A new law in New York, US, will require advertisers to disclose when AI-generated people appear in commercial content. Governor Kathy Hochul said the measure brings transparency and protects consumers as synthetic avatars become more widespread.
A second law now requires consent from heirs or executors when using a deceased person’s likeness for commercial purposes. The rule updates the state’s publicity rights, which previously lacked clarity in the context of the generative AI era.
Industry groups welcomed the move, saying it addresses the risks posed by unregulated AI usage, particularly for actors in the film and television industries. The disclosure must be conspicuous when an avatar does not correspond to a real human.
Specific expressive works such as films, games and shows are exempt when the avatar matches its use in the work. The laws arrive as national debate intensifies and President-elect Donald Trump signals potential attempts to limit state-level AI regulation.
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Canada has announced new federal funding to pilot AI tools on the electricity grid, backing a project designed to improve reliability, affordability and efficiency as energy demand grows.
The government of Canada will provide $6 million to Hydro Ottawa under the Ottawa Distributed Energy Resource Accelerator programme. The initiative will utilise AI-enhanced predictive analytics to forecast peak demand and help balance electricity supply and demand in near real-time.
The project will turn customer-owned technologies such as smart thermostats, electric vehicle chargers and home batteries into responsive grid resources. By aggregating them, Hydro Ottawa aims to manage local constraints and reduce costly network upgrades, starting in areas like Kanata North that are experiencing rapid growth.
Officials say the programme will give households more control over energy use while strengthening grid resilience. The pilot is also intended to serve as a model that could be scaled across other neighbourhoods and electricity systems.
The funding comes through the Energy Innovation Program, which supports innovative grid demonstrations and AI-driven energy projects. Ottawa says such initiatives are key to modernising Canada’s electricity system and supporting the transition to a low-carbon economy.
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Cyber capabilities in advanced AI models are improving rapidly, delivering clear benefits for cyberdefence while introducing new dual-use risks that require careful management, according to OpenAI’s latest assessment.
The company points to sharp gains in capture-the-flag performance, with success rates rising from 27 percent in August to 76 percent by November 2025. OpenAI says future models could reach high cyber capability, including assistance with sophisticated intrusion techniques.
To address this, OpenAI says it is prioritising defensive use cases, investing in tools that help security teams audit code, patch vulnerabilities, and respond more effectively to threats. The goal is to give defenders an advantage in an often under-resourced environment.
OpenAI argues that cybersecurity cannot be governed through a single safeguard, as defensive and offensive techniques overlap. Instead, it applies a defence-in-depth approach that combines access controls, monitoring, detection systems, and extensive red teaming to limit misuse.
Alongside these measures, the company plans new initiatives, including trusted access programmes for defenders, agent-based security tools in private testing, and the creation of a Frontier Risk Council. OpenAI says these efforts reflect a long-term commitment to cyber resilience.
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The Walt Disney Company has struck a landmark agreement with OpenAI, becoming the first major content licensing partner on Sora, the AI company’s short-form generative video platform.
Under the three-year deal, Sora will generate short videos using more than 200 animated and creature characters from Disney, Pixar, Marvel, and Star Wars. The licence also covers ChatGPT Images, excluding talent likenesses and voices.
Beyond licensing, Disney will become a major OpenAI customer, using its APIs to develop new products and experiences, including for Disney+, while deploying ChatGPT internally across its workforce. Disney will also make a $1 billion equity investment in OpenAI and receive warrants for additional shares.
Both companies frame the partnership as a test case for responsible AI in creative industries. Executives say the agreement is designed to expand storytelling possibilities while protecting creators’ rights, user safety, and intellectual property across platforms.
Subject to final approvals, Sora-generated Disney content is expected to begin rolling out in early 2026. Curated selections may appear on Disney+, marking a new phase in how established entertainment brands engage with generative AI tools.
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Tiiny AI has revealed the Pocket Lab, a palm-sized device recognised as the world’s smallest personal AI supercomputer. Guinness World Records confirmed the title, noting its ability to run models with up to 120 billion parameters.
The Pocket Lab uses an ARM v9.2 CPU, a discrete NPU delivering 190 TOPS and 80GB of LPDDR5X memory. Popular open-source models such as GPT-OSS, Llama, Qwen, Mistral, DeepSeek and Phi are supported. Tiiny AI says its hardware makes large-scale reasoning possible in a handheld format.
Two in-house technologies enhance efficiency by distributing workloads and reducing unnecessary activations. TurboSparse manages sparse neuron activity to preserve capability while improving speed, and PowerInfer splits computation across the CPU and NPU.
Tiiny AI plans a full showcase at CES 2026, with pricing and release information still pending. Analysts want to see how the device performs in real-world tasks compared with much larger systems. The company believes the Pocket Lab will shift expectations for personal AI hardware.
