AI dominated this year’s World Economic Forum, with debate shifting from experimentation to execution. Leaders focused on scaling AI adoption, delivering economic impact, and ensuring benefits extend beyond a small group of advanced economies and firms.
Concerns centred on the risk that AI could deepen global inequality if access to computing, data, power, and financing remains uneven. Without affordable deployment in health, education, and public services, support for AI’s rising energy and infrastructure demands could erode quickly.
Geopolitics has become inseparable from AI adoption. Trade restrictions, export controls, and diverging regulatory models are reshaping access to semiconductors, data centres, and critical minerals, making sovereignty and partnerships as important as innovation.
For developing economies, widespread AI adoption is now a development priority rather than a technological luxury. Blended finance and targeted investment are increasingly seen as essential to fund infrastructure and direct AI toward productivity, resilience, and inclusion.
Discussions under the ‘Blue Davos‘ theme highlighted how AI is embedded in physical and environmental systems, from energy grids to oceans. Choices on governance, financing, and deployment will shape whether AI supports sustainable development or widens existing divides.
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China’s market regulator has fined several companies for impersonating AI services such as DeepSeek and OpenAI’s ChatGPT, citing unfair competition and consumer fraud. The cases form part of a broader crackdown on deceptive practices in the country’s rapidly expanding AI sector.
The State Administration for Market Regulation penalised Shanghai Shangyun Internet Technology for running a fraudulent ChatGPT service on Tencent’s WeChat platform. Regulators said the service falsely presented itself as an official Chinese version of ChatGPT and charged users for AI conversations.
In a separate case, Hangzhou Boheng Culture Media was fined for operating an unauthorised website offering so-called ‘DeepSeek local deployment’. The site closely replicated DeepSeek’s branding and interface, misleading users into paying for imitation services.
Authorities said knock-off DeepSeek mini-programmes and websites surged in early 2025, involving trademark infringement, brand confusion, and false advertising. Regulators described the enforcement actions as a deterrent aimed at restoring order in the AI marketplace.
The regulator also disclosed penalties in other AI-related cases, including unauthorised access to proprietary algorithms and the use of AI calling software for scams. China is simultaneously updating antitrust rules to address emerging risks linked to algorithm-driven market manipulation.
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Chinese regulators have tightened controls on digital assets by banning the unauthorised issuance of yuan-pegged stablecoins overseas. The move extends existing restrictions to tokenised financial products linked to China’s currency and reinforces state control over monetary instruments.
In a joint notice, the People’s Bank of China and seven other agencies said no domestic or foreign entity may issue renminbi-linked stablecoins without approval. Authorities warned that such tokens replicate core monetary functions and could undermine currency sovereignty.
The rules also cover blockchain-based representations of real-world assets, including tokenised bonds and equities. Overseas providers are prohibited from offering these services to users in China without regulatory permission.
Beijing reaffirmed that cryptocurrencies such as Bitcoin and Ether have no legal tender status. Facilitating payments or related services using such assets remains illegal under China’s financial laws.
The measures align with China’s broader strategy of restricting private digital currencies while advancing the state-backed digital yuan. Officials have recently expanded the e-CNY’s role by allowing interest payments to encourage wider adoption.
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European lawmakers remain divided over whether AI tools that generate non-consensual sexual images should face an explicit ban in the EU legislation.
The split emerged as debate intensified over the AI simplification package, which is moving through Parliament and the Council rather than remaining confined to earlier negotiations.
Concerns escalated after Grok was used to create images that digitally undressed women and children.
The EU regulators responded by launching an investigation under the Digital Services Act, and the Commission described the behaviour as illegal under existing European rules. Several lawmakers argue that the AI Act should name pornification apps directly instead of relying on broader legal provisions.
Lead MEPs did not include a ban in their initial draft of the Parliament’s position, prompting other groups to consider adding amendments. Negotiations continue as parties explore how such a restriction could be framed without creating inconsistencies within the broader AI framework.
The Commission appears open to strengthening the law and has hinted that the AI omnibus could be an appropriate moment to act. Lawmakers now have a limited time to decide whether an explicit prohibition can secure political agreement before the amendment deadline passes.
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The German competition authority has fined Amazon €59 million for abusing its dominant position by influencing the pricing behaviour of third-party sellers.
Regulators concluded that Amazon’s pricing algorithms and Fair Pricing Policy breached national digital dominance rules and the EU competition law, rather than aligning with fair marketplace standards.
The authority argued that Amazon competes directly with merchants on its platform while shaping their prices through restrictions such as caps that penalise sellers who exceed certain limits.
Officials described that approach as incompatible with healthy competition since a platform should not influence rivals’ commercial strategies while participating in the same market.
Amazon strongly disputed the ruling and claimed the conclusion conflicts with the EU consumer standards. The company argued that the decision forces the platform to promote prices that fail to reflect competitive market conditions and announced it will challenge the findings.
