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Putting the genie back in the bottle — #85

The only thing certain in continued is uncertainty.

Beloved readers,

This is not the intro to Bridgerton. Instead, it’s a short and sweet hello, informing you that I’m giving myself a newsletter break for easter next week. And hopefully, you’ll get a well-deserved break too.

And then – after some egg-hunting and pickled herring – I’ll be back with more newsletters. Thank you all for reading!

Anna

Chinese President Xi Jinping says he is preparing for war

GEOPOLITICS

President Xi Jinping said he is preparing for war at the March annual meeting of China's parliament. Xi incorporated the theme of war readiness in four separate speeches, at one point telling his generals to “dare to fight.”

The Chinese government also announced a 7.2 per cent increase in China’s defence budget, which has doubled over the last decade, and plans to make the country less dependent on foreign grain imports. In recent months, Beijing has revealed new military readiness laws, new air-raid shelters in cities across the Taiwan Strait, and new “National Defense Mobilization” offices nationwide.

Analysts say it is too early to tell what these developments mean and that conflict is not unavoidable or immediate. But the changed rhetoric from Beijing is enough for policymakers and business leaders worldwide to recognise the risk as substantial. If Xi says he is readying for war, it would be foolish not to take him at his word. We made that mistake when Russia prepared to invade Ukraine. Let’s make sure we’ve learned from that mistake.

Italy investigates OpenAI for breaching GDPR

PRIVACY / INTERNET

The same week, as multiple high-profile tech people asked for a pause on AI development, Italy’s data protection authority reminded us that some countries have laws that already apply to cutting-edge AI. Italy has ordered OpenAI to stop processing people’s data locally immediately.

The Italian DPA stated that it is concerned that the organisation behind Chat GPT is breaching the European Union’s General Data Protection Regulation (GDPR) and is opening an investigation. Specifically, the Garante said it issued the order to block ChatGPT over concerns that OpenAI has unlawfully processed people’s data and that nothing prevents minors from accessing the tech.

The investigation made OpenAI block access to ChatGPT from Italy, and the company now have 20 days to respond to the order. Fines for breaches of GDPR can scale up to 4% of annual turnover, or €20 million, whichever is greater. 

It’s worth noting that OpenAI, based in San Francisco, has no legal entity established in the EU. Therefore, any data protection authority can intervene under the GDPR if it sees risks to local users. Which means other EU countries might follow in Italy’s footsteps.

Japan limits exports of chipmaking equipment

GEOPOLITICS

Japan’s trade and industry minister, Yasutoshi Nishimura, announced that export controls would be imposed on 23 types of chipmaking equipment requiring Japanese companies to seek export permissions. Once the world leader in chip production, Japan remains a significant supplier of chipmaking machines and semiconductors despite its global market share falling to about 10%.

Aiming to ensure the equipment isn’t used for military purposes, the controls include exceptions for 42 territories Tokyo recognises as having adequate export measures — including South Korea, Taiwan, and the United States.

Japan said these measures aren’t meant to target any particular country. Still, they come as it has reportedly agreed in principle to join the US in preventing China from getting critical equipment to make cutting-edge chips. In January, Japan and the Netherlands struck a three-way deal with the United States to cut off Beijing’s ability to import gear to produce the most advanced semiconductors, which could be used in sophisticated weaponry and machines.

At the same time, Yoshimasa Hayashi, Japan’s foreign minister, met his Chinese counterpart in Beijing yesterday as Tokyo called for the quick release of a recently detained employee from Japanese pharmaceutical company Astellas Pharma. This is the first such visit since December 2019.

Double-check the headlines

Just making sure you didn’t miss any major world events this week.

One long

The New Yorker

Rumours destroyed Hazim Nada’s company. Then hackers handed him terabytes of files exposing a covert campaign against him—and the culprit wasn’t a rival but an entire country.

Five short

1. Watch

Watch this 17-minute and 53-second documentary about a fascinating internet mystery — Cicada 3301. The Internet being weird is the best.

2. Listen

The 2023 Polar Music Prize laureates were presented this week: Chris Backwell, Angélique Kidjo and Arvo Pärt. So cheer yourself up with beats from Benin or listen to delicate classical tunes from an Estonian composer.

3. Remember

Most things in life compound. Focus on your direction; small steps eventually lead to where you want to go.

4. Change

Don’t finish books you don’t enjoy. It’s a waste of time.

5. Try

Easter food is not the most inspiring — or delicious. Eggs and eggs and too much candy. Try some new traditional easter dishes from around the world.

Thank you for reading! Every time a post gets shared, it makes me very happy. /Anna