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Britain Wants To Punish Microsoft for Being Too Successful

Microsoft | Ken Wolter/Dreamstime.

Successful tech companies are being punished—for being successful.

Last week, Britain's Competition and Markets Authority (CMA) proposed designating Microsoft as having strategic market status, which would give the government regulator enormous powers to regulate Microsoft and impose specific conduct requirements on product design. A consultation process has begun, with a decision on whether Microsoft will be given strategic market status expected in February 2027.

If the CMA decides to designate Microsoft as having strategic market status, it could intervene in product bundling (how Microsoft packages Teams, Word, Excel, and Copilot together), interoperability (whether Microsoft should make it easier for competing software and AI developers to integrate with its products), cloud licensing (whether Microsoft's licensing arrangements disadvantage rival cloud providers), and customer switching (whether businesses face unreasonable barriers to leaving Microsoft's ecosystem) in the United Kingdom.

Bizarrely, the CMA's fundamental gripe with Microsoft is that it has made its software so interconnected, convenient, and commercially attractive to buy together that competitors struggle to persuade businesses to use anything else. For example, the CMA says that Microsoft offers customers "technology that is useful, secure, easy to deploy and manage, and available at an attractive overall price." According to its own customer research, Microsoft is seen as "relatively good value for money," and its bundles are "seen as more cost-effective than buying and managing separate licences." Because commercial bundling "makes customers less likely to adopt products from alternative providers," the CMA thinks it must intervene.

Microsoft is not the first tech giant to feel the CMA's wrath for creating products people like. In 2025, the CMA decided Google had strategic market status in general search and search advertising, giving the regulator the power to impose legally binding requirements on how the company operates. Since then, the CMA has ordered Google to use government-mandated standards for ranking organic search results, provide competitors with tools to access users' search data, and give publishers greater control over how their content is used in AI-powered search. (These requirements were imposed without finding that Google had violated competition law.)

"Products working well together at an attractive price used to be called a selling point," but is now "attracting intervention pushed by an overzealous regulator," Matthew Lesh, public policy fellow at the Institute of Economic Affairs, a London-based free market think tank, tells Reason. Lesh is the co-author of Digital Overload, a 2023 report that warns against giving the CMA "extensive, discretionary powers" amounting to the regulator "telling some of the most successful and popular platforms on the planet how to run their businesses."

Lesh argues that including Copilot, Microsoft's AI chatbot, in the designation is "particularly outrageous." Last year, when Google was designated as having strategic market status, the CMA excluded Gemini because the "AI assistant sector is relatively small, nascent, and highly dynamic." Lesh argues that, with Google, the CMA acknowledged "uncertainty about the market's development," but now "proposes sweeping Microsoft's workplace AI into a designation requiring an assessment looking at least five years ahead."

"Five years ago, ChatGPT didn't exist. Anyone confident about who will lead workplace AI in 2031 should be running a hedge fund, not a regulator," he tells Reason.

While European countries have taken a far more interventionist approach to technology, the United States has, at least comparatively, celebrated competition and innovation. But American lawmakers are increasingly flirting with importing similar restrictions on Big Tech.

In June, Sens. Chuck Grassley (R–Iowa) and Amy Klobuchar (D–Minn.) reintroduced the American Innovation and Choice Online Act, which would allow federal and state antitrust enforcers to challenge certain practices by dominant online platforms, including favoring their own products and disadvantaging competitors. Jack Nicastro described the bill in Reason as an "atrocious importation of European-style competition policy," arguing that it would undermine innovation and choice. The following month, Sen. Mark Warner (D–Va.) introduced the AI AGENT Act, which would impose new requirements on major online platforms to accommodate competing AI agents.

These proposals are intended to address similar concerns to those of the CMA in Britain. The idea is that established companies outperforming their competitors is somehow evidence of "market failure," undermining the very innovations that made them successful.

