Critical infrastructure

Iran’s digital economy suffers heavy losses from internet shutdowns

Iran’s Minister of Communications has revealed the country’s digital economy shrank by 30% in just one month, losing around $170 million due to internet restrictions imposed during its recent 12-day conflict with Israel.

Sattar Hashemi told parliament on 22 July that roughly 10 million Iranians rely on digital jobs, but widespread shutdowns caused severe disruptions across platforms and services.

Hashemi estimated that every two days of restrictions inflicted 10 trillion rials in losses, totalling 150 trillion rials — an amount he said rivals the annual budgets of entire ministries.

While acknowledging the damage, he clarified that his ministry was not responsible for the shutdowns, attributing them instead to decisions made by intelligence and security agencies for national security reasons.

Alongside the blackouts, Iran endured over 20,000 cyberattacks during the conflict. Many of these targeted banks and payment systems, with platforms for Bank Sepah and Bank Pasargad knocked offline, halting salaries for military personnel.

Hacktivist groups such as Predatory Sparrow and Tapandegan claimed credit for the attacks, with some incidents reportedly wiping out crypto assets and further weakening the rial by 12%.

Lawmakers are now questioning the unequal structure of internet access. Critics have accused the government of enabling a ‘class-based internet’ in which insiders retain full access while the public faces heavy censorship.

MP Salman Es’haghi warned that Iran’s digital future cannot rely on filtered networks, demanding transparency about who benefits from unrestricted use.

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NASA hacks Jupiter probe camera to recover vital images

NASA engineers have revealed they remotely repaired a failing camera aboard the Juno spacecraft orbiting Jupiter using a bold heating technique known as annealing.

Instead of replacing the hardware, which was impossible given the 595 million kilometre distance from Earth, the team deliberately overheated the camera’s internals to reverse suspected radiation damage.

JunoCam, designed to last only eight orbits, surprisingly survived over 45 before image quality deteriorated on the 47th. Engineers suspected a voltage regulator fault and chose to heat the camera to 77°F, altering the silicon at a microscopic level.

The risky fix temporarily worked, but the issue resurfaced, prompting a second annealing at maximum heat just before a close flyby of Jupiter’s moon Io in late 2023.

The experiment’s success encouraged further tests on other Juno instruments, offering valuable insights into spacecraft resilience. Although NASA didn’t confirm whether these follow-ups succeeded, the effort highlighted the increasing need for in-situ repairs as missions explore deeper into space.

While JunoCam resumed high-quality imaging up to orbit 74, new signs of degradation have since appeared. NASA hasn’t yet confirmed whether another fix is planned or if the camera’s mission has ended.

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Singapore probes cyberattacks on critical infrastructure linked to UNC3886

Singapore is addressing cyberattacks on its critical information infrastructure attributed to the state-sponsored cyberespionage group UNC3886. On 18 July, Coordinating Minister for National Security K. Shanmugam identified the group as an advanced persistent threat (APT) actor capable of long-term network infiltration to gather intelligence or disrupt essential services. He noted that UNC3886 is currently targeting high-value strategic assets in Singapore but did not name any state sponsor.

Cybersecurity firm Mandiant, which first reported on UNC3886 in 2022, has characterised it as a ‘China-nexus espionage group‘ that has previously targeted organisations in the defence, technology, and telecommunications sectors across the United States and Asia.

In response, the Chinese embassy in Singapore denied any connection to UNC3886. In a statement published over the weekend, it described the allegations as ‘groundless smears and accusations’ and reiterated that China opposes all forms of cyberattacks under its laws. The embassy stated that China does not encourage, support, or condone hacking activities.

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AI governance needs urgent international coordination

A GIS Reports analysis emphasises that as AI systems become pervasive, they create significant global challenges, including surveillance risks, algorithmic bias, cyber vulnerabilities, and environmental pressures.

Unlike legacy regulatory regimes, AI technology blurs the lines among privacy, labour, environmental, security, and human rights domains, demanding a uniquely coordinated governance approach.

