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Australia launches AI Safety Institute to boost trust in AI adoption

Australia’s AI Safety Institute became operational on 2 June as the government seeks to strengthen public trust in AI development, deployment and governance. The announcement was made during the AFR AI Summit in Canberra, where the government described public trust as essential to building a domestic AI industry.

According to Assistant Minister for Science, Technology and the Digital Economy Hon Dr Andrew Charlton, Australia’s national AI plan rests on three pillars:

Capturing the opportunity
Sharing the benefits
Keeping Australians safe.

The AI Safety Institute is intended to support that effort by testing AI systems, assisting regulators and strengthening public confidence in the technology.

In his speech, Charlton also argued that Australia faces a choice between building a world-class AI industry or relying on foreign capability, while warning that low public trust could slow AI adoption and investment.

Charlton cited survey findings showing that only 30% of Australians believe the benefits of AI outweigh the risks, while 78% are concerned about potential negative impacts, and 36% say they trust the technology. It linked public scepticism to concerns that AI benefits may flow offshore while costs linked to jobs, privacy, power bills, and local communities are borne domestically.

Data centres were highlighted as an example of how trust considerations are shaping AI policy. The government said data-centre developers should contribute new renewable energy capacity, cover an appropriate share of transmission and distribution costs, engage with local communities and avoid creating pressure on water resources.

The AI Safety Institute will analyse and test AI models and applications, support regulators responding to emerging AI-related harms, and contribute to national and international discussions on safe AI development and governance. The speech also pointed to wider work on privacy reform, online safety, workplace impacts, competition, consumer issues, and public-sector AI adoption.

Why does it matter?

Australia is positioning trust as a key component of its AI strategy at a time when governments are balancing economic opportunities from AI with concerns about safety, privacy, employment and infrastructure impacts.

By creating a dedicated AI Safety Institute, Australia joins a growing number of countries establishing specialised institutions to evaluate AI risks, support regulators and build public confidence in the deployment of increasingly capable AI systems.

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G7 digital and technology ministers agree on priorities on AI, resilience and online child safety

G7 digital and technology ministers have agreed on priorities covering secure AI, AI openness, digital sector resilience and online safety for minors following a meeting in Paris under France’s presidency. Ministers said digital technologies are central to innovation, productivity and competitiveness, while also creating new challenges for users, businesses and service providers.

The statement reaffirmed support for Data Free Flow with Trust, while highlighting privacy, data protection, intellectual property and security considerations. Ministers also welcomed G7 work on semiconductors, digital standards, quantum technologies, and competition in AI inputs, including computing power, data, energy, and talent.

On AI, ministers said secure, responsible and trustworthy systems are needed to maintain public trust and support adoption. They welcomed the revised Hiroshima AI Process Reporting Framework and said France’s presidency would start discussions with stakeholders, the OECD, and members of the International Network for Advanced AI Measurement, Evaluation and Science to improve comparability between AI risk assessment frameworks.

The G7 also backed a Vision on AI Openness, intended to clarify terminology and support access to open-source and open-weight AI approaches. Ministers said AI openness can help diffuse AI, support research collaboration, and contribute to innovation and economic growth, while clearer language can reduce ambiguity and support trust.

Ministers also supported a G7 SME AI Readiness Tool, developed with the OECD and in cooperation with the G7 Social-Employment working group. The tool is expected to be made available through the G7 AI Training Hub to help micro, small and medium-sized enterprises assess their digital and AI readiness, improve AI literacy and lower adoption barriers.

The statement also addresses digital and AI sector resilience, resource efficiency and growing pressure on energy grids and digital infrastructure. On child online safety, ministers supported a Common G7 Set of Principles for a safe and secure digital space for minors, covering digital literacy, AI education, risk mitigation by digital service providers, support for parents and guardians, and protection against online harms.

Why does it matter?

The G7 statement reflects growing international coordination around AI governance, digital resilience and online child safety. By addressing AI risk assessment, openness, SME adoption and digital infrastructure pressures in one framework, ministers are linking technological innovation with trust, security and economic competitiveness.

The agreement also signals that online safety for minors is becoming a core part of digital policy cooperation among major economies, particularly as AI systems and digital platforms play a larger role in children’s online experiences.

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China tightens controls on technology leaks with updated secrecy laws

China has updated its trade secret protection rules to formally include data, algorithms, computer programs, code, and other technical information, reflecting the growing importance of digital assets in commercial competition.

