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EU and Indonesia free trade deal strengthens tech and digital supply chains

The European Union and Indonesia have concluded negotiations on a Comprehensive Economic Partnership Agreement (CEPA) and an Investment Protection Agreement (IPA), strongly emphasising technology, digitalisation and sustainable industries.

The agreements are designed to expand trade, secure critical raw materials, and drive the green and digital transitions.

Under the CEPA, tariffs on 98.5% of trade lines will be removed, cutting costs by €600 million annually and giving EU companies greater access to Indonesia’s fast-growing technology sectors, including electric vehicles, electronics and pharmaceuticals.

European firms will also gain full ownership rights in key service areas such as computers and telecommunications, helping deepen integration of digital supply chains.

A deal that embeds commitments to the Paris Agreement while promoting renewable energy and low-carbon technologies. It also includes cooperation on digital standards, intellectual property protections and trade facilitation for sectors vital to Europe’s clean tech and digital industries.

With Indonesia as a leading producer of critical raw materials, the agreement secures sustainable and predictable access to inputs essential for semiconductors, batteries and other strategic technologies.

Launched in 2016, the negotiations concluded after the political agreement reached in July 2025 between Presidents Ursula von der Leyen and Prabowo Subianto. The texts will undergo legal review before the EU and Indonesia ratification, opening a new chapter in tech-enabled trade and innovation.

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UN climate chief calls for action on AI, energy and finance ahead of COP30

At Climate Week NYC 2025, UN Climate Chief Simon Stiell urged governments and industries to accelerate clean energy, embrace industrial and AI transformation, and prepare for decisive progress at COP30 in Belém.

He highlighted that renewable investment reached US$2 trillion last year and that most new renewable projects are cheaper than fossil fuels, showing that the transition is already underway instead of being dependent on breakthroughs.

Stiell warned, however, that the benefits remain uneven and too many industrial projects lie idle. He called on governments to align policy and finance with the Paris Agreement sector by sector while unlocking innovation to create millions of jobs.

On AI, he stressed the importance of harnessing its catalytic potential responsibly, using it to manage energy grids, map climate risks and guide planning, rather than allowing it to displace human skills.

Looking ahead, the UN Climate Chief pointed to the Baku to Belém Roadmap, a plan to mobilise at least US$1.3 trillion annually by 2035 to support climate action in developing countries. He said COP30 must respond to this roadmap, accelerate progress on national climate commitments and deliver for vulnerable communities.

Above all, he argued that climate cooperation is bending the warming curve and must continue to drive real-world improvements in jobs, health and energy access instead of faltering.

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Amazon outlines responsible AI and global internet plans at UN

Amazon is meeting world leaders at the 80th UN General Assembly to share its vision for responsible AI and global internet access. The company highlighted Project Kuiper’s satellite initiative to provide affordable internet to underserved communities and bridge the digital divide.

The initiative aims to deliver fast, affordable internet to communities without access, boosting education and economic opportunities. Connectivity is presented as essential for participation in the modern economy, as well as for cultural and knowledge exchange across the globe.

Amazon emphasised the development of AI tools that are responsible, inclusive, and designed to enhance human potential. The company aims to make technology accessible, helping small businesses, speeding research, and offering tools once reserved for large organisations.

Collaboration remains central to Amazon’s approach. The company plans to work with governments, the UN, civil society, and other private sector partners to ensure technological advancements benefit humanity while mitigating potential risks.

Discussions at UNGA80 are expected to shape future strategies for innovation, governance, and sustainable development.

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Europe prepares formal call for AI Gigafactory projects

The European Commission is collaborating with the EU capitals to narrow the list of proposals for large AI training hubs, known as AI Gigafactories. The €20 billion plan will be funded by the Commission (17%), the EU countries (17%), and industry (66%) to boost computing capacity for European developers.

The first call drew 76 proposals from 16 countries, far exceeding the initially planned four or five facilities. Most submissions must be merged or dropped, with Poland already seeking a joint bid with the Baltic states as talks continue.

Some EU members will inevitably lose out, with Ursula von der Leyen, the President of the European Commission, hinting that priority could be given to countries already hosting AI Factories. That could benefit Finland, whose Lumi supercomputer is part of a Nokia-led bid to scale up into a Gigafactory.

The plan has raised concerns that Europe’s efforts come too late, as US tech giants invest heavily in larger AI hubs. Still, Brussels hopes its initiative will allow EU developers to compete globally while maintaining control over critical AI infrastructure.

A formal call for proposals is expected by the end of the year, once the legal framework is finalised. Selection criteria and funding conditions will be set to launch construction as early as 2026.

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BlackRock backs South Korea push to become Asia AI hub

South Korea has secured a significant partnership with BlackRock to accelerate its ambition of becoming Asia’s leading AI hub. The agreement will see the global asset manager join the Ministry of Science and ICT in developing hyperscale AI data centres.

A deal that followed a meeting between President Lee Jae Myung and BlackRock chair Larry Fink, who pledged to attract large-scale international investment into the country’s AI infrastructure.

Although no figures were disclosed, the partnership is expected to focus on meeting rising demand from domestic users and the wider Asia-Pacific region, with renewable energy powering the facilities.

The move comes as Seoul increases national funding for AI, semiconductors and other strategic technologies to KRW150 trillion ($107.7 billion). South Korean companies are also stepping up efforts, with SK Telecom announcing plans to raise AI investment to a third of its revenue over five years.

BlackRock’s involvement signals international confidence in South Korea’s long-term vision to position itself as a regional AI powerhouse and secure a leadership role in next-generation digital infrastructure.

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JFTC study and MSCA shape Japan’s AI oversight strategy

Japan is adopting a softer approach to regulating generative AI, emphasising innovation while managing risks. Its 2025 AI Bill promotes development and safety, supported by international norms and guidelines.

