World Economic Forum report highlights growing role of AI in cybersecurity operations

A World Economic Forum white paper (Empowering Defenders: AI for Cybersecurity), developed with KPMG, states that AI is becoming a core capability for modern cybersecurity. The report notes that attackers are using AI to increase speed, scale and sophistication, while defenders are also adopting AI to improve detection, response and resilience.

The report describes how AI is being used across the cybersecurity lifecycle, from cyber governance and risk identification to threat detection, incident response and recovery. Case studies from major organisations highlight applications in phishing detection, vulnerability management, malware analysis, threat intelligence and automated security reviews.

WEF report also states that effective adoption depends on more than technology investment. Organisations need executive support, reliable data, skilled teams, mature infrastructure and clear governance before deploying AI in critical security operations.

The report also highlights the rise of agentic AI, where autonomous systems can detect, coordinate and respond to threats with limited human intervention. It adds that while these systems could help defenders act faster, they may also introduce risks related to accountability, unintended behaviour and over-reliance on automation.

Why does it matter?

The central message of the report is that AI can strengthen cyber defence only when paired with human judgement, structured pilots, continuous monitoring and clear safeguards. Without these foundations, organisations risk creating fragile systems instead of resilient ones.

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Panthalassa raises $140m to develop wave-powered AI computing

Panthalassa has raised $140 million in a Series B funding round led by investor Peter Thiel to advance technology that uses ocean wave energy to power AI computing systems.

According to the company, the funding will support the development of offshore nodes that generate electricity from wave energy and run AI computing onboard. Data from these systems is transmitted via low-Earth-orbit satellites.

Panthalassa said the initiative responds to increasing demand for computing capacity and constraints faced by terrestrial data centres, including electricity supply, cooling requirements, and infrastructure limitations.

The company stated that its systems operate in offshore environments and use locally generated energy to power computing equipment, with ocean conditions providing cooling.

Panthalassa has previously deployed prototype systems and said the new funding will support completion of a pilot manufacturing facility and deployment of additional nodes, with commercial operations targeted for 2027.

Investor Peter Thiel said the approach expands computing infrastructure beyond traditional locations, while company representatives described the technology as a potential source of clean energy for AI systems.

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UNDP supports AI training for Tajikistan parliament members

The United Nations Development Programme has supported training sessions for members of the Parliament of Tajikistan, focusing on AI and modern digital tools. The initiative aims to strengthen legislative processes and institutional capacity.

Discussions covered AI use in policymaking, legislative analysis and public engagement, alongside topics such as strategic planning and anti corruption measures. The UNDP sessions brought together parliamentarians and staff to share international and national experience.

Officials highlighted that AI can support evidence based decision making and improve efficiency, while requiring attention to transparency, ethics and accountability. Cooperation with UNDP was described as key to adapting global best practices.

The programme includes an ongoing needs assessment to identify priorities for further development and institutional strengthening. The activities are being carried out with UNDP support in Tajikistan.

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Kazakhstan government reviews plans to expand AI across sectors under digital strategy

The Government of the Republic of Kazakhstan has reviewed plans to expand AI across all sectors under the proposed Digital Qazaqstan strategy. The initiative aims to drive long-term economic modernisation through digital technologies.

Officials highlighted AI as a key tool for improving productivity, industrial safety and economic planning. The strategy also focuses on strengthening infrastructure, including computing capacity and data systems.

The government stressed the need for better data access, investment incentives and stronger private sector involvement. Measures will also target skills development and support for smaller businesses adopting AI.

Authorities said AI could enhance forecasting and policy effectiveness, but that safeguards for personal data and intellectual property are required. The strategy is being developed and implemented in Kazakhstan.

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US Federal Reserve highlights AI risks and benefits in the banking system

A US Federal Reserve speech highlights the growing role of AI and emerging technologies in the banking sector and notes that they introduce new risks alongside potential benefits. The remarks stress the need for regulators to closely monitor these developments.

The speech notes that AI could affect areas such as risk management, decision-making and operational processes within financial institutions. It emphasises that rapid adoption may outpace existing oversight frameworks.

Officials said supervision and governance are important to ensure AI is used responsibly. Banks are expected to manage risks effectively while maintaining transparency and accountability in their use of technology.

The Federal Reserve said adapting regulatory approaches will be essential to address technological change while preserving financial stability. The speech was delivered as part of policy discussions in the US.

