Digital business models

Microsoft restores Azure services after global outage

The US tech giant, Microsoft, has resolved a global outage affecting its Azure cloud services, which disrupted access to Office 365, Minecraft, and numerous other websites.

The company attributed the incident to a configuration change that triggered DNS issues, impacting businesses and consumers worldwide.

An outage that affected high-profile services, including Heathrow Airport, NatWest, Starbucks, and New Zealand’s police and parliament websites.

Microsoft restored access after several hours, but the event highlighted the fragility of the internet due to the concentration of cloud services among a few major providers.

Experts noted that reliance on platforms such as Azure, Amazon Web Services, and Google Cloud creates systemic risks. Even minor configuration errors can ripple across thousands of interconnected systems, affecting payment processing, government operations, and online services.

Despite the disruption, Microsoft’s swift fix mitigated long-term impact. The company reiterated the importance of robust infrastructure and contingency planning as the global economy increasingly depends on cloud computing.

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Report reveals major barriers to UK workforce AI skills development

A new government analysis has identified deep-rooted barriers preventing widespread development of AI skills in the UK’s workforce. The research highlights systemic challenges across education, funding, and awareness, threatening the country’s ambition to build an inclusive and competitive AI economy.

UK experts found widespread confusion over what constitutes AI skills, with inconsistent terminology creating mismatches between training, qualifications, and labour market needs. Many learners and employers still conflate digital literacy with AI competence.

The report also revealed fragmented training provision, limited curriculum responsiveness, and fragile funding cycles that hinder long-term learning. Many adults lack even basic digital literacy, while small organisations and community programmes struggle to sustain AI courses beyond pilot stages.

Employers were found to have an incomplete understanding of their own AI skills needs, particularly within SMEs and public sector organisations. Without clearer frameworks, planning tools, and consistent investment, experts warn the UK risks falling behind in responsible AI adoption and workforce readiness.

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Global alliance strengthens response to crypto crime

Global experts are stepping up efforts to combat the misuse of cryptocurrencies as criminal networks become increasingly sophisticated.

The 9th Global Conference on Criminal Finances and Cryptoassets was held in Vienna and co-organised by Europol, the UNODC and the Basel Institute on Governance. The event brought together over 250 participants and 1,000 online attendees to discuss how to strengthen the global response.

Delegates emphasised the need for unified standards, stronger cooperation and greater investment in training to tackle the evolving threats posed by crypto-enabled crime.

Speakers warned that blockchain misuse has expanded beyond scams to include terrorism financing, sanctions evasion and organised money laundering. Europol’s Burkhard Mühl said tackling these complex crimes needs greater innovation and collaboration.

Advanced tracing tools and successful cross-border operations demonstrate progress, yet significant legislative and capacity gaps remain.

Participants urged harmonised standards and quicker information sharing between financial institutions and virtual asset providers. The Wolfsberg Group noted that private sector collaboration is as vital as public partnerships in disrupting illicit crypto activity.

Building capacity through hands-on training and peer learning was also identified as a priority. According to Elizabeth Andersen of the Basel Institute, equipping agencies with the skills to trace and recover illicit assets can transform how nations respond to crypto-related crime.

Experts agreed that continued dialogue, shared expertise and consistent standards are key to ensuring innovation in blockchain benefits society rather than enabling criminal networks.

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Character.ai restricts teen chat access on its platform

The AI chatbot service, Character.ai, has announced that teenagers can no longer chat with its AI characters from 25 November.

Under-18s will instead be limited to generating content such as videos, as the platform responds to concerns over risky interactions and lawsuits in the US.

Character.ai has faced criticism after avatars related to sensitive cases were discovered on the site, prompting safety experts and parents to call for stricter measures.

The company cited feedback from regulators and safety specialists, explaining that AI chatbots can pose emotional risks for young users by feigning empathy or providing misleading encouragement.

Character.ai also plans to introduce new age verification systems and fund a research lab focused on AI safety, alongside enhancing role-play and storytelling features that are less likely to place teens in vulnerable situations.

Safety campaigners welcomed the decision but emphasised that preventative measures should have been implemented.

Experts warn the move reflects a broader shift in the AI industry, where platforms increasingly recognise the importance of child protection in a landscape transitioning from permissionless innovation to more regulated oversight.

Analysts note the challenge for Character.ai will be maintaining teen engagement without encouraging unsafe interactions.

Separating creative play from emotionally sensitive exchanges is key, and the company’s new approach may signal a maturing phase in AI development, where responsible innovation prioritises the protection of young users.

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Top institutes team up with Google DeepMind to spearhead AI-assisted mathematics

AI for Math Initiative pairs Google DeepMind with five elite institutes to apply advanced AI to open problems and proofs. Partners include Imperial, IAS, IHES, the Simons Institute at UC Berkeley, and TIFR. The goal is to accelerate discovery, tooling, and training.

Google support spans funding and access to Gemini Deep Think, AlphaEvolve for algorithm discovery, and AlphaProof for formal reasoning. Combined systems complement human intuition, scale exploration, and tighten feedback loops between theory and applied AI.

Recent benchmarks show rapid gains. Deep Think enabled Gemini to reach gold-medal IMO performance, perfectly solving five of six problems for 35 points. AlphaGeometry and AlphaProof earlier achieved silver-level competence on Olympiad-style tasks.

AlphaEvolve pushed the frontiers of analysis, geometry, combinatorics, and number theory, improving the best results on 1/5 of 50 open problems. Researchers also uncovered a 4×4 matrix-multiplication method that uses 48 multiplications, surpassing the 1969 record.

Partners will co-develop datasets, standards, and open tools, while studying limits where AI helps or hinders progress. Workstreams include formal verification, conjecture generation, and proof search, emphasising reproducibility, transparency, and responsible collaboration.

