logo
European project Eurosky aims to reduce reliance on US tech giants

European project Eurosky aims to reduce reliance on US tech giants

CNAa day ago
(In lead paragraph, removes reference to "government-backed;" in paragraph 7, changes government backing reference to "strong expressions of interest" from four European governments.)
By Thomas Escritt
BERLIN :A group of European technology entrepreneurs has unveiled the Eurosky initiative, a project to create infrastructure for social media offerings and reduce reliance on U.S. tech giants.
The project, spurred partly by polling data showing strong demand in Europe for locally based social media, launches on Tuesday and plans to use a decentralized moderation platform, similar to that behind the Bluesky social media network.
Moderation - or trying to curb undesirable, illegal or criminal content ranging from stolen data to child pornography from a platform - remains a key barrier to entry for new social media hopefuls trying to offer alternatives to platforms like Meta's Facebook or Instagram.
Eurosky's non-profit moderation service plans to outsource this process for social platform operators, said Sherif Elsayed-Ali, a participant in the initiative.
Polling by YouGov for advocacy groups People vs Big Tech and WeMove Europe showed majorities in France, Germany, and Spain favor Europe-based social media platforms, with only 5 per cent of respondents preferring U.S.-based providers.
Elsayed-Ali emphasized the importance of digital sovereignty, stating, "The information space is something that should be governed by our laws, our values, our rules, and not subject to control by anyone—company or foreign government."
He said four European governments had made strong initial expressions of interest in backing the project but he could not disclose who they were.
This month, Reuters published data revealing a modest shift in European users' usage from U.S.-based providers of email and search towards European-based providers. This was partly driven by concerns over digital sovereignty and ties between U.S. tech leaders and the Trump administration.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Wall Street set for cautious open ahead of US inflation data
Wall Street set for cautious open ahead of US inflation data

CNA

time4 hours ago

  • CNA

Wall Street set for cautious open ahead of US inflation data

PARIS :European stocks were mixed on Wednesday and Wall Street futures were down as traders were cautious about signs of U.S. tariffs causing inflation. Wall Street markets fell late on Tuesday and U.S. Treasury yields rose after U.S. consumer price data for June pointed to higher costs for some goods, prompting investors to scale back their expectations for U.S. Federal Reserve rate cuts. The threat of further tariffs also weighed on market sentiment after President Donald Trump on Tuesday said letters notifying smaller countries of their U.S. tariff rates would go out soon. Trump threatened on Saturday to impose a 30 per cent tariff on imports from Mexico and the European Union starting on August 1. At 1003 GMT, the MSCI World Equity index was down 0.1 per cent on the day, having been knocked off a record-high in the previous session after the inflation data. The pan-European STOXX 600 was down 0.1 per cent while London's FTSE 100 was up 0.2 per cent. Britain's annual rate of consumer price inflation unexpectedly rose to its highest in over a year. The pound rose slightly against the dollar after the data. U.S. stock index futures pointed to a lower open for Wall Street. Traders will be monitoring U.S. producer price data, due later on Wednesday, to see the extent of the inflationary pressures. 'So far we have yet to see a decisive and meaningful pass-through from tariffs into the inflation readings," said Vas Gkionakis, senior economist and strategist at Aviva Investors. "It is likely to come, but we'll just have to wait and see the timing and the extent." The Fed has been keeping interest rates steady as it has waited for indications of the inflationary impact from tariffs, which Chair Jerome Powell had said he expected in the summer. Traders are betting that the Fed will start cutting rates in September. Trump has railed against Powell for not cutting rates sooner, prompting investor concern about whether the central bank's independence could be eroded. The U.S. dollar, which hit multi-week highs after Tuesday's data, cooled on Wednesday, with the dollar index at 98.547, little changed on the day. The euro was up 0.2 per cent at $1.1615. The benchmark 10-year German Bund yield was little changed at 2.707 per cent and the 10-year U.S. Treasury yield was at 4.4753 per cent, retreating from the previous session's highs. Investors are also paying attention to earnings data. Bank earnings due on Wednesday include Goldman Sachs, Morgan Stanley and Bank of America. Oil prices were lower, with Brent crude futures around $68.5 a barrel, as signs of stronger Chinese crude consumption were outweighed by investor caution about the wider economic impact from U.S. tariffs.

