Senior prosecutor Mats Ljungqvist of Sweden’s National Security Unit stated Monday that the vessel responsible for the 26 January incident, which severed an undersea cable between Latvia and Sweden, did not act with malicious intent.
Swedish officials, including the coast guard, police, and military, participated in the probe. While the vessel had been seized during the investigation, authorities have now lifted that restriction.
ENGlobal Corporation, a major contractor in the energy sector and federal government, was locked out of its financial systems for six weeks following a ransomware attack that began on 25 November 2024, the company disclosed in a filing with the US Securities and Exchange Commission (SEC).
The attack disrupted access to key business applications, affecting operational and corporate functions, including financial and reporting systems. However, ENGlobal stated that its systems have been fully restored, and the attackers no longer have access.
The Oklahoma-based company also confirmed that the breach involved unauthorised access to sensitive personal information stored on its IT systems. The company stated that affected individuals will be notified accordingly.
In an earlier SEC filing in December, ENGlobal revealed that the attackers had encrypted data files after gaining access, forcing the company to restrict IT system access and limit operations to essential functions. Despite the disruption, the company does not expect a material financial impact from the incident.
Founded in 1985, ENGlobal specialises in designing and constructing automation and instrumentation systems for commercial and government clients, including the US defence industry. The company reported $6 million in 2024 third-quarter revenue last quarter.
No ransomware group has claimed responsibility for the attack, which caused a longer-than-average outage.
Taiwan has officially banned government agencies from using DeepSeek AI, citing security risks and concerns over potential data exposure to China. The move strengthens previous guidance, which only advised against its use.
Premier Cho Jung-tai announced the decision after a cabinet meeting, stressing the importance of safeguarding national information security. Officials raised fears over possible censorship on DeepSeek and the risk of sensitive data being transferred to China.
The digital ministry had initially stated on Friday that government departments should avoid the AI service but did not explicitly prohibit it. The latest announcement formalises the ban, aligning with Taiwan’s broader approach to restricting Chinese technology.
Authorities in several other countries, including South Korea, France, Italy, and Ireland, have also scrutinised DeepSeek’s handling of personal data.
WhatsApp has identified an advanced hacking campaign targeting nearly 90 users across more than two dozen countries. The attack, linked to Israeli spyware firm Paragon Solutions, exploited a zero-click vulnerability, meaning victims’ devices were compromised without them needing to interact with any malicious files. The messaging platform, owned by Meta, has since taken steps to block the hacking attempts and has issued a cease-and-desist letter to Paragon.
While WhatsApp has not disclosed the identities of those targeted, reports indicate that journalists and members of civil society were among the victims. The company has referred affected users to Citizen Lab, a Canadian watchdog that investigates digital security threats. Law enforcement agencies and industry partners have also been alerted, though specifics remain undisclosed.
Paragon, which was recently acquired by US investment firm AE Industrial Partners, has not commented on the allegations. The company presents itself as a responsible player in the spyware industry, claiming to sell its technology only to governments in stable democracies. However, critics argue that the continued spread of surveillance tools increases the risk of human rights abuses, with spyware repeatedly found on the devices of activists, journalists, and officials worldwide.
Cybersecurity experts warn that the growing use of commercial spyware poses an ongoing threat to digital privacy. Despite claims of ethical safeguards, the latest revelations suggest that even companies with supposedly responsible practices may be engaging in questionable surveillance activities.
The South African Weather Service (SAWS) was hit by a cyberattack affecting its online services and limiting access to weather information relied upon by various sectors, including aviation and agriculture. According to an official statement, SAWS’ website has been offline since Sunday evening. As a temporary measure, the agency has been sharing weather updates through alternative channels, such as social media platforms.
SAWS attributed the disruption to a ‘security breach’ and confirmed that its Information and Communication Technology (ICT) systems were impacted. The organisation stated that efforts are underway to investigate the incident and restore affected services, with ICT specialists working on interim and long-term solutions.
Critical operations, including those supporting aviation and maritime operations, have been affected. SAWS advised the public to refer to its social media channels for updates and announced that the incident would be reported to law enforcement authorities. The agency noted that this was the second attempted cyberattack in two days, with an initial attempt on January 25, 2025, reportedly unsuccessful.
SAWS also provides meteorological data to neighboring countries, making the disruption regionally significant. As of Wednesday afternoon, the SAWS website remained offline.
While no group has claimed responsibility for the incident, South Africa has faced multiple cyberattacks targeting government institutions in recent years. In 2023, ransomware incidents affected the country’s pension fund, national health lab, and the Department of Justice and Constitutional Development of South Africa.
Chinese state-backed social media accounts played a key role in amplifying the launch of DeepSeek’s AI models last week, according to an analysis by the firm Graphika. These accounts, including those of Chinese diplomats and media outlets, used platforms like X (formerly Twitter), Facebook, Instagram, and Weibo to highlight DeepSeek’s challenge to US dominance in the AI sector. This online activity coincided with a significant drop in US tech stocks, including a record one-day loss for Nvidia, shedding $593 billion in market value.
Graphika’s report suggested that this was part of a broader strategy by China to use AI to enhance its global influence and counter American leadership in critical technological fields. The surge in online discussion about DeepSeek’s AI capabilities was noticeable, especially on X, where it surpassed US rival ChatGPT in downloads from Apple’s app store shortly after its release. DeepSeek’s AI assistant also claimed to have been developed at a much lower cost than US competitors, raising concerns about a potential price war in the sector.
