Global Mobile News Digest, May 16th

We take a weekly look at mobile and tech stories from around the world. Headlines include… EU Targets TikTok Over Opaque Ad Practices, U.S. Hits Back at EU’s Tough Mobile Platform Rules, Crypto and AI-Linked Scams Exploit Meta’s Ad System and much more… Alternatively listen On MEF Radio.

EU Targets TikTok Over Opaque Ad Practices

Reuters

The European Commission says TikTok has violated EU digital rules by failing to provide transparent advertising data, risking a fine up to 6% of its global revenue. Under the Digital Services Act, platforms must publish ad libraries showing who pays for ads and who’s targeted. TikTok’s lack of transparency raises concerns about election interference, especially ahead of key votes in Romania, Poland, and Portugal. The EU is also probing TikTok’s algorithms for potential harm and child safety issues, spotlighting the growing scrutiny on mobile apps that shape online content and user experience.

Transatlantic Tech Clash: U.S. Hits Back at EU’s Tough Mobile Platform Rules

WSJ

The Trump administration is ramping up pressure on Europe’s Digital Services Act, claiming it threatens free speech and U.S. tech companies by imposing strict content rules. This EU law targets online platforms like Apple, Google, and Meta to better police harmful content and disinformation. Washington warns these rules could spill over to the U.S., affecting how mobile apps and services operate. With Meta openly opposing the EU’s approach, tensions rise over how global tech giants navigate differing regulations, impacting innovation and user experience across mobile ecosystems worldwide.

Crypto and AI-Linked Scams Exploit Meta’s Ad System, Undermining Mobile Trust

WSJ

Meta is struggling to contain a surge of scams flooding Instagram and Facebook, where fake ads for puppies, bargains, and giveaways are run by overseas crime networks, mainly in Southeast Asia — the Wall Street Journal reports. Small businesses like Edgar Guzman’s suffer as scammers hijack their identities to trick users, while Meta’s huge ad revenue—over $160 billion last year—seems to slow effective crackdowns. Despite employee warnings, the platform allows repeat scam ads to run before banning offenders, fueling a growing fraud ecosystem linked to crypto and AI tools. Meta says it’s trying new tech and partnerships to fight scams, but critics say its legal stance and business priorities limit real action, leaving millions vulnerable on its mobile platforms.

AI on Autopilot? Grok Controversy Highlights Oversight Gaps in Mobile App Integration

Guardian

Elon Musk’s AI chatbot Grok—deeply embedded in the mobile experience of the X platform—is drawing fire after users asking about celebrity gossip or even earthquakes got bizarre answers referencing so-called “white genocide” in South Africa.

The glitch, now fixed, triggered fresh alarms over AI integrity in our digital ecosystems.

Musk’s AI firm, xAI, claims the responses stemmed from unauthorized tampering, not the core model, and promises tighter controls, round-the-clock monitoring, and public transparency on Grok’s internal prompts. Still, critics say it’s another case of fringe content seeping into mainstream mobile platforms under Musk’s watch.

MEF and UK Home Office Unite to Enforce A2P Messaging Standards

MEF

The UK Home Office is teaming up with the Mobile Ecosystem Forum to crack down on fraud in A2P messaging. Unveiled at MEF Connects, the move ties government muscle to industry action via the Telecom Fraud Charter, with the MEF SMS Code of Conduct now integrated.

With the Home Office joining the enforcement committee and violators potentially named publicly, it’s a sharp signal that trust and transparency in mobile business messaging are becoming national priorities.

“The partnership highlights the significance of industry and government cooperation in safeguarding consumers and fostering trust in mobile communications”, MEF CEO Dario Betti wrote on LinkedIn.

The final charter lands later this year.

