Development Archives | Digital Watch Observatory

EPO highlights Europe’s growing quantum innovation ecosystem

The European Patent Office (EPO) highlighted Europe’s growing quantum and AI innovation ecosystem during Servus Scale Up 2026 in Munich, pointing to rapid growth in quantum patenting and new initiatives to help startups commercialise deep-tech innovation.

The event brought together around 200 French and Bavarian startups, investors, researchers, technology transfer experts and policymakers to strengthen cross-border cooperation and support deep-tech entrepreneurship in strategically important technologies.

EPO Vice President Christoph Ernst said quantum patenting in Europe has increased fivefold over the past decade. According to recent EPO findings, annual growth has averaged around 20%, significantly outpacing overall patent growth.

Europe’s share of international patent families in quantum technologies also increased from 19% to 25%, reinforcing the continent’s position in one of the world’s fastest-growing technology fields.

The EPO also showcased initiatives designed to support innovators and investors. Its Deep Tech Finder now includes nearly 150 European quantum startups.

Other initiatives, including the EPO Observatory on Patents and Technology, the joint OECD study on quantum technologies, the Quantum Technology Platform and the recently launched EPO Data Desk, provide patent intelligence, market insights and analytical tools to help identify emerging opportunities and support investment decisions.

The EPO noted that although Europe has a strong research and innovation base in quantum technologies, access to funding remains more limited than in the United States. By combining patent data with market intelligence, the Office aims to help startups scale, attract investment and strengthen Europe’s long-term competitiveness in quantum technologies and AI.

Why does it matter?

Quantum technologies are expected to play an increasingly important role in fields ranging from cybersecurity and communications to healthcare and advanced computing. Strong patent activity suggests Europe remains competitive in research, but commercial success will also depend on access to investment and the ability to scale innovative companies.

By combining patent intelligence with tools for investors and startups, the EPO is seeking to strengthen Europe’s deep-tech ecosystem and improve the commercialisation of emerging technologies. This reflects a broader European effort to translate scientific leadership into long-term industrial competitiveness.

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South Korea prioritises AI and semiconductor investment in the 2027 budget

South Korea plans to introduce a record national budget exceeding KRW 800 trillion (around €500 billion) in 2027, with semiconductors, AI and youth employment at the centre of its investment strategy.

Announced during the National Fiscal Strategy Meeting, the proposed budget would increase by more than 10% compared with 2026, reflecting the government’s focus on strengthening industrial competitiveness, technological leadership and long-term economic growth.

A significant share of the funding will support three flagship initiatives focused on semiconductors, AI data centres and physical AI technologies.

The government also plans to accelerate the development of Yongin and the Honam region as major semiconductor manufacturing hubs through administrative measures including fast-track licensing and exemptions from preliminary feasibility studies for strategic projects.

Beyond industrial policy, the budget includes measures aimed at supporting citizens directly. A new Future Response Fund will finance the training of 200,000 young professionals, help create around 300,000 jobs and improve housing stability.

South Korea also plans to expand employment insurance and workers’ compensation coverage for platform workers while establishing a new K-Labour Council to strengthen labour protections.

To address fiscal sustainability, the government announced a comprehensive review of public spending aimed at generating around KRW 50 trillion in efficiency savings, described as the largest restructuring of government expenditure in the country’s history.

According to the government, the combination of strategic investment and spending reforms is intended to promote innovation while maintaining long-term fiscal sustainability.

Why does it matter?

The budget demonstrates how industrial policy is becoming a central tool for strengthening technological competitiveness. By prioritising semiconductors, AI infrastructure and advanced manufacturing, South Korea is seeking to reinforce its position in sectors that are increasingly viewed as critical to economic growth and national security.

The package also shows that governments are increasingly pairing technology investment with workforce development and labour reforms. Building AI and semiconductor capacity will require not only infrastructure and capital but also a skilled workforce capable of supporting long-term innovation.

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European Commission approves €659 million for four German chip projects

The European Commission has approved €659 million in German State aid to support the construction of four first-of-a-kind semiconductor manufacturing facilities, strengthening Europe’s chip supply chain and advancing the objectives of the European Chips Act and the proposed Chips Act 2.0.

