Critical infrastructure

UK partners with NVIDIA to drive AI growth and new jobs

NVIDIA and the UK are accelerating plans to build the nation’s AI infrastructure, positioning the country as a hub for AI innovation, jobs and research.

The partnership, announced by Prime Minister Keir Starmer and NVIDIA CEO Jensen Huang earlier in the year, has already resulted in commitments worth up to £11 billion.

A rollout that includes AI factories equipped with 120,000 NVIDIA Blackwell GPUs across UK data centres, supporting projects such as OpenAI’s Stargate UK.

NVIDIA partner Nscale will host 60,000 of these GPUs domestically while expanding its global capacity to 300,000. Microsoft, CoreWeave and other partners are also investing in advanced supercomputing facilities, with new projects announced in England and Scotland.

NVIDIA is working with Oxford Quantum Circuits and other research institutions to integrate AI and quantum technologies in a collaboration that extends to quantum computing.

Universities in Edinburgh and Oxford are advancing GPU-driven quantum error correction and AI-controlled quantum hardware, highlighting the UK’s growing role in cutting-edge science.

To prepare the workforce, NVIDIA has joined forces with techUK and QA to provide training programmes and AI skills development.

The government has framed the initiative as a foundation for economic resilience, job creation and sovereign AI capability, aiming to place Britain at the forefront of the AI industrial revolution.

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AI reforms in Hong Kong expected to save millions in public services

Hong Kong will establish a new team to advance the use of AI across government departments, Chief Executive John Lee confirmed during his 2025 Policy Address.

The AI Efficacy Enhancement Team, led by Deputy Chief Secretary Warner Cheuk, will coordinate reforms to modernise outdated processes and promote efficiency.

Lee said his administration would focus on safe ‘AI+ development’, applying the technology in public services and encouraging adoption across different sectors instead of relying on traditional methods.

He added that Hong Kong had the potential to grow into a global hub for AI and would treat the field as a core industry for the city’s economic future.

Examples of AI adoption are already visible.

The government’s 1823 enquiry hotline uses voice recognition to cut response times by 30 per cent, while the Census and Statistics Department applies AI models to trade data and company reports, reducing manual checks by 40 per cent and improving accuracy.

Authorities expect upcoming censuses in 2026 and 2031 to save about $680 million through AI and data science technologies instead of conventional manpower-heavy methods.

The announcement comes shortly after China unveiled its national AI policy blueprint, which seeks widespread integration of the technology in research, governance and industry, with a target of 90 per cent prevalence by 2030.

Hong Kong’s approach is being positioned as part of a wider push for technological leadership in the region.

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Microsoft seizes 338 sites tied to phishing service

Microsoft has disrupted RaccoonO365, a fast-growing phishing service used by cybercriminals to steal Microsoft 365 login details.

Using a court order from the Southern District of New York, in the US, its Digital Crimes Unit seized 338 websites linked to the operation. The takedown cut off infrastructure that enabled criminals to mimic Microsoft branding and trick victims into sharing their credentials.

Since mid-2024, RaccoonO365 has been used in at least 94 countries and has stolen more than 5,000 credentials. The kits were marketed on Telegram to hundreds of paying subscribers, including campaigns that targeted healthcare providers in the US.

Microsoft identified the group’s alleged leader as Joshua Ogundipe, based in Nigeria, who is accused of creating and promoting the service. The company has referred the case to international law enforcement while continuing efforts to dismantle any rebuilt networks.

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Prolonged JLR shutdown threatens UK export targets

Jaguar Land Rover (JLR) has confirmed that its production halt will continue until at least Wednesday, 24 September, as it works to recover from a major cyberattack that disrupted its IT systems and paralysed production at the end of August.

JLR stated that the extension was necessary because forensic investigations were ongoing and the controlled restart of operations was taking longer than anticipated. The company stressed that it was prioritising a safe and stable restart and pledged to keep staff, suppliers, and partners regularly updated.

Reports suggest recovery could take weeks, impacting production and sales channels for an extended period. Approximately 33,000 employees remain at home as factory and sales processes are not fully operational, resulting in estimated losses of £1 billion in revenue and £70 million in profits.

