Economic

How to make submarine cables work in underserved regions

A panel at the International Submarine Cable Resilience Summit 2026 in Porto examined how economic viability and resilience intersect in efforts to extend submarine cable connectivity to underserved regions. Moderated by Aliu Yusuf Aboki, the discussion brought together development banks, regulators, and international organisations to explore how financing models, policy reforms, and partnerships can turn fragile cable projects into sustainable foundations for digital growth.

Aboki opened by stressing that resilience directly affects the economics of connectivity, influencing insurance costs, repair times, service continuity, and investor confidence. Referring to the 2024 West Africa cable outages, he warned that a single failure could trigger widespread economic disruption and derail projects already financially marginal, making resilience a prerequisite for attracting long-term investment.

German Cufré of the World Bank Group outlined how traditional financing approaches often fail in challenging markets and argued for flexible risk-sharing models that combine public and private stakeholders. He described a West African project where governments, private open-access operators, and blended finance instruments each took equal stakes, supported by in-kind public assets such as landing stations and fibre networks. Cufré also emphasised the World Bank’s insistence on wholesale open access, ensuring that publicly supported cables remain non-discriminatory, even within private consortia.

Cufré cautioned that blended finance is becoming scarcer just as demand for connectivity is surging due to AI-driven data growth. In response, he said the World Bank is exploring new tools such as a Digital Access Fund to absorb first losses and a model that allows mature cable assets to be sold to institutional investors, freeing capital for new deployments.

International Submarine Cable Resilience Summit 2026

Syed Mohammad Shaharyar Jawaid from the Islamic Development Bank announced a dedicated $250 million commitment for digital infrastructure in member states in 2026–2027, noting that many cable developers are unaware that multilateral lenders are actively seeking such projects and that digital infrastructure must be planned alongside reliable energy systems.

Lauren Bieniek of the ITU added a global perspective, citing a $1.6 trillion investment gap in digital infrastructure identified through the Digital Infrastructure Investment Catalyzer initiative. She explained that the partnership among ITU, UNCTAD, and multilateral development banks aims to move beyond diagnostics to accelerate real financing, particularly in regions where market forces alone cannot deliver resilient connectivity.

On the policy front, Rudra Narayan Palai from India’s Department of Telecommunications described reforms introduced following the adoption of the International Cable Protection Committee’s recommendations. These include faster permitting, open ownership rules, and legal recognition of cable landing stations as critical infrastructure. Palai linked these reforms to India’s rapid expansion of data centre capacity and raised questions about whether repair capabilities should rely solely on market mechanisms or require state-backed sovereign capacity, citing prolonged disruptions from Red Sea incidents.

Regional challenges were highlighted by Rodney Taylor of the Caribbean Telecommunications Union, who warned that ageing cables and heavy reliance on routes terminating in Florida expose small island states to systemic risk. He argued that resilience must be addressed regionally rather than nationally and described efforts to build local expertise through a regional school of digital transformation and South–South cooperation with West Africa.

Closing the discussion, Professor Manuel Cabugueira of Portugal’s regulator, ANACOM, presented Portugal’s vision for ‘smart cables’ that combine connectivity with climate monitoring and disaster warning, urging participants to view submarine cables as integrated systems of technology, institutions, and people essential to long-term digital resilience.

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

Experts call for better protection of submarine internet cables

A high-level panel at the International Submarine Cable Resilience Summit 2026 in Porto focused on a growing paradox in global connectivity. While submarine cable damage incidents have remained relatively stable for over a decade, the time needed to repair them has increased sharply.

Moderated by Nadia Krivetz, member of the International Advisory Body for Submarine Cable Resilience, the discussion brought together government officials and industry experts who warned that longer repair times are creating new vulnerabilities for the global internet, even as undersea cable networks continue to expand rapidly.

Andy Palmer-Felgate of the International Cable Protection Committee highlighted that more than 80% of cable damage is caused by fishing and anchoring, mostly on continental shelves where maritime activity is densest. She noted that a small number of high-risk ‘problem cables’ consume around half of the world’s annual repair capacity, suggesting that targeted prevention in specific locations could significantly reduce global disruption.

Palmer-Felgate also pointed to a shift in fault patterns away from Europe and the Atlantic toward Asia, exposing weaknesses in a repair model that depends on shared, slow-to-move vessels.

New monitoring technologies were presented as part of the solution, though not without limitations. Sigurd Zhang described how distributed acoustic sensing can detect vessel activity in real time, even when ships switch off tracking systems, citing cases in which fishing fleets were invisible to conventional monitoring systems.

International Submarine Cable Resilience Summit 2026

Eduardo Mateo added that newer optical monitoring tools can identify long-term stress and seabed instability affecting cables. Still, both speakers stressed that the cost, data complexity, and reliability requirements remain major barriers, especially for shorter cable systems.

