Social media in the crosshairs of global regulators

At the moment’s prime tales

• Kamala Harris launched Tim Walz as her operating mate within the race for the White Home at a raucous Democratic get together rally. Here’s our explainer on why she plumped for the Minnesota governor.

• AP Møller-Maersk, the world’s second-largest delivery group, stated firms have been bringing orders ahead amid fears of an intensifying trade war between the US and China ought to Donald Trump regain the US presidency.

• The UK financial system got here out of the Covid-19 pandemic stronger than previously thought, in response to revised official information that offers extra prominence to the healthcare and vitality sectors. GDP for 2022 is now recorded as 4.8 per cent moderately than 4.3 per cent.

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As UK authorities brace for an additional evening of far-right protests, the function of social media in fomenting unrest is again within the highlight, including to simmering tensions between Massive Tech and regulators.

UK dwelling secretary Yvette Cooper stated on Monday that social media platforms had put “rocket boosters” underneath misinformation that had inspired violence throughout the nation following the murder of young children in Southport final week. That was adopted by a rare spat between the federal government and X proprietor Elon Musk, who used his personal website to put up jibes at Prime Minister Keir Starmer and declare “civil struggle is inevitable” after the riots unfold.

Google, Meta and TikTok have been fast to reply by scrutinising and eradicating posts deemed damaging to nationwide safety however X has been less responsive. The scenario could also be completely different subsequent yr when UK regulator Ofcom will achieve sweeping powers to police the tech giants for flouting guidelines concerning the sharing of dangerous content material.

X can also be underneath hearth within the US the place it’s suing a marketing industry trade body and advertisers together with Unilever and Mars for an “unlawful boycott” over the proliferation of hate and poisonous materials on the platform.

The positioning previously often known as Twitter isn’t alone in dealing with the wrath of regulators. 

US authorities are suing TikTok over “widespread violations” of kid privateness legal guidelines that prohibit web sites from amassing, utilizing or disclosing private details about kids underneath the age of 13 with out their dad and mom’ consent. The transfer follows approval within the Senate for the Children On-line Security Act, which locations an obligation of care on platforms to raised defend kids on-line.

TikTok is in a separate row with Washington over nationwide safety issues relating to its Chinese ownership. The US Division of Justice has alleged that a few of the platform’s US consumer information had been saved in China and the corporate was in a position to gather info based mostly on customers’ views on delicate points corresponding to abortion.

In Turkey in the meantime it’s Instagram that is feeling the heat after authorities blocked the positioning for censoring posts on the assassination of Hamas political chief Ismail Haniyeh.

However it’s not simply social media the place Massive Tech is within the crosshairs of world regulators.  

Within the US, Google this week misplaced a landmark antitrust case over its dominance in search after the Division of Justice stated the corporate was a “monopolist” and pointed to its anti-competitive deals with wi-fi carriers, browser builders and machine producers corresponding to Apple. 

And in Europe, Meta has hit out on the EU’s method to regulating artificial intelligence, arguing it dangers slicing off the continent from accessing cutting-edge providers.

China nonetheless stays the clear winner in terms of tech clampdowns: new proposals might drastically lengthen authorities’ oversight over on-line behaviour, doubtlessly masking every part from web buying historical past to journey itineraries.

Must know: UK and Europe financial system

Chancellor Rachel Reeves desires to create a “Canadian-style” pension model within the UK with huge retirement funds investing in equities and infrastructure. If native authorities schemes have been consolidated right into a single fund it might rank among the many 10 greatest on the earth.

The US warned Turkey of “penalties” except it stopped exports to Russia of US military-linked {hardware} that’s very important to Moscow’s struggle machine. 

Italy doubled its foreign “billionaires’ tax” in a blow to wealthy expats fleeing greater levies elsewhere in Europe. An inflow of the super-rich in cities corresponding to Milan has been blamed for a pointy improve in property costs.

A number of maintenance works in the meantime has thrown Italy’s railways into chaos — a significant issue for enterprise in a rustic the place tourism accounts for 10 per cent of GDP.

Must know: World financial system

China’s exports fell short of targets final month in what analysts say is an indication that policymakers’ heavy dependence on commerce to beat a weak home financial system could also be dealing with rising dangers.

FT commentator Chris Giles advises Kamala Harris to not marketing campaign on the Biden administration’s financial file within the race for the White Home: not as a result of it’s poor, however as a result of it’s complicated, he argues.

Nobel Peace Prize-winning economist Muhammad Yunus known as for “stability” and new elections in Bangladesh after agreeing to steer an interim authorities following the ousting of prime minister Sheikh Hasina.

Can India’s financial system thrive with out China’s assist? The nation’s restrictions on know-how and other people from its rival danger stifling its personal ambitions to turn out to be a producing superpower. A Big Read explains.

What’s the way forward for oil? The Worldwide Power Company thinks peak utilization will are available in 2029, however oil firms have accused it of enjoying local weather politics. A Big Read explains.

Thailand might inform us a great deal about the way forward for cash, says tutorial and writer Eswar Prasad. Its authorities is distributing money to low-income households by means of digital wallets, which it hopes will enhance family consumption and GDP.

Must know: Enterprise

Though international inventory markets have calmed considerably since Monday’s turmoil, buyers are bracing for more volatility. Analysts stated the worldwide unwinding of the world’s greatest “carry commerce” might trigger but extra injury as Japan’s resurgent forex forces speculators to shut down bets that might run into lots of of billions of {dollars}. Right here’s a take a look at the summer time storm in charts.

H2O Asset Administration, a former star of the European funding world, agreed to pay €250mn to buyers after the UK’s Monetary Conduct Authority discovered it had dedicated “severe breaches” in relation to illiquid investments. The regulator criticised “false” statements, lax due diligence and failing to declare hospitality together with the usage of a superyacht.

Extra indicators of a slowdown in car production got here from Continental, one among Europe’s largest suppliers to the business, which reduce its gross sales forecast, shortly after saying it was contemplating spinning off its core automotive division.

Trip-hailing app Uber waved away issues on the power of the US financial system because it reported a bounce in second-quarter income and a record number of journeys.

By means of distinction, shares in Airbnb at present fell 15 per cent after it warned of soft summer journey demand. 

The World of Work

Labour confirmed it might scrap UK anti-strike legal guidelines in a brand new employees’ rights invoice in an industrial relations “reset”.

A visitor podcast from Harvard Business Review takes you inside real-life teaching classes with veteran management coach Muriel Wilkins.

Some excellent news

If antimicrobial resistance carries on spreading, will probably be a significant risk to humankind. May semi-synthetic antibiotics often known as macrolones be the reply?