EU moves forward on new online child protection rules

EU member states reached a common position on a regulation intended to reduce online child sexual abuse.

The proposal introduces obligations for digital service providers to prevent the spread of harmful content and to respond when national authorities require the removal, blocking or delisting of material.

A framework that requires providers to assess how their services could be misused and to adopt measures that lower the risk.

Authorities will classify services into three categories based on objective criteria, allowing targeted obligations for higher-risk environments. Victims will be able to request assistance when seeking the removal or disabling of material that concerns them.

The regulation establishes an EU Centre on Child Sexual Abuse, which will support national authorities, process reports from companies and maintain a database of indicators. The Centre will also work with Europol to ensure that relevant information reaches law enforcement bodies in member states.

The Council position makes permanent the voluntary activities already carried out by companies, including scanning and reporting, which were previously supported by a temporary exemption.

Formal negotiations with the European Parliament can now begin with the aim of adopting the final regulation.

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SAP expands sovereign cloud vision with EU AI Cloud

SAP introduced the EU AI Cloud as part of a unified plan that aims to support Europe’s digital sovereignty goals.

The offering consolidates SAP’s existing sovereign cloud work under one structure and provides organisations with a way to meet strict regulatory and operational needs, ensuring full EU data residency.

Customers can select deployment options that match their level of required control, ranging from SAP’s European data centres to on-site infrastructure.

SAP is also expanding its partnership with Cohere to integrate advanced multimodal and agentic AI features through Cohere North.

Incorporation into SAP Business Technology Platform enables enterprises with data residency constraints to apply AI within core processes without undermining compliance or performance.

A collaboration that is intended to improve insight generation and decision support across a wide range of industries.

EU AI Cloud is backed by a broad ecosystem that includes Cohere, Mistral AI, OpenAI and other partners whose models and applications can be accessed through SAP BTP.

European enterprises and public bodies gain access to routes for developing and deploying AI tools while maintaining flexibility and sovereignty.

The range of options includes SAP Sovereign Cloud, customer-operated on-site deployments and, where chosen, commercial services on selected hyperscalers with sovereignty controls. The approach also includes Delos Cloud for organisations in Germany that require dedicated public sector safeguards.

SAP positions the initiative as a means to advance AI adoption in Europe, aligning with regional standards on data protection and operational independence.

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EU faces new battles over digital rights

EU policy debates intensified after Denmark abandoned plans for mandatory mass scanning in the draft Child Sexual Abuse Regulation. Advocates welcomed the shift yet warned that new age checks and potential app bans still threaten privacy.

France and the UK advanced consultations on good practice guidelines for cyber intrusion firms, seeking more explicit rules for industry responsibility. Civil society groups also marked two years of the Digital Services Act by reflecting on enforcement experience and future challenges.

Campaigners highlighted rising concerns about tech-facilitated gender violence during the 16 Days initiative. The Centre for Democracy and Technology launched fresh resources stressing encryption protection, effective remedies and more decisive action against gendered misinformation.

CDT Europe also criticised the Commission’s digital omnibus package for weakening safeguards under laws, including the AI Act. The group urged firm enforcement of existing frameworks while exploring better redress options for AI-related harms in the EU legislation.

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Scarcity gives Europe an edge in the AI race

Europe’s constrained energy supply and strict regulations are emerging as unlikely strengths in the global race to expand AI infrastructure. Limited power access and careful planning are encouraging more resilient, future-ready data-centre designs that appeal to long-term investors.

Countries such as the Nordics, Spain and Italy are drawing interest due to stronger renewable capacity and shorter grid-connection times, while the UK, Germany and the Netherlands face greater congestion.

Shifting to a ‘first ready, first connected’ model aims to curb speculation and speed up delivery of viable projects.

Europe’s biggest opportunity lies in cloud-focused facilities and AI inference, which analysts expect to account for most AI demand and must often remain within regional borders.

Tighter rules may slow construction, yet they reduce the risk of stranded assets and support sustainable sites that strengthen Europe’s investment case.

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South Korea accelerates AI adoption as NVIDIA strengthens national ecosystem

NVIDIA AI Day Seoul drew more than 1,000 visitors who gathered to explore sovereign AI and the rapid progress shaping South Korea’s digital landscape.

Attendees joined workshops, technical sessions and startup showcases designed to highlight the country’s expanding ecosystem instead of focusing only on theoretical advances.

Five finalists from the Inception Grand Challenge also presented their work, reflecting the growing strength of South Korea’s startup community.

Speakers outlined how AI now supports robotics, industrial production, entertainment and public administration.

Conglomerates from South Korea, such as Samsung, SK Group, Hyundai Motor Group and NAVER Cloud, have intensified their investment in AI, while government agencies rely on accelerated computing to process documents and policy information at scale.

South Korea’s ecosystem continues to expand with hundreds of Inception startups, sovereign LLM initiatives and major supercomputing deployments.

