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The Samsung Galaxy S24 Ultra. The device looks a lot similar to Samsung’s Galaxy S23 Ultra. The main difference this time round is what’s inside: Samsung is going big on artificial intelligence.

Samsung

Samsung announced its new flagship Galaxy S24 smartphone range Wednesday, earlier than expected, touting new artificial intelligence features as the company looks to kick off 2024 with a bang.

As is standard with Samsung’s flagship range now, the S24 range comes in three versions: the S24, S24+, and S24 Ultra. The S24 Ultra starts at a price of $1,300, the S24+ will cost $1,000, and the S24 will retail at $800.

The South Korean electronics giant showed off the new gadgets at its Kings Cross offices in London earlier this week, prior to the announcement. At a briefing with reporters, Samsung talked up the phone’s AI capabilities and showed how it’s able to edit pictures and search for items by using AI.

For Samsung’s top-tier S24 Ultra, which is the company’s biggest of the three devices and comes with punchier specs and features, Samsung is using a version of Qualcomm’s latest Snapdragon Series 8 Gen 3 optimized for Galaxy. The company is using a mix of Qualcomm systems-on-chips (SoCs) and its own Exynos chipset for its S24 and S24+ models.

“The Galaxy S24 series devices, together with Google’s Pixel range, mark the dawn of the consumerisation of AI in smartphones,” Ben Wood, chief analyst at CCS Insight, told CNBC. “This is a trend that will be echoed by all smartphone makers, including Apple, as they increasingly add a growing number of AI-powered capabilities to their new devices.”

“This launch sees Samsung betting on features powered by artificial intelligence to reignite consumers’ interest in smartphones at a time when incremental hardware updates have seen sales slow. Google has been the trailblazer with its Pixel devices and there is little question this is going to be a recurring theme going forward, not just for smartphones but across all consumer electronics.”

AI is the name of the game

The Samsung Galaxy S24 Ultra is the main event for most tech gadget enthusiasts — and, for the most part, it isn’t a whole lot different to the Galaxy S23 Ultra looks-wise.

That’s because Samsung isn’t changing an awful lot with the hardware. It still comes in the same size as its predecessor — the display is 6.8 inches, measured diagonally, though the phone is flatter this time round. The S23 Ultra had more curvature to it.

The big upgrade to the external hardware with this model is that it’s cased in titanium, so it’s a lot sturdier than the S23 Ultra.

The main difference this time round is what’s inside: Samsung is going big on artificial intelligence. A key focus for Samsung, like other smartphone makers, now is on “on-demand” AI — or, the ability to carry out AI workloads directly on a device, rather than over the cloud.

The Samsung Galaxy S24 Ultra has a bright display that can reach 2,600 nits at peak brightness — making it gthe brightest on a Samsung phone to date, according to the company.

Samsung

Samsung said its new Galaxy S24 Ultra will come with a bunch of new AI features, a lot of which is being powered by Qualcomm’s Snapdragon 8 Gen 3 chipset for mobile, which is tailored for AI devices.

It signals something that a lot of smartphone makers have been focusing on recently. Consumers aren’t getting as excited by new smartphone upgrades as they used to. So phone makers have had to come with ideas to get people’s attention again and rev up excitement in the market.

One feature Samsung’s loading into the Galaxy S24 range is the ability to circle locations or items a user is directing their camera at, or on a picture they’ve taken, and then look up results on what those things are.

So, for instance, if you see a landmark or a shoe you want to buy, you can make a circle around that object and then the AI shows you appropriate results on Google.

Another feature Samsung touted is the ability to use AI to edit photos. So users can edit reflections out of pictures they’ve taken, for instance if you took a picture of yourself in front of a window. Or you can move a person from one side of the room to another by dragging them from left to right.

Samsung also showcased live transcription features with its latest smartphones.

When calling someone who’s speaking in French, for instance, a user can pull up a transcription that’s being fed through to them in real time. You can also record a conversation between two people and get it transcribed, while the AI assigns a label to each person speaking, similar to transcription products like Otter AI.

'Huge miss': Samsung's operating profit expected to drop 35% in fourth quarter, missing earnings consensus

Paolo Pescatore, PP Foresight, told CNBC that Samsung “must focus its efforts on retaining its core loyal premium base.”

 “Arguably [Samsung] has done more than enough with the new features powered by its own AI platform,” Pescatoer said. “This potentially could be the start of a new era for smartphone representing a key super cycle for Samsung.”

“With this in mind, Samsung will have to entice users with a range of competitor offers to suit everyone; this includes older Samsung owners who will inevitably be looking for a much needed upgrade.”

AI watermarking

Another thing Samsung’s had to think about is what its AI features mean for things like privacy and copyright infringement.

The past year has seen countless examples of people using AI to create images and other creative media and pass it off as their own work — even when, in some cases, it’s derivative from or even looks identical to artists’ work.