The projects aim to expand manufacturing capacity across several strategic segments of the semiconductor value chain while reducing the EU’s dependence on external suppliers.

The approved funding will support four companies across Germany.

Element 3-5 will receive €353 million to manufacture advanced silicon carbide epi wafers in North Rhine-Westphalia, while Vishay will receive €214 million to produce next-generation power MOSFET semiconductors in Schleswig-Holstein.

KLA will receive €74.4 million to manufacture advanced semiconductor metrology equipment in Hesse, and KETEK will receive €17.9 million to establish new production lines for specialised detector chips in Bavaria. The projects are jointly financed by the German federal government and regional authorities.

The Commission concluded that all four facilities qualify as first-of-a-kind manufacturing projects in Europe and are necessary to strengthen the resilience of the European semiconductor ecosystem.

In return for the public support, the companies committed to collaborating with universities, research institutions, startups and SMEs, prioritising customer orders during supply shortages, investing in specialised workforce training and sharing project-related profits with Germany if returns exceed agreed expectations.

The decision forms part of the EU’s broader semiconductor strategy. The Commission noted that the approvals represent the fifteenth to eighteenth projects authorised under the European Chips Act, bringing total approved public support across Member States to around €14.2 billion.

The projects also complement the proposed Chips Act 2.0, which aims to further expand Europe’s semiconductor manufacturing capacity and reduce strategic technological dependencies.

Why does it matter?

Semiconductors underpin nearly every modern digital technology, from AI and electric vehicles to telecommunications and industrial automation. Expanding Europe’s domestic manufacturing capacity strengthens supply chain resilience, supports technological sovereignty and reinforces the EU’s competitiveness in one of the world’s most strategic industries.

The decision also demonstrates how the EU is increasingly using State aid to accelerate investment in strategically important technologies. By supporting first-of-a-kind manufacturing facilities, the Commission aims to strengthen Europe’s long-term industrial resilience while reducing reliance on overseas semiconductor production.

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OpenAI brings ChatGPT back to WhatsApp across the EEA

OpenAI has restored ChatGPT on WhatsApp across the European Economic Area (EEA), allowing users to access the chatbot through the verified 1-800-CHATGPT contact number.

Users can start chatting by messaging +1-800-242-8478 on WhatsApp without creating or linking a ChatGPT account. Availability is determined by the country code associated with the user’s WhatsApp number and may roll out gradually across the region.

ChatGPT on WhatsApp supports text conversations in multiple languages, image uploads, voice notes, and image generation. Users who link their ChatGPT accounts receive higher usage limits, though linking remains optional.

Usage limits, and OpenAI says the service is intended for users aged 13 and over. As with other ChatGPT products, the company warns that responses may contain mistakes.

The launch expands OpenAI’s presence of messaging platforms, following ChatGPT integrations with Kakao in South Korea and Viber in supported markets.

Why does it matter?

The return of ChatGPT on WhatsApp makes generative AI more accessible by bringing it into one of the world’s most widely used messaging platforms. Users can interact with the chatbot without downloading a dedicated app or creating an account, lowering barriers to adoption.

The rollout also reflects a broader trend towards embedding AI assistants within familiar communication platforms rather than requiring users to switch between separate applications. As messaging services become gateways to AI, they are increasingly evolving into everyday productivity and information tools.

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Google open-sources k8s-aibom to detect shadow AI

Google has open-sourced k8s-aibom, a lightweight Kubernetes controller designed to detect unregistered AI workloads and generate standardised inventories of the AI models, runtimes and frameworks operating inside a cluster.

The tool targets shadow AI: workloads deployed by developers without formal registration or integration with an organisation’s security and governance systems. Such deployments can evade conventional security scanners, particularly where organisations avoid privileged agents, kernel-level access or manual changes to Kubernetes workloads.

