Capacity development

UK to benefit from Google’s £5 billion AI plan

Google has unveiled plans to invest £5 billion (around $6.8 billion) in the UK’s AI economy over the next two years.

An announcement comes just hours before US President Donald Trump’s official visit to the country, during which economic agreements worth more than $10 billion are expected.

The investment will include establishing a new AI data centre in Waltham Cross, Hertfordshire, designed to meet growing demand for services like Google Cloud.

Alongside the facility, funds will be channelled into research and development, capital expenditure, engineering, and DeepMind’s work applying AI to science and healthcare. The project is expected to generate 8,250 annual jobs for British companies.

Google also revealed a partnership with Shell to support grid stability and contribute to the UK’s energy transition. The move highlights the economic and environmental stakes tied to AI expansion, as the UK positions itself as a hub for advanced digital technologies.

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Alphabet hits US$3 trillion valuation on AI optimism

Google’s parent company, Alphabet, has become the fourth company to reach a market value above US$3 trillion, fuelled by investor confidence in AI and relief over a favourable antitrust ruling.

Its shares jumped 4.3 percent to close at US$251.76 on 15 September, lifting the firm’s valuation to US$3.05 trillion.

The rally has added about US$1.2 trillion in value since April, with Alphabet joining Apple and Microsoft in the elite group while Nvidia remains the most valuable at US$4.25 trillion.

Investor optimism has been strengthened by expectations of a US Federal Reserve rate cut and surging demand for AI-related products.

Alphabet’s communications services unit has risen more than 26 percent in 2025, outpacing all other major sectors. Strong growth in its cloud division, new AI investments, and the Gemini model have reinforced the company’s momentum.

Analysts note that, while search continues to dominate revenues, Alphabet is increasingly viewed as a diversified technology powerhouse with YouTube, Waymo, and AI research at its core.

By avoiding a forced breakup of Chrome and Android, the antitrust ruling also removed a significant threat to its business model.

Market strategists suggest Alphabet now combines the strength of its legacy platforms with the credibility of emerging technologies, securing its place at the centre of Wall Street’s AI-driven rally.

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Google lays off over 200 AI contractors amid union tensions

The US tech giant, Google, has dismissed over 200 contractors working on its Gemini chatbot and AI Overviews tool. However, this sparks criticism from labour advocates and claims of retaliation against workers pushing for unionisation.

Many affected staff were highly trained ‘super raters’ who helped refine Google’s AI systems, yet were abruptly laid off.

The move highlights growing concerns over job insecurity in the AI sector, where companies depend heavily on outsourced and low-paid contract workers instead of permanent employees.

Workers allege they were penalised for raising issues about inadequate pay, poor working conditions, and the risks of training AI that could eventually replace them.

Google has attempted to distance itself from the controversy, arguing that subcontractor GlobalLogic handled the layoffs rather than the company itself.

Yet critics say that outsourcing allows the tech giant to expand its AI operations without accountability, while undermining collective bargaining efforts.

Labour experts warn that the cuts reflect a broader industry trend in which AI development rests on precarious work arrangements. With union-busting claims intensifying, the dismissals are now seen as part of a deeper struggle over workers’ rights in the digital economy.

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PDGrapher AI tool aims to speed up precision medicine development

Harvard Medical School researchers have developed an AI tool that could transform drug discovery by identifying multiple drivers of disease and suggesting treatments to restore cells to a healthy state.

The model, called PDGrapher, utilises graph neural networks to map the relationships between genes, proteins, and cellular pathways, thereby predicting the most effective targets for reversing disease. Unlike traditional approaches that focus on a single protein, it considers multiple factors at once.

Trained on datasets of diseased cells before and after treatment, PDGrapher correctly predicted known drug targets and identified new candidates supported by emerging research. The model ranked potential targets up to 35% higher and worked 25 times faster than comparable tools.

Researchers are now applying PDGrapher to complex diseases such as Parkinson’s, Alzheimer’s, and various cancers, where single-target therapies often fail. By identifying combinations of targets, the tool can help overcome drug resistance and expedite treatment design.

Senior author Marinka Zitnik said the ultimate goal is to create a cellular ‘roadmap’ to guide therapy development and enable personalised treatments for patients. After further validation, PDGrapher could become a cornerstone in precision medicine.

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UNDP publishes digital participation guide to empower civic action

A newly published guide by People Powered and UNDP aims to connect people in their communities through inclusive, locally relevant digital participation platforms. Designed with local governments, civic groups, and organisations in mind, it highlights digital platforms that enable inclusive, action-oriented civic engagement.

According to the UNDP, ‘the guide covers the latest trends, including the integration of AI features, and addresses challenges such as digital inclusion, data privacy, accessibility, and sustainability.’

The guide focuses on actively maintained, publicly available platforms, typically offered through cloud-based software (SaaS) models, and prioritises flexible, multi-purpose tools over single-use options. While recognising the dominance of platforms from wealthier countries, it makes a deliberate effort to feature case studies and tools from the Global Majority.

Political advocacy platforms, internal government tools, and issue-reporting apps are excluded to keep the focus on technologies that drive meaningful public participation. Lastly, the guide emphasises the importance of local context and community empowerment, encouraging a shift from passive input to meaningful public influence in governance.

