The Friday File: China targets Google; EU AI in spotlight

Mobile World Live brings you our top three picks of the week as China launched an investigation into Google over antitrust violations, the EU set out strict AI restrictions and SoftBank joined forces with OpenAI to bring the technology to Japanese companies.

China targets Google in antitrust probe

What happened: China launched an antitrust investigation into Google as the State Administration for Market Regulation cited suspicions that the company breached the country’s anti-monopoly law.

Why it matters: Under President Donald Trump, the US introduced a 10 per cent tariff on Chinese goods. While China retaliated with tariffs on US products set to take effect next week, its move against Google marks a further escalation in trade tensions between the two countries. Google ceased offering its search services in China in 2010 but maintains a presence in the country through its advertising business. While the specifics of the investigation remain undisclosed, AP News reports the probe is focused on Google’s Android operating system and its market practices. John Gong, an antitrust expert at University of International Business and Economics, told the news outlet that Chinese smartphone makers have long raised concerns over Google’s market practices, as most brands pay licensing fees to integrate Android into their devices. While Google is now under scrutiny, he added that the investigation remains “very much negotiable”.

EU forges ahead with controversial AI laws

What happened: The European Union (EU) released formal compliance guidelines for AI technologies in the region under its disputed AI Act.

Why it matters: The latest guidelines ban high-risk AI practices such as social scoring and surveillance, while imposing transparency requirements for advanced AI systems. However, the framework has faced pushback from industry leaders for potentially stifling AI innovation, with Meta Platforms’ head of global affairs Joel Kaplan stating the company will not join EU’s AI Code of Practice, deeming it “unworkable.” US President Donald Trump also criticised the EU’s approach, describing it as “a form of taxation” against the country. The AI Act represents one of the first major global attempts to regulate AI. As a result, the EU’s controversial regulatory approach could set a sweeping precedent, not only shaping AI investments in the region but also influencing AI regulations worldwide.

SoftBank, OpenAI target Japanese companies with JV

What happened: SoftBank Group and OpenAI teamed up on a joint venture (JV) to develop and promote AI solutions for Japanese enterprises.

Why it matters: The deal, which will also see SoftBank commit to a $3 billion annual spend to adopt OpenAI’s technology, provides further evidence of closer ties between the pair. They notably also joined up on President Trump’s Stargate JV last month. Dubbed Cristal Intelligence, SoftBank boss Masayoshi Son said the partnership aims to not only revolution the way it operates internally, but also how companies operate in Japan. To provide a sense of the technology’s impact, adoption of Cristal Intelligence by SoftBank Corp is estimated to enable 100 million workflows to be automated.