The case follows a 2025 preliminary assessment and builds on Amazon’s earlier designation in 2022 as a company of paramount significance for competition, a judgement upheld by the Federal Court of Justice in Germany in 2024.
A ruling that marks another step in Europe’s efforts to rein in digital platforms that wield extensive influence across multiple markets.
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The confrontation between Spain and Telegram founder Pavel Durov has intensified after he claimed that Pedro Sánchez endangered online freedoms.
Government officials responded that the tech executive spread lies rather than engage with the proposed rules in good faith. Sánchez argued that democracy would not be silenced by what he called the techno-oligarchs of the algorithm.
The dispute followed the unveiling of new measures aimed at major technology companies. The plan introduces a ban on social media use for under-16s and holds corporate leaders legally responsible when unlawful or hateful content remains online rather than being removed.
Platforms would also need to adopt age-verification tools such as ID checks or biometric systems, which Durov argued could turn Spain into a surveillance state by allowing large-scale data collection.
Tensions widened as Sánchez clashed with prominent US tech figures. Sumar urged all bodies linked to the central administration to leave X, a move that followed Elon Musk’s accusation that the Spanish leader was acting like a tyrant.
The row highlighted how Spain’s attempt to regulate digital platforms has placed its government in open conflict with influential technology executives.
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A senior German official has voiced frustration over joint tech sovereignty efforts with France, describing the experience as disillusioning. The remarks followed a high profile digital summit hosted by Germany and France in Berlin.
The comments came from Luise Hölscher of Germany, who said approaches to buying European technology differ sharply between Germany and France. Germany tends to accept solutions from across Europe, while France often favours domestic providers.
Despite tensions, Hölscher said the disagreement has not damaged the wider partnership between Germany and France. Germany is now exploring closer cooperation with other European countries.
The debate unfolds as the EU considers new rules on cloud services and AI procurement across Germany and France. European institutions are weighing how far public bodies should prioritise European suppliers.
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Google’s AI chatbot Gemini has surpassed 750 million monthly users, signalling rapid consumer adoption, according to fourth-quarter 2025 earnings. The figure jumped from 650 million in the previous quarter, reinforcing Gemini’s rapid expansion in the generative AI market.
Competitive positioning remains solid. Meta AI has nearly 500 million users, while ChatGPT leads globally with about 810 million. Ongoing product upgrades and ecosystem integration across Google services have sustained Gemini’s growth momentum.
Gemini 3 has driven adoption, with Google calling it its most advanced model, offering deeper reasoning and more nuanced responses. Leadership called the release a key growth driver, with further investment and updates expected to sustain expansion.
Broader AI demand is also lifting Alphabet’s financial performance. Annual revenue has topped $400 billion for the first time, driven by enterprise API demand and infrastructure growth, including the Ironwood TPU rollout.
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Roughly $500 billion has been wiped from the cryptocurrency market over the past week as a Bitcoin-led sell-off accelerated. Total digital asset capitalisation fell by about $467.6 billion since 29 January, reflecting broad risk-off sentiment across global markets.
Bitcoin briefly dropped to a 15-month low of $72,877 before rebounding 1.31% to $76,681.72. The asset remains down 13% year-to-date and nearly 39% below its October peak above $126,000, underscoring sustained selling pressure.
Macro forces are driving the downturn. Escalating US-Iran tensions pushed capital toward traditional safe havens, while currency shifts, interest rate differentials, and tightening liquidity conditions weighed on leverage and stablecoin flows.
Analysts say the decline reflects positioning resets and broader market nervousness rather than a single catalyst.
Near-term outlook remains cautious. Liquidation pressure persists, though key structural supports continue to hold. Technical analysts identify $73,000 as critical downside support, while reclaiming the $77,500–78,000 range would be needed to restore bullish momentum.
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Authorities have imposed a full and immediate ban on the import of electronic waste in Malaysia to end the long-standing practice of foreign dumping.
The Anti-Corruption Commission reclassified all e-waste as an absolute prohibition, removing the earlier discretion that allowed limited exemptions. Officials argue that the country should protect its environment rather than accept hazardous materials from other nations.
Authorities have spent years intercepting containers loaded with discarded electronics suspected to contain toxic metals that contaminate soil and water when mishandled.
Environmental groups have repeatedly urged stronger controls, noting that waste from computers, mobile phones and household appliances poses severe risks to human health. The government now insists that firm enforcement must accompany the new restrictions to prevent continued smuggling.
The decision comes amid a widening corruption inquiry into oversight of e-waste. The director-general of the environment department and his deputy have been detained on suspicion of abuse of power. At the same time, investigators have frozen bank accounts and seized cash linked to the case.
The Home Ministry has pledged increased surveillance and warned that Malaysia will safeguard its national security by stopping illegal e-waste at its borders.
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