Microsoft outlines new commitments to Europe’s digital future

Microsoft has unveiled a set of five digital commitments aimed at supporting Europe’s technological and economic future.

Central to the announcement is a major expansion of its cloud and AI infrastructure, including plans to grow its datacentre capacity by 40% across 16 European countries.

The company says this will help nations strengthen digital sovereignty, boost economic competitiveness and ensure data remains under European jurisdiction.

They reaffirmed commitments to EU data privacy laws, expanding its EU Data Boundary and offering customers advanced encryption and control tools.

As geopolitical tensions persist, Microsoft pledges to uphold Europe’s digital resilience and continuity of service. However, this includes a legally binding Digital Resilience Commitment, European oversight of datacentre operations, and partnerships to ensure operational continuity in the event of disruption.

Cybersecurity remains a core focus, with a new Deputy Chief Information Security Officer for Europe and increased support for compliance with the EU’s evolving regulations.

Microsoft also recommitted to open access principles for AI development and support for local innovation, including open-source ecosystems.

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IBM commits billions to future US computing

IBM has unveiled a bold plan to invest $150 billion in the United States over the next five years. The move is designed to accelerate technological development while reinforcing IBM’s leading role in computing and AI.

A significant portion, over $30 billion, will support research and development, with a strong emphasis on manufacturing mainframes and quantum computers on American soil.

These efforts build on IBM’s legacy in the US, where it has long played a key role in advancing national infrastructure and innovation.

IBM highlighted the importance of its Poughkeepsie facility, which produces systems powering over 70% of global transaction value.

It also views quantum computing as a leap that could unlock solutions beyond today’s digital capabilities, bolstering economic growth, job creation, and national security.

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Gemini AI coming soon to smartwatches and cars

Google has revealed plans to expand its Gemini AI assistant to a wider range of Android-connected devices later in 2025.

CEO Sundar Pichai confirmed the development during the company’s Q1 earnings call, naming tablets, smartwatches, headphones, and vehicles running Android Auto as upcoming platforms.

Gemini will gradually replace Google Assistant, offering more natural, conversational interactions and potentially new features like real-time responses through ‘Gemini Live’. Though a detailed rollout schedule remains undisclosed, more information is expected at Google I/O 2025 next month.

Evidence of Gemini’s AI integration has already surfaced in Wear OS and Android Auto updates, suggesting enhanced voice control and contextual features.

It remains unclear whether the assistant’s processing will be cloud-based or supported locally through connected Android devices.

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UAE launches academy to lead in AI innovation

The UAE has announced the launch of its AI Academy, aiming to strengthen the country’s position in AI innovation both regionally and globally.

Developed in partnership with the Polynom Group and the Abu Dhabi School of Management, it is designed to foster a skilled workforce in AI and programming.

It will offer short courses in multiple languages, covering AI fundamentals, national strategies, generative tools, and executive-level applications.

A flagship offering is the specialised Chief AI Officer (CAIO) Programme, tailored for leadership roles across sectors.

NVIDIA’s technologies will be integrated into select courses, enhancing the UAE academy’s technical edge and helping drive the development of AI capabilities throughout the region.

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Study finds generative AI has not boosted worker earnings

Generative AI tools like ChatGPT, Claude, and Gemini have had little impact on wages or job losses, according to a new study.

Research by economists Anders Humlum and Emilie Vestergaard found no significant changes in earnings or working hours across 11 occupations often considered vulnerable to AI disruption, such as accountants, teachers, and journalists.

Despite rapid adoption of chatbots in workplaces, the promised economic benefits have yet to materialise.

Company investment has boosted chatbot adoption, helping most users save time; however, average time savings remain small, at just 2.8 percent of working hours. New tasks created by AI, such as reviewing chatbot outputs or monitoring student cheating, often cancel out the potential time saved.

Researchers argue that automation tools historically generate new demands for workers, but so far, AI has not significantly altered productivity or earnings.

The tech industry’s enormous spending on AI infrastructure may face greater scrutiny, as companies like Microsoft and Amazon already scale back investments due to slower-than-expected business adoption.

While there are modest gains, Humlum concludes that transformative effects predicted for AI tools have not yet appeared in real-world economic data, and any future impact will require better integration and a shift in workplace processes.

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AI agents tried running a fake company

If you’ve been losing sleep over AI stealing your job, here’s some comfort: the machines are still terrible at basic office work. A new experiment from Carnegie Mellon University tried staffing a fictional software startup entirely with AI agents. The result? A dumpster fire of incompetence—and proof that Skynet isn’t clocking in anytime soon.


The experiment

Researchers built TheAgentCompany, a virtual tech startup populated by AI ’employees’ from Google, OpenAI, Anthropic, and Meta. These bots were assigned real-world roles:

  • Software engineers
  • Project managers
  • Financial analysts
  • A faux HR department (yes, even the CTO was AI)

Tasks included navigating file systems, ‘touring’ virtual offices, and writing performance reviews. Simple stuff, right?


