TechCrunch : Anthropic users face a new choice – opt out or share your chats for

Anthropic users face a new choice – opt out or share your chats for AI training

Anthropic is making some big changes to how it handles user data, requiring all Claude users to decide by September 28 whether they want their conversations used to train AI models. While the company directed us to its blog post on the policy changes when asked about what prompted the move, we’ve formed some theories of our own.

But first, what’s changing: Previously, Anthropic didn’t use consumer chat data for model training. Now, the company wants to train its AI systems on user conversations and coding sessions, and it said it’s extending data retention to five years for those who don’t opt out.

That is a massive update. Previously, users of Anthropic’s consumer products were told that their prompts and conversation outputs would be automatically deleted from Anthropic’s back end within 30 days “unless legally or policy‑required to keep them longer” or their input was flagged as violating its policies, in which case a user’s inputs and outputs might be retained for up to two years.

By consumer, we mean the new policies apply to Claude Free, Pro, and Max users, including those using Claude Code. Business customers using Claude Gov, Claude for Work, Claude for Education, or API access will be unaffected, which is how OpenAI similarly protects enterprise customers from data training policies.

So why is this happening? In that post about the update, Anthropic frames the changes around user choice, saying that by not opting out, users will “help us improve model safety, making our systems for detecting harmful content more accurate and less likely to flag harmless conversations.” Users will “also help future Claude models improve at skills like coding, analysis, and reasoning, ultimately leading to better models for all users.”

In short, help us help you. But the full truth is probably a little less selfless.

Like every other large language model company, Anthropic needs data more than it needs people to have fuzzy feelings about its brand. Training AI models requires vast amounts of high-quality conversational data, and accessing millions of Claude interactions should provide exactly the kind of real-world content that can improve Anthropic’s competitive positioning against rivals like OpenAI and Google.

Beyond the competitive pressures of AI development, the changes would also seem to reflect broader industry shifts in data policies, as companies like Anthropic and OpenAI face increasing scrutiny over their data retention practices. OpenAI, for instance, is currently fighting a court order that forces the company to retain all consumer ChatGPT conversations indefinitely, including deleted chats, because of a lawsuit filed by The New York Times and other publishers.

In June, OpenAI COO Brad Lightcap called this “a sweeping and unnecessary demand” that “fundamentally conflicts with the privacy commitments we have made to our users.” The court order affects ChatGPT Free, Plus, Pro, and Team users, though enterprise customers and those with Zero Data Retention agreements are still protected.

What’s alarming is how much confusion all of these changing usage policies are creating for users, many of whom remain oblivious to them.

In fairness, everything is moving quickly now, so as the tech changes, privacy policies are bound to change. But many of these changes are fairly sweeping and mentioned only fleetingly amid the companies’ other news. (You wouldn’t think Tuesday’s policy changes for Anthropic users were very big news based on where the company placed this update on its press page.)


But many users don’t realize the guidelines to which they’ve agreed have changed because the design practically guarantees it. Most ChatGPT users keep clicking on “delete” toggles that aren’t technically deleting anything. Meanwhile, Anthropic’s implementation of its new policy follows a familiar pattern.

How so? New users will choose their preference during signup, but existing users face a pop-up with “Updates to Consumer Terms and Policies” in large text and a prominent black “Accept” button with a much tinier toggle switch for training permissions below in smaller print — and automatically set to “On.”

As observed earlier today by The Verge, the design raises concerns that users might quickly click “Accept” without noticing they’re agreeing to data sharing.

Meanwhile, the stakes for user awareness couldn’t be higher. Privacy experts have long warned that the complexity surrounding AI makes meaningful user consent nearly unattainable. Under the Biden administration, the Federal Trade Commission even stepped in, warning that AI companies risk enforcement action if they engage in “surreptitiously changing its terms of service or privacy policy, or burying a disclosure behind hyperlinks, in legalese, or in fine print.”

Whether the commission — now operating with just three of its five commissioners — still has its eye on these practices today is an open question, one we’ve put directly to the FTC.

