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Nvidia, Microsoft, Amazon in talks to invest up to $60 billion in OpenAI

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Major technology companies Nvidia, Microsoft, and Amazon are in discussions to invest up to $60 billion in OpenAI, according to a report by The Information. The talks highlight the growing scale of investment required to develop and operate advanced artificial intelligence models.

Nvidia, an existing OpenAI investor whose chips power many of its AI systems, is reportedly considering an investment of up to $30 billion. Microsoft, a long-term backer, is said to be in talks to invest less than $10 billion, while Amazon, which would be a new investor, is discussing a significantly larger commitment that could exceed $20 billion.

The report said OpenAI is close to receiving formal term sheets from the potential investors. Amazon’s participation may be linked to broader commercial negotiations, including expanded cloud infrastructure agreements and the sale of OpenAI products such as enterprise ChatGPT subscriptions. The talks come as OpenAI faces rising costs to train and run its models amid intensifying competition in the AI sector.

Meta, TikTok and YouTube Face Trial Over Youth Addiction Claims

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Meta Platforms, TikTok and YouTube will stand trial in California this week over allegations that their platforms contributed to youth addiction and mental health harm, marking a pivotal moment in long-running legal battles against Big Tech. The case, being heard in Los Angeles County Superior Court, is widely seen as a test for thousands of similar lawsuits filed across the United States.

The plaintiff, a 19-year-old California woman identified as K.G.M., alleges that she became addicted to social media at a young age due to design features intended to maximize user engagement. According to court filings, she says prolonged exposure to these platforms worsened her depression and contributed to suicidal thoughts. Jury selection is set to begin on Tuesday.

The lawsuit names Meta Platforms, TikTok and YouTube as defendants. K.G.M.’s legal team argues the companies should be held responsible not for user-generated content, but for product designs they say intentionally encourage compulsive use among minors.

The trial challenges a decades-old legal shield that has largely protected social media companies from liability. A federal law has historically exempted platforms from responsibility for content posted by users, and the companies argue that protection applies in this case. A verdict against them could weaken that defense and open the door to broader accountability, potentially pushing the issue toward the U.S. Supreme Court.

Mark Zuckerberg is expected to testify, with Meta arguing its products did not cause the plaintiff’s mental health struggles. TikTok declined to comment on its legal strategy, while YouTube has said its platform differs fundamentally from social media apps and should not be treated the same way.

Snap was also named in the lawsuit, but Snap agreed to settle with the plaintiff in January. The company has not disclosed details of the agreement.

As the trial unfolds, the tech firms are simultaneously promoting safety tools and parental controls aimed at teens. Critics say these efforts risk confusing parents and deflecting attention from deeper design concerns.

The outcome of the case could shape future litigation and redefine how courts assess responsibility for digital products used by children.

Big Tech to Avoid Strict Obligations in EU Digital Rules Overhaul, Sources Say

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Major U.S. technology companies including Alphabet, Meta Platforms, Netflix, Microsoft and Amazon are set to avoid strict new regulatory obligations under the European Union’s upcoming overhaul of digital rules, according to people with direct knowledge of the matter.

Despite strong lobbying from telecoms companies for tougher measures targeting Big Tech, the companies will instead fall under a voluntary framework as part of the planned Digital Networks Act (DNA), the sources said. The European Commission has declined to comment.

The DNA, which will be presented by EU tech chief Henna Virkkunen on January 20, is aimed at boosting Europe’s competitiveness and encouraging greater investment in telecoms infrastructure. The proposal will still need approval from EU member states and the European Parliament before it can become law.

Under the draft rules, Big Tech firms will be encouraged to cooperate voluntarily with telecoms operators in discussions moderated by BEREC, rather than being subject to binding obligations similar to those imposed on telecoms providers. One source described the approach as a “best practices regime” with no new mandatory requirements.

The planned overhaul will also address spectrum policy, with the Commission setting out guidance on licence duration, sale conditions and pricing methodologies to be used by national regulators during spectrum auctions, which often generate billions of euros for governments. While the goal is to harmonise spectrum allocation across the EU and reduce regulatory burdens for telecoms firms, some national regulators are expected to resist what they may see as increased centralisation of power.

In addition, the Commission plans to issue guidance on the rollout of fibre infrastructure, a key element of the EU’s digital strategy to narrow the gap with the United States and China. Governments may also be allowed to extend the 2030 deadline for replacing copper networks with fibre if they can demonstrate they are not ready to meet the target.

The EU’s digital policy push has drawn criticism from Washington in recent years, with U.S. officials arguing that new rules unfairly target American companies. Brussels has repeatedly rejected those claims.