Technological progress has always been driven by entrepreneurs and the companies they've built competing to win over consumers. Britain seems to have forgotten this. If the United States wants to remain a world leader in tech, it should avoid the British approach like the plague.

The post Britain Wants To Punish Microsoft for Being Too Successful appeared first on Reason Magazine.

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A Months-Old Anti-Robotaxi Group Is Steering Transportation Policy From Albany to D.C.

Waymo | Illustration: Walter Cicchetti/Dreamstime/Midjourney/Fatima Ruiz.waymo

At a protest against a bill to legalize Waymo in Washington, D.C., earlier in October, the main tagline was: "Robotaxis don't vote; we vote." Little is known about the group behind it, raising questions about who's fueling the pushback against robotaxis in America's major cities.

People First Transportation Alliance (PFTA), the organization in question, describes itself as a "statewide coalition of labor unions" dedicated to putting "people over untested technology." The PFTA states it's a "coalition of community organizations, safe-streets advocates, and faith leaders." However, as The Washington Post reported on Monday, the group appears to have overstated its affiliation with four of the 13 individuals and organizations listed as its founding members.

"Several groups and individuals said statements made about them on the Transportation Alliance website were inaccurate," the Post reported, adding that PFTA "appears to be newly formed, with a minimal social media presence. Its website domain was created in late April, according to the Internet Corporation for Assigned Names and Numbers." The group created its social media accounts in May, but it has no posts and no followers. 

Apart from its recent interest in the nation's capital, the PFTA lists New York and Philadelphia as its priorities, two cities led by lawmakers who publicly oppose Waymo's presence. Yet for a relatively unknown, recently created organization, the PFTA has found success in its campaign to shut autonomous vehicles like Waymo out of America's Northeast.

In February, the New York Post reported that Gov. Kathy Hochul (D–N.Y.) withdrew her own proposal—which would have allowed commercial robotaxi services such as Waymo to operate in smaller cities in upstate New York—after a PFTA-led coalition prompted enough backlash to kill support for the measure. A Hochul spokesperson told the Post that it was "clear that the support was not there to advance this proposal." 

The PFTA told the Post that the organization would urge the state to "pass legislation requiring a human driver behind the wheel in every vehicle and a comprehensive study leading to a plan to address the impact driverless cars would have on New York State." 

The group's resolution comes despite customer support for autonomous vehicles: A 2025 study on Waymo, Uber, and Lyft by Obi—a company that aggregates real-time rideshare prices—found that 70 percent of riders who've used Waymo preferred it over Lyft or Uber and 42.7 percent of all respondents were willing to pay Waymo's premium price (up to $10 more) to use the service.

Despite consumer support, autonomous vehicles can't count on a fair shake from lawmakers in some of the country's largest cities. In New York City, Waymo's permit to operate a pilot program on public streets expired in March. Mayor Zohran Mamdani has so far been noncommittal on renewing the company's permit. At a press conference that same month, he said his administration would be prioritizing workers such as the city's taxi drivers who "for far too long, have been sold a dream of being able to work their way to the middle class, only to have the rug pulled out from under them." 

Despite the mystery surrounding the PFTA, its D.C. protest drew enough public support to elicit a statement from a person who will likely be the city's next mayor, current D.C. Councilmember Janeese Lewis George. In a post on X, Lewis George said D.C. was "facing a jobs crisis" that would be exacerbated by "rushing the legalization of autonomous vehicles." She urged the D.C. Council—which is currently considering a punitive proposal to legalize commercial autonomous vehicles—to "get this right and not rush Waymo legislation this year."

It's unclear how much longer Lewis George wants the District's residents to wait before autonomous vehicles are available for use. D.C.'s approach to legalizing commercial robotaxis hardly seems rushed. 

