Council presidency launches talks on AI deepfakes and cyberattacks

EU member states are preparing to open formal discussions on the risks posed by AI-powered deepfakes and their use in cyberattacks, following an initiative by the current Council presidency.

The talks are intended to assess how synthetic media may undermine democratic processes and public trust across the bloc.

According to sources, capitals will also begin coordinated exchanges on the proposed Democracy Shield, a framework aimed at strengthening resilience against foreign interference and digitally enabled manipulation.

Deepfakes are increasingly viewed as a cross-cutting threat, combining disinformation, cyber operations and influence campaigns.

The timeline set out by the presidency foresees structured discussions among national experts before escalating the issue to the ministerial level. The approach reflects growing concern that existing cyber and media rules are insufficient to address rapidly advancing AI-generated content.

An initiative that signals a broader shift within the Council towards treating deepfakes not only as a content moderation challenge, but as a security risk with implications for elections, governance and institutional stability.

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Experts debate when quantum computers could break modern encryption

Scientists are divided over when quantum computers will become powerful enough to break today’s digital encryption, a moment widely referred to as ‘Q–Day’.

While predictions range from just two years to several decades, experts agree that governments and companies must begin preparing urgently for a future where conventional security systems may fail.

Quantum computing uses subatomic behaviour to process data far faster than classical machines, enabling rapid decryption of information once considered secure.

Financial systems, healthcare data, government communications, and military networks could all become vulnerable as advanced quantum machines emerge.

Major technology firms have already made breakthroughs, accelerating concerns that encryption safeguards could be overwhelmed sooner than expected.

Several cybersecurity specialists warn that sensitive data is already being harvested and stored for future decryption, a strategy known as ‘harvest now, decrypt later’.

Regulators in the UK and the US have set timelines for shifting to post-quantum cryptography, aiming for full migration by 2030-2035. However, engineering challenges and unresolved technical barriers continue to cast uncertainty over the pace of progress.

Despite scepticism over timelines, experts agree that early preparation remains the safest approach. Experts stress that education, infrastructure upgrades, and global cooperation are vital to prevent disruption as quantum technology advances.

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AI-driven semiconductor expansion continues despite market doubts

The pace of the AI infrastructure boom continues to accelerate, with semiconductor supply chains signalling sustained long-term demand.

NVIDIA remains the most visible beneficiary as data centre investment drives record GPU purchases, yet supplier activity further upstream suggests confidence extends well beyond a single company.

ASML, the Dutch firm that exclusively supplies extreme ultraviolet lithography equipment, has emerged as a critical indicator of future chip production.

Its machines are essential for advanced semiconductor manufacturing, meaning strong performance reflects expectations of high chip volumes across the industry rather than short-term speculation. Quarterly earnings underline that momentum.

ASML reported €32.7 billion in net sales, while new bookings reached a record €13 billion, more than double the previous quarter.

New orders reflect how much capacity manufacturers expect to need, pointing to sustained expansion driven by anticipated AI workloads.

Company leadership attributed the surge directly to AI-related demand, with customers expressing growing confidence in the durability of data centre investment.

While order fulfilment will take years and some plans may change, industry signals suggest a slowdown in AI infrastructure spending is not imminent.

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Google faces new UK rules over AI summaries and publisher rights

The UK competition watchdog has proposed new rules that would force Google to give publishers greater control over how their content is used in search and AI tools.

The Competition and Markets Authority (CMA) plans to require opt-outs for AI-generated summaries and model training, marking the first major intervention under Britain’s new digital markets regime.

Publishers argue that generative AI threatens traffic and revenue by answering queries directly instead of sending users to the original sources.

The CMA proposal would also require clearer attribution of publisher content in AI results and stronger transparency around search rankings, including AI Overviews and conversational search features.

Additional measures under consultation include search engine choice screens on Android and Chrome, alongside stricter data portability obligations. The regulator says tailored obligations would give businesses and users more choice while supporting innovation in digital markets.

Google has warned that overly rigid controls could damage the user experience, describing the relationship between AI and search as complex.

The consultation runs until late February, with the outcome expected to shape how AI-powered search operates in the UK.

