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Apple Initiates Payments in US Class Action Lawsuit Over iPhone Slowdown Controversy

Apple has commenced compensatory payments in the long-standing class action lawsuit concerning allegations of intentionally slowing down specific iPhones in the United States.

Claimants are set to receive a share of a $500 million (£394 million) settlement, equating to approximately $92 (£72) per claim.

In 2020, Apple agreed to settle the lawsuit, asserting its denial of any wrongdoing while expressing concerns about the escalating costs of prolonged litigation.

A parallel case in the United Kingdom seeks £1.6 billion in compensation.

The origins of the US case trace back to December 2017 when Apple confirmed suspicions by admitting to intentionally slowing down some iPhones as they aged. Apple argued that, as batteries aged, their performance declined, and the intentional “slowdown” aimed to prolong the phones’ overall lifespan.

However, Apple faced accusations of throttling iPhone performance without informing customers, resulting in widespread dissatisfaction. To address the issue, Apple offered discounted battery replacements, leading to the initiation of the US legal action. Initial estimates suggested each person might receive as little as $25, but the actual payout now appears to be nearly four times that amount.

In the UK, Apple’s attempt to block a similar mass action lawsuit failed in November. The case, initiated by Justin Gutmann in June 2022, represents an estimated 24 million iPhone users.

While Apple has consistently dismissed the lawsuit as “baseless” and emphasized its commitment to product longevity, Mr. Gutmann, while acknowledging the US payments, highlighted that it does not impact the UK case.

“It’s a moral victory but not much use to me. I’ve got to plough on and pursue the case in the UK jurisdiction,” stated Mr. Gutmann, noting Apple’s staunch resistance to the UK class action. The case is set to progress to the Court of Appeal, where the firm seeks to halt the proceedings. Mr. Gutmann anticipates a potential trial in late 2024 or early 2025 but acknowledges the challenge of establishing a precise timeline.

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Microsoft Unveils Revolutionary AI Key on Keyboards, Integrating Copilot for Enhanced User Experience

In a groundbreaking move, Microsoft has revealed its most significant keyboard transformation in three decades, introducing an artificial intelligence (AI) key that grants users access to Copilot, Microsoft’s advanced AI tool, on the latest Windows 11 PCs.

This innovation comes as a result of Microsoft’s substantial investment in OpenAI, the driving force behind the AI capabilities of Copilot. The integration of AI into various products, including Microsoft 365 and Bing search, marked a notable milestone for the tech giant in 2023.

Notably, Microsoft’s rival, Apple, has incorporated a Siri button or option on its MacBooks’ touch bars for several years.

Copilot, designed to assist users with tasks such as searching, composing emails, and creating images, is at the forefront of Microsoft’s technological advancements.

Yusuf Mehdi, Microsoft’s executive vice president, referred to this development as a “transformative” moment, drawing parallels to the introduction of the Windows key nearly 30 years ago. Mehdi emphasized that the AI key would “simplify” and “amplify” the overall user experience.

Anticipated to be featured in new products starting February, Microsoft will showcase these innovative keyboards with the Copilot key at the upcoming CES tech event in Las Vegas next week.

When Copilot was integrated into Office 365 products like Word, PowerPoint, and Teams, it demonstrated its ability to summarize meetings, compose emails, and create presentations. The tool has also found its way into Microsoft’s Bing search engine.

According to Professor John Tucker, a computer scientist at the University of Swansea, the introduction of this dedicated key is a “natural step” and underscores the company’s commitment to this feature’s potential to engage users across various products. However, he noted that the minimal evolution of keyboards over the past 30 years is not a point of pride.

While Windows 11 users can currently access Copilot by pressing the Windows key + C, the new AI key signifies Microsoft’s emphasis on the feature and its potential to unify users across its product ecosystem.

