Digital business models

Japan arrests suspect over AI deepfake pornography

Police in Japan have arrested a man accused of creating and selling non-consensual deepfake pornography using AI tools. The Tokyo Metropolitan Police Department said thousands of manipulated images of female celebrities were distributed through paid websites.

Investigators in Japan allege the suspect generated hundreds of thousands of images over two years using freely available generative AI software. Authorities say the content was promoted on social media before being sold via subscription platforms.

The arrest follows earlier cases in Japan and reflects growing concern among police worldwide. In South Korea, law enforcement has reported hundreds of arrests linked to deepfake sexual crimes, while cases have also emerged in the UK.

European agencies, including Europol, have also coordinated arrests tied to AI-generated abuse material. Law enforcement bodies say the spread of accessible AI tools is forcing rapid changes in forensic investigation and in the handling of digital evidence.

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Stanford and Swiss institutes unite on open AI models

Stanford University, ETH Zurich, and EPFL have launched a transatlantic partnership to develop open-source AI models prioritising societal values over commercial interests.

The partnership was formalised through a memorandum of understanding signed during the World Economic Forum meeting in Davos.

The agreement establishes long-term cooperation in AI research, education, and innovation, with a focus on large-scale multimodal models. The initiative aims to strengthen academia’s influence over global AI by promoting transparency, accountability, and inclusive access.

Joint projects will develop open datasets, evaluation benchmarks, and responsible deployment frameworks, alongside researcher exchanges and workshops. The effort aims to embed human-centred principles into technical progress while supporting interdisciplinary discovery.

Academic leaders said the alliance reinforces open science and cultural diversity amid growing corporate influence over foundation models. The collaboration positions universities as central drivers of ethical, trustworthy, and socially grounded AI development.

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Google adds Personal Intelligence to AI Search

Google has expanded AI Search with Personal Intelligence, enabling more personalised responses using Gmail and Google Photos data. The feature aims to combine global information with individual context to deliver search results tailored to each user.

Eligible Google AI Pro and AI Ultra subscribers can opt in to securely connect their Gmail and Photos accounts, allowing Search to draw on personal preferences, travel plans, purchases, and memories.

The system uses contextual insights to generate recommendations that reflect users’ habits, interests, and upcoming activities.

Personal Intelligence enhances shopping, travel planning, and lifestyle discovery by anticipating needs and offering customised suggestions. Privacy controls remain central, with users able to manage data connections and turn off personal context at any time.

The feature is launching as an experimental Labs release for English-language users in the United States, with broader availability expected following testing. Google said ongoing feedback will guide refinements as the system continues to evolve.

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Education for Countries programme signals OpenAI push into public education policy

OpenAI has launched the Education for Countries programme, a new global initiative designed to support governments in modernising education systems and preparing workforces for an AI-driven economy.

The programme responds to a widening gap between rapid advances in AI capabilities and people’s ability to use them effectively in everyday learning and work.

Education systems are positioned at the centre of closing that gap, as research suggests a significant share of core workplace skills will change by the end of the decade.

By integrating AI tools, training and research into schools and universities, national education frameworks can evolve alongside technological change and better equip students for future labour markets.

The programme combines access to tools such as ChatGPT Edu and advanced language models with large-scale research on learning outcomes, tailored national training schemes and internationally recognised certifications.

A global network of governments, universities and education leaders will also share best practices and shape responsible approaches to AI use in classrooms.

Initial partners include Estonia, Greece, Italy, Jordan, Kazakhstan, Slovakia, Trinidad and Tobago and the United Arab Emirates. Early national rollouts, particularly in Estonia, already involve tens of thousands of students and educators, with further countries expected to join later in 2026.

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Burkina Faso pushes digital sovereignty through national infrastructure supervision

Burkina Faso has launched work on a Digital Infrastructure Supervision Centre as part of a broader effort to strengthen national oversight of digital public infrastructure and reduce exposure to external digital risks.

The project forms a core pillar of the government’s digital sovereignty strategy amid rising cybersecurity threats across public systems.

Led by the Ministry of Digital Transition, Posts and Electronic Communications, the facility is estimated to cost $5.4 million and is scheduled for completion by October.

Authorities state that the centre will centralise oversight of the national backbone network, secure cyberspace operations and supervise the functioning of domestic data centres instead of relying on external monitoring mechanisms.

Government officials argue that the supervision centre will enable resilient and sovereign management of critical digital systems while supporting a policy requiring sensitive national data to remain within domestic infrastructure.

The initiative also complements recent investments in biometric identity systems and regional digital identity frameworks.

Beyond infrastructure security, the project is positioned as groundwork for future AI adoption by strengthening sovereign data and connectivity systems.

The leadership of Burkina Faso continues to emphasise digital autonomy as a strategic priority across governance, identity management and emerging technologies.

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TikTok restructures operations for US market

TikTok has finalised a deal allowing the app to continue operating in America by separating its US business from its global operations. The agreement follows years of political pressure in the US over national security concerns.

Under the arrangement, a new entity will manage TikTok’s US operations, with user data and algorithms handled inside the US. The recommendation algorithm has been licensed and will now be trained only on US user data to meet American regulatory requirements.

