Key Internet developments

Deutsche Telekom partners with OpenAI to expand advanced AI services across Europe

OpenAI has formed a new partnership with Deutsche Telekom to deliver advanced AI capabilities to millions of people across Europe. The collaboration brings together Deutsche Telekom’s customer base and OpenAI’s research to expand the availability of practical AI tools.

The companies aim to introduce simple, multilingual and privacy-focused AI services starting in 2026, helping users communicate, learn and accomplish tasks more efficiently. Widespread familiarity with platforms such as ChatGPT is expected to support rapid uptake of these new offerings.

Deutsche Telekom will introduce ChatGPT Enterprise internally, giving staff secure access to tools that improve customer support and streamline workflows. The move aligns with the firm’s goal of modernising operations through intelligent automation.

Further integration of AI into network management and employee copilots will support the transition towards more autonomous, self-optimising systems. The partnership is expected to strengthen the availability and reliability of AI services throughout Europe.

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EIB survey shows EU firms lead in investment, innovation and green transition

European firms continue to invest actively despite a volatile global environment, demonstrating resilience, innovation, and commitment to sustainability, according to the European Investment Bank (EIB) Group’s 2025 Investment Survey.

Across the EU, companies are expanding capacity, adopting advanced digital technologies, and pursuing green investment to strengthen competitiveness.

Spanish firms, for example, are optimistic about their sector, prioritising capacity growth, using generative AI, and investing in energy efficiency and climate risk insurance.

Digital transformation is accelerating across the continent. Austrian and Finnish firms stand out for their extensive adoption of generative AI and multiple advanced digital tools, while Belgian companies excel in integrating digital technologies alongside green initiatives.

Czech firms devote a larger share of investment to capacity expansion and innovation, with high engagement in international trade and strategic use of digital solutions. These trends are highlighted in country-level EIB reports and reflect broader European patterns.

The green transition remains central to corporate strategies. Many firms actively reduce emissions, improve energy efficiency, and view sustainability as a business opportunity rather than a regulatory burden.

In Belgium, investments in energy efficiency and waste reduction are among the highest in the EU, while nearly all Finnish companies report taking measures to reduce greenhouse gases.

Across Europe, firms increasingly combine environmental action with innovation to maintain competitiveness and resilience.

Challenges persist, including skills shortages, uncertainty, high energy costs, and regulatory complexity. Despite these obstacles, European businesses continue to innovate, expand, and embrace international trade.

EIB surveys show that firms are leveraging technology and green investments not only to navigate economic uncertainty but also to position themselves for long-term growth and strategic advantage in a changing global landscape.

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Microsoft commits $17.5 billion to AI in India

The US tech giant, Microsoft, has announced its largest investment in Asia, committing US$17.5 billion to India over four years to expand cloud and AI infrastructure, workforce skilling, and operations nationwide.

An announcement that follows the US$3 billion investment earlier in 2025 and aims to support India’s ambition to become a global AI leader.

The investment focuses on three pillars: hyperscale infrastructure, sovereign-ready solutions, and workforce development. A new hyperscale data centre in Hyderabad, set to go live by mid-2026, will become Microsoft’s largest in India.

Expansion of existing data centres in Chennai, Hyderabad and Pune will improve resilience and low-latency performance for enterprises, startups, and public sector organisations.

Microsoft will integrate AI into national platforms, including e-Shram and the National Career Service, benefiting over 310 million informal workers. AI-enabled features include multilingual access, predictive analytics, automated résumé creation, and personalised pathways toward formal employment.

Skilling initiatives will be doubled to reach 20 million Indians by 2030, building an AI-ready workforce that can shape the country’s digital future.

Sovereign Public and Private Cloud solutions will provide secure, compliant environments for Indian organisations, supporting both connected and disconnected operations.

Microsoft 365 Copilot will process data entirely within India by the end of 2025, enhancing governance, compliance, and performance across regulated sectors. These initiatives aim to position India as a global AI hub powered by scale, skilling, and digital sovereignty.

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Instacart deepens partnership with OpenAI for real-time AI shopping

OpenAI and Instacart are expanding their longstanding collaboration by introducing a fully integrated grocery shopping experience inside ChatGPT.

Users can receive meal inspiration, browse products and place orders in one continuous conversation instead of switching across separate platforms.

A service that brings together Instacart’s real-time retail network with OpenAI’s most advanced models to produce an experience that feels like a direct link between a simple request and completed delivery.

The Instacart app becomes the first service to offer a full checkout flow inside ChatGPT by using the Agentic Commerce Protocol. When users mention food, ingredients or recipe ideas, ChatGPT can surface the app immediately.

Once the user connects an Instacart account, the system selects suitable items from nearby retailers and builds a complete cart that can be reviewed before payment. Users then pay securely inside the chat while Instacart manages collection and delivery through its established network.

The update also reflects broader cooperation between the two companies. Instacart continues to rely on OpenAI APIs to support personalised suggestions and real time guidance across its customer experience.

ChatGPT Enterprise assists internal teams, while Codex powers an internal coding agent that shortens development cycles instead of slowing them down with manual tasks. The partnership builds on Instacart’s early involvement in the Operator research preview, where it helped refine emerging agentic technologies.

A renewed partnership that strengthens OpenAI’s growing enterprise ecosystem. The company already works with major global brands across sectors such as retail, financial services and telecommunications.

The Instacart integration offers a view of how conversational agents may act as a bridge between everyday intent and immediate real-world action.