Developers engaged directly with NVIDIA engineers through workshops and a Q&A area covering AI infrastructure, LLMs, robotics and automotive technologies. Plenary sessions examined agentic AI, reasoning models and the evolution of AI factories.

Partners presented advances in training efficiency, agentic systems and large-scale AI infrastructure built with NVIDIA’s platforms instead of legacy hardware.

South Korea’s next phase of development will be supported by access to 260,000 GPUs announced during the APEC Summit. Officials expect the infrastructure to accelerate startup growth, stimulate national AI priorities and attract new collaboration across research and industry.

The Seoul event marks another step in the country’s effort to reinforce its digital foundation while expanding its role in global AI innovation.

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Coinbase Ventures reveals top areas to watch in 2026

Coinbase Ventures has shared the ideas its team is most excited about for 2026, highlighting areas with high potential for innovation in crypto and blockchain. Key sectors include asset tokenisation, specialised exchanges, next-generation DeFi, and AI-driven robotics.

The firm is actively seeking teams to invest in these emerging opportunities.

Perpetual contracts on real-world assets are set to expand, enabling synthetic exposure to private companies, commodities, and macroeconomic data. Specialised exchanges and trading terminals aim to consolidate liquidity, protect market makers, and improve the prediction market user experience.

Next-gen DeFi will expand with composable perpetual markets, unsecured lending, and privacy-focused applications. These developments could redefine capital efficiency, financial infrastructure, and user confidentiality across the ecosystem.

AI and robotics are also a focus, with projects targeting advanced robotic data collection, proof-of-humanity solutions, and AI-driven innovative contract development. Coinbase Ventures emphasises the potential for these technologies to accelerate on-chain adoption and innovation.

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EU prepares tougher oversight for crypto operators

EU regulators are preparing for a significant shift in crypto oversight as new rules take effect on 1 January 2026. Crypto providers must report all customer transactions and holdings in a uniform digital format, giving tax authorities broader visibility across the bloc.

The DAC8 framework brings mandatory cross-border data sharing, a centralised operator register and unique ID numbers for each reporting entity. These measures aim to streamline supervision and enhance transparency, even though data on delisted firms must be preserved for up to twelve months.

Privacy concerns are rising as the new rules expand the travel rule for transfers above €1,000 and introduce possible ownership checks on private wallets. Combined with MiCA and upcoming AML rules, regulators gain deeper insight into user behaviour, wallet flows and platform operations.

Plans for ESMA to oversee major exchanges are facing pushback from smaller financial hubs, which are concerned about higher compliance costs and reduced competitiveness. Supporters argue that unified supervision is necessary to prevent regulatory gaps and reinforce market integrity across the EU.

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London councils activate emergency plans after serious cyber attack

The Royal Borough of Kensington and Chelsea has activated emergency response plans after a cyberattack disrupted council systems in west London.

Westminster City Council and Hammersmith and Fulham Council are also affected through joint arrangements, with the National Crime Agency and the National Cyber Security Centre, led by GCHQ, leading the investigation. Staff in some areas have been advised to work from home while parts of the network stay offline as a precaution.

An internal memo shows that sections of the network remain closed and that a full return of affected systems is not expected for several days. Phone lines and online forms may face disruption, although alternative contact numbers are available on the council website.

Cybersecurity specialist Nathan Webb advised residents to be cautious about emails or calls referencing the incident, as attackers frequently exploit public attention surrounding a breach to launch scams.

He added that identifying any external supplier involved is essential so that other clients can secure their own systems. Forescout expert Rik Ferguson said the case demonstrates how shared digital services can allow a breach to spread risk across multiple organisations.

Councils have praised the overnight work by IT teams, but are not disclosing technical details while the investigation continues.

BBC cyber correspondent Joe Tidy said taking servers offline is an extreme step usually used for significant incidents. He pointed to the Co-op case earlier this year, where the company also disconnected systems, but only after hackers had already taken data from 6.5 million people.

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New phishing kit targets Microsoft 365 users

Researchers have uncovered a large phishing operation, known as Quantum Route Redirect (QRR), that creates fake Microsoft 365 login pages across nearly 1,000 domains. The campaign uses convincing email lures, including DocuSign notices and payment alerts, to steal user credentials.

QRR operations have reached 90 countries, with US users hit hardest. Analysts say the platform evades scanners by sending bots to safe pages while directing real individuals to credential-harvesting sites on compromised domains.

The kit emerged shortly after Microsoft disrupted the RaccoonO365 network, which had stolen thousands of accounts. Similar tools, such as VoidProxy and Darcula, have appeared; yet, QRR stands out for its automation and ease of use, which enable rapid, large-scale attacks.

Cybersecurity experts warn that URL scanning alone can no longer stop such operations. Organisations are urged to adopt layered protection, stronger sign-in controls and behavioural monitoring to detect scams that increasingly mimic genuine Microsoft systems.

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