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Policy

Tech is reshaping the world — and not always for the better. Whether it’s the rules for Apple’s App Store or Facebook’s plan for fighting misinformation, tech platform policies can have enormous ripple effects on the rest of society. They’re so powerful that, increasingly, companies aren’t setting them alone but sharing the fight with government regulators, civil society groups, and internal standards bodies like Meta’s Oversight Board. The result is an ongoing political struggle over harassment, free speech, copyright, and dozens of other issues, all mediated through some of the largest and most chaotic electronic spaces the world has ever seen.

Sean Hollister
Sean Hollister
Epic judge *really* doesn’t seem inclined to change his Google injunction.

Some choice Donato quotes towards Epic’s lead attorney:

  • “We have no idea what the world’s going to look like in June of this year, much less three years from now.”
  • “They’ve gotten rid of the two things they hated most, and now you’re trying to sell me on the idea this is good for competition and developers?” (“they” referring to Google)
  • “I’m not throwing anything out right now. You want something more than that, come and tell me. Why aren’t you building on the edifice rather than tearing it down?”
Sean Hollister
Sean Hollister
“Why have you jettisoned the very heart of the injunction that you argued so forcefully for?”

Judge Donato says he just doesn’t get it.

Here’s Epic’s lead attorney Gary Bornstein to answer:

“We love those remedies, period, full stop. We like them, we asked for them, we like them the way we asked for them. Now we have another option that’s on the table that’s the result of a negotiation with Google. We got something through this negotiation that was not on the table before.”

“The only reason Epic is here is because Epic believes this set of remedies in totality will provide longer-term sustainable competition,” says Bornstein. He says holding out for something like this is “the reason Epic didn’t take payoffs back in the day” from Google’s Project Hug and similar.

Sean Hollister
Sean Hollister
Epic witness suggests three years isn’t long enough because Google will immediately kill competitors after.

Judge Donato says that with three years to set up competing app stores on Android, Amazon, Meta, Microsoft and more will surely pile on. “The problem we have now is the box has already been rigged terribly with anticompetitive conduct so that Google is way ahead.”

The overarching question: “Three years and a day, what’s going to happen?”

Bernheim says even if they build those stores, Google will cut off Amazon and co. “Google at that point in time is going to say you can’t have an app that downloads things.” Or erect more friction to sideloading apps.

I don’t quite understand how that changes if were six years rather than three, or why Google wouldn’t shut down its proposed Registered App Store program the same way if that got approved.

The state attorneys general are as mad as you are

The Democratic state AGs think they’re the only officials standing up to Trump. They are probably right.

Sarah Jeong
Sean Hollister
Sean Hollister
Epic economist stops short of blaming the judge.

“By taking away one part of what I’ve proposed, the effectiveness of the other part declines,” says Bernheim, answering the judge’s question about why he didn’t bring all these proposals before.

“The choice was presented to me that if you want these provisions, which of these do you want? Do you want the ones that are going to provide the better opportunities for competitions to survive, that were in my proposals, or the ones that allow competition to get jumpstarted, which were also in my proposals, which do you pick?”

He seems to be saying that Judge Donato didn’t pick enough of them to make a real dent when he issued his permanent injunction, and didn’t make it last long enough or apply around the world, and so what he truly wanted for competition isn’t happening anyways. So the new settlement is overall better, he’s arguing.

Sean Hollister
Sean Hollister
Epic judge continues grilling economist.

“Why did you press so hard for catalog access if you’re willing to throw it out the window today?” asks Judge Donato.

Bernheim replies: “I don’t want to throw it out [...] I would love to keep it.”

Bernheim says there’s a tradeoff, though. “If you want to get competition going and as a compliment to that you have a remedy that will ensure the competition, once it develops, will continue, that it has a path for continuing, then those remedies that we’ve described will be extremely effective.”

Sean Hollister
Sean Hollister
“What has changed in your view that makes sense for me to pick up my pen and change this injunction that we spent so much time crafting two years ago?”