Beyond monitoring, the panel explored improvements in cable design and installation, including stronger armouring, deeper burial, and more resilient network topologies. Mateo cautioned that technology alone cannot eliminate risk, as submarine cables must coexist with other seabed users.

Zhang noted that fully integrated ‘smart cables’ combining telecoms and scientific monitoring may still be a decade away, given the strict reliability standards operators demand.

Government coordination emerged as a decisive factor in reducing damage and speeding up repairs. South Africa’s Nonkqubela Thathakahle Jordan-Dyani described how fragmented regulations across African countries slow emergency responses and raise costs.

Speakers pointed to examples of more effective governance, including Australia’s notification-based repair system and successful legal cases described by Peter Jamieson, which have increased accountability among vessel operators and begun changing behaviour at sea.

Industry practices and skills were also under scrutiny. Jamieson argued that careful route planning and proper burial can prevent most cable faults. Still, Simon Hibbert warned that these standards depend on experienced workers whose skills are hard to replace. With an ageing maritime workforce and fewer recruits entering sea-based professions, the panel cautioned that declining expertise could undermine future cable resilience if training and knowledge transfer are not prioritised.

The discussion concluded by situating cable protection within broader economic and geopolitical pressures. Mateo pointed to supply chain risks for key materials driven by AI-related demand, while Jamieson cited regions like the Red Sea, where geopolitical instability forces cables into crowded corridors.

Despite these challenges, speakers agreed that prevention, cooperation, and shared responsibility offer a realistic path forward, stressing that submarine cable resilience can only be strengthened through sustained collaboration between governments, industry, and international organisations.

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

US security process delays Nvidia chip sales

Nvidia’s plans to export its H200 AI chips to China remain pending nearly two months after US President Donald Trump approved. A national security review is still underway before licences can be issued to Chinese customers.

Chinese companies have delayed new H200 orders while awaiting clarity on licence approvals and potential conditions, according to people familiar with the discussions. The uncertainty has slowed anticipated demand and affected production planning across Nvidia’s supply chain.

In January, the US Commerce Department eased H200 export restrictions to China but required licence applications to be reviewed by the departments of State, Defence, and Energy.

Commerce has completed its analysis, but inter-agency discussions continue, with the US State Department seeking additional safeguards.

The export framework, which also applies to AMD, introduces conditions related to shipment allocation, testing, and end-use reporting. Until the review process concludes, Nvidia and prospective Chinese buyers remain unable to proceed with confirmed transactions.

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

Greece nears plan to restrict social media for under-15s

Preparing to restrict social media access for children under 15s, Greece plans to use the Kids Wallet app as its enforcement tool amid rising European concern over youth safety.

A senior official indicated that an announcement is close, reflecting growing political concern about digital safety and youth protection.

The Ministry of Digital Governance intends to rely on the Kids Wallet application, introduced last year, as a mechanism for enforcing the measure instead of developing a new control framework.

Government planning is advanced, yet the precise timing of the announcement by Prime Minister Kyriakos Mitsotakis has not been finalised.

In addition to the legislative initiative in Greece, the European debate on children’s online safety is intensifying.

Spain recently revealed plans to prohibit social media access for those under sixteen and to create legislation that would hold platform executives personally accountable for hate speech.

Such moves illustrate how governments are seeking to shape the digital environment for younger users rather than leaving regulation solely in private hands.

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

Bitcoin drops to 2024 low as AI fears and geopolitics rattle markets

A cautious mood spread across global markets as US stocks declined and Bitcoin slid to its lowest level since late 2024. Technology and software shares led losses, pushing major indices to their weakest performance in two weeks.

Bitcoin fell sharply before stabilising, remaining well below its October peak despite continued pro-crypto messaging from Washington. Gold and silver moved higher during the session, reinforcing their appeal as defensive assets amid rising uncertainty.

Investor sentiment weakened after Anthropic unveiled new legal-focused features for its Claude chatbot, reviving fears of disruption across software and data-driven business models. Analysts at Morgan Stanley pointed to rotation within the technology sector, with investors reducing exposure to software stocks.

Geopolitical tensions intensified after reports of US military action involving Iran, pushing oil prices higher and increasing market volatility. Combined AI uncertainty, geopolitical risk, and shifting safe-haven flows continue to weigh on equities and digital assets alike.

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

India pushes Meta to justify WhatsApp’s data-sharing

The Supreme Court of India has delivered a forceful warning to Meta after judges said the company could not play with the right to privacy.

The court questioned how WhatsApp monetises personal data in a country where the app has become the de facto communications tool for hundreds of millions of people. Judges added that meaningful consent is difficult when users have little practical choice.

Meta was told not to share any user information while the appeal over WhatsApp’s 2021 privacy policy continues. Judges pressed the company to explain the value of behavioural data instead of relying solely on claims about encrypted messages.

Government lawyers argued that personal data was collected and commercially exploited in ways most users would struggle to understand.

The case stems from a major update to WhatsApp’s data-sharing rules that India’s competition regulator said abused the platform’s dominant position.

