Cloud computing

Brazilian telcos to push back on network fee ban

Brazilian telecom operators strongly oppose a bill that would ban charging network fees to big tech companies, arguing that these companies consume most of the network traffic, about 80% of mobile and 55% of fixed usage. The telcos propose a compromise where big techs either pay for usage above a set threshold or contribute a portion of their revenues to help fund network infrastructure expansion.

While internet companies claim they already invest heavily in infrastructure such as submarine cables and content delivery networks, telcos view the bill as unconstitutional economic intervention but prefer to reach a negotiated agreement rather than pursue legal battles. In addition, telcos are advocating for the renewal of existing tax exemptions on Internet of Things (IoT) devices and connectivity fees, which are set to expire in 2025.

These exemptions have supported significant growth in IoT applications across sectors like banking and agribusiness, with non-human connections such as sensors and payment machines now driving mobile network growth more than traditional phone lines. Although the federal government aims to reduce broad tax breaks, Congress’s outlook favours maintaining these IoT incentives to sustain connectivity expansion.

Discussions are also underway about expanding the regulatory scope of Brazil’s telecom watchdog, Anatel, to cover additional digital infrastructure elements such as DNS services, internet exchange points, content delivery networks, and cloud platforms. That potential expansion would require amendments to Brazil’s internet civil rights and telecommunications frameworks, reflecting evolving priorities in managing the country’s digital infrastructure and services.

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Coreweave expands AI infrastructure with Google tie‑up

CoreWeave has secured a pivotal role in Google Cloud’s new infrastructure partnership with OpenAI. The specialist GPU cloud provider will supply Nvidia‑based compute resources to Google, which will allocate them to OpenAI to support the rising demand for services like ChatGPT.

Already under a $11.9 billion, five‑year contract with OpenAI and backed by a $350 million equity investment, CoreWeave recently expanded the deal by another. 

Adding Google Cloud as a customer helps the company diversify beyond Microsoft, its top client in 2024.

The arrangement positions Google as a neutral provider of AI computing power amid fierce competition with Amazon and Microsoft.

CoreWeave’s stock has surged over 270 percent since its March IPO, illustrating investor confidence in its expanding role in the AI infrastructure boom.

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Cisco to reinvent network security for the AI era

Cisco has introduced a major evolution in security policy management, aiming to help enterprises scale securely without increasing complexity. At the centre of this transformation is Cisco’s Security Cloud Control, a unified policy framework designed to simplify and centralise the enforcement of security policies across a wide range of environments and technologies.

With the introduction of the Mesh Policy Engine, organisations can now define a single, intent-based policy that applies seamlessly across Cisco and third-party firewalls. Cisco is also upgrading its network security infrastructure to support AI-ready environments.

The new Hybrid Mesh Firewall includes the high-performance 6100 Series for data centres and the cost-efficient 200 Series for branch deployments, offering advanced threat inspection and integrated SD-WAN. Enforcement is extended across SD-WAN, smart switches, and ACI fabric, ensuring consistent protection.

Additionally, Cisco has deepened its integration with Splunk to enhance threat detection, investigation, and response (TDIR). Firewall log data feeds into Splunk for advanced analytics, while new SOAR integrations automate key responses like host isolation and policy enforcement.

Combined with telemetry from Cisco’s broader ecosystem, these tools provide faster, more informed threat management. Together, these advancements position Cisco as a leader in AI-era cybersecurity, offering a unified and intelligent platform that reduces complexity, improves detection and response, and secures emerging technologies like agentic AI. By embedding policy-driven security into the core of enterprise networks, Cisco is enabling organisations to innovate with AI safely and securely.

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IBM sets 2029 target for quantum breakthrough

IBM has set out a detailed roadmap to deliver a practical quantum computer by 2029, marking a major milestone in its long-term strategy.

The company plans to build its ‘Starling’ quantum system at a new data centre in Poughkeepsie, New York, targeting around 200 logical qubits—enough to begin outperforming classical computers in specific tasks instead of lagging due to error correction limitations.

Quantum computers rely on qubits to perform complex calculations, but high error rates have held back their potential. IBM shifted its approach in 2019, designing error-correction algorithms based on real, manufacturable chips instead of theoretical models.

