Critical infrastructure

Starlink gets green light in Sri Lanka, officially secures licence

Elon Musk’s Starlink has been granted a licence to offer satellite broadband services in Sri Lanka. This development follows the country’s recent amendment to its telecommunications law, the first change in 28 years, which allowed Starlink Lanka to establish its presence.

Sri Lanka’s parliament passed the updated telecommunications bill last month, clearing the way for new players like Starlink to enter the market. The satellite service, a subsidiary of SpaceX, owns around 60% of the 7,500 satellites currently in orbit, solidifying its dominance in the satellite internet sector.

In March, Starlink proposed to set up operations in Sri Lanka, with officials confirming the company will need to pay a tariff for the licence. While Starlink has shown interest in expanding into South Asia, including India, no concrete plans have been revealed.

Starlink has not yet commented on the recent developments, leaving questions about its next steps in the region.

AI technology to help safeguard endangered elephants

IBM has teamed up with WWF-Germany to develop an AI-driven solution aimed at safeguarding African forest elephants, a species facing severe threats from poaching and habitat loss. This new technology will use AI to accurately identify individual elephants from camera trap photos, enhancing conservation efforts and allowing for more precise tracking of these endangered animals.

The partnership will combine IBM’s technological expertise with WWF’s conservation knowledge to create an AI-powered tool that could revolutionise how elephants are monitored. By focusing on image recognition, the technology aims to identify elephants by their unique physical features, such as heads and tusks, much like human fingerprints.

Additionally, the collaboration will employ IBM Environmental Intelligence to monitor and analyse biomass and vegetation in elephant habitats. The data will be crucial in predicting elephant movements and assessing the ecosystem services provided by these animals, such as carbon sequestration. Such insights could also pave the way for sustainable finance investments by quantifying the carbon services offered by elephants.

IBM emphasised the broader potential of this initiative, highlighting its role in supporting nature restoration and contributing to global climate change efforts. By integrating advanced technology with conservation strategies, the partnership seeks to make a lasting positive impact on both the environment and sustainable development.

Evolution Mining confirms cyberattack amid rising threats

The Australian gold mining company has confirmed it was targeted by a cyberattack last week, joining a growing list of domestic firms hit by similar breaches. The incident comes as Australia continues to grapple with a wave of cyber attacks that have exposed vulnerabilities in the country’s cyber security infrastructure. Although Evolution Mining has stated that the security breach has been contained, it has not provided further details about the extent of the damage or the nature of the attack.

The company has reported the incident to the Australian Cyber Security Centre, which has acknowledged the report but noted that Evolution Mining did not supply much information on the breach. Despite the attack, Evolution Mining assured that its operations would not be materially impacted. The Australian government has recently strengthened its cyber defences by increasing law enforcement funding and mandating the reporting of cyber attacks as part of a broader security overhaul.

Cyber crime has been on the rise in Australia, with reports increasing by nearly 25% in the year leading up to June 2023. The average cost to victims has also surged by 14%. Experts have pointed out that the country’s cyber security industry is under-resourced and may not be fully equipped to handle the growing threat. The increased collaboration between Australia, the US, and Britain under a new defence agreement has also made Australia a more prominent target for cyber attacks.

The attack on Evolution Mining echoes a series of breaches that have affected major Australian companies in recent years, including Optus, Woolworths, Medibank, DP World Australia and the Australian unit of Shell. These incidents have brought attention to the urgent need for stronger cyber defences as Australia continues to face significant digital security challenges.

Nokia and Swisscom collaborate on Swiss drone network

The Finnish tech magnate has teamed up with Swisscom to deploy a drones network across Switzerland aimed at enhancing emergency response and infrastructure inspections. The partnership will see the Finnish telecom company providing 300 unmanned aerial vehicles, operated by Swisscom through a drones-as-a-service (DaaS) network, allowing public safety agencies and other clients to use drones on demand without the need to purchase or operate them.

Swiss public safety organisations, including police and fire services, will be able to request drone flights from Swisscom Broadcast, using the technology to gather crucial data during emergencies. The network will also facilitate the remote inspection of infrastructure such as power lines, solar panels, and oil and gas facilities, reducing the need to send personnel into potentially hazardous situations, according to Thomas Eder, Nokia’s head of embedded wireless.

As drones increasingly find applications beyond military use, including in delivery services and agriculture, there remain concerns about privacy, noise, and safety. Nokia and Swisscom have pledged to work closely with aviation and spectrum regulators to ensure compliance with data protection laws, including the establishment of no-fly zones over sensitive areas like beaches and swimming pools.

Nokia’s venture into drone technology comes as the company continues to innovate, recently introducing immersive technology for phone calls and agreeing to sell its submarine networks to the French state for $374 million. The global industrial drone market is currently valued at between $32 billion and $35 billion, reflecting the growing importance of such technologies in various sectors.

SEMI Europe urges EU to limit investment restrictions

SEMI Europe, a leading semiconductor industry group, urged the EU to minimise restrictions on outbound investments in foreign chip technology. The EU is considering proposals to screen such investments, which could impact European funding in the global semiconductor, AI, and biotechnology sectors. However, no decisions are expected until 2025.

The US has already proposed rules to limit investments in China to protect national security and prevent the transfer of advanced technology. SEMI Europe argues that excessive restrictions could hinder European companies’ ability to invest and innovate, potentially compromising their competitive edge.

The organisation criticised the EU’s potential policies as too broad, suggesting they could force companies to reveal sensitive information and disrupt international research collaborations. SEMI Europe represents over 300 European semiconductor firms and institutions, including major players like ASML, Infineon, and STMicroelectronics.

In addition to outbound investment screening, the EU is advancing legislation to monitor foreign investments in critical European infrastructure and technology to address potential security risks.

Chinese firms stockpile HBM chips amid US export restrictions

Chinese tech giants, including Huawei and Baidu, and startups are stockpiling high bandwidth memory (HBM) semiconductors from Samsung Electronics in anticipation of potential US export restrictions. The ramped-up purchasing began earlier this year, with China accounting for about 30% of Samsung’s HBM chip revenue in the first half of 2024. This strategic plan reflects China’s efforts to maintain its technological ambitions amid increasing trade tensions with the US and other Western nations, impacting the global semiconductor supply chain.

US authorities will soon announce an export control package, including new shipment restrictions to China’s semiconductor industry. The new package of measures will likely detail limits on access to HBM chips, although specific details and potential impacts remain unclear.

HBM chips are essential for developing advanced processors, such as Nvidia’s graphics processing units, used for generative AI since only three bigger chipmakers, SK Hynix, Samsung, and US-based Micron Technology, produce these kinds of chips.

Chinese demand has focused on the HBM2E model, two generations behind the latest HBM3E. Due to the global AI boom, the advanced model is in short supply. Chinese companies, from satellite manufacturers to tech firms like Tencent, have purchased these chips. Huawei has used Samsung’s HBM2E semiconductors for its advanced Ascend AI chip, and other firms like Hawking have also placed orders.

While Chinese firms like Huawei and CXMT are making progress in developing HBM2 chips, their efforts could be hindered by the new US restrictions. Samsung may face a major impact from these restrictions compared to its rivals, as it relies more on the Chinese market. SK Hynix, focusing on advanced HBM chip production, has nearly sold out its HBM chips for the next two years, while Micron has already stopped selling its HBM products to China since last year.

CrowdStrike restores almost all Windows sensors after major outage

The US cybersecurity company has successfully restored 97% of its Windows sensors following a global outage caused by a faulty software update. The issue, which began nearly a week ago, affected 8.5 million devices running Microsoft’s Windows operating system, leading to significant disruptions in services, including flights, healthcare, and banking.

The outage was triggered by a fault in CrowdStrike’s Falcon platform sensor, a security agent designed to protect devices from threats. The fault caused computers to crash and display the notorious blue screen of death. In response, CrowdStrike deployed a fix and mobilized all resources to support customers, enhancing recovery efforts with automatic recovery techniques.

The recovery comes amidst scrutiny over the cybersecurity firm’s quality control measures. Despite the challenges, CrowdStrike’s swift response has helped mitigate further impact and restore critical services globally.

Sustainable Metal Cloud plans global expansion amid rising demand

Singapore-headquartered AI cloud provider Sustainable Metal Cloud (SMC) is set to expand globally, driven by fast-growing demand for its energy-saving technology. CEO and co-founder Tim Rosenfield announced plans to extend operations to EMEA (Europe, Middle East, and Africa) and North America in response to client demand. Currently, SMC operates “sustainable AI factories” in Australia and Singapore, with new launches planned in India and Thailand.

