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MADRID (AP) — Spain’s government has fined Airbnb 64 million euros ($75 million) for advertising unlicensed tourist rentals, officials said Monday.

The move is the latest government action in Spain against short-term rental companies such as Airbnb and Booking.com as the country grapples with a housing affordability problem, particularly in city centers.

The consumer rights ministry said the rentals didn’t include license numbers — a requirement in many regions in Spain — or listed license numbers that didn’t match what authorities had. Other had incorrect information about hosts, it said.

Airbnb said that it plans to challenge the fine in court. The company said it was working with Spanish authorities to comply with a new national registration system for short-term rentals, and that more than 70,000 listings on the platform had added a registration number since January.

Spain’s leftist government and many Spaniards across the political spectrum see short-term rental companies as bearing responsibility for driving up housing costs.

The nation on the Iberian Peninsula is one of the world’s most visited countries and short-term holiday rentals have cut into many cities’ stretched supply.

“There are thousands of families living on the edge because of the housing crisis, while a few enrich themselves with business models that evict people from their homes,” Spain’s consumer rights minister, Pablo Bustinduy, said Monday in a statement.

In May, the consumer rights ministry ordered Airbnb to take down around 65,000 listings because of rule violations.

In 2024, Spain’s anti-trust watchdog fined Booking.com 413 million euros ($448 million), saying the the online travel company had abused its dominant market position in the country over the previous five years.

Local authorities in Barcelona have said they plan to phase out all of the 10,000 apartments licensed in the city as short-term rentals by 2028 to safeguard the housing supply for residents.

NEW YORK (AP) — The Ah Louis Store in San Luis Obispo, California, turns into a winter wonderland every holiday season.

Green garlands, giant nutcrackers, baubles and bows go up in early November on the historic downtown building that houses the gift shop. Inside, customers can choose from over 500 different types of ornaments and a variety of holiday gift baskets.

“We really just make it a magical spot,” co-owner Emily Butler said. “Whether you come in or not, we want to make sure that we’re spreading that holiday joy.”

But Butler says she and her twin sister-business partner had to work harder this year to turn browsers into buyers and to make a profit. Many of the decorations and stocking stuffers they sell are made overseas and either did not arrive or got more expensive when President Donald Trump imposed unusually high taxes on imported goods, she said.

In response, the sisters focused their selection on more profitable items like nutcrackers and gift baskets. They’ve also noticed customers cutting back, selecting a $100 gift basket over the $150 version, or buying one ornament instead of several, Butler said..

“We’re definitely seeing more cautious spending this year,” she said.

Along with the unpredictable tariffs, stubborn inflation and weak hiring have shaken consumer confidence in the U.S. economy. The vast majority of U.S. adults say they’ve noticed higher than usual prices for groceries, electricity and holiday gifts in recent months, according to a December poll from The Associated Press-NORC Center for Public Affairs Research.

A Gallup index that summarizes Americans’ assessments of current economic conditions fell to a 17-month low in November. Consumers also indicated less enthusiasm for spending money on holiday gifts; their estimated gift budgets decreased $229 between October and November, the largest drop Gallup has recorded at that point of the holiday shopping season. The survey was conducted in November, partially during the government shutdown, which might have tempered spending plans.

However, the worst-case impact on consumer prices that many economists foresaw from the Trump administration’s tariff policies hasn’t materialized. Some products have been affected more than others. Here’s a look at what has happened with supplies and prices in popular gifting categories.

Game and toys were particularly susceptible to tariff-related price increases since the majority of the ones sold in the U.S. are made in China, according to industry trade group The Toy Association. The tariff rate the Trump administration imposed on Chinese goods became a rollercoaster that started at an additional 10%, peaked at 145% and ended up at 47%.

The uncertainty made it hard for toy shops to decide what to order for the holidays. Dean Smith, who co-owns independent toy stores JaZams in Princeton, New Jersey, and Lahaska, Pennsylvania, said the manufacturers in China that he buys toys from did not pass on their tariff costs all at once but he has seen their prices inch higher with every reorder.

Smith estimated that wholesale prices for 80% of his inventory went up anywhere from 5% to 20%. Some shoppers who don’t buy toys regularly might be surprised by price increases he adopted in turn, Smith said. A doll that sold for $20 to $25 last year now costs $30 to $35 at JaZams, he said.