Ownership of TikTok’s US business is shared among American and international investors, while China-based ByteDance retains a minority stake. Oracle will oversee data security and cloud infrastructure for users in the US.

Analysts say the changes could alter how the app functions for the roughly 200 million users in the US. Questions remain over whether a US-trained algorithm will perform as effectively as the global version.

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EU cyber rules target global tech dependence

The European Union has proposed new cybersecurity rules aimed at reducing reliance on high-risk technology suppliers, particularly from China. In the European Union, policymakers argue existing voluntary measures failed to curb dependence on vendors such as Huawei and ZTE.

The proposal would introduce binding obligations for telecom operators across the European Union to phase out Chinese equipment. At the same time, officials have warned that reliance on US cloud and satellite services also poses security risks for Europe.

Despite increased funding and expanded certification plans, divisions remain within the European Union. Countries including Germany and France support stricter sovereignty rules, while others favour continued partnerships with US technology firms.

Analysts say the lack of consensus in the European Union could weaken the impact of the reforms. Without clear enforcement and investment in European alternatives, Europe may struggle to reduce dependence on both China and the US.

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Tata’s $11 billion Innovation City plan gains global visibility at Davos

Tata Sons plans to invest $11 billion to build a large ‘Innovation City’ near the upcoming Navi Mumbai International Airport, according to Maharashtra Chief Minister Devendra Fadnavis, speaking at the World Economic Forum (WEF) in Davos. He said the project has drawn strong interest from international investors and will include major infrastructure upgrades alongside a data centre.

Fadnavis said the aim is to turn Mumbai and its wider region into a global, ‘plug-and-play’ innovation hub where companies can quickly set up and scale new technologies. He described the initiative as the first of its kind in India and said work is expected to begin within six to eight months.

The location next to the Adani Group–developed Navi Mumbai Airport is being positioned as an advantage, linking global connectivity with the high-tech industry. The project also reflects a broader global rush to expand data centres as companies roll out AI services, with firms such as Microsoft, Alphabet, and Amazon investing heavily in new capacity worldwide.

Maharashtra, which contributes more than 10 percent of India’s GDP and hosts the country’s financial capital, is also pushing a wider infrastructure drive, including a $30 billion plan to upgrade Mumbai. State leaders have framed these investments as part of an effort to boost growth and respond to economic pressures, including unemployment.

The Innovation City is expected to support India’s ambitions in AI and semiconductors, with national officials pointing to a public-private partnership approach rather than leaving development solely to big tech companies. Alongside this, the state is exploring energy innovation, including potential collaborations on small modular nuclear reactors, following recent legislative support for smaller-scale nuclear projects.

Taken together, the plan is being presented as a bid to attract global investment, accelerate high-tech development, and strengthen India’s role in emerging industrial and technology shifts centred on AI, advanced manufacturing, and digital infrastructure.

Diplo is live reporting on all sessions from the World Economic Forum 2026 in Davos.

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Humanoid robots and AI take centre stage as Musk joins Davos 2026

Elon Musk made his first appearance at the World Economic Forum in Davos despite years of public criticism towards the gathering, arguing that AI and robotics represent the only realistic route to global abundance.

Speaking alongside BlackRock chief executive Larry Fink, Musk framed robotics as a civilisational shift rather than a niche innovation, claiming widespread automation will raise living standards and reshape economic growth.

Musk predicted a future where robots outnumber humans, with humanoid systems embedded across industry, healthcare and domestic life.

He highlighted elder care as a key use case in ageing societies facing labour shortages, suggesting that robotics could compensate for demographic decline rather than relying solely on migration or extended working lives.

Tesla’s Optimus humanoid robots are already performing simple factory tasks, with more complex functions expected within a year.

Musk indicated public sales could begin by 2027 once reliability thresholds are met. He also argued autonomous driving is largely resolved, pointing to expanding robotaxi deployments in the US and imminent regulatory decisions in Europe and China.

The global market for humanoid robotics remains relatively small, but analysts expect rapid expansion as AI capabilities improve and costs fall.

Musk at Davos 2026 presented robotics as an engine for economic acceleration, suggesting ubiquitous automation could unlock productivity gains on a scale comparable to past industrial revolutions.

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OpenAI ads in ChatGPT signal a shift in conversational advertising

The AI firm, OpenAI, plans to introduce advertising within ChatGPT for logged-in adult users, marking a structural shift in how brands engage audiences through conversational interfaces.

Ads would be clearly labelled and positioned alongside responses, aiming to replace interruption-driven formats with context-aware brand suggestions delivered during moments of active user intent.

Industry executives describe conversational AI advertising as a shift from exposure to earned presence, in which brands must provide clarity or utility to justify inclusion.

Experts warn that trust remains fragile, as AI recommendations carry the weight of personal consultation, and undisclosed commercial influence could prompt rapid user disengagement instead of passive ad avoidance.

Regulators and marketers alike highlight risks linked to dark patterns, algorithmic framing and subtle manipulation within AI-mediated conversations.

As conversational systems begin to shape discovery and decision-making, media planning is expected to shift toward intent-led engagement, authority-building, and transparency, reshaping digital advertising economics beyond search rankings and impression-based buying.

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