Google says k8s-aibom addresses that gap by continuously monitoring Kubernetes APIs and container environments. It detects running AI components and generates CycloneDX 1.6 Machine Learning Bills of Materials (ML-BOMs) based on what is actually executing, rather than what was intended during the build process.

The controller runs as a single unprivileged deployment in the k8s-aibom-system namespace. It does not require sidecars, eBPF modules, privileged DaemonSets or modifications to developers’ continuous integration and deployment pipelines.

The controller monitors KServe resources, deployments, StatefulSets, DaemonSets and jobs across a cluster. It then analyses container images, environment variables and command-line arguments to identify different categories of AI workloads.

Supported systems include inference runtimes such as vLLM, Triton Inference Server, TGI, and Ollama; agent frameworks including LangChain, AutoGen, and CrewAI; retrieval and vector database tools such as Milvus, Qdrant, and pgvector; and distributed training and evaluation workloads.

Once identified, the components are compiled into CycloneDX ML-BOM documents. These records can be stored as Kubernetes custom resources or exported to destinations including Google Cloud Storage and webhook endpoints.

Google also designed the tool to produce identical ML-BOM documents when given identical cluster inputs. This deterministic behaviour is intended to support GitOps workflows, allowing security and reliability teams to compare records and identify changes when AI dependencies drift.

Unlike build-time scanners, which document what organisations intended to deploy, k8s-aibom observes live clusters to identify which AI systems are actually running, how they are connected and how those findings were established.

A confidence model separates detected components into three categories. Declared assets are explicitly specified in workload configurations, inferred assets are identified through runtime patterns, and unresolved assets indicate that an AI presence was detected but the precise model, version, or weights could not be established.

Unresolved findings can therefore be prioritised for further security review, while declared and inferred classifications help auditors distinguish documented engineering intent from conclusions reached by the controller.

Google says the controller follows least-privilege principles and can export records using a dedicated identity with permission to create objects in Cloud Storage. Creation preconditions can prevent existing ML-BOM records from being silently overwritten, strengthening the historical evidence available to security and compliance teams.

Google also positions k8s-aibom as a tool for regulatory and standards compliance. Runtime inventories could help organisations gather evidence relevant to the EU AI Act, the NIST AI Risk Management Framework and ISO/IEC 42001 requirements for AI asset management.

Why does it matter?

Shadow AI has become a growing governance challenge as developers deploy AI tools outside formal security and compliance processes. Without visibility into what is actually running in production, organisations may struggle to assess risk, investigate incidents or demonstrate regulatory compliance.

By generating inventories of live AI workloads rather than relying solely on build-time records, k8s-aibom could help organisations improve AI governance while supporting audits, security operations and compliance with emerging AI standards and regulations.

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South Korea links water security to semiconductor expansion

South Korea’s Ministry of Climate, Energy and Environment has reviewed plans to secure water supplies for the new Honam semiconductor industrial complex, highlighting the growing importance of water infrastructure for advanced chip manufacturing.

First Vice Minister Kum Hanseung inspected Naju Lake, Jangheung Dam, Boseong River Dam and Juam Dam as part of a review of the infrastructure needed to support the project and coordination between relevant organisations.

The government aims to secure 650,000 tonnes of industrial water per day for the semiconductor complex. Plans include using surplus dam capacity, repurposing part of the water currently allocated for power generation and making use of unused water resources.

Officials also reviewed measures to safeguard agricultural water supplies while expanding industrial capacity. Proposed infrastructure includes new pumping stations and pipelines connected to the Yeongsan River, alongside consultations with farmers to minimise disruption.

The government said it will work with the Korea Water Resources Corporation, Korea Hydro & Nuclear Power and the Korea Rural Community Corporation to ensure reliable water supplies, including during periods of drought, while supporting the growth of the Honam semiconductor industry.

Why does it matter?

Reliable access to water is essential for semiconductor manufacturing, where large volumes are needed for wafer fabrication and equipment cleaning. As countries invest in expanding domestic chip production, water infrastructure is becoming an increasingly strategic component of industrial policy alongside energy, transport and skilled labour.