The Provisions on the Protection of Trade Secrets, issued by the State Administration for Market Regulation, took effect on 1 June 2026 and replaced rules dating back to 1995. The framework defines trade secrets as technical, business, and other commercial information that is not publicly known, has commercial value, and is protected through corresponding confidentiality measures.

The new rules encourage companies to strengthen internal compliance and trade secret management systems. They identify reasonable confidentiality measures, including confidentiality agreements, employee training, access restrictions, data classification, encryption, isolation, and limits on copying, storing, or accessing sensitive information.

The regulations also address digital working environments. For remote work and cross-border collaboration, companies are encouraged to implement measures such as permission tiering, data masking, and operational logging to protect confidential information.

The rules prohibit acquiring trade secrets through theft, bribery, fraud, coercion, electronic intrusion, or other improper means. They also cover unauthorised access to digital office systems, servers, email accounts, cloud storage, and application accounts, as well as the use of malware or the exploitation of vulnerabilities to obtain trade secrets.

The framework applies to trade secret infringements committed outside China where they disrupt domestic market competition or harm the lawful rights and interests of Chinese business operators.

Alongside the new rules, SAMR has launched the fourth Enterprise Trade Secret Protection Capacity Enhancement Service Month in June 2026. The campaign will focus on compliance guidance, stronger enforcement, regional cooperation, and support for key industries, including biomedicine, integrated circuits, and AI.

Why does it matter?

The updated rules show how trade secret protection is being adapted to digital and data-driven industries. By explicitly covering data, algorithms, software and code, China is treating digital knowledge assets as core components of commercial competitiveness. The framework also raises compliance expectations for companies operating in China, especially those working across remote teams, cloud environments, cross-border collaboration, AI, semiconductors, and other high-value technology sectors.

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EDPB approves global extension of Europrivacy certification

The European Centre for Certification and Privacy announced that the European Data Protection Board (EDPB) has approved the extension of the Europrivacy certification scheme beyond Europe. Organisations worldwide that are subject to the General Data Protection Regulation (GDPR) will now be able to seek Europrivacy certification.

The Centre also announced approval of a specific version of the certification criteria for use as a safeguard mechanism for international data transfers. The measure is intended to support organisations outside the EEA in demonstrating compliance when handling transferred personal data.

According to the organisation, the decisions are intended to strengthen legal certainty, support trusted cross-border data flows and provide an additional compliance mechanism based on independent assessments and regular audits.

The decisions represent a significant step towards broader adoption of data protection certification mechanisms at the international level. The announcement follows recent EDPB approvals and reflects the growing role of certification mechanisms in international data governance and cross-border data transfers across the EU.

Why does it matter?

Certification mechanisms are becoming an increasingly important part of international data governance, particularly as organisations seek to demonstrate compliance with GDPR requirements across jurisdictions.

The expansion of Europrivacy beyond Europe and its use in international data transfers could provide organisations with an additional tool for demonstrating accountability, supporting cross-border data flows and navigating evolving data protection obligations.

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IWF and CaseScan partner to strengthen the detection of child abuse material

The Internet Watch Foundation has announced a new partnership with CaseScan aimed at improving the detection and identification of child sexual abuse material online.

CaseScan, a specialist technology company supporting child protection investigations and digital safety work, has joined the IWF as a member. The company develops tools that help specialist teams identify, classify, and prioritise illegal material more efficiently, reducing manual workloads and supporting faster responses when criminal content is found.

Through its membership, CaseScan will be able to draw on IWF intelligence and services to strengthen how it helps approved clients detect child sexual abuse material. The IWF said the collaboration will support faster identification of criminal content.

The partnership comes amid a rapidly evolving online threat landscape. According to the IWF’s 2025 Annual Data & Insights Report, new technologies, systemic vulnerabilities, and the continued distribution of child sexual abuse material are increasing the challenges faced by investigators and online safety organisations.

CaseScan said the collaboration will strengthen its ability to support professionals working on the front line of child protection investigations. The IWF said industry partnerships are essential to disrupting the criminal distribution of abusive images and videos and preventing the repeated victimisation of children online.

Why does it matter?

The partnership shows how child safety organisations and specialist technology providers are working to improve the speed and accuracy of CSAM detection. As the volume and complexity of illegal material online grow, trusted intelligence and specialist detection tools can help investigators and approved organisations prioritise cases, reduce manual review burdens, and respond more quickly to harmful content.

