Sustainable development Archives | Digital Watch Observatory

EU competition scrutiny pushes Meta to reopen WhatsApp AI access

Meta has announced that third-party AI chatbots will again be allowed to operate through WhatsApp in Europe, reversing restrictions introduced earlier this year.

The decision follows pressure from the European Commission, which had warned it could impose interim competition measures.

Earlier in 2026, Meta limited access to rival chatbot services on the messaging platform, prompting regulators to examine whether the move unfairly restricted competition in the rapidly expanding AI market.

WhatsApp remains one of the most widely used messaging applications across European countries, making platform access critical for emerging AI services.

Under the new arrangement, companies will be able to distribute general-purpose AI chatbots via the WhatsApp Business API for 12 months.

The change is intended to give European regulators time to complete their investigation while allowing competing AI services to operate within the platform ecosystem.

Meta has also indicated that businesses offering chatbots through WhatsApp will be required to pay fees to access the system.

The European Commission is now assessing whether these adjustments sufficiently address competition concerns surrounding the integration of AI services inside major digital platforms.

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EU launches panel on child safety online and social media age rules

The European Commission has convened a new expert panel tasked with examining how children can be better protected across digital platforms, including social media, gaming environments and AI tools.

The initiative reflects growing concern across Europe regarding the psychological and safety risks associated with young users’ online behaviour.

Announced during the 2025 State of the Union Address by Commission President Ursula von der Leyen, the panel will evaluate evidence on both the opportunities and harms linked to children’s digital engagement.

Specialists from health, computer science, child rights and digital literacy will work alongside youth representatives to assess current research and policy responses.

Discussions during the first meeting centred on platform responsibility, including age-appropriate safety-by-design features, algorithmic amplification and addictive product design.

An initiative that also addresses digital literacy for children, parents and educators, while considering how regulatory measures can reduce risks without undermining the benefits of online participation.

The panel’s work complements the enforcement of the Digital Services Act and related European policies designed to strengthen protections for minors online.

Among the tools under development is an EU age-verification application currently tested in several member states, intended to support privacy-preserving checks compatible with the future EU digital identity framework.

The panel is expected to deliver policy recommendations to the Commission by summer 2026.

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OpenAI explains 5 AI value models transforming enterprise strategy

AI is beginning to reshape corporate strategy as organisations shift from isolated technology experiments to broader operational transformation.

According to OpenAI, businesses that treat AI as a collection of disconnected pilots risk missing the bigger structural change that the technology enables.

A new framework describes five value models through which AI can gradually reshape companies. The first stage focuses on workforce empowerment, where tools such as ChatGPT spread AI capabilities across teams and improve everyday productivity.

Once employees develop fluency, organisations can introduce AI-native distribution models that transform how customers discover products and interact with digital services.

More advanced stages involve specialised systems. Expert capability integrates AI into research, creative production, and domain-specific analysis, allowing professionals to explore a wider range of ideas and experiments.

Meanwhile, systems and dependency management introduce AI tools capable of safely updating interconnected digital environments, including codebases, documentation, and operational processes.

The final stage involves full process re-engineering through autonomous agents. In such environments, AI systems coordinate complex workflows across departments while maintaining governance, accountability, and auditability.

Organisations that successfully progress through these stages may eventually redesign their business models rather than merely improving efficiency within existing structures.

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New Coruna exploit kit targets iPhones running older iOS versions

The Google Threat Intelligence Group (GTIG) has identified a powerful exploit toolkit, Coruna, that targets Apple iPhones running iOS versions 13.0 to 17.2.1.

The toolkit contains five complete exploit chains and 23 exploits designed to compromise devices using previously unseen techniques and mitigation bypasses.

Parts of the exploit chain were first detected in early 2025, when a client of a commercial surveillance vendor used them. Later investigations revealed the same framework in highly targeted attacks against Ukrainian users linked to a suspected Russian espionage group.

Toward the end of the year, the toolkit resurfaced in large-scale campaigns linked to financially motivated actors operating from China.

Coruna relies on a sophisticated JavaScript framework that identifies iPhone models and their iOS versions before delivering the appropriate WebKit remote code execution exploit and additional bypass techniques.

Several vulnerabilities exploited by the toolkit had previously been treated as zero-day flaws, highlighting the growing circulation of advanced cyber-attack tools among multiple threat actors.

