EU split widens over ban on AI nudification apps

European lawmakers remain divided over whether AI tools that generate non-consensual sexual images should face an explicit ban in the EU legislation.

The split emerged as debate intensified over the AI simplification package, which is moving through Parliament and the Council rather than remaining confined to earlier negotiations.

Concerns escalated after Grok was used to create images that digitally undressed women and children.

The EU regulators responded by launching an investigation under the Digital Services Act, and the Commission described the behaviour as illegal under existing European rules. Several lawmakers argue that the AI Act should name pornification apps directly instead of relying on broader legal provisions.

Lead MEPs did not include a ban in their initial draft of the Parliament’s position, prompting other groups to consider adding amendments. Negotiations continue as parties explore how such a restriction could be framed without creating inconsistencies within the broader AI framework.

The Commission appears open to strengthening the law and has hinted that the AI omnibus could be an appropriate moment to act. Lawmakers now have a limited time to decide whether an explicit prohibition can secure political agreement before the amendment deadline passes.

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MIT researchers unveil EnCompass for AI agent search

Researchers from MIT’s Computer Science and Artificial Intelligence Laboratory and Asari AI have introduced EnCompass, a framework designed to enhance how AI agents interact with large language models.

The system improves agent performance by automatically backtracking when errors occur and running multiple execution paths in parallel to identify the most effective outcome.

Programming AI agents traditionally requires extensive additional code to handle model mistakes. EnCompass removes that burden by embedding retry and search logic directly into execution.

Developers annotate key decision points, allowing the framework to explore alternative reasoning paths while preserving the agent’s original workflow structure.

Efficiency gains appear significant. Trials show coding effort for search implementation reduced by as much as 80%, while accuracy in code translation tasks improved between 15% and 40%.

Researchers demonstrated the framework’s ability to optimise repository translation and rule discovery across complex digital systems.

Future applications extend to large-scale software maintenance, scientific experimentation, and engineering design. Presented at NeurIPS, EnCompass positions structured search as key to advancing reliable, high-performance AI agent systems.

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Germany fines Amazon €59 million for abusing market power in seller pricing

The German competition authority has fined Amazon €59 million for abusing its dominant position by influencing the pricing behaviour of third-party sellers.

Regulators concluded that Amazon’s pricing algorithms and Fair Pricing Policy breached national digital dominance rules and the EU competition law, rather than aligning with fair marketplace standards.

The authority argued that Amazon competes directly with merchants on its platform while shaping their prices through restrictions such as caps that penalise sellers who exceed certain limits.

Officials described that approach as incompatible with healthy competition since a platform should not influence rivals’ commercial strategies while participating in the same market.

Amazon strongly disputed the ruling and claimed the conclusion conflicts with the EU consumer standards. The company argued that the decision forces the platform to promote prices that fail to reflect competitive market conditions and announced it will challenge the findings.

The case follows a 2025 preliminary assessment and builds on Amazon’s earlier designation in 2022 as a company of paramount significance for competition, a judgement upheld by the Federal Court of Justice in Germany in 2024.

A ruling that marks another step in Europe’s efforts to rein in digital platforms that wield extensive influence across multiple markets.

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Spain faces escalating battle with Telegram founder

The confrontation between Spain and Telegram founder Pavel Durov has intensified after he claimed that Pedro Sánchez endangered online freedoms.

Government officials responded that the tech executive spread lies rather than engage with the proposed rules in good faith. Sánchez argued that democracy would not be silenced by what he called the techno-oligarchs of the algorithm.

The dispute followed the unveiling of new measures aimed at major technology companies. The plan introduces a ban on social media use for under-16s and holds corporate leaders legally responsible when unlawful or hateful content remains online rather than being removed.

Platforms would also need to adopt age-verification tools such as ID checks or biometric systems, which Durov argued could turn Spain into a surveillance state by allowing large-scale data collection.

Tensions widened as Sánchez clashed with prominent US tech figures. Sumar urged all bodies linked to the central administration to leave X, a move that followed Elon Musk’s accusation that the Spanish leader was acting like a tyrant.

The row highlighted how Spain’s attempt to regulate digital platforms has placed its government in open conflict with influential technology executives.

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Claude Opus 4.6 sets new benchmark for enterprise AI

Anthropic has released Claude Opus 4.6, its most advanced AI model to date, introducing significant improvements in coding performance, reasoning depth, and long-context comprehension.

Engineering workflows stand to benefit from stronger debugging, code review, and better large-scale repository management, while agentic task execution now runs for more extended periods with greater reliability.

The model’s 1M token context window, now in beta, enables sustained reasoning across vast datasets and extended conversations. Performance gains span multiple benchmarks, leading in agentic coding, multidisciplinary reasoning, and high-value knowledge work.

Information retrieval in long documents has also improved, addressing persistent industry concerns around context degradation.

Operational capabilities extend beyond software development into enterprise productivity. Financial analysis, research, and document workflows gain direct support, with spreadsheet and presentation integrations enhancing daily business use.

Within Claude Code, newly introduced agent teams allow multiple AI agents to collaborate autonomously on complex workloads.