So when a Galaxy S24 user uses AI to modify a photo, Samsung will keep a log of what was changed with AI and store it in the metadata. It’ll also have an icon in the bottom left corner to show that teh image has been edited using AI, kind of like a watermark.

At the Samsung briefing in King’s Cross, some analysts and reporters were able to crop this icon out just by using Samsung’s in-app cropping feature — though the icon is still kept in the metadata.

“AI-powered image and video manipulation raises some ethical questions, particularly given the recent media attention around deep fake content,” Wood told CNBC. “The addition of a watermark and updated metadata for altered content is a constructive step by Samsung and I’m sure others will follow.”

“The success of Samsung’s AI-based features will largely depend on Samsung’s ability to raise consumer awareness and engagement via its marketing for the Galaxy S24 portfolio,” he added. “Success will require crisp communication of the benefits and continued expansion of the use cases.”

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The UK wants to do its ‘own thing’ on AI regulation, suggesting a divergence from U.S. and EU

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The UK wants to do its 'own thing' on AI regulation, suggesting a divergence from U.S. and EU

Jaque Silva | Nurphoto | Getty Images

LONDON — The U.K. says it wants to do its “own thing” when it comes to regulating artificial intelligence, hinting at a possible divergence from approaches taken by its main Western peers.

“It’s really important that we as the U.K. do our own thing when it comes to regulation,” Feryal Clark, Britain’s minister for AI and digital government, told CNBC in an interview that aired Tuesday.

She added the government already has a “good relationship” with AI companies like OpenAI and Google DeepMind, which have voluntarily opened their models up to the government for safety testing purposes.

“It’s really important that we bake in that safety right at the beginning when models are being developed … and that’s why we’ll be working with the sector on any safety measures that come forward,” Clark added.

UK can do its 'own thing' on AI regulation, minister says

Her comments echoed remarks from Prime Minister Keir Starmer on Monday that Britain has “freedom now in relation to the regulation to do it in a way that we think is best for the U.K.” after Brexit.

 “You’ve got different models around the world, you’ve got the EU approach and the U.S. approach – but we have the ability to choose the one that we think is in our best interest and we intend to do so,” Starmer said in response to a reporter’s question after announcing a 50-point plan to make the U.K. a global leader in AI.

Divergence from the U.S., EU

However, so far, the U.K. is yet to confirm details on proposed AI safety legislation, instead saying it will consult with the industry before proposing formal rules.

“We will be working with the sector to develop that and bring that forward in line with what we said in our manifesto,” Clark told CNBC.

Chris Mooney, partner and head of commercial at London-based law firm Marriott Harrison, told CNBC that the U.K. is taking a “wait and see” approach to AI regulation even as the EU is forging ahead with its AI Act.

“While the U.K. government says it has taken a ‘pro-innovation’ approach to AI regulation, our experience of working with clients is that they find the current position uncertain and, therefore, unsatisfactory,” Mooney told CNBC via email.

One area Starmer’s government has spoken up on reforming rules for AI has been around copyright.

Late last year, the U.K. opened a consultation reviewing the country’s copyright framework to assess possible exceptions to existing rules for AI developers using artists and media publishers’ works to train their models.

Businesses left uncertain

Sachin Dev Duggal, CEO of London-headquartered AI startup Builder.ai, told CNBC that, although the government’s AI action plan “shows ambition,” proceeding without clear rules is “borderline reckless.”

“We’ve already missed crucial regulatory windows twice — first with cloud computing and then with social media,” Duggal said. “We cannot afford to make the same mistake with AI, where the stakes are exponentially higher.”

“The U.K.’s data is our crown jewel; it should be leveraged to build sovereign AI capabilities and create British success stories, not simply fuel overseas algorithms that we can’t effectively regulate or control,” he added.

Details of Labour’s plans for AI legislation were initially expected to appear in King Charles III’s speech opening U.K. Parliament last year.

However, the government only committed to establishing “appropriate legislation” on the most powerful AI models.

“The U.K. government needs to provide clarity here,” John Buyers, international head of AI at law firm Osborne Clarke, told CNBC, adding he’s learned from sources that a consultation for formal AI safety laws is “waiting to be released.”

“By issuing consultations and plans on a piecemeal basis, the U.K. has missed the opportunity to provide a holistic view of where its AI economy is heading,” he said, adding that failure to disclose details of new AI safety laws would lead to investor uncertainty.

Still, some figures in the U.K. tech scene think that a more relaxed, flexible approach to regulating AI may be the right one.

“From recent discussions with the government, it is clear that considerable efforts are underway on AI safeguards,” Russ Shaw, founder of advocacy group Tech London Advocates, told CNBC.

