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Time:2026-07-05T16:51:51Z

China's AI sector faces a regulatory crunch as ByteDance and Alibaba disable AI agent features ahead of Beijing's July 15 rules on humanlike AI interaction. ByteDance researchers claim a new scaling law that could sustain the AI boom, while a Chinese AI chip startup bets on 3D stacking to bypass US export controls. Alibaba bans internal use of Anthropic's Claude Code over spyware concerns, citing hidden code that tracked Chinese users. Meanwhile, global debates on AI ethics continue amid Google's provocative ad imagining an AI-assisted Declaration of Independence.

China's AI crackdown reshapes industry landscape

China's AI crackdown reshapes industry landscapeByteDance and Alibaba are disabling AI agent features in their Doubao and Qwen platforms ahead of Beijing's new regulations on humanlike AI interaction services taking effect July 15. Meanwhile, a Chinese AI chip startup is developing 3D stacking technology to circumvent US export controls. ByteDance researchers have also discovered a new scaling law that could sustain the AI boom by analyzing how fast AI agents improve through real-world task execution.

Sources:
Are we human? Why ByteDance and Alibaba are disabling AI agents in ChinaWith Beijing’s rules on humanlike AI interaction services taking effect on July 15, Doubao and Qwen move to disable customised features. (SCMP)
Chinese AI chip start-up bets on 3D stacking to bypass US controls (SCMP)
China’s ByteDance discovers new scaling law that could sustain AI boomResearchers at the Chinese tech giant have been analysing how fast AI agents can improve by performing real-world tasks. (SCMP)
ByteDance, the Chinese tech giant behind viral app TikTok, is also at the forefront of AI research in China. Photo: Reuters (SCMP)

Global AI ethics debate intensifies

Global AI ethics debate intensifiesA Guardian commentary argues that society is debating AI ethics but seems unable to change course. Google has released a new commercial imagining a Declaration of Independence written with AI assistance, sparking further discussion. TechCrunch has published an AI glossary to help readers navigate the year's key terminology as the technology continues to permeate everyday life.

Sources:
double quotation markWe can debate the ethics of AI but can’t seem to change course (The Guardian)
New Google commercial imagines a Declaration of Independence written with help from AI (TechCrunch)
The only AI glossary you’ll need this year (TechCrunch)

Alibaba bans Claude Code over spyware allegations

Alibaba bans Claude Code over spyware allegationsAlibaba has banned its employees from using Anthropic's Claude Code, classifying it as 'high-risk' software after discovering hidden code that tracked Chinese users. The ban has been covered by SCMP, China Daily, and TechCrunch, highlighting growing tensions between Chinese tech firms and Western AI companies over data security and espionage concerns.

Sources:
Alibaba bans staff from using Claude Code over Anthropic spyware concernsThe Chinese tech giant has listed Claude Code as ‘high-risk’ software, after discovering Anthropic had tracked Chinese users using hidden code. (SCMP)
Alibaba bans internal use of Anthropic's Claude (China Daily)
Alibaba reportedly bans employees from using Claude Code (TechCrunch)