Waymo began testing its vehicles in the city nearly two and a half years ago, in spring 2024. The company's co-CEO Tekedra N. Mawakana said its fleet has driven "more than 300,000 miles in Washington, D.C."Meanwhile, the District Department of Transportation (DDOT) has been conducting studies and organizing working groups on autonomous vehicles for nearly a decade. Still, the agency has been unable to draft a regulatory framework that would eventually enable commercial robotaxi use in the nation's capital. In March, UrbanTurf reported that DDOT would be conducting a long-awaited study on autonomous vehicles—originally due in 2022—and "expects to propose recommendations on AV deployment later this year."

Opponents of autonomous vehicles, such as Lewis George and the PFTA, often cite job loss as a reason not to legalize the tech. Still, with only 200 full-time ride-share drivers in a city of roughly 400,000 workers, as Lewis George has reportedly stated, the situation is a far cry from a crisis.

As for PFTA's public safety claims, Waymo's independently reviewed data show that, compared with an average human driver over the same distance, its vehicles caused 95 percent fewer serious-injury-or-worse crashes and 93 percent fewer pedestrian crashes with serious injuries.

PFTA claims it represents the people most directly affected by transportation policy. The little publicly available information suggests the group is more focused on protecting its members' position in the ride-share market than enhancing the experience of riders, who are increasingly opting for robotaxis when given the opportunity.

The post A Months-Old Anti-Robotaxi Group Is Steering Transportation Policy From Albany to D.C. appeared first on Reason Magazine.

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Meta Is Gifting AI Glasses to Blind Veterans: 'I Got My Independence Back'

Two men sitting on a bench with one of them wearing Meta glasses | Photo: Meta

Two hundred years ago, the invention of Braille allowed blind people to read and write. By the 1930s, recorded sound made "talking books" possible. Developments in text-to-speech technology in the 1980s made reading more accessible and widespread. Then came personal computers, screen readers, smartphones, cameras, GPS, voice assistants, and myriad other technological advancements that gave blind people more independence.

Now a pair of sunglasses can read your mail, describe the person in front of you, tell you what is on a restaurant menu, and help you find your way home. Meta, the parent company of Facebook, is using artificial intelligence to turn glasses into a hands-free companion. For any person, this technology is impressive. For the approximately 700,000 Americans who are blind, it is potentially life-changing.

In June, Meta announced that every single blind veteran in the United States could receive its AI glasses free of charge. According to the Department of Veterans Affairs (V.A.), approximately 130,000 American veterans are legally blind, and over 1 million veterans have vision impairment that makes performing daily activities difficult. Don Overton, a blind veteran and former executive director of the Blinded Veterans Association, told Meta that he had "lost [his] independence" after losing his eyesight in a bunker explosion. "The moment I put on my Ray-Ban Meta glasses," he said, "I got my independence back."

The V.A. has a history of failing to fully support blind veterans. In 2022, the V.A.'s Office of Inspector General found that claims processors were instructed to contact visually impaired veterans by telephone, but 87 percent of claims showed no evidence of these calls ever happening. A 2022 investigation by the Senate's Special Committee on Aging found that "roughly 90 percent" of V.A. websites were not compliant with federal accessibility requirements. "We feel we've been abandoned by the agency that is tasked with providing our care and services for us," Overton told The Washington Post in 2022.

Meta's AI glasses have come under fire due to their privacy risks. The company was sued in March after Swedish publications Svenska Dagbladet and Göteborgs-Posten reportedly found that Meta's contractors in Kenya were accessing videos by users of their AI glasses. "We see everything, from living rooms to naked bodies," one worker noted.

Users should be aware of those risks. Still, for blind veterans, companies such as Meta have stepped up to fill a gap that the government has failed to address.

The post Meta Is Gifting AI Glasses to Blind Veterans: 'I Got My Independence Back' appeared first on Reason Magazine.