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UK proposes hash-matching rules to combat intimate image abuse in search results

The UK government has published draft amendments to the Illegal Content Codes of Practice for search services under the Online Safety Act, proposing new measures to help detect intimate image abuse content. The amendments, published on 1 June, would add a recommended measure for large general search services to use hash-matching technology to detect intimate-image abuse content.

According to the draft, Ofcom prepared the amendments under section 41 of the Online Safety Act and submitted them to the Secretary of State on 15 May. The document was presented to Parliament under section 43 of the Act and is due to lie before both Houses for 40 days.

The proposed measure, designated ICS C8, would apply to providers of large general search services. The measure recommends the use of perceptual hash matching to identify known intimate image abuse content, or cryptographic hash matching where perceptual matching is not supported by the provider’s hash database.

Under the proposal, content matching an unverified hash for the first time would be treated as potentially illegal and subjected to review under Ofcom’s search moderation procedures. Other matches may be treated as illegal content or reviewed as suspected video and image abuse, depending on the provider’s assurance in the detection outcomes.

The amendments also set expectations for human moderator review, regular updates to hash databases, removal of hashes found not to relate to intimate image abuse content, and reviews of precision and recall at least every six months. Ofcom said the proposed measure includes safeguards intended to protect freedom of expression and privacy rights while supporting the detection of illegal content.

Why does it matter?

The proposal reflects growing efforts by regulators to address the spread of non-consensual intimate imagery, including AI-generated content, through proactive detection and moderation measures.

By encouraging the use of hash-matching technologies, UK authorities aim to reduce the repeated circulation of known abusive material while maintaining safeguards for privacy and freedom of expression.

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EU welcomes G7 adoption of online child protection principles

The European Commission has welcomed a new agreement by G7 digital and technology ministers on a shared set of principles aimed at improving online safety for children and teenagers. The principles reflect approaches already present in several EU initiatives, including measures focused on online safety, digital literacy and the protection of minors.

The principles build on existing EU measures, including the Digital Services Act, the Better Internet for Kids Strategy and the AI Act. They focus on improving online safety while safeguarding privacy, fundamental rights and access to digital opportunities.

The framework promotes safety-by-design measures, privacy-conscious age assurance tools, stronger protections against harmful and illegal content, parental controls, and digital literacy initiatives. It also promotes greater cooperation between technology companies, researchers, governments and civil society organisations.

Why does it matter?

Governments are increasingly examining how digital platforms, recommendation systems and generative AI tools affect children’s wellbeing, privacy and online experiences. Concerns about harmful content, exploitation and age-inappropriate services have prompted policymakers worldwide to explore new approaches to online child protection.

The G7 agreement signals growing international convergence around child safety principles, while emphasising the need to balance protection measures with privacy, fundamental rights and access to digital opportunities.

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Finland proposes rules for EU Cyber Resilience Act

The Finnish Government has proposed the approval of national provisions supplementing the EU Cyber Resilience Act, which sets cybersecurity requirements for products with digital elements.

The legislation will enter into force on 1 June 2026, with phased application aligned with the Cyber Resilience Act’s transitional periods during 2026 and 2027. The aim is to improve the cybersecurity of connected devices and software placed on the EU market.

The Cyber Resilience Act will be supplemented in Finland by a new national act on the cyber resilience of certain products and cybersecurity certification. The act covers supervision of product-related obligations, notification of conformity assessment bodies under the Cyber Resilience Act, administrative sanctions, and national provisions linked to the EU cybersecurity certification.

Market surveillance under the Cyber Resilience Act, along with the designation and supervision of notified bodies, will be assigned to the Finnish Transport and Communications Agency, Traficom. Market surveillance of high-risk AI systems will be carried out by the authorities responsible for supervising compliance with the AI Act, depending on the sector.

Conformity assessment bodies will be able to apply to Traficom from 11 June 2026 to be notified for assessment tasks under the Cyber Resilience Act. Bodies notified by Finland will be able to carry out conformity assessments across the EU member states within their area of competence.

Finland will also add a new chapter to the Act on Electronic Communications Services concerning the collection and disclosure of domain name registration data under the NIS2 Directive. The obligations will extend beyond .fi and .ax domains where the registrar or top-level domain registry is located in Finland, after a three-month transitional period.

