Cloud computing

USB inventor and Phison CEO warns of an AI storage crunch

Datuk Pua Khein-Seng, inventor of the single-chip USB flash drive and CEO of Phison, warns that AI machines will generate 1,000 times more data than humans. He says the real bottleneck isn’t GPUs but memory, foreshadowing a global storage crunch as AI scales.

Speaking at GITEX Global, Pua outlined Phison’s focus on NAND controllers and systems that can expand effective memory. Adaptive tiering across DRAM and flash, he argues, will ease constraints and cut costs, making AI deployments more attainable beyond elite data centres.

Flash becomes the expansion valve: DRAM stays scarce and expensive, while high-end GPUs are over-credited for AI cost overruns. By intelligently offloading and caching to NAND, cheaper accelerators can still drive useful workloads, widening access to AI capacity.

Cloud centralisation intensifies the risk. With the US and China dominating the AI cloud market, many countries lack the capital and talent to build sovereign stacks. Pua calls for ‘AI blue-collar’ skills to localise open source and tailor systems to real-world applications.

Storage leadership is consolidating in the US, Japan, Korea, and China, with Taiwan rising as a fifth pillar. Hardware strength alone won’t suffice, Pua says; Taiwan must close the AI software gap to capture more value in the data era.

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ChatGPT to exit WhatsApp after Meta policy change

OpenAI says ChatGPT will leave WhatsApp on 15 January 2026 after Meta’s new rules banning general-purpose AI chatbots on the platform. ChatGPT will remain available on iOS, Android, and the web, the company said.

Users are urged to link their WhatsApp number to a ChatGPT account to preserve history, as WhatsApp doesn’t support chat exports. OpenAI will also let users unlink their phone numbers after linking.

Until now, users could message ChatGPT on WhatsApp to ask questions, search the web, generate images, or talk to the assistant. Similar third-party bots offered comparable features.

Meta quietly updated WhatsApp’s business API to prohibit AI providers from accessing or using it, directly or indirectly. The change effectively forces ChatGPT, Perplexity, Luzia, Poke, and others to shut down their WhatsApp bots.

The move highlights platform risk for AI assistants and shifts demand toward native apps and web. Businesses relying on WhatsApp AI automations will need alternatives that comply with Meta’s policies.

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AWS outage turned a mundane DNS slip into global chaos

Cloudflare’s boss summed up the mood after Monday’s chaos, relieved his firm wasn’t to blame as outages rippled across more than 1,000 companies. Snapchat, Reddit, Roblox, Fortnite, banks, and government portals faltered together, exposing how much of the web leans on Amazon Web Services.

AWS is the backbone for a vast slice of the internet, renting compute, storage, and databases so firms avoid running their own stacks. However, a mundane Domain Name System error in its Northern Virginia region scrambled routing, leaving services online yet unreachable as traffic lost its map.

Engineers call it a classic failure mode: ‘It’s always DNS.’ Misconfigurations, maintenance slips, or server faults can cascade quickly across shared platforms. AWS says teams moved to mitigate, but the episode showed how a small mistake at scale becomes a global headache in minutes.

Experts warned of concentration risk: when one hyperscaler stumbles, many fall. Yet few true alternatives exist at AWS’s scale beyond Microsoft Azure and Google Cloud, with smaller rivals from IBM to Alibaba, and fledgling European plays, far behind.

Calls for UK–EU cloud sovereignty are growing, but timelines and costs are steep. Monday’s outage is a reminder that resilience needs multi-region and multi-cloud designs, tested failovers, and clear incident comms, not just faith in a single provider.

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Startup raises $9m to orchestrate Gulf digital infrastructure

Bilal Abu-Ghazaleh has launched 1001 AI, a London–Dubai startup building an AI-native operating system for critical MENA industries. The two-month-old firm raised $9m seed from CIV, General Catalyst and Lux Capital, with angels including Chris Ré, Amjad Masad and Amira Sajwani.

Target sectors include airports, ports, construction, and oil and gas, where 1001 AI sees billions in avoidable inefficiencies. Its engine ingests live operational data, models workflows and issues real-time directives, rerouting vehicles, reassigning crews and adjusting plans autonomously.