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Artificial Intelligence Runs an Entire Café in Stockholm

While drinks may be prepared by human hands, an artificial intelligence system is in full control of an experimental café in the Swedish capital, Stockholm, the Associated Press reported in late July. San Francisco-based startup Andon Labs has placed an AI-powered agent named “Mona” at the helm of a café in Stockholm. The system, built […]

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SK Hynix needs a Trump 2027 deal to expand its Dalian NAND fab

South Korean memory chipmakers must secure new United States licenses by year-end to keep shipping top-end American tools to their Chinese factories, after the Trump administration scrapped blanket permits last year. To win the permits, SK Hynix and Samsung must promise to build or expand factories in the US. SK Hynix’s one-year license to ship […]

The post SK Hynix needs a Trump 2027 deal to expand its Dalian NAND fab appeared first on Asia Times.

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Nobody Wants To Be the Pro-Tech Candidate in This New York Race That Could Flip the House

Mike Lawler and Cait Conley | Bonnie Cash/UPI/Newscom/caitconley.com

The Democratic Socialists of America (DSA) candidates running for the House of Representatives and endorsed by NYC Mayor Zohran Mamdani are all but guaranteed to win their general elections this November, but that does not mean the midterm drama is over in New York. In the state's 17th congressional district, which includes the lower Hudson Valley, Democratic challenger Cait Conley, a combat veteran who served on the Biden administration's National Security Council, could unseat incumbent Republican congressman Mike Lawler in one of the most consequential races of the midterms. 

The highly contested purple district voted for former Vice President Kamala Harris in the 2024 election while reelecting Lawler for his second term. Now, Lawler is attempting to win a third term as support for President Donald Trump wanes ahead of the midterms. As of Friday, The Cook Political Report lists the race, which could determine control of the House, as a toss-up. 

If elected, Conley would have far more in common with the "Badass Women" coalition of security state and military veterans than with DSA types (think more Sen. Elissa Slotkin from Michigan than Darializa Avila Chevalier). As Judge Street Journal's Timmy Facciola notes, "Conley's candidacy is testing the viability of a tactful centrism that rebukes left-wing positions like abolishing ICE or restricting weapon shipments to Israel." Lawler is also vying for moderates, pitching himself as "one of the most bipartisan members of Congress" and emphasizing his willingness to break with Trump occasionally while still welcoming Trump's support. 

While Lawler and Conley certainly are not pure MAGA acolytes or DSA members, both have leaned into a tech-critical position, much like that of more radical populists like Lina Khan or Steve Bannon, revealing how pervasive anti-tech sentiment has become in mainstream politics. 

This tech skepticism was on full display during an October 14 debate, when each candidate made the case for why they were the most equipped to regulate AI, insisting that the industry needs guardrails. 

Conley said members of Congress do not want to regulate AI because "they want to look out for their billionaire and trillionaire backers like Elon Musk, who is pouring over $260 million into this midterm election." She then added that Musk backed Lawler in his 2024 race. 

Lawler then accused Conley, who previously consulted for Primer AI, of being "the AI candidate for the AI industry."

While Lawler and Conley disagree on specific data center regulations (Conley supports Democratic Gov. Kathy Hochul's data center moratorium while Lawler supports local zoning control over data centers), neither wants to pitch themselves as an explicitly pro-data center candidate. During the debate, Conley claimed that, "On Mike Lawler's watch there have been five data centers built in Rockland County." Lawler has said that he had no say in the decision to build the data centers, and during the debate, he pointed out that the facilities were built for financial services. Lawler also attempted to attack Conley over data centers, slamming her in an ad for saying "we need data centers." Regardless of the candidates' specific policies on data centers, their attacks on one another demonstrate that cheerleading hyperscale data center development is a political liability. In their district, data center has presumably become a dirty term. 

The candidates' tech-skeptical rhetoric did not end with unchecked data center development. After the debate, Reason asked both candidates about their positions on age-verification laws for social media and AI, since such regulations raise significant privacy and censorship concerns by age-gating the internet. Unsurprisingly, both Lawler, who voted for the controversial KIDS Act, and Conley, who has proposed stricter age verification for AI tools, parroted platitudes about why such online safety regulations are necessary to protect children. 