>>> US Gapping down

Gapping down
In reaction to earnings/guidance
:
  • MRVL -14.1%, MESO -9.5%, DELL -6.8%, CHA -6.4%, GAP -1.1%
Other news:
  • OPAD -20.2% (entered into $100 mln Open Market Sale Agreement)
  • CAT -2.6% (updates tariff impact at $500-600 mln for Q3 and $1.5-1.8 bln for 2025)
  • IONQ -2% (filed prospectus supplement)
  • LRCX -1.1% (increases dividend)
  • FIBK -1.1% (adopted a new stock repurchase program)

>>> US Gapping up

Gapping up
In reaction to earnings/guidance
:
  • WOOF +21.4%, AMBA +17.7%, ESTC +16.5%, AFRM +14.6%, IREN +13.4% (also secures NVDA Preferred Partner status and procures B300s), ADSK +9.6%, S +8.2%, DOOO +7.7%, BABA +3.9%, ULTA +3.6%, CMBT +3.4%, BULL +1%
Other news:
  • GMHS +118.6% (authorizes $5 million share repurchase program)
  • CELH +18% (Celsius and PepsiCo (PEP) further align strategic energy partnership; Alani Nu brand joins PepsiCo distribution system)
  • NEO +6% (announces the District Court for the Middle District of North Carolina has granted NeoGenomics' motion for summary judgment that all of Natera's asserted patent claims are invalid for claiming ineligible subject matter)
  • YOUL +4.1% (entered into a joint venture agreement with Beijing Galbot)
  • OPEN +3.7% (President bought 30000 shares)
  • ONC +3.5% (announces positive topline results for Sonrotoclax in relapsed or refractory mantle cell lymphoma)
  • TXNM +2.7% (shareholders approve acquisition by Blackstone)
  • EMN +2.5% (several insider buys disclosed)
  • AIR +1.6% (new defense distribution agreement with AmSafe Bridport)
  • UAMY +1.5% (entered into 4 mln share Securities Purchase Agreement with the institutional investor)
  • DSGN +1.1% (Point72 Asset Mgmt discloses 5.2% stake)

>>> US Early premarket gappers

Early premarket gappers
  • Gapping up:
    • GMHS +99.1%, AMBA +18.4%, WOOF +16.7%, ESTC +16.3%, AFRM +15.4%, IREN +12.5%, ADSK +10%, S +8.5%, DOOO +7.8%, YOUL +5.9%, ULTA +3.7%, CMBT +3.7%, ONC +3.5%, BABA +3.1%, EMN +2.1%, OPEN +2.1%, UAMY +1.8%, AIR +1.6%, TXNM +1.5%, DSGN +1.1%
  • Gapping down:
    • MRVL -15.1%, MESO -8.5%, DELL -7.1%, CAT -3%, GAP -2.4%, DOMO -1.8%, RKLB -1.5%, LRCX -1.2%, SOFI -0.7%

WSJ : Alibaba Creates AI Chip to Help China Fill Nvidia Void

Alibaba Creates AI Chip to Help China Fill Nvidia Void
Chinese tech companies spark market exuberance by signaling they are catching up to U.S.

  • Chinese tech firms are developing homegrown AI technology, spurred by the government’s ambition to lead in AI.
  • Alibaba has created a versatile new chip to fill the void left by Nvidia’s restricted access to the Chinese market.
  • Despite challenges, China is finding ways to work around U.S. restrictions and boost its AI capabilities.

SINGAPORE—Chinese chip companies and artificial-intelligence developers are building up their arsenal of homegrown technology, backed by a government determined to win the AI race with the U.S.

The latest example: China’s biggest cloud-computing company, Alibaba 9988 -0.09%decrease; red down pointing triangle, has developed a new chip that is more versatile than its older chips.

Alibaba was long one of the biggest customers of American AI-chip leader Nvidia NVDA -0.79%decrease; red down pointing triangle. Now it and other chip designers are filling the void left after Nvidia ran into regulatory barriers to selling its products in China.

Industry insiders say China remains far from being able to make chips that can rival the most advanced American products, which Washington bars China from importing. Chinese factories are hobbled by U.S. restrictions on access to cutting-edge chip-making technology.

Still, companies are coming up with substitutes for Nvidia’s H20 chip, the most powerful AI processor it is allowed to sell in China. President Trump in July allowed Nvidia to resume H20 exports to China, but soon after, Beijing told companies not to buy the chips for now, citing potential security risks that Nvidia says don’t exist.

In July, Shanghai-based MetaX rolled out a new chip that it said could serve as a replacement for the H20. The chip has bigger memory than the H20, boosting its power for some AI tasks, although it consumes more electricity. MetaX said Wednesday it was preparing for mass production of the chip.

Another would-be Nvidia rival, Beijing-based AI-chip designer Cambricon Technologies, had a breakout April-June quarter, posting revenue of $247 million on robust orders of its AI-chip Siyuan 590. The company’s stock price has risen so fast that the company warned investors Thursday not to get so exuberant. Shares fell 6% Friday but Cambricon’s market capitalization still exceeds $87 billion.