It’s worth noting that Google, the world’s leading search engine, has its own AI system called Bard. Microsoft’s partner, OpenAI, introduced the powerful AI tool ChatGPT in 2022, prompting competitors to hurriedly release their own versions. Copilot itself is built upon OpenAI’s GPT-4 large language model.

The UK’s competition watchdog is currently examining Microsoft’s relationship with OpenAI following boardroom upheaval that led to a close association between the two companies.

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Huawei Bounces Back Strongly with Anticipated 2023 Revenue of Over $99 Billion

In a surprising turn of events, Huawei, the embattled tech giant at the center of the US-China technological rivalry, announced on Friday that it is “back on track” with a projected revenue exceeding 700 billion yuan ($99 billion) for the year 2023. This marks a remarkable 9% increase from the 2022 figure of 642.3 billion yuan ($92.4 billion), signifying a significant recovery for the Chinese conglomerate.

Ken Hu, Huawei’s rotating chairman, expressed optimism in a year-end message to employees, stating, “After years of hard work, we’ve managed to weather the storm. And now we’re pretty much back on track.” Hu’s message follows the successful launch of the Mate 60 Pro smartphone in August, a device that defied industry expectations and showcased Huawei’s technological prowess.

The Mate 60 Pro’s advanced features captivated consumers, enabling Huawei to gain market share in China at the expense of its American rival, Apple. Counterpoint Research reported that Huawei secured the fifth position in the Chinese market by the end of September, growing its share from 10% in the first quarter to 14% in the third quarter. During the same period, Apple saw a decline from 20% to 15% in its market share.

Huawei’s resurgence is particularly noteworthy as the company faced significant challenges due to US sanctions in recent years. The sanctions, imposed by the United States, restricted Huawei’s access to critical components for its devices, resulting in the loss of its position as the world’s second-largest seller of smartphones.

Despite ongoing allegations from US policymakers that Huawei poses a national security risk, the company has vehemently denied such claims and has been working to improve its standing in Washington. In March, Huawei declared it was “out of crisis mode” and reported progress in finding alternative components to replace those impacted by US sanctions.

The company’s success is expected to continue into the new year, contingent on its ability to expand production of handsets powered by Kirin chips, the processors featured in the popular Mate 60 Pro. Huawei recently launched new smartphones under the Nova brand, its mid-range lineup, which analysts predict will gain popularity due to their relative affordability.

However, Hu cautioned in his memo that challenges persist, emphasizing the uncertainties posed by geopolitical and economic factors, as well as the ongoing impact of technology restrictions and trade barriers on a global scale. Nevertheless, Huawei’s strong performance in 2023 suggests a remarkable turnaround for the company, proving its resilience in the face of adversity.

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Apple Faces Sales Ban in the US for Watch Series 9 and Watch Ultra 2 as Biden Administration Declines Veto


In a significant development, Apple is prohibited from selling the Watch Series 9 and Watch Ultra 2 in the United States, as the Biden administration opted not to override the ban imposed by the International Trade Commission (ITC) today.

The removal of both devices from Apple’s official website occurred on December 21st, followed by their withdrawal from store shelves after December 24th. A statement from the Office of US Trade Representative Katherine Tai, reported by CNBC, revealed that the agency “decided not to reverse the ITC’s determination” after careful consideration.

Responding to the ban, an unidentified Apple spokesperson, as reported by Reuters, confirmed the company’s intention to appeal the ITC decision. The spokesperson stated, “We strongly disagree with the USITC decision and resulting exclusion order, and are taking all measures to return Apple Watch Series 9 and Apple Watch Ultra 2 to customers in the U.S. as soon as possible.”

The ITC imposed the ban after determining that Apple had violated the patent for blood oxygen saturation technology owned by the company Masimo. Additionally, the ITC directed Apple to cease selling any previously-imported devices containing the infringing technology. Despite Apple’s attempt to halt the decision during the appeal process, the ITC denied the request. The final opportunity for intervention rested with President Joe Biden, who did not veto the ban.