A significant penalty was issued before Meta and WhatsApp challenged the ruling at the Supreme Court. The court has now widened the proceedings by adding the IT ministry and has asked Meta to provide detailed answers before the next hearing on 9 February.

WhatsApp is also under heightened scrutiny worldwide as regulators examine how encrypted platforms analyse metadata and other signals.

In India, broader regulatory changes, such as new SIM-binding rules, could restrict how small businesses use the service rather than broadening its commercial reach.

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

Microsoft expands software security lifecycle for AI-driven platforms

AI is widening the cyber risk landscape and forcing security teams to rethink established safeguards. Microsoft has updated its Secure Development Lifecycle to address AI-specific threats across design, deployment and monitoring.

The updated approach reflects how AI can blur trust boundaries by combining data, tools, APIs and agents in one workflow. New attack paths include prompts, plugins, retrieved content and model updates, raising risks such as prompt injection and data poisoning.

Microsoft says policy alone cannot manage non-deterministic systems and fast iteration cycles. Guidance now centres on practical engineering patterns, tight feedback loops and cross-team collaboration between research, governance and development.

Its SDL for AI is organised around six pillars: threat research, adaptive policy, shared standards, workforce enablement, cross-functional collaboration and continuous improvement. Microsoft says the aim is to embed security into every stage of AI development.

The company also highlights new safeguards, including AI-specific threat modelling, observability, memory protections and stronger identity controls for agent workflows. Microsoft says more detailed guidance will follow in the coming months.

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

Ofcom expands scrutiny of X over Grok deepfake concerns

The British regulator, Ofcom, has released an update on its investigation into X after reports that the Grok chatbot had generated sexual deepfakes of real people, including minors.

As such, the regulator initiated a formal inquiry to assess whether X took adequate steps to manage the spread of such material and to remove it swiftly.

X has since introduced measures to limit the distribution of manipulated images, while the ICO and regulators abroad have opened parallel investigations.

The Online Safety Act does not cover all chatbot services, as regulation depends on whether a system enables user interactions, provides search functionality, or produces pornographic material.

Many AI chatbots fall partly or entirely outside the Act’s scope, limiting regulators’ ability to act when harmful content is created during one-to-one interactions.

Ofcom cannot currently investigate the standalone Grok service for producing illegal images because the Act does not cover that form of generation.

Evidence-gathering from X continues, with legally binding information requests issued to the company. Ofcom will offer X a full opportunity to present representations before any provisional findings are published.

Enforcement actions take several months, since regulators must follow strict procedural safeguards to ensure decisions are robust and defensible.

Ofcom added that people who encounter harmful or illegal content online are encouraged to report it directly to the relevant platforms. Incidents involving intimate images can be reported to dedicated services for adults or support schemes for minors.

Material that may constitute child sexual abuse should be reported to the Internet Watch Foundation.

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

AI becomes optional in Firefox 148 as Mozilla launches new control system

Mozilla has confirmed that Firefox will include a built-in ‘AI kill switch‘ from version 148, allowing users to disable all AI features across the browser. The update follows earlier commitments that AI tools would remain optional as Firefox evolves into what the company describes as an AI-enabled browser.

The new controls will appear in the desktop release scheduled to begin rolling out on 24 February. A dedicated AI Controls section will allow users to turn off every AI feature at once or manage each tool individually, reflecting Mozilla’s aim to balance innovation with user choice.

At launch, Firefox 148 will introduce AI-powered translations, automatic alt text for images in PDFs, tab grouping suggestions, link previews, and an optional sidebar chatbot supporting services such as ChatGPT, Claude, Copilot, Gemini, and Le Chat Mistral.

All of these tools can be disabled through a single ‘Block AI enhancements’ toggle, which removes prompts and prevents new AI features from appearing. Mozilla has said preferences will remain in place across updates, with users able to adjust settings at any time.

The organisation said the approach is intended to give people full control over how AI appears in their browsing experience, while continuing development for those who choose to use it. Early access to the controls will also be available through Firefox Nightly.

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

EU AI Act guidance delay raises compliance uncertainty

The European Commission has missed a key deadline to issue guidance on how companies should classify high-risk AI systems under the EU AI Act, fuelling uncertainty around the landmark law’s implementation.

Guidance on Article 6, which defines high-risk AI systems and stricter compliance rules, was due by early February. Officials have indicated that feedback is still being integrated, with a revised draft expected later this month and final adoption potentially slipping to spring.

The delay follows warnings that regulators and businesses are unprepared for the act’s most complex rules, due to apply from August. Brussels has suggested delaying high-risk obligations under its Digital Omnibus package, citing unfinished standards and the need for legal clarity.

Industry groups want enforcement delayed until guidance and standards are finalised, while some lawmakers warn repeated slippage could undermine confidence in the AI Act. Critics warn further changes could deepen uncertainty if proposed revisions fail or disrupt existing timelines.

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