Abu-Ghazaleh brings scale-up experience from Hive AI and Scale AI, where he led GenAI operations and contributor networks. 1001 borrows a consulting-style rollout: embed with clients, co-develop the model, then standardise reusable patterns across similar operational flows.

Investors argue the Gulf is an ideal test bed given sovereign-backed AI ambitions and under-digitised, mission-critical infrastructure. Deena Shakir of Lux says the region is ripe for AI that optimises physical operations at scale, from flight turnarounds to cargo moves.

First deployments are slated for construction by year-end, with aviation and logistics to follow. The funding supports early pilots and hiring across engineering, operations and go-to-market, as 1001 aims to become the Gulf’s orchestration layer before expanding globally.

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AWS outage shows the cost of cloud concentration

A single fault can bring down the modern web. During the outage on Monday, 20 October 2025, millions woke to broken apps, games, banking, and tools after database errors at Amazon Web Services rippled outward. When a shared backbone stumbles, the blast radius engulfs everything from chat to commerce.

The outage underscored cloud concentration risk. Roblox, Fortnite, Pokémon Go, Snapchat, and workplace staples like Slack and Monday.com stumbled together because many depend on the same region and data layer. Failover, throttling, and retries help, but simultaneous strain can swamp safeguards.

On Friday, 19 July 2024, a faulty CrowdStrike update crashed Windows machines worldwide, triggering blue screens that grounded flights, delayed surgeries, and froze point-of-sale systems. The fix was simple; recovery wasn’t. Friday patches gained a new cautionary tale.

Earlier shocks foreshadowed today’s scale. In 1997, a Network Solutions glitch briefly hobbled .com and .net. In 2018, malware in Alaska’s Matanuska-Susitna knocked services offline, sending a community of 100,000 back to paper. Each incident showed how mundane errors cascade into civic life.

Resilience now means multi-region designs, cross-cloud failovers, tested runbooks, rate-limit backstops, and graceful read-only modes. Add regulatory stress tests, clear incident comms, and sector drills with hospitals, airlines, and banks. The internet will keep breaking; our job is to make it bend.

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Tailored pricing is here and personal data is the price signal

AI is quietly changing how prices are set online. Beyond demand-based shifts, companies increasingly tailor offers to individuals, using browsing history, purchase habits, device, and location to predict willingness to pay. Two shoppers may see different prices for the same product at the same moment.

Dynamic pricing raises or lowers prices for everyone as conditions change, such as school-holiday airfares or hotel rates during major events. Personalised pricing goes further by shaping offers for specific users, rewarding cart-abandoners with discounts while charging rarer shoppers a premium.

Platforms mine clicks, time on page, past purchases, and abandoned baskets to build profiles. Experiments show targeted discounts can lift sales while capping promo spend, proving engineered prices scale. The result: you may not see a ‘standard’ price, but one designed for you.

The risks are mounting. Income proxies such as postcode or device can entrench inequality, while hidden algorithms erode trust when buyers later find cheaper prices. Accountability is murky if tailored prices mislead, discriminate, or breach consumer protections without clear disclosure.

Regulators are moving. A competition watchdog in Australia has flagged transparency gaps, unfair trading risks, and the need for algorithmic disclosure. Businesses now face a twin test: deploy AI pricing with consent, explainability, and opt-outs, and prove it delivers value without crossing ethical lines.

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AWS glitch triggers widespread outages across major apps

A major internet outage hit some of the world’s biggest apps and sites from about 9 a.m. CET Monday, with issues traced to Amazon Web Services. Tracking sites reported widespread failures across the US and beyond, disrupting consumer and enterprise services.

AWS cited ‘significant error rates’ in DynamoDB requests in the US-EAST-1 region, impacting additional services in Northern Virginia. Engineers are mitigating while investigating root cause, and some customers couldn’t create or update Support Cases.

Outages clustered around Virginia’s dense data-centre corridor but rippled globally. Impacted brands included Amazon, Google, Snapchat, Roblox, Fortnite, Canva, Coinbase, Slack, Signal, Vodafone and the UK tax authority HMRC.

Coinbase told users ‘all funds are safe’ as platforms struggled to authenticate, fetch data and serve content tied to affected back-ends. Third-party monitors noted elevated failure rates across APIs and app logins.

The incident underscores heavy reliance on hyperscale infrastructure and the blast radius when core data services falter. Full restoration and a formal post-mortem are pending from AWS.

