South Korea faces mounting pressure from US AI chip tariffs

New US tariffs on advanced AI chips are drawing scrutiny over their impact on global supply chains, with South Korea monitoring potential effects on its semiconductor industry.

The US administration has approved a 25 percent tariff on advanced chips that are imported into the US and then re-exported to third countries. The measure is widely seen as aimed at restricting the flow of AI accelerators to China.

The tariff thresholds are expected to cover processors such as Nvidia’s H200 and AMD’s MI325X, which rely on high-bandwidth memory supplied by Samsung Electronics and SK hynix.

Industry officials say most memory exports from South Korea to the US are used in domestic data centres, which are exempt under the proclamation, reducing direct exposure for suppliers.

South Korea’s trade ministry has launched consultations with industry leaders and US counterparts to assess risks and ensure Korean firms receive equal treatment to competitors in Taiwan, Japan and the EU.

Would you like to learn more about AI, tech, and digital diplomacy? If so, ask our Diplo chatbot!

California moves to halt X AI deepfakes

California has ordered Elon Musk’s AI company xAI to stop creating and sharing non-consensual sexual deepfakes immediately. The move follows a surge in explicit AI-generated images circulating on X.

Attorney General Rob Bonta said xAI’s Grok tool enabled the manipulation of images of women and children without consent. Authorities argue that such activity breaches state decency laws and a new deepfake pornography ban.

The Californian investigation began after researchers found Grok users shared more non-consensual sexual imagery than users of other platforms. xAI introduced partial restrictions, though regulators said the real-world impact remains unclear.

Lawmakers say the case highlights growing risks linked to AI image tools. California officials warned companies could face significant penalties if deepfake creation and distribution continue unchecked.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot

Finnish data breach exposed thousands of patients

A major data breach at Finnish psychotherapy provider Vastaamo exposed the private therapy records of around 33,000 patients in 2020. Hackers demanded bitcoin payments and threatened to publish deeply personal notes if victims refused to pay.

Among those affected was Meri-Tuuli Auer, who described intense fear after learning her confidential therapy details could be accessed online. Stolen records included discussions of mental health, abuse, and suicidal thoughts, causing nationwide shock.

The breach became the largest criminal investigation in Finland, prompting emergency government talks led by then prime minister Sanna Marin. Despite efforts to stop the leak, the full database had already circulated on the dark web.

Finnish courts later convicted cybercriminal Julius Kivimäki, sentencing him to more than six years in prison. Many victims say the damage remains permanent, with trust in therapy and digital health systems severely weakened.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot

French regulator fines Free and Free Mobile €42 million

France’s data protection regulator CNIL has fined telecom operators Free Mobile and Free a combined €42 million over a major customer data breach. The sanctions follow an October 2024 cyberattack that exposed personal data linked to 24 million subscriber contracts.

Investigators found security safeguards were inadequate, allowing attackers to access sensitive personal data, including bank account details. Weak VPN authentication and poor detection of abnormal system activity were highlighted as key failures under the GDPR.

The French regulator also ruled that affected customers were not adequately informed about the risks they faced. Notification emails lacked sufficient detail to explain potential consequences or protective steps, thereby breaching obligations to clearly communicate data breach impacts.

Free Mobile faced an additional penalty for retaining former customer data longer than permitted. Authorities ordered both companies to complete security upgrades and data clean-up measures within strict deadlines.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot

Questions mount over AI-generated artist

An artist called Sienna Rose has drawn millions of streams on Spotify, despite strong evidence suggesting she is AI-generated. Several of her jazz-influenced soul tracks have gone viral, with one surpassing five million plays.

Streaming platform Deezer says many of its songs have been flagged as AI-made using detection tools that identify technical artefacts in the audio. Signs include an unusually high volume of releases, generic sound patterns and a complete absence of live performances or online presence.

The mystery intensified after pop star Selena Gomez briefly shared one of Rose’s tracks on social media, only for it to be removed amid growing scrutiny. Record labels linked to Rose have declined to clarify whether a human performer exists.

The case highlights mounting concern across the industry as AI music floods streaming services. Artists, including Raye and Paul McCartney, have warned audiences that they still value emotional authenticity over algorithmic output.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot

AI power demand pushes nuclear energy back into focus

Rising AI-driven electricity demand is straining power grids and renewing focus on nuclear energy as a stable, low-carbon solution. Data centres powering AI systems already consume electricity at the scale of small cities, and demand is accelerating rapidly.

