Artificial intelligence

Legal sector urged to plan for cultural change around AI

A digital agency has released new guidance to help legal firms prepare for wider AI adoption. The report urges practitioners to assess cultural readiness before committing to major technology investment.

Sherwen Studios collected views from lawyers who raised ethical worries and practical concerns. Their experiences shaped recommendations intended to ensure AI serves real operational needs across the sector.

The agency argues that firms must invest in oversight, governance and staff capability. Leaders are encouraged to anticipate regulatory change and build multidisciplinary teams that blend legal and technical expertise.

Industry analysts expect AI to reshape client care and compliance frameworks over the coming years. Firms prepared for structural shifts are likely to benefit most from long-term transformation.

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FCA begins live AI testing with UK financial firms

The UK’s Financial Conduct Authority has started a live testing programme for AI with major financial firms. The initiative aims to explore AI’s benefits and risks in retail financial services while ensuring safe and responsible deployment.

Participating firms, including NatWest, Monzo, Santander and Scottish Widows, receive guidance from FCA regulators and technical partner Advai. Use cases being trialled range from debt resolution and financial advice to customer engagement and smarter spending tools.

Insights from the testing will help the FCA shape future regulations and governance frameworks for AI in financial markets. The programme complements the regulator’s Supercharged Sandbox, with a second cohort of firms due to begin testing in April 2026.

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Sega cautiously adopts AI in game development

Game development is poised to transform as Sega begins to incorporate AI selectively. The Japanese studio aims to enhance efficiency across production processes while preserving the integrity of creative work, such as character design.

Executives emphasised that AI will primarily support tasks such as content transcription and workflow optimisation, avoiding roles that require artistic skills. Careful evaluation of each potential use case will guide its implementation across projects.

The debate over generative AI continues to divide the gaming industry, with some developers raising concerns that candidates may misrepresent AI-generated work during the hiring process. Studios are increasingly requiring proof of actual creative ability to avoid productivity issues.

Other developers, including Arrowhead Game Studios, emphasise the importance of striking a balance between AI use and human creativity. By reducing repetitive tasks rather than replacing artistic roles, studios aim to enhance efficiency while preserving the unique contributions of human designers.

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AstraZeneca backs Pangaea’s AI platform to scale precision healthcare

Pangaea Data, a health-tech firm specialising in patient-intelligence platforms, announced a strategic, multi-year partnership with AstraZeneca to deploy multimodal artificial intelligence in clinical settings. The goal is to bring AI-driven, data-rich clinical decision-making to scale, improving how patients are identified, diagnosed, treated and connected to therapies or clinical trials.

The collaboration will see AstraZeneca sponsoring the configuration, validation and deployment of Pangaea’s enterprise-grade platform, which merges large-scale clinical, imaging, genomic, pathology and real-world data. It will also leverage generative and predictive AI capabilities from Microsoft and NVIDIA for model training and deployment.

Among the planned applications are supporting point-of-care treatment decisions and identifying patients who are undiagnosed, undertreated or misdiagnosed, across diseases ranging from chronic conditions to cancer.

Pangaea’s CEO said the partnership aims to efficiently connect patients to life-changing therapies and trials in a compliant, financially sustainable way. For AstraZeneca, the effort reflects a broader push to integrate AI-driven precision medicine across its R&D and healthcare delivery pipeline.

From a policy and health-governance standpoint, this alliance is important. It demonstrates how multimodal AI, combining different data types beyond standard medical records, is being viewed not just as a research tool, but as a potentially transformative element of clinical care.

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EU opens antitrust probe into Meta’s WhatsApp AI rollout

Brussels has opened an antitrust inquiry into Meta over how AI features were added to WhatsApp, focusing on whether the updated access policies hinder market competition. Regulators say scrutiny is needed as integrated assistants become central to messaging platforms.

Meta AI has been built into WhatsApp across Europe since early 2025, prompting questions about whether external AI providers face unfair barriers. Meta rejects the accusations and argues that users can reach rival tools through other digital channels.

Italy launched a related proceeding in July and expanded it in November, examining claims that Meta curtailed access for competing chatbots. Authorities worry that dominance in messaging could influence the wider AI services market.

EU officials confirmed the case will proceed under standard antitrust rules rather than the Digital Markets Act. Investigators aim to understand how embedded assistants reshape competitive dynamics in services used by millions.

European regulators say outcomes could guide future oversight as generative AI becomes woven into essential communications. The case signals growing concern about concentrated power in fast-evolving AI ecosystems.

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Uzbekistan sets principles for responsible AI

A new ethical framework for the development and use of AI technologies has been adopted by Uzbekistan.

The rules, prepared by the Ministry of Digital Technologies, establish unified standards for developers, implementing organisations and users of AI systems, ensuring AI respects human rights, privacy and societal trust.

A framework that is part of presidential decrees and resolutions aimed at advancing AI innovation across the country. It also emphasises legality, transparency, fairness, accountability, and continuous human oversight.

AI systems must avoid discrimination based on gender, nationality, religion, language or social origin.

Developers are required to ensure algorithmic clarity, assess risks and bias in advance, and prevent AI from causing harm to individuals, society, the state or the environment.