The shutdown also poses risks to the wider UK economy, as JLR represents roughly four percent of British exports. The incident has renewed calls for the Cyber Security and Resilience Bill, which aims to strengthen defenses against digital threats to critical industries.

No official attribution has been made, but a group calling itself Scattered Lapsus$ Hunters has claimed responsibility. The group claims to have deployed ransomware and published screenshots of JLR’s internal SAP system, linking itself to extortion groups, including Scattered Spider, Lapsus$, and ShinyHunters.

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US Army puts cybersecurity at the heart of transformation

Cybersecurity is a critical element of the US Army’s ongoing transformation and of wider national efforts to safeguard critical infrastructure, according to Brandon Pugh, Principal Cyber Adviser to the Secretary of the Army. Speaking at the Billington CyberSecurity Summit on 11 September, Pugh explained that the Army’s Continuous Transformation initiative is intended to deliver advanced technologies to soldiers more rapidly, ensuring readiness for operational environments where cybersecurity underpins every aspect of activity, from base operations to mobilisation.

Pugh took part in the panel where he emphasised that defending the homeland remains a central priority, with the Army directly affected by vulnerabilities in privately owned critical infrastructure such as energy and transport networks. He referred to research conducted by the Army Cyber Institute at the US Military Academy at West Point, which analyses how weaknesses in infrastructure could undermine the Army’s ability to project forces in times of crisis or conflict.

The other panellists agreed that maintaining strong basic cyber hygiene is essential. Josh Salmanson, Vice President for the Defence Cyber Practice at Leidos, underlined the importance of measures such as timely patching, reducing vulnerabilities, and eliminating shared passwords, all of which help to reduce noise in networks and strengthen responses to evolving threats.

The discussion also considered the growing application of AI in cyber operations. Col. Ivan Kalabashkin, Deputy Head of Ukraine’s Security Services Cyber Division reported that Ukraine has faced more than 13,000 cyber incidents directed at government and critical infrastructure systems since the start of the full-scale war, noting that Russia has in recent months employed AI to scan for network vulnerabilities.

Pugh stated that the Army is actively examining how AI can be applied to enhance both defensive and potentially offensive cyber operations, pointing to significant ongoing work within Army Cyber Command and US Cyber Command.

Finally, Pugh highlighted the Army’s determination to accelerate the introduction of cyber capabilities, particularly from innovative companies offering specialist solutions. He stressed the importance of acquisition processes that enable soldiers to test new capabilities within weeks, in line with the Army’s broader drive to modernise how it procures, evaluates, and deploys technology.

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Cyberattack compromises personal data used for DBS checks at UK college

Bracknell and Wokingham College has confirmed a cyberattack that compromised data collected for Disclosure and Barring Service (DBS) checks. The breach affects data used by Activate Learning and other institutions, including names, dates of birth, National Insurance numbers, and passport details.

Access Personal Checking Services (APCS) was alerted by supplier Intradev on August 17 that its systems had been accessed without authorisation. While payment card details and criminal conviction records were not compromised, data submitted between December 2024 and May 8, 2025, was copied.

APCS stated that its own networks and those of Activate Learning were not breached. The organisation is contacting only those data controllers where confirmed breaches have occurred and has advised that its services can continue to be used safely.

Activate Learning reported the incident to the Information Commissioner’s Office following a risk assessment. APCS is still investigating the full scope of the breach and has pledged to keep affected institutions and individuals informed as more information becomes available.

Individuals have been advised to closely monitor their financial statements, exercise caution when opening phishing emails, and regularly update security measures, including passwords and two-factor authentication. Activate Learning emphasised the importance of staying vigilant to minimise risks.

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Indonesia’s sovereign wealth fund INA targets data centres and AI in healthcare

The Indonesia Investment Authority (INA), the country’s sovereign wealth fund, is sharpening its focus on digital infrastructure, healthcare and renewable energy as it seeks to attract foreign partners and strengthen national development.

The fund, created in 2021 with $5 billion in state capital, now manages assets worth around $10 billion and is expanding its scope beyond equity into hybrid capital and private credit.

Chief investment officer Christopher Ganis said data centres and supporting infrastructure, such as sub-sea cables, were key priorities as the government emphasises data independence and resilience.