Google warned that the payload can steal sensitive data, including financial and cryptocurrency wallet information, and allows attackers to deploy additional modules remotely.

The company has added related malicious domains to Safe Browsing and urged users to install the latest iOS updates, noting that the exploit kit does not affect the newest version of Apple’s operating system.

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Nokia and Google Cloud bring AI agents to telecom network APIs

Scripts, manual rules, and layered software tools traditionally ran telecom networks. A new collaboration between Google Cloud and Nokia suggests a shift: software agents can respond to goals rather than just detailed instructions.

The companies are integrating agent-based AI into Nokia’s Network as Code platform, which exposes telecom capabilities through application programming interfaces (APIs). The system allows developers to build applications that interact directly with network features such as connectivity quality, device location checks, or network slicing.

The Google-Nokia partnership introduces an AI layer that enables software agents to determine which network functions to use to achieve a goal. Such changes make development more efficient, as the AI agent can interpret instructions, automatically select the appropriate network capabilities, and reduce the need for developers to call APIs one step at a time manually.

Such automation is increasingly being explored as telecom infrastructure grows more complex with 5G, edge computing, and billions of connected devices. New features such as network slicing provide flexibility for industrial applications, private enterprise networks, and specialised connectivity, but also add operational complexity for operators.

Industry groups, including the GSMA and the 3rd Generation Partnership Project, are developing frameworks to support network APIs and automation. While agent-based AI could help networks operate more like programmable platforms, telecom operators must still address questions around reliability, security, and interoperability before large-scale deployment becomes feasible.

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Data centres’ expansion in London sparks energy and climate debate

London authorities are drafting new data centre policies amid concerns about their environmental impact and rising energy use. City Hall aims to balance the sector’s economic advantages with pressures on electricity, water, and emissions.

The Greater London Authority (GLA) estimates that 10 large data centres generate around 2.7 million tonnes of carbon emissions due to their high electricity consumption. Of the 100 data centres the UK plans, about 60 will be in London.

Megan Life, assistant director for environment and energy at the GLA, told the London Assembly Environment Committee the new strategy aims to ‘keep hold of the kind of economic growth benefits that data centres offer’ while addressing some ‘quite challenging’ impacts linked to their energy use.

Deputy mayor for environment Mete Coban said the expansion of data centres brings both ‘big benefits’ and ‘massive challenges’ for the capital, particularly in terms of energy and water consumption. ‘It’s not just a London problem, it’s going to be a global problem,’ he said, adding: ‘It’s about making sure that our environment doesn’t suffer in the hands of a few global corporations who will take and not give back, so we want to make sure we equitably do this.’

Policymakers are assessing how data centre growth may affect climate goals and urban infrastructure. London Mayor Sadiq Khan has commissioned a study to forecast future expansion. At the same time, UK lawmakers have launched an inquiry into the environmental impact of the sector as demand for cloud computing and AI infrastructure grows.

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TikTok rejects end-to-end encryption citing safety concerns

TikTok will not adopt end-to-end encryption for direct messages. The company explained that using this technology could hinder safety teams’ and law enforcement’s efforts to detect harmful content in private messages, which the company believes could make users less safe online.

Encrypted messaging ensures that only the sender and recipient can read a conversation and is widely used across the social media industry. Rivals including Facebook, Instagram, Messenger, and X have adopted the technology, saying protecting private communication is central to user privacy.

The issue has become more sensitive because the platform has long faced scrutiny over possible links between its parent company, ByteDance, and the government of the People’s Republic of China, something the company has repeatedly denied. Reflecting these concerns, earlier this year, US lawmakers ordered the separation of TikTok’s US operations from its global business.

The company told the BBC that encrypted messaging would make it impossible for police and platform safety teams to read direct messages when needed. TikTok emphasised that this decision was made to enhance user protection, with a particular focus on the safety of younger users, and that it sees monitoring capabilities as crucial for addressing harmful behaviour.

Industry analyst Matt Navarra said the platform’s decision to ‘swim against the tide’ is ‘notable’ but presents ‘challenging optics’. He noted, ‘Grooming and harassment risks are present in DMs [direct messages], so TikTok can state it is prioritising proactive safety over privacy absolutism,’ though he added that the decision ‘places TikTok out of alignment with global privacy expectations’.

