We take a weekly look at mobile and tech stories from around the world. Headlines include… Apple’s AI Features and Strong Services Revenue Boost Outlook Despite iPhone Sales Dip, AI Mobile App Market Hits $2B, Vodafone and AST SpaceMobile Achieve First-Ever Smartphone Video Call via Satellite and more… Alternatively listen On MEF Radio.
Apple’s AI Features and Strong Services Revenue Boost Outlook Despite iPhone Sales Dip
Reuters
Apple’s iPhone sales fell nearly 1% in the December quarter to $69.1 billion, missing analysts’ forecast. Revenue grew 4%, while net income rose 7%. Sales in China dropped 11%, below expectations.
Apple’s AI-driven iPhone 16 sales performed better in markets where its AI tools, Apple Intelligence, launched. Despite iPhone struggles, Apple’s services revenue grew 13.9%, slightly above estimates. Apple’s executives forecast relatively strong sales growth, a sign the company will recover from a dip in iPhone sales as it rolls out artificial intelligence features. Investors remain hopeful about future AI integration. Shares rise after the report.
Read More…
AI Mobile App Market Hits $2B, ChatGPT Dominates with $529M in Revenue
Bloomberg
The mobile app market for artificial intelligence is now valued at $2 billion, with OpenAI’s ChatGPT leading the charge, according to a new report by Appfigures.
Since its release in May 2023, the app has grossed $529 million, nearly four times the revenue of its closest competitor.
Spending on AI apps surged in 2024, reaching $1.4 billion, with U.S. consumers contributing about half of the total sales.
AI assistant apps, including ChatGPT and the rising DeepSeek, dominate the market, with ChatGPT earning more each month than all other top assistant apps combined.
The rapid growth of AI apps has seen an 862% increase in revenue across various market segments in 2024.
Read more…
Apple enables support for T-Mobile and Starlink satellite network on the iPhone
Engadget
Apple has quietly collaborated with SpaceX and T-Mobile to integrate Starlink satellite support into iPhones, offering an alternative to its existing Globalstar-powered service, Bloomberg reports citing people familiar with the matter.
With the iOS 18.3 update, select T-Mobile users can now send texts via Starlink in areas without cellular coverage. Unlike Apple’s Globalstar feature, which requires users to aim their phone at the sky, Starlink works automatically. While the initial rollout is limited to texting in the U.S., SpaceX and T-Mobile plan to expand into voice and data. Apple has not publicly acknowledged the feature, but T-Mobile has begun a small-scale beta test.
Read more…
Vodafone and AST SpaceMobile Achieve First-Ever Smartphone Video Call via Satellite
Vodafone
Vodafone Group and AST SpaceMobile claimed an industry first by completing a video call via satellite using a regular smartphone in a mobile dead zone in Wales. Vodafone engineer Rowan Chesmar connected with CEO Margherita Della Valle and UK astronaut Tim Peake in Newbury, UK. The call relied on AST SpaceMobile’s Bluebird satellites and Vodafone’s new space-to-land gateway, which channels signals between smartphones and satellites, integrating with Vodafone’s terrestrial network. The company plans to launch commercial direct-to-device services in Europe later this year. Vodafone emphasized that combining satellite technology with 5G would enhance rural connectivity and emergency services. AST SpaceMobile faces competition from SpaceX, Lynk Global, and others in the satellite broadband race.
Read more…
FCC Delays Telemarketing Consent Rules After Court Challenge, Extending Industry Uncertainty
MEF
The U.S. Federal Communications Commission (FCC) has delayed its new rules on consumer consent for telemarketing calls, originally set for January 2025, after a court ruled against them.
The rules aimed to clarify consent but were challenged by the Insurance Marketing Coalition for conflicting with broader consent definitions.
The FCC has postponed implementation for12 months, allowing businesses to continue using broader consent practices but leaving uncertainty about future regulations.
The decision balances consumer protection with business needs, offering time for companies to adapt and prepare for potential revisions, focusing on transparency and user-friendly consent solutions.
Read more…
US Probes DeepSeek Over Alleged Nvidia Chip Ban Violations Amid AI Concerns
Bloomberg
US officials are investigating whether Chinese AI startup DeepSeek illegally obtained banned Nvidia chips through intermediaries in Singapore, Bloomberg reports.
DeepSeek’s chatbot R1 has sparked speculation that it was built using Western technology, raising concerns about China’s AI advancements.
The FBI and White House are probing whether DeepSeek bypassed US export controls on high-end semiconductors.
Nvidia denies any violations
The case questions the effectiveness of US chip restrictions, with officials now considering further limits, including on Nvidia’s H20 chip.
Singapore, a key hub in Nvidia’s supply chain, is under scrutiny for its role in chip exports to China.
Read More…
SoftBank Eyes $25B OpenAI Investment, Pushing Total AI Bet Beyond $40B
FT
SoftBank is in talks to invest up to $25 billion in OpenAI, potentially becoming its largest financial backer, the Financial Times reported citing people with knowledge of the matter.
The investment would be in addition to SoftBank’s $15 billion commitment to the Stargate project, a large-scale AI infrastructure initiative. Overall, SoftBank’s partnership with OpenAI could exceed $40 billion.
The Stargate project, which could cost up to $500 billion over four years, aims to reduce OpenAI’s reliance on Microsoft for computing resources.
SoftBank founder Masayoshi Son views this as a key step toward advancing AI and superintelligence. OpenAI is also negotiating a shift to a for-profit model to attract more investors.
Read More…
Mobile gaming revenue is up despite shifts in market trends | Sensor Tower
Gamesbeat
Sensor Tower’s latest report on the state of mobile gaming in early 2025 highlights key trends shaping the industry. For the first time since 2021, in-app purchase (IAP) revenue experienced year-over-year growth, indicating stronger monetization. However, overall game downloads declined by 6%, suggesting that gamers are spending more time engaged in existing game ecosystems rather than exploring new titles.
The report reveals that emerging markets played a significant role in driving engagement, while core gaming genres continued to dominate. A notable trend is the decreasing success rate of new game launches—whereas over 200 new games entered the U.S. top 1,000 in 2020, only about 100 managed the same feat in 2024. This shift indicates a maturing market where established titles are retaining players more effectively than before.
Read More…
China Hails DeepSeek’s Success as ‘AI’s Sputnik Moment
CNN
China is celebrating the success of DeepSeek, referred to as “AI’s Sputnik moment.”
Prominent figures, including Feng Ji, co-founder of Game Science, hailed it as a national achievement, claiming it could alter the country’s future.
The success comes amid China’s efforts to advance its tech sector despite US restrictions, marking a significant moment in the country’s tech development and boosting national pride.
Read More…
Alibaba’s Qwen2.5 Max Takes on DeepSeek and OpenAI in AI Benchmark Battle
Reuters
A new AI model by Alibaba, Qwen2.5 Max, may outperform DeepSeek’s latest release, according to the company, which conducted benchmark tests.
Alibaba’s cloud unit claims the model achieves competitive performance against top-tier AI systems from OpenAI, DeepSeek, and Meta.
The launch follows DeepSeek’s recent AI debut, which gained attention for delivering GPT-4o—level reasoning at a lower cost.
Read More…
