Meta Halts AI assistant in Brazil after ban by data protection authority

Meta's AI ambitions in Brazil have suffered a significant setback after the country's National Data Protection Authority (ANPD) banned Meta's AI assistant. The ban, prompted by concerns over data privacy and potential risks to fundamental rights, aims to prevent harm to Brazilians. ANPD's decision includes a daily fine of 50,000 reais (about USD 10,000) for non-compliance. In response, Meta has suspended genAI features in Brazil and is engaging with ANPD to address their concerns. This incident reflects ongoing global regulatory scrutiny of Meta's data practices, similar to previous challenges faced in other markets including Europe.

Meta's suspension of its AI assistant in Brazil is a significant setback in a market with over 200 million people. Meanwhile, the UK's Competition and Markets Authority (CMA) has launched a formal inquiry into Microsoft's acquisition of Inflection AI talent, marking a new phase of regulatory scrutiny over Big Tech's AI activities. This investigation is part of a broader trend where regulators are closely examining Big Tech's AI partnerships and investments.

Recently, the CMA decided against investigating Microsoft's collaboration with Mistral AI, demonstrating the nuanced approach regulators take in balancing innovation and oversight in the evolving AI regulatory landscape. These developments underscore the growing complexity and scrutiny surrounding Big Tech's AI ambitions globally.