AI-Legal Insight Monthly: The Biggest Stories in AI (January)

Welcome to the AI-Legal Insight Monthly News Roundup! Each month, we bring you the biggest AI and legal developments – tech breakthroughs, regulatory battles, and everything in between. 

Global News

1. DeepSeek´s AI Bombshell: Is the US Losing the AI Crown?

Chinese AI startup DeepSeek has introduced its R1 model, demonstrating advanced reasoning capabilities at a lower cost than competitors. This developement has led to a significant decline in U.S. tech stocks, with Nividia´s valuation dropping nearly 18 %. The emergence of DeepSeek´s cost-effective AI solutions has raised concerns about the future of U.S. leadership in artificial intelligence.

2. Trump´s $500 Billion Stargate: AI Meets Texas-Sized Infrastructure

President Trump has announced a substantial project involving a $500 billion investment in artificial intelligence infrastructure through a new partnership called Stargate. This initiative brings together OpenAI, Oracle and SoftBank to develop data centers and the necessary electricity generation in Texas. The initial commitment is $200 billion, with the potential to reach five times that amount. The investment is part of a broader expectation for significant AI-related infrstructure developements, benefiting buisnesses and increasing productivity.

3. McCartney vs. The Machines: AI Copyright Wars Heat Up

Sir Paul McCartney has expressed concerns about proposed changes to UK copyright law that could allow artificial intelligence to exploit artists´work without appropriate compensation. He warns that if artists aren´t protected, creativity could suffer. McCartney urges the government to safeguard creators´interests.

German News

1. Bundeskartellamt vs. Big Tech: Germany´s Watchdog Bares Its Teeth

Germany´s Federal Cartel Office (Bundeskartellamt) has classified Microsoft as a company of paramount significance for competition across markets, subjecting it to stricter regulations under Section 19a of the German Competition Act. This move allows authority to prohibit anti-competitive practices by the tech giant.

2. Noxtua AI: The Legal Bot That Might Replace Your Lawyer (Sort Of)

CMS, in collaboration with Berlin- based AI startup Xayn, has launched Noxtua, Europe´s first sovereign Legal AI. Noxtua is designed to assist lawyers by analyzing and drafting legal documents, as well as researching legal documents, as well as researching legal questions, thereby enhancing efficiency in legal practices.

3. SAP´s AI Jackpot: Big Profits, Bigger Promises

SAP has raised its 2025 financial outlook, anticipating an operating profit between €10.3 billion and €10.6 billion, driven by accelerated growth in cloud computing and artificial intelligence services. The company also ecpects cloud revenues to reach between €21.6 billion and €21.9 billion.

Stay curious, stay informed, and let´s keep exploring the fascinating world of AI together.

Check out previous posts for more exiting insights!