Economic Archives | Page 22 of 677 | Digital Watch Observatory

UK watchdog demands stronger child safety on social platforms

The British communications regulator Ofcom has called on major technology companies to enforce stricter age controls and improve safety protections for children using online platforms.

The warning targets services widely used by young audiences, including Facebook, Instagram, Roblox, Snapchat, TikTok and YouTube.

Regulators said that despite existing minimum age policies, large numbers of children under the age of 13 continue to access platforms intended for older users.

According to Ofcom research, more than 70 percent of children aged 8 to 12 regularly use such services.

Authorities have asked companies to demonstrate how they will strengthen protections and ensure compliance with minimum age requirements.

Platforms must present their plans by 30 April, after which Ofcom will publish an assessment of their responses and determine whether further regulatory action is necessary.

The regulator also outlined several key areas requiring improvement.

Companies in the UK are expected to implement more effective age-verification systems, strengthen protections against online grooming and ensure that recommendation algorithms do not expose children to harmful content.

Another concern involves product development practices.

Ofcom warned that new digital features, including AI tools, should not be tested on children without adequate safety assessments. Platforms are required to evaluate potential risks before launching significant updates.

The measures are part of the UK’s broader regulatory framework introduced under the Online Safety Act, which aims to reduce exposure to harmful online material.

The law requires platforms to prevent children from accessing content linked to pornography, suicide, self-harm and eating disorders, while limiting the promotion of violent or abusive material in recommendation feeds.

Ofcom indicated that enforcement action may follow if companies fail to demonstrate meaningful improvements. Regulators argue that stronger safeguards are necessary to restore public trust and ensure that digital platforms prioritise child safety in their design and operation.

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AI-powered Copilot Health platform introduced by Microsoft

Microsoft has introduced Copilot Health, a new feature that uses AI to help users interpret personal health data and prepare for medical consultations.

The tool will operate as a separate and secure environment within Microsoft’s Copilot ecosystem, allowing users to combine health records, wearable data, and medical history into a single profile. The system then uses AI to analyse patterns and generate personalised insights intended to support conversations with healthcare professionals.

Microsoft said the feature aims to help people better understand existing medical information rather than replace clinical care. Users can review trends such as sleep patterns, activity levels, and vital signs gathered from wearable devices, alongside test results and visit summaries from healthcare providers.

Copilot Health can integrate data from more than 50 wearable devices, including systems connected through platforms such as Apple Health, Fitbit, and Oura. The platform can also access health records from over 50,000 US hospitals and provider organisations through HealthEx, as well as laboratory test results from Function.

According to Microsoft, the system builds on ongoing research into medical AI systems, including work on the Microsoft AI Diagnostic Orchestrator (MAI-DxO). The company said future publications will explore how such systems could assist in analysing complex medical cases.

Privacy and security are central elements of the design. Microsoft stated that Copilot Health data and conversations are stored separately from standard Copilot interactions and protected through encryption and access controls. The company also noted that health information used in the service will not be used to train AI models.

Development of the system involves Microsoft’s internal clinical team and an external advisory group of more than 230 physicians from 24 countries. The company said Copilot Health has also achieved ISO/IEC 42001 certification, a standard focused on the governance of AI management systems.

The feature is being introduced through a phased rollout, beginning with a waitlist for early users who will help shape the service as it develops.

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EU competition regulators expand scrutiny across the entire AI ecosystem

Competition authorities in the EU are broadening their oversight of the AI sector, examining every layer of the technology’s value chain.

Speaking at a conference in Berlin, Teresa Ribera explained that regulators are analysing the full ‘AI stack’ instead of focusing solely on consumer applications.

According to the competition chief, scrutiny extends beyond visible AI tools to the systems that support them. Investigations are assessing underlying models, the data used to train those models, as well as cloud infrastructure and energy resources that power AI systems.

Regulatory attention has already reached the application layer.

The European Commission opened an investigation in 2025 involving Meta after concerns emerged that the company could restrict competing AI assistants on its messaging platform WhatsApp.

Following regulatory pressure, Meta proposed allowing rival AI chatbots on the platform in exchange for a fee. European regulators are now assessing the proposal to determine whether additional intervention is necessary to preserve fair competition in rapidly evolving digital markets.