The report highlights that leading AI research and infrastructure remain concentrated in advanced economies: over half of general‑purpose AI models originated in the US, exacerbating global inequalities.

Meanwhile, facial recognition or deepfake generators threaten civic trust, amplify disinformation, and even provoke geopolitical incidents if weaponised in defence systems.

The analysis calls for urgent public‑private cooperation and a new regulatory paradigm to address these systemic issues.

Recommendations include forming international expert bodies akin to the IPCC, and creating cohesive governance that bridges labour rights, environmental accountability, and ethical AI frameworks.

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Hidden malware in DNS records bypasses defences

Security researchers at DomainTools have revealed a novel and stealthy cyberattack method: embedding malware within DNS records. Attackers are storing tiny, encoded pieces of malicious code inside TXT records across multiple subdomains.

The fragments are individually benign, but once fetched and reassembled, typically using PowerShell, they form fully operational malware, including Joke Screenmate prankware and a more serious PowerShell stager that can download further payloads.

DNS traffic is often treated as trustworthy and bypasses many security controls. The growing use of encrypted DNS services like DoH and DoT makes visibility even harder, creating an ideal channel for covert malware delivery.

Reported cases include the fragmentation of Joke Screenmate across hundreds of subdomain TXT records and instances of Covenant C2 stagers hidden in this manner.

Security teams are urged to ramp up DNS analytics, monitor uncommon TXT query patterns, and utilize comprehensive threat intelligence feeds. While still rare in the wild, this technique’s simplicity and stealthiness suggest it could gain traction soon

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Surging AI use drives utility upgrades

The rapid rise of AI is placing unprecedented strain on the US power grid, as the electricity demands of massive data centres continue to surge.

Utilities nationwide are struggling to keep up, expanding infrastructure and revising rate structures to accommodate an influx of power-hungry facilities.

Regions like Northern Virginia have become focal points, where dense data centre clusters consume tens of megawatts each and create years-long delays for new connections.

Some next-generation AI systems are expected to require between 1 and 5 gigawatts of constant power, roughly the output of multiple Hoover Dams, posing significant challenges for energy suppliers and regulators alike.

In response, tech firms and utilities are considering a mix of solutions, including on-site natural gas generation, investments in small nuclear reactors, and greater reliance on renewable sources.

At the federal level, streamlined permitting and executive actions are used to fast-track grid and plant development.

‘The scale of AI’s power appetite is unprecedented,’ said Dr Elena Martinez, senior grid strategist at the Centre for Energy Innovation. ‘Utilities must pivot now, combining smart-grid tech, diverse energy sources and regulatory agility to avoid systemic bottlenecks.’

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South Korea joins US-led multinational cyber exercise

South Korea’s Cyber Operations Command is participating in a US-led multinational cyber exercise this week, the Ministry of National Defence in Seoul announced on Monday.

Seven personnel from the command are taking part in the five-day Cyber Flag exercise, which began in Virginia, United States. This marks South Korea’s fourth participation in the exercise since first joining in 2022.

Launched in 2011, Cyber Flag is an annual exercise designed to enhance cooperation between the United States and its allies, particularly the Five Eyes intelligence alliance, which includes Australia, Canada, New Zealand, the United Kingdom, and the United States. The exercise provides a platform for partner nations to strengthen their collective ability to detect, respond to, and mitigate cyber threats through practical, scenario-based training.

According to the Ministry, Cyber Flag, together with bilateral exercises between South Korean and US cyber commands and the exchange of personnel and technologies, is expected to further advance cooperation between the two countries in the cyber domain.

The Cyber Flag exercise involves the Five Eyes intelligence alliance—comprising the United States, United Kingdom, Australia, Canada, and New Zealand—alongside other partner countries. The program focuses on enhancing collective capabilities to counter cyber threats through practical training.

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Fashion sector targeted again as Louis Vuitton confirms data breach

Louis Vuitton Hong Kong is under investigation after a data breach potentially exposed the personal information of around 419,000 customers, according to the South China Morning Post.