Alibaba, founded by internet pioneer Jack Ma, is sometimes compared with Amazon.com because its biggest business is e-commerce, but it makes much of its money from the lower-profile business of cloud-computing services—running applications and storing data for customers on remote computers. Alibaba competes with Amazon Web Services, Microsoft and Google for cloud business, particularly in Asia.

Corporate customers are increasingly demanding AI services, and Alibaba Chief Executive Eddie Wu has said “AI plus cloud” is one of Alibaba’s two engines of growth alongside e-commerce. In February, Alibaba said it would invest at least $53 billion over the next three years in the area. It also has one of the world’s highest-rated AI models, called Qwen.

The rapid adoption of AI across China’s economy is creating a big demand for inference—when AI programs tap their training to deliver output such as a smartphone voice assistant’s answers. Inference typically doesn’t require the most advanced chips.

Previous cloud-computing chips developed by Alibaba have mostly been designed for specific applications. The new chip, now in testing, is meant to serve a broader range of AI inference tasks, said people familiar with it.

The chip is manufactured by a Chinese company, they said, in contrast to an earlier Alibaba AI processor that was fabricated by Taiwan Semiconductor Manufacturing. Washington has blocked TSMC from manufacturing AI chips for China that use leading-edge technology.


One challenge for Alibaba and other local players relying on Chinese chip factories is getting enough supply. These factories, which use older foreign machines and less powerful homegrown equipment, have struggled to increase capacity.

MetaX, the Shanghai startup, is getting around the bottlenecks by using an earlier-generation technology to make its new chip, people familiar with the product said. MetaX combines two smaller chips to make up for the loss of performance.

Beijing has spent more aggressively to build a self-sufficient AI supply chain, including an $8.4 billion AI-investment fund announced in January.

The flag-bearer for Beijing’s push is Huawei Technologies and its Ascend AI chips. Earlier this year, Huawei showed off a computing system that integrates 384 Ascend chips. Some analysts said the machine, although a power hog, was more powerful on some metrics than Nvidia’s top-of-the-line system containing 72 Blackwell chips.

By combining chips, “we can achieve comparable computing results to the most advanced standards,” and “there’s no need to worry about the chip problem,” Huawei founder Ren Zhengfei told the Communist Party’s main newspaper in June.

Even within China, Huawei’s privileged status is raising some hackles. Many engineers are accustomed to the software and tools that accompany Nvidia’s chips. Huawei, subject to U.S. sanctions, didn’t design its chips to work with the Nvidia platform, whereas Alibaba’s new chip will be compatible with it, meaning engineers can repurpose programs they wrote for Nvidia chips.

Private-sector cloud companies including Alibaba have refrained from bulk orders of Huawei’s chips, resisting official suggestions that they should help the national champion, because they consider Huawei a direct rival in cloud services, people close to the firms said.

China’s biggest weakness is training AI models, for which U.S. companies rely on the most powerful Nvidia products. Alibaba’s new chip is designed for inference, not training, people familiar with it said.

Chinese engineers have complained that homegrown chips including Huawei’s run into problems when training AI, such as overheating and breaking down in the middle of training runs. Huawei declined to comment.

DeepSeek, a Chinese startup with models challenging OpenAI’s, recently prompted a stock rally in China by suggesting in a cryptic comment on social media that its software innovations could combine with improved Chinese-made chips to train some AI models.

Kevin Xu, founder of AI-focused fund manager Interconnected Capital, wrote on a blog that such adaptations may allow Chinese AI developers to narrow the gap with the U.S. “sooner than most people think, credibly challenging Nvidia and the American AI stack both at home and abroad.”

FT : Stand up to Trump on Big Tech, says EU antitrust chief

Stand up to Trump on Big Tech, says EU antitrust chief
Bloc must be prepared to walk away from trade deal with US if it retaliates against Brussels’ digital laws, warns Teresa Ribera

The EU must be prepared to walk away from a trade deal with the US if Donald Trump acts on his threats to target the bloc unless it waters down its digital legislation, Brussels’ competition tsar has said.

Teresa Ribera, the European Commission’s executive vice-president, called on the bloc to be “courageous” in response to threats from the US president and “to avoid the temptation of being subordinated to others’ interests”.

Ribera said Brussels’ trade negotiators had been “nice” towards Washington in finalising a trade deal agreed late last month, and warned that the bloc should not accept any coercive moves by the US to water down the EU’s landmark tech laws, known as the Digital Services Act and Digital Markets Act.

