The growing demand for AI is reshaping the fortunes of the memory chip industry, according to leading manufacturers, who argue that the scale of AI investment is altering the sector’s typical boom-and-bust pattern.
The technology is creating more structural demand, rather than the sharp cyclical spikes that previously defined the market.
AI workloads depend heavily on robust memory systems, particularly as companies expand data centre capacity worldwide. Major chipmakers now expect steadier growth because AI models require vast data handling rather than one-off hardware surges.
Analysts suggest it could reduce the volatility that has often led to painful downturns for the industry.
Additionally, some reports claim that Japanese technology group Rakuten is prioritising low-cost AI development to improve profitability across its businesses.
Its AI leadership stresses the need to deploy systems that maximise margins instead of simply chasing capability for its own sake.
The developments underscore how AI is not only transforming software and services but also reshaping the economics of the hardware required to power them, from memory chips to cloud infrastructure on a global scale.
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Rising demand for AI is pushing data centre servers to operate at extreme speeds and temperatures. Traditional air cooling is no longer sufficient for the most powerful computer chips.
Liquid cooling systems use sprays or immersion baths to remove heat more efficiently. These methods allow continuous high performance while reducing the risk of hardware failure and overheating.
Environmental concerns are growing as data centres consume vast amounts of energy and water. Closed-loop liquid cooling cuts electricity use and limits water withdrawal from local supplies and ecosystems.
Concerns persist regarding certain cooling chemicals and their potential climate impact. Researchers and companies are developing safer fluids and passive cooling inspired by natural systems and biological processes.
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Scientists have developed an AI model capable of simulating complex fusion plasma in seconds, a process that previously took hours or even days. The tool, named GyroSwin, offers a faster, more cost-effective approach to designing future fusion power plants.
Traditional five-dimensional plasma simulations, which account for spatial dimensions and particle velocities, require immense supercomputing power and long computation times.
GyroSwin uses AI to learn plasma dynamics, producing accurate simulations up to 1,000 times faster than conventional methods. Faster modelling will help optimise turbulence management, a key challenge in achieving practical fusion energy.
The AI tool preserves crucial physical information, such as fluctuation scales and sheared flows, ensuring simulations remain physically interpretable.
Researchers at UK Atomic Energy Authority, Johannes Kepler University, and Emmi AI believe GyroSwin could transform the design and operation of next-generation fusion plants, including the UK’s STEP project.
GyroSwin demonstrates how AI and supercomputing can accelerate the path towards clean, abundant fusion energy while reducing the cost and complexity of plasma modelling, paving the way for a new era of fusion innovation.
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Google Cloud’s 2026 AI Agent Trends Report shows AI agents are moving from experimental tools to central business systems. Employees are shifting from routine execution to oversight and strategic decision-making.
The report highlights agents managing end-to-end workflows across teams, thereby improving efficiency and streamlining complex processes. Personalised customer service is becoming faster and more accurate thanks to these systems.
Security operations are seeing benefits as AI agents handle alerts, investigations and fraud detection more effectively. Human analysts can now focus on higher-value tasks while routine work is automated.
Companies are investing in continuous training to build an AI-ready workforce. The report emphasises that people, not just technology, will determine the success of AI adoption.
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Microsoft’s first New Zealand hyperscale cloud region has celebrated one year, providing local businesses and services with AI-powered tools and secure data storage. Organisations are using these capabilities to innovate, improve operations and enhance customer experiences.
Collaborations with Spark and Whakarongorau Aotearoa show AI can reduce administrative workloads and strengthen service delivery. Initiatives also support skills development, helping students, teachers and job seekers gain technology-focused credentials.
The datacentre operates sustainably, using renewable energy and waterless cooling systems to lower carbon emissions. These technologies help public services and businesses become more efficient while reducing environmental impact.
Looking ahead, Microsoft plans to expand AI adoption across New Zealand, supporting productivity, community services and responsible innovation for the next phase of digital growth.
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Amazon is reportedly considering a $10 billion investment in OpenAI, highlighting its growing focus on the generative AI market. The investment follows OpenAI’s October restructuring, giving it more flexibility to raise funds and form new tech partnerships.
OpenAI has recently secured major infrastructure agreements, including a $38 billion cloud computing deal with Amazon Web Services (AWS). Deals with Nvidia, AMD, and Broadcom boost OpenAI’s access to computing power for its AI development.
Amazon has invested $8 billion in Anthropic and continues developing AI hardware through AWS’s Inferentia and Trainium chips. The move into OpenAI reflects Amazon’s strategy to expand its influence across the AI sector.
OpenAI’s prior $13 billion Microsoft exclusivity has ended, enabling it to pursue new partnerships. The combination of fresh funding, cloud capacity, and hardware support positions OpenAI for continued growth in the AI industry.
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Cloudflare released its sixth annual Year in Review, providing a comprehensive snapshot of global Internet trends in 2025. The report highlights rising digital reliance, AI progress, and evolving security threats across Cloudflare’s network and Radar data.
Global Internet traffic rose 19 percent year-on-year, reflecting increased use for personal and professional activities. A key trend was the move from large-scale AI training to continuous AI inference, alongside rapid growth in generative AI platforms.
Google and Meta remained the most popular services, while ChatGPT led in generative AI usage.
Cybersecurity remained a critical concern. Post-quantum encryption now protects 52 percent of Internet traffic, yet record-breaking DDoS attacks underscored rising cyber risks.
Civil society and non-profit organisations were the most targeted sectors for the first time, while government actions caused nearly half of the major Internet outages.
Connectivity varied by region, with Europe leading in speed and quality and Spain ranking highest globally. The report outlines 2025’s Internet challenges and progress, providing insights for governments, businesses, and users aiming for greater resilience and security.
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The Government of Canada is investing over $19 million to help 20 AI and tech businesses in southern Ontario bring new solutions to market. The funding aims to boost Canada’s global competitiveness in AI.
The Ontario Brain Institute receives $2 million to expand its Centre for Analytics, providing secure and bias-free AI tools. This initiative supports safe and responsible AI adoption across industries.
Investments are expected to create jobs and accelerate AI adoption nationwide. The Regional Artificial Intelligence Initiative builds on over $450 million in FedDev Ontario funding since 2015.
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UAE telecom operator ‘du’ has deployed the country’s first tri-band Radio Remote Unit on the 600MHz spectrum in partnership with Huawei. The rollout marks progress in the UAE’s 5G-Advanced network development.
Improved indoor coverage and faster speeds are delivered through dynamic power sharing and multi-band functionality. The upgrade supports services such as 5G Fixed Wireless Access and Voice over New Radio.
Lower energy consumption and a compact design reduce the environmental footprint of network infrastructure. The deployment aligns with national sustainability goals while improving long-term network efficiency.
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Reports suggest Solana was targeted by a sustained DDoS campaign in mid-December, with peak traffic estimates close to 6 Tbps. Public dashboards showed full uptime and no visible disruption for users.
Recent upgrades appear central to the outcome, as they move spam filtering and prioritisation closer to the network edge. QUIC traffic handling, stake-weighted routing and local fee markets helped limit congestion.
Focus is shifting from outage risks to resilience under pressure. The episode suggests major blockchains are now engineered and attacked like Tier 1 internet infrastructure.
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