TikTok Warns of Broader Consequences if US Supreme Court Allows Ban

US, Chinese flags, TikTok logo and gavel are seen in this illustration taken January 8, 2025. REUTERS/Dado Ruvic/Illustration
US, Chinese flags, TikTok logo and gavel are seen in this illustration taken January 8, 2025. REUTERS/Dado Ruvic/Illustration
TT

TikTok Warns of Broader Consequences if US Supreme Court Allows Ban

US, Chinese flags, TikTok logo and gavel are seen in this illustration taken January 8, 2025. REUTERS/Dado Ruvic/Illustration
US, Chinese flags, TikTok logo and gavel are seen in this illustration taken January 8, 2025. REUTERS/Dado Ruvic/Illustration

The lawyer for TikTok and its Chinese parent company ByteDance offered a warning during Supreme Court arguments over a law that would compel the sale of the short-video app or ban it in the United States: If Congress could do this to TikTok, it could come after other companies, too. The law, which was the subject of arguments before the nine justices on Friday, sets a Jan. 19 deadline for ByteDance to sell the popular social media platform or face a ban on national security grounds. The companies have sought, at the very least, a delay in implementation of the law, which they say violates the US Constitution's First Amendment protection against government abridgment of free speech, Reuters said.
Noel Francisco, representing TikTok and ByteDance, argued that Supreme Court endorsement of this law could enable statutes targeting other companies on similar grounds.
"AMC movie theaters used to be owned by a Chinese company. Under this theory, Congress could order AMC movie theaters to censor any movies that Congress doesn't like or promote any movies that Congress wanted," Francisco told the justices.
The justices signaled through their questions during the arguments that they were inclined to uphold the law, although some expressed serious concerns about its First Amendment implications.
TikTok is a platform used by about 170 million people in the United States, roughly half the country's population. Congress passed the measure last year with overwhelming bipartisan support, as lawmakers cited the risk of the Chinese government exploiting TikTok to spy on Americans and carry out covert influence operations.
Jeffrey Fisher, the lawyer representing TikTok content creators who also have challenged the law, noted during the Supreme Court arguments that Congress with this measure was focusing on TikTok and not major Chinese online retailers including Temu.
"Would a Congress (that is) really worried about these very dramatic risks leave out an e-commerce site like Temu that has 70 million Americans using it?" Fisher asked. "It's very curious why you just single out TikTok alone and not other companies with tens of millions of people having their own data taken, you know, in the process of engaging with those websites and equally, if not more, available to Chinese control." Democratic President Joe Biden signed the measure into law and his administration is defending it in this case. The deadline for divestiture is just one day before Republican Donald Trump, who opposes the ban, takes office as Biden's successor.
'FOREIGN ADVERSARIES'
Solicitor General Elizabeth Prelogar, arguing for the Biden administration in defending the law, said it was crucial that it take effect on Jan. 19 as scheduled in order to force ByteDance to act on divestiture.
"Foreign adversaries do not willingly give up their control over this mass communications channel in the United States," Prelogar said.
"When push comes to shove, and these restrictions take effect, I think it will fundamentally change the landscape with respect to what ByteDance is willing to consider. And it might be just the jolt that Congress expected the company would need to actually move forward with the divestiture process," Prelogar said.
If the ban takes affect on Jan. 19, Apple and Alphabet's Google would no longer be able to offer TikTok for downloads for new users but existing users could still access the app. The US government and TikTok agree that app would degrade and eventually become unusable over time because companies would not be able to offer supporting services.
The Supreme Court also debated whether the possibility of TikTok being used for covert influence campaigns or propaganda purposes by China justified the banning it.
"Look, everybody manipulates content," Francisco told the court. "There are lots of people who think CNN, Fox News, the Wall Street Journal, the New York Times are manipulating their content. That is core protected speech." Trump on Dec. 27 urged the court to put a hold on the Jan. 19 deadline to give his incoming administration "the opportunity to pursue a political resolution of the questions at issue in the case."
Under the law, the US president has the power to extend the Jan. 19 deadline for 90 days, but under circumstances that do not appear to apply to the current situation in which ByteDance has made no apparent effort to sell TikTok's US assets. The law mandates that the president certify that significant progress has been made toward a sale, with binding legal agreements.
Regardless, Trump does not become president until after the deadline - though Francisco said "we might be in a different world" once Trump is back in the White House.
Justice Brett Kavanaugh asked Prelogar whether the president could "say that we're not going to enforce this law?"
"I think as a general matter, of course the president has enforcement discretion," Prelogar said.
"Again, that's one of the reasons why I think it makes perfect sense to issue a preliminary injunction here and simply buy everybody a little breathing space," Francisco said.



