China is tightening access to Nvidia’s most advanced AI chips even as the US approves exports.
Microsoft is making a record $17.5B bet on India’s AI future, and Australia has imposed an unprecedented nationwide social media ban for teens.
Meanwhile, Bitcoin is surging ahead of the Fed’s decision, setting the stage for a volatile week across crypto and markets.
A glance at the major developments on Tuesday.
China tightens access to Nvidia chips
China is planning to tighten access to Nvidia’s top-tier H200 AI chips, even though President Donald Trump has given the green light to their export.
Under the new rules, Chinese buyers would have to obtain regulatory approval and demonstrate that local alternatives are not good enough.
Trump announced on Truth Social that exports to “approved customers” will go ahead, but only under certain national-security conditions and with a 25% fee paid to the US.
He said this followed talks with President Xi Jinping, who reacted positively.
The move marks a shift from the Biden-era restrictions that tried to limit China’s ability to develop AI with military applications.
At the same time, Beijing is doubling down on its own chip industry with subsidies and tighter checks on imports.
Nvidia, which has been lobbying for looser rules, already sells a scaled-down H20 chip in China, though some in Congress aren’t thrilled about that.
Microsoft unveils $17.5B India AI push
Microsoft just made a huge announcement: it’s committing $17.5 billion to India, its biggest investment in Asia to date, to ramp up AI, cloud infrastructure, and digital skills over the next four years.
CEO Satya Nadella shared the news after meeting Prime Minister Narendra Modi, laying out three main focus areas.
First, scale: Microsoft is expanding its data center footprint in Chennai, Hyderabad, and Pune to support India’s fast-growing demand for cloud and AI services.
Second, skills: the company plans to train 20 million people in AI by 2030, aiming to build one of the world’s largest pools of AI-ready talent.
And third, sovereignty: Microsoft wants to strengthen India’s digital independence with more localized, secure cloud systems.
This new pledge builds on an earlier $3 billion commitment, bringing Microsoft’s total planned investment in India to $20.5 billion, a clear signal as competition heats up with Google and others in India’s booming tech market.
Australia bans social media for teens
Australia has just rolled out a world first: a nationwide social media ban for anyone under 16.
As of December 10, teens can’t access platforms like TikTok, Instagram, Facebook, YouTube, Snapchat, basically all the major apps, once the clock hits midnight.
The rules are strict, too. Platforms now have to shut down existing underage accounts and stop new ones from being created, using “reasonable measures” to verify age. If they don’t, they could face fines of up to A$49.5 million (about $33 million).
Prime Minister Anthony Albanese framed the move as a way to shield kids from addictive algorithms and harmful content.
Many parents have welcomed the decision, but tech companies and free speech groups aren’t exactly cheering as they argue it’s overreach and sets a worrying precedent.
And it’s not without legal pushback. Some teenagers are taking the issue to Australia’s High Court, saying the ban violates the country’s implied freedom of political communication.
Bitcoin soars ahead of Fed decision
Bitcoin jumped nearly 5% on Tuesday, climbing to $94,284 as traders grew more optimistic ahead of the US Federal Reserve’s interest rate decision.
The rally pushed BTC as high as $94,616 during the day, with a low of $89,792, and trading volume topping $63 billion, a sign that confidence is flowing back into the market after recent pullbacks.
Analysts say the surge is being driven by expectations that the Fed will hold rates steady, growing hopes for more crypto-friendly policies under the Trump administration, and strong institutional demand.
Bitcoin ETFs alone saw about $2.1 billion in inflows last week.
Ethereum also rode the positive sentiment, rising 3.5% to $3,450, while the overall crypto market cap reached $3.2 trillion.
Still, volatility is very much in play as everyone waits to hear what Fed Chair Jerome Powell has to say next.
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