New SIM cards in South Korea now require real-time facial recognition

South Korea has introduced mandatory facial recognition for anyone registering a new SIM card or eSIM, whether in-store or online.

The live scan must match the photo on an official ID so that each phone number can be tied to a verified person instead of relying on paperwork alone.

Existing users are not affected, and the requirement applies only at the moment a number is issued.

The government argues that stricter checks are needed because telecom fraud has become industrialised and relies heavily on illegally registered SIM cards.

Criminal groups have used stolen identity data to obtain large volumes of numbers that can be swapped quickly to avoid detection. Regulators now see SIM issuance as the weakest link and the point where intervention is most effective.

Telecom companies must integrate biometric checks into onboarding, while authorities insist that facial data is used only for real-time verification and not stored. Privacy advocates warn that biometric verification creates new risks because faces cannot be changed if compromised.

They also question whether such a broad rule is proportionate when mobile access is essential for daily life.

The policy places South Korea in a unique position internationally, combining mandatory biometrics with defined legal limits. Its success will be judged on whether fraud meaningfully declines instead of being displaced.

A rule that has become a test case for how far governments should extend biometric identity checks into routine services.

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

New rules set for digital yuan in 2026

China’s central bank has confirmed that a revised digital yuan framework will enter force on 1 January 2026, redefining the e-CNY as a form of digital deposit money rather than a cash substitute.

The upgraded framework adds new standards and rules, based on a decade of domestic and cross-border pilot programmes. Usage already spans retail payments, public services, healthcare, education, tourism, and international settlements.

Under the new plan, digital yuan balances held in commercial bank wallets will be classified as bank deposit liabilities. Banks must pay interest on these holdings, which will be insured and included in regular asset-liability management.

Digital yuan operations will also be folded into China’s reserve requirement system. Wallet balances at authorised banks will count towards reserve calculations, while non-bank payment institutions must hold full reserves against the digital yuan they administer.

By late November 2025, cumulative transactions had reached 3.48 billion, with a total value of 16.7 trillion yuan.

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

China’s AI sector accelerates after breakthrough year

China’s AI industry entered 2025 as a perceived follower but ended the year transformed. Rapid technical progress and commercial milestones reshaped global perceptions of Chinese innovation.

The surprise release of DeepSeek R1 demonstrated strong reasoning performance at unusually low training costs. Open access challenged assumptions about chip dominance and boosted adoption across emerging markets.

State backing and private capital followed quickly, lifting the AI’s sector valuations and supporting embodied intelligence projects. Leading model developers prepared IPO filings, signalling confidence in long term growth.

Chinese firms increasingly prioritised practical deployment, multilingual capability, and service integration. Global expansion now stresses cultural adaptation rather than raw technical benchmarks alone.

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

AI transforms Indian filmmaking

Filmmakers in India are rapidly adopting AI tools like ChatGPT, Midjourney and Stable Diffusion to create visuals, clone voices, and streamline production processes for both independent and large-scale films.

Low-budget directors now produce nearly entire films independently, reducing costs and production time. Filmmakers use AI to visualise scenes, experiment creatively, and plan sound and effects efficiently.

AI cannot fully capture cultural nuance, emotional depth, or storytelling intuition, so human oversight remains essential. Intellectual property, labour protections, and ethical issues remain unresolved.

Hollywood has resisted AI, with strikes over rights and labour concerns. Indian filmmakers, however, carefully combine AI tools with human creativity to preserve artistic vision and cultural nuance.

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

Coupang faces backlash over voucher compensation after data breach

South Korean e-commerce firm Coupang has apologised for a major data breach affecting more than 33 million users and announced a compensation package worth 1.69 trillion won. Founder Kim Bom acknowledged the disruption caused, following public and political backlash over the incident.

Under the plan, affected customers will receive vouchers worth 50,000 won, usable Choi Minonly on Coupang’s own platforms. The company said the measure was intended to compensate users, but the approach has drawn criticism from lawmakers and consumer groups.

Choi Min-hee, a lawmaker from the ruling Democratic Party, criticised the decision in a social media post, arguing that the vouchers were tied to services with limited use. She accused Coupang of attempting to turn the crisis into a business opportunity.

Consumer advocacy groups echoed these concerns, saying the compensation plan trivialised the seriousness of the breach. They argued that limiting compensation to vouchers resembled a marketing strategy rather than meaningful restitution for affected users.

The controversy comes as the National Assembly of South Korea prepares to hold hearings on Coupang. While the company has admitted negligence, it has declined to appear before lawmakers amid scrutiny of its handling of the breach.

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

AI slop dominates YouTube recommendations for new users

More than 20 percent of videos recommended to new YouTube users are low-quality, attention-driven content commonly referred to as AI slop, according to new research. The findings raise concerns about how recommendation systems shape early user experience on the platform.

Video-editing firm Kapwing analysed 15,000 of YouTube’s top channels across countries worldwide. Researchers identified 278 channels consisting entirely of AI-generated slop, designed primarily to maximise views rather than provide substantive content.

These channels have collectively amassed more than 63 billion views and 221 million subscribers. Kapwing estimates the network generates around $117 million in annual revenue through advertising and engagement.

To test recommendations directly, researchers created a new YouTube account and reviewed its first 500 suggested videos. Of these, 104 were classified as AI slop, with around one third falling into a category described as brainrot content.

Kapwing found that AI slop channels attract large audiences globally, including tens of millions of subscribers in countries such as Spain, Egypt, the United States, and Brazil. Researchers said the scale highlights the growing reach of low-quality AI-generated video content.

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

Stronger safeguards arrive with OpenAI’s GPT-5.2 release

OpenAI has launched GPT-5.2, highlighting improved safety performance in conversations involving mental health. The company said the update strengthens how its models respond to signs of suicide, self-harm, emotional distress, and reliance on the chatbot.

The release follows criticism and legal challenges accusing ChatGPT of contributing to psychosis, paranoia, and delusional thinking in some users. Several cases have highlighted the risks of prolonged emotional engagement with AI systems.

In response to a wrongful death lawsuit involving a US teenager, OpenAI denied responsibility while stating that ChatGPT encouraged the user to seek help. The company also committed to improving responses when users display warning signs of mental health crises.

OpenAI said GPT-5.2 produces fewer undesirable responses in sensitive situations than earlier versions. According to the company, the model scores higher on internal safety tests related to self-harm, emotional reliance, and mental health.

The update builds on OpenAI’s use of a training approach known as safe completion, which aims to balance helpfulness and safety. Detailed performance information has been published in the GPT-5.2 system card.

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

AI reshaped European healthcare in 2025

Europe’s healthcare systems turned increasingly to AI in 2025, using new tools to predict disease, speed diagnosis, and reduce administrative workloads.

Countries including Finland, Estonia and Spain adopted AI to train staff, analyse medical data and detect illness earlier, while hospitals introduced AI scribes to free up doctors’ time with patients.

Researchers also advanced AI models able to forecast more than a thousand conditions many years before diagnosis, including heart disease, diabetes and certain cancers.

Further tools detected heart problems in seconds, flagged prostate cancer risks more quickly and monitored patients recovering from stent procedures instead of relying only on manual checks.

Experts warned that AI should support clinicians rather than replace them, as doctors continue to outperform AI in emergency care and chatbots struggle with mental health needs.

Security specialists also cautioned that extremists could try to exploit AI to develop biological threats, prompting calls for stronger safeguards.

Despite such risks, AI-driven approaches are now embedded across European medicine, from combating antibiotic-resistant bacteria to streamlining routine paperwork. Policymakers and health leaders are increasingly focused on how to scale innovation safely instead of simply chasing rapid deployment.

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

Bitcoin adoption remains uneven across US states

A recent SmartAsset study based on IRS tax return data highlights sharp regional differences in Bitcoin participation across the US. Crypto engagement is concentrated in certain states, driven by income, tech adoption, and local economic culture.

Washington leads the rankings, with 2.43 per cent of taxpayers reporting crypto transactions, followed by Utah, California, Colorado and New Jersey. These states have strong tech sectors, higher incomes, and populations familiar with digital financial tools.

New Jersey’s position also shows that crypto interest extends beyond traditional tech hubs in the West. At the opposite end, states such as West Virginia, Mississippi, Kentucky, Louisiana and Alabama record participation close to or below one per cent.

Lower household incomes, smaller tech industries and a preference for conventional financial products appear to limit reported crypto activity, although some low-level holdings may not surface in tax data.

The data also reflects crypto’s sensitivity to market cycles. Participation surged during the 2021 bull run before declining sharply in 2022 as prices fell.

Higher-income households remain far more active than middle-income earners, reinforcing the view that Bitcoin adoption in the US is still largely speculative and unevenly distributed.

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

AI is changing how Europeans work and learn

Generative AI has become an everyday tool across Europe, with millions using platforms such as ChatGPT, Gemini and Grok for personal, work, and educational purposes. Eurostat data shows that around a third of people aged 16–74 tried AI tools at least once in 2025.

Adoption varies widely across the continent. Norway leads with 56 percent of the population using AI, while Turkey records only 17 percent.

Within the EU, Denmark tops usage at 48 percent, and Romania lags at 18 percent. Northern and digitally advanced countries dominate, while southern, central-eastern, and Balkan nations show lower engagement.

Researchers attribute this to general digital literacy, internet use, and familiarity with technology rather than government policy alone. AI tools are used more for personal purposes than for work.

Across the EU, 25 percent use AI for personal tasks, compared with 15 percent for professional applications.

Usage in education is even lower, with only 9 percent employing AI in formal learning, peaking at 21 percent in Sweden and Switzerland and dropping to just 1 percent in Hungary.

Experts stress that while access is essential, understanding how to apply AI effectively remains a key barrier. Countries with strong digital foundations adopt AI more, while limited awareness and skills restrict use, emphasising the need for AI literacy and infrastructure.

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