Capacity development

Digital twins gain momentum through AI

AI is accelerating the creation of digital twins by reducing the time and labour required to build complex models. Consulting firm McKinsey says specialised virtual replicas can take six months or more to develop, but generative AI tools can now automate much of the coding process.

McKinsey analysts say AI can structure inputs and synthesise outputs for these simulations, while the models provide safe testing environments for AI systems. Together, the technologies can reduce costs, shorten development cycles, and accelerate deployment.

Quantum Elements, a startup backed by QNDL Participations and the USC Viterbi School of Engineering, is applying this approach to quantum computing. Its Constellation platform combines AI agents, natural language tools, and simulation software.

The company says quantum systems are hard to model because qubits behave differently across hardware types such as superconducting circuits, trapped ions, and photonics. These variations affect stability, error rates, and performance.

By using digital twins, developers can test algorithms, simulate noise, and evaluate error correction without building physical hardware. Quantum Elements says this can cut testing time from months to minutes.

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Taiwan aims to train 500,000 AI professionals

Taiwan aims to train 500,000 AI professionals by 2040, backed by a NT$100 billion (US$31.6 billion) government venture fund. President Lai Ching-te announced the 2026 AI talent forum in Taipei.

The government’s 10-year AI plan includes a national computing centre and the development of technologies such as silicon photonics, quantum computing, and robotics. President Lai said that national competitiveness depends on both chipmaking and citizens’ ability to utilise AI across various disciplines.

To achieve these goals, AI training courses are being introduced for public sector employees, and students are being encouraged to acquire AI skills. The initiative aims to foster cooperation between government, industry, and academia to drive economic transformation.

With a larger pool of AI professionals, Taiwan hopes to help small and medium-sized enterprises accelerate digital upgrades, enhance innovation, and strengthen the nation’s global competitiveness in emerging technologies.

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Tuya unveils AI-powered pet companion Aura

Tuya Smart has unveiled Aura, its first AI-powered pet companion robot, at CES 2026. Designed to support pets’ emotional well-being, Aura monitors behaviour and vocal cues to help owners understand their pets’ moods in real time.

Aura combines interactive play, treat dispensing, voice communication, and expressive animated eyes with autonomous home navigation. It captures memorable moments with AI-powered photography and generates short videos, allowing owners to stay connected even when away.

The robot connects to Tuya’s developer ecosystem and local pet services, offering boarding, grooming, medical support, behaviour training, and community engagement. By merging companionship with practical services, Aura represents a new class of AI devices integrated into daily life.

Tuya’s launch of Aura demonstrates the company’s leadership in AI and robotics innovation. The robot sets the stage for future applications in home service robotics, emotional support, and elder or family care, highlighting a vision for AI-driven living.

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Google brings AI to personalised shopping

Google is working with major retailers to use AI in guiding customers from product discovery to checkout. The company has launched the Universal Commerce Protocol, an open standard for seamless agentic commerce that keeps retailers in control of customer relationships.

The Universal Commerce Protocol works with existing systems and partners, including Shopify, Etsy, Wayfair, Target, and Walmart.

Customers can receive personalised offers, loyalty rewards, and recommendations in Google Search or Gemini, completing purchases via Google Pay without leaving the platform.

To support retailers, Google has launched Gemini Enterprise for Customer Experience, which unifies search, commerce, and service touchpoints across all channels.

Early partners, such as The Home Depot and McDonald’s, are already utilising AI-powered agents to enhance service, provide proactive recommendations, and improve customer engagement.

Logistics also feature prominently, with Wing expanding delivery capabilities alongside Walmart, doubling operations in existing markets, and rolling out to Houston, Orlando, Tampa, Charlotte, and other cities.

Google aims to create an end-to-end shopping ecosystem where AI, agentic protocols, and seamless delivery elevate both customer and retailer experiences.

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Google removes AI health summaries after safety concerns

Google removed some AI health summaries after a Guardian investigation found they gave misleading and potentially dangerous information. The AI Overviews contained inaccurate liver test data, potentially leading patients to believe they were healthy falsely.

Experts have criticised AI Overviews for oversimplifying complex medical topics, ignoring essential factors such as age, sex, and ethnicity. Charities have warned that misleading AI content could deter people from seeking medical care and erode trust in online health information.

Google removed AI Overviews for some queries, but concerns remain over cancer and mental health summaries that may still be inaccurate or unsafe. Professionals emphasise that AI tools must direct users to reliable sources and advise seeking expert medical input.

The company stated it is reviewing flagged examples and making broad improvements, but experts insist that more comprehensive oversight is needed to prevent AI from dispensing harmful health misinformation.