The Japan Fair Trade Commission (JFTC) is running a market study on competition concerns in AI, alongside enforcing the new Mobile Software Competition Act (MSCA), aimed at curbing anti-competitive practices in mobile software.

The AI Bill focuses on transparency, international cooperation, and sector-specific guidance rather than heavy penalties. Policymakers hope this flexible framework will avoid stifling innovation while encouraging responsible adoption.

The MSCA, set to be fully enforced in December 2025, obliges mobile platform operators to ensure interoperability and fair treatment of developers, including potential applications to AI tools and assistants.

With rapid AI advances, regulators in Japan remain cautious but proactive. The JFTC aims to monitor markets closely, issue guidelines as needed, and preserve a balance between competition, innovation, and consumer protection.

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Landmark tech deal secures record UK-US AI and energy investment

The UK and US have signed a landmark Tech Prosperity Deal, securing a £250 billion investment package across technology and energy sectors. The agreement includes major commitments from leading AI companies to expand data centres, supercomputing capacity, and create 15,000 jobs in Britain.

Energy security forms a core part of the deal, with plans for 12 advanced nuclear reactors in northeast England. These facilities are expected to generate power for millions of homes and businesses, lower bills, and strengthen bilateral energy resilience.

The package includes $30 billion from Microsoft and $6.8 billion from Google, alongside other AI investments aimed at boosting UK research. It also funds the country’s largest supercomputer project with Nscale, establishing a foundation for AI leadership in Europe.

American firms have pledged £150 billion for UK projects, while British companies will invest heavily in the US. Pharmaceutical giant GSK has committed nearly $30 billion to American operations, underlining the cross-Atlantic nature of the partnership.

The Tech Prosperity Deal follows a recent UK-US trade agreement that removes tariffs on steel and aluminium and opens markets for key exports. The new accord builds on that momentum, tying economic growth to innovation, deregulation, and frontier technologies.

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Intel to design custom CPUs as part of NVIDIA AI partnership

The two US tech firms, NVIDIA and Intel, have announced a major partnership to develop multiple generations of AI infrastructure and personal computing products.

They say that the collaboration will merge NVIDIA’s leadership in accelerated computing with Intel’s expertise in CPUs and advanced manufacturing.

For data centres, Intel will design custom x86 CPUs for NVIDIA, which will be integrated into the company’s AI platforms to power hyperscale and enterprise workloads.

In personal computing, Intel will create x86 system-on-chips that incorporate NVIDIA RTX GPU chiplets, aimed at delivering high-performance PCs for a wide range of consumers.

As part of the deal, NVIDIA will invest $5 billion in Intel common stock at $23.28 per share, pending regulatory approvals.

NVIDIA’s CEO Jensen Huang described the collaboration as a ‘fusion of two world-class platforms’ that will accelerate computing innovation, while Intel CEO Lip-Bu Tan said the partnership builds on decades of x86 innovation and will unlock breakthroughs across industries.

The move underscores how AI is reshaping both infrastructure and personal computing. By combining architectures and ecosystems instead of pursuing separate paths, Intel and NVIDIA are positioning themselves to shape the next era of computing at a global scale.

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Microsoft builds the world’s most powerful AI data centre in Wisconsin

US tech giant, Microsoft, is completing the construction of Fairwater in Mount Pleasant, Wisconsin, which it says will be the world’s most powerful AI data centre. The facility is expected to be operational in early 2026 after a $3.3 billion investment, with an additional $4 billion now committed for a second site.

The company says the project will help shape the next generation of AI by training frontier models with hundreds of thousands of NVIDIA GPUs, offering ten times the performance of today’s fastest supercomputers.

Beyond technology, Microsoft is highlighting the impact on local jobs and skills. Thousands of construction workers have been employed during the build, while the site is expected to support around 500 full-time roles when the first phase opens, rising to 800 once the second is complete.

The US giant has also launched Wisconsin’s first Datacentre Academy with Gateway Technical College to prepare students for careers in the digital economy.

Microsoft is also stressing its sustainability measures. The data centre will rely on a closed-loop liquid cooling system and outside air to minimise water use, while all fossil-fuel power consumed will be matched with carbon-free energy.

A new 250 MW solar farm is under construction in Portage County to support the commitment. The company has partnered with local organisations to restore prairie and wetland habitats, further embedding the project into the surrounding community.

Executives say the development represents more than just an investment in AI. It signals a long-term commitment to Wisconsin’s economy, education, and environment.

From broadband expansion to innovation labs, the company aims to ensure the benefits of AI extend to local businesses, students, and residents instead of remaining concentrated in global hubs.

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EU AI Act enforcement gears up with 15 authorities named in Ireland

Ireland has designated 15 authorities to monitor compliance with the EU’s AI Act, making it one of the first EU countries fully ready to enforce the new rules. The AI Act regulates AI systems according to their risk to society and began phasing in last year.

Governments had until 2 August to notify the European Commission of their appointed market surveillance authorities. In Ireland, these include the Central Bank, Coimisiún na Meán, the Data Protection Commission, the Competition and Consumer Protection Commission, and the Health and Safety Authority.

The country will also establish a National AI Office as the central coordinator for AI Act enforcement and liaise with EU institutions. A single point of contact must be designated where multiple authorities are involved to ensure clear communication.

Ireland joins Cyprus, Latvia, Lithuania, Luxembourg, Slovenia, and Spain as countries that have appointed their contact points. The Commission has not yet published the complete list of authorities notified by member states.

Former Italian Prime Minister Mario Draghi has called for a pause in the rollout of the AI Act, citing risks and a lack of technical standards. The Commission has launched a consultation as part of its digital simplification package, which will be implemented in December.

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