Tech
Close Up Of A Line Of High School Students Using Mobile Phones
Close Up Of A Line Of High School Students Using Mobile Phones
BANNED IRL

Australia passes world’s first social-media ban for under-16s

Australia’s landmark ban is light on details, but could pave the way for other governments to take similar action.

Hyunsoo Rim

Australia has taken an unprecedented step in taking on Big Tech: within a year, children under 16 will be banned from using social media, following Thursday’s Senate approval on the world’s first law of its kind.

The bill comes amid mounting concerns about the negative impact of social media — a “scourge,” as Prime Minister Anthony Albanese described it — on teens’ mental health.  

The list of tech companies targeted, though yet to be specified explicitly in the legislation, includes TikTok, Facebook, Snapchat, Instagram, X, and potentially Reddit — each of which could be fined up to 49.5 million AUD (32.2 million USD) if found to be in violation of the new law. These apps rank among the most popular apps for Australian kids aged 10-15, based on an August study by software firm Qustodio.

Some platforms, however, are exempt from the ban: messaging apps (like WhatsApp and Facebook Messenger Kids), online gaming platforms, and YouTube, thanks to its “educational” purpose. An exemption for YouTube would be a big deal — it’s the most-used app for 7- to 9-year-olds in Australia and the second most-used for 10- to 15-year-olds, per Qustodio.

The obvious question with such a ban is: how do you enforce it? Many social apps technically already have age limits in their terms of use, which, candidly, aren’t hard to ignore for a determined teen or preteen. Indeed, the specifics of enforcement remain unclear; instead companies will be required to come up with “reasonable alternatives” to ensure users are over 16. The Australian government is also testing its own “age assurance technologies,” such as facial scans to estimate and verify a users age.

The move has sparked mixed reactions. A November YouGov poll found that 77% of Australians support the ban, with 87% favoring tougher penalties for platforms that fail to comply with Australian laws. However, tech giants like Meta, TikTok, and X have slammed the bill as rushed, raising concerns about its effectiveness. In October, over 100 academics signed an open letter calling the law “too blunt an instrument” to address the risks of social media.

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Tesla investors like the idea of merging with SpaceX

Tesla is trading up about 2.5% in early trading Friday after reports Thursday that the Elon Musk-led company was considering a merger with SpaceX, another of Musk’s many companies.

That’s a better showing than the stock’s reaction to its better-than-expected earnings a day earlier, after which shares closed down 3.5%. Acquiring a very valuable, entirely different company, it turns out, is a more attractive prospect than watching an existing one’s revenue and profit decline.

Musk is also reportedly considering merging SpaceX with xAI, his artificial intelligence company, which recently combined with his social media platform, X.

Musk is also reportedly considering merging SpaceX with xAI, his artificial intelligence company, which recently combined with his social media platform, X.

tech
Jon Keegan

WSJ: OpenAI plans Q4 IPO in race to be the first AI startup to enter public markets

OpenAI was the first to the generative-AI market with ChatGPT, and now it hopes to be the first of its AI startup cohort to pull off an initial public offering, according to a report from The Wall Street Journal. The $500 billion startup is in a race against its $350 billion competitor Anthropic, which has also been exploring an IPO.

Per the report, OpenAI is in talks with banks to try for a fourth-quarter IPO this year, which has the potential to be one of the largest IPOs ever in a year that is expected to see many record-breaking tech companies tap into public markets to raise sizable new rounds of capital.

Ahead of a potential public listing, OpenAI is reportedly attempting to raise a massive round of private investment. The company is reportedly aiming to raise $100 billion, with Amazon potentially accounting for up to half of that target. Other investors in talks with OpenAI over the private fundraising round include Nvidia, Microsoft, and SoftBank.

Per the report, OpenAI is in talks with banks to try for a fourth-quarter IPO this year, which has the potential to be one of the largest IPOs ever in a year that is expected to see many record-breaking tech companies tap into public markets to raise sizable new rounds of capital.

Ahead of a potential public listing, OpenAI is reportedly attempting to raise a massive round of private investment. The company is reportedly aiming to raise $100 billion, with Amazon potentially accounting for up to half of that target. Other investors in talks with OpenAI over the private fundraising round include Nvidia, Microsoft, and SoftBank.

tech
Rani Molla

SpaceX is actually considering a merger with Tesla or xAI: Report

Bloomberg reports that Elon Musk’s SpaceX is considering merging with Musk’s Tesla. Earlier today, Reuters had reported that SpaceX was thinking of potentially merging with xAI ahead of SpaceX’s IPO this year.

From Bloomberg:

The firm has discussed the feasibility of a tie-up between SpaceX and Tesla, an idea that some investors are pushing, the people said, asking not to be identified as the information isn’t public. Separately, they are also exploring a tie-up between SpaceX and xAI ahead of an IPO, some of the people said.

Musk’s companies already have numerous relationships between themselves, including most recently Tesla’s $2 billion investment in xAI. At Tesla’s shareholder meeting last year, shareholders voted to invest in the company but the board didn’t approve the measure due to significant abstentions.

In 2024, SpaceX incurred about $2.4 million in expenses under commercial, licensing, and support agreements with Tesla, and Tesla incurred about $800,000 in expenses for Musk’s use of SpaceX’s jet.

From Bloomberg:

The firm has discussed the feasibility of a tie-up between SpaceX and Tesla, an idea that some investors are pushing, the people said, asking not to be identified as the information isn’t public. Separately, they are also exploring a tie-up between SpaceX and xAI ahead of an IPO, some of the people said.

Musk’s companies already have numerous relationships between themselves, including most recently Tesla’s $2 billion investment in xAI. At Tesla’s shareholder meeting last year, shareholders voted to invest in the company but the board didn’t approve the measure due to significant abstentions.

In 2024, SpaceX incurred about $2.4 million in expenses under commercial, licensing, and support agreements with Tesla, and Tesla incurred about $800,000 in expenses for Musk’s use of SpaceX’s jet.

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