OpenAI moves to for-profit with Microsoft deal

Microsoft and OpenAI have agreed to new non-binding terms that will allow OpenAI to restructure into a for-profit company, marking a significant shift in their long-standing partnership.

The agreement sets the stage for OpenAI to raise capital, pursue additional cloud partnerships, and eventually go public, while Microsoft retains access to its technology.

The previous deal gave Microsoft exclusive rights to sell OpenAI tools via Azure and made it the primary provider of compute power. OpenAI has since expanded its options, including a $300 billion cloud deal with Oracle and an agreement with Google, allowing it to develop its own data centre project, Stargate.

OpenAI aims to maintain its nonprofit arm, which will receive more than $100 billion from the projected $500 billion private market valuation.

Regulatory approval from the attorneys general of California and Delaware is required for the new structure, with OpenAI targeting completion by the end of the year to secure key funding.

Both companies continue to compete across AI products, from consumer chatbots to business tools, while Microsoft works on building its own AI models to reduce reliance on OpenAI technology.

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Albania names first AI-generated minister to fight corruption

Albanian Prime Minister Edi Rama has unveiled the world’s first AI-generated minister, a virtual figure named Diella, who will oversee public tenders in an effort to eradicate corruption. The announcement was made as Rama presented his new cabinet following a decisive election victory in May.

Diella, meaning ‘Sun’ in Albanian, has already been active on the government’s e-Albania portal, where it has issued more than 36,000 digital documents and helped citizens access around 1,000 services.

Now, it will formally take on a cabinet role, marking what Rama described as a radical shift in governance where technology acts as a participant instead of a tool.

The AI will gradually take over responsibility for awarding government tenders, removing decisions from ministries and ensuring assessments are objective. Rama said the system would help Albania become ‘100 per cent corruption-free’ in procurement, a key area of concern in the country’s bid to join the EU by 2030.

Public tenders have long been linked to corruption scandals in Albania, a nation often cited as a hub for money laundering and organised crime. Supporters view Diella’s appointment as a bold step towards transparency, with local media calling it a major transformation in how state power is exercised.

Rama emphasised that the AI minister would have a special mandate to break down bureaucratic barriers and strengthen public trust in administration.

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Japan plans first national AI strategy

Japan is preparing its first national AI basic plan to boost AI adoption in public institutions and beyond. The draft sets out four core policies to balance innovation with risk management, with final Cabinet approval expected later this year.

The plan targets low AI usage rates in the country, around 20% for individuals and 50% for corporations. Policies include accelerating AI adoption, strengthening development capacity, leading in AI governance, and fostering continuous social transformation toward an AI-integrated society.

Government bodies and municipalities are expected to lead by example, improving efficiency and enhancing defence capabilities.

High-quality data, a key factor in AI accuracy, is a national strength. The plan stresses the importance of human-AI collaboration, calls for robust copyright and liability frameworks, and identifies risks such as errors, disinformation, and threats to national security.

Authorities plan thorough investigations of rights infringements and aim to help shape international AI rules.

The draft will be presented at the AI strategy headquarters meeting, chaired by Prime Minister Shigeru Ishiba, before being refined by an expert panel and finalised within the year.

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Nurabot to assist nurses with routine tasks

Global health care faces a severe shortage of workers, with WHO projecting a deficit of 4.5 million nurses by 2030. Around one-third of nurses already experience burnout, and high turnover rates exacerbate staffing pressures.

Foxconn’s new AI-powered nursing robot, Nurabot, is designed to assist with repetitive and physically demanding tasks, potentially reducing nurses’ workload by up to 30%.

Nurabot moves autonomously around hospital wards, delivers medication, and guides patients, using a combination of Foxconn’s Chinese large language model and NVIDIA’s AI platforms.

Built with Kawasaki Heavy Industries, the robot was adapted and trained virtually to navigate hospital wards safely. Testing at Taichung Veterans General Hospital since April 2025 has shown promising results, with Foxconn planning a commercial launch in early 2026.

The ageing population and rising patient demand are straining health care systems worldwide. Experts say AI robots can boost efficiency and save the workforce, but issues remain, including patient preference, hospital design, safety, and data ethics.

Hospitals may need redesigns to accommodate free-moving humanoid robots effectively.

While robots like Nurabot cannot replace nurses, they can support staff by handling routine tasks and freeing professionals to provide critical patient care. The smart hospital market, worth $72.24 billion in 2025, shows rising investment in AI and robotics to address staff shortages and ageing populations.

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M&S technology chief steps down after cyberattack

Marks & Spencer’s technology chief, Rachel Higham, has stepped down less than 18 months after joining the retailer from BT.

Her departure comes months after a cyberattack in April by Scattered Spider disrupted systems and cost the company around £300 million. Online operations, including click-and-collect, were temporarily halted before being gradually restored.