Partnering with AI chip giant Nvidia, SMC uses over 1,200 of Nvidia’s high-end H100 AI chips in Singapore to run open-source models like Meta’s Llama 2. Unlike most data centres that rely on air cooling technology, SMC employs immersion cooling, submerging Dell servers fitted with Nvidia GPUs in a synthetic oil called polyalphaolefin. The following method reduces energy consumption by up to 50% compared to traditional air cooling.

The International Energy Agency (IEA) anticipates a tenfold increase in AI demand compared to 2023, with global data centre electricity consumption expected to exceed 1,000 terawatt-hours by 2026. Sustainable Metal Cloud is currently raising $400 million in equity and $550 million in debt to support its expansion, according to sources. That move aligns with the increasing environmental concerns impacting Singapore’s data centre growth and highlights the importance of sustainable technology in meeting future energy demands.

Government entities in Australia to assess foreign control risks in tech

Australia has instructed all government entities to review their technology assets for risks of foreign control or influence. The directive aims to address increasing cyber threats from hostile states and financially motivated attacks. The Australian Signals Directorate (ASD) recently warned of state-sponsored Chinese hacking targeting Australian networks.

The Department of Home Affairs has issued three legally-binding instructions requiring over 1,300 government entities to identify Foreign Ownership, Control or Influence (FOCI) risks in their technology, including hardware, software, and information systems. The organisations in question must report their findings by June 2025.

Additionally, government entities are mandated to audit all internet-facing systems and services, developing specific security risk management plans. They must also engage with the ASD for threat intelligence sharing by the end of the month, ensuring better visibility and enhanced cybersecurity.

The new cybersecurity measures are part of the Protective Security Policy Framework, following Australia’s ban on TikTok from government devices in April 2023 due to security risks. The head of the Australian Security Intelligence Organisation (ASIO) has highlighted the growing espionage and cyber sabotage threats, emphasising the interconnected vulnerabilities in critical infrastructure.

AI cybersecurity in devices deemed high-risk by European Commission

AI-based cybersecurity and emergency services components in internet-connected devices are expected to be classified as high-risk under the AI Act, according to a European Commission document seen by Euractiv. The document, which interprets the relationship between the 2014 Radio Equipment Directive (RED) and the AI Act, marks the first known instance of how AI-based safety components will be treated under the new regulations. The RED pertains to wireless devices, including those using Wi-Fi and Bluetooth, beyond traditional radios.

Under the AI Act, high-risk AI systems will be subject to extensive testing, risk management, security measures, and documentation. The Act includes a list of use cases where AI deployment is automatically considered high-risk, such as in critical infrastructure and law enforcement. It also sets criteria for categorising other high-risk products, requiring third-party conformity assessments in line with sector-specific regulations. AI cybersecurity and emergency services components meet these criteria under the RED, thus being classified as high-risk.

Even in cases where the RED allows for self-assessment compliance with harmonised standards, these AI-based components are still deemed high-risk. The AI Act references numerous sectoral regulations that could classify AI products as high-risk, extending beyond electronics to medical devices, aviation, heavy machinery, and personal watercraft. The preliminary interpretation suggests that self-assessment standards are insufficient to remove the high-risk classification from AI products in these industries.

The AI Act imposes significant requirements on high-risk AI systems, while those not in this category face only minor transparency obligations. The Commission’s document is a preliminary interpretation, and the full application of the AI Act, which spans over 500 pages, remains to be seen. Despite initial estimates that 5-15% of AI systems would be classified as high-risk, a 2022 survey of EU-based startups indicated that 33-50% of these startups consider their products high-risk. Further interpretive work is needed to understand how the AI Act will impact various sectors.

Why does it matter?

The abovementioned proceedings highlight the European Commission’s stringent approach to regulating AI-based cybersecurity and emergency services in internet-connected devices. By classifying these components as high-risk, the AI Act mandates rigorous testing, security measures, and documentation, ensuring robust safety standards. This move underscores the EU’s commitment to protecting critical infrastructure and sensitive data and signals significant regulatory implications for various industries, potentially influencing global standards and practices in AI technology.