Safety remains central, with expanded evaluations showing low misalignment risk backed by interpretability research and cybersecurity safeguards. Additional tools- adaptive thinking, effort scaling, and context compaction- add flexibility for deploying long-running AI systems at scale.

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Frontier and GPT-5.3-Codex mark major OpenAI expansion

OpenAI has unveiled Frontier, a new enterprise platform designed to help organisations build, deploy, and manage AI agents capable of executing real operational work.

The launch reflects accelerating enterprise adoption, with businesses reporting measurable productivity gains across manufacturing, finance, sales, and energy operations through agent deployment.

Frontier addresses a growing gap between AI model capability and real-world implementation. The platform equips AI agents with shared organisational context, system access, governance permissions, and feedback learning mechanisms.

By integrating across existing cloud infrastructure, enterprise software, and data environments, Frontier enables AI coworkers to operate across workflows rather than within isolated tools.

Alongside the platform release, OpenAI introduced GPT-5.3-Codex, its most advanced agentic coding model to date. The system combines the coding strength of earlier Codex iterations with expanded reasoning and professional task execution.

Benchmark performance leads across SWE-Bench Pro, Terminal-Bench, OSWorld, and GDPval, reflecting gains in software engineering, computer use, and knowledge work automation.

Cybersecurity capabilities also advance with the release. GPT-5.3-Codex includes enhanced vulnerability detection training and operates under strengthened safeguards designed to support defensive research while mitigating misuse.

Together, Frontier and GPT-5.3-Codex position AI agents as scalable digital coworkers capable of executing complex technical and enterprise workloads end-to-end.

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French firms accelerate AI driven multicloud strategies

Enterprises in France are accelerating the use of AI to manage increasingly complex multicloud environments, according to new ISG research. Companies in France are balancing innovation, compliance and rising cost pressures.

The report says multicloud adoption in France now extends beyond large corporations to midsize firms and regulated sectors. Organisations in France are spreading workloads across hyperscalers and sovereign clouds to reduce risk.

AI driven automation is becoming central to cloud governance in France as manual oversight proves unsustainable. French enterprises are using AI tools for performance optimisation, anomaly detection and real time policy enforcement.

Data sovereignty and cost control are also shaping cloud strategies in France. Companies in France are adopting FinOps practices and sovereign cloud services to meet regulatory demands and strengthen cybersecurity.

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Germany voices unease over tech sovereignty with France

A senior German official has voiced frustration over joint tech sovereignty efforts with France, describing the experience as disillusioning. The remarks followed a high profile digital summit hosted by Germany and France in Berlin.

The comments came from Luise Hölscher of Germany, who said approaches to buying European technology differ sharply between Germany and France. Germany tends to accept solutions from across Europe, while France often favours domestic providers.

Despite tensions, Hölscher said the disagreement has not damaged the wider partnership between Germany and France. Germany is now exploring closer cooperation with other European countries.

The debate unfolds as the EU considers new rules on cloud services and AI procurement across Germany and France. European institutions are weighing how far public bodies should prioritise European suppliers.

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Agent-based automation in Claude Cowork sparks fears of a SaaS disruption wave

Anthropic has expanded its AI assistant Claude with Cowork, an agent-based workspace for everyday office tasks. Users can grant controlled folder access so Claude can create, edit, and organise files within workflows. Cowork is available in research preview for Claude Max subscribers on macOS.

Claude Cowork breaks work into step-by-step plans and carries out tasks independently. Multiple jobs can run at once, from sorting documents to producing reports from notes or screenshots. The system is positioned as a digital colleague rather than a chatbot.

Anthropic has introduced 11 plug-ins that extend Claude Cowork across legal, sales, marketing, support, and data analysis. Organisations can define workflows, apply brand rules, and integrate business data into task execution. The tools are designed to be customisable without technical complexity.

The company has open-sourced its initial plug-ins and expects enterprises to build tailored versions. Previously part of Claude Code, the tools are now integrated into Claude Cowork through a simplified interface. Anthropic frames the update as embedding AI directly into operations.

Market reaction has highlighted fears that agent-based AI could disrupt software services. Major IT stocks in India reportedly fell following the launch. The term ‘SaaSpocalypse’ reflects unease about AI becoming core infrastructure.

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Amazon expands AI film production tools as Hollywood trials new systems

The US tech giant, Amazon, is preparing a new phase for its proprietary production tools as the company opens a closed beta that will give selected studios early access to its AI systems.

Developers created the technology inside Amazon MGM Studios to improve character consistency across scenes and speed up work in pre and post-production instead of relying on fragmented processes.

The programme begins in March and is expected to deliver initial outcomes by May. Amazon is working with recognised industry figures such as Robert Stromberg, Kunal Nayyar and former Pixar animator Colin Brady to refine the methods.

The company is also drawing on Amazon Web Services and several external language model providers to strengthen performance.

Executives insist the aim is to assist creative teams rather than remove them from the process. The second season of the series ‘House of David’ already used more than 300 AI-generated shots, showing how the technology can support large-scale productions instead of replacing artistic decision-making.

Industry debate continues to intensify as studios explore new automation methods. Netflix also used generative tools for major scenes in ‘The Eternaut’.

Amazon has repeatedly cited AI progress when announcing staff reductions, which added further concern over the long-term effects on employment and creative roles.

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