It’s important to note that the sales ban only impacts Apple’s stores in the US. Customers still have the option to purchase the Watch Series 9 or Watch Ultra 2 at retailers such as Best Buy and Target while supplies last. Apple will continue to offer the Watch SE, which lacks a blood oxygen sensor and remains unaffected by the ban.

The future steps for Apple remain uncertain. Analysts, including my colleague Victoria Song, explore potential paths Apple could take, such as implementing software changes to the blood oxygen sensor or disabling the sensor on imported devices. However, these approaches may not be sufficient to satisfy the ITC, leading to speculation that Apple might consider settling with Masimo as an alternative solution.

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TikTok’s Evolution: From Short-Form Sensation to Long-Form Ambitions

In 2020, TikTok emerged as a cultural phenomenon, captivating users with its short, snappy dancing and comedy clips during the early days of the Covid-19 pandemic. This triggered a short-form video arms race among social media giants like Facebook, Instagram, and YouTube, all vying to replicate TikTok’s success. However, in a surprising turn, TikTok is now steering its course towards longer videos, challenging the very essence of its initial appeal.

This Saturday marks the official phase-out of TikTok’s original “Creator Fund,” signaling a shift toward the new “Creativity Program Beta.” Under this program, content creators seeking monetization will need to produce videos exceeding one minute in length. While this move aligns TikTok with the more lucrative long-form content model, some creators express frustration, fearing a departure from the platform’s roots as a hub for short, easily digestible content.

Nicki Apostolou, a TikTok creator focusing on Native American history and culture, with nearly 150,000 followers, voices concerns, stating, “I don’t always have a minute of content in me.” The sentiment echoes among creators who joined TikTok for its short-form appeal, feeling alienated by the platform’s shift towards a “mini YouTube” model.

TikTok spokesperson Zachary Kizer justifies the move, citing feedback from the community and the need to evolve. The shift towards longer-form content is seen as a strategic business decision, aiming to keep users engaged for extended periods and attract advertisers with more monetization possibilities.

Over the past three years, TikTok has incrementally increased video length limits, currently testing 15-minute uploads. The new Creativity Program targets adult creators with 10,000 or more followers, promising higher pay for videos surpassing the one-minute mark.

While TikTok encourages creators with the prospect of increased payments and deeper audience engagement, critics argue that the platform risks losing its distinct identity. The challenge for creators lies in adapting to the demands of longer content, with concerns about the dwindling attention spans of today’s audience.

Despite apprehensions, TikTok reports creators making longer-form content have more than doubled their earnings in the past year. The platform insists that video recommendations are based on user preferences rather than length, aiming to allay fears of marginalized short-form creators.

As TikTok embraces this evolution, creators like Aly Tabizon express both excitement and concern. Monetizing short astrology videos has been “life-changing,” yet the transition to longer content may pose challenges, given the prevailing eight to ten-second attention span. Tabizon, however, remains open to experimentation, acknowledging the potential for greater pay.

For some, the shift to longer videos raises issues of resource constraints. Laura Riegle, a TikTok creator known for short, snappy content, highlights the increased time and effort required for long-form videos, posing challenges for creators with limited free time.

TikTok, recognizing the evolving landscape, offers alternative monetization avenues such as subscriptions and tips. However, skepticism persists among creators who find these methods akin to “busking on the street” and potentially unsustainable.

As TikTok navigates this transition, the platform faces the delicate task of balancing the demands of longer-form content with the expectations and preferences of its diverse creator community.

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Google Initiates Cookie Slaughter: Chrome’s Tracking Overhaul Begins January 4th

In a groundbreaking move, Google has announced its commencement of the long-awaited dismantling of internet cookies, scheduled to kick off on January 4th. The initial phase will witness the blocking of cookies for 1% of Chrome users, totaling approximately 30 million individuals. This marks the inaugural step in Google’s Privacy Sandbox project, designed to replace traditional cookies with an alternative tracking system, purportedly offering enhanced privacy features.