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Japan weighs easing rules on personal data use

Japan is preparing to relax restrictions on personal data use to support rapid AI development. Government sources say a draft bill aims to expand third-party access to sensitive information.

Plans include allowing medical histories and criminal records to be obtained without consent for statistical purposes. Japanese officials argue such access could accelerate research while strengthening domestic competitiveness.

New administrative fines would target companies that profit from unlawfully acquired data affecting large groups. Penalties would match any gains made through misconduct, reflecting growing concern over privacy abuses.

A government panel has reviewed the law since 2023 and intends to present reforms soon. Debate is expected to intensify as critics warn of increased risks to individual rights if support for AI development in this regard continues.

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Australia seals $4.6 billion deal for new AI hub

OpenAI has partnered with Australian data centre operator NextDC to build a major AI campus in western Sydney. The companies signed an agreement covering development, planning and long-term operation of the vast site.

NextDC said the project will include a supercluster of graphics processors to support advanced AI workloads. Both firms intend to create infrastructure capable of meeting rapid global demand for high-performance computing.

Australia estimates the development at A$7 billion and forecasts thousands of jobs during construction and ongoing roles across engineering and operations. Officials say the initiative aligns with national efforts to strengthen technological capability.

Plans feature renewable energy procurement and cooling systems that avoid drinking water use, addressing sustainability concerns. Treasurer Jim Chalmers said the project reflects growing confidence in Australia’s talent, clean energy capacity and emerging AI economy.

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Japan aims to boost public AI use

Japan has drafted a new basic programme aimed at dramatically increasing public use of AI, with a target of raising utilisation from 50% to 80%. The government hopes the policy will strengthen domestic AI capabilities and reduce reliance on foreign technologies.

To support innovation, authorities plan to attract roughly ¥1 trillion in private investment, funding research, talent development and the expansion of AI businesses into emerging markets. Officials see AI as a core social infrastructure that supports both intellectual and practical functions.

The draft proposes a unified AI ecosystem where developers, chip makers and cloud providers collaborate to strengthen competitiveness and reduce Japan’s digital trade deficit. AI adoption is also expected to extend across all ministries and government agencies.

Prime Minister Sanae Takaichi has pledged to make Japan the easiest country in the world for AI development and use. The Cabinet is expected to approve the programme before the end of the year, paving the way for accelerated research and public-private investment.

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UK lawmakers push for binding rules on advanced AI

Growing political pressure is building in Westminster as more than 100 parliamentarians call for binding regulation on the most advanced AI systems, arguing that current safeguards lag far behind industry progress.

A cross-party group, supported by former defence and AI ministers, warns that unregulated superintelligent models could threaten national and global security.

The campaign, coordinated by Control AI and backed by tech figures including Skype co-founder Jaan Tallinn, urges Prime Minister Keir Starmer to distance the UK from the US stance against strict federal AI rules.

Experts such as Yoshua Bengio and senior peers argue that governments remain far behind AI developers, leaving companies to set the pace with minimal oversight.

Calls for action come after warnings from frontier AI scientists that the world must decide by 2030 whether to allow highly advanced systems to self-train.

Campaigners want the UK to champion global agreements limiting superintelligence development, establish mandatory testing standards and introduce an independent watchdog to scrutinise AI use in the public sector.

Government officials maintain that AI is already regulated through existing frameworks, though critics say the approach lacks urgency.

Pressure is growing for new, binding rules on the most powerful models, with advocates arguing that rapid advances mean strong safeguards may be needed within the next two years.

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Starlink gains ground in South Korea’s telecom market

South Korea has gained nationwide satellite coverage as Starlink enters the market and expands the country’s already advanced connectivity landscape.

The service offers high-speed access through a dense LEO network and arrives with subscription options for households, mobile users and businesses.

Analysts see meaningful benefits for regions that are difficult to serve through fixed networks, particularly in mountainous areas and offshore locations.

Enterprise interest has grown quickly. Maritime operators moved first, with SK Telink and KT SAT securing contracts as Starlink went live. Large fleets will now adopt satellite links for navigation support, remote management and stronger emergency communication.

The technology has also reached the aviation sector as carriers under Hanjin Group plan to install Starlink across all aircraft, aiming to introduce stable in-flight Wi-Fi from 2026.

Although South Korea’s fibre and 5G networks offer far higher peak speeds, Starlink provides reliability where terrestrial networks cannot operate. Industry observers expect limited uptake from mainstream households but anticipate significant momentum in maritime transport, aviation, construction and energy.

An expansion in South Korea that marks one of Starlink’s most strategic Asia-Pacific moves, driven by industrial demand and early partnerships.

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Ireland and Australia deepen cooperation on online safety

Ireland’s online safety regulator has agreed a new partnership with Australia’s eSafety Commissioner to strengthen global approaches to digital harm. The Memorandum of Understanding (MoU) reinforces shared ambitions to improve online protection for children and adults.

The Irish and Australian plan to exchange data, expertise and methodological insights to advance safer digital platforms. Officials describe the arrangement as a way to enhance oversight of systems used to minimise harmful content and promote responsible design.

Leaders from both organisations emphasised the need for accountability across the tech sector. Their comments highlighted efforts to ensure that platforms embed user protection into their product architecture, rather than relying solely on reactive enforcement.

The MoU also opens avenues for collaborative policy development and joint work on education programs. Officials expect a deeper alignment around age assurance technologies and emerging regulatory challenges as online risks continue to evolve.

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