AI adoption surges with consumers but stalls in business

In a recent analysis, Goldman Sachs warned that while AI is rapidly permeating the consumer market, enterprise integration is falling much further behind.

The report highlights consumer-facing tools, such as chatbots and generative creative applications, driving the usage surge, but finds that business uptake is still ‘well below where we expected’ a year or two ago.

Goldman’s analysts point out a striking disjunction: consumer adoption is high, yet corporations are slower to embed AI deeply into workflows. One analyst remarked that although nearly 88 % of companies report using AI in some capacity, only about a third have scaled it enterprise-wide and just 39 % see measurable financial impact.

Meanwhile, infrastructure spending on AI is exploding, with projections of 3-4 trillion US dollars by the end of the decade, raising concerns among investors about return on investment and whether the current frenzy resembles past tech bubbles.

For policy-makers, digital-economy strategists and technology governance watchers, this gap has important implications. Hype and hardware build-out may be outpacing deliverables in enterprise contexts.

The divide also underlines the need for more precise metrics around productivity, workforce adaptation and organisational readiness in our discussions around AI policy and digital diplomacy.

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Google launches Private AI Compute for secure cloud-AI

In a move that underscores the evolving balance between capability and privacy in AI, Google today introduced Private AI Compute. This new cloud-based processing platform supports its most advanced models, such as those in the Gemini family, while maintaining what it describes as on-device-level data security.

The blog post explains that many emerging AI tasks now exceed the capabilities of on-device hardware alone. To solve this, Google built Private AI Compute to offload heavy computation to its cloud, powered by custom Tensor Processing Units (TPUs) and wrapped in a fortified enclave environment called Titanium Intelligence Enclaves (TIE).

The system uses remote attestation, encryption and IP-blinding relays to ensure user data remains private and inaccessible; ot even Google’s supposed to gain access.

Google identifies initial use-cases in its Pixel devices: features such as Magic Cue and Recorder will benefit from the extra compute, enabling more timely suggestions, multilingual summarisation and advanced context-aware assistance.

At the same time, the company says this platform ‘opens up a new set of possibilities for helpful AI experiences’ that go beyond what on-device AI alone can fully achieve.

This announcement is significant from both a digital policy and platform economy perspective. It illustrates how major technology firms are reconciling user privacy demands with the computational intensity of next-generation AI.

For organisations and governments focused on AI governance and digital diplomacy, the move raises questions about data sovereignty, transparency of remote enclaves and the true nature of ‘secure ‘cloud processing.

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AI-powered Google Photos features land on iOS, search expands to 100+ countries

Google Photos is introducing prompt-based edits, an ‘Ask’ button, and style templates across iOS and Android. In the US, iPhone users can describe edits by voice or text, with a redesigned editor for faster controls. The rollout builds on the August Pixel 10’s debut of prompt editing.

Personalised edits now recognise people from face groups, so you can issue multi-person requests, such as removing sunglasses or opening eyes. Find it under ‘Help me edit’, where changes apply to each named person. It’s designed for faster, more granular everyday fixes.

A new Ask button serves as a hub for AI requests, from questions about a photo to suggested edits and related moments. The interface surfaces chips that hint at actions users can take. The Ask experience is rolling out in the US on both iOS and Android.

Google is also adding AI templates that turn a single photo into set formats, such as retro portraits or comic-style panels. The company states that its Nano Banana model powers these creative styles and that templates will be available next week under the Create tab on Android in the US and India.

AI search in Google Photos, first launched in the US, is expanding to over 100 countries with support for 17 languages. Markets include Argentina, Australia, Brazil, India, Japan, Mexico, Singapore, and South Africa. Google says this brings natural-language photo search to a far greater number of users.

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The AI soldier and the ethics of war

The rise of the machine soldier

For decades, Western militaries have led technological revolutions on the battlefield. From bows to tanks to drones, technological innovation has disrupted and redefined warfare for better or worse. However, the next evolution is not about weapons, it is about the soldier.

New AI-integrated systems such as Anduril’s EagleEye Helmet are transforming troops into data-driven nodes, capable of perceiving and responding with machine precision. This fusion of human and algorithmic capabilities is blurring the boundary between human roles and machine learning, redefining what it means to fight and to feel in war.

Today’s ‘AI soldier’ is more than just enhanced. They are networked, monitored, and optimised. Soldiers now have 3D optical displays that give them a god’s-eye view of combat, while real-time ‘guardian angel’ systems make decisions faster than any human brain can process.

