Economic

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.

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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.

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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.

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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.

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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.

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Europol warns that the $50,000 Qilin reward is fake

Europol has warned that a reported $50,000 reward for information on two members of the Qilin ransomware group is fake. The message, circulating on Telegram, claimed the suspects, known as Haise and XORacle, coordinate affiliates and manage extortion operations.

Europol clarified that it does not operate a Telegram channel and that the message does not originate from its official accounts, which are active on Instagram, LinkedIn, X, Bluesky, YouTube, and Facebook.

Qilin, also known as Agenda, has been active since 2022 and, in 2025, listed over 400 victims on its leak website, including media and pharmaceutical companies.

Recent attacks, such as the one targeting Inotiv, demonstrate the group’s ongoing threat. Analysts note that cybercriminals often circulate false claims to undermine competitors, mislead affiliates, or sow distrust within rival gangs.

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Caution rises over inflated AI-driven tech valuations

US tech stocks have stumbled after a sharp rally, with investors increasingly cautious over AI-linked valuations and shifting market conditions. The S&P 500 tech sector has dropped around 2.5% this week, while the Nasdaq has slipped 2%, led by losses in Nvidia and Palantir.

The fall follows a 50% surge in tech shares since April, far outpacing the broader market and pushing valuations to year-highs. Concerns are growing that investor enthusiasm around AI has become overheated, with some funds reducing their exposure ahead of expected interest rate guidance.

US market watchers are now focused on Federal Reserve Chair Jerome Powell’s speech at Jackson Hole, which could signal if rate cuts are on the horizon. Tech stocks, already heavily weighted in many portfolios, are particularly vulnerable to higher rates due to their stretched price-to-earnings ratios.

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Stablecoin growth driven by new Asian currency plans

China is preparing to take a major step in the digital currency race by considering yuan-backed stablecoins, marking a sharp reversal from its earlier tough stance on cryptocurrencies. According to sources, Beijing’s cabinet will soon review a national strategy, with Hong Kong and Shanghai expected to spearhead the rollout thanks to Hong Kong’s recently passed Stablecoins Bill.

The move comes as Japan accelerates its own efforts. JPYC Inc., a Japanese fintech firm, has received regulatory approval to issue a yen-backed stablecoin, also called JPYC. The company plans to sell up to 1 trillion yen ($68 billion) worth of the tokens within three years, each pegged 1:1 to the yen and backed by liquid assets such as government bonds.

These parallel developments in East Asia could challenge the dominance of dollar-backed stablecoins, which currently make up nearly the entire global market. Analysts say the introduction of major Asian currencies into the mix could reshape digital finance and add momentum to regulatory frameworks emerging worldwide.

Stablecoins are increasingly seen as a bridge between traditional finance and digital assets, offering stability that other cryptocurrencies lack. Despite regulatory hurdles and slow adoption, the market is expected to surge to $4 trillion by 2030, signalling how pivotal the latest steps from China and Japan could be for the global financial system.

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New robotic system uses AI to analyse water quality

A new study in Robot Learning has introduced a robotic system that combines machine learning with decision-making to analyse water samples. The approach enables robots to detect, classify, and distinguish drinking water on Earth and potentially other planets.

Researchers used a hybrid method that merged the TOPSIS decision-making technique with a Random Forest Classifier trained on the Water Quality and Potability Dataset from Kaggle. By applying data balancing techniques, classification accuracy rose from 69% to 73%.

The robotic prototype includes thrusters, motors, solar power, sensors, and a robotic arm for sample collection. Water samples are tested in real time, with the onboard model classifying them as drinkable.

The system has the potential for rapid crisis response, sustainable water management, and planetary exploration, although challenges remain regarding sensor accuracy, data noise, and scalability. Researchers emphasise that further testing is necessary before real-world deployment.

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AI improves customer experience at Citi

Citi has expanded its digital client platform, CitiDirect Commercial Banking, with new AI capabilities to improve customer service and security.

The platform now supports over half of Citi’s global commercial banking client base and handles around 2.3 million sessions.

AI features assist in fraud detection, automate customer queries, and provide real-time onboarding updates and guidance.

KYC renewals have been simplified through automated alerts and pre-filled forms, cutting effort and processing time for clients.

Live in markets including the UK, US, India, and others, the platform has received positive feedback from over 10,000 users. Citi says the enhancements are part of a broader effort to make mid-sized corporate banking faster, more innovative, and more efficient.

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