Italy’s antitrust regulator, AGCM, has launched a formal investigation into Meta Platforms for allegedly abusing its dominant market position by embedding its AI assistant directly into WhatsApp without explicit user consent. Integrated since March 2025, Meta AI appears in the app’s search bar, offering virtual assistant features. The authority suspects this practice forces users into Meta’s AI ecosystem, potentially stifling fair competition and disadvantaging rival AI providers. Inspections were conducted at Meta’s Italian offices. Meta defends the integration as user-friendly and cooperative with regulators. Violations could trigger EU fines up to 10% of global turnover
Amazon has agreed to pay The New York Times between $20 million and $25 million annually under a multiyear agreement that allows Amazon to use content from the Times’s news, cooking, and sports sections, including The Athletic, to train its AI models and enhance Alexa features. This deal, announced in May and recently detailed by The Wall Street Journal, represents about 1% of the Times’s expected 2024 revenue. It marks the Times’s first AI content licensing partnership with a tech giant amid its ongoing copyright litigation against OpenAI and Microsoft over unauthorized AI training
Google is investing $6 billion to build a 1-gigawatt hyperscale data center in Visakhapatnam, Andhra Pradesh, marking the largest such facility in Asia by capacity and investment. This project includes a $2 billion allocation for renewable energy to sustainably power the data center, supporting India’s growing digital infrastructure needs. The investment aligns with Google’s global $75 billion expansion plan across Asia, also involving countries like Singapore, Malaysia, and Thailand. Andhra Pradesh aims to develop 6 gigawatts of data center capacity over five years, bolstered by new high-capacity cable landing stations enhancing connectivity and regional tech growth.
NASA and SpaceX are launching the Crew-11 mission on July 31, 2025, from Kennedy Space Center to the International Space Station. This mission carries four astronauts—Commander Zena Cardman, Pilot Mike Fincke, and mission specialists Kimiya Yui and Oleg Platonov—embarking on vital research in space, including stem cell manufacturing and liver tissue studies. The Crew Dragon Endeavour spacecraft is making its record sixth flight. Live coverage starts at 8 a.m. EDT, with docking expected on August 2. The mission reflects adjustments due to Boeing Starliner delays and continues NASA’s ongoing Commercial Crew Program.
Spotify has introduced compulsory age checks for UK users to access mature content, complying with the UK’s Online Safety Act effective July 25, 2025. The process, executed via partner Yoti, involves facial recognition or government ID verification to confirm users are over 18 before viewing 18+ music videos. Accounts failing verification within 90 days risk permanent deletion. While aimed at protecting minors, Spotify’s age verification system has sparked privacy concerns and criticism from users. Those declining verification are blocked from adult content but can still use Spotify otherwise. This move aligns with similar measures on platforms like Reddit and Discord.
Swiss-based Proton has unveiled its new Proton Authenticator, a free and open-source two-factor authentication app available on all major platforms. Designed with privacy at its core, the app offers secure, end-to-end encrypted backups and syncs across devices without ads or tracking. It functions offline and allows users to import existing 2FA tokens easily—all without requiring a Proton account for basic use. This launch is part of Proton’s larger effort to expand its ecosystem with privacy-centered tools, following the recent introduction of their AI chatbot, Lumo. Proton continues to stand out from mainstream tech giants by emphasizing user security, control, and transparency.
As we move through 2025, application-specific semiconductors are shaping the backbone of digital transformation across every major industry. These chips—engineered for specific tasks rather than general-purpose computing—are now critical for powering artificial intelligence (AI), cloud infrastructure, automotive technology, healthcare, and next-gen consumer devices. Below, we explore what makes these chips game-changers, the drivers fueling their growth, key industry players, and how they are revolutionizing sectors from vehicles to data centers.
What Are Application-Specific Semiconductors?
Application-Specific Integrated Circuits (ASICs) are built to perform dedicated tasks more efficiently and faster than general-purpose chips. By focusing their processing power on targeted workloads such as AI inference, cryptographic tasks, or real-time health monitoring, these chips improve performance, reduce power usage, and offer better results for specialized applications.
Key Drivers of Growth in 2025
1. Rapid Growth in AI and Generative AI
AI is putting huge pressure on traditional chips, especially in data centers and edge computing setups like connected cars, industrial systems, and IoT. Generative AI requires high bandwidth and low latency, which general-purpose CPUs cannot handle well. This has opened the door for custom silicon built specifically for AI workloads.
2. Industry-Specific Demand and Customization
Major industries like automotive, telecom, cloud, and healthcare are turning to custom chips to meet their unique needs.
Automotive: Companies such as Infineon, NXP, STMicroelectronics, Texas Instruments, Renesas, and Qualcomm are developing chips for ADAS, electric vehicles, and in-car connectivity.
Healthcare: Texas Instruments, Analog Devices, STMicroelectronics, Ambiq, OmniVision, BioIntelliSense, and NVIDIA are supporting wearables, medical imaging, diagnostics, and remote monitoring.
Cloud and Data Centers: Companies including NVIDIA, Intel, Broadcom, Samsung Semiconductor, IBM, Meta, Google, Arm, SambaNova Systems, and SiMa.ai are working on chips optimized for AI, high-speed networking, and cloud scalability.
3. Smarter Chip Design and Manufacturing
The rise of AI-based chip design tools and modular chiplet architectures has made it faster and more affordable to build custom chips. Advanced process nodes like 2nm fabrication and reusable IP components are helping reduce development time and cost.
4. Explosion in Edge Computing and IoT
As billions of IoT devices come online in 2025, there is growing demand for compact and power-efficient chips that can process data locally. These chips are key to enabling smart cities, connected health devices, and wearable tech.
5. Focus on Supply Chain Control and Strategic Independence
Global supply issues and geopolitical tensions have pushed industries to gain more control over chip design and production. Custom architectures and strategic partnerships are helping companies build resilience and avoid reliance on any single supplier.
These companies are at the forefront of applying custom chip technology in real-world solutions, helping shape the future of innovation across industries.
Challenges and Considerations
Building custom chips comes with high research and development costs. However, tools and chiplet-based designs are reducing barriers for new players. The challenge now lies in balancing tailored performance with large-scale manufacturing. This is encouraging modular designs and partnerships across industries to make development more flexible and cost-effective.
What’s Ahead?
Technology is becoming more personal, intelligent, and efficient. Application-specific semiconductors are unlocking new levels of performance and control across sectors. Companies that invest in custom silicon are gaining strategic advantages and driving the next wave of innovation. From smart cars and medical devices to advanced cloud infrastructure, the future will be powered by chips that are designed for one job and do it exceptionally well.