The Government said the domain name provisions will complement Finland’s national implementation of NIS2 and improve the availability of registration data, making it easier to tackle illegal activity online.

Why does it matter?

Finland’s legislation shows how EU cybersecurity rules are being translated into national enforcement structures. The Cyber Resilience Act sets product security obligations at the EU level, but member states still need national provisions for supervision, notified bodies, sanctions, and certification. The added NIS2 domain registration rules also show how cybersecurity implementation is expanding beyond products into online infrastructure and data availability for enforcement.

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Amnesty International warns that AI models are built on privacy violations

Amnesty International has warned that major generative AI systems are powered by large-scale data pipelines rooted in mass invasions of privacy.

In a new briefing, ‘Unlawful by Design: Exposing the Human Rights Costs of Generative AI’, the organisation argues that companies developing generative AI tools rely on unlawful web scraping to collect vast amounts of online data, including personal information, often without the explicit consent of the people who created or appear in it.

The briefing examines models powering widely used standalone generative AI tools, including OpenAI’s GPT-3, Google’s Gemini, Meta’s Llama, DeepSeek, and tools by Midjourney and Stable Diffusion. Amnesty says the design choices behind these systems create systemic human rights risks, particularly around privacy, discrimination, freedom of thought, and environmental harms.

Amnesty argues that large-scale scraping and processing of online posts, images, and other personal data infringes privacy by design. It also warns that training datasets drawn from the open web can reproduce and amplify discriminatory content, stereotypes, and prejudices, especially along racial and gender lines.

The organisation also highlights the environmental costs of generative AI development, pointing to rising demand for energy-intensive chips, data centres, electricity, and water. It says AI infrastructure can negatively affect historically marginalised communities when land and resources are used to build and operate data centres.

Amnesty said it wrote to Google, OpenAI, Meta, Stability AI, Midjourney, DeepSeek, Intel, VMware, Microsoft, and Amazon about the findings and related human rights concerns. At the time of publication, it said Microsoft, Amazon, Intel, OpenAI, and Meta had responded.

The organisation is calling on states to prohibit standalone generative AI systems built using unlawful web scraping and to hold companies accountable for human rights abuses linked to the design and deployment of AI systems.

Why does it matter?

The briefing adds a strong human rights framing to the debate over the training data for generative AI. Instead of focusing only on copyright or competition, Amnesty argues that large-scale scraping of personal data raises privacy, discrimination, freedom of thought, and environmental concerns. Its recommendations would significantly raise the stakes for AI developers by treating non-consensual data extraction as a human rights issue requiring regulatory intervention.

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Microsoft expands protections against AI-generated intimate imagery

Microsoft has announced new measures aimed at combating non-consensual intimate imagery (NCII), including both authentic and AI-generated content. The company says the changes are designed to make reporting easier for victims, improve detection of harmful content, and strengthen enforcement across Microsoft services.

The initiative comes as the US’s new Take It Down Act enters into force, creating additional legal protections against the distribution of intimate images without consent. Microsoft said both synthetic and authentic NCII can cause significant harm and should be addressed through a unified response.

As part of the update, Microsoft has introduced a redesigned reporting process that allows users to report both real and AI-generated intimate imagery through a simplified global reporting system. The company has also expanded its use of StopNCII.org technology, which creates privacy-preserving digital fingerprints of images to help identify and remove known abusive content across platforms.

Microsoft is further extending the use of validated StopNCII.org hashes across consumer services, including Teams Free, OneDrive and Xbox. The company says it will combine automated detection systems with human review processes while maintaining appeal mechanisms for users affected by moderation decisions.

The company also highlighted broader cooperation with governments, regulators and civil society groups. Microsoft expressed support for the US Take It Down Act, welcomed European efforts targeting AI-powered ‘nudification’ applications, and pointed to upcoming UK Online Safety Act requirements addressing illegal intimate imagery harms.

Why does it matter?

Advances in generative AI have made it easier to create realistic synthetic images, prompting governments and technology companies to strengthen measures against image-based abuse. The announcement reflects a broader trend toward treating AI-generated intimate imagery and authentic non-consensual content under similar safety, moderation and legal frameworks.

The move also highlights growing cooperation between technology companies, regulators and civil society organisations as policymakers develop new approaches to addressing AI-enabled harms online.

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