Yet in this pursuit of efficiency, the soldier’s humanity and the rules-based order of war risk being sidelined in favour of computational power.

From soldier to avatar

In the emerging AI battlefield, the soldier increasingly resembles a character in a first-person shooter video game. There is an eerie overlap between AI soldier systems and the interface of video games, like Metal Gear Solid, where augmented players blend technology, violence, and moral ambiguity. The more intuitive and immersive the tech becomes, the easier it is to forget that killing is not a simulation.

By framing war through a heads-up display, AI gives troops an almost cinematic sense of control, and in turn, a detachment from their humanity, emotions, and the physical toll of killing. Soldiers with AI-enhanced senses operate through layers of mediated perception, acting on algorithmic prompts rather than their own moral intuition. When soldiers view the world through the lens of a machine, they risk feeling less like humans and more like avatars, designed to win, not to weigh the cost.

The integration of generative AI into national defence systems creates vulnerabilities, ranging from hacking decision-making systems to misaligned AI agents capable of escalating conflicts without human oversight. Ironically, the same guardrails that prevent civilian AI from encouraging violence cannot apply to systems built for lethal missions.

The ethical cost

Generative AI has redefined the nature of warfare, introducing lethal autonomy that challenges the very notion of ethics in combat. In theory, AI systems can uphold Western values and ethical principles, but in practice, the line between assistance and automation is dangerously thin.

When militaries walk this line, outsourcing their decision-making to neural networks, accountability becomes blurred. Without the basic principles and mechanisms of accountability in warfare, states risk the very foundation of rules-based order. AI may evolve the battlefield, but at the cost of diplomatic solutions and compliance with international law.  

AI does not experience fear, hesitation, or empathy, the very qualities that restrain human cruelty. By building systems that increase efficiency and reduce the soldier’s workload through automated targeting and route planning, we risk erasing the psychological distinction that once separated human war from machine-enabled extermination. Ethics, in this new battlescape, become just another setting in the AI control panel. 

The new war industry 

The defence sector is not merely adapting to AI. It is being rebuilt around it. Anduril, Palantir, and other defence tech corporations now compete with traditional military contractors by promising faster innovation through software.

As Anduril’s founder, Palmer Luckey, puts it, the goal is not to give soldiers a tool, but ‘a new teammate.’ The phrasing is telling, as it shifts the moral axis of warfare from command to collaboration between humans and machines.

The human-machine partnership built for lethality suggests that the military-industrial complex is evolving into a military-intelligence complex, where data is the new weapon, and human experience is just another metric to optimise.

The future battlefield 

If the past century’s wars were fought with machines, the next will likely be fought through them. Soldiers are becoming both operators and operated, which promises efficiency in war, but comes with the cost of human empathy.

When soldiers see through AI’s lens, feel through sensors, and act through algorithms, they stop being fully human combatants and start becoming playable characters in a geopolitical simulation. The question is not whether this future is coming; it is already here. 

There is a clear policy path forward, as states remain tethered to their international obligations. Before AI blurs the line between soldier and system, international law could enshrine a human-in-the-loop requirement for all lethal actions, while defence firms are compelled to maintain high ethical transparency standards.

The question now is whether humanity can still recognise itself once war feels like a game, or whether, without safeguards, it will remain present in war at all.

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OpenAI loses German copyright lawsuit over song lyrics reproduction

A Munich regional court has ruled that OpenAI infringed copyright in a landmark case brought by the German rights society GEMA. The court held OpenAI liable for reproducing and memorising copyrighted lyrics without authorisation, rejecting its claim to operate as a non-profit research institute.

The judgement found that OpenAI had violated copyright even in a 15-word passage, setting a low threshold for infringement. Additionally, the court dismissed arguments about accidental reproduction and technical errors, emphasising that both reproduction and memorisation require a licence.

It also denied OpenAI’s request for a grace period to make compliance changes, citing negligence.

Judges concluded that the company could not rely on proportionality defences, noting that licences were available and alternative AI models exist.

OpenAI’s claim that EU copyright law failed to foresee large language models was rejected, as the court reaffirmed that European law ensures a high level of protection for intellectual property.

The ruling marks a significant step for copyright enforcement in the age of generative AI and could shape future litigation across Europe. It also challenges technology companies to adapt their training and licensing practices to comply with existing legal frameworks.

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Artist secretly hangs AI print Cardiff museum

An AI-generated print by artist Elias Marrow was secretly placed on a gallery wall at the National Museum Cardiff before staff were alerted, and it was removed. The work, titled Empty Plate, shows a young boy in a school uniform holding a plate and was reportedly seen by hundreds of visitors.

