AP Technology SummaryBrief at 5:24 p.m. EST

Anthropic, OpenAI rivalry spills into new Super Bowl ads as both fight to win over AI users

OpenAI and Anthropic, the startups behind ChatGPT and Claude, are gearing up for a major showdown. Both need to prove they can turn a profit. Their main battleground is winning over corporate leaders who want AI tools to boost productivity. Anthropic is airing Super Bowl ads mocking OpenAI for introducing ads on ChatGPT. OpenAI CEO Sam Altman called the ads funny but dishonest. This rivalry began when OpenAI leaders left to form Anthropic in 2021. Both companies launched product updates this week. They also face competition from Google, Amazon and Microsoft.

Renters use 'rent now, pay later' services to manage monthly payments, but fees raise concerns

NEW YORK (AP) — Renters facing high costs are turning to "rent now, pay later" services like Flex, Livble, and Affirm. These services let renters split rent payments, which they say will help them manage cash flow. However, consumer advocates warn the products often act like short-term loans with high fees, sometimes leading to triple-digit interest rates. Kellen Johnson used Flex to split his $1,850 monthly rent into two payments when he worked as an independently contracted delivery person for Amazon. He paid over $33 monthly in fees. Critics argue these services don't solve the issue of affordability in the rental market and may lead to higher rents.

Amazon misses 4Q profit estimates despite better-than expected growth in cloud computing business

NEW YORK (AP) — Amazon sales surged 14% during the fourth quarter, helped by strong holiday spending and better-than-expected growth in its cloud computing unit. But the Seattle-based online behemoth’s shares fell nearly 10% in after hours trading as its profits came in slightly below analysts’ expectations. Investors also didn’t seem to like Amazon’s announcement that it was stepping up its capital expenditure to $200 billion this year, up from  $125 billion last year as it sees opportunities in artificial intelligence, robots, semiconductors and satellites.

US wants to create a critical minerals trading bloc with its allies to counter China

WASHINGTON (AP) — The Trump administration says it wants to create a critical minerals trading bloc with its allies and partners. It would use tariffs to maintain minimum prices and defend against China's stranglehold. Vice President JD Vance said Wednesday the U.S.-China trade war over the past year exposed how dependent most countries are on the critical minerals that Beijing dominates. Critical minerals are needed for everything from jet engines to smartphones. The Republican administration is making bold moves to shore up supplies of critical minerals needed for electric vehicles, missiles and other high-tech products after China choked off their flow in response to President Donald Trump’s sweeping tariffs last year.

TSMC to make advanced AI semiconductors in Japan in boost for its chipmaking ambitions

TOKYO (AP) — Taiwan’s TSMC, the world’s largest contract computer chip maker, has announced it will be manufacturing advanced 3-nanometer semiconductors in Japan to meet booming AI demand. The announcement came Thursday at a meeting between Japanese Prime Minister Sanae Takaichi and TSMC's CEO, C.C. Wei, in Tokyo. TSMC plans to produce the advanced semiconductors at its second factory in Japan's Kumamoto Prefecture, on the southern island of Kyushu. The move is a boost for Japan’s chipmaking and artificial intelligence ambitions. TSMC already has a plant in Kumamoto, and is building other new plants in Arizona to meet surging global AI demand.

Musk vows to put data centers in space and run them on solar power but experts have their doubts

NEW YORK (AP) — Elon Musk is bringing the same revolutionary thinking that helped him upend the car industry to the data center business with promises this week to put up to a million new satellites in the sky. But it won’t be easy. Experts say it’s not clear how Musk will keep these orbiting AI supercomputers from overheating, fix glitches on gear in the sky, and stop space debris from punching a hole in his ambitious plans. To help him reach his goals, Musk combined SpaceX with his AI business on Monday and is planning massive IPO later in the year.

Google's quarterly results paint a picture of an internet powerhouse getting stronger in AI age

SAN FRANCISCO (AP) — Google’s latest quarterly report provided further evidence that its internet empire is withstanding an artificial intelligence shakeup that’s turning into another potential boon for the company. The numbers released Wednesday marked the third consecutive quarter that Google has boosted its digital ad sales by more than 10% from the previous year while also posting revenue gains of more than 30% in its division that powers data centers for AI services. That growth during the October-December period propelled Google’s corporate parent Alphabet Inc. well past the earnings forecasts of stock market analysts.

Paris prosecutors raid X offices as part of investigation into child abuse images and deepfakes

PARIS (AP) — French prosecutors have raided the offices of social media platform X as part of a preliminary investigation into allegations that include spreading child sexual abuse images and deepfakes. They have also summoned owner Elon Musk for questioning. The investigation, which began in January last year, is looking into alleged complicity in possessing and spreading pornographic images of minors, among other charges. X and Musk's AI company xAI face scrutiny from Britain's data privacy regulator over their handling of personal data. The chatbot Grok, developed by xAI, sparked outrage after generating sexualized deepfake images. The investigation continues with support from Europol.

Spain looks to ban social media for under-16s, joining others in Europe

MADRID (AP) — Prime Minister Pedro Sánchez says Spain's government plans to ban social media access for children under 16. Speaking on Tuesday at a summit in the United Arab Emirates, Sánchez criticized technology companies for allowing harmful content like child abuse and deepfake images. He emphasized that governments must stop ignoring these issues. Spain joins countries like Australia and France in working to restrict minors' social media access. Sánchez said that the ban would require age verification systems. The measure will be added to existing digital protections for minors being debated in parliament. Spain has also joined a coalition with five other European countries to regulate social media platforms.

France dumps Zoom and Teams as Europe seeks digital autonomy from the US

LONDON (AP) — European governments are moving away from U.S. tech giants, opting for domestic or open-source alternatives. France plans to replace Zoom and Teams with a homegrown video conference system by 2027. Austria's military has adopted open-source office software, and a German state has switched to free software for administrative tasks. This shift aims for “digital sovereignty” amid concerns over data privacy and reliance on U.S. companies. The movement has gained momentum due to geopolitical tensions and fears of tech companies cutting off access. European officials emphasize the importance of not being dependent on a single country or company.