"We have watched how social media is literally hurting the mental health of children," Conley told Reason. "And when you talk about the power of AI and what that power could do, we have to regulate this." 

Lawler gave a similar response, telling Reason that he respects free speech but that protecting children "is paramount." 

This bipartisan consensus over social media regulation has long been brewing in Congress. The mainstream political conversations about AI and data centers, however, are relatively new this midterm election cycle. And it appears both Lawler and Conley have figured out which way Americans' sentiment toward AI is leaning, and they have waged their campaigns accordingly. 

The post Nobody Wants To Be the Pro-Tech Candidate in This New York Race That Could Flip the House appeared first on Reason Magazine.

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TSMC’s global buildout faces crucial capital efficiency test

TSMC expects overseas manufacturing to reduce its consolidated gross margin by nearly two percentage points in 2026, with the impact widening to three to four points later in its expansion program. The company plans to spend $60 billion to $64 billion on capital expenditure this year. Its latest outlook calls for fourth-quarter revenue of up […]

The post TSMC’s global buildout faces crucial capital efficiency test appeared first on Asia Times.

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China previews a world where the algorithm is switched off

The Australian government has introduced its digital duty of care legislation to parliament today. The bill includes an “off switch” to allow social media users to opt out of recommender algorithms. If passed, Australians could choose to switch off their algorithmic recommendation and consume a news feed populated by the accounts they subscribe to. It’s […]

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Deskilling the Body

“We have fallen into habits that are steadily deskilling the human body,” writes Melanie Challenger. “This is a strange turn of events for an animal whose success comes mostly from the extraordinary ability to learn through experience.” For Aeon, Challenger explores how modern technologies, from GPS to AI, are eroding our body’s physical skills by replacing the embodied experiences through which we learn.

After all, the brain is itself a physical organ, continually shaped by what the body does and encounters. Once we decide that the mind is the real human and the rest of the body only hardware, it becomes easier to disregard the physical work, including the neurocognitive work of a biological brain, through which we move, find our way, put thoughts into words, and recognise our own needs. A machine may do some of that work faster, but each act it takes over is one that the body no longer performs and that the body, including the brain, no longer learns through. The irony is that a project motivated by the desire to overcome bodily fragility is helping to produce more fragile bodies.

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America’s new Future of Warfare Programme: Fewer Soldiers, More Wars

America’s coming revolution in warfare may not mean fighting fewer wars but fighting more of them without putting Americans on the battlefield. Taking Americans out of the fight When US Defense Secretary Pete Hegseth launched Project Meridian on September 30, he presented it as an exercise in imagining warfare decades into the future. Led by […]
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Can AI be conscious? Ask the Indian sages

The debate over artificial intelligence has settled into a familiar rhythm. Will large language models eventually wake up? Do they possess an inner life, or are they merely sophisticated mimics of human output? Researchers disagree, and so do philosophers. A 2025 survey of 582 AI researchers asked how likely it is that AI systems with […]

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IMF warns of debt-fueled AI spending as bubble fears grow

The International Monetary Fund warned Tuesday that the global economy faces serious risks from Big Tech firms taking on massive debt to fund the buildout of artificial intelligence data centers worldwide. The IMF’s latest Global Financial Stability Report outlines a number of risks to economic growth in the coming years, including a reliance on AI […]

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The Frontier Express: when Samsung gets money

For most of the past thirty years, the semiconductor industry ran on a remarkably clean division of labor. Everybody knew their place. The caricature was almost this simple: TSMC printed. Memory makers crammed capacitors. Designers drew. And the money followed the drawing. TSMC took designs from Nvidia, Apple, AMD, Broadcom and others and reproduced them […]

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EU Targets Heart of Russia’s War Machine With Unprecedented Sanctions Against 1,569 Firms and Executives

The European Union has adopted an unprecedented package of sanctions against Russia’s military-industrial complex, blacklisting 1,569 companies and individuals involved in supplying weapons for Moscow’s war against Ukraine.