The change, as the company says, will significantly reduce the qubits needed to fix errors.

With confidence in its new method, IBM will build a series of quantum systems until 2027, each advancing toward a larger, more capable machine.

Vice President Jay Gambetta stated the key scientific questions have already been resolved, meaning what remains is primarily an engineering challenge instead of a scientific one.

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Amazon boosts AI infrastructure with $20B investment

Amazon has announced a massive $20 billion investment to build two new AI-focused data centres in Pennsylvania. The exact locations are yet to be finalised, but Salem Township and Falls Township are currently leading candidates.

The move signals Amazon’s ongoing commitment to expanding its AI infrastructure amid an increasingly competitive technology race.

Alongside the data centres, Amazon has pledged to support education and workforce development across the state. Collaborations with local institutions will bring programmes for data centre technicians, fibre optic workshops and STEM learning initiatives aimed at school-aged children.

These efforts are intended to prepare the future workforce for careers in AI and cloud computing infrastructure.

The investment is part of Amazon’s broader strategy to establish the US as a global AI leader. The company highlighted that its advanced computing infrastructure and AI hardware are designed to power the next generation of generative and agentic AI, defining digital innovation’s future.

Other tech giants are making similar moves. Amazon announced a $10 billion data centre expansion in North Carolina in June.

Meanwhile, Meta, OpenAI, and Microsoft are also scaling AI operations, and crypto mining firms like Riot Platforms and Hive Digital are shifting part of their infrastructure towards high-performance computing for AI, reflecting a wider industry transformation.

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Nvidia and FCA open AI sandbox for UK fintechs

Financial firms across the UK will soon be able to experiment with AI in a new regulatory sandbox, launched by the Financial Conduct Authority (FCA) in partnership with Nvidia.

Known as the Supercharged Sandbox, it offers a secure testing ground for firms wanting to explore AI tools without needing their advanced computing resources.

Set to begin in October, the initiative is open to any financial services company testing AI-driven ideas. Firms will have access to Nvidia’s accelerated computing platform and tailored AI software, helping them work with complex data, improve automation, and enhance risk management in a controlled setting.

The FCA said the sandbox is designed to support firms lacking the in-house capacity to test new technology.

It aims to provide not only computing power but also regulatory guidance and access to better datasets, creating an environment where innovation can flourish while remaining compliant with rules.

The move forms part of a wider push by the UK government to foster economic growth through innovation. Finance minister Rachel Reeves has urged regulators to clear away obstacles to growth and praised the FCA and Bank of England for acting on her call to cut red tape.

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ChatGPT adds meeting recording and cloud access

OpenAI has launched new features for ChatGPT that allow it to record meetings, transcribe conversations, and pull information directly from cloud platforms like Google Drive and SharePoint.

Instead of relying on typed input alone, users can now speak to ChatGPT, which records audio, creates editable summaries, and helps generate follow-up content such as emails or project outlines.

‘Record’ is currently available to Team users via the macOS app and will soon expand to Enterprise and Edu accounts.

The recording tool automatically deletes the audio after transcription and applies existing workspace data rules, ensuring recordings are not used for training.

Instead of leaving notes scattered across different platforms, users gain a structured and searchable history of conversations, voice notes, or brainstorming sessions, which ChatGPT can recall and apply during future interactions.

At the same time, OpenAI has introduced new connectors for business users that let ChatGPT access files from cloud services like Dropbox, OneDrive, Box, and others.

These connectors allow ChatGPT to search and summarise information from internal documents, rather than depending only on web search or user uploads. The update also includes beta support for Deep Research agents that can work with tools like GitHub and HubSpot.

OpenAI has embraced the Model Context Protocol, an open standard allowing organisations to build their own custom connectors for proprietary tools.

Rather than serving purely as a general-purpose chatbot, ChatGPT is evolving into a workplace assistant capable of tapping into and understanding a company’s complete knowledge base.

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Salt Typhoon and Silk Typhoon reveal weaknesses

Recent revelations about Salt Typhoon and Silk Typhoon have exposed severe weaknesses in how organisations secure their networks.

These state-affiliated hacking groups have demonstrated that modern cyber threats come from well-resourced and coordinated actors instead of isolated individuals.

