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Only 39% of Customers Trust Brands Using AI to Understand Their Needs, Cites Privacy Concerns – Salesforce Report Reveals

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The Salesforce “State of the AI Connected Customer” Report has highlighted a significant trust gap between customers and brands leveraging AI for personalized experiences.

Despite the rapid advancements in AI-driven personalization, the report reveals that only 39% of customers feel comfortable with brands using AI to understand their needs. This hesitation stems largely from concerns surrounding data protection and privacy.

While half of the customers express optimism about AI’s potential to enhance product quality and efficient services, a significant number of them worry about how their personal information is collected, stored, and used by AI-powered systems. With increasing reports of data breaches and unethical data handling, trust in AI remains fragile. Customers are worried that AI-driven insights could lead to excessive data tracking, intrusive advertising, and even potential misuse of sensitive information.

Furthermore, the lack of transparency in Al’s decision-making processes adds to consumer skepticism. Many customers are unsure how Al reaches conclusions about their preferences or whether their data is being shared with third parties without explicit consent.

AI Advancements Make Trust Even More Critical

As companies embrace the benefits of Al advancements like agents, 61% of customers stressed the need for companies to be trustworthy, yet less than half currently trust businesses to use Al ethically. This gap highlights a significant opportunity for companies to stand out by prioritizing transparency, fairness, and responsible Al practices.

Forty-two percent of customers trust businesses to use Al ethically. Paralleling the growth of the technology and its adoption, concerns around the ethical use of Al have steadily risen since 2020. The percentage of customers who strongly agree they are concerned about unethical AI use has significantly increased from 22% to 37%, revealing heightened anxieties around AI misuse.

The Foundations of Ethical And Trusted AI Practices

Both business buyers and consumers agree on the essential steps needed to build trust in Al, with transparency emerging as the top priority. When users have a clear understanding of how Al is utilized and the benefits it offers, they are more likely to trust its outcomes.

Establishing this trust requires a thoughtful balance between human oversight and Al systems. Key measures include continuous monitoring and optimization of Al outputs, providing customers with easy access to human support, and enabling users to report any errors made by Al.

71% of customers believe that human validation of Al-generated outputs is crucial. Interestingly, while some trust-building actions are favored more than others, none were selected by a majority of respondents. This underscores the need for a comprehensive, multi-faceted approach to effectively address customer concerns.

Notably, transparency, along with the assurance that a customer can jump in when needed and an understanding of how Al makes decisions, is key. Human collaboration mitigates concerns about the limitations of Al and provides a safety net for complex or sensitive issues. Additionally, customers want to understand how conclusions are reached, which builds trust in how these systems work.

A pivotal European Commission study shows that transparent Al operations can reduce user anxiety and increase acceptance, fostering reliability and fairness perceptions. As Al advances, adoption depends on creating transparent, trustworthy systems.

Final Thoughts

The report underscores that while AI presents significant opportunities for businesses, customer trust remains a key challenge. It is however worth noting that Brands that prioritize ethical AI use, transparency, and security will be better positioned to build lasting relationships with their customers in the age of AI-driven personalization.

Italy’s Prime Minister Explicitly Rejects Italian Troops’ Deployment to Ukraine

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Italian Prime Minister Giorgia Meloni explicitly rejected proposals from France and the United Kingdom to deploy Italian troops to Ukraine. In an interview with Rai1 TV, she expressed skepticism about the feasibility and effectiveness of sending European troops, stating, “I think it is very difficult to implement; I am not sure about its effectiveness. That’s why we announced that we will not send Italian soldiers to Ukraine.” This stance reflects Italy’s broader position of supporting Ukraine through non-combat means, such as humanitarian aid and diplomatic efforts, rather than direct military involvement.

Meloni’s decision comes amid ongoing discussions among European leaders about bolstering support for Ukraine in its conflict with Russia, highlighting a divergence in approaches within the EU. While France and the UK have pushed for more direct military engagement, Meloni has emphasized the need for a sustainable and just peace, underscoring her reservations about escalating Italy’s role in the conflict.