“For folks with marginal incomes, this is going to be a very difficult holiday,” Smith said.

Consumer electronics are mostly made in China and other Asian countries. In 2023, China accounted for 78% of U.S. smartphone imports, and 79% of laptop and tablet imports, according to the Consumer Technology Association trade group.

Best Buy said in May that it was raising prices due to tariffs. But CEO Corie Barry said late last month that the consumer electronics chain made sure to stock computers, phones and other products at different price levels, a decision she credited with helping Best Buy attract more lower-income shoppers.

“The consumer is not a monolith,” Barry told reporters.

Game consoles are always a popular holiday item, and console makers made news earlier this year when they announced price increases. Sony raised the price of the PlayStation 5 by $50 to $550 in August, following Microsoft and Nintendo raising prices for their game consoles.

Jewelry shoppers will likely see higher prices, but that has more to do with the soaring price of gold than tariffs so far, according to David Bonaparte, president & CEO of trade group Jewelers of America.

The varying tax rates Trump set for countries that import American goods with a total value less than their exports to the U.S. affected jewelry in various ways. Watches from Switzerland, for example, were subject to a 39% tariff from July 31 until the country struck a deal with the Trump administration last month to lower the import tax rate on its products to 15%.

India, which refines many of the diamonds sold in the U.S., rushed in shipments of the gemstones before a 50% tariff on the country’s products took effect on Aug. 27. Higher prices for jewelry made with diamonds shipped from India will likely start to be felt in 2026, Bonaparte said.

“It’s really a matter of what happens after Jan. 1,” he said. “If these tariffs are still in place, then prices will probably increase.”

Holiday decorations are yet another category that mostly comes from overseas, particularly China.

Jeremy Rice co-owns House, a home-décor shop in Lexington, Kentucky, that specializes in artificial flowers, wreaths and table decorations. He said the tariffs slowed down production of much of his fall stock and seasonal merchandise like ribbon. Some larger and more expensive items he didn’t order at all because they would have been too expensive to retail.

Rice raised prices on the products he did get. The popular red berry stems that House long has carried increased from $8.95 last year to $10.95 due to higher import costs, he said.

“We sell thousands of these berry stems, and every time we sold one, I flinched from knowing what it should have been, knowing that our supplier paid more for them, which made us pay more for them, which made our customer pay more for them,” Rice said.

For those looking to avoid tariff-related price increases, John Harmon, managing director of technology research at technology consulting company Coresight Resarch, recommends checking out secondhand stores and discount retailers like T.J. Maxx, Marshall’s and HomeGoods. The off-price chains buy much of their inventory from leftover stock that would have entered the U.S. before new tariffs kicked in.

Joe Adamski, senior director at procurement services company ProcureAbility, said books, food and beverages are some of the domestically produced goods that make good gifts.

Roomba maker iRobot has filed for Chapter 11 bankruptcy protection, but says that it doesn’t expect any disruptions to devices as the more than 30-year-old company is taken private under a restructuring process.

IRobot, which became well known for its robotic vacuums, has struggled of late, dealing with increased competition, layoffs and a declining stock price. In 2022 Amazon announced that it had agreed to buy iRobot for about $1.7 billion, but that deal was called off last year. Amazon blamed “undue and disproportionate regulatory hurdles” after the European Union signaled its objection to the transaction.

Amazon said at the time that it would pay iRobot a previously agreed termination fee of $94 million and iRobot said that it would undergo a restructuring to help stabilize the company.

iRobot said Sunday that it is now being acquired by Picea through a court-supervised process. Picea, or Shenzhen PICEA Robotics Co., Ltd., is iRobot’s primary contract manufacturer.. With facilities in China and Vietnam, Picea has built and sold more than 20 million robotic vacuum cleaners.

“The transaction will strengthen our financial position and will help deliver continuity for our consumers, customers, and partners,” iRobot CEO Gary Cohen said in a statement.

iRobot said it will continue to operate as normal during the Chapter 11 process and doesn’t expect any disruption to its app functionality, customer programs, global partners, supply chain relationships, or ongoing product support.

