Critical infrastructure

Experts debate when quantum computers could break modern encryption

Scientists are divided over when quantum computers will become powerful enough to break today’s digital encryption, a moment widely referred to as ‘Q–Day’.

While predictions range from just two years to several decades, experts agree that governments and companies must begin preparing urgently for a future where conventional security systems may fail.

Quantum computing uses subatomic behaviour to process data far faster than classical machines, enabling rapid decryption of information once considered secure.

Financial systems, healthcare data, government communications, and military networks could all become vulnerable as advanced quantum machines emerge.

Major technology firms have already made breakthroughs, accelerating concerns that encryption safeguards could be overwhelmed sooner than expected.

Several cybersecurity specialists warn that sensitive data is already being harvested and stored for future decryption, a strategy known as ‘harvest now, decrypt later’.

Regulators in the UK and the US have set timelines for shifting to post-quantum cryptography, aiming for full migration by 2030-2035. However, engineering challenges and unresolved technical barriers continue to cast uncertainty over the pace of progress.

Despite scepticism over timelines, experts agree that early preparation remains the safest approach. Experts stress that education, infrastructure upgrades, and global cooperation are vital to prevent disruption as quantum technology advances.

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AI-driven semiconductor expansion continues despite market doubts

The pace of the AI infrastructure boom continues to accelerate, with semiconductor supply chains signalling sustained long-term demand.

NVIDIA remains the most visible beneficiary as data centre investment drives record GPU purchases, yet supplier activity further upstream suggests confidence extends well beyond a single company.

ASML, the Dutch firm that exclusively supplies extreme ultraviolet lithography equipment, has emerged as a critical indicator of future chip production.

Its machines are essential for advanced semiconductor manufacturing, meaning strong performance reflects expectations of high chip volumes across the industry rather than short-term speculation. Quarterly earnings underline that momentum.

ASML reported €32.7 billion in net sales, while new bookings reached a record €13 billion, more than double the previous quarter.

New orders reflect how much capacity manufacturers expect to need, pointing to sustained expansion driven by anticipated AI workloads.

Company leadership attributed the surge directly to AI-related demand, with customers expressing growing confidence in the durability of data centre investment.

While order fulfilment will take years and some plans may change, industry signals suggest a slowdown in AI infrastructure spending is not imminent.

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AI surge ‘bigger than the internet’ but with risk of major shake-out

In a commentary highlighted by a BBC article, Cisco’s chief executive, Chuck Robbins, reportedly compared the current AI boom to the early dot-com bubble, suggesting that while AI’s long-term impact could be transformative, the market may also face a period of significant turbulence and ‘wreckage’ before durable winners emerge.

Robbins warned that massive capital flows into AI companies, many of which lack clear revenue paths, resemble past speculative cycles and could lead to sharp contractions or failures among weaker players in the tech ecosystem.

He also noted that productivity gains from AI may be real but come with job reshaping, security risks and economic disruptions along the way.

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Data centre boom drives surge in legal services in India

India’s data centre expansion, fuelled by investment in AI-ready infrastructure and cloud capacity, is creating strong demand for legal services, with law firms increasingly advising on land acquisition, regulatory approvals, financing and long-term compliance for large projects.

Major global and Indian investors, including Google, Amazon and Tata Consultancy Services, are driving multibillion-dollar data centre builds that require complex legal structuring to align global business models with India’s licensing and regulatory frameworks.

Law firms report that work on joint ventures, permits, power procurement and environmental clearances is now a key growth area as digital infrastructure projects become more capital-intensive and long-lived.

Firms such as Cyril Amarchand Mangaldas and Khaitan & Co have seen this become one of their fastest-growing practice areas, reflecting broader trends in India’s digital transformation and data economy.

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AI’s growing role in environmental sustainability

AI is expanding rapidly, driving rising electricity and water consumption, which has fuelled concerns about environmental damage. Growth in data centres and intensive computing workloads is increasing pressure on global energy systems.

At the same time, AI is being deployed to reduce resource use and emissions across multiple industries. In agriculture, data-driven irrigation systems help farmers apply water more precisely, cutting waste while lowering the energy needed for pumping and distribution.

Efficiency gains are also visible in data centres, where intelligent systems manage workloads and cooling more effectively. Despite a sharp rise in global internet traffic, improvements in energy management have helped slow the growth of electricity consumption.

Energy companies, building operators and airlines are adopting AI to cut emissions and improve efficiency. From detecting methane leaks to optimising heating systems and flight routes, wider use of these technologies could help balance AI’s environmental costs with measurable climate benefits.

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Canada’s Cyber Centre flags rising ransomware risks for 2025 to 2027

The national cyber authority of Canada has warned that ransomware will remain one of the country’s most serious cyber threats through 2027, as attacks become faster, cheaper and harder to detect.

The Canadian Centre for Cyber Security, part of Communications Security Establishment Canada, says ransomware now operates as a highly interconnected criminal ecosystem driven by financial motives and opportunistic targeting.

According to the outlook, threat actors are increasingly using AI and cryptocurrency while expanding extortion techniques beyond simple data encryption.

Businesses, public institutions and critical infrastructure in Canada remain at risk, with attackers continuously adapting their tactics, techniques and procedures to maximise financial returns.

The Cyber Centre stresses that basic cyber hygiene still provides strong protection. Regular software updates, multi-factor authentication and vigilance against phishing attempts significantly reduce exposure, even as attack methods evolve.

A report that also highlights the importance of cooperation between government bodies, law enforcement, private organisations and the public.

Officials conclude that while ransomware threats will intensify over the next two years, early warnings, shared intelligence and preventive measures can limit damage.

Canada’s cyber authorities say continued investment in partnerships and guidance remains central to building national digital resilience.

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Anthropic CEO warns of civilisation-level AI risk

Anthropic chief executive Dario Amodei has issued a stark warning that superhuman AI could inflict civilisation-level damage unless governments and industry act far more quickly and seriously.

In a forthcoming essay, Amodei argues humanity is approaching a critical transition that will test whether political, social and technological systems are mature enough to handle unprecedented power.

Amodei believes AI systems will soon outperform humans across nearly every field, describing a future ‘country of geniuses in a data centre’ capable of autonomous and continuous creation.

He warns that such systems could rival nation-states in influence, accelerating economic disruption while placing extraordinary power in the hands of a small number of actors.

Among the gravest dangers, Amodei highlights mass displacement of white-collar jobs, rising biological security risks and the empowerment of authoritarian governments through advanced surveillance and control.

He also cautions that AI companies themselves pose systemic risks due to their control over frontier models, infrastructure and user attention at a global scale.

Despite the severity of his concerns, Amodei maintains cautious optimism, arguing that meaningful governance, transparency and public engagement could still steer AI development towards beneficial outcomes.

Without urgent action, however, he warns that financial incentives and political complacency may override restraint during the most consequential technological shift humanity has faced.

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EU and India deepen strategic partnership at the 16th New Delhi summit

The European Union and India have opened a new phase in their relationship at the 16th EU-India Summit in New Delhi, marked by the conclusion of a landmark Free Trade Agreement and the launch of a Security and Defence Partnership.

These agreements signal a shared ambition to deepen economic integration while strengthening cooperation in an increasingly volatile global environment.

The EU-India Free Trade Agreement ranks among the largest trade deals worldwide, significantly reducing tariff and non-tariff barriers and unlocking new opportunities for businesses of all sizes.

By improving market access and establishing clear and enforceable rules, the agreement supports more resilient supply chains, greater trade diversification and stronger joint economic security for both partners.

Alongside trade, leaders signed an EU-India Security and Defence Partnership covering maritime security, cyber and hybrid threats, counterterrorism, space and defence industrial cooperation.

Negotiations were also launched on a Security of Information Agreement, paving the way for India’s participation in EU security and defence initiatives.

The Summit further expanded cooperation on innovation, emerging technologies, climate action and people-to-people ties.

Initiatives include new EU-India Innovation Hubs, closer research collaboration, enhanced labour mobility frameworks and joint efforts on clean energy, connectivity and global development, reinforcing the partnership as a defining pillar of 21st-century geopolitics.

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Meteorological authorities in China embrace AI for next-gen climate risk prediction

At a national meteorological work conference, the China Meteorological Administration said it will pilot an ‘imminent warning’ system and apply AI technologies to enhance detailed forecasts for extreme weather, including typhoons and heavy rain.

The initiative is part of a broader effort in 2026 to build new meteorological service systems, such as for agriculture, and improve disaster preparedness and climate risk management across the country.

Officials highlighted progress over the past year, including improved flood-season forecasting and reduced typhoon track-prediction errors. Strengthened interagency coordination and the development of new prediction products aim to support earlier warnings and better resource allocation for extreme climate events.

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Australia’s green energy under pressure

The renewable energy sector in Australia encounters new challenges as major tech companies establish AI data centres across the country. Projects once planned to export solar power internationally are now influenced by domestic energy demands.

Sun Cable, supported by billionaires Mike Cannon-Brookes and Andrew Forrest, aimed to deliver Australian solar energy to Singapore via a 4,300-kilometre sea cable. The project symbolised a vision for Australia to become a leading exporter of renewable electricity.

The rapid expansion of AI facilities is shifting energy priorities towards domestic infrastructure. Tech companies’ demand for electricity is creating new competition with planned renewable export projects.

Energy policy decisions now carry broader implications for emissions, the national grid, and Australia’s role in the global clean energy market. Careful planning will be essential to balance domestic growth with long-term renewable ambitions.

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