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EU Blocks Rollout Of Apple’s AI Features

Apple will delay the launch of three new artificial intelligence features in Europe because of tougher EU tech regulations that require the giant to make its products and services compatible with those of competitors.

KEY FACTS 

  • On Friday, the company announced that three of the new AI features — Phone Mirroring, SharePlay screen-sharing enhancements and Apple Intelligence (one of the long-awaited innovations that work with powerful generative models) — won’t be rolling out to EU users this year due to regulatory uncertainty related to the EU Digital Markets Act (DMA), reported by the Reuters agency.

IMPORTANT QUOTE

“Specifically, we are concerned that the interoperability requirements under the DMA may force us to compromise the integrity of our products in a way that threatens user privacy and data security. “We are committed to cooperating with the European Commission to find a solution that allows us to provide these features to our customers in the EU without jeopardizing their safety,” Apple said in an email.

CONTRA

The EU is an attractive market with 450 million potential consumers and has always been open for business for any company that wants to provide services to the European internal market. So-called “gatekeeper” companies are welcome to offer their services in Europe, provided they comply with our rules aimed at ensuring fair competition,” said EU spokesman Thomas Rainier, quoted by The Verge, on the occasion of Apple’s statement.

KEY STORY 

The news comes after the iPhone maker unveiled its plans for the wider integration of artificial intelligence into Apple products.

However, the company is facing problems because of the Digital Markets Act (DMA), which came into force in March and provides for strict rules in the world of technology in the territory of the European Union. According to strict technology rules, iOS – the company’s operating system – has been designated as a so-called “gatekeeper”, which could force the tech giant to change its way of working in the region.

For months, Apple and Brussels have been embroiled in a regulatory battle over compliance, after the EU launched a probe in March into whether the company was still undermining competition.

Foreign Firms Contribute €3.5 Billion To Cyprus Economy In 2023

Recent Eurostat data reveals that Cyprus remains an outlier within the European Union, where foreign-controlled companies contribute minimally to the nation’s employment figures and economic output. While these enterprises have a substantial impact in other member states, in Cyprus they account for only 10 percent of all jobs, a figure comparable only to Italy and marginally higher than Greece’s 8 percent.

Employment Impact

The report highlights that foreign-controlled companies in Cyprus employ 32,119 individuals out of a total workforce that, across the EU, reaches 24,145,727. In contrast, countries such as Luxembourg boast a 45 percent job share in foreign-controlled firms, with Slovakia and the Czech Republic following closely at 28 percent.

Economic Output Analysis

In terms of economic contribution, these enterprises generated a total value added of €3.5 billion in Cyprus, a small fraction compared to the overall EU total of €2.39 trillion. Notably, Ireland leads with 71 percent of its value added stemming from foreign-controlled firms, followed by Luxembourg at 61 percent and Slovakia at 50 percent. On the lower end, France, Italy, Greece, and Germany exhibit values below 20 percent.

Domestic Versus Foreign Ownership

The data underscores Cyprus’s heavy reliance on domestically controlled enterprises for both employment and economic output. However, it is important to note that certain businesses might be owned by foreign nationals who have established companies under Cypriot jurisdiction. As a result, these firms are classified as domestically controlled despite having foreign ownership or management components.

Conclusion

This analysis emphasizes the unique role that foreign-controlled enterprises play within the Cypriot economy. While their overall impact is limited compared to some EU counterparts, the presence of these companies continues to contribute significantly to the island’s economic landscape.

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