ASML says it may not achieve 2026 growth as chipmakers face US tariff uncertainty
ASML says it may not achieve 2026 growth as chipmakers face US tariff uncertainty

CNA

time5 hours ago

  • CNA

ASML says it may not achieve 2026 growth as chipmakers face US tariff uncertainty

VELDHOVEN, Netherlands :ASML, the world's biggest supplier of computer chip-making equipment, warned on Wednesday that it may not achieve growth in 2026 as chipmakers building factories in the U.S. await clarity on how hard tariffs will impact them. The uncertainty in tariff negotiations is spurring chipmakers in the U.S. to delay finalizing investments, CFO Roger Dassen told journalists on a media call. Shares in ASML fell as much as 7.8 per cent and were on track for their worst day since October, dragging peers ASM, BESI, Soitec lower as well. A potential 30 per cent U.S. tariff on European goods could ramp up the price of a single high-end machine to 325 million euros from 250 million euros, he noted. "Clarity is what customers are looking for before they can really finalize their views as to what they're going to do," Dassen said, reiterating ASML's intention to pass such costs on. Beyond a simple tax on a finished machine, the tariffs may pile up for ASML as parts are sent from the Netherlands to the U.S. several times. Analysts had hoped that the quarter would provide some reassurance over its outlook for 2026, but the company warned that geopolitical uncertainty still clouded its prospects. SALES GROWTH UNCERTAIN "The level of uncertainty is increasing, mostly due to macroeconomic and geopolitical consideration. And that includes, of course, tariffs," ASML's Chief Executive Christophe Fouquet said in an internal interview on the company's website. The direct and indirect impact of tariffs was still very uncertain, CFO Roger Dassen said in the interview, and ASML was working with its supply chain to mitigate any impact. "While we still prepare for growth in 2026, we cannot confirm it at this stage," Fouquet said in a statement. If it materialized, 2026 would be the first flat year in over a decade of uninterrupted revenue growth since 2012. ASML investor Han Dieperink, chief investment officer at investment firm Aureus, said he was not worried about the upcoming year, noting that the quarter pointed to solid demand. The Dutch group's net bookings, the most closely watched figure in the industry, were 5.54 billion euros ($6.4 billion), 25 per cent ahead of analysts' consensus estimate of 4.44 billion euros, according to researcher Visible Alpha. ASML's EUV lithography machines represented 42 per cent of those bookings, or 2.3 billion euros' worth. The machines, which are the world's most advanced chip circuit printing system, are the key enabling technology behind leading-edge chips like those used in Nvidia's GPUs, or Apple's Macs and iPhones. "The second quarter beats from top to bottom," analyst Michael Roeg of Degroof Petercam said. Roeg cited strong demand from artificial intelligence related chipmakers. Chinese demand also remained elevated, representing 27 per cent of all machine sales in the last three quarters, and confirming the country's chipmakers have continued to buy less advanced machines in anticipation for more U.S.-led export restrictions. ($1 = 0.8608 euros)

Dollar drops versus euro and yen, US PPI data in focus
Dollar drops versus euro and yen, US PPI data in focus

CNA

time6 hours ago

  • CNA

Dollar drops versus euro and yen, US PPI data in focus

The dollar fell versus the euro and yen on Wednesday after hitting multi-week highs the day before, as U.S. data pointed to tariff-driven inflation prompting investors to slightly scale back their bets on Federal Reserve rate cuts. Rising prices on goods as varied as coffee, audio equipment and home furnishings pulled the inflation rate higher in June, with substantial increases in prices of heavily imported items. That shored up the dollar and pushed U.S. rates higher, with the benchmark 10-year yield down one basis point in London trade to 4.48 per cent, after hitting 4.491 per cent on Tuesday, its strongest level since June 11. nL1N3TC0ZB Investors are now pricing in roughly 44 bps worth of Fed easing by December, down from just above 50 bps at the start of the week. Against the yen, the greenback was down 0.1 per cent at 148.65 after hitting a 3-1/2-month peak of 149.19. The euro snapped a 5-day losing streak, and was up 0.20 per cent at $1.1625. Sterling rose 0.15 per cent to $1.3405 after hitting a three-week low the day before. "Higher tariff-related goods inflation justifies their (the Fed) more cautious stance, while continued disinflation across services categories should support rate cuts in September and beyond," said Tiffany Wilding, economist at PIMCO. "We believe the fact that inflation is more concentrated in core goods categories will make it easier for the Fed to communicate why they are cutting rates while inflation is above target," she added. However, the market focus is now on U.S. producer price data to be released later in the day for further clues on whether price pressures are indeed beginning to pick up. Against a basket of currencies, the dollar fell 0.16 per cent to 98.46. Also weighing on investors' minds was the prospect that Fed Chair Jerome Powell's eventual successor could be someone more inclined to lower interest rates. Trump has railed against Powell for months for not easing and repeatedly urged him to resign. On Tuesday, Trump said cost overruns on a $2.5 billion renovation of the Fed's Washington headquarters could amount to a firing offence. "Trump's attacks on the Fed's independence are unlikely to stop," said Michael Pfister, forex analyst at Commerzbank. "A 25-basis-point cut is unlikely to satisfy him given that he is demanding 300 basis points lower rates. Accordingly, the current recovery phase (of the U.S. dollar) is unlikely to last long as well," he added. In trade, Indonesia said on Wednesday it had reached a deal with the United States after an "extraordinary struggle" in negotiations which resulted in a reduction of proposed U.S. tariff rates on Indonesian goods to 19 per cent from 32 per cent. Trump separately said on Tuesday that a trade agreement with Vietnam was nearly complete. He also said more deals were coming, while offering fresh details on planned duties on pharmaceuticals.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store