Nvidia, Joining Big Tech Deal Spree, to License Groq Technology, Hire Executives

The Nvidia logo is seen on a graphic card package in this illustration created on August 19, 2025. (Reuters)
The Nvidia logo is seen on a graphic card package in this illustration created on August 19, 2025. (Reuters)
TT

Nvidia, Joining Big Tech Deal Spree, to License Groq Technology, Hire Executives

The Nvidia logo is seen on a graphic card package in this illustration created on August 19, 2025. (Reuters)
The Nvidia logo is seen on a graphic card package in this illustration created on August 19, 2025. (Reuters)

Nvidia has agreed to license chip technology from startup Groq and hire away its CEO, a veteran of Alphabet's Google, Groq said in a blog post on Wednesday.

The deal follows a familiar pattern in recent years where the world's biggest technology firms pay large sums in deals with promising startups to take their technology and talent but stop short of formally acquiring the target.

Groq specializes in what is known as inference, where artificial intelligence models that have already been trained respond to requests from users. While Nvidia dominates the market for training AI models, it faces much more competition in inference, where traditional rivals such as Advanced Micro Devices have aimed ‌to challenge it ‌as well as startups such as Groq and Cerebras Systems.

Nvidia ‌has ⁠agreed to a "non-exclusive" ‌license to Groq's technology, Groq said. It said its founder Jonathan Ross, who helped Google start its AI chip program, as well as Groq President Sunny Madra and other members of its engineering team, will join Nvidia.

A person close to Nvidia confirmed the licensing agreement.

Groq did not disclose financial details of the deal. CNBC reported that Nvidia had agreed to acquire Groq for $20 billion in cash, but neither Nvidia nor Groq commented on the report. Groq said in its blog post that it will continue to ⁠operate as an independent company with Simon Edwards as CEO and that its cloud business will continue operating.

In similar recent deals, Microsoft's ‌top AI executive came through a $650 million deal with a startup ‍that was billed as a licensing fee, and ‍Meta spent $15 billion to hire Scale AI's CEO without acquiring the entire firm. Amazon hired ‍away founders from Adept AI, and Nvidia did a similar deal this year. The deals have faced scrutiny by regulators, though none has yet been unwound.

"Antitrust would seem to be the primary risk here, though structuring the deal as a non-exclusive license may keep the fiction of competition alive (even as Groq’s leadership and, we would presume, technical talent move over to Nvidia)," Bernstein analyst Stacy Rasgon wrote in a note to clients on Wednesday after Groq's announcement. And Nvidia CEO Jensen Huang's "relationship with ⁠the Trump administration appears among the strongest of the key US tech companies."

Groq more than doubled its valuation to $6.9 billion from $2.8 billion in August last year, following a $750 million funding round in September.

Groq is one of a number of upstarts that do not use external high-bandwidth memory chips, freeing them from the memory crunch affecting the global chip industry. The approach, which uses a form of on-chip memory called SRAM, helps speed up interactions with chatbots and other AI models but also limits the size of the model that can be served.

Groq's primary rival in the approach is Cerebras Systems, which Reuters this month reported plans to go public as soon as next year. Groq and Cerebras have signed large deals in the Middle East.

Nvidia's Huang spent much of his biggest keynote speech of 2025 arguing that ‌Nvidia would be able to maintain its lead as AI markets shift from training to inference.


