Big Tech to toe Europe’s line on fake news

Big Tech is under fresh scrutiny in Europe, with companies being brought into line on disinformation policies, Germany opening an investigation into Apple’s practices and a Facebook competition appeal failing in the UK.

Javier Espinoza in Brussels reports Facebook, Twitter, Google, Microsoft and TikTok are among those preparing to sign up to an updated version of the EU’s anti-disinformation code of practice.

According to a confidential report seen by the FT, tech platforms will have to disclose how they are removing, blocking or curbing harmful content in advertising and in the promotion of content. They will have to counter “harmful disinformation” by developing tools and partnerships with fact-checkers that may include taking down propaganda, while also including “indicators of trustworthiness” on independently verified information on issues like the war in Ukraine and the Covid-19 pandemic. Crucially, the platforms will also be forced to provide a country-by-country breakdown of their efforts to aid national regulators.

Meanwhile, Germany’s Federal Cartel Office on Tuesday opened an investigation into Apple’s changes to its rules last year, whereby third-party apps needed to seek users’ permission to track them. “We see that Apple’s rules apply to third parties, but not to Apple itself. This would allow Apple to preference its own offers or impede other companies,” the watchdog said.

In the UK, Facebook’s parent Meta has largely failed in a bid to overturn a ruling that forced it to sell online image platform Giphy. The Competition Appeals Tribunal unanimously dismissed all of Meta’s grounds of appeal apart from one. It concluded that the Competition and Markets Authority had acted rationally last year when it decided Meta should sell Giphy, although it found the regulator failed to consult properly during its probe and wrongly redacted material from its final decision.

Meta has been locked in dispute with the UK competition regulator since it was told to unwind the $315mn acquisition last year — marking the first time the CMA had moved to dismantle a major tech deal.

The Internet of (Five) Things

1. Coinbase cuts 1,100 jobs
Crypto exchange Coinbase plans to cut almost a fifth of its workforce, in the latest sign of the chill descending on the digital assets market. Its CEO Brian Armstrong said it was trying to “stay healthy during this economic downturn”. Crypto lender Celsius had frozen withdrawals on Monday as bitcoin’s price dived. Here’s an explainer on crypto lending.

2. Alibaba’s Covid cloud
While cloud services were once seen as transformative for China’s big tech companies, Alibaba’s cloud sales were up just 12 per cent in the first quarter, while Tencent’s actually shrank. More competition and Covid restrictions are being blamed.

3. Brexit hinders UK fibre rollout
Britain’s ability to roll out superfast broadband by 2025 is being slowed by the “tortuous” process of recruiting workers from the EU following Brexit, the head of BT’s networking business has warned. “If it was easier getting people in, I would take a thousand tomorrow,” said Clive Selley, chief executive of BT’s Openreach.

4. Britain still Arm wrestling over listing
The UK is still fighting to secure the listing of Cambridge-based chip designer Arm, Britain’s tech minister insisted after the launch of a digital strategy to attract and build fast-growth businesses in the UK. Chris Philp said that the government was still “working closely with” the management of Arm on the IPO process, despite executives having signalled their preference to float it in New York.

5. Pentagon bankrolls rare earths plant 
The US Department of Defense has signed a $120mn deal with the world’s largest rare earths producer outside China to secure supplies of the minerals crucial for the development of military equipment, wind turbines and electric vehicles. Under the terms of the deal, Perth-based Lynas Rare Earths will export heavy rare earth carbonate mined and refined in Australia to the US.

Tech tools — Dell XPS 13 2-in-1

Dell has been reimagining its XPS laptop line and the most radical redesign is this 2-in-1. Formerly a laptop with a reversible hinge, it has now become a 13in tablet with an optional stylus and “Folio” accessory. The latter magnetically attaches to the base to provide a cover, stand and full keyboard experience. It will be available this summer with Intel Core i5 and i7 processor options, up to a gigabyte of storage on a solid state drive and 5G offered. No pricing news is available as yet.