Economic

Portugal moves to tighten teen access to social media

Portugal’s parliament has approved a draft law that would require parental consent for teenagers aged 13 to 16 to use social media, in a move aimed at strengthening online protections for minors. The proposal passed its first reading on Thursday and will now move forward in the legislative process, where it could still be amended before a final vote.

The bill is backed by the ruling Social Democratic Party (PSD), which argues that stricter rules are needed to shield young people from online risks. Lawmakers cited concerns over cyberbullying, exposure to harmful content, and contact with online predators as key reasons for tightening access.

Under the proposal, parents would have to grant permission through the public Digital Mobile Key system of Portugal. Social media companies would be required to introduce age verification mechanisms linked to this system to ensure that only authorised teenagers can create and maintain accounts.

The legislation also seeks to reinforce the enforcement of an existing ban prohibiting children under 13 from accessing social media platforms. Authorities believe the new measures would make it harder for younger users to bypass age limits.

The draft law was approved in its first reading by 148 votes to 69, with 13 abstentions. A PSD lawmaker warned that companies failing to comply with the new requirements could face fines of up to 2% of their global revenue, signalling that the government intends to enforce the new requirements seriously.

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EU decision regulates researcher access to data under the DSA

A document released by the Republican-led House Judiciary Committee revived claims that the EU digital rules amount to censorship. The document concerns a €120 million fine against X under the Digital Services Act and was framed as a ‘secret censorship ruling’, despite publication requirements.

The document provides insight into how the European Commission interprets Article 40 of the DSA, which governs researcher access to platform data. The rule requires huge online platforms to grant qualified researchers access to publicly accessible data needed to study systemic risks in the EU.

Investigators found that X failed to comply with Article 40.12, in force since 2023 and covering public data access. The Commission said X applied restrictive eligibility rules, delayed reviews, imposed tight quotas, and blocked independent researcher access, including scraping.

The decision confirms platforms cannot price access to restrict research, deny access based on affiliation or location, or ban scraping by contract. The European Commission also rejected X’s narrow reading of ‘systemic risk’, allowing broader research contexts.

The ruling also highlights weak internal processes and limited staffing for handling access requests. X must submit an action plan by mid-April 2026, with the decision expected to shape future enforcement of researcher access across major platforms.

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AI governance becomes urgent for mortgage lenders

Mortgage lenders face growing pressure to govern AI as regulatory uncertainty persists across the United States. States and federal authorities continue to contest oversight, but accountability for how AI is used in underwriting, servicing, marketing, and fraud detection already rests with lenders.

Effective AI risk management requires more than policy statements. Mortgage lenders need operational governance that inventories AI tools, documents training data, and assigns accountability for outcomes, including bias monitoring and escalation when AI affects borrower eligibility, pricing, or disclosures.

Vendor risk has become a central exposure. Many technology contracts predate AI scrutiny and lack provisions on audit rights, explainability, and data controls, leaving lenders responsible when third-party models fail regulatory tests or transparency expectations.

Leading US mortgage lenders are using staged deployments, starting with lower-risk use cases such as document processing and fraud detection, while maintaining human oversight for high-impact decisions. Incremental rollouts generate performance and fairness evidence that regulators increasingly expect.

Regulatory pressure is rising as states advance AI rules and federal authorities signal the development of national standards. Even as boundaries are debated, lenders remain accountable, making early governance and disciplined scaling essential.

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India’s AI market set to surge to over $130 billion by 2032

The AI market in India has expanded from roughly $2.97 billion in 2020 to $7.63 billion in 2024, and is projected to reach $131.31 billion by 2032 at a compound annual growth rate (CAGR) of about 42.2 percent.

The growth outlook is underpinned by systematic progress across five layers of AI architecture, encompassing models, applications, chips, infrastructure and energy, with strong foundational infrastructure such as data centres and widespread internet connectivity enabling cloud adoption and data-driven services across sectors.

India’s acceleration in AI adoption aligns with broader digital trends and policy pushes, with readiness indices and talent penetration indicating that the nation is better positioned than many emerging economies to scale AI across industries.

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Half of xAI’s founding team has now left the company

Departures from Elon Musk’s AI startup xAI have reached a symbolic milestone, with two more co-founders announcing exits within days of each other. Yuhuai Tony Wu and Jimmy Ba both confirmed their decisions publicly, marking a turning point for the company’s leadership.

Losses now total six out of the original 12 founding members, signalling significant turnover in less than three years. Several prominent researchers had already moved on to competitors, launched new ventures, or stepped away for personal reasons.

Timing coincides with major developments, including SpaceX’s acquisition of xAI and preparations for a potential public listing. Financial opportunities and intense demand for AI expertise are encouraging senior talent to pursue independent projects or new roles.

Challenges surrounding the Grok chatbot, including technical issues and controversy over its harmful content, have added internal pressure. Growing competition from OpenAI and Anthropic means retaining skilled researchers will be vital to sustaining investor confidence and future growth.

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Russia signals no immediate Google ban as Android dependence remains critical

Officials in Russia have confirmed that no plans are underway to restrict access to Google, despite recent public debate about the possibility of a technical block. Anton Gorelkin, a senior lawmaker, said regulators clarified that such a step is not being considered.

