 percent year-on-year, as against Rs 15,138 crore in the same quarter last year.

    Further, consolidated revenue rose 6 percent to Rs 2.73 lakh crore, while EBITDA climbed 36 percent to Rs 58,024 crore.

    Segment-wise performance
    Jio Platforms posted a 25 percent rise in profit to Rs 7,110 crore, with EBITDA up nearly 24 percent to Rs 18,135 crore. Net subscriber additions remained strong at 9.9 million during the quarter, taking the total to 498.1 million.

    Reliance Retail’s revenue rose 11.3 percent from a year earlier to Rs 84,171 crore, with EBITDA rising 12.7 percent to Rs 6,381 crore. Consumer brands under the FMCG business reported sales of Rs 11,450 crore in just their second year.

    The oil-to-chemicals (O2C) business saw revenue dip 1.5 percent to Rs 1.55 lakh crore from a year earlier due to lower crude prices and planned maintenance shutdowns. However, EBITDA rose 11 percent to Rs 14,511 crore due to favourable margins on domestic fuel retail, and improvements in transportation fuel cracks.

    On the new energy business of RIL, which is focused on building a comprehensive and integrated renewable energy ecosystem, Karan Suri, Senior Vice President, New Energy, noted that the new energy business will become a self-funded platform in a few years through its profitability and monetisation.

    Should you buy, sell, or hold?
    Motilal Oswal has maintained a ‘Buy’ rating on Reliance Industries with a target price of Rs 1,700, expecting strong growth across key segments. Reliance Jio is seen as the main driver, with the brokerage expecting a 19 percent EBITDA CAGR over FY25-28, supported by a likely tariff hike, market share gains, and continued expansion.

    According to the brokerage, Reliance Retail’s growth is also expected to recover, with 14-15 percent CAGR in revenue and EBITDA. A rebound in the oil-to-chemicals segment, aided by better refining margins, is likely to lift overall earnings, with RIL’s consolidated EBITDA and PAT projected to grow at an 11 percent annual average over FY25–27.

    Morgan Stanley maintained its ‘overweight’ rating with a target price of Rs 1,617. The broking house noted the optimistic guidance from the company, including a plan to double earnings by 2029, despite some near-term misses in retail revenue growth and fuel refining performance. Going ahead, Morgan Stanley believes that the new energy and telecom segments, along with a strong balance sheet, are key positives for RIL.

    Jefferies has reiterated its ‘buy’ rating on Reliance Industries with a target price of Rs 1,726. While the oil-to-chemicals (O2C) segment was impacted by a refinery shutdown, the brokerage sees a constructive outlook for refining going forward.

    According to Jefferies, investor focus will shift to the upcoming AGM, with hopes of a Jio listing following a likely tariff hike. The brokerage projected an EBIDTA growth for the full financial year 2026 at 11 percent.

    Japan-based Nomura also kept its bullish view intact, with a ‘buy’ call on Reliance Industries and a target price of Rs 1,600 per share. Moneycontrol

  • Perplexity exceeds ChatGPT to dominate the Indian iOS charts

    Perplexity exceeds ChatGPT to dominate the Indian iOS charts

    Just a day after Bharti Airtel offered a free 12-month subscription of Perplexity Pro to its over 36 crore Indian users, the Perplexity app has experienced an unprecedented surge in downloads in the country, particularly on iOS.

    The Airtel promotional deal has propelled Perplexity to the top spot in the App Store in India, nudging OpenAI’s ChatGPT from the pole position. The milestone was highlighted by Perplexity AI CEO Aravind Srinivas through a post on LinkedIn.

    “Perplexity is now the #1 overall app on the App Store in India, ahead of ChatGPT,” Srinivas declared in his post.

    Notably, Perplexity has been on the App Store for several months. The app provides access to Perplexity’s free and Pro features, including enhanced search features, access to large language models like GPT-4.1, Claude, and Grok 4 by xAI, image generation, research tools, greater daily limits, along with the Labs functionality.

    Although it serves as an AI-driven web search engine, it has not managed to surpass OpenAI’s ChatGPT in the App Store rankings. However, the Airtel collaboration did the trick.

    The Indian telecom operator announced a day before that Perplexity Pro, the paid version of the app, will be available at scale. Perplexity Pro is normally priced at Rs 17,000 annually.

    Through the Airtel offer, users can now enjoy a year-long subscription at no cost, which made more users sign up and experience the service. While Perplexity Pro can be availed through Safari or Chrome browsers as well, downloads from the App Stores saw a huge upsurge after the offer.