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World Economic Forum study shows AI moving towards integrated technology ecosystems

A new World Economic Forum report outlines how organisations can scale AI by integrating it with other emerging technologies rather than treating it in isolation. The report describes a shift towards convergence as a key driver of long-term competitive advantage.

The updated ‘3C Framework’ – Combination, Convergence and Compounding – is now described as an interconnected system where capabilities reinforce each other.

The report notes that AI is increasingly being deployed alongside robotics, advanced materials, and energy systems, enabling more complex and adaptive solutions across industries such as healthcare and infrastructure.

Market developments underline both opportunity and pressure points, the report also notes. Rising AI-driven energy consumption is placing strain on power systems, while leading technology firms are promoting open-proprietary model ecosystems designed to improve collaboration across AI systems.

At the same time, regulatory efforts in the European Union are refining rules on AI-generated content to balance innovation with compliance.

Broader industry discussions continue to focus on governance, safety risks, and organisational readiness, it is stated in the report. Concerns over AI-enabled cybercrime and fraud are rising, while experts stress that successful adoption depends on cultural and operational shifts, not just technology.

Why does it matter? 

The report suggests that the convergence of AI with other technologies matters because it shifts innovation from standalone systems to interconnected ecosystems that shape entire industries, from healthcare to energy.

As AI becomes embedded in critical infrastructure, its impact increasingly depends on governance, coordination, and resource capacity rather than technology alone, making institutional readiness a key factor in competitiveness and resilience. 

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Papua New Guinea plans AI framework centred on data sovereignty and legislation

Papua New Guinea’s Department of Information and Communications Technology has outlined a national approach to AI focused on data sovereignty, trusted public infrastructure, and new legislation.

Speaking at Media Summit 2026, Secretary Steven Matainaho described the government’s AI approach as a framework expressed as Digital Government multiplied by Digital Public Infrastructure to the power of AI. Matainaho said the model is intended to replace fragmented ICT projects with a coordinated national system bringing together connectivity, computing, data, digital public infrastructure, and AI capability.

He said the strategy is intended to ensure AI is deployed through trusted national platforms such as SevisPass and in ways that remain secure, interoperable, and respectful of Papua New Guinea’s cultural context. He also identified four main elements of the framework:

  • Strengthening existing digital foundations such as SevisPass and SevisDEx
  • Establishing a National AI Register
  • Adopting sovereign data governance
  • Introducing new laws, including a National Artificial Intelligence Act and a Data Governance and Protection Act.

He warned that reliance on foreign-trained AI models without a sovereign framework could misrepresent Pacific cultures, particularly where knowledge remains oral and community-based. The aim, he argued, is to shift from dependence on external models towards locally developed systems better suited to national and cultural needs.

Looking ahead to the 2027 election cycle, Matainaho said the department aims to establish a shared verification standard for government and media in Papua New Guinea. He said that the approach is intended to ‘protect the sovereign aspects of our national data’ and ensure that technology serves the public rather than allowing external algorithms to shape ‘our narrative.’

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Asian Development Bank plans $70 billion investment in energy and digital infrastructure by 2035

Asian Development Bank (ADB) announced plans to support $70 billion in energy and digital infrastructure initiatives by 2035. The announcement was made by Masato Kanda during ADB’s Annual Meeting in Samarkand, Uzbekistan.

The plan includes the Pan-Asia Power Grid Initiative, which aims to mobilise $50 billion for cross-border electricity infrastructure. It focuses on transmission, grid integration, storage, and digitalisation, as well as renewable energy projects linked to regional electricity trade.

ADB says that the initiative aims to integrate around 20 gigawatts of renewable energy across borders, connect 22,000 circuit-kilometres of transmission lines, and improve energy access for 200 million people. It also refers to employment creation and emissions reductions linked to regional power systems.

The Asia-Pacific Digital Highway is expected to mobilise $20 billion to support digital corridors, fibre networks, satellite links, and regional data centres, says ADB. The initiative also includes policy and regulatory support, including cybersecurity risk management, and programmes to strengthen digital and AI-related skills.

ADB states that the initiative aims to expand broadband access to 200 million people and improve connectivity for 450 million more. It also refers to the establishment of a Centre for AI Innovation and Development in Seoul to support AI adoption and skills development.

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GPT-5.5 ranks among strongest models in UK cyber evaluation

The UK AI Security Institute has published cyber evaluations of OpenAI’s GPT-5.5, finding that the model is among the strongest it has tested on cyber tasks and the second to complete one of its end-to-end multi-step cyber-attack simulations.