Salt Typhoon, responsible for one of the largest cyber intrusions into US infrastructure, exploited cloud network vulnerabilities targeting telecom giants like AT&T and Verizon, forcing companies to reassess their reliance on traditional private circuits.

Many firms continue to believe private circuits offer better protection simply because they are off the public internet. Some even add MACsec encryption for extra defence. However, MACsec’s ‘hop-by-hop’ design introduces new risks—data is repeatedly decrypted and re-encrypted at each routing point.

Every one of these hops becomes a possible target for attackers, who can intercept, manipulate, or exfiltrate data without detection, especially when third-party infrastructure is involved.

Beyond its security limitations, MACsec presents high operational complexity and cost, making it unsuitable for today’s cloud-first environments. In contrast, solutions like Internet Protocol Security (IPSec) offer simpler, end-to-end encryption.

Although not perfect in cloud settings, IPSec can be enhanced through parallel connections or expert guidance. The Cybersecurity and Infrastructure Security Agency (CISA) urges organisations to prioritise complete encryption of all data in transit, regardless of the underlying network.

Silk Typhoon has further amplified concerns by exploiting privileged credentials and cloud APIs to infiltrate both on-premise and cloud systems. These actors use covert networks to maintain long-term access while remaining hidden.

As threats evolve, companies must adopt Zero Trust principles, strengthen identity controls, and closely monitor their cloud environments instead of relying on outdated security models.

Collaborating with cloud security experts can help shut down exposure risks and protect sensitive data from sophisticated and persistent threats.

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Oracle and OpenAI target AI leadership with massive chip project

Oracle has reportedly acquired around 400,000 Nvidia GB200 AI chips valued at approximately $40 billion for deployment at a data centre in Abilene, Texas.

The location will be the first site of the Stargate project—a $500 billion AI infrastructure initiative backed by OpenAI, Oracle, SoftBank, and Abu Dhabi’s MGX fund, which President Trump announced earlier this year.

Once completed, the Abilene facility is expected to provide up to 1.2 gigawatts of computing power, rivalling Elon Musk’s Colossus project in Memphis.

Although Oracle will operate from the site, the land is owned by AI infrastructure firm Cruso and US investment company Blue Owl Capital, which have collectively invested more than $15 billion through financing.

Oracle will lease the campus for 15 years, using the chips to offer computing power to OpenAI for training its next-generation AI models.

Previously dependent solely on Microsoft’s data centres, OpenAI faced bottlenecks due to limited capacity, prompting it to end the exclusivity agreement and look elsewhere.

While individual investors have committed funds, the Stargate project has not officially financed any facility yet. In parallel, OpenAI has announced Stargate UAE—a 5-gigawatt site in Abu Dhabi using over 2 million Nvidia chips, built in partnership with G42.

A surging demand for AI infrastructure has significantly boosted Nvidia’s market value, with the company reclaiming its top global ranking in late 2024.

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Quandela presents Belenos, a powerful 12-qubit quantum computer

French quantum computing startup Quandela has unveiled Belenos, a 12-qubit photonic quantum computer that it claims delivers 4,000 times more computing power than its predecessor.

The first integrated version is set to be delivered to EuroHPC/GENCI and operated at the CEA’s Très Grand Centre de Calcul (TGCC) before the end of 2025.

Currently, Belenos is accessible via the cloud to over 1,200 researchers across 30 countries in Europe, North America, and Asia.

Instead of relying solely on local deployments, this cloud availability enables researchers to explore hybrid HPC-quantum use cases in fields such as structural mechanics, meteorology, and materials science.

Quandela has ambitious plans to double the qubit count by 2026 with the launch of Canopus. Within three years, the company aims to develop a photonic quantum computer with more than 40 qubits, continuing its focus on systems that avoid cryogenic cooling by using photonics-based methods instead.

‘Our cloud-accessible Belenos system lets partners work on tasks where computing speed and operations per data point are crucial — areas where competitors fall short,’ said co-founder and CEO Niccolo Somaschi.

The platform is designed for practical applications in machine learning and at the AI-quantum interface, which Quandela views as strategically vital sectors for the future.

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