WBD Gives Paramount 7-Day Deadline for Final Acquisition Offer Despite Favoring Netflix Deal, Apple Begins Internal E2EE RCS Testing in iOS 26.4 Beta, and Snapchat Creator Subscription Alpha Launches Feb 23.
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Show Notes
X Probed by Irish Regulator Over Grok Image Abuse
X is under investigation by Ireland’s Data Protection Commission (DPC) over its Grok feature, which is alleged to have generated millions of nonconsensual sexual images, including those of children. The DPC’s probe will assess X Internet Unlimited Company’s (XIUC) compliance with GDPR obligations. This follows a European Commission investigation into potential Digital Services Act violations for failing to mitigate Grok’s risks and the spread of illegal content, despite X’s claims of implementing measures to prevent the feature from manipulating photos of real people.
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Warner Bros. Discovery Gives Paramount Final Bid Deadline
Warner Bros. Discovery (WBD) has issued a seven-day deadline for Paramount to submit its “best and final” acquisition offer, despite WBD publicly favoring the $82.7 billion deal with Netflix. Paramount has offered $31 per share and agreed to cover the $2.8 billion termination fee WBD would owe Netflix. This window was granted after a seven-day waiver from Netflix, which simultaneously raised “serious national security concerns” over the foreign funding, including Saudi Arabia’s Public Investment Fund, behind Paramount’s bid. The chair of WBD’s board reaffirmed the Netflix merger as the better option for shareholders due to its value, regulatory certainty, and downside protection, ahead of the March 20th shareholder vote.
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Apple Begins Internal Testing of Encrypted RCS Messaging
Apple has begun internal, end-to-end encrypted (E2EE) Rich Communication Services (RCS) messaging testing in the iOS 26.4 developer beta. This move aims to replace unencrypted SMS/MMS and bring security parity with iMessage for cross-platform communication between iOS and Android. However, the current testing is limited to messages between two Apple devices, and the critical cross-platform E2EE RCS functionality is not yet active. Apple has stated that the full feature will not be in the public iOS 26.4 release and should be expected in a future update.
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Apple Podcasts Pushes Into Video and Dynamic Ads
Apple Podcasts is introducing a new integrated video podcast experience this spring to compete with platforms like Spotify and YouTube, driven by the finding that 37% of people now watch video podcasts monthly. The update will use the HLS protocol, allowing users to switch between watching and listening, use picture-in-picture, and download videos. It will also enable dynamic insertion of video advertisements, including host-read spots, for which Apple will charge ad networks an impression-based fee.
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European Parliament Shuts Off AI Tools on Work Devices
The European Parliament has disabled the built-in artificial intelligence features on lawmakers’ and staff’s work devices due to serious, unresolved concerns regarding data security, privacy, and the opaqueness of cloud-based AI processing. The internal memo cited the inability of the IT department to guarantee the safety of sensitive legislative data, which could be exposed by tools like writing assistants and summarization functions that transmit information off-device. This decision underscores a pragmatic approach where institutional security and control take precedence, even as Europe leads the world in regulating AI with the AI Act.
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Snapchat Launches Paid Creator Subscriptions in the U.S.
Snapchat is launching a creator subscription alpha program on February 23 with select U.S. creators (including Jeremiah Brown, Harry Jowsey, and Skai Jackson), allowing users to pay a monthly fee for exclusive content, priority replies, and ad-free viewing of that creator’s Stories. This new feature expands Snapchat’s monetization options and is planned for expansion to Canada, the U.K., and France, mirroring similar subscription models on Meta’s Instagram and Facebook.
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Valve Hit by Hardware Delays Amid Component Shortages
Valve is experiencing intermittent stock shortages for the Steam Deck OLED in some regions, including the US, due to ongoing memory and storage component shortages. These same shortages have delayed the planned early 2026 launch of the Steam Machine, Steam Frame, and Steam Controller, which are now expected to release in the first half of 2026. The component crunch is making it difficult for Valve to set final pricing and launch dates for the new hardware. In related news, Valve has stopped production of the 256GB LCD Steam Deck.
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Sony Develops AI to Track Copyrighted Music in AI Training
Sony Group has created new AI technology capable of identifying and quantifying copyrighted music used to train and generate new AI-created music. This system is designed to help songwriters and rights holders receive compensation and royalties by determining the percentage of their original work used. The goal is to establish a revenue distribution system and prevent copyright infringement, though its adoption by AI developers is uncertain.
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Amazon Rolls Out Fire TV Redesign With Faster Performance
Amazon is rolling out a free Fire TV UI update for US viewers, initially announced at CES 2026, which features a new look with more rounded corners and promised speed improvements of 20 to 30 percent faster interactions. This redesign also significantly increases the number of visible apps on the homescreen, allowing users to pin up to 20 compared to the previous limit of six, and integrates the Alexa+ AI voice assistant for viewing suggestions and queue organization.
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