Future of work Archives | Page 4 of 227 | Digital Watch Observatory

AI reshapes India IT services outlook

India’s $300bn outsourcing industry is facing mounting pressure as AI tools threaten to disrupt traditional business models. A recent sell-off in technology stocks reflects investor concern over automation replacing labour-intensive services.

Fears intensified after new AI tools demonstrated the ability to automate legal, compliance and data processes. Analysts warn such advances could reduce demand for routine IT services and reshape client engagements.

Industry leaders in India argue AI will also create opportunities, particularly in consulting and system modernisation. Firms expect partnerships with AI developers to drive new areas of growth despite near-term disruption.

Revenue growth may slow, and hiring could remain subdued as the sector adapts. Analysts in India expect a gradual shift towards outcome-based services while companies invest in new AI capabilities.

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

AI in filmmaking raises job fears as creative roles face pressure

Growing concern over AI in filmmaking emerged at a major conference, where veteran director Steven Spielberg rejected its use as a replacement for human creativity. He emphasised that storytelling should remain in human hands rather than being driven by automation.

Rapid advances in AI video tools have unsettled the industry, raising fears among editors and visual effects workers. Joshua Davies, chief innovation officer at a video platform, pointed to concerns over jobs, copyright and future production methods.

Current tools remain limited, particularly when handling complex camera movements or maintaining consistency across scenes. AI is instead being used to support production by filling gaps where footage cannot be filmed due to time or budget limits.

Studios are already exploring how AI can be integrated into production pipelines following recent disruptions. A fast and low-cost Super Bowl advert highlighted its potential, although human creative input remained essential.

Lower production costs are expected, but full automation is still unlikely in the near term. AI could help independent creators compete, while strong storytelling continues to define success.

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

AI agents test limits of EU rules

AI agents are rapidly gaining traction, raising questions about whether existing EU rules can keep pace. Unlike chatbots, these systems can act autonomously and interact with digital tools on behalf of users.

Experts warn that AI agents require deeper access to personal data and online services to function effectively. Regulators in Europe are monitoring potential risks as the technology becomes more integrated into daily life.

Lawmakers are examining whether current legislation, such as the AI Act and GDPR, adequately covers agent-based systems. Legal experts highlight challenges around contracts, liability and accountability when AI acts independently.

Despite concerns, many governments remain reluctant to introduce new rules, citing regulatory fatigue. Policymakers may rely on existing frameworks unless major incidents force a reassessment of AI oversight.

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

Publishers challenge OpenAI over alleged copyright infringement

Legal pressure is increasing on OpenAI as Encyclopaedia Britannica and Merriam-Webster file a lawsuit accusing the company of large-scale copyright violations.

According to the complaint, nearly 100,000 copyrighted articles were allegedly used without authorisation to train large language models. Publishers also argue that AI-generated outputs can reproduce parts of their content, raising concerns about unauthorised distribution.

Additional claims focus on how AI systems retrieve and present information. The lawsuit argues that retrieval-augmented generation tools may rely on proprietary databases, potentially undermining publishers’ business models by reducing traffic to original sources.

Concerns are also raised about inaccurate outputs attributed to publishers, which could affect trust in established information providers. The case highlights ongoing tensions between AI development and intellectual property protections.

Growing legal disputes involving media organisations, including The New York Times, suggest that courts will play a key role in defining how copyrighted material can be used in AI training.

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

Google launches AI skills initiative to support Europe’s workforce transition

At the Future of Work Forum, Google introduced ‘AI Works for Europe’, a programme aimed at strengthening digital skills and supporting workforce adaptation to AI across the region.

Funding of $30 million will be directed through Google.org to expand training opportunities, alongside broader access to AI certification programmes designed to help individuals and businesses adopt new technologies in practical contexts.

A central focus involves preparing workers and students for labour market changes.

Partnerships with organisations such as INCO are supporting the development of targeted training programmes, particularly in sectors where demand for AI-related skills is increasing, including finance, logistics and marketing.

New educational pathways are also being introduced, including an expanded AI Professional Certificate available in multiple European languages. These initiatives aim to improve AI literacy and provide hands-on experience aligned with employer expectations.

Collaboration with local organisations and institutions remains a key element, reflecting a broader strategy to ensure access to training across different regions and communities.

Efforts to expand AI capabilities across Europe highlight the growing importance of skills development as AI becomes more integrated into economic activity.

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

MIT research highlights embedded and enacted risks in AI

Generative AI offers major productivity and growth opportunities, but also brings new risks as organisations move from experiments to full deployment. MIT research highlights key risk areas, including training data, foundation models, user prompts, and system prompts.

Researchers identify two types of risk.

Embedded risks come from the technology itself, shaped by model behaviour, data quality, and vendor updates, and are mostly outside an organisation’s control.