Concerns centre on the impact a ban would have on devices running Android, which are used by a significant share of smartphone owners in the country.

A block on Google would disrupt essential digital services instead of encouraging the company to resolve ongoing legal disputes involving unpaid fines.

Gorelkin noted that court proceedings abroad are still in progress, meaning enforcement options remain open. He added that any future move to reduce reliance on Google services should follow a gradual pathway supported by domestic technological development rather than abrupt restrictions.

The comments follow earlier statements from another lawmaker, Andrey Svintsov, who acknowledged that blocking Google in Russia is technically feasible but unnecessary.

Officials now appear focused on creating conditions that would allow local digital platforms to grow without destabilising existing infrastructure.

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EU faces tension over potential ban on AI ‘pornification’

Lawmakers in the European Parliament remain divided over whether a direct ban on AI-driven ‘pornification’ should be added to the emerging digital omnibus.

Left-wing members push for an explicit prohibition, arguing that synthetic sexual imagery generated without consent has created a rapidly escalating form of online abuse. They say a strong legal measure is required instead of fragmented national responses.

Centre and liberal groups take a different position by promoting lighter requirements for industrial AI and seeking clarity on how any restrictions would interact with the AI Act.

They warn that an unrefined ban could spill over into general-purpose models and complicate enforcement across the European market. Their priority is a more predictable regulatory environment for companies developing high-volume AI systems.

Key figures across the political spectrum, including lawmakers such as Assita Kanko, Axel Voss and Brando Benifei, continue to debate how far the omnibus should go.

Some argue that safeguarding individuals from non-consensual sexual deepfakes must outweigh concerns about administrative burdens, while others insist that proportionality and technical feasibility need stronger assessment.

The lack of consensus leaves the proposal in a delicate phase as negotiations intensify. Lawmakers now face growing public scrutiny over how Europe will respond to the misuse of generative AI.

A clear stance from the Parliament is still pending, rather than an assured path toward agreement.

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Latam-GPT signals new AI ambition in Latin America

Chile has introduced Latam-GPT to strengthen Latin America’s presence in global AI.

The project, developed by the National Centre for Artificial Intelligence with support across South America, aims to correct long-standing biases by training systems on the region’s own data instead of material drawn mainly from the US or Europe.

President Gabriel Boric said the model will help maintain cultural identity and allow the region to take a more active role in technological development.

Latam-GPT is not designed as a conversational tool but rather as a vast dataset that serves as the foundation for future applications. More than eight terabytes of information have been collected, mainly in Spanish and Portuguese, with plans to add indigenous languages as the project expands.

The first version has been trained on Amazon Web Services. At the same time, future work will run on a new supercomputer at the University of Tarapacá, supported by millions of dollars in regional funding.

The model reflects growing interest among countries outside the major AI hubs of the US, China and Europe in developing their own technology instead of relying on foreign systems.

Researchers in Chile argue that global models often include Latin American data in tiny proportions, which can limit accurate representation. Despite questions about resources and scale, supporters believe Latam-GPT can deliver practical benefits tailored to local needs.

Early adoption is already underway, with the Chilean firm Digevo preparing customer service tools based on the model.

These systems will operate in regional languages and recognise local expressions, offering a more natural experience than products trained on data from other parts of the world.

Developers say the approach could reduce bias and promote more inclusive AI across the continent.

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Young voices seek critical approach to AI in classrooms

In Houston, more than 200 students from across the US gathered to discuss the future of AI in schools. The event, organised by the Close Up Foundation and Stanford University’s Deliberative Democracy Lab, brought together participants from 39 schools in 19 states.

Students debated whether AI tools such as ChatGPT and Gemini support or undermine learning. Many argued that schools are introducing powerful systems before pupils develop core critical thinking skills.

Participants did not call for a total ban or full embrace of AI. Instead, they urged schools to delay exposure for younger pupils and introduce clearer classroom policies that distinguish between support and substitution.

After returning to Honolulu, a student from ʻIolani School said Hawaiʻi schools should involve students directly in AI policy decisions. In Honolulu and beyond, he argued that structured dialogue can help schools balance innovation with cognitive development.

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Illicit trafficking payments rise across blockchain channels

Cryptocurrency flows linked to suspected human trafficking services surged sharply in 2025, with transaction volumes rising 85% year-on-year, according to new blockchain analysis.

Investigators say the financial activity reflects the rapid expansion of digitally enabled exploitation networks operating across borders.

Growth is linked to Southeast Asia-based illicit networks, including scam compounds, gambling platforms, and laundering groups operating via encrypted messaging channels.

Analysts identified multiple trafficking service categories, each with distinct transaction structures and payment preferences.

Stablecoins became the dominant payment method, especially for escort networks, thanks to their price stability and ease of conversion. Larger transfers and structured pricing models indicate increasingly professionalised operations supported by organised financial infrastructure.

Despite the scale of the activity, blockchain transparency continues to provide enforcement advantages. Transaction tracing has aided investigations, shutdowns, and arrests, strengthening digital forensics in combating trafficking-linked financial crime.

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