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AI surge ‘bigger than the internet’ but with risk of major shake-out

In a commentary highlighted by a BBC article, Cisco’s chief executive, Chuck Robbins, reportedly compared the current AI boom to the early dot-com bubble, suggesting that while AI’s long-term impact could be transformative, the market may also face a period of significant turbulence and ‘wreckage’ before durable winners emerge.

Robbins warned that massive capital flows into AI companies, many of which lack clear revenue paths, resemble past speculative cycles and could lead to sharp contractions or failures among weaker players in the tech ecosystem.

He also noted that productivity gains from AI may be real but come with job reshaping, security risks and economic disruptions along the way.

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Data centre boom drives surge in legal services in India

India’s data centre expansion, fuelled by investment in AI-ready infrastructure and cloud capacity, is creating strong demand for legal services, with law firms increasingly advising on land acquisition, regulatory approvals, financing and long-term compliance for large projects.

Major global and Indian investors, including Google, Amazon and Tata Consultancy Services, are driving multibillion-dollar data centre builds that require complex legal structuring to align global business models with India’s licensing and regulatory frameworks.

Law firms report that work on joint ventures, permits, power procurement and environmental clearances is now a key growth area as digital infrastructure projects become more capital-intensive and long-lived.

Firms such as Cyril Amarchand Mangaldas and Khaitan & Co have seen this become one of their fastest-growing practice areas, reflecting broader trends in India’s digital transformation and data economy.

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AI’s growing role in environmental sustainability

AI is expanding rapidly, driving rising electricity and water consumption, which has fuelled concerns about environmental damage. Growth in data centres and intensive computing workloads is increasing pressure on global energy systems.

At the same time, AI is being deployed to reduce resource use and emissions across multiple industries. In agriculture, data-driven irrigation systems help farmers apply water more precisely, cutting waste while lowering the energy needed for pumping and distribution.

Efficiency gains are also visible in data centres, where intelligent systems manage workloads and cooling more effectively. Despite a sharp rise in global internet traffic, improvements in energy management have helped slow the growth of electricity consumption.

Energy companies, building operators and airlines are adopting AI to cut emissions and improve efficiency. From detecting methane leaks to optimising heating systems and flight routes, wider use of these technologies could help balance AI’s environmental costs with measurable climate benefits.

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Canada’s Cyber Centre flags rising ransomware risks for 2025 to 2027

The national cyber authority of Canada has warned that ransomware will remain one of the country’s most serious cyber threats through 2027, as attacks become faster, cheaper and harder to detect.

The Canadian Centre for Cyber Security, part of Communications Security Establishment Canada, says ransomware now operates as a highly interconnected criminal ecosystem driven by financial motives and opportunistic targeting.

According to the outlook, threat actors are increasingly using AI and cryptocurrency while expanding extortion techniques beyond simple data encryption.

Businesses, public institutions and critical infrastructure in Canada remain at risk, with attackers continuously adapting their tactics, techniques and procedures to maximise financial returns.

The Cyber Centre stresses that basic cyber hygiene still provides strong protection. Regular software updates, multi-factor authentication and vigilance against phishing attempts significantly reduce exposure, even as attack methods evolve.

A report that also highlights the importance of cooperation between government bodies, law enforcement, private organisations and the public.

Officials conclude that while ransomware threats will intensify over the next two years, early warnings, shared intelligence and preventive measures can limit damage.

Canada’s cyber authorities say continued investment in partnerships and guidance remains central to building national digital resilience.

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TikTok struggles to stabilise US infrastructure after data centre outage

TikTok says recovery of its US infrastructure is progressing, although technical issues continue to affect parts of the platform after a data centre power outage.

The disruption followed the launch of a new US-based entity backed by American investors, a move aimed at avoiding a nationwide ban.

Users across the country reported problems with searches, video playback, posting content, loading comments and unexpected behaviour in the For You algorithm. TikTok said the outage also affected other apps and warned that slower load times and timeouts may persist, rather than returning to normal performance.

In a statement posted by the TikTok USDS Joint Venture, the company said collaboration with its US data centre partner has restored much of the infrastructure, but posting new content may still trigger errors.

Creators may also see missing views, likes, or earnings due to server timeouts rather than actual data loss.

TikTok has not named the data centre partner involved, while severe winter storms across the US may have contributed to the outage. Despite growing scepticism around the timing of the disruption, the company insists that user data and engagement remain secure.

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