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Beumelburg serves as Chief Sustainability and New Technologies Officer at Heidelberg Materials, overseeing global decarbonisation initiatives. She has over 20 years’ experience in sustainability and industrial transformation, previously holding senior roles at SLB, Siemens, and Siemens Energy.
Misra brings extensive expertise in AI and data platforms. She was Chief AI Officer at Analog Devices, leading the global AI strategy and developing AI-powered sensing technologies, and previously spent more than six years at Microsoft as Vice President of AI, Data and Emerging Technologies.
Dame Polly Courtice and Prof Dr Helene Svahn will step down at the close of the AGM. Chairman Martin Brudermüller said the two new nominees are internationally recognised leaders whose expertise will support Mercedes-Benz’s strategic focus on key future technologies.
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YouTube has introduced a new payment option for US-based creators, allowing them to receive earnings in PayPal’s stablecoin, PYUSD. The move adds another major tech company experimenting with crypto-linked payments, while simplifying the process for content creators.
PayPal manages the conversion and custody of the stablecoin, meaning YouTube does not directly handle any crypto. The feature uses YouTube’s existing payout system and follows PayPal’s broader PYUSD rollout earlier this year.
Stablecoins have gained attention among tech firms following the signing of the GENIUS Act in July 2025, which provides a federal framework for these assets. Stripe and Google are exploring stablecoins for faster settlements, reflecting rising interest in regulated digital payments.
PYUSD, which reached a market capitalisation of nearly $4 billion, is already integrated into several PayPal products, including Venmo and merchant tools. For now, the payout option is limited to US creators, with no timeline announced for expansion to other regions.
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In 2025, one in five EU enterprises with at least ten employees reported using AI technologies, marking a significant rise from 13.5% in 2024. AI adoption has more than doubled since 2021, showing its increasing use in business across the EU.
Nordic countries led the way, with Denmark at 42%, Finland at 37.8%, and Sweden at 35%. In contrast, Romania, Poland, and Bulgaria had the lowest adoption rates, ranging from 5.2% to 8.5%.
Almost all EU member states recorded increases compared with the previous year, with Denmark, Finland, and Lithuania showing the most significant gains.
Enterprises mainly used AI to analyse text, generate multimedia, produce language, and convert speech into machine-readable formats. Analysing written language saw the most significant growth in 2025, followed by content generation, highlighting AI’s expanding role in communication and data processing.
Rising AI adoption is also linked to efficiency gains and innovation across EU businesses. Companies report using AI to streamline operations, support decision-making, and enhance customer engagement, signalling broader economic and technological impacts.
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Time magazine has named the so-called architects of AI as its Person of the Year, recognising leading technologists reshaping global industries. Figures highlighted include Sam Altman, Jensen Huang, Elon Musk, Mark Zuckerberg, Lisa Su, Demis Hassabis, Dario Amodei and Fei-Fei Li.
Time emphasises that major AI developers have placed enormous bets on infrastructure and capability. Their competition and collaboration have accelerated rapid adoption across businesses and households.
2025 was the year when artificial intelligence’s full potential roared into view, and when it became clear that there will be no turning back.
For delivering the age of thinking machines, for wowing and worrying humanity, for transforming the present and transcending the… pic.twitter.com/mEIKRiZfLo
The magazine also examined negative consequences linked to rapid deployment, including mental health concerns and reported chatbot-related lawsuits. Economists warn of significant labour disruption as companies adopt automated systems widely.
The editorial team framed 2025 as a tipping point when AI moved into everyday life. The publication resisted using AI-generated imagery for its cover, choosing traditional artists instead. Industry observers say the selection reflects AI’s central role in shaping economic and social priorities throughout the year.
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US President Donald Trump has signed an executive order aimed at preventing individual US states from enforcing their own AI regulations, arguing that AI oversight should be handled at the federal level. Speaking at the White House, Trump said a single national framework would avoid fragmented rules, while his AI adviser, David Sacks, added that the administration would push back against what it views as overly burdensome state laws, except for measures focused on child safety.
The move is welcomed by major technology companies, which have long warned that a patchwork of state-level regulations could slow innovation and weaken the US position in the global AI race, particularly in comparison to China. Industry groups say a unified national approach would provide clarity for companies investing billions of dollars in AI development and help maintain US leadership in the sector.
However, the executive order has sparked strong backlash from several states, most notably California. Governor Gavin Newsom criticised the decision as an attempt to undermine state protections, pointing to California’s own AI law that requires large developers to address potential risks posed by their models.
Other states, including New York and Colorado, have also enacted AI regulations, arguing that state action is necessary in the absence of comprehensive federal safeguards.
Critics warn that blocking state laws could leave consumers exposed if federal rules are weak or slow to emerge, while some legal experts caution that a national framework will only be effective if it offers meaningful protections. Despite these concerns, tech lobby groups have praised the order and expressed readiness to work with the White House and Congress to establish nationwide AI standards.
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