    Airtel has said that the collaboration seeks to provide AI-driven search capabilities to all of its users, including students, professionals, and families.

    Srinivas added, “This partnership is an exciting way to make accurate, trustworthy, and professional-grade AI accessible to more people in India—whether they are students, working professionals, or managing a household.” NDTV Profit

  • A Russian legislator vows to ban WhatsApp & urges users to leave

    A Russian legislator vows to ban WhatsApp & urges users to leave

    WhatsApp should prepare to leave the Russian market, a lawmaker who regulates the IT sector said on Friday, warning that the messaging app owned by Meta Platforms was likely to be put on a list of restricted software.

    President Vladimir Putin last month signed a law authorising the development of a state-backed messaging app integrated with government services, as Russia strives to reduce its dependence on platforms such as WhatsApp and Telegram.

    Anton Gorelkin, deputy head of the lower house of parliament’s information technology committee, said in a statement on Telegram that the state-backed app, MAX, could gain market share if WhatsApp – used by 68% of Russians daily – left.

    “It’s time for WhatsApp to prepare to leave the Russian market,” Gorelkin said, adding that Meta is designated as an extremist organisation in Russia.

    The company’s Facebook and Instagram social media platforms have been banned in Russia since 2022, when Moscow sent tens of thousands of troops into Ukraine.

    Russian lawmakers this week approved sweeping legal amendments, proposing fines of up to 5,000 roubles ($63) for anyone searching for material online that the government deems extremist – which includes not just the likes of Instagram and Facebook, but many opposition politicians and activists.

    The move drew criticism, including from some Kremlin backers such as Margarita Simonyan, a state media executive who said journalists would be unable to investigate activities of opposition groups such as the Anti-Corruption Fund of late opposition figure Alexei Navalny.

    Anton Nemkin, a member of the parliament’s IT committee, said WhatsApp’s fate in Russia was now predetermined.

    “The presence of such a service in Russia’s digital space is, in fact, a legal breach of national security,” the TASS news agency quoted Nemkin as saying.

    Asked if WhatsApp might leave Russia, Kremlin spokesman Dmitry Peskov said all services must abide by Russian law.

    Russia has long sought to establish what it calls digital sovereignty by promoting home-grown services.

    Critics have voiced concerns that Russia’s new state-backed messaging app may track its users’ activities and have suggested Russia could slow WhatsApp’s speeds to encourage downloads.

    Alphabet’s YouTube has seen its audience in Russia drop sharply in the last year to fewer than 10 million daily users from more than 40 million in mid-2024, as slower download speeds have made it harder for people to access.

    The Kremlin this week published a list of instructions from Putin, including an order to introduce additional restrictions on the use in Russia of software, including communication services, produced in “unfriendly countries” that have imposed sanctions against Russia.

    Putin gave a deadline of September 1. Gorelkin, referring to Putin’s order, said WhatsApp was likely to be among those communication services restricted.

    Shares in state-controlled technology company VK, which is developing homegrown digital services like VK Video, a rival to YouTube, climbed 1.9%. US News

  • EU publishes rules under the AI Act for high-risk AI models

    EU publishes rules under the AI Act for high-risk AI models

    The European Commission set out guidelines on Friday to help AI models it has determined have systemic risks and face tougher obligations to mitigate potential threats comply with European Union artificial intelligence regulation (AI Act).

    The move aims to counter criticism from some companies about the AI Act and the regulatory burden while providing more clarity to businesses which face fines ranging from 7.5 million euros ($8.7 million) or 1.5% of turnover to 35 million euros or 7% of global turnover for violations.

    The AI Act, which became law last year, will apply on Aug. 2 for AI models with systemic risks and foundation models such as those made by Google, OpenAI, Meta Platforms, Anthropic and Mistral. Companies have until August 2 next year to comply with the legislation.

    The Commission defines AI models with systemic risk as those with very advanced computing capabilities that could have a significant impact on public health, safety, fundamental rights or society.

    The first group of models will have to carry out model evaluations, assess and mitigate risks, conduct adversarial testing, report serious incidents to the Commission and ensure adequate cybersecurity protection against theft and misuse.

    General-purpose AI (GPAI) or foundation models will be subject to transparency requirements such as drawing up technical documentation, adopt copyright policies and provide detailed summaries about the content used for algorithm training.

    “With today’s guidelines, the Commission supports the smooth and effective application of the AI Act,” EU tech chief Henna Virkkunen said in a statement. Reuters