Meloni has consistently backed Ukraine’s sovereignty and its right to defend itself against Russia’s aggression. Italy, under her leadership, has provided significant aid—over €1 billion by late 2024—including humanitarian assistance, financial support, and non-lethal military equipment like air defense systems. However, she has drawn a firm line against sending Italian troops to fight in Ukraine, as seen in her rejection of French and UK proposals on March 4, 2025. This reflects her belief that direct NATO or EU troop deployment could escalate the conflict into a broader war, potentially dragging Italy into a quagmire.

Focus on a “Just Peace”

Meloni has emphasized the need for a peace that is sustainable and respects Ukraine’s territorial integrity, rather than a rushed settlement that might favor Russia’s gains. In her Rai1 interview, she hinted at skepticism about quick fixes, suggesting that any resolution must address the root causes and ensure stability. This aligns with her broader rhetoric of supporting Kyiv “for as long as it takes” but framing it within a diplomatic rather than militarized Italian role.

While rejecting troop deployment, Meloni has worked to keep Italy aligned with NATO and EU partners. Meloni sees collective Western support—through sanctions on Russia, economic aid to Ukraine, and bolstered defense capabilities—as a critical lever to pressure Moscow into negotiations. Her strategy leans on multilateral efforts rather than unilateral Italian action, aiming to maintain a cohesive European front that could eventually force a diplomatic breakthrough.

Meloni’s approach is shaped by Italy’s domestic and geopolitical realities. She has acknowledged the economic strain of the war—energy costs, inflation, and trade disruptions—on Italians, which informs her cautious stance. By avoiding troop deployment, she mitigates risks to Italian lives and resources, preserving political capital at home while still contributing to the anti-Russia coalition. This pragmatism also extends to her critique of proposals she deems impractical, like the French-UK troop idea, which she questioned for its feasibility and effectiveness.

Though less explicit, Meloni has implied that dialogue must eventually play a role. She has not detailed how or when, but her rejection of escalation suggests a preference for conditions that could bring Russia and Ukraine to the table—likely under international mediation—once military stalemate or economic pressure shifts the calculus. This is consistent with her coalition’s occasional nods to de-escalation, though she avoids appearing soft on Russia.

Meloni’s strategy reflects her identity as a conservative leader who balances Atlanticism (loyalty to NATO) with a nationalist bent focused on Italy’s sovereignty and safety. Unlike some European counterparts who favor bold military gestures, she frames peace as a practical outcome requiring patience and leverage, not just battlefield victories. Her rejection of troop offers underscores a belief that flooding Ukraine with European soldiers might provoke Russia further without guaranteeing a decisive end, potentially destabilizing Europe itself.

Meloni’s peace strategy is less about a proactive roadmap and more about a reactive, steady stance: support Ukraine robustly but indirectly, push for a united Western response, and wait for a moment when diplomacy can secure a “just” resolution— all while keeping Italy out of the line of fire.

Taiwan Puts TSMC’s $100 Billion, Other U.S. Investments, Under Review

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Taiwan will initiate a formal review of Taiwan Semiconductor Manufacturing Company’s (TSMC) investment in the United States, a move that has stirred global attention and raised concerns over its potential impact on the landmark $100 billion investment it has earlier pledged.

The review is set against a backdrop of intensifying U.S.-China geopolitical tensions and mounting pressure from Washington on TSMC to comply with export restrictions against Beijing.

Cabinet spokesperson Michelle Lee announced on Tuesday that the Taiwanese government would evaluate TSMC’s U.S. expansion plans in light of Taiwan’s strategic position in the global semiconductor industry.

“The government’s stance on overseas investments is generally positive if they contribute to the globalization of Taiwan’s industry and enhance our overall competitiveness,” Lee stated, highlighting a cautiously balanced approach amid the complex geopolitical environment.

TSMC’s proposed investment, revealed just days earlier at the White House, involves constructing five additional semiconductor facilities in the U.S., primarily in Arizona. The announcement, made alongside U.S. President Donald Trump, underscored the deal’s significance to American economic and national security.

“Today, Taiwan Semiconductor is announcing that they will be investing at least $100 billion in new capital in the United States over the next short period of time to build state-of-the-art semiconductor manufacturing facilities,” Trump declared.

He emphasized the critical role of semiconductors in the modern economy, describing them as “the backbone of the 21st-century economy.”

U.S. Pressure and the China Factor

TSMC has been under sustained pressure from the U.S. to align with its strategic objectives, particularly concerning China. The Trump administration significantly intensified these pressures, with TSMC cutting off new orders from Huawei in 2020 to comply with U.S. sanctions. These measures were part of broader efforts to curb China’s technological and military advancements, and the Trump administration has maintained this firm stance.

This dynamic places TSMC in a challenging position, balancing its commercial interests with the geopolitical realities dictated by its largest market and strategic partner, the U.S. However, the implications of Taiwan’s review of the $100 billion investment remain unclear, adding uncertainty to an already delicate situation.

Potential Impact of Taiwan’s Review

The review process is expected to scrutinize how TSMC’s U.S. expansion aligns with Taiwan’s economic goals and whether it could weaken the island’s dominance in the global semiconductor market. Taiwan is the primary producer of the world’s most advanced chips, a critical advantage that not only bolsters its economy but also enhances its geopolitical leverage.

Analysts warn that Taiwan’s government may impose conditions to ensure TSMC’s strong domestic presence, potentially affecting the scale or pace of its U.S. projects. There is also speculation that Taiwan might seek assurances that key technologies and production capacities remain firmly rooted on the island.

Tariffs, Incentives, and National Security

TSMC’s U.S. investment is partly driven by President Trump’s tariff strategy, which threatened to impose a 25% levy on imported semiconductor chips. Additionally, the Biden administration’s CHIPS and SCIENCE Act of 2022 offered TSMC a $6.6 billion grant, reinforcing the financial viability of its American expansion.

For the U.S., bolstering domestic semiconductor production is not merely an economic move but also a national security strategy. Semiconductor chips are vital to technology, defense, and infrastructure sectors, and reducing reliance on foreign-made chips is a top priority for Washington.

Taiwan’s semiconductor industry is a cornerstone of its economy, with TSMC playing a pivotal role. The government’s review could be a message to TSMC to avoid over-committing resources abroad in ways that might undermine Taiwan’s technological leadership.

Timeline for Tekedia H1 2025 Investment Cycle

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Greetings! Find below the key dates for the next Tekedia Capital investment cycle.

Duration: April 7 – May 15, 2025

Startups Unveiling in Portal: April 7

Demo Day: April 26, 2025

We’re providing this on time to assist members as they plan.

Regards,

Tekedia Team

The End of Remita Era in Nigeria

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A sensible policy; government should not outsource some core things: “The Federal Government of Nigeria on Tuesday unveiled a new payment platform, the Treasury Management & Revenue Assurance System (TMRAS), to replace REMITA, which has been in use for revenue collection since 2012.

“The new platform aims to enhance the efficiency, transparency, and accountability of federal revenue collections and payments across ministries, departments, and agencies (MDAs), including entities managing donor funds, trust funds, social security funds, and special funds. This development was disclosed in a memo from the Office of the Accountant General of the Federation (OAGF), dated February 28, 2025. The memo stated that TMRAS would go live on March 4, 2025, and its deployment would occur in two phases.”

Then imagine if you are an investor in Remita. Good People, there is a HUGE risk depending on a government super-contract or running a business where you have over concentration on few customers. Glo Intelligence, a Kenya/NY-based startup, failed despite raising more than $100m when its Unilever contract was frozen. Remita has no issues because its parent company is loaded with other revenue lines. But this should teach all founders on why you must diversify your revenue sources.

For Nigeria, this is a good policy. If the government cannot collect its money, what is it good for? I hate it when governments outsource core functions. Great policy provided this is not from one vendor to another; Nigeria needs to build internal public sector capacity and diminish the use of consultants.

A few weeks ago, the Abuja people invited me to come and run a program. I politely sent them a list of my professors in FUTO they could use. Why pay a village boy from America when there are better people at least in Owerri? Build your internal system and stop always looking outside. Happy payment is now inside!