Digital business models

Wegmans faces backlash over facial recognition in US stores

Supermarket chain Wegmans Food Markets is facing scrutiny over its use of facial recognition technology. The issue emerged after New York City stores displayed signs warning that biometric data could be collected for security purposes.

New York law requires businesses to disclose biometric data collection, but the wording of the notices alarmed privacy advocates. Wegmans later said it only uses facial recognition, not voice or eye scans, and only in a small number of higher-risk stores.

According to the US company, the system identifies individuals who have been previously flagged for misconduct, such as theft or threatening behaviour. Wegmans says facial recognition is just one investigative tool and that all actions are subject to human review.

Critics argue the signage suggests broader surveillance than the company admits. Wegmans has not explained why the notices mention eyes and voice if that data is not collected, or when the wording might be revised.

Lawmakers in Connecticut have now proposed a ban on retail facial recognition. Supporters say grocery shopping is essential and that biometric monitoring weakens meaningful customer consent.

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BBC launches media literacy series for teenagers

BBC Children’s and Education has launched Solve The Story, a new series tackling online misinformation among teenagers. The six-part programme is designed for classroom use across UK schools.

The British series follows research showing teachers lack resources to teach critical thinking effectively. Surveys found teenagers struggle with online content volume, while one in three teachers find media literacy difficult to deliver.

Solve The Story uses mystery-style storytelling to help pupils question sources, spot deepfakes and challenge viral claims. Each episode includes practical classroom guides supporting teachers and lesson planning.

BBC figures say two thirds of teenagers worry about fake news causing confusion and stress. Educators argue AI-driven misinformation makes structured media literacy support increasingly urgent.

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Smartphone reliance grows amid uneven broadband access

Most Americans now use the internet daily and own smartphones, according to new Pew Research Center data. Around four in ten adults describe their internet use as almost constant.

Broadband access remains widespread, yet sharp income gaps persist across the US. Just over half of households earning under $30,000 subscribe, compared with almost all higher earners.

Smartphone ownership is nearly universal, even among older age groups. Many lower-income and younger adults increasingly rely on phones as their primary internet connection.

Researchers say digital inequality remains a defining challenge despite technological progress. Policymakers face pressure to address affordability, access, and long-term digital inclusion nationwide.

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EU instructs X to keep all Grok chatbot records

The European Commission has ordered X to retain all internal documents and data on its AI chatbot Grok until the end of 2026. The order falls under the Digital Services Act after concerns Grok’s ‘spicy’ mode enabled sexualised deepfakes of minors.

The move continues EU oversight, recalling a January 2025 order to preserve X’s recommender system documents amid claims it amplified far-right content during German elections. EU regulators emphasised that platforms must manage the content generated by their AI responsibly.

Earlier this week, X submitted responses to the Commission regarding Grok’s outputs following concerns over Holocaust denial content. While the deepfake scandal has prompted calls for further action, the Commission has not launched a formal investigation into Grok.

Regulators reiterated that it remains X’s responsibility to ensure the chatbot’s outputs meet European standards, and retention of all internal records is crucial for ongoing monitoring and accountability.

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CES 2026 showcases AI and robotics innovations

CES 2026 has already revealed a range of groundbreaking technologies, from AI-powered holograms to autonomous vehicles. The event highlights how AI and robotics are increasingly shaping both entertainment and everyday life.

Razer introduced an all-in-one anime waifu hologram for desktops, while ASUS showcased extended reality glasses that act as a 240Hz gaming monitor. LEGO unveiled a Smart Brick capable of lighting up, playing sounds, and detecting characters.

Robotics took centre stage, with Boston Dynamics revealing its next-generation Atlas robot integrated with Google DeepMind AI, signalling rapid progress in humanoid robotics.

NVIDIA announced Alpamayo, a reasoning AI for autonomous vehicles, while Lucid partnered with Uber and Nuro to showcase a robotaxi.

Health and lifestyle innovations were also prominent. Withings launched Body Scan 2, an at-home longevity station offering AI-powered insights on blood pressure and over 60 biomarkers. Gaming hardware included the 8BitDo FlipPad, a flip-style controller optimised for mobile gaming.

Samsung teased a slim 3D display that delivers depth without bulky hardware, signalling a new generation of immersive screens. Alongside it, a pen with three cameras showed advanced spatial tracking for precise motion capture and object scanning.

CES 2026 emphasises the blending of AI, robotics, and interactive devices, highlighting how technology is increasingly personal, intelligent, and integrated into everyday life.

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New York launches 2026 with new AI proposals

New York is beginning 2026 with a renewed push to shape how AI is used, focusing on consumer protection while continuing to attract major tech investment. The move follows the recent signing of the RAISE Act, a landmark law aimed at enhancing safety standards for advanced AI models, and signals that state leaders intend to remain active in AI governance this year.

Governor Kathy Hochul has unveiled a new package of proposals, primarily aimed to protecting children online. The measures would expand age verification requirements, set safer default settings on social media platforms for minors, limit certain AI chatbot features for children, and give parents greater control over their children’s financial transactions. The proposals, part of Hochul’s annual ‘State of the State’ agenda, must still pass the state legislature before becoming law.