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Lehane backs OpenAI’s Australia presence as AI copyright debate heats up

OpenAI signalled a break with Australia’s tech lobby on copyright, with global affairs chief Chris Lehane telling SXSW Sydney the company’s models are ‘going to be in Australia, one way or the other’, regardless of reforms or data-mining exemptions.

Lehane framed two global approaches: US-style fair use that enables ‘frontier’ AI, versus a tighter, historical copyright that narrows scope, saying OpenAI will work under either regime. Asked if Australia risked losing datacentres without loser laws, he replied ‘No’.

Pressed on launching and monetising Sora 2 before copyright issues are settled, Lehane argued innovation precedes adaptation and said OpenAI aims to ‘benefit everyone’. The company paused videos featuring Martin Luther King Jr.’s likeness after family complaints.

Lehane described the US-China AI rivalry as a ‘very real competition’ over values, predicting that one ecosystem will become the default. He said US-led frontier models would reflect democratic norms, while China’s would ‘probably’ align with autocratic ones.

To sustain a ‘democratic lead’, Lehane said allies must add gigawatt-scale power capacity each week to build AI infrastructure. He called Australia uniquely positioned, citing high AI usage, a 30,000-strong developer base, fibre links to Asia, Five Eyes membership, and fast-growing renewables.

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AI Infrastructure Partnership and BlackRock consortium acquire Aligned Data Centers

A consortium comprising the Artificial Intelligence Infrastructure Partnership, MGX, and BlackRock’s Global Infrastructure Partners has announced the acquisition of Aligned Data Centers for an estimated forty billion dollars.

The move marks a major step towards expanding the infrastructure underpinning global AI and cloud growth.

Aligned, headquartered in Dallas, operates more than fifty campuses and five gigawatts of capacity across the US and Latin America. The company is known for its patented air, liquid, and hybrid cooling systems that enhance efficiency and sustainability, particularly in high-density AI environments.

Under the consortium, Aligned will accelerate the development of scalable and energy-efficient data facilities to meet rising global demand.

The Artificial Intelligence Infrastructure Partnership was founded by BlackRock, GIP, MGX, Microsoft, and NVIDIA to advance large-scale AI infrastructure investment.

Backed by sovereign wealth funds from Kuwait and Singapore, it aims to mobilise thirty billion dollars in equity and up to one hundred billion, including debt.

The Aligned acquisition represents its first major investment and positions the company as a cornerstone of the group’s strategy.

Executives from BlackRock, MGX, and GIP said the deal reflects a shared commitment to building sustainable, resilient infrastructure for the AI era.

Aligned CEO Andrew Schaap added that the partnership would strengthen the company’s global reach and innovation capacity, redefining standards for digital infrastructure in an increasingly AI-driven economy.

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Oracle launches embedded AI Agent Marketplace in Fusion Applications

Oracle has announced substantial enhancements to its AI Agent Studio for Fusion Applications, introducing a native AI Agent Marketplace, broader LLM support, and advanced agent tooling and governance features.

The AI Agent Marketplace is embedded within Fusion Applications, allowing customers to browse, test and deploy partner-built, Oracle-validated agents directly within their enterprise workflows. These agents can supplement or replace built-in agents to address industry-specific tasks.

Oracle is also expanding support for external large language models: customers and partners can now select from providers including OpenAI, Anthropic, Cohere, Google, Meta and xAI. This gives flexibility in choosing which LLM best fits a given use case.

New capabilities in Agent Studio include MCP support to integrate agents with third-party data systems, agent cards for cross-agent communication and collaboration, credential store for secure access to external APIs, monitoring dashboard, and agent tracing and performance metrics for observability.

It will also have prompt libraries and version control for managing agent prompts across lifecycles, workflow chaining and deterministic execution to organise multi-step agent tasks, and human-in-the-loop support to combine automation with oversight.

Oracle also highlights its network of 32,000 certified experts trained in building AI agents via Agent Studio. These experts can help customers optimise use, extend the marketplace, and ensure agent quality and safety.

Overall, Oracle’s release positions its Fusion ecosystem as a more open, flexible, and enterprise-ready platform for AI agent deployment, balancing embedded automation with extensibility and governance.

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