Economic

Facial recognition expansion anchors UK policing reforms driven by AI

UK authorities have unveiled a major policing reform programme that places AI and facial recognition at the centre of future law enforcement strategy. The plans include expanding the use of Live Facial Recognition and creating a national hub to scale AI tools across police forces.

The Home Office will fund 40 new facial recognition vans for town centres across England and Wales, significantly increasing real-time biometric surveillance capacity. Officials say the rollout responds to crime that increasingly involves digital activity.

The UK government will also invest £115 million over three years into a National Centre for AI in Policing, known as Police.AI. The centre will focus on speeding investigations, reducing paperwork and improving crime detection.

New governance measures will regulate police use of facial recognition and introduce a public register of deployed AI systems. National data standards aim to strengthen accountability and coordination across forces.

Structural reforms include creating a National Police Service to tackle serious crime and terrorism. Predictive analytics, deepfake detection and digital forensics will play a larger operational role.

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NVIDIA invests $2 billion as CoreWeave expands AI factory network

CoreWeave’s long-running partnership has deepened with NVIDIA to accelerate AI infrastructure deployment, including ambitious plans for multi-gigawatt AI factory capacity by 2030.

As part of the agreement, the US company is investing $2 billion in CoreWeave through the purchase of Class A common stock, signalling strong confidence in the company’s growth strategy and AI-focused cloud platform.

Both companies aim to deepen alignment across infrastructure, software and platform development, with CoreWeave building and operating AI factories using NVIDIA’s accelerated computing technologies and early access to upcoming architectures such as Rubin, Vera CPUs and BlueField systems.

The collaboration will also test and integrate CoreWeave’s AI-native software and reference designs into NVIDIA’s broader cloud and enterprise ecosystem, while NVIDIA supports faster site development through financial backing for land and power procurement.

Executives from both firms described the expansion as a response to surging global demand for AI computing, positioning large-scale AI factories as the backbone of future industrial AI deployment.

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The EU Commission opens DMA proceedings on Google interoperability and search data

The European Commission has opened two specification proceedings to spell out how Google should meet key obligations under the EU’s Digital Markets Act (DMA), focusing on Android’s AI-related features and access to Google Search data for competitors.

The first proceeding targets the DMA’s interoperability requirement for Android. In practical terms, Brussels wants to clarify how third-party AI services can get access, free and effectively, to the same Android hardware/software functionalities that power Google’s own AI offerings, including Gemini, so that rivals can compete on a more equal footing on mobile devices.

The second proceeding addresses Google’s obligation to provide rival search engines access to anonymised search data (such as ranking, query, click, and view data) on fair, reasonable, and non-discriminatory terms. The Commission is also considering whether AI chatbot providers should qualify for that access, an essential question as ‘search’ increasingly blurs with conversational AI.

These proceedings are designed to define how compliance should work rather than immediately sanction Google. The Commission is expected to wrap them up within six months, with draft measures and preliminary findings shared earlier in the process, and with scope for third-party feedback. A separate non-compliance track could still follow later, and DMA penalties for breaches can reach up to 10% of global turnover.

Google, for its part, says Android is ‘open by design’ and argues it is already licensing Search data, while warning that additional requirements, especially those it views as competitor-driven, could undermine user privacy, security, and innovation.

Why does it matter?

The EU is trying to prevent dominant platforms from turning control over operating systems and data into an ‘unfair advantage’ in the next wave of consumer tech, particularly as AI assistants become built into phones and as search data becomes fuel for competing discovery tools. The move also sits within a broader DMA enforcement push: the Commission has already opened DMA-related proceedings into Alphabet in other areas, signalling that Brussels sees gatekeeper compliance as an ongoing, hands-on exercise rather than a one-off checkbox.

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Survey finds Gen Z turns to AI for sexual health questions despite misdiagnoses

According to a January 2026 survey of 2,520 US adults aged 18 to 29, roughly 20 percent of Gen Z have queried AI chatbots about STIs/STDs, and 1 in 10 specifically sought help with diagnosis or suspicion of infection.

Among those who later sought formal medical testing, about 31 percent said the chatbot’s assessment was incorrect, highlighting risks of relying on AI for health diagnostics.

Respondents often shared symptom details and even photos with the bots, and many said they were more comfortable discussing sensitive topics with an AI than with a clinician, despite potential privacy and accuracy limitations.

Medical experts emphasise that while AI can support general health education, these tools are not replacements for clinical diagnosis or professional medical testing, which remain necessary for accurate STI/STD identification and treatment.

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Aquila transforms warehouse operations using AI automation

Aquila has completed a €5 million investment in AI-driven warehouse automation at its Ilfov, Dragomiresti logistics centre. The project is a strategic response to increasing portfolio complexity and growing distribution volumes in the FMCG sector.

The automation solution is built around AI-based vision systems that identify products directly from images using shape, colour and visual characteristics. The technology removes the need for labels or manual scanning, even when packaging orientation or appearance shows minor variations.

According to the company, the system improves the speed and accuracy of warehouse operations while reducing manual work and optimising storage space. These efficiency gains allow better use of operational resources.

The investment enables Aquila to scale logistics operations without proportional increases in resources. The company reports improved internal efficiency, stronger service quality for customers and the creation of medium-term competitive advantages.