“We may be kind, polite, try to find ways to solve problems and discrepancies but we cannot accept whatever [they demand],” the EU’s competition commissioner told the Financial Times. “We cannot be subject to the will of a third country.”

Ursula von der Leyen, Ribera’s boss as president of the commission, has praised the trade deal struck with Trump in Scotland in late July for providing “stability and predictability” for transatlantic relations.

But only days after Brussels and Washington outlined the full details of the agreement, Trump this week threatened to impose tariff and export controls on countries whose taxes, rules or laws on tech companies “discriminate” against the US.

Spanish socialist Ribera, who is second only to Ursula von der Leyen in the commission’s power structure, stressed it is the bloc’s sovereign right how it deals with its own regulation, including its digital rules.

The US had pressed for changes to the EU’s digital regulations as part of the trade talks, according to people involved.

“This is quite an obvious thing that we will defend,” Ribera said. “So if we have got this general approach and there is this attempt to reopen things, of course the question is: ‘OK, there is no [trade] agreement then?’ We cannot play with our values just to accommodate the concerns of others”.

According to Ribera, the bloc “tried to be nice to see how we could recover a trustful relationship” with the US.

But if Trump breaches that trust by using threats to demand lighter regulation of Big Tech, she said, “of course we have to stick to the very clear messages and limits that we tried to reflect since the very beginning. One of them is the recognition of our own capacity to protect the interests and the rights of our own consumers, of our own citizens.”

Trump’s attack on digital rules and taxes coincides with Brussels having to decide how to proceed on a number of investigations into the activities of US tech companies, including Elon Musk’s X, Apple and Facebook owner Meta.

Ribera said the bloc would not hold back in carrying out these investigations and enforcing its landmark digital regulation because of Trump’s threats.

American tech companies “are making great profits out of this market, but they are subject to the same laws and regulations than any other player, independently of where their headquarters are based”, she added.

Brussels on Thursday started to implement its part of the trade deal by moving to lower tariffs on a range of US imports, including cars and other industrial products. Member states and the European parliament will still have to approve them. If Washington were to impose new tariffs, the bloc can reassess those commitments.

Ribera also questioned how the EU’s commitment to spend hundreds of billions of dollars on US energy products and weapons as part of the deal would work in practice.

“It’s not the European Commission who buys energy goods, it’s not the European Commission who gets the procurement of public defence goods. It is not even — in most cases — the member states who do that.”

>>> Europe : Brokers Upgrades & Downgrades - 29th of August 2025 V2(+)

>>> Up
* Keller Raised to Buy at Deutsche Bank; PT 1,660 pence (+)
* PUMA upgraded from Sell to Buy at UBS, PT €20.9
* Schaeffler Raised to Buy at Citi; PT 6.75 euros
* Softcat Raised to Overweight at Cantor; PT 1,900 pence
* Springvest Raised to Accumulate at Inderes; PT 8 euros

>>> Down
* Air New Zealand Downgraded to Sell from Neutral by UBS
* Ayvens Cut to Neutral at Citi; PT 9.50 euros
* Cool Cut to Neutral at Clarksons; PT 80 kroner
* ITM Power Cut to Hold at Peel Hunt; PT 70 pence
* Maersk Cut to Sell at Pekao Investment Banking; PT 10,889 kroner
* Schneider Electric Cut to Neutral at JPMorgan; PT 220 euros
* Telecom Italia Cut to Neutral at Oddo BHF; PT 41 euro cents

>>> Initiation
* Pennon ADRs Rated New Outperform at BNPP Exane; PT $15.50
* SCA Rated New Buy at Berenberg; PT 150 kronor
* Severn Trent ADRs Rated New Neutral at BNPP Exane; PT $34.40
* Stora Enso Rated New Hold at Berenberg; PT 10.40 euros
* Swatch ADRs Rated New Underperform at BNPP Exane; PT $6.83
* United Utilities ADRs Rated New Outperform at BNPP Exane
* UPM-Kymmene Rated New Sell at Berenberg; PT 21 euros
* Veolia ADRs Rated New Outperform at BNPP Exane; PT $22.50

>>> Call
* Ayvens Cut at Citi With Risks More Balanced Following Rally
* Morgan Stanley Flags Early Signs of China Stocks Overheating
* Schaeffler Upgraded at Citi Ahead of CMD on Outlook for Margins
* SCA Buy, UPM Sell at Berenberg in Forestry and Paper Initiations
* Yuan to Get a Boost From PBOC Fix, Exporter Conversion: Deutsche