While China celebrates DeepSeek’s advancements as a victory over US efforts to limit its tech growth, the US has raised suspicions about whether the company improperly accessed American technology. The Commerce Department is investigating whether DeepSeek used banned US chips in its models, further intensifying tensions between the two countries over AI and tech competition. Meanwhile, major US companies like Microsoft and Meta continue their AI investments despite the challenges.
SoftBank Group is in talks to lead a funding round of up to $40 billion for OpenAI, aiming to value the AI developer at $300 billion, including the new investment. This potential round, which would set a record for a private company, comes amid the growing competition in the AI sector, notably from Chinese startup DeepSeek. Despite this, SoftBank has valued OpenAI at $260 billion, up from $150 billion just a few months ago. The funding is expected to come via convertible notes and is contingent on OpenAI restructuring its business to limit the control of its non-profit arm.
The move would be a bold bet for SoftBank and its CEO Masayoshi Son, who has about $30 billion in cash available for investment. SoftBank’s commitment to OpenAI could be as much as $25 billion, with some funds potentially directed towards OpenAI’s joint venture Stargate, which aims to secure the US position in the global AI race against China. This would add to SoftBank’s previous $15 billion commitment to Stargate.
The funding talks come as OpenAI’s valuation has surged due to its influential AI model, ChatGPT, while competing companies, such as Microsoft and Meta Platforms, continue to ramp up their own AI investments, with Microsoft alone earmarking $80 billion for AI development. Meanwhile, DeepSeek has made waves by claiming that its latest AI model was developed with significantly lower costs than its competitors, further intensifying the race in AI innovation.
DeepSeek, a Chinese tech company, has made waves in the AI sector with a breakthrough that challenges the dominance of US tech giants. The company claims it can develop AI models that rival or surpass Western counterparts at a fraction of the cost, sparking concerns about America’s lead in the industry. In response, the CEOs of Microsoft and Meta have defended their substantial investments in AI infrastructure, emphasising that such spending is necessary to meet growing demand and stay competitive.
Microsoft and Meta have committed billions to AI, with Microsoft earmarking $80 billion for the current fiscal year and Meta pledging up to $65 billion. Both companies argue that expanding their computing networks is critical to addressing the increasing demands of AI applications. Microsoft’s CEO Satya Nadella highlighted the need to overcome capacity constraints, while Meta’s Mark Zuckerberg stressed that heavy investment would give them a strategic advantage over time.
Despite these bold investments, there are signs of investor frustration. Microsoft’s shares recently fell 5% following disappointing growth forecasts for its cloud business, and Wall Street analysts are calling for clearer plans on how these investments will translate into profits. Meta also sent mixed signals, reporting a strong fourth quarter but offering a weak sales outlook, leaving some to question the long-term payoff of their AI ventures.
There are indications that both companies may adjust their approach. Microsoft’s CFO, Amy Hood, noted that while they will continue investing in AI, the pace of spending will slow in the coming years, signalling a shift towards more sustainable growth. As the AI race heats up, it remains to be seen whether these large investments will eventually lead to the anticipated returns.
OpenAI has raised concerns about Chinese companies attempting to access US AI technologies to enhance their models. In a statement released on Tuesday, OpenAI highlighted the critical need to protect its intellectual property and the most advanced capabilities in its AI systems. The company emphasised that it has put in place countermeasures to safeguard its innovations and is working closely with the US government to protect the technology from being exploited by competitors and adversaries.
These comments come in response to the White House’s ongoing review of national security risks posed by Chinese AI companies, particularly the rapidly growing startup DeepSeek. The US government has been looking into potential threats as China increasingly seeks to advance its AI capabilities. David Sacks, the White House’s AI and crypto czar, explained that Chinese firms are using an AI technique called “distillation,” which allows them to extract knowledge from leading US AI models, further raising concerns about intellectual property theft.
OpenAI’s statement underscores the challenges and security risks that arise as AI becomes a critical technology with broad applications, from national defence to economic competitiveness. The company’s efforts to protect its proprietary AI models are part of a broader push by the US to ensure that its technological edge is not compromised by foreign competitors who might attempt to bypass intellectual property protections. The situation highlights the increasing geopolitical tension surrounding AI development, especially as China continues to make significant strides in the field.
Following the failure of tech companies, the uranium market, which is crucial for developing power-intensive AI technologies through nuclear energy, experienced price fluctuations. The spot price of uranium dropped $3.90 per pound, settling at $67.30 per pound by Tuesday, marking a weekly decline of $6.55. Despite the price decrease, the market saw substantial activity, with 21 recorded transactions amounting to 1.8 million pounds of uranium oxide in the past week. This indicates potential emerging demand, especially from power utilities seeking prices below $70 per pound.
BMO Capital Markets analyst George Heppel maintains an optimistic long-term outlook for uranium demand, highlighting ongoing nuclear reactor constructions in China as a driving force. This growth expectation is underscored by improving economics in the carry trade, which might sustain or even boost uranium prices despite recent declines. Interestingly, as uranium prices dipped, major uranium companies like Cameco, Kazatomprom, and NexGen Energy experienced stock gains on Tuesday, signalling investor confidence in the sector’s future.
The report captures a complex financial landscape where tech stocks exhibit temporary volatility while the uranium market remains robust. Despite immediate setbacks in tech, there is a potential recovery path, and the promising outlook for uranium reflects its indispensable role in advancing AI technologies. This dual narrative of short-term market challenges and optimistic long-term growth prospects offers valuable insights into the interplay between evolving technological demands and foundational energy resources.
