Google has introduced new versions of its Gemini AI models, including the budget-friendly “Flash-Lite,” to compete with lower-cost rivals such as China‘s DeepSeek. The updates include the public release of Gemini 2.0 Flash and the testing of a new ‘Pro’ model. Flash-Lite was developed following positive feedback on the previous Flash 1.5 version, with the goal of making AI more affordable.
Investor scrutiny has increased over the rising costs of AI model development. DeepSeek recently claimed to have spent under $6 million on training a model, significantly less than what US AI firms are believed to invest. The emergence of cheaper alternatives has influenced discussions at Alphabet, Microsoft, and Meta, with all three companies reaffirming their commitment to high AI investment.
Alphabet’s stock declined on Tuesday amid concerns over a planned increase in capital expenditure, which exceeded Wall Street expectations by 29%. Google’s pricing strategy for Gemini Flash-Lite sets its cost at $0.019 per million tokens, placing it between OpenAI’s cost-efficient model at $0.075 and DeepSeek’s current rate of $0.014, which is set to increase soon.
SKY Perfect JSAT plans to invest approximately $230 million in a new satellite constellation. The project will utilise Pelican satellites from US-based Planet Labs and will be managed through the company’s American subsidiary.
The investment marks JSAT’s entry into the Earth observation satellite business, expanding its operations beyond broadcasting and communications. The new satellite network aims to enhance data collection and imaging capabilities from low-Earth orbit.
Following the announcement, JSAT shares surged by as much as 9%. The company remains the largest operator of broadcast and communication satellites in Japan and Asia.
OpenAI CEO Sam Altman met with India’s IT Minister Ashwini Vaishnaw on Wednesday to discuss India’s vision of developing a low-cost AI ecosystem. Vaishnaw shared on X that the meeting centred on India’s strategy to build a comprehensive AI stack, including GPUs, models, and applications. He noted that OpenAI expressed interest in collaborating on all three aspects.
Altman’s visit to India, his first since 2023, comes amid ongoing legal challenges the company faces in the country, which is its second-largest market by user numbers. Vaishnaw recently praised Chinese startup DeepSeek for its affordable AI assistant, drawing parallels between DeepSeek’s cost-effective approach and India’s goal of creating a budget-friendly AI model. Vaishnaw highlighted India’s ability to achieve major technological feats at a fraction of the cost, as demonstrated by its moon mission.
Altman’s trip also included stops in Japan and South Korea, where he secured deals with SoftBank and Kakao. In Seoul, he discussed the Stargate AI data centre project with SoftBank and Samsung, a venture backed by US President Donald Trump.
At the annual Almaty Digital Forum, experts highlighted the growing importance of preparing for the AI revolution sparked by the sudden rise of the Chinese AI company DeepSeek. The company’s appearance at the forum raised questions about the future of AI and humanity, particularly due to the affordability of DeepSeek’s AI models, which cost just $6 million to develop, compared to the $40-100 million investments from other global players. This has made AI solutions more accessible to smaller developers and countries.
During the forum, Kaan Teryioglu, CEO of VEON Group, emphasised that AI’s potential lies in enhancing human capabilities across various sectors. Experts agreed that AI will no longer be dominated by tech giants, with smaller developers now able to harness its power. However, concerns were raised about the risk of cultural homogenisation if AI technologies are not adapted to local languages and values.
The forum also showcased Central Asia’s ambition to keep up with global AI developments, with high-level representatives from several countries, including Kazakhstan, Armenia, and Uzbekistan, in attendance. Kazakhstan, in particular, is planning to train a million AI professionals by 2030, with the goal of boosting AI exports to $5 billion by 2029. The government is also launching Alem.ai, a hub for AI research, start-ups, and international collaboration, expected to play a key role in the country’s AI future.
Kazakhstan’s ambitious plans have attracted the attention of global tech giants, who are already in discussions about establishing offices at Alem.ai. With a focus on developing local talent and fostering innovation, Kazakhstan aims to position itself as Central Asia’s intellectual capital and a key player in the global AI landscape. The forum’s success, with over 220 tech companies and 80 local start-ups participating, signals that the country’s plans may not be overly ambitious after all.
Snap has introduced an AI-powered text-to-image model designed to run efficiently on mobile devices, generating high-resolution images in just 1.4 seconds on an iPhone 16 Pro Max. Unlike cloud-based systems, this model operates entirely on the device, reducing costs while maintaining impressive visual quality. The company plans to integrate it into Snapchat’s AI Snaps and Bitmoji features in the coming months.
By developing its own AI model, Snap aims to provide users with more advanced creative tools while lowering operational expenses. The move aligns with a broader trend among tech companies investing heavily in AI to enhance their platforms. Previously, Snap relied on external providers like OpenAI and Google, but its in-house model gives it more control over future innovations.
Snapchat’s AI investment highlights the growing competition in mobile AI technology, with major players racing to deliver faster and more efficient features. As the company prepares to roll out these new capabilities, it remains to be seen how they will shape user experiences and engagement on the platform.
India‘s finance ministry has issued an advisory urging employees to refrain from using AI tools like ChatGPT and DeepSeek for official tasks, citing concerns over the potential risks to the confidentiality of government data. The directive, dated January 29, highlights the dangers of AI apps on office devices, warning that they could jeopardise the security of sensitive documents and information.
This move comes amid similar actions taken by other countries such as Australia and Italy, which have restricted the use of DeepSeek due to data security concerns. The advisory surfaced just ahead of OpenAI CEO Sam Altman’s visit to India, where he is scheduled to meet with the IT minister.
Representatives from India’s finance ministry, OpenAI, and DeepSeek have yet to comment on the matter. It remains unclear whether other Indian ministries have implemented similar measures.
Belgium‘s new government, led by Prime Minister Bart De Wever, has announced plans to utilise AI tools in law enforcement, including facial recognition technology for detecting criminals. The initiative will be overseen by Vanessa Matz, the country’s first federal minister for digitalisation, AI, and privacy. The AI policy is set to comply with the EU’s AI Act, which bans high-risk systems like facial recognition but allows exceptions for law enforcement under strict regulations.
Alongside AI applications, the Belgian government also aims to combat disinformation by promoting transparency in online platforms and increasing collaboration with tech companies and media. The government’s approach to digitalisation also includes a long-term strategy to improve telecom infrastructure, focusing on providing ultra-fast internet access to all companies by 2030 and preparing for potential 6G rollouts.
The government has outlined a significant digital strategy that seeks to balance technological advancements with strong privacy and legal protections. As part of this, they are working on expanding camera legislation for smarter surveillance applications. These moves are part of broader efforts to strengthen the country’s digital capabilities in the coming years.
The new OpenBusiness information system launched on Monday, replacing the previous NotifyBusiness system, which is now accessible only in a read-only format. The Greek Ministry of Development highlighted that OpenBusiness streamlines business procedures, significantly cutting costs, installation time, and startup delays for both private and public sector enterprises.
Minister Takis Theodorikakos praised the system, stating that it simplifies processes, reduces costs and time for starting economic activities, and enhances public administration efficiency.
OpenBusiness supports the licensing of 57 key economic activities and covers around 2,500 codes, offering businesses a more modern and accessible platform for their operations. It is designed to reduce bureaucracy, improve transparency, and foster a better business environment.
US telecom giant AT&T and Finnish network equipment maker Nokia have signed a multi-year agreement to upgrade AT&T’s voice services and 5G network automation. This deal comes after Nokia lost a significant contract to Swedish rival Ericsson in 2023, which led to Ericsson securing a $14 billion deal to build a network for AT&T covering 70% of its US wireless traffic by 2026. Nokia, however, remains involved with AT&T through a smaller agreement for fibre network development and a new contract focused on cloud-based voice applications and network automation.
The deal will enhance AT&T’s core network, enabling new voice services, including the integration of AI and machine learning. Although the financial details of the agreement were not disclosed, Nokia’s involvement is seen as crucial in bolstering its long-standing relationship with AT&T. Nokia’s president of Cloud and Network Services, Raghav Sahgal, emphasised that this agreement will allow for the deployment of new 5G functionalities.
Nokia recently reported stronger-than-expected earnings, driven by higher demand for telecoms equipment, particularly in North America and India. The company remains optimistic about its prospects in 2025, especially with plans to capitalise on the AI boom. Last year, Nokia also agreed to acquire Infinera for $2.3 billion to strengthen its position in the growing data centre and AI markets.
Swedish authorities have ruled out sabotage in the recent Baltic Sea fibre optic cable break, attributing the damage to adverse weather, faulty equipment, and poor seamanship.
Senior prosecutor Mats Ljungqvist of Sweden’s National Security Unit stated Monday that the vessel responsible for the 26 January incident, which severed an undersea cable between Latvia and Sweden, did not act with malicious intent.
Swedish officials, including the coast guard, police, and military, participated in the probe. While the vessel had been seized during the investigation, authorities have now lifted that restriction.