Authorities have also examined concentration risks across other parts of the AI ecosystem, including the infrastructure layer dominated by companies such as Nvidia.

Regulators argue that effective competition oversight must address the entire technology stack as AI markets expand quickly.

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Wiz joins Google Cloud in the company’s largest acquisition

Google has completed the largest acquisition in its history, finalising the $32 billion purchase of cloud security firm Wiz. The company confirmed that Wiz will join Google Cloud while continuing to operate under its existing brand and maintaining support for multiple cloud platforms.

Wiz has built its reputation as a cloud and AI security platform designed to monitor risks across different cloud environments. The company’s technology connects code, cloud infrastructure, and runtime operations into a single security context, allowing development and security teams to detect vulnerabilities earlier and respond to threats affecting cloud workloads.

Google Cloud leaders say the acquisition strengthens the company’s broader security strategy. Wiz will complement existing services such as Google Threat Intelligence, Google Security Operations and Mandiant Consulting, contributing to a unified security platform designed to protect cloud-native applications and enterprise infrastructure.

Both companies emphasise that Wiz will remain committed to a multicloud approach. Its products will continue to operate across platforms, including Amazon Web Services, Microsoft Azure and Oracle Cloud, reflecting the company’s existing model of providing visibility and security across competing cloud ecosystems.

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Cambridge researchers warn AI toys misread children’s emotions

AI toys for young children may misread emotions and respond inappropriately, according to a study by researchers at the University of Cambridge. Developmental psychologists observed interactions between children aged three to five and conversational AI-powered toys.

Findings showed the toys often struggled with pretend play and emotional cues. In several cases, children attempted to express sadness or initiate imaginative scenarios, while the AI responded with unrelated or overly scripted replies, leaving emotional signals unrecognised.

Researchers warned that such limitations could affect children’s emotional development and imaginative play. Early years practitioners also raised concerns about how toy-collected conversation data may be used and whether children could start treating the devices as trusted companions.

The study calls for stronger regulation and the introduction of safety certification for AI toys aimed at young children. Toy developer Curio stated that improving AI interactions and maintaining parental controls remain priorities as the technology continues to develop.

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BeatBanker malware targets Android users in Brazil

A new Android malware called BeatBanker is targeting users in Brazil through fake Starlink and government apps. The malware hijacks devices, steals banking credentials, tampers with cryptocurrency transactions, and secretly mines Monero.

Infection begins on phishing websites mimicking the Google Play Store or the ‘INSS Reembolso’ app. Users are tricked into installing trojanised APKs, which evade detection through memory-based decryption and by blocking analysis environments.

Fake update screens maintain persistence while silently downloading additional malicious payloads.

BeatBanker initially combined a banking trojan with a cryptocurrency miner. It uses accessibility permissions to monitor browsers and crypto apps, overlaying fake screens to redirect Tether and other crypto transfers.

A foreground service plays silent audio loops to prevent the device from shutting down, while Firebase Cloud Messaging enables remote control of infected devices.

The latest variant replaces the banking module with the BTMOB RAT, providing full control over devices. Capabilities include automatic permissions, background persistence, keylogging, GPS tracking, camera access, and screen-lock credential capture.

Kaspersky warns that BeatBanker demonstrates the growing sophistication of mobile threats and multi-layered malware campaigns.

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AI browsers expose new cybersecurity attack surfaces

Security researchers have demonstrated that agentic browsers, powered by AI, may introduce new cybersecurity vulnerabilities.

Experiments targeting the Comet AI browser, developed by Perplexity AI, showed that attackers could manipulate the system into executing phishing scams in only a few minutes.

The attack exploits the reasoning process used by AI agents when interacting with websites. These systems continuously explain their actions and observations, revealing internal signals that attackers can analyse to refine malicious strategies and bypass built-in safeguards.

Researchers showed that phishing pages can be iteratively trained using adversarial machine learning methods, such as Generative Adversarial Networks.

By observing how the AI browser responds to suspicious signals, attackers can optimise fraudulent pages until the system accepts them as legitimate.

