Hong Kong deepfake scandal exposes gaps in privacy law

The discovery of hundreds of non-consensual deepfake images on a student’s laptop at the University of Hong Kong has reignited debate about privacy, technology, and accountability. The scandal echoes the 2008 Edison Chen photo leak, which exposed gaps in law and gender double standards.

Unlike stolen private images, today’s fabrications are AI-generated composites that can tarnish reputations with a single photo scraped from social media. The dismissal that such content is ‘not real’ fails to address the damage caused by its existence.

The legal system of Hong Kong struggles to keep pace with this shift. Its privacy ordinance, drafted in the 1990s, was not designed for machine-learning fabrications, while traditional harassment and defamation laws predate the advent of AI. Victims risk harm before distribution is even proven.

The city’s privacy watchdog has launched a criminal investigation, but questions remain over whether creation or possession of deepfakes is covered by existing statutes. Critics warn that overreach could suppress legitimate uses, yet inaction leaves space for abuse.

Observers argue that just as the snapshot camera spurred the development of modern privacy law, deepfakes must drive a new legal boundary to safeguard dignity. Without reform, victims may continue facing harm without recourse.

Would you like to learn more about AI, tech, and digital diplomacy? If so, ask our Diplo chatbot!

South Korea unveils five-year AI blueprint for ‘super-innovation economy’

South Korea’s new administration has unveiled a five-year economic plan to build what it calls a ‘super-innovation economy’ by integrating AI across all sectors of society.

The strategy, led by President Lee Jae-myung, commits 100 trillion won (approximately US$71.5 billion) to position the country among the world’s top three AI powerhouses. Private firms will drive development, with government support for nationwide adoption.

Plans include a sovereign Korean-language AI model, humanoid robots for logistics and industry, and commercialising autonomous vehicles by 2027. Unmanned ships are targeted for completion by 2030, alongside widespread use of drones in firefighting and aviation.

AI will also be introduced into drug approvals, smart factories, welfare services, and tax administration, with AI-based tax consultations expected by 2026. Education initiatives and a national AI training data cluster will nurture talent and accelerate innovation.

Five domestic firms, including Naver Cloud, SK Telecom, and LG AI Research, will receive state support to build homegrown AI foundation models. Industry reports currently rank South Korea between sixth and 10th in global AI competitiveness.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

Orange suffers major data breach

Orange Belgium has confirmed a data breach affecting 850,000 customers, after a cyberattack targeted one of its internal IT systems. The attack, discovered in late July, exposed names, phone numbers, SIM card details, tariff plans and PUK codes. No financial or password data was compromised.

The telecoms provider blocked access to the affected system and notified authorities. A formal complaint has also been filed with the judiciary. All affected users are being informed via email or SMS and are urged to stay alert for phishing and identity fraud attempts.

Orange Belgium has advised users to strengthen account security with strong, unique passwords and to be cautious of suspicious links and messages. This marks the third cyber incident involving Orange in 2025, following earlier attacks, though those breaches varied in impact.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

Australia expands crackdown on online scams

Australia has taken down 14,000 online scams since July 2023, with more than 3,000 involving crypto. The Australian Securities and Investments Commission (ASIC) has expanded scam enforcement to cover social media ads, investment fraud, and phishing websites.

ASIC Deputy Chair Sarah Court noted takedown powers refer suspicious sites to cybercrime specialists for removal. Common scams include AI trading bots, fake websites, and fraudulent celebrity endorsements, making fraud harder to detect.

Investment scams remain the leading threat, with over $73 million lost this year, though overall losses have fallen since 2023. Regulators urged caution with testimonials, AI investment claims, and schemes on WhatsApp, Telegram, and other messaging apps.

Crypto ATMs have also come under scrutiny. AUSTRAC and the AFP have investigated connections between crypto ATMs and scams, including pig-butchering operations. Australia has nearly 2,000 crypto ATMs, with new limits to curb crime and protect investors.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot

Ransomware attack at DaVita exposes data of 2.7 million patients in the US

A ransomware attack against dialysis provider DaVita has exposed the personal data of 2.7 million people, according to a notice on the US health department’s website.

The company first disclosed the cyber incident in April, saying it had taken steps to restore operations but could not predict the scale of disruption.

DaVita confirmed that hackers gained unauthorised access to its laboratory database, which contained sensitive information belonging to some current and former patients. The firm said it is now contacting those affected and offering free credit monitoring to help protect against identity theft.

Despite the intrusion, DaVita maintained uninterrupted dialysis services across its network of nearly 3,000 outpatient clinics and home treatment programmes. The company described the cyberattack as a temporary disruption but stressed that patient care was never compromised.

Financial disclosures show the incident led to around $13.5 million in charges during the second quarter of 2025. Most of the costs were linked to system restoration and third-party support, with $1 million attributed to higher patient care expenses.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

Skype used to distribute hidden malware in small business attacks

Security researchers at Kaspersky discovered that hackers used Skype to distribute a Remote Access Trojan known as GodRAT. Initially spread via malicious screensaver files disguised as financial documents, the malware employed steganography to conceal shellcode inside image files, which then downloaded GodRAT from a remote server.