The project also illustrates the growing need to balance industrial development with environmental sustainability and competing demands for natural resources. Coordinating water management across industry, agriculture and local communities will be critical as governments expand advanced manufacturing capacity.

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Intel invests €5 billion in Ireland chip expansion

Intel has announced a €5 billion investment to expand semiconductor manufacturing at its Leixlip campus in Ireland, increasing production capacity for processors used in AI and high-performance computing.

The investment is intended to meet growing demand for AI and high-performance computing by expanding production of Intel Xeon 6 and next-generation Intel Xeon processors built on the Intel 3 process node. Intel said the project will also support research and development while making greater use of existing cleanroom capacity.

Construction began earlier this year and is expected to create permanent high-tech jobs while supporting specialised construction and equipment installation work. Planned upgrades also include expanding the campus’s automated track system to improve manufacturing efficiency.

Intel said the investment will strengthen Europe’s semiconductor supply chain and support its foundry customers. The company added that the expansion builds on more than €30 billion invested in Ireland since 1989, reinforcing the country’s position as one of Europe’s leading semiconductor manufacturing hubs.

Why does it matter?

The investment reflects continued growth in demand for processors supporting AI and high-performance computing, as semiconductor manufacturers expand existing facilities to increase production capacity. It also highlights the strategic importance of advanced chip manufacturing as governments and industry seek to strengthen resilient semiconductor supply chains.

For Europe, the expansion supports wider efforts to increase domestic semiconductor production and reduce dependence on overseas manufacturing. Investments in established fabrication sites such as Leixlip could play an important role in strengthening the region’s long-term technological competitiveness and digital sovereignty.

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UNESCO backs new AI law and sustainability chair in Singapore

UNESCO has welcomed the launch of a new Chair in AI Law and Sustainability at the National University of Singapore’s Centre for International Law, aimed at advancing research and policy on AI governance, the rule of law and sustainable AI development.

Led by inaugural Chairholder Dr Jon Truby, the initiative will promote research, policy guidance and regional cooperation on AI governance, the rule of law and the environmental impact of AI systems.

Truby said governments face the challenge of adopting AI without weakening accountability in public decision-making. He argued that people should know when AI is used, understand decisions affecting them, challenge those decisions and have access to effective remedies when systems cause harm.

The Chair will also examine AI’s physical infrastructure, including energy use, carbon emissions, water consumption, data centres, hardware and electronic waste. According to Truby, responsible AI governance must address these impacts throughout the technology’s lifecycle.

International legal issues will also be a priority, including state responsibility, liability, due diligence, cross-border harms and international cooperation. Truby said governments should prepare for potential AI-related emergencies as they do for other global crises.

Based at NUS, the Chair intends to strengthen Asia’s contribution to global AI norms. Its work will address regional concerns including access to computing hardware, language diversity, data sovereignty, public services, climate vulnerability and differences in regulatory capacity.

The initiative’s ASEAN Network Series will bring together scholars, officials and institutions across the region. Visiting researcher programmes, support for junior scholars and open-access publications are intended to broaden participation in debates on AI law and sustainability.

Truby described UNESCO’s Recommendation on the Ethics of Artificial Intelligence as a bridge between ethical principles and enforceable legal frameworks. He said implementation should include clear institutional responsibilities, auditing mechanisms, avenues for redress and assessments of AI’s contribution to the UN Sustainable Development Goals.

Over the coming years, the Chair plans to produce policy briefs, research publications, workshops, conferences and open-access resources for governments, regulators, international organisations and legal professionals. Its work will also connect with the International Law Association Committee on AI and Technology Law.

In the longer term, the Chair aims to position AI sovereignty, diplomacy and sustainability as core elements of AI governance. Truby argued that effective regulation will depend on who controls AI infrastructure, whose values shape technical standards and how environmental impacts are managed throughout the AI lifecycle.

Why does it matter?

The new Chair strengthens Asia’s role in shaping international AI governance by linking legal accountability with environmental sustainability. As governments move from developing AI principles to implementing enforceable rules, research that connects law, technology and sustainability is likely to play an increasingly important role.