At the same time, New York is positioning itself as a welcoming environment for AI and semiconductor development. Hochul recently announced a $33 million research and development expansion in Manhattan by London-based AI company ElevenLabs.

In addition, Micron is expected to begin construction later this month on a massive semiconductor facility in White Plains, part of a broader $100 billion investment plan that underscores the state’s ambitions in advanced technology and manufacturing.

Beyond child safety and economic development, state officials are also focusing to how algorithms impact everyday costs. Attorney General Letitia James is investigating Instacart over allegations that its pricing systems charge different customers different prices for the same products.

The probe follows the implementation of New York’s Algorithmic Pricing Disclosure Act, which took effect late last year, requiring companies to be more transparent about the use of automated pricing tools.

The attorney general’s office is also examining broader accountability issues tied to AI systems, including reports involving the misuse of generative AI. Together, these actions underscore New York’s commitment to addressing voter concerns regarding affordability, safety, and transparency, while also harnessing the economic potential of rapidly evolving AI technologies.

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Global AI adoption reaches record levels in 2025

Global adoption of generative AI continued to rise in the second half of 2025, reaching 16.3 percent of the world’s population. Around one in six people now use AI tools for work, learning, and problem-solving, marking rapid progress for a technology still in its early years.

Adoption remains uneven, with the Global North growing nearly twice as fast as the Global South. Countries with early investments in digital infrastructure and AI policies, including the UAE, Singapore, and South Korea, lead the way.

South Korea saw the most significant gain, rising seven spots globally due to government initiatives, improved Korean-language models, and viral consumer trends.

The UAE maintains its lead, benefiting from years of foresight, including early AI strategy, dedicated ministries, and regulatory frameworks that foster trust and widespread usage.

Meanwhile, open-source platforms such as DeepSeek are expanding access in underserved markets, including Africa, China, and Iran, lowering financial and technical barriers for millions of new users.

While AI adoption grows globally, disparities persist. Policymakers and developers face the challenge of ensuring that the next wave of AI users benefits broader communities, narrowing divides rather than deepening them.

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AI sovereignty test in South Korea reaches a critical phase

South Korea’s flagship AI foundation model project has entered a decisive phase after accusations that leading participants relied on foreign open source components instead of building systems entirely independently.

The controversy has reignited debate over how ‘from scratch’ development should be defined within government-backed AI initiatives aimed at strengthening national sovereignty.

Scrutiny has focused on Naver Cloud after developers identified near-identical similarities between its vision encoder and models released by Alibaba, alongside disclosures that audio components drew on OpenAI technology.

The dispute now sits with the Ministry of Science and ICT, which must determine whether independence applies only to a model’s core or extends to all major components.

An outcome that is expected to shape South Korea’s AI strategy by balancing deeper self-reliance against the realities of global open-source ecosystems.

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X restricts Grok image editing after deepfake backlash

Elon Musk’s platform X has restricted image editing with its AI chatbot Grok to paying users, following widespread criticism over the creation of non-consensual sexualised deepfakes.

The move comes after Grok allowed users to digitally alter images of people, including removing clothing without consent. While free users can still access image tools through Grok’s separate app and website, image editing within X now requires a paid subscription linked to verified user details.

Legal experts and child protection groups said the change does not address the underlying harm. Professor Clare McGlynn said limiting access fails to prevent abuse, while the Internet Watch Foundation warned that unsafe tools should never have been released without proper safeguards.

UK government officials urged regulator Ofcom to use its full powers under the Online Safety Act, including possible financial restrictions on X. Prime Minister Sir Keir Starmer described the creation of sexualised AI images involving adults and children as unlawful and unacceptable.

The controversy has renewed pressure on X to introduce stronger ethical guardrails for Grok. Critics argue that restricting features to subscribers does not prevent misuse, and that meaningful protections are needed to stop AI tools from enabling image-based abuse.

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Gmail enters the Gemini era with AI-powered inbox tools

Google is reshaping Gmail around its Gemini AI models, aiming to turn email into a proactive assistant for more than three billion users worldwide.

With inbox volumes continuing to rise, the focus shifts towards managing information flows instead of simply sending and receiving messages.

New AI Overviews allow Gmail to summarise long email threads and answer natural language questions directly from inbox content.

Users can retrieve details from past conversations without complex searches, while conversation summaries roll out globally at no cost, with advanced query features reserved for paid AI subscriptions.

Writing tools are also expanding, with Help Me Write, upgraded Suggested Replies, and Proofread features designed to speed up drafting while preserving individual tone and style.

Deeper personalisation is planned through connections with other Google services, enabling emails to reflect broader user context.

A redesigned AI Inbox further prioritises urgent messages and key tasks by analysing communication patterns and relationships.

Powered by Gemini 3, these features begin rolling out in the US in English, with additional languages and regions scheduled to follow during 2026.

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