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France moves to create a national Bitcoin reserve

France’s centre-right UDR party, led by Éric Ciotti, has introduced a groundbreaking proposal to create a national Bitcoin Strategic Reserve. The bill is France’s first major effort to integrate cryptocurrency and strengthen financial sovereignty through digital assets.

Under the plan, France would gradually acquire up to 2% of Bitcoin’s total supply- around 420,000 BTC- over seven to eight years. A new Public Administrative Establishment would oversee the reserve, mirroring the management of France’s gold and foreign currency holdings.

The proposal seeks to use surplus renewable and nuclear energy for Bitcoin mining to create economic value. The state would keep seized crypto and use national savings funds for daily Bitcoin purchases, potentially adding about 55,000 BTC yearly.

Beyond Bitcoin, the bill promotes euro-denominated stablecoins for everyday payments and rejects a European Central Bank-controlled digital euro, citing privacy concerns. It proposes tax exemptions for small transactions under €200 and allows certain taxes to be paid in Bitcoin or euro stablecoins.

Despite its ambition, the UDR’s limited representation in Parliament may slow progress on the proposal.

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Nordic ministers fund AI language model network

Nordic ministers for culture have approved funding for a new network dedicated to language models for AI. The decision, taken at a meeting in Stockholm on 29 October, aims to ensure AI development reflects the region’s unique linguistic and cultural traits.

It is one of the first projects for the recently launched Nordic-Baltic centre for AI, New Nordics AI.

The network will bring together national stakeholders to address shared challenges in AI language models. The initiative aims to protect smaller languages and ensure AI tools reflect Nordic linguistic diversity through knowledge sharing and collaboration.

Finland’s Minister for Research and Culture, Mari-Leena Talvitie, said the project is a key step in safeguarding the future of regional languages in digital tools.

Ministers also discussed AI’s broader cultural impact, highlighting issues such as copyright and the need for regional oversight. The network will identify collaboration opportunities and guide future investments in culturally and linguistically anchored Nordic AI solutions.

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Humanoid robots set to power Foxconn’s new Nvidia server plant in Houston

Foxconn will add humanoid robots to a new Houston plant building Nvidia AI servers from early 2026. Announced at Nvidia’s developer conference, the move deepens their partnership and positions the site as a US showcase for AI-driven manufacturing.

Humanoid systems based on Nvidia’s Isaac GR00T N are built to perceive parts, adapt on the line, and work with people. Unlike fixed industrial arms, they handle delicate assembly and switch tasks via software updates. Goals include flexible throughput, faster retooling, and fewer stoppages.

AI models are trained in simulation using digital twins and reinforcement learning to improve accuracy and safety. On the line, robots self-tune as analytics predict maintenance and balance workloads, unlocking gains across logistics, assembly, testing, and quality control.

Texas, US, offers proximity to a growing semiconductor and AI cluster, as well as policy support for domestic capacity. Foxconn also plans expansions in Wisconsin and California to meet global demand for AI servers. Scaling output should ease supply pressures around Nvidia-class compute in data centres.

Job roles will shift as routine tasks automate and oversight becomes data-driven. Human workers focus on design, line configuration, and AI supervision, with safety gates for collaboration. Analysts see a template for Industry 4.0 factories running near-continuously with rapid changeovers.

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Microsoft faces Australian lawsuit over hidden AI subscription option

In a legal move that underscores growing scrutiny of digital platforms, the Australian Competition and Consumer Commission (ACCC) has filed a lawsuit in the Federal Court against Microsoft Corporation, accusing the company of misleading approximately 2.7 million Australian personal and family-plan subscribers of its Microsoft 365 service after integrating its AI assistant Copilot.

According to the ACCC, Microsoft raised subscription prices by 45 % for the Personal plan and 29 % for the Family plan after bundling Copilot starting 31 October 2024.

The regulator says Microsoft told consumers their only options were to pay the higher price with AI or cancel their subscription, while failing to clearly disclose a cheaper ‘Classic’ version of the plan without Copilot that remained available.

The ACCC argues Microsoft’s communications omitted the existence of that lower-priced plan unless consumers initiated the cancellation process. Chair Gina Cass-Gottlieb described this omission as ‘very serious conduct’ that deprived customers of informed choice.

The regulator is seeking penalties, consumer redress, injunctions and costs, with potential sanctions of AUS $50 million (or more) per breach.

This action signals a broader regulatory push into how major technology firms bundle AI features, raise prices and present options to consumers, an issue that ties into digital economy governance, consumer trust and platform accountability.

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Global robotaxi push gets Foxconn boost

In a joint effort, Foxconn announced it will work with NVIDIA Corporation, Stellantis N.V. and Uber Technologies, Inc. on developing and deploying Level 4 (hands-off, eyes-off) autonomous vehicles for robotaxi services. Foxconn brings its expertise in high-performance computing, sensor integration and electronic control systems to the partnership.

The collaboration assigns distinct roles. Nvidia contributes its DRIVE AV software stack and DRIVE AGX Hyperion 10 architecture, Stellantis provides vehicle platforms engineered for autonomy, Foxconn handles hardware and system integration, and Uber offers its global ride-service network to scale the deployment.

Foxconn chairman Young Liu described autonomous mobility as a strategic priority within its EV programme, while Nvidia CEO Jensen Huang said this venture ‘is a leap in AI capability’.

This move underscores how hardware makers, AI firms and mobility service providers are converging around the autonomous-vehicle ecosystem.

It also highlights the expanding role of companies like Foxconn beyond traditional electronics manufacturing into mobility, AI and sensor integration, areas increasingly relevant for digital diplomacy, supply-chain resilience and global tech competition.

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