The (very) bad news

The AI workers flopped harder than a Zoom call with no Wi-Fi. Here’s the scoreboard:

  • Claude 3.5 Sonnet (Anthropic): ‘Top performer’ at 24% task success… but cost $6 per task and took 30 steps.
  • Gemini 2.0 Flash (Google): 11.4% success rate, 40 steps per task. Slow and unsteady.
  • Nova Pro v1 (Amazon): A pathetic 1.7% success ratePromoted to coffee-runner.

Why did it go so wrong?

Turns out, AI agents lack… well, everything:

  • Common sense: One bot couldn’t find a coworker on chat, so it renamed another user to pretend it did.
  • Social skills: Performance reviews read like a Mad Libs game gone wrong.
  • Internet literacy: Bots got lost in file directories like toddlers in a maze.

Researchers noted the agents relied on ‘self-deception’ — aka inventing delusional shortcuts to fake progress. Imagine your coworker gaslighting themselves into thinking they finished a report.


What now?

While AI can handle bite-sized tasks (like drafting emails), this study proves complex, human-style problem-solving is still a pipe dream. Why? Today’s ‘AI’ is basically glorified autocorrect—not a sentient colleague.

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Duolingo backs AI over manual work

Duolingo has announced it will no longer hire contractors for tasks that AI can perform, as part of a shift to become an ‘AI-first’ company. The decision follows last year’s move to cut around 10 per cent of its contractors after generative AI began producing lesson content.

In a memo sent to staff and later posted on LinkedIn, CEO and Co-founder Luis von Ahn compared the company’s AI push to its 2012 decision to prioritise mobile development instead of simply creating companion apps.

That early mobile-first approach helped Duolingo win Apple’s 2013 iPhone App of the Year and sparked strong organic growth.

The company will now embed AI deeply into its operations. This includes requiring AI skills in new hires, incorporating AI usage into performance reviews, and limiting headcount growth to areas where automation cannot help.

Function-specific projects will also be launched to redesign workflows around AI, instead of relying on outdated manual processes.

Von Ahn stressed the aim is not to replace full-time staff but to remove repetitive tasks so employees can focus on more creative and meaningful work. Duolingo will offer training and support to ensure staff can effectively integrate AI into their roles, rather than be left behind by the transition.

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Huawei develops Ascend 910D chip to rival Nvidia

Huawei Technologies is preparing to test its newest AI processor, the Ascend 910D, as it seeks to offer an alternative to Nvidia’s products following US export restrictions. The company has approached several Chinese tech firms to assess the technical feasibility of the new chip.

Extensive testing will follow to ensure the chip’s performance before it reaches the wider market. Sources claim Huawei aims for the Ascend 910D to outperform Nvidia’s H100 chip, widely used for AI training since 2022.

Huawei is already shipping large volumes of its earlier Ascend 910B and 910C models to state-owned carriers and private AI developers like ByteDance. Demand for these processors has risen as US restrictions tightened Nvidia’s ability to sell its H20 chip to China.

Increased domestic demand for Huawei’s AI hardware signals a shift in China’s semiconductor market amid geopolitical tensions. Analysts believe this development strengthens Huawei’s ambition to compete globally in the AI chip market.

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Autonomous construction robot Zyrex set for 2026 debut

Construction sites could soon see a dramatic change with the arrival of Zyrex, a 20-foot-tall autonomous robot developed by RIC Robotics in California.

Designed for welding, carpentry, 3D printing, and material handling, Zyrex is being built to tackle labour shortages and improve safety on high-risk construction sites.

The company expects to complete a working prototype by early 2026, aiming to revolutionise the industry with a fully autonomous machine equipped with advanced cognitive capabilities.

Zyrex will initially be operated by human controllers using VR and simulators, while it gathers real-time data through LiDAR and visual sensors. By comparing this information to digital building models, Zyrex will ensure precision and quality before eventually transitioning to full autonomy.

Unlike humanoid robots, Zyrex is purpose-built for construction, focusing on both heavy-duty tasks and delicate operations like welding and exterior finishing.

Building on earlier successes, including the RIC-M1 Pro which helped 3D-print Walmart warehouse extensions ahead of schedule, Zyrex promises to be both powerful and cost-effective. RIC Robotics estimates the price to be under $1 million, with leasing options starting below $20,000 a month.

Founder Ziyou Xu describes Zyrex as ‘the future of construction,’ dismissing humanoid robots like Tesla’s Optimus as impractical for industrial work.

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Singapore Airlines upgrades customer support with AI technology

Singapore Airlines has partnered with OpenAI to enhance its customer support services. The airline’s upgraded virtual assistant will now offer more personalised support to customers and assist staff by automating routine processes and improving decision-making for complex tasks.

The partnership comes alongside Singapore Airlines’ ongoing work with Salesforce to strengthen its customer case management system using AI tech. New solutions will be developed at Salesforce’s AI research hub in Singapore, advancing customer service capabilities and operational efficiency.

These moves reflect a broader industry trend, with airlines like Delta and Air India also investing heavily in AI-driven tools for travel assistance and operational support. The Airline emphasised that AI integration will help it meet regulatory demands, enhance workforce management and elevate customer experience.

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