Global electricity consumption could rise by more than 10,000 terawatt-hours by 2035, largely driven by AI workloads. In advanced economies, data centres are expected to drive over a fifth of electricity-demand growth by 2030, outpacing many traditional industries.

Nuclear energy is increasingly positioned as a reliable backbone for this expansion, offering continuous power, high energy density, and grid stability.

Governments, technology firms, and nuclear operators are advancing new reactor projects, while long-term power agreements between tech companies and nuclear plants are becoming more common.

Alongside large reactors, interest is growing in small modular reactors designed for faster deployment near data centres. Supporters say these systems could ease grid bottlenecks and deliver dedicated power for AI, strengthening nuclear energy’s role in the digital economy.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot

xAI faces stricter pollution rules for Memphis data centre

US regulators have closed a loophole that allowed Elon Musk’s AI company, xAI, to operate gas-burning turbines at its Memphis data centre without full air pollution permits. The move follows concerns over emissions and local health impacts.

The US Environmental Protection Agency clarified that mobile gas turbines cannot be classified as ‘non-road engines’ to avoid Clean Air Act requirements. Companies must now obtain permits if their combined emissions exceed regulatory thresholds.

Local authorities had previously allowed the turbines to operate without public consultation or environmental review. The updated federal rule may slow xAI’s expansion plans in the Memphis area.

The Colossus data centre, opened in 2024, supports training and inference for Grok AI models and other services linked to Musk’s X platform. NVIDIA hardware is used extensively at the site.

Residents and environmental groups have raised concerns about air quality, particularly in nearby communities. Legal advocates say xAI’s future operations will be closely monitored for regulatory compliance.

Would you like to learn more about AI, tech, and digital diplomacy? If so, ask our Diplo chatbot!

EU revises Cybersecurity Act to streamline certification

The European Commission plans to revise the Cybersecurity Act to expand certification schemes beyond ICT products and services. Future assessments would also cover companies’ overall risk-management posture, including governance and supply-chain practices.

Only one EU-wide scheme, the Common Criteria framework, has been formally adopted since 2019. Cloud, 5G, and digital identity certifications remain stalled due to procedural complexity and limited transparency under the current Cybersecurity Act framework.

The reforms aim to introduce clearer rules and a rolling work programme to support long-term planning. Managed security services, including incident response and penetration testing, would become eligible for EU certification.

ENISA would take on a stronger role as the central technical coordinator across member states. Additional funding and staff would be required to support its expanding mandate under the newer cybersecurity laws.

Stakeholders broadly support harmonisation to reduce administrative burden and regulatory fragmentation. The European Commission says organisational certification would assess cybersecurity maturity alongside technical product compliance.

Would you like to learn more about AI, tech, and digital diplomacy? If so, ask our Diplo chatbot!

CIRO discloses scale of August 2025 cyber incident

Canada’s investment regulator has confirmed a major data breach affecting around 750,000 people after a phishing attack in August 2025.

The Canadian Investment Regulatory Organization (CIRO) said threat actors accessed and copied a limited set of investigative, compliance, and market surveillance data. Some internal systems were taken offline as a precaution, but core regulatory operations continued across the country.

CIRO reported that personal and financial information was exposed, including income details, identification records, contact information, account numbers, and financial statements collected during regulatory activities in Canada.

No passwords or PINs were compromised, and the organisation said there is no evidence that the stolen data has been misused or shared on the dark web.

Affected individuals are being offered two years of free credit monitoring and identity theft protection as CIRO continues to monitor for further malicious activity nationwide.

Would you like to learn more about AI, tech, and digital diplomacy? If so, ask our Diplo chatbot!

MIT advances cooling for scalable quantum chips

MIT researchers have demonstrated a faster, more energy-efficient cooling technique for scalable trapped-ion quantum chips. The solution addresses a long-standing challenge in reducing vibration-related errors that limit the performance of quantum systems.

The method uses integrated photonic chips with nanoscale antennas that emit tightly controlled light beams. Using polarisation-gradient cooling, the system cools ions to nearly ten times below standard laser limits, and does so much faster.

Unlike conventional trapped-ion systems that depend on bulky external optics, the chip-based design generates stable light patterns directly on the device. The stability improves accuracy and supports scaling to thousands of ions on a single chip.

Researchers say the breakthrough lays the groundwork for more reliable quantum operations and opens new possibilities for advanced ion control, bringing practical, large-scale quantum computing closer to reality.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot