Economic Archives | Page 242 of 685 | Digital Watch Observatory

Google enhances AI Mode with personalised dining suggestions

Google has expanded its AI Mode in Search to 180 additional countries and territories, introducing new agentic features to help users make restaurant reservations. The service remains limited to English and is not yet available in the European Union.

The update enables users to specify their dining preferences and constraints, allowing the system to scan multiple platforms and present real-time availability. Once a choice is made, users are directed to the restaurant’s booking page.

Partners supporting the service include OpenTable, Resy, SeatGeek, StubHub, Booksy, Tock, and Ticketmaster. The feature is part of Google’s Search Labs experiment, available to subscribers of Google AI Ultra in the United States.

AI Mode also tailors suggestions based on previous searches and introduces a Share function, letting users share restaurant options or planning results with others, with the option to delete links.

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

US and EU strike new trade agreement

The United States and the European Union have concluded a trade agreement that lowers tariffs and removes barriers for industrial, agricultural, and digital sectors. The pact formalises July’s commitments and aims to strengthen transatlantic economic ties.

Under the terms, Washington will reduce tariffs on European automobiles from 27.5% to 15% once Brussels lowers restrictions on US goods. Europe also pledged to buy $750 billion worth of American energy and to lift tariffs on all US industrial products.

Agricultural concessions include greater access for dairy, pork, nuts, and seafood, with an extension of the 2020 lobster deal.

The agreement extends beyond trade in goods. Brussels committed not to introduce digital network fees opposed by Washington and promised adjustments to sustainability regulations that could disadvantage non-EU firms.

Both sides emphasised the deal as the first step towards deeper cooperation in trade and investment.

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

EU speeds up digital euro plans after US stablecoin law

The European Union is accelerating work on a digital euro after the United States introduced new legislation to regulate the $288 billion stablecoin market. Brussels officials warn the euro may lose ground to dollar-backed tokens without swift action.

Sources told the Financial Times that regulators are revisiting issuing the digital euro on public blockchains such as Ethereum or Solana. Privacy concerns had blocked the option, but US developments have led Europe to reconsider.

The European Central Bank warned that reliance on foreign payment systems could weaken Europe’s financial sovereignty. A digital € would provide strategic autonomy, countering the risk of deposits flowing abroad and reinforcing the euro’s role in international settlements.

China has already rolled out its digital yuan, while the UK is evaluating a digital pound. The US market is dominated by companies such as Circle and Tether, with banks like Citi and JPMorgan preparing their own tokens.

Although smaller euro stablecoins exist, ECB officials say a digital € would cement Europe’s competitive position in the evolving global financial system.

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

Court filing details Musk’s outreach to Zuckerberg over OpenAI bid

Elon Musk attempted to bring Meta chief executive Mark Zuckerberg into his consortium’s $97.4 billion bid for OpenAI earlier this year, the company disclosed in a court filing.

According to sworn interrogations, OpenAI said Musk had discussed possible financing arrangements with Zuckerberg as part of the bid. Musk’s AI startup xAI, a competitor to OpenAI, did not respond to requests for comment.

In the filing, OpenAI asked a federal judge to order Meta to provide documents related to any bid for OpenAI, including internal communications about restructuring or recapitalisation. The firm argued these records could clarify motivations behind the bid.

Meta countered that such documents were irrelevant and suggested OpenAI seek them directly from Musk or xAI. A US judge ruled that Musk must face OpenAI’s claims of attempting to harm the company through public remarks and what it described as a sham takeover attempt.

The legal dispute follows Musk’s lawsuit against OpenAI and Sam Altman over its for-profit transition, with OpenAI filing a countersuit in April. A jury trial is scheduled for spring 2026.

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

Ransomware attack at DaVita exposes data of 2.7 million patients in the US

A ransomware attack against dialysis provider DaVita has exposed the personal data of 2.7 million people, according to a notice on the US health department’s website.

The company first disclosed the cyber incident in April, saying it had taken steps to restore operations but could not predict the scale of disruption.

DaVita confirmed that hackers gained unauthorised access to its laboratory database, which contained sensitive information belonging to some current and former patients. The firm said it is now contacting those affected and offering free credit monitoring to help protect against identity theft.

Despite the intrusion, DaVita maintained uninterrupted dialysis services across its network of nearly 3,000 outpatient clinics and home treatment programmes. The company described the cyberattack as a temporary disruption but stressed that patient care was never compromised.

Financial disclosures show the incident led to around $13.5 million in charges during the second quarter of 2025. Most of the costs were linked to system restoration and third-party support, with $1 million attributed to higher patient care expenses.

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

Meta strikes $10 billion cloud deal with Google

Meta has signed a cloud computing deal with Google worth more than $10 billion, marking one of the most significant agreements in the industry.

The six-year partnership will see Meta use Google Cloud’s servers, storage, networking and other services to power its massive AI projects.

The deal comes as Meta accelerates its AI infrastructure spending, with CEO Mark Zuckerberg pledging hundreds of billions of dollars for new data centres.

Last month, Meta raised its capital expenditure forecast to $72 billion and disclosed plans to offload $2 billion in data centre assets to outside partners.

The partnership highlights a growing trend of rival technology giants collaborating on AI infrastructure. Just weeks earlier, OpenAI struck a similar deal to use Google Cloud services despite being a competitor in the AI field.

These agreements have boosted Google Cloud’s performance, which saw a 32% jump in second-quarter revenue in July, surpassing market expectations.

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

Google pushes agentic AI worldwide with AI Mode rollout

Google has expanded its AI Mode service to 180 additional countries, extending advanced agentic capabilities to a global audience.

Previously available only in markets such as the US, UK and India, the service allows users to search for information and carry out tasks on their behalf. The update reflects Google’s ambition to move from simple answers to action-oriented assistance.

A key rollout feature is the restaurant booking tool for AI Ultra subscribers. Using natural language requests such as ”find a romantic Italian spot for two tonight,” the system can check availability, offer personalised suggestions and confirm reservations directly within search.

The feature relies on real-time data from partners like OpenTable and highlights how Google’s AI can execute tasks instead of simply presenting options.

Further tools are expected soon, including ticketing for events and appointment scheduling. These are powered by the Gemini models, which tailor recommendations based on user behaviour and allow group planning through shared responses.

While the services could reduce reliance on third-party apps in sectors such as travel and hospitality, they also raise concerns over data privacy, inclusivity and cultural differences in an English-only rollout.

The global expansion strengthens Google’s position against rivals like Microsoft and OpenAI, who are also pushing forward in agentic AI. The company sees subscription upgrades to AI Ultra as a way to offset slower advertising growth, while early reports suggest increased user engagement.

However, the long-term impact will depend on balancing innovation with ethical safeguards as Google works to deliver more multilingual and accessible features.

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

Energy independence enables new models for data centre construction

Many data centre developers face delays due to grid constraints or unreliable utilities. To circumvent these challenges, they are embracing alternative power setups.

Popular options include solar arrays paired with battery storage, microgrid deployments, mobile gas generators, and even hydrogen fuel cells. These systems offer more control, robust uptime and faster deployment than waiting for utility upgrades.

Such energy independence also increases site flexibility. Operators can choose locations without worrying about grid strengthening or local permitting delays, enhancing both scalability and disaster resilience.

As demand for cloud and AI capacity grows, hybrid energy architectures are proving vital. They ensure continuity and avoid overtaxed grid infrastructure.

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

Turkey plans 5G rollout after October auction and spectrum allocations

Turkey’s government is preparing a long-awaited 5G frequency auction in October, with the Transport and Infrastructure Minister announcing that the first services should begin in 2026.

The auction will offer 11 spectrum packages across the 700 MHz and 3.5 GHz bands, with individual packages valued between $50 million and $425 million. The minimum total reserve price is set at $2.13 billion. Operators Turkcell, Türk Telekom and Vodafone Turkey are expected to participate.

Existing mobile licences, set to expire in 2029, will be rolled over through this process. Operators will be required to contribute 5 percent of their annual revenues as part of the renewal. The government aims for full nationwide 5G rollout within a few years following the initial launch.

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

Students seek emotional support from AI chatbots

College students are increasingly turning to AI chatbots for emotional support, prompting concern among mental health professionals. A 2025 report ranked ‘therapy and companionship’ as the top use case for generative AI, particularly among younger users.

Studies by MIT and OpenAI show that frequent AI use can lower social confidence and increase avoidance of face-to-face interaction. On campuses, digital mental health platforms now supplement counselling services, offering tools that identify at-risk students and provide basic support.

Experts warn that chatbot companionship may create emotional habits that lack grounding in reality and hinder social skill development. Counsellors advocate for educating students on safe AI use and suggest universities adopt tools that flag risky engagement patterns.

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