The company informed Hong Kong’s privacy watchdog on 17 July, more than a month after its French office first detected suspicious activity on 13 June. The Office of the Privacy Commissioner has now launched a formal inquiry.

Early findings suggest that compromised data includes names, passport numbers, birth dates, phone numbers, email addresses, physical addresses, purchase histories, and product preferences.

Although no complaints have been filed so far, the regulator is examining whether the reporting delay breached data protection rules and how the unauthorised access occurred. Louis Vuitton stated that it responded quickly with the assistance of external cybersecurity experts and confirmed that no payment details were involved.

The incident adds to a growing list of cyberattacks targeting fashion and retail brands in 2025. In May, fast fashion giant Shein confirmed a breach that affected customer support systems.

[Correction] Contrary to some reports, Puma was not affected by a ransomware attack in 2025. This claim appears to be inaccurate and is not corroborated by any verified public disclosures or statements by the company. Please disregard any previous mentions suggesting otherwise.

Security experts have warned that the sector remains a growing target due to high-value customer data and limited cyber defences. Louis Vuitton said it continues to upgrade its security systems and will notify affected individuals and regulators as the investigation continues.

‘We sincerely regret any concern or inconvenience this situation may cause,’ the company said in a statement.

[Dear readers, a previous version of this article highlighted incorrect information about a cyberattack on Puma. The information has been removed from our website, and we hereby apologise to Puma and our readers.]

Meta CEO unveils plan to spend hundreds of billions on AI data centres

Mark Zuckerberg has pledged to invest hundreds of billions of dollars to build a network of massive data centres focused on superintelligent AI. The initiative forms part of Meta’s wider push to lead the race in developing machines capable of outperforming humans in complex tasks.

The first of these centres, called Prometheus, is set to launch in 2026. Another facility, Hyperion, is expected to scale up to 5 gigawatts. Zuckerberg said the company is building several more AI ‘titan clusters’, each one covering an area comparable to a significant part of Manhattan.

He also cited Meta’s strong advertising revenue as the reason it can afford such bold spending despite investor concerns.

Meta recently regrouped its AI projects under a new division, Superintelligence Labs, following internal setbacks and high-profile staff departures.

The company hopes the division will generate fresh revenue streams through Meta AI tools, video ad generators, and wearable smart devices. It is reportedly considering dropping its most powerful open-source model, Behemoth, in favour of a closed alternative.

The firm has increased its 2025 capital expenditure to up to $72 billion and is actively hiring top talent, including former Scale AI CEO Alexandr Wang and ex-GitHub chief Nat Friedman.

Analysts say Meta’s AI investments are paying off in advertising but warn that the real return on long-term AI dominance will take time to emerge.

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DuckDuckGo adds new tool to block AI-generated images from search results

Privacy-focused search engine DuckDuckGo has launched a new feature that allows users to filter out AI-generated images from search results.

Although the company admits the tool is not perfect and may miss some content, it claims it will significantly reduce the number of synthetic images users encounter.

The new filter uses open-source blocklists, including a more aggressive ‘nuclear’ option, sourced from tools like uBlock Origin and uBlacklist.

Users can access the setting via the Images tab after performing a search or use a dedicated link — noai.duckduckgo.com — which keeps the filter always on and also disables AI summaries and the browser’s chatbot.

The update responds to growing frustration among internet users. Platforms like X and Reddit have seen complaints about AI content flooding search results.

In one example, users searching for ‘baby peacock’ reported seeing just as many or more AI images than real ones, making it harder to distinguish between fake and authentic content.

DuckDuckGo isn’t alone in trying to tackle unwanted AI material. In 2024, Hiya launched a Chrome extension aimed at spotting deepfake audio across major platforms.

Microsoft’s Bing has also partnered with groups like StopNCII to remove explicit synthetic media from its results, showing that the fight against AI content saturation is becoming a broader industry trend.

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