The findings highlight a shift in the cybersecurity threat landscape. Instead of deceiving human users directly, attackers increasingly focus on manipulating the AI agents that perform online actions on behalf of users.

Security experts warn that prompt injection vulnerabilities remain a fundamental challenge for large language models and agentic systems.

Although new defensive techniques are being developed, researchers believe such weaknesses may remain difficult to eliminate.

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EU platform law expands data access rights

European regulators are examining how the Digital Markets Act interacts with the General Data Protection Regulation across major digital platforms. The EU rules apply to designated gatekeepers that operate core platform services used by millions of users.

Policy specialists in the EU say the Digital Markets Act complements GDPR protections by strengthening user control over personal data. The framework also supports rights related to data access, portability and transparency for both consumers and business users.

The regulatory overlap affects areas including consent requirements, third-party software installation and interoperability between services. Authorities are also coordinating enforcement between competition and data protection regulators.

Analysts say the combined application of both laws could reshape the responsibilities of major technology platforms. Policymakers aim to increase user choice while reinforcing safeguards for the integrity and confidentiality of personal data in the GDPR.

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5G expansion strengthens digital connectivity across Algeria

Ooredoo Algeria has expanded its 5G network to all provinces in Algeria. The operator announced that 5G services are now present in every wilaya, although coverage within each province remains limited as the network continues to expand.

The deployment is progressing ahead of the national rollout schedule. The expansion goes beyond the initial timeline set by the Postal and Electronic Communications Regulatory Authority (ARPCE), which required operators to begin with pilot deployments in a limited number of provinces.

Algeria’s national plan foresees a gradual expansion of 5G coverage. Under the regulatory roadmap, telecom operators must extend services to additional provinces each year until 2031, when all wilayas are expected to reach at least 50% 5G coverage.

Telecom operators are accelerating 5G deployment nationwide. Alongside Ooredoo Algeria, operators such as Mobilis and Djezzy launched 5G services in December 2025, with Djezzy also reporting progress ahead of schedule.

The expansion of 5G infrastructure is expected to support the digital economy. Operators say improved connectivity could help accelerate business digitalisation, strengthen digital services, and support broader economic development.

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Leading tech companies deepen AI competition with new capabilities

AI competition among leading AI developers intensified in early 2026 as major companies expanded their models, platforms, and partnerships. Companies including Google, OpenAI, Anthropic, and xAI are introducing new capabilities and integrating AI systems into broader ecosystems.

Google has continued to expand its Gemini model family with updates to Gemini 3.1 Pro and 3.1 Flash, designed to support complex tasks across applications. The company is also integrating Gemini into services such as Docs, Sheets, Slides, and Drive, allowing users to generate documents and analyse data across multiple Google services.

Gemini has also been embedded into the Chrome browser and integrated with Samsung’s Galaxy devices, expanding its distribution across consumer platforms as AI competition among major developers accelerates.

Anthropic has focused on advancing the Claude model family while positioning the system for enterprise and professional use. Recent updates include Claude Sonnet 4.6, which introduces improvements in reasoning and coding capabilities alongside an expanded context window currently in beta. The company has also launched a limited preview of the Claude Marketplace, allowing organisations to use third-party tools built on Claude through partnerships with several software companies.

OpenAI has continued to update ChatGPT with the release of the GPT-5 series, including GPT-5.2 and GPT-5.4. The newer models combine reasoning, coding, and agent-based workflows, while also introducing computer-use capabilities that allow the system to interact with applications directly.

OpenAI has also introduced additional services, including ChatGPT Health and integrations designed to assist with spreadsheet modelling and data analysis, further intensifying AI competition across enterprise and consumer tools.

Meanwhile, xAI has expanded development of its Grok models while increasing computing infrastructure. The company has reported growth in Grok usage through integration with the X platform and other applications. Recent announcements include upgrades to Grok’s voice and multimodal capabilities, as well as continued training of future models.

Across the industry, developers are increasingly positioning their systems not only as conversational assistants but also as tools integrated into enterprise workflows, creative production, and software development. New releases in 2026 reflect a broader shift toward multimodal systems, agent-based capabilities, and deeper integration with existing digital platforms, highlighting how AI competition is shaping the next phase of AI development.

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