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Quantum breakthroughs could threaten Bitcoin in the 2030s

The rise of quantum computing is sparking fresh concerns over the long-term security of Bitcoin. Unlike classical systems, quantum machines could eventually break the cryptography protecting digital assets.

Experts warn that Shor’s algorithm, once run on a sufficiently powerful quantum computer, could recover private keys from public ones in hours, leaving exposed funds vulnerable. Analysts see the mid-to-late 2030s as the key period for cryptographically relevant breakthroughs.

ChatGPT-5’s probability model indicates less than a 5% chance of Bitcoin being cracked before 2030, but risk rises to 45–60% between 2035 and 2039, and nearly certainty by 2050. Sudden progress in large-scale, fault-tolerant qubits or government directives could accelerate the timeline.

Mitigation strategies include avoiding key reuse, auditing exposed addresses, and gradually shifting to post-quantum or hybrid cryptographic solutions. Experts suggest that critical migrations should be completed by the mid-2030s to secure the Bitcoin network against future quantum threats.

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Privacy-preserving AI gets a boost with Google’s VaultGemma model

Google has unveiled VaultGemma, a new large language model built to offer cutting-edge privacy through differential privacy. The 1-billion-parameter model is based on Google’s Gemma architecture and is described as the most powerful differentially private LLM to date.

Differential privacy adds mathematical noise to data, preventing the identification of individuals while still producing accurate overall results. The method has long been used in regulated industries, but has been challenging to apply to large language models without compromising performance.

VaultGemma is designed to eliminate that trade-off. Google states that the model can be trained and deployed with differential privacy enabled, while maintaining comparable stability and efficiency to non-private LLMs.

This breakthrough could have significant implications for developers building privacy-sensitive AI systems, ranging from healthcare and finance to government services. It demonstrates that sensitive data can be protected without sacrificing speed or accuracy.

Google’s research teams say the model will be released with open-source tools to help others adopt privacy-preserving techniques. The move comes amid rising regulatory and public scrutiny over how AI systems handle personal data.

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EdChat AI app set for South Australian schools amid calls for careful use

South Australian public schools will soon gain access to EdChat, a ChatGPT-style app developed by Microsoft in partnership with the state government. Education Minister Blair Boyer said the tool will roll out next term across public high schools following a successful trial.

Safeguards have been built into EdChat to protect student data and alert moderators if students type concerning prompts, such as those related to self-harm or other sensitive topics. Boyer said student mental health was a priority during the design phase.

Teachers report that students use EdChat to clarify instructions, get maths solutions explained, and quiz themselves on exam topics. Adelaide Botanic High School principal Sarah Chambers described it as an ‘education equaliser’ that provides students with access to support throughout the day.

While many educators in Australia welcome the rollout, experts warn against overreliance on AI tools. Toby Walsh of UNSW said students must still learn how to write essays and think critically, while others noted that AI could actually encourage deeper questioning and analysis.

RMIT computing expert Michael Cowling said generative AI can strengthen critical thinking when used for brainstorming and refining ideas. He emphasised that students must learn to critically evaluate AI output and utilise the technology as a tool, rather than a substitute for learning.

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Industry leaders urge careful AI use in research projects

The 2026 Adwanted Media Research Awards will feature a new category for Best Use of AI in Research Projects, reflecting the growing importance of this technology in the industry.

Head judge Denise Turner of IPA said AI should be viewed as a tool to expedite workflows, not replace human insight, emphasising that researchers remain essential to interpreting results and posing the right questions.

Route CEO Euan Mackay said AI enables digital twins, synthetic data, and clean-room integrations, shifting researchers’ roles from survey design to auditing and ensuring data integrity in an AI-driven environment.

OMD’s Laura Rowe highlighted AI’s ability to rapidly process raw data, transcribe qualitative research, and extend insights across strategy and planning — provided ethical oversight remains in place.

ITV’s Neil Mortensen called this the start of a ‘gold rush’, urging the industry to use AI to automate tedious tasks while preserving rigorous methods and enabling more time for deep analysis.

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Rising data centre demand pushes utilities to invest

US electricity prices are rising as the energy demands of data centres surge, driven by the rapid growth of AI technologies. The average retail price per kilowatt-hour increased by 6.5% between May 2024 and May 2025, with some states experiencing significantly sharper increases.

Maine saw the sharpest rise in electricity prices at 36.3%, with Connecticut and Utah following closely behind. Utilities are passing on infrastructure costs, including new transmission lines, to consumers. In Northern Virginia, residents could face monthly bill increases of up to $37 by 2040.

Analysts warn that the shift to generative AI will lead to a 160% surge in energy use at data centres by 2030. Water use is also rising sharply, as Google reported its facilities consumed around 6 billion gallons in 2024 alone, amid intensifying global AI competition.

Tech giants are turning to alternative energy to keep pace. Google has announced plans to power data centres with small nuclear reactors through a partnership with Kairos Power, while Microsoft and Amazon are ramping up nuclear investments to secure long-term supply.

President Donald Trump has pledged more than $92 billion in AI and energy infrastructure investments, underlining Washington’s push to ensure the US remains competitive in the AI race despite mounting strain on the grid and water resources.

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