That’s Judge James Donato, continuing to be skeptical, addressing Doug Bernheim, the Epic economist.

Bernheim agrees with the judge that Google still monopolizes the Android app market and payments market; that the facts haven’t materially changed on the ground.

Sean Hollister
Sean Hollister
Epic’s economist says time is the problem.

Bernheim says he “would love to have all” of the anti-Google monopoly recommendations he originally argued for, but that he’s just analyzing what’s in front of him, and that Judge Donato’s existing injunction simply doesn’t last long enough at just three years rather than six.

“When that ends, developers are going to be very dependent on off-Google Play distribution,” he says. “To the extent those frictions are still in place, that will be a problem at that point in time [...] they’ll be reliant on a process that has already been shown not to work well.”

He brings up the example of how Amazon’s Appstore never got traction because users had to click through too many Google barriers.

Sean Hollister
Sean Hollister
Judge Donato is skeptical of Epic right out of the gate.

“You called catalog access THE critical remedy to counter the network effects and the pattern of dominance,” says Donato, suggesting that Bernheim is attempting to mislead by suggesting the settlement would be viable without forcing Google to offer up its catalog of apps to rival app stores.

“I questioned you about the need for the duration period, and you said it was such a critical remedy you advocated for a period twice as long,” says Donato.

Sean Hollister
Sean Hollister
Epic’s economist argues that the Google settlement is better than the alternative.

He appears to have been commissioned by Epic to analyze the settlement’s modified injunction vs. Judge Donato’s original injunction. “There are some very important pluses, there are some very important minuses,” says Bernheim.

His “main pluses” include:

  • “Registered app store program offers low-friction path for stores to get onto users’ phones” (but how does he know it’s low-friction?)
  • No fees on competing app stores or the apps they distribute
  • Global steering and alternative payment systems, with capped fees

Main minuses?

  • Removes the catalog access remedy (Google won’t be forced to offer its apps to other stores)
  • Removes the store distribution remedy (Google won’t be forced into store-within-a-store)
  • Allows Google to insist on side-by-side billing (app devs would still have to offer Google Play Billing alongside their own)
Sean Hollister
Sean Hollister
Epic is starting with Doug Bernheim, a Stanford economist.

He’s just been sworn in, and he’s prepared slides; Unfortunately, the screen on my side of the room is dead, so I’ve migrated to the other side, apologizing to several people who graciously moved for me. Bernheim featured prominently during the trial portion of this case.

Sean Hollister
Sean Hollister
I’m live from the courtroom with Epic CEO Tim Sweeney and head of Android Sameer Samat.

We’re about to hear the bitter foes-turned-BFFs explain why Judge James Donato should accept their settlement after five-plus years of legal battle. Judge Donato has just entered; Sweeney was on his phone but has put it away. Samat was waiting patiently; he’s got an eye-catching thin beaded bracelet on his wrist.

Why nobody’s stopping Grok
Play

How Elon Musk and xAI are putting a nail in the coffin of content moderation.

Nilay Patel
Terrence O'Brien
Terrence O'Brien
The TikTok deal could finally close this week.

It’s been a long, confusing, and at times tiresome saga, but according to Semafor, the Chinese and U.S. governments have given the green light for ByteDance to sell TikTok’s American arm. The target closing date set back in December was today, January 22nd, 2026.

Lauren Feiner
Lauren Feiner
Washington Post demands FBI return reporter’s seized electronics.

A federal judge barred government officials from reviewing Washington Post reporter Hannah Natanson’s devices that were seized by investigators last week. The ruling came after the Post asked for the return of Natanson’s devices and not to review their contents, alleging a grave First Amendment violation.

Update: Added court ruling.

Jay Peters
Jay Peters
Snap reaches a settlement in a social media addiction lawsuit.