The Council measures announced on 12 October target 826 companies and 743 executives. Unlike earlier sanctions targeting political figures, the latest listings reach deeper into the industrial supply chains needed to manufacture missiles, drones, aircraft and ammunition.

Ballistic missile supply chains

EU foreign policy chief Kaja Kallas said more than half the new listings concerned ballistic missile production. The Council identified electronics manufacturers, semiconductor suppliers, radar specialists, navigation equipment firms and producers of explosives.

These businesses occupy positions in production networks that enable Russia to sustain the manufacture of weapons despite restrictions on its access to Western technologies. The Council announcement estimates their combined annual turnover at at least €20 billion and employment at more than 250,000.

The move follows intensive Russian missile and drone strikes against Ukrainian cities and energy installations. European governments increasingly seek to undermine Moscow’s operational capacity by identifying businesses that procure or manufacture components for its armed forces.

Enforcement beyond EU borders

Listed firms face asset freezes, while EU businesses and citizens cannot make funds or economic resources available to them. The named executives also face travel restrictions. Suppliers and financial institutions will need to check commercial transactions for links to sanctioned entities.

The actual impact on Russian output remains uncertain. Businesses with few assets in Europe may experience limited immediate disruption. Moscow has developed alternative procurement channels through third countries, some involving intermediaries that acquire electronics or equipment originally manufactured elsewhere.

Sanctions effectiveness therefore depends on customs intelligence, financial due diligence, international cooperation and the willingness of commercial partners to stop dealing with listed companies. Targeting managers individually is also intended to raise the personal costs of directing Russia’s military production.

A test for Europe’s economic pressure

Precision navigation systems, sophisticated electronics and specialised manufacturing technology remain difficult to substitute rapidly. Nevertheless, listing a supplier cannot by itself prevent components from moving through indirect trading routes.

The sanctions coincide with renewed discussion of a possible halt to attacks on energy infrastructure. Brussels is signalling that negotiations about the war’s conduct need not entail relief from restrictions on Russia’s defence economy.

Whether the measures reduce missile production will depend on changes in procurement and output over the coming months. Their immediate significance is the EU’s decision to extend restrictions beyond the most visible weapons producers into the broader industrial networks sustaining Russia’s war.

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Scientists Create First Hypoallergenic Gene-Edited Dogs

Scientists have used CRISPR gene-editing technology to create the first dogs lacking a key protein that triggers allergic reactions in humans, the Associated Press reported two months ago. The study, published in *The CRISPR Journal*, describes how specialists from the US company Kindred Companion Sciences created two female Beagles—Bailey and Alfie. They “switched off” the […]

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US “Project Meridian” — A Symptom of American Decline, Not a Solution

The creation of “Project Meridian” is not a path to US military superiority but an admission of its own weakness, rooted in a financialized system rather than a technology gap. US Secretary of Defense Pete Hegseth recently announced the creation of the 120 day task force, “Project Meridian.” On the US Department of Defense’s website […]
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When AI takes control of weapons systems

Artificial intelligence is rapidly making its way into national defense. Reconnaissance, early warning, target detection, mission planning—everywhere, machine-learning systems promise faster analysis, faster responses, and faster decision-making. In a military context, this sounds like progress. In reality, AI exacerbates a security problem that cannot be solved technically. Anyone who attempts to do so anyway risks […]

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US-China race is on for the Gulf’s AI future

China’s artificial intelligence and digital-infrastructure investments in the Gulf Arab states are increasingly colliding with a far larger and more strategically privileged American technology presence, particularly in Saudi Arabia and the United Arab Emirates (UAE). While Beijing offers Gulf governments cloud platforms, 5G networks, smart-city systems, surveillance technologies and lower-cost digital infrastructure, Washington offers the […]

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