INA has already teamed up with Singapore-based Granite Asia to invest over $1.2 billion in Indonesia’s technology and AI ecosystem, including a new data centre campus in Batam. Ganis added that AI would be applied first in healthcare instead of rushing into broader adoption.

Renewables also remain central to INA’s strategy, with its partnership alongside Abu Dhabi’s Masdar Clean Energy in Pertamina Geothermal Energy cited as a strong performer.

Ganis said Asia’s reliance on bank financing highlights the need for INA’s support in cross-border growth, since domestic banks cannot always facilitate overseas expansion.

Despite growing global ambitions, INA will prioritise projects directly linked to Indonesia. Ganis stressed that it must deliver benefits at home instead of directing capital into ventures without a clear link to the country’s future.

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Miljodata hack exposes data of nearly 15% of Swedish population

Swedish prosecutors have confirmed that a cyberattack on IT systems provider Miljodata exposed the personal data of 1.5 million people, nearly 15% of Sweden’s population. The attack occurred during the weekend of August 23–24.

Authorities said the stolen data has been leaked online and includes names, addresses, and contact details. Prosecutor Sandra Helgadottir said the group Datacarry has claimed responsibility, though no foreign state involvement is suspected.

Media in Sweden reported that the hackers demanded 1.5 bitcoin (around $170,000) to prevent the release of the data. Miljodata confirmed the information has now been published on the darknet.

The Swedish Authority for Privacy Protection has received over 250 breach notifications, with 164 municipalities and four regional authorities impacted. Employees in Gothenburg were among those affected, according to SVT.

Private companies, including Volvo, SAS, and GKN Aerospace, also reported compromised data. Investigators are working to identify the perpetrators as the breach’s scale continues to raise concerns nationwide.

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First quantum-AI data centre launched in New York City

Oxford Quantum Circuits (OQC) and Digital Realty have launched the first quantum-AI data centre in New York City at the JFK10 facility, powered by Nvidia GH200 Grace Hopper Superchips. The project combines superconducting quantum computers with AI supercomputing under one roof.

OQC’s GENESIS quantum computer is the first to be deployed in a New York data centre, designed to support hybrid workloads and enterprise adoption. Future GENESIS systems will ship with Nvidia accelerated computing and CUDA-Q integration as standard.

OQC CEO Gerald Mullally said the centre will drive the AI revolution securely and at scale, strengthening the UK–US technology alliance. Digital Realty CEO Andy Power called it a milestone for making quantum-AI accessible to enterprises and governments.

UK Science Minister Patrick Vallance highlighted the £212 billion economic potential of quantum by 2045, citing applications from drug discovery to clean energy. He said the launch puts British innovation at the heart of next-generation computing.

The centre, embedded in Digital Realty’s PlatformDIGITAL, will support applications in finance, security, and AI, including quantum machine learning and accelerated model training. OQC Chair Jack Boyer said it demonstrates UK–US collaboration in leading frontier technologies.

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Hong Kong to speed up tech hub plan with China

One of S.A.R. of China, Hong Kong, is preparing to accelerate its cross-border technology hub plans with mainland China as the city seeks new growth drivers to offset its fragile economy.

Chief Executive John Lee is set to deliver his annual policy address on Wednesday, with the Northern Metropolis project expected to take centre stage.

The initiative aims to transform a sparsely populated area into a base for advanced industries and innovation, while reducing reliance on finance and real estate.

According to state-owned media, the government will ease financing rules to attract companies in AI, renewable energy and medical technology.

An urgency that comes despite signs of recovery, as the economy of Hong Kong grew at its fastest pace in over a year last quarter. Yet home prices continue to fall, unemployment has risen, and public finances remain stretched.

The administration is unlikely to offer sweeping property incentives, such as tax cuts or looser rules for mainland buyers, given fiscal constraints. Instead, it may revive the long-dormant Tenants Purchase Scheme, first launched in 1998, which allows public housing tenants to buy their flats at reduced prices.

Analysts say that without bold reforms, the housing market will stay under pressure as oversupply and weak sentiment weigh on values.

Hong Kong’s $7.2 trillion stock market could benefit if new listings and inflows are encouraged, especially as developers look to stimulus and lower mortgage rates to support sales.

However, with the economy of China also slowing down, doubts remain over whether deeper integration and technology investments can provide a lasting boost.

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