The settlement is happening “ahead of a landmark trial in a case that claims the social media giants engineered products to hook an entire generation of young users,” The New York Times reports. Meta, TikTok, and YouTube, who are also part of the case, haven’t yet settled. Mark Zuckerberg is expected to testify.

Tina Nguyen
Tina Nguyen
Even Davos isn’t safe from MAGA grifters.

Billionaires attending the exclusive World Economic Forum in Davos, Switzerland are reportedly getting duped by scammers selling fake VIP packages to meet President Donald Trump during his visit. (And yes, according to USA House, the official Davos venue hosting members of the Trump administration, the scam is specifically targeting billionaires.)

Elizabeth Lopatto
Elizabeth Lopatto
I’ve seen enough: this is a cyberpunk dystopia.

Looks like the man himself has weighed in. The Jackpot’s here — just unevenly distributed. At least, for now.

Lauren Feiner
Lauren Feiner
FAA creates a no fly zone that could restrict drones near ICE vehicles.

The Federal Aviation Administration is barring drones from flying within 3,000 feet of “Department of Homeland Security facilities and mobile assets,” 404 Media reports. The notice is similar to those restricting drones near military bases, 404 says, but could apply to flying them near Immigration and Customs Enforcement vehicles.

Emma Roth
Emma Roth
Portugal orders Polymarket to shut down.

Polymarket — the same platform someone made thousands of dollars betting on Nicolás Maduro’s arrest — has 48 hours to cease operations in Portugal after users wagered more than 103 million euros (~$120 million) on the outcome of the country’s presidential election, according to a report from CoinDesk.

Political betting is illegal in Portugal, and its gambling regulator says Polymarket doesn’t have a license to operate in the country, CoinDesk reports.

It’s worse than it looks in Minneapolis

But locals are organizing to keep each other safe from ICE agents.

Scott Meslow
Terrence O'Brien
Terrence O'Brien
A congressional candidate in Florida bought nazis.us and redirected it to the DHS site.

Mark Davis, an independent running for the District 16 House seat in Florida, picked up the domain and pointed it to the department, explaining on X that “the GOP went full fascist and the democrat establishment still won’t name it.” He’s hoping to capture some of the growing furor over ICE’s increasingly aggressive tactics after several high-profile shootings.

Minnesota wants to win a war of attrition

The governor’s call to film ICE is part of an attempt to protect states’ rights — but not like that.

Sarah Jeong
Jay Peters
Jay Peters
California’s attorney general sent xAI a cease and desist letter over Grok’s nonconsensual AI deepfakes.

“The avalanche of reports detailing this material — at times depicting women and children engaged in sexual activity — is shocking and, as my office has determined, potentially illegal,” Attorney General Rob Bonta says. The state has also opened an investigation into xAI.

Attorney General Bonta Sends Cease and Desist Letter to xAI, Demands It Halt Illegal Actions Immediately

[State of California - Department of Justice - Office of the Attorney General]

Stevie Bonifield
Stevie Bonifield
TikTok is taking a closer look at European users’ accounts with a new wave of age checks.

TikTok will roll out new age detection technology in Europe that uses profile information, posts, and “behavioral signals” to guess if a user is under 13, then flags suspected accounts for moderators to review, reports Reuters.

Google/YouTube announced similar age-estimating tech last year, amid lawsuits and an expanding push to “age-gate” the internet.

Lauren Feiner
Lauren Feiner
Former government tech workers have a plan to undo DOGE’s destruction.

A group led by the first administrator of the US Digital Service, which was changed into the Department of Government Efficiency, is working on a plan to help a future Democratic administration restore what DOGE dismantled. The group, Tech Viaduct, is crafting executive actions to be enacted on day one.

Jess Weatherbed
Jess Weatherbed
ICE hits Meta data center project.

Two individuals who were driving dump trucks to the construction site in Richland Parish, Louisiana, were arrested on Wednesday. Local law enforcement says ICE “did not enter the Meta site at any time,” but told Bloomberg that agents were sweeping for identification of workers en route to the site.