Marrow said the piece represents Wales in 2025 and examines how public institutions decide what is worth displaying. He defended the stunt as participatory rather than vandalism, emphasising that AI is a natural evolution of artistic tools.

Visitors photographed the artwork, and some initially thought it was performance art, while the museum confirmed it had no prior knowledge of the piece. Marrow has carried out similar unsanctioned displays at Bristol Museum and Tate Modern, highlighting his interest in challenging traditional curation.

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IMY investigates major ransomware attack on Swedish IT supplier

Sweden’s data protection authority, IMY, has opened an investigation into a massive ransomware-related data breach that exposed personal information belonging to 1.5 million people. The breach originated from a cyberattack on IT provider Miljödata in August, which affected roughly 200 municipalities.

Hackers reportedly stole highly sensitive data, including names, medical certificates, and rehabilitation records, much of which has since been leaked on the dark web. Swedish officials have condemned the incident, calling it one of the country’s most serious cyberattacks in recent years.

The IMY said the investigation will examine Miljödata’s data protection measures and the response of several affected public bodies, such as Gothenburg, Älmhult, and Västmanland. The regulator’s goal is to identify security shortcomings for future cyber threats.

Authorities have yet to confirm how the attackers gained access to Miljödata’s systems, and no completion date for the investigation has been announced. The breach has reignited calls for tighter cybersecurity standards across Sweden’s public sector.

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University of Athens partners with Google to boost AI education

The National and Kapodistrian University of Athens has announced a new partnership with Google to enhance university-level education in AI. The collaboration grants all students free 12-month access to Google’s AI Pro programme, a suite of advanced learning and research tools.

Through the initiative, students can use Gemini 2.5 Pro, Google’s latest AI model, along with Deep Research and NotebookLM for academic exploration and study organisation. The offer also includes 2 TB of cloud storage and access to Veo 3 for video creation and Jules for coding support.

The programme aims to expand digital literacy and increase hands-on engagement with generative and research-driven AI tools. By integrating these technologies into everyday study, the university hopes to cultivate a new generation of AI-experienced graduates.

University officials view the collaboration as a milestone in Greek AI-driven education, following recent national initiatives to introduce AI programmes in schools and healthcare. The partnership marks a significant step in aligning higher education with the global digital economy.

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Denmark’s new chat control plan raises fresh privacy concerns

Denmark has proposed an updated version of the EU’s controversial ‘chat control’ regulation, shifting from mandatory to voluntary scanning of private messages. Former MEP Patrick Breyer has warned, however, that the revision still threatens Europeans’ right to private communication.

Under the new plan, messaging providers could choose to scan chats for illegal material, but without a clear requirement for court orders. Breyer argued that this sidesteps the European Parliament’s position, which insists on judicial authorisation before any access to communications.

He also criticised the proposal for banning under-16s from using messaging apps like WhatsApp and Telegram, claiming such restrictions would prove ineffective and easily bypassed. In addition, the plan would effectively outlaw anonymous communication, requiring users to verify their identities through IDs.

Privacy advocates say the Danish proposal could set a dangerous precedent by eroding fundamental digital rights. Civil society groups have urged EU lawmakers to reject measures that compromise secure, anonymous communication essential for journalists and whistleblowers.

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Inside OpenAI’s battle to protect AI from prompt injection attacks

OpenAI has identified prompt injection as one of the most pressing new challenges in AI security. As AI systems gain the ability to browse the web, handle personal data and act on users’ behalf, they become targets for malicious instructions hidden within online content.

These attacks, known as prompt injections, can trick AI models into taking unintended actions or revealing sensitive information.

To counter the issue, OpenAI has adopted a multi-layered defence strategy that combines safety training, automated monitoring and system-level security protections. The company’s research into ‘Instruction Hierarchy’ aims to help models distinguish between trusted and untrusted commands.

Continuous red-teaming and automated detection systems further strengthen resilience against evolving threats.

OpenAI also provides users with greater control, featuring built-in safeguards such as approval prompts before sensitive actions, sandboxing for code execution, and ‘Watch Mode’ when operating on financial or confidential sites.

These measures ensure that users remain aware of what actions AI agents perform on their behalf.

While prompt injection remains a developing risk, OpenAI expects adversaries to devote significant resources to exploiting it. The company continues to invest in research and transparency, aiming to make AI systems as secure and trustworthy as a cautious, well-informed human colleague.

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