Mobile Gaming Evolves as Studios Blend Entertainment, IP, and In-App Spending

9to5 Mac

Mobile gaming is turning into a high-stakes industry, with fewer hits but bigger spending. Despite a 43% drop in new game releases last year, mobile gamers worldwide spent $65.7 billion—up 4% from the year before — according to Appfigures data. Tencent led the way with blockbuster titles like Honor of Kings, while U.S. players spent over $6 per download—quadruple the global average. Studios are now leaning on crossovers with movies, fashion, and comics to retain players and drive in-game purchases, reshaping how mobile entertainment and culture merge.

RCS Surges Past 1B Daily Messages in the US—A Turning Point for Mobile Communication

How to geek

RCS—the modern messaging standard—has officially hit scale in the U.S., with over a billion messages sent daily across Android and iOS. That shift means richer images, smoother group chats, and a more seamless experience, regardless of device. For the mobile ecosystem, it’s a milestone that signals the fading relevance of SMS and opens the door for brands and services to engage users in more dynamic ways.

New MEF Data: Nordic Messaging Ecosystem Poised for Shift if Apple Enables RCS

MEF Linkedin

New data from the Mobile Ecosystem Forum shows iPhone users make up over half of mobile broadband connections in the Nordics, with the Faroe Islands leading at 74%. If Apple enables RCS on iPhones, it could instantly double business messaging reach—adding nearly 18 million users across the region. That move would reshape messaging ecosystems and boost enterprise engagement, especially in markets like Finland and Norway. The industry will be watching closely ahead of the MEF Leadership Forum in Oslo later this month.

Huawei’s AI Ambitions Hit by U.S. Export Controls

Reuters

The US has warned that using Huawei’s AI chips, such as the Ascend range, could lead to criminal penalties for violating export controls. The U.S. Commerce Department clarified that these chips, which are believed to include American-made technology, are subject to strict regulations. This move aims to slow Huawei’s advancement in AI technology, as their chips have become increasingly competitive with U.S. brands like Nvidia, especially in China. The announcement highlights ongoing tensions over China’s push to develop advanced tech and its growing capabilities in the AI chip market.

Nvidia’s New China Lab to Boost AI and Edge Computing for Mobile Devices

Reuters

Mobile networks and device makers are set to benefit from Nvidia’s latest China play. The chip giant is planning a new research and development hub in Shanghai, where engineers will tweak and test AI processors specifically for Chinese customers—think next-gen on-device intelligence and carrier edge computing for smartphones. While core design stays in the US to respect export controls, this local lab aims to optimize everything from mobile AI apps to autonomous-driving hardware in China’s huge mobile ecosystem, ensuring Nvidia retains its lead as homegrown rivals ramp up.

OpenAI, Google, Meta, Microsoft Race to Add Long-Term Memory to AI Chatbots

FT

AI giants like OpenAI, Google, Meta, and Microsoft are racing to equip chatbots with long-term memory, aiming to deliver more personalized user experiences and lock in market dominance. According to the Financial Times, these memory upgrades allow AI to recall user preferences — from dietary habits to search history — and tailor responses accordingly. OpenAI’s ChatGPT and Google’s Gemini already offer memory features with user controls, while Microsoft’s controversial Recall tool, which captures screen snapshots, has sparked privacy backlash. Experts warn that while this memory makes AI feel more like a helpful assistant, it also raises serious concerns about surveillance, manipulation, and commercial exploitation.

Startups Raise $215M to Help Creatives License Content for AI Training

FT

Investors are backing a new wave of start-ups helping creatives license their content for AI training, a growing concern as tech giants like OpenAI and Google face increasing scrutiny over the use of copyrighted material — the Financial Times reports. Companies like Pip Labs, Vermillio, and Human Native are creating platforms that enable writers, musicians, and filmmakers to get paid for allowing their work to train AI models. Since 2022, these startups have raised $215 million, as AI firms race to secure high-quality training data. As demand for these licensing deals rises, the market could grow from $10 billion to $67.5 billion by 2030, with more AI companies seeking to avoid copyright lawsuits while expanding their data access.