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Online privacy faces new pressures in the age of social media

Online privacy is eroding as digital services collect ever-growing personal data and surveillance becomes part of daily technology use. The debate has intensified as social media platforms, advertisers, and connected devices expand their ability to track behaviour, preferences, and habits.

Analysts say younger generations have adapted to this reality rather than resisting it. ‘In 2026, online privacy is a luxury, not a right,’ says Thomas Bunting, an analyst at the UK innovation think tank Nesta. He argues many people have grown up accepting data collection as a trade-off for access to online services, noting: ‘We’ve been taught how to deal with it.’

Advocates warn that the erosion of online privacy could have wider social consequences. Cybersecurity expert Prof Alan Woodward from the University of Surrey says the issue goes beyond personal privacy. ‘People should care about online privacy because it shapes who has power over their lives,’ he says, arguing that privacy is ‘about having something to protect: freedom of thought, experimentation, dissent and personal development without permanent surveillance.’

Despite a growing number of privacy tools and regulations, data exposure remains widespread. According to Statista, more than 1.35 billion people were affected by data breaches, hacks, or exposure in 2024 alone. At the same time, more than 160 countries now have privacy legislation, while users regularly encounter cookie consent prompts that govern how their data is collected online.

Experts say frustration with privacy controls reflects a broader ‘privacy paradox’, in which people express concern about data protection but rarely change their behaviour. Cisco’s Consumer Privacy Survey found that while 89% of respondents said they care about privacy, only 38% actively take steps to protect their data.

As philosopher Carissa Véliz notes, the challenge is not simply awareness but a sense of agency: ‘Mostly, people don’t feel like they have control.’ She argues that protecting privacy requires stronger regulation, responsible technology design, and cultural change, adding: ‘It’s about having [access to] the right tech, but also using it.’

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Global AI race intensifies as China claims leadership in strategic technologies

China asserted its position as the global leader in AI and strategic technology R&D, pledging to accelerate advancement toward technological autonomy. The assertion was prominently featured in government reports presented to the National People’s Congress.

A National Development and Reform Commission report states that China leads international research, development, and implementation in AI, biomedicine, robotics, and quantum technology. The report also references advancements in domestic chip innovation as proof of progress.

Competition between China and the United States for dominance in advanced technologies has escalated. Washington imposed export controls on advanced chips, while Beijing retaliated with restrictions on rare earth resources, escalating trade tensions over strategic technologies.

The report also highlighted the country’s global leadership in open-source AI models and its expansion into emerging technology sectors, including industrial robots and drones. Authorities pledged to nurture future industries such as quantum technology, embodied AI, and 6G networks, while promoting large-scale AI deployment across key sectors.

Officials also plan to launch new data centres, coordinate nationwide computing capacity, and establish mechanisms to prevent AI security risks. The strategy places particular emphasis on embodied AI to boost productivity and performance across sectors. Although US firms command larger investment resources, Beijing is relying on supply chains, manufacturing capacity, and rapid R&D cycles to scale emerging industries despite questions about long-term growth.

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UK to launch new lab for breakthrough AI research

Researchers in the UK will gain a new AI lab designed to drive transformational breakthroughs in healthcare, transport, science, and everyday technology, supported by government funding.

The lab will provide up to £40 million in funding over six years, alongside substantial access to large-scale computing resources, inviting UK researchers to pitch their most ambitious ideas.

The Fundamental AI Research Lab will focus on tackling core AI challenges, including hallucinations, unreliable memory, and unpredictable reasoning.

The lab will support high-risk, blue-sky research rather than simply scaling existing systems. Its goal is to unlock entirely new capabilities that could improve medical diagnoses, infrastructure resilience, scientific discovery, and public services.

UK officials highlighted the country’s strength in world-class universities, AI talent, and a thriving sector attracting over £100 billion in private investment. Experts, including Raia Hadsell of Google DeepMind, will peer-review funding applications, prioritising bold, high-reward proposals.

The initiative is part of the UKRI AI Strategy, which is backed by £1.6 billion and aims to strengthen research and ensure AI benefits society and the economy. UK AI projects like RADAR for rail faults and the IXI Brain Atlas for Alzheimer’s research demonstrate the approach’s potential impact.

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