In a memo to staff, the company described Higham as a steady hand during a turbulent period and wished her well. M&S has said it does not intend to replace her role, leaving questions over succession directly.

The retailer expects part of the financial hit to be offset by insurance. It has declined to comment further on whether Higham will receive a payoff.

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AI smart glasses give blind users new independence

Smart glasses powered by AI give people with vision loss new ways to navigate daily life, from cooking to crossing the street.

Users like Andrew Tutty in Ontario say the devices restore independence, helping with tasks such as identifying food or matching clothes. Others, like Emilee Schevers, rely on them to confirm traffic signals before crossing the road.

The AI glasses, developed by Meta, are cheaper than many other assistive devices, which can cost thousands. They connect to smartphones, using voice commands and apps like Be My Eyes to describe surroundings or link with volunteers.

Experts, however, caution that the glasses come with significant privacy concerns. Built-in cameras stream everything within view to large tech firms, raising questions about surveillance, data use and algorithmic reliability.

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Broadcom lands $10bn AI chip order

Broadcom has secured a $10 billion agreement to supply custom AI chips, with analysts pointing to OpenAI as the likely customer.

The US semiconductor firm announced the deal alongside better-than-expected third-quarter earnings, driven by growing demand for its ASICs. It forecast a strong fourth quarter as cloud providers seek alternatives to Nvidia, whose GPUs remain costly and supply-constrained.

Chief executive Hock Tan said Broadcom is collaborating with four potential new clients on chip development, adding to existing partnerships with major players such as Google and Meta.

The company recently introduced the Tomahawk Ultra and next-generation Jericho networking chips, further strengthening its position in the AI computing sector.

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Moncler Korea fined over customer data breach

South Korea’s Personal Information Protection Commission has fined Moncler Korea 88 million won ($63,200) over a large-scale customer data breach.

The regulator said a cyberattack in December 2021 exposed the personal details of about 230,000 customers. Hackers gained access by compromising an administrator account and installing malware on the company’s servers.

The stolen information of the South Korean customers included purchase-related data, though names, dates of birth, emails and card numbers were not part of the leak.

According to officials, Moncler Korea only became aware of the breach a month later and delayed reporting it to both customers and the regulator.

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AI-generated film sparks copyright battle as it heads to Cannes

OpenAI has taken a significant step into entertainment by backing Critterz, the first animated feature film generated with GPT models.

Human artists sketch characters and scenes, while AI transforms them into moving images. The $30 million project, expected to finish in nine months, is far cheaper and faster than traditional animation and could debut at the Cannes Film Festival in 2026.

Yet the film has triggered a fierce copyright debate in India and beyond. Under India’s Copyright Act of 1957, only human works are protected.

Legal experts argue that while AI can be used as a tool when human skill and judgement are clearly applied, autonomously generated outputs may not qualify for copyright at all.

The uncertainty carries significant risks. Producers may struggle to combat piracy or unauthorised remakes, while streaming platforms and investors could hesitate to support projects without clear ownership rights.

A recent case involving an AI tool credited as a co-author of a painting, later revoked, shows how untested the law remains.

Global approaches vary. The US and the EU require human creativity for copyright, while the UK recognises computer-generated works under certain conditions.

In India, lawyers suggest contracts provide the safest path until the law evolves, with detailed agreements on ownership, revenue sharing and disclosure of AI input.

The government has already set up an expert panel to review the Copyright Act, even as AI-driven projects and trailers rapidly gain popularity.

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Cyberattack keeps JLR factories shut, hackers claim responsibility

Jaguar Land Rover (JLR) has confirmed that data was affected in a cyberattack that has kept its UK factories idle for more than a week. The company stated that it is contacting anyone whose data was involved, although it did not clarify whether the breach affected customers, suppliers, or internal systems.

JLR reported the incident to the Information Commissioner’s Office and immediately shut down IT systems to limit damage. Production at Midlands and Merseyside sites has been halted until at least Thursday, with staff instructed not to return before next week.

The disruption has also hit suppliers and retailers, with garages struggling to order spare parts and dealers facing delays registering vehicles. JLR said it is working around the clock to restore operations in a safe and controlled way, though the process is complex.

Responsibility for the hack has been claimed by Scattered Lapsus$ Hunters, a group linked to previous attacks on Marks & Spencer, the Co-op, and Las Vegas casinos in the UK and the US. The hackers posted alleged screenshots from JLR’s internal systems on Telegram last week.

Cybersecurity experts say the group’s claim that ransomware was deployed raises questions, as it appears to have severed ties with Russian ransomware gangs. Analysts suggest the hackers may have only stolen data or are building their own ransomware infrastructure.

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