Enacted risks arise from choices in deploying AI, from prompt design to agent permissions, and require strong governance.

Advanced uses such as retrieval-augmented generation (RAG) and autonomous AI agents increase exposure. RAG uses internal data to improve outputs, but may reveal sensitive information or control gaps. AI agents acting across multiple tools can lead to ‘autonomy creep,’ performing tasks without proper oversight.

To manage AI risk, organisations should map tools, assign ownership, track outputs, and use separate strategies for embedded and enacted risks. Vendor engagement, governance frameworks, and technical controls are essential for safe AI use.

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

AI-powered MRI previews aim to reduce errors and rescans

Philips is creating AI-driven predictive MRI previews to improve scan planning and reduce operator variability. Using NVIDIA accelerated computing and foundation models, the system creates a pre-scan image to validate protocols, optimise positioning, and spot potential issues.

The technology is based on a dedicated MR foundation model trained on diverse datasets covering anatomies, field strengths, protocols, and artefacts.

When combined with NVIDIA’s NV‑Generate, NV‑Segment, and NV‑Reason models, the platform integrates image generation, segmentation, and interpretation. It creates a single intelligent workflow that supports consistent and efficient MRI procedures.

Predictive previews reduce rescans, enhance image quality, and increase technologist confidence, especially in complex exams or areas with limited expertise. Early guidance helps confirm protocols, optimise positioning, and flag issues that could affect diagnostic outcomes.

Philips envisions autonomous MRI, with AI monitoring image quality, guiding positioning, and assisting radiologists with actionable insights. Predictive imaging boosts consistency, efficiency, and access, improving patient experience and expanding MRI availability.

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

New licensing rules for crypto platforms in Australia

Australia is advancing plans to regulate digital asset platforms under its financial services framework. The Senate committee recommended passing the Digital Assets Framework Bill 2025, bringing Australia closer to licensing crypto exchanges and tokenisation platforms.

Industry groups have raised concerns about definitions such as ‘digital token’ and ‘factual control.’ Broad wording could inadvertently cover infrastructure providers, including multi-party wallet systems, potentially classifying them as financial service operators.

Ripple Labs emphasised the need for precise language to avoid unintended regulation.

The committee supported the Treasury’s approach while planning to refine technical details through future regulations. Coinbase welcomed the progress but noted ongoing banking challenges for crypto firms.

The bill now proceeds to the Senate for debate and a final vote, which could reshape digital asset operations in Australia.

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

NVIDIA expands physical AI ecosystem to accelerate real world robotics

Partnerships across the robotics sector are positioning NVIDIA at the centre of what is increasingly described as ‘physical AI’, a shift towards intelligent machines capable of perceiving, reasoning and acting in real environments.

A new generation of tools, including NVIDIA Cosmos world models and updated NVIDIA Isaac simulation frameworks, aims to support developers in training and validating robots before deployment.

These systems enable companies to simulate complex environments, reducing the risks and costs of real-world testing.

Industrial robotics leaders such as ABB Robotics, KUKA, and FANUC are integrating NVIDIA technologies into digital twin environments, enabling more accurate modelling of production lines and automation systems.

Advances are also extending into humanoid robotics, where companies are using AI models to develop machines capable of more flexible and adaptive behaviour.

New foundation models, including GR00T systems, are designed to give robots general-purpose capabilities instead of limiting them to specific tasks.

Healthcare and logistics represent additional areas of deployment, with robotics platforms being tested in surgical systems, warehouse automation and manufacturing environments. These applications highlight how physical AI could reshape industries requiring precision, safety and scalability.

Growing collaboration across cloud providers, manufacturers and AI developers suggests that robotics is moving toward a more integrated ecosystem, where simulation, data generation and deployment are increasingly interconnected.

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

Britain targets quantum leadership with £1bn investment

UK Secretary of State for Science, Innovation and Technology Liz Kendall has announced a £1bn funding package to boost UK quantum computing and retain domestic talent.

The initiative reflects growing concern over the country’s ability to compete globally, particularly after the US established dominance in AI.

Officials emphasised the need to retain British startups, engineers, and researchers who often relocate abroad in search of better funding and scaling opportunities. The UK produces top talent, but Google and OpenAI own many leading firms.

The investment will support the development of large-scale quantum computers for use across science, industry, and the public sector. Another £1bn will fund real-world use in finance, pharmaceuticals, and energy.

The government aims to build a fully operational domestic quantum system by the early 2030s.

Quantum computing uses qubits that can exist in multiple states simultaneously, enabling far greater computational power than classical systems. Fully fault-tolerant machines are still in development, but the technology could drive advances in drug discovery, materials science, and complex modelling.

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