Users of AI systems must comply with legislation, safeguard personal data, and operate technologies responsibly. Any harm caused during AI development or deployment carries legal liability.

The Ministry of Digital Technologies will oversee standards, address ethical concerns, foster industry cooperation, and improve digital literacy across Uzbekistan.

An initiative that aligns with broader efforts to prepare Uzbekistan for AI adoption in healthcare, education, transport, space, and other sectors.

By establishing clear ethical principles, the country aims to strengthen trust in AI applications and ensure responsible and secure use nationwide.

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UNESCO launches AI guidelines for courts and tribunals

UNESCO has launched new Guidelines for the Use of AI Systems in Courts and Tribunals to ensure AI strengthens rather than undermines human-led justice. The initiative arrives as courts worldwide face millions of pending cases and limited resources.

In Argentina, AI-assisted legal tools have increased case processing by nearly 300%, while automated transcription in Egypt is improving court efficiency.

Judicial systems are increasingly encountering AI-generated evidence, AI-assisted sentencing, and automated administrative processes. AI misuse can have serious consequences, as seen in the UK High Court where false AI-generated arguments caused delays, extra costs, and fines.

UNESCO’s Guidelines aim to prevent such risks by emphasising human oversight, auditability, and ethical AI use.

The Guidelines outline 15 principles and provide recommendations for judicial organisations and individual judges throughout the AI lifecycle. They also serve as a benchmark for developing national and regional standards.

UNESCO’s Judges’ Initiative, which has trained over 36,000 judicial operators in 160 countries, played a key role in shaping and peer-reviewing the Guidelines.

The official launch will take place at the Athens Roundtable on AI and the Rule of Law in London on 4 December 2025. UNESCO aims for the standards to ensure responsible AI use, improve court efficiency, and uphold public trust in the judiciary.

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FCA launches AI Live Testing for UK financial firms

The UK’s Financial Conduct Authority has launched an AI Live Testing initiative to help firms safely deploy AI in financial markets. Major companies, including NatWest, Monzo, Santander, Scottish Widows, Gain Credit, Homeprotect, and Snorkl, are participating in the first cohort.

Firms receive tailored guidance from the FCA and its technical partner, Advai, to develop and assess AI applications responsibly.

AI testing focuses on retail financial services, exploring uses such as debt resolution, financial advice, improving customer engagement, streamlining complaints handling, and supporting smarter spending and saving decisions.

The project aims to answer key questions around evaluation frameworks, governance, live monitoring, and risk management to protect both consumers and markets.

Jessica Rusu, FCA chief data officer, said the initiative helps firms use AI safely while guiding the FCA on its impact in UK financial services. The project complements the FCA’s Supercharged Sandbox, which supports firms in earlier experimentation phases.

Applications for the second AI Live Testing cohort open in January 2026, with participating firms able to start testing in April. Insights from the initiative will inform FCA AI policy, supporting innovation while ensuring responsible deployment.

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AI model boosts accuracy in ranking harmful genetic variants

Researchers have unveiled a new AI model that ranks genetic variants based on their severity. The approach combines deep evolutionary signals with population data to highlight clinically relevant mutations.

The popEVE system integrates protein-scale models with constraints drawn from major genomic databases. Its combined scoring separates harmful missense variants more accurately than leading diagnostic tools.

Clinical tests showed strong performance in developmental disorder cohorts, where damaging mutations clustered clearly. The model also pinpointed likely causal variants in unsolved cases without parental genomes.

Researchers identified hundreds of credible candidate genes with structural and functional support. Findings suggest that AI could accelerate rare disease diagnoses and inform precision counselling worldwide.

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Meta expands global push against online scam networks

The US tech giant, Meta, outlined an expanded strategy to limit online fraud by combining technical defences with stronger collaboration across industry and law enforcement.

The company described scams as a threat to user safety and as a direct risk to the credibility of its advertising ecosystem, which remains central to its business model.

Executives emphasised that large criminal networks continue to evolve and that a faster, coordinated response is essential instead of fragmented efforts.

Meta presented recent progress, noting that more than 134 million scam advertisements were removed in 2025 and that reports about misleading advertising fell significantly in the last fifteen months.

It also provided details about disrupted criminal networks that operated across Facebook, Instagram and WhatsApp.

Facial recognition tools played a crucial role in detecting scam content that utilised images of public figures, resulting in an increased volume of removals during testing, rather than allowing wider circulation.

Cooperation with law enforcement remains central to Meta’s approach. The company supported investigations that targeted criminal centres in Myanmar and illegal online gambling operations connected to transfers through anonymous accounts.

Information shared with financial institutions and partners in the Global Signal Exchange contributed to the removal of thousands of accounts. At the same time, legal action continued against those who used impersonation or bulk messaging to deceive users.

Meta stated that it backs bipartisan legislation designed to support a national response to online fraud. The company argued that new laws are necessary to weaken transnational groups behind large-scale scam operations and to protect users more effectively.

A broader aim is to strengthen trust across Meta’s services, rather than allowing criminal activity to undermine user confidence and advertiser investment.

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