The Bedford, Massachusetts-based anticipates completing the prepackaged chapter 11 process by February.

In premarket trading, iRobot shares slid nearly 70% to $1.31.

BELGRADE, Serbia (AP) — Serbia’s prosecutor for organized crime on Monday charged a government minister and three others with abuse of office and falsifying of documents to help pave the way for a real estate project linked to Jared Kushner, U.S. President Donald Trump’s son-in-law.

Proposed criminal charges were announced against Culture Minister Nikola Selaković, who is a close ally of autocratic President Aleksandar Vučić, and three other officials, according to a statement published on the official website of the Public Prosecutor’s Office for Organized Crime.

The investigation centers on a controversy over a bombed-out military complex in central Belgrade that was a protected cultural heritage zone, but that is facing redevelopment as a luxury compound.

Last year, Serbia’s government signed a 99-year-lease agreement with Kushner-linked Affinity Global Development in the U.S. At the time, Kushner confirmed reports that his company plans to finance the $500 million project. It would feature a high-rise hotel, a luxury apartment complex, office spaces and shops.

Selaković and others allegedly illegally lifted the protection status for the site by forging documentation.

It wasn’t immediately clear when a trial could be held.

The proposal to build a high-rise hotel, offices and shops at the site is backed by Vucic’s government, but has met fierce opposition from experts at home and abroad, as well as the Serbian public.

Serbian lawmakers passed a special law last month clearing the way for the construction, despite the ongoing investigation. Vučić has said that the project would be good for Serbia’s relations with the United States and that he would pardon anyone convicted in the case.

“I am guilty,” he said recently. “I am the one who wanted modernization of Serbia. I am the one who wanted to bring in a big investor.”

The U.S. administration has imposed tariffs of 35% on imports from Serbia. It has also sanctioned Serbia’s monopoly oil supplier, which is controlled by Russia.

Critics say the building is an architectural monument, seen as a symbol of resistance to the U.S.-led NATO bombing that remains widely viewed in the Balkan country as an unjust “aggression.”

Serbia was bombed in 1999 for 78 days to force then President Slobodan Milošević to end his crackdown on separatist ethnic Albanians in Kosovo. Anti-NATO sentiment remains strong in Serbia, and the U.S. role in revamping the military buildings is particularly sensitive among many Serbians.

The buildings are seen as prime examples of mid-20th century architecture in the former Yugoslavia.

WASHINGTON (AP) — As the rest of the world rushes to harness the power of artificial intelligence, militant groups also are experimenting with the technology, even if they aren’t sure exactly what to do with it.

For extremist organizations, AI could be a powerful tool for recruiting new members, churning out realistic deepfake images and refining their cyberattacks, national security experts and spy agencies have warned.

Someone posting on a pro-Islamic State group website last month urged other IS supporters to make AI part of their operations. “One of the best things about AI is how easy it is to use,” the user wrote in English.

“Some intelligence agencies worry that AI will contribute (to) recruiting,” the user continued. “So make their nightmares into reality.”

IS, which had seized territory in Iraq and Syria years ago but is now a decentralized alliance of militant groups that share a violent ideology, realized years ago that social media could be a potent tool for recruitment and disinformation, so it’s not surprising that the group is testing out AI, national security experts say.

For loose-knit, poorly resourced extremist groups — or even an individual bad actor with a web connection — AI can be used to pump out propaganda or deepfakes at scale, widening their reach and expanding their influence.

“For any adversary, AI really makes it much easier to do things,” said John Laliberte, a former vulnerability researcher at the National Security Agency who is now CEO of cybersecurity firm ClearVector. “With AI, even a small group that doesn’t have a lot of money is still able to make an impact.”

Militant groups began using AI as soon as programs like ChatGPT became widely accessible. In the years since, they have increasingly used generative AI programs to create realistic-looking photos and video.

When strapped to social media algorithms, this fake content can help recruit new believers, confuse or frighten enemies and spread propaganda at a scale unimaginable just a few years ago.

Such groups spread fake images two years ago of the Israel-Hamas war depicting bloodied, abandoned babies in bombed-out buildings. The images spurred outrage and polarization while obscuring the war’s actual horrors. Violent groups in the Middle East used the photos to recruit new members, as did antisemitic hate groups in the U.S. and elsewhere.