The initiative also reflects a broader shift in AI governance. Rather than focusing only on ethics or innovation, policymakers are increasingly addressing AI’s environmental footprint, cross-border legal implications and institutional accountability as interconnected challenges requiring international cooperation.

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EU expands cybersecurity and resilience support for Armenia

The Council of the EU has officially launched the EU Partnership Mission in Armenia (EUPM Armenia), a new civilian mission under the Common Security and Defence Policy (CSDP) that will help strengthen the country’s resilience against hybrid threats, including cyberattacks and disinformation.

The advisory mission, established in April 2026 at the request of the Armenian government, will initially operate for two years.

EUPM Armenia will provide strategic advice, technical expertise and institutional capacity-building in areas including cybersecurity, foreign information manipulation and interference (FIMI), and illicit financial flows.

The mission will also establish a dedicated project cell to deliver targeted assistance while promoting a whole-of-government approach to tackling hybrid threats. The Council stressed that the mission is advisory in nature and will not participate in Armenia’s national decision-making.

According to the Council, the mission forms part of the EU’s broader strategy to strengthen Armenia’s resilience, democratic institutions and security capabilities while fully respecting the country’s sovereignty and ownership.

The mission follows the adoption of the EU-Armenia Strategic Agenda in December 2025, which identified countering hybrid threats and disinformation as key priorities for bilateral cooperation. Cosmin George Dinescu has been appointed Head of Mission.

EU High Representative Kaja Kallas described the deployment as part of a broader package of political and economic support for Armenia. She said the mission would help strengthen Armenia’s ability to respond to cyber threats, disinformation and illicit financial flows while increasing its resilience to external pressure.

Why does it matter?

The launch of EUPM Armenia reflects the EU’s growing focus on civilian security and resilience alongside traditional defence cooperation. By providing expertise on cybersecurity, disinformation and institutional resilience rather than military assistance, the mission illustrates how the EU is increasingly addressing hybrid threats through governance, capacity-building and technical cooperation.

The mission also highlights the expanding role of cybersecurity and information resilience in international partnerships. As hybrid threats become more sophisticated, governments are placing greater emphasis on strengthening institutions and public-sector capabilities before crises emerge rather than responding after attacks occur.

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UNCTAD launches global consumer product safety framework

UN Trade and Development (UNCTAD) has officially launched the United Nations Principles for Consumer Product Safety, providing countries with the first globally agreed framework to strengthen product safety, improve market surveillance and enhance international cooperation.

The launch took place during a meeting in Geneva attended by more than 400 participants from over 80 countries, where governments, regulators and international organisations discussed emerging challenges in consumer protection, competition policy and digital markets.

The Principles, adopted by the UN General Assembly in December 2025, are intended to help countries respond to increasingly complex global supply chains and the rapid growth of digital marketplaces.

UNCTAD also announced plans to publish a practical Handbook on Consumer Product Safety to support their implementation. Participants stressed that product safety is essential for consumer confidence and that stronger international cooperation is needed as product risks increasingly cross national borders.

Participants also discussed wider consumer protection and competition issues, including the impact of digital markets, cross-border e-commerce and concentrated supply chains.

They called for stronger international cooperation and regulatory frameworks capable of keeping pace with technological change while supporting innovation and consumer trust.

The meeting also launched the Voluntary Peer Review of Argentina’s consumer protection framework, reinforcing UNCTAD’s role in supporting member states through policy advice, technical assistance and the exchange of best practices.

Participants reaffirmed that international dialogue remains essential to ensuring markets remain fair, competitive, and safe during a period of growing global economic uncertainty.

Why does it matter?

The UN Principles for Consumer Product Safety establish a common international reference point for governments seeking to strengthen consumer protection in increasingly global and digital markets. As products are traded through complex international supply chains and online marketplaces, shared principles can help improve market surveillance, regulatory cooperation and consumer confidence.

The initiative also reflects a broader trend towards international coordination on digital commerce and consumer protection. By providing a common framework rather than legally binding rules, the Principles give countries greater guidance while encouraging more consistent approaches to product safety across jurisdictions.

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