For the past three decades, websites and tech companies have heavily relied on “third-party cookies” to track consumers online. The prevalence of these cookies has allowed businesses, including Google, to collaboratively monitor users’ online activities, raising concerns about privacy infringement.

In lieu of cookies, Google has introduced a new suite of tools that empowers the Chrome browser to internally track users’ online behavior. This data remains on the user’s device, with the browser categorizing individuals into distinct groups, or “Ad Topics,” such as “Yoga Fan” or “Young Conservative.” While websites can inquire about these categories, they are unable to pinpoint the user’s identity, a departure from the conventional use of cookies.

Although Chrome continues to track user activity, a departure from browsers like Firefox and Safari, Google’s revamped version represents a notable stride in privacy preservation. Despite ongoing tracking, this new iteration discloses less information about users and their internet activities.

Victor Wong, Google’s senior director of product management for Privacy Sandbox, emphasized the significant shift, stating, “We are making one of the largest changes to how the Internet works at a time when people, more than ever, are relying on the free services and content that the web offers.”

While these Privacy Sandbox cookie replacements are currently available on the Chrome browser as an optional tool, their adoption signifies a substantial shift given Chrome’s dominance in the browser market. Users have the flexibility to disable these features in their settings if they find them undesirable.

The impending changes may cause disruptions, given the integral role cookies play in various online functions. Google acknowledges potential issues and is actively working to identify and retain essential cookies while phasing out intrusive ones. Users can disable the new “Tracking Protection” tool on demand, and Chrome will prompt users to disable it for specific websites if complications arise.

Come January 4th, a select 1% of users will experience “Tracking Protection” by default, denoted by a distinctive eyeball logo in the URL bar. As Google progresses with its cookie elimination initiative, this transformation stands as a significant milestone in shaping the future landscape of internet privacy.

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Epic Games Scores Legal Victory Against Google in Monopoly Case

Three years after initiating legal action against tech giants Apple and Google, Epic Games, the creator of Fortnite, has secured a significant win. The jury in the case of Epic v. Google has rendered its verdict, concluding that Google transformed its Google Play app store and Google Play Billing service into an illegal monopoly.

Following just a few hours of deliberation, the jury unanimously affirmed Google’s monopoly power in the Android app distribution and in-app billing services markets. They found that Google engaged in anticompetitive practices within these markets, causing harm to Epic. Additionally, the jury determined that Google established an illegal tie between its Google Play app store and Google Play Billing payment services. The distribution agreement, Project Hug deals with game developers, and dealings with OEMs were all deemed anticompetitive.

In response, Google’s Vice President of Affairs and Public Policy, Wilson White, stated that the company plans to appeal the verdict. White emphasized that the trial underscored Google’s fierce competition with Apple and other app stores on Android devices and gaming consoles.

Epic Games celebrated the verdict in a blog post, asserting, “Today’s verdict is a win for all app developers and consumers around the world. It proves that Google’s app store practices are illegal, and they abuse their monopoly to extract exorbitant fees, stifle competition, and reduce innovation.”

This legal triumph is noteworthy, particularly in contrast to Epic’s previous legal battle against Apple two years ago, which resulted in a loss. In the case of Epic v. Google, the focus was on undisclosed revenue-sharing agreements between Google, smartphone manufacturers, and major game developers. These deals, believed internally by Google executives to suppress rival app stores, exposed Google’s apprehension about Epic. Unlike the Apple ruling, the outcome was determined by a jury.

The specific remedies and implications of this victory are yet to be determined by Judge James Donato. Epic did not seek monetary damages but aims for a court declaration granting app developers the freedom to introduce their own app stores and billing systems on Android. The judge will meet with both parties in January to discuss potential remedies.

While Epic CEO Tim Sweeney suggested potential financial gains in the hundreds of millions or even billions if relieved from paying Google’s fees, Judge Donato has already indicated that he won’t grant an anti-circumvention provision as an additional measure.

Google’s Wilson White reiterated their commitment to challenging the verdict, emphasizing the openness and choice provided by Android and Google Play compared to other major mobile platforms.

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Google’s AI-Powered Note-Taking App, NotebookLM, Launches Widely in the US with New Features

Google’s experimental AI-driven note-taking application, NotebookLM, is now widely accessible in the United States, accompanied by several new features. The company announces that NotebookLM is “beginning” to utilize Google’s Gemini Pro AI model to enhance document understanding and reasoning.

Already capable of tasks such as summarizing imported documents, extracting key points, and answering questions about note sources, NotebookLM now offers the ability to transform notes into various document formats. Users can select the desired notes, and the app will automatically suggest formats like outlines or study guides. Additionally, users have the option to specify a custom format, such as an email, script outline, newsletter, and more.

The updated NotebookLM introduces suggested actions based on user activities within the app. For instance, if a user is writing a note, NotebookLM may automatically provide tools to refine prose or suggest related ideas from sources. Other new features include the ability to save useful responses as notes, share notes with others, and direct the app’s AI focus on specific sources during interactions.

Google is also expanding some of NotebookLM’s limitations. Users can now include up to 20 sources in their notebooks, each with a capacity of up to 200,000 words. Originally introduced as “Project Tailwind” at Google’s I/O conference in May, NotebookLM was initially available to a limited group of testers before this wider release. The expansion grants access to all users aged 18 and older in the US and comes shortly after Google unveiled Gemini, its GPT-4 competitor.

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Navigating the Evolution of AI: Task Models and Large Language Models Coexisting

In the not-so-distant past, just a year ago in November, the world of machine learning was focused on constructing models for specific tasks such as loan approvals and fraud protection. Fast forward to today, the landscape has shifted with the emergence of generalized Large Language Models (LLMs). However, the era of task-based models, described by Amazon CTO Werner Vogels as “good old-fashioned AI,” is far from over and continues to thrive in the enterprise.

Task-based models, the foundation of AI in the corporate world before LLMs, remain a crucial component. Atul Deo, general manager of Amazon Bedrock, a product introduced to connect with large language models via APIs, emphasizes that task models haven’t vanished; instead, they’ve become an additional tool in the AI toolkit.

In contrast to LLMs, task models are tailored for specific functions, whereas LLMs exhibit versatility beyond the predefined model boundaries. Jon Turow, a partner at investment firm Madrona and former AWS executive, notes the ongoing discourse about the capabilities of LLMs, such as reasoning and out-of-domain robustness. While acknowledging their potential, Turow highlights the enduring relevance of task-specific models due to their efficiency, speed, cost-effectiveness, and performance in specialized tasks.

Despite the allure of all-encompassing models, the practicality of task models remains undeniable. Deo argues that having numerous separately trained machine learning models within a company is inefficient, making a compelling case for the reusability benefits offered by large language models.

For Amazon, SageMaker remains a pivotal product within its machine learning operations platform, catering specifically to data scientists. SageMaker, with tens of thousands of customers building millions of models, continues to be indispensable. Even with the current dominance of LLMs, the established technology preceding them remains relevant, as evidenced by recent upgrades to SageMaker geared toward managing large language models.

In the pre-LLM era, task models were the sole option, prompting companies to assemble teams of data scientists for model development. Despite the shift towards tools aimed at developers, the role of data scientists remains crucial. Turow emphasizes that data scientists will continue to critically evaluate data, providing insights into the relationship between AI and data within large enterprises.

The coexistence of task models and large language models is expected to persist, acknowledging that sometimes bigger is better, while at other times, it’s not. The key lies in understanding the unique strengths and applications of each approach in the evolving landscape of artificial intelligence.

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