Tech Stocks Remain Steady Amid AI Frenzy
ByAinvest
Friday, Jul 18, 2025 5:34 pm ET1min read
META--
Title: Tech Shares Remain Steady as Investors Focus on AI Firms
Tech shares have shown resilience this week as investors continue to focus on the advancements and potential of AI firms. Microsoft has indicated its likely intention to sign the European Union's code of practice for general-purpose AI, while Meta Platforms has declined to do so, citing concerns over legal uncertainties and the scope of the guidelines.
Microsoft President Brad Smith told Reuters that the company is likely to sign the code, which aims to provide legal certainty and help companies comply with the EU's landmark AI rules. The voluntary code of practice, drawn up by 13 independent experts, requires signatories to publish summaries of the content used to train their AI models and implement policies to comply with EU copyright law [1].
In contrast, Meta Platforms has expressed reservations about the code, stating that it introduces legal uncertainties and exceeds the scope of the AI Act. Meta's Chief Global Affairs Officer Joel Kaplan wrote on LinkedIn that the code could "stunt" the development and deployment of frontier AI models in Europe [2].
The EU AI Act, which came into force in June 2024, will apply to major tech companies such as Google owner Alphabet, Facebook owner Meta, OpenAI, Anthropic, Mistral, and thousands of other businesses. The code of practice is designed to offer companies legal clarity and reduce regulatory scrutiny, but Meta's Kaplan argues that it could hinder innovation [3].
While Microsoft and other companies like OpenAI and Mistral have signed the code, Meta remains steadfast in its position. The code's requirements include regular documentation updates, bans on training AI with paired content, compliance with content owners' opt-out requests, and post-marketing monitoring [4].
Investors are keeping a close eye on these developments as they assess the potential impact on tech shares. The steady performance of tech shares this week reflects the market's ongoing interest in the AI sector, despite the regulatory uncertainties.
References:
[1] https://www.yahoo.com/news/microsoft-likely-sign-eu-ai-192046878.html
[2] https://www.cnbc.com/2025/07/18/meta-europe-ai-code.html
[3] https://timesofindia.indiatimes.com/technology/tech-news/facebook-parent-meta-refuses-to-sign-eus-ai-code-of-practice-heres-why/articleshow/122768817.cms
[4] https://www.irishlegal.com/articles/eu-publishes-general-purpose-ai-code-of-practice
MSFT--
Tech shares remain steady as investors focus on AI firms. Meta Platforms' Chief Global Affairs Officer Joel Kaplan stated that the company won't sign the European Union's code of practice for general-purpose AI, citing uncertainty and scope limitations.
Tech Shares Remain Steady as Investors Focus on AI FirmsTitle: Tech Shares Remain Steady as Investors Focus on AI Firms
Tech shares have shown resilience this week as investors continue to focus on the advancements and potential of AI firms. Microsoft has indicated its likely intention to sign the European Union's code of practice for general-purpose AI, while Meta Platforms has declined to do so, citing concerns over legal uncertainties and the scope of the guidelines.
Microsoft President Brad Smith told Reuters that the company is likely to sign the code, which aims to provide legal certainty and help companies comply with the EU's landmark AI rules. The voluntary code of practice, drawn up by 13 independent experts, requires signatories to publish summaries of the content used to train their AI models and implement policies to comply with EU copyright law [1].
In contrast, Meta Platforms has expressed reservations about the code, stating that it introduces legal uncertainties and exceeds the scope of the AI Act. Meta's Chief Global Affairs Officer Joel Kaplan wrote on LinkedIn that the code could "stunt" the development and deployment of frontier AI models in Europe [2].
The EU AI Act, which came into force in June 2024, will apply to major tech companies such as Google owner Alphabet, Facebook owner Meta, OpenAI, Anthropic, Mistral, and thousands of other businesses. The code of practice is designed to offer companies legal clarity and reduce regulatory scrutiny, but Meta's Kaplan argues that it could hinder innovation [3].
While Microsoft and other companies like OpenAI and Mistral have signed the code, Meta remains steadfast in its position. The code's requirements include regular documentation updates, bans on training AI with paired content, compliance with content owners' opt-out requests, and post-marketing monitoring [4].
Investors are keeping a close eye on these developments as they assess the potential impact on tech shares. The steady performance of tech shares this week reflects the market's ongoing interest in the AI sector, despite the regulatory uncertainties.
References:
[1] https://www.yahoo.com/news/microsoft-likely-sign-eu-ai-192046878.html
[2] https://www.cnbc.com/2025/07/18/meta-europe-ai-code.html
[3] https://timesofindia.indiatimes.com/technology/tech-news/facebook-parent-meta-refuses-to-sign-eus-ai-code-of-practice-heres-why/articleshow/122768817.cms
[4] https://www.irishlegal.com/articles/eu-publishes-general-purpose-ai-code-of-practice
Stay ahead of the market.
Get curated U.S. market news, insights and key dates delivered to your inbox.
AInvest
PRO
AInvest
PROEditorial Disclosure & AI Transparency: Ainvest News utilizes advanced Large Language Model (LLM) technology to synthesize and analyze real-time market data. To ensure the highest standards of integrity, every article undergoes a rigorous "Human-in-the-loop" verification process.
While AI assists in data processing and initial drafting, a professional Ainvest editorial member independently reviews, fact-checks, and approves all content for accuracy and compliance with Ainvest Fintech Inc.’s editorial standards. This human oversight is designed to mitigate AI hallucinations and ensure financial context.
Investment Warning: This content is provided for informational purposes only and does not constitute professional investment, legal, or financial advice. Markets involve inherent risks. Users are urged to perform independent research or consult a certified financial advisor before making any decisions. Ainvest Fintech Inc. disclaims all liability for actions taken based on this information. Found an error?Report an Issue
Comments
No comments yet