According to the institute, GPT-5.5’s results suggest that recent gains in cyber capability are not limited to a single model family. It says an earlier evaluation of Anthropic’s Claude Mythos Preview had already pointed to a step up over previous frontier systems, and GPT-5.5 appears to reinforce that broader trend across leading models.

The institute uses a suite of 95 narrow cyber tasks across four difficulty tiers to test capabilities such as reverse engineering, web exploitation, cryptography, vulnerability research, and exploitation. On expert-level tasks in its advanced suite, GPT-5.5 achieved an average pass rate of 71.4%, ahead of Mythos Preview at 68.6%, GPT-5.4 at 52.4%, and Opus 4.7 at 48.6%.

The UK AI Security Institute also tests models in cyber ranges designed to measure multi-step attack capability. In The Last Ones, a 32-step corporate network intrusion simulation modelled on an enterprise kill chain, GPT-5.5 completed the full attack chain in 2 of 10 attempts, becoming the second model to do so after Mythos Preview. In the Cooling Tower industrial control system simulation, GPT-5.5 did not complete the range, and no model has yet done so.

The institute stresses that these are controlled capability evaluations and do not necessarily reflect what is available to ordinary public users. It also notes that the current ranges do not yet include all the defensive conditions of real-world environments, such as active defenders, defensive tooling, or alert penalties.

Separately, the institute evaluated GPT-5.5’s cyber safeguards and OpenAI’s mitigations against malicious cyber use. It said expert red-teamers identified a universal jailbreak that elicited prohibited cyber content across all malicious cyber queries provided by OpenAI, including in multi-turn agentic settings. OpenAI later updated its safeguard stack, but the institute said a configuration issue prevented it from verifying the effectiveness of the final version.

The institute adds that if offensive cyber capability is emerging as a byproduct of broader gains in autonomy, reasoning, and coding, further increases in model cyber performance could follow quickly. At the same time, it notes that the same capabilities may also help defenders and points to related UK government work on cyber resilience, vulnerability management, and preparation for a possible ‘vulnerability patch wave’.

Why does it matter?

The significance of the evaluation is not only that GPT-5.5 performed strongly on cyber tasks, but that it adds to the evidence that offensive cyber capability may be improving across multiple frontier model families at roughly the same time. If those gains are being driven by broader advances in reasoning, coding, and agentic execution, then cyber risk may rise even when models are not explicitly optimised for offensive use. That makes evaluation, safeguards, and realistic testing environments increasingly important, especially as the same capabilities can also strengthen defensive work and shorten response times for cybersecurity teams.

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UNDP highlights challenges in public sector digital transformation outcomes

According to UNDP, global public sector investment in digital technology now exceeds US$800 billion, yet most transformation efforts continue to fall short of expectations. UNDP reports that global public-sector investment in digital technology exceeds US$800 billion, while many transformation efforts fall short of expectations.

The report links persistent underperformance to structural and institutional barriers rather than technological limitations. The report also notes that digital initiatives often lack alignment with broader policy goals, resulting in fragmented systems that improve internal processes but do not transform public services.

UNDP identifies six recurring issues that continue to undermine progress across governments. These include rigid funding models that treat software as a one-time investment, fragmented mandates across institutions, limited data sharing, shortages of specialised talent, and procurement systems that prioritise risk avoidance over adaptability.

The report suggests that closing the gap between digital potential and real-world results may require a shift in approach. According to the report, sustainable transformation depends on reforming governance, funding, and incentives so technology can deliver measurable public value.

What does it matter? 

The persistent gap between digital investment and actual outcomes signals a deeper governance challenge that goes far beyond technology. When most public sector transformation projects fail despite high spending, the issue is not innovation capacity but institutional design.

Outdated funding models, siloed mandates, and rigid procurement systems prevent governments from adapting at the speed required by modern digital tools, including AI. As a result, public institutions risk embedding inefficiency at scale while appearing digitally modern on the surface.

From a broader perspective, this has direct implications for state capacity and public trust. Governments that cannot translate digital investment into effective services will struggle to maintain competitiveness, especially as private sector systems become faster, more integrated, and more user-centric.

The issue also shapes global inequality in digital capability, as countries unable to reform underlying structures fall further behind in productivity and service delivery. Ultimately, the challenge is not technological adoption, but whether institutions can evolve fast enough to turn digital potential into real public value.

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