He added that the U.K is well positioned to adopt a “third way” on AI safety and regulation — “sector-specific” regulations that rules to different industries like financial services and health care.

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China considers selling TikTok U.S. operations to Musk, Bloomberg reports

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China considers selling TikTok U.S. operations to Musk, Bloomberg reports

Jakub Porzycki | Nurphoto | Getty Images

The Chinese government is considering a plan that would have Elon Musk acquire TikTok’s U.S. operations to keep the app from being effectively banned, Bloomberg News reported on Monday.

The contingency plan is one of several options China is exploring as the U.S. Supreme Court determines whether to uphold a law that calls for China-based ByteDance to divest TikTok’s U.S. business by Jan. 19, the report said, citing anonymous sources.

After that deadline, third-party Internet service providers would be penalized for supporting TikTok’s operations in the country.

Under the plan, Musk would oversee both X, which he currently owns, and TikTok’s U.S. business, Bloomberg said. However, Chinese government officials haven’t yet decided on whether it would proceed, the report said, noting that the plan is still preliminary.

It’s unclear whether ByteDance knows about the Chinese government’s plans and TikTok and Musk’s involvement in the discussions, the report said. Senior Chinese officials are debating contingency plans involving TikTok’s future in the U.S. as part of larger discussions about working with President-elect Donald Trump, the report added.

A TikTok spokesperson said in an email to CNBC, “We can’t be expected to comment on pure fiction.” X didn’t immediately respond to a request for comment.

Last week, the Supreme Court held oral arguments about the law potentially banning TikTok, which President Joe Biden signed in April. TikTok’s legal team argued that the law violates the free-speech rights of the millions of users in the U.S. while the U.S. government said that ByteDance’s ownership of TikTok poses a national security risk.

With the Supreme Court appearing to side with the government, TikTok could turn to Trump, when his second term begins on Jan. 20. Trump, who favored a TikTok ban during his first administration, has since flip-flopped on the matter. Late last month, he urged the Supreme Court to intervene and forcibly delay implementation of Biden’s ban to give him time to find a “political resolution.”

Trump’s rhetoric on TikTok began to turn after he met in February with billionaire Jeff Yass, a Republican megadonor and a major investor in ByteDance who also owns a stake in the owner of Truth Social, Trump’s social media company.

WATCH: SCOTUS hears TikTok ban case

TikTok ban's fate is now in the Supreme Court's hands

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IAC approves spinoff of home improvement marketplace Angi

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IAC approves spinoff of home improvement marketplace Angi

Joey Levin, CEO of IAC.

Anjali Sundaram | CNBC

Barry Diller’s IAC said Monday that its board approved the spinoff of Angi, the home improvement marketplace the company acquired in 2017.

IAC said it expects the transaction to close in the second quarter of the year. The two companies will post their respective fourth-quarter results when IAC reports on Feb. 11. Angi was founded in 1995 as Angie’s List, which went public on the Nasdaq in 2011.

As part of the spinoff, IAC CEO Joey Levin will leave his role and become an advisor to the company. Levin will also take on a new role as Angi’s executive chairman, serving as the marketplace’s senior executive alongside CEO Jeff Kip, IAC said.

“Joey Levin has been an exemplary leader of IAC, creating significant value during his nearly decade-long tenure as IAC CEO,” Diller, IAC’s chairman, said in a statement.

Upon Levin’s vacancy, IAC will operate without a new CEO, the company said. IAC’s top execs will report directly to Diller, as will publisher Dotdash Meredith, the company’s largest business. The rest of IAC’s units will report to operating chief Christopher Halpin.

IAC has previously used no-CEO structures when reorganizing its businesses. Most recently, in 2013, then-CEO Greg Blatt stepped down from the role to become chairman of the newly formed Match Group division.

“Each of IAC and Angi has a vigorous future, and I expect to remain an active participant in both,” Levin said in a statement.

As part of the spinoff, IAC shareholders will get direct ownership of Angi, IAC said.

IAC first announced it was considering a spinoff of Angi in November. At the time, the company said Angi’s revenue declined 16% year over year to $296.7 million during the third quarter. The company attributed the slide to reduced sales and marketing spend, which led to a decrease in service requests and lower acquisition of new professionals.

IAC acquired Angie’s List in a deal valued at more than $500 million. It merged the site with HomeAdvisor, creating a new public company. Angi currently has a market cap of about $770 million, and IAC owns 85% of it.

The spinoff has been under consideration for several years, but IAC postponed the effort in 2019 as it completed the Match Group transaction. Match owns dating services including Tinder, Match and Hinge.

IAC has become known for incubating businesses and spinning them off into separate companies. It’s done the same with Expedia, Ticketmaster and LendingTree, among others.

WATCH: IAC CEO on M&A opportunities, spinoff from ANGI and AI

IAC CEO on M&A opportunities, spinoff from ANGI and AI

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