Once activated, GodRAT collected detailed system information, including OS specs, antivirus presence, user account data and more. The trojan could also download additional plugins such as file explorers and password stealers. In some cases, it deployed a second malware, AsyncRAT, granting attackers prolonged access.

GodRAT appears to be an evolution of previous tools, such as AwesomePuppet, and shares artifacts with Gh0st RAT, suggesting a link to the Winnti APT group. While Kaspersky did not disclose the number of victims, the campaign primarily targeted small and medium-sized businesses in the UAE, Hong Kong, Jordan, and Lebanon. Cybercrime using Skype as a vector reportedly ceased around March 2025 as criminals shifted to other distribution channels.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

Microsoft limits certain companies’ access to the SharePoint early warning system

Microsoft has limited certain Chinese companies’ access to its early warning system for cybersecurity vulnerabilities following suspicions about their involvement in recent SharePoint hacking attempts.

The decision restricts the sharing of proof-of-concept code, which mimics genuine malicious software. While valuable for cybersecurity professionals strengthening their systems, the code can also be misused by hackers.

The restrictions follow Microsoft’s observation of exploitation attempts targeting SharePoint servers in July. Concerns arose that a member of the Microsoft Active Protections Program may have repurposed early warnings for offensive activity.

Microsoft maintains that it regularly reviews participants and suspends those violating contracts, including prohibitions on participating in cyber attacks.

Beijing has denied involvement in the hacking, while Microsoft has refrained from disclosing which companies were affected or details of the ongoing investigation.

Analysts note that balancing collaboration with international security partners and preventing information misuse remains a key challenge for global cybersecurity programmes.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

Europol warns that the $50,000 Qilin reward is fake

Europol has warned that a reported $50,000 reward for information on two members of the Qilin ransomware group is fake. The message, circulating on Telegram, claimed the suspects, known as Haise and XORacle, coordinate affiliates and manage extortion operations.

Europol clarified that it does not operate a Telegram channel and that the message does not originate from its official accounts, which are active on Instagram, LinkedIn, X, Bluesky, YouTube, and Facebook.

Qilin, also known as Agenda, has been active since 2022 and, in 2025, listed over 400 victims on its leak website, including media and pharmaceutical companies.

Recent attacks, such as the one targeting Inotiv, demonstrate the group’s ongoing threat. Analysts note that cybercriminals often circulate false claims to undermine competitors, mislead affiliates, or sow distrust within rival gangs.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

Google Cloud boosts AI security with agentic defence tools

Google Cloud has unveiled a suite of security enhancements at its Security Summit 2025, focusing on protecting AI innovations and empowering cybersecurity teams with AI-driven defence tools.

VP and GM Jon Ramsey highlighted the growing need for specialised safeguards as enterprises deploy AI agents across complex environments.

Central to the announcements is the concept of an ‘agentic security operations centre,’ where AI agents coordinate actions to achieve shared security objectives. It represents a shift from reactive security approaches to proactive, agent-supported strategies.

Google’s platform integrates automated discovery, threat detection, and response mechanisms to streamline security operations and cover gaps in existing infrastructures.

Key innovations include extended protections for AI agents through Model Armour, covering Agentspace prompts and responses to mitigate prompt injection attacks, jailbreaking, and data leakage.

The Alert Investigation agent, available in preview, automates enrichment and analysis of security events while offering actionable recommendations, reducing manual effort and accelerating response times.

Integrating Mandiant threat intelligence feeds and Gemini AI strengthens detection and incident response across agent environments.

Additional tools, such as SecOps Labs and native SOAR dashboards, provide organisations with early access to AI-powered threat detection experiments and comprehensive security visualisation capabilities.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

Rapper Bot dismantled after 370,000 global cyberattacks

A 22-year-old man from Oregon has been charged with operating one of the most powerful botnets ever uncovered, Rapper Bot.

Federal prosecutors in Alaska said the network was responsible for over 370,000 cyberattacks worldwide since 2021, targeting technology firms, a central social media platform and even a US government system.

The botnet relied on malware that infected everyday devices such as Wi-Fi routers and digital video recorders. Once hijacked, the compromised machines were forced to overwhelm servers with traffic in distributed denial-of-service (DDoS) attacks.

Investigators estimate that Rapper Bot infiltrated as many as 95,000 devices at its peak.

The accused administrator, Ethan Foltz, allegedly ran the network as a DDoS-for-hire service, temporarily charging customers to control its capabilities.

Authorities said its most significant attack generated more than six terabits of data per second, making it among the most destructive DDoS networks. Foltz faces up to 10 years in prison if convicted.

The arrest was carried out under Operation PowerOFF, an international effort to dismantle criminal groups offering DDoS-for-hire services.

US Attorney Michael J. Heyman said the takedown had effectively disrupted a transnational threat, ending Foltz’s role in the sprawling cybercrime operation.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!