Italy Watchdog Orders Meta to Halt WhatsApp Terms Barring Rival AI Chatbots

The logo of Meta is seen at Porte de Versailles exhibition center in Paris, France, June 11, 2025. (Reuters)
The logo of Meta is seen at Porte de Versailles exhibition center in Paris, France, June 11, 2025. (Reuters)
TT

Italy Watchdog Orders Meta to Halt WhatsApp Terms Barring Rival AI Chatbots

The logo of Meta is seen at Porte de Versailles exhibition center in Paris, France, June 11, 2025. (Reuters)
The logo of Meta is seen at Porte de Versailles exhibition center in Paris, France, June 11, 2025. (Reuters)

Italy's antitrust authority (AGCM) on Wednesday ordered Meta Platforms to suspend contractual terms ​that could shut rival AI chatbots out of WhatsApp, as it investigates the US tech group for suspected abuse of a dominant position.

A spokesperson for Meta called the decision "fundamentally flawed," and said the emergence of AI chatbots "put a strain on our systems that ‌they were ‌not designed to support".

"We ‌will ⁠appeal," ​the ‌spokesperson added.

The move is the latest in a string by European regulators against Big Tech firms, as the EU seeks to balance support for the sector with efforts to curb its expanding influence.

Meta's conduct appeared capable of restricting "output, market ⁠access or technical development in the AI chatbot services market", ‌potentially harming consumers, AGCM ‍said.

In July, the ‍Italian regulator opened the investigation into Meta over ‍the suspected abuse of a dominant position related to WhatsApp. It widened the probe in November to cover updated terms for the messaging app's business ​platform.

"These contractual conditions completely exclude Meta AI's competitors in the AI chatbot services ⁠market from the WhatsApp platform," the watchdog said.

EU antitrust regulators launched a parallel investigation into Meta last month over the same allegations.

Europe's tough stance - a marked contrast to more lenient US regulation - has sparked industry pushback, particularly by US tech titans, and led to criticism from the administration of US President Donald Trump.

The Italian watchdog said it was coordinating with the European ‌Commission to ensure Meta's conduct was addressed "in the most effective manner".


Amazon Says Blocked 1,800 North Koreans from Applying for Jobs

Amazon logo (Reuters)
Amazon logo (Reuters)
TT

Amazon Says Blocked 1,800 North Koreans from Applying for Jobs

Amazon logo (Reuters)
Amazon logo (Reuters)

US tech giant Amazon said it has blocked over 1,800 North Koreans from joining the company, as Pyongyang sends large numbers of IT workers overseas to earn and launder funds.

In a post on LinkedIn, Amazon's Chief Security Officer Stephen Schmidt said last week that North Korean workers had been "attempting to secure remote IT jobs with companies worldwide, particularly in the US".

He said the firm had seen nearly a one-third rise in applications by North Koreans in the past year, reported AFP.

The North Koreans typically use "laptop farms" -- a computer in the United States operated remotely from outside the country, he said.

He warned the problem wasn't specific to Amazon and "is likely happening at scale across the industry".

Tell-tale signs of North Korean workers, Schmidt said, included wrongly formatted phone numbers and dodgy academic credentials.

In July, a woman in Arizona was sentenced to more than eight years in prison for running a laptop farm helping North Korean IT workers secure remote jobs at more than 300 US companies.

The scheme generated more than $17 million in revenue for her and North Korea, officials said.

Last year, Seoul's intelligence agency warned that North Korean operatives had used LinkedIn to pose as recruiters and approach South Koreans working at defense firms to obtain information on their technologies.

"North Korea is actively training cyber personnel and infiltrating key locations worldwide," Hong Min, an analyst at the Korea Institute for National Unification, told AFP.

"Given Amazon's business nature, the motive seems largely economic, with a high likelihood that the operation was planned to steal financial assets," he added.

North Korea's cyber-warfare program dates back to at least the mid-1990s.

It has since grown into a 6,000-strong cyber unit known as Bureau 121, which operates from several countries, according to a 2020 US military report.

In November, Washington announced sanctions on eight individuals accused of being "state-sponsored hackers", whose illicit operations were conducted "to fund the regime's nuclear weapons program" by stealing and laundering money.

The US Department of the Treasury has accused North Korea-affiliated cybercriminals of stealing over $3 billion over the past three years, primarily in cryptocurrency.