Something similar happened last year after an attack claimed by an IS affiliate killed nearly 140 people at a concert venue in Russia. In the days after the shooting, AI-crafted propaganda videos circulated widely on discussion boards and social media, seeking new recruits.

IS also has created deepfake audio recordings of its own leaders reciting scripture and used AI to quickly translate messages into multiple languages, according to researchers at SITE Intelligence Group, a firm that tracks extremist activities and has investigated IS’ evolving use of AI.

Such groups lag behind China, Russia or Iran and still view the more sophisticated uses of AI as “aspirational,” according to Marcus Fowler, a former CIA agent who is now CEO at Darktrace Federal, a cybersecurity firm that works with the federal government.

But the risks are too high to ignore and are likely to grow as the use of cheap, powerful AI expands, he said.

Hackers are already using synthetic audio and video for phishing campaigns, in which they try to impersonate a senior business or government leader to gain access to sensitive networks. They also can use AI to write malicious code or automate some aspects of cyberattacks.

More concerning is the possibility that militant groups may try to use AI to help produce biological or chemical weapons, making up for a lack of technical expertise. That risk was included in the Department of Homeland Security’s updated Homeland Threat Assessment, released earlier this year.

“ISIS got on Twitter early and found ways to use social media to their advantage,” Fowler said. “They are always looking for the next thing to add to their arsenal.”

Lawmakers have floated several proposals, saying there’s an urgent need to act.

Sen. Mark Warner of Virginia, the top Democrat on the Senate Intelligence Committee, said, for instance, that the U.S. must make it easier for AI developers to share information about how their products are being used by bad actors, whether they are extremists, criminal hackers or foreign spies.

“It has been obvious since late 2022, with the public release of ChatGPT, that the same fascination and experimentation with generative AI the public has had would also apply to a range of malign actors,” Warner said.

During a recent hearing on extremist threats, House lawmakers learned that IS and al-Qaida have held training workshops to help supporters learn to use AI.

Legislation that passed the U.S. House last month would require homeland security officials to assess the AI risks posed by such groups each year.

Guarding against the malicious use of AI is no different from preparing for more conventional attacks, said Rep. August Pfluger, R-Texas, the bill’s sponsor.

“Our policies and capabilities must keep pace with the threats of tomorrow,” he said.

President Donald Trump signed an executive order Thursday aimed at blocking states from crafting their own regulations for artificial intelligence, saying the burgeoning industry is at risk of being stifled by a patchwork of onerous rules while in a battle with Chinese competitors for supremacy.

Members of Congress from both parties, as well as civil liberties and consumer rights groups, have pushed for more regulations on AI, saying there is not enough oversight for the powerful technology.

But Trump told reporters in the Oval Office that “there’s only going to be one winner” as nations race to dominate artificial intelligence, and China’s central government gives its companies a single place to go for government approvals.

“We have the big investment coming, but if they had to get 50 different approvals from 50 different states, you can forget it because it’s impossible to do,” Trump said.

The executive order directs the Attorney General to create a new task force to challenge state laws, and directs the Commerce Department to draw up a list of problematic regulations.

It also threatens to restrict funding from a broadband deployment program and other grant programs to states with AI laws.

David Sacks, a venture capitalist with extensive AI investments who is leading Trump’s policies on cryptocurrency and artificial intelligence, said the Trump administration would only push back on “the most onerous examples of state regulation” but would not oppose “kid safety” measures.

Four states — Colorado, California, Utah and Texas — have passed laws that set some rules for AI across the private sector, according to the International Association of Privacy Professionals.

Those laws include limiting the collection of certain personal information and requiring more transparency from companies.

The laws are in response to AI that already pervades everyday life. The technology helps make consequential decisions for Americans, including who gets a job interview, an apartment lease, a home loan and even certain medical care. But research has shown that it can make mistakes in those decisions, including by prioritizing a particular gender or race.

States’ more ambitious AI regulation proposals require private companies to provide transparency and assess the possible risks of discrimination from their AI programs.

Beyond those more sweeping rules, many states have regulated parts of AI: barring the use of deepfakes in elections and to create nonconsensual porn, for example, or putting rules in place around the government’s own use of AI.