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The UK labour market feels a sharper impact from AI use

Companies are reporting net job losses linked to AI adoption, with research showing a sharper impact than in other major economies. A Morgan Stanley survey found that firms using the technology for at least a year cut more roles than they created, particularly across the UK labour market.

The study covered sectors including retail, real estate, transport, healthcare equipment and automotive manufacturing, showing an average productivity increase of 11.5% among UK businesses. Comparable firms in the United States reported similar efficiency gains but continued to expand employment overall.

Researchers pointed to higher operating costs and tax pressures as factors amplifying the employment impact in Britain. Unemployment has reached a four-year high, while increases in the minimum wage and employer national insurance contributions have tightened hiring across industries.

Public concern over AI-driven displacement is also rising, with more than a quarter of UK workers fearing their roles could disappear within five years, according to recruitment firm Randstad. Younger workers expressed the highest anxiety, while older generations showed greater confidence in adapting.

Political leaders warn that unmanaged AI-driven change could disrupt labour markets. London mayor Sadiq Khan said the technology may cut many white-collar jobs, calling for action to create replacement roles.

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Nova ransomware claims breach of KPMG Netherlands

KPMG Netherlands has allegedly become the latest target of the Nova ransomware group, following claims that sensitive data was accessed and exfiltrated.

The incident was reported by ransomware monitoring services on 23 January 2026, with attackers claiming the breach occurred on the same day.

Nova has reportedly issued a ten-day deadline for contact and ransom negotiations, a tactic commonly used by ransomware groups to pressure large organisations.

The group has established a reputation for targeting professional services firms and financial sector entities that manage high-value and confidential client information.

Threat intelligence sources indicate that Nova operates a distributed command and control infrastructure across the Tor network, alongside multiple leak platforms used to publish stolen data. Analysis suggests a standardised backend deployment, pointing to a mature and organised ransomware operation.

KPMG has not publicly confirmed the alleged breach at the time of writing. Clients and stakeholders are advised to follow official communications for clarity on potential exposure, response measures and remediation steps as investigations continue.

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EU classifies WhatsApp as Very Large Online Platform

WhatsApp has been formally designated a Very Large Online Platform under the EU Digital Services Act, triggering the bloc’s most stringent digital oversight regime.

The classification follows confirmation that the messaging service has exceeded 51 million monthly users in the EU, triggering enhanced regulatory scrutiny.

As a VLOP, WhatsApp must take active steps to limit the spread of disinformation and reduce risks linked to the manipulation of public debate. The platform is also expected to strengthen safeguards for users’ mental health, with particular attention placed on the protection of minors and younger audiences.

The European Commission will oversee compliance directly and may impose financial penalties of up to 6 percent of WhatsApp’s global annual turnover if violations are identified. The company has until mid-May to align its systems, policies and risk assessments with the DSA’s requirements.

WhatsApp joins a growing list of major platforms already subject to similar obligations, including Facebook, Instagram, YouTube and X. The move reflects the Commission’s broader effort to apply the Digital Services Act across social media, messaging services and content platforms linked to systemic online risks.

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France proposes EU tools to map foreign tech dependence

France has unveiled a new push to reduce Europe’s dependence on US and Chinese technology suppliers, placing digital sovereignty back at the centre of the EU policy debates.

Speaking in Paris, France’s minister for AI and digital affairs, Anne Le Hénanff, presented initiatives to expose and address the structural reliance on non-EU technologies across public administrations and private companies.

Central to the strategy is the creation of a Digital Sovereignty Observatory, which will map foreign technology dependencies and assess organisational exposure to geopolitical and supply-chain risks.

The body, led by former Europe minister Clément Beaune, is intended to provide the evidence base needed for coordinated action rather than symbolic declarations of autonomy.

France is also advancing a Digital Resilience Index, expected to publish its first findings in early 2026. The index will measure reliance on foreign digital services and products, identifying vulnerabilities linked to cloud infrastructure, AI, cybersecurity and emerging technologies.

Industry data suggests Europe’s dependence on external tech providers costs the continent hundreds of billions of euros annually.

Paris is using the initiative to renew calls for a European preference in public-sector digital procurement and for a standard EU definition of European digital services.

Such proposals remain contentious among member states, yet France argues they are essential for restoring strategic control over critical digital infrastructure.

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Maia 200 AI inference accelerator unveiled by Microsoft

Microsoft has unveiled Maia 200, a next-generation AI inference accelerator built to boost performance, efficiency, and cost-effectiveness at scale. Built on TSMC’s 3-nanometre process, the chip boosts speed, efficiency, and memory throughput for advanced AI models.

The new accelerator will power Microsoft’s cloud infrastructure across Azure, Microsoft Foundry, and Microsoft 365 Copilot, including workloads for OpenAI’s latest GPT-5.2 models.

Internal teams will use Maia 200 for synthetic data generation and reinforcement learning, accelerating AI development. Maia 200 is being rolled out in Microsoft’s US Central data centre region, with further deployments planned across additional global locations.

A preview version of the Maia software development kit is also being released, offering developers access to PyTorch integration, optimised compilers, and low-level programming tools to fine-tune AI models across heterogeneous computing environments.

The system introduces a redesigned networking and memory architecture optimised for high-bandwidth data movement and large-scale inference clusters.

Microsoft says the platform delivers significant improvements in performance per dollar, scalability, and power efficiency, positioning Maia 200 as a cornerstone of its long-term AI infrastructure strategy.

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