This week, regulators, researchers, and industry leaders intensified scrutiny on Big Tech, as concerns over AI safety, platform influence, and advertising effectiveness continued to grow. In today’s Digest, we cover Temu being hit with an EU fine over unsafe product sales, ChatGPT adding cost-per-action advertising, and YouTube rolling out AI content detection and labelling.

Meta faced another legal setback after the US Supreme Court declined to hear its appeal against a lawsuit brought by the state of Vermont. The case accuses Facebook and Instagram of using addictive platform design features that harm young users’ mental health and wellbeing.

At the same time, concerns around AI security escalated after modified versions of open-source models from Meta and Google were found circulating online without their built-in safety protections. Tests conducted by the Financial Times and AI safety group Alice showed that the altered systems could respond to prompts involving harmful scenarios, including malware development and dangerous chemical guidance.

The ethical debate around AI also reached the Vatican. In his first encyclical, Pope Leo XIV warned against the unchecked influence of Big Tech and the rapid expansion of AI. The Pope cautioned that poorly regulated AI development could deepen inequality, weaken democratic institutions, and challenge ideas surrounding human dignity and identity.

Meanwhile, Google is making an aggressive push into commerce. The company is expanding native checkout functionality across YouTube, Search, and the Gemini app, allowing users to complete purchases directly within Google’s ecosystem. 

Elsewhere, Uber is reportedly considering increasing its takeover offer for Delivery Hero after an initial €38-per-share bid was rejected. The move signals continued consolidation pressures in the global food delivery and logistics market, where companies are seeking scale amid rising competition and operational costs.

Finally, a new report from the Institute of Practitioners in Advertising reignited debate around marketing effectiveness. Authored by Les Binet and Will Davis, Go Big or Go Home argues that the industry’s growing obsession with short-term efficiency metrics is undermining long-term brand growth.