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AI race shows diverging paths for China and the US

The US administration’s new AI action plan frames global development as an AI race with a single winner. Officials argue AI dominance brings economic, military, and geopolitical advantages. Experts say competition is unfolding across multiple domains.

The United States continues to lead in the development of advanced large language and multimodal models by firms such as OpenAI, Google, and Anthropic. American companies also dominate global computing infrastructure. Control over high-end AI chips and data-centre capacity remains concentrated in US firms.

Chinese companies are narrowing the gap in the practical applications of AI. Models from Alibaba, DeepSeek, and Moonshot AI perform well in tasks such as translation, coding, and customer service. Performance at the cutting edge still lags behind US systems.

Washington’s decision to allow limited exports of Nvidia’s H200 AI chips to China reflects a belief that controlled sales can preserve US leadership. Critics argue the move risks weakening America’s computing advantage. Concerns persist over long-term strategic consequences.

Rather than a decisive victory for either side in the AI race, analysts foresee an era of asymmetric competition in AI. The United States may dominate advanced AI services, but China is expected to lead in large-scale industrial deployment within the evolving AI race.

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OpenAI and SoftBank back a $1 billion AI data centre energy partnership

SoftBank Group and OpenAI announced a strategic partnership with SB Energy, involving a combined investment of $1 billion to support the development of large-scale AI data centres and energy infrastructure in the US.

The agreement forms part of the broader Stargate initiative, which aims to expand domestic AI computing capacity.

As part of the arrangement, OpenAI signed a lease for a 1.2 gigawatt data centre project in Milam County, Texas, with SB Energy selected to develop and operate the facility.

The partners stated that the project is designed to support the rising demand for AI computing while minimising water usage and enhancing local energy supply.

SB Energy also secured an additional $800 million in redeemable preferred equity from Ares, strengthening its financial position for further expansion.

The companies stated that the collaboration is expected to generate construction employment, long-term operational roles and investment in grid modernisation, while establishing a scalable model for future AI-focused data centre developments.

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Meta backs US nuclear projects for AI growth

A series of agreements has been announced by Meta to support nuclear energy projects in the US, aiming to secure up to 6.6 gigawatts of clean and reliable electricity for data centres and AI infrastructure by 2035. The company said the move supports grid stability while reinforcing domestic energy capacity.

The agreements include support for existing nuclear facilities operated by Vistra in Ohio and Pennsylvania, as well as commitments to advanced reactor developers TerraPower and Oklo.

Meta stated that the arrangements are intended to extend the operational life of current plants while accelerating the deployment of next-generation nuclear technologies.

According to Meta, the projects are expected to generate thousands of construction roles and hundreds of long-term operational jobs, while contributing to the firm’s power to regional electricity grids.

The company added that energy costs associated with its data centres are fully covered through corporate agreements, instead of being passed on to US consumers.

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Tether and UN join to boost digital security in Africa

Tether has joined the UN Office on Drugs and Crime to enhance cybersecurity and digital asset education across Africa. The collaboration aims to reduce vulnerabilities to cybercrime and safeguard communities against online scams and fraud.

Africa, emerging as the third-fastest-growing crypto region, faces increasing threats from digital asset fraud. A recent Interpol operation uncovered $260 million in illicit crypto and fiat across Africa, highlighting the urgent need for stronger digital security.

The partnership includes several key initiatives. In Senegal, youth will participate in a multi-phase cybersecurity education programme featuring boot camps, mentorship, and micro-grants to support innovative projects.

Civil society organisations across Africa will receive funding to support human trafficking victims in Nigeria, DRC, Malawi, Ethiopia, and Uganda. In Papua New Guinea, universities will host competitions to promote financial inclusion and prevent digital asset fraud using blockchain solutions.

Tether and UNODC aim to create secure digital ecosystems, boost economic opportunities, and equip communities to prevent organised crime. Coordinated action across sectors is considered vital to creating safer and more inclusive environments for vulnerable populations.

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xAI plans $20 billion data centre investment in Mississippi

The US AI company, xAI, plans to establish a large-scale data centre in Southaven, Mississippi, representing an investment of more than $20 billion. The project is expected to create several hundred permanent jobs across DeSoto County.

xAI has acquired an existing facility that will be refurbished to support data centre operations, located near additional energy and computing infrastructure already linked to xAI.

Once operational, the Southaven site in the US is expected to expand the company’s overall computing capacity significantly.

State and local authorities approved incentive measures for the project, including tax exemptions available to certified data centres.

Officials indicated that the investment is expected to contribute to local tax revenues supporting public services and infrastructure, while operations are scheduled to begin in February 2026.

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