Privacy and data protection Archives | Digital Watch Observatory

Firefox adds VPN and AI tools

Mozilla is preparing a major update to its Firefox browser, introducing a built-in VPN and new AI-powered tools. The company says the changes aim to strengthen privacy and give users greater control over browsing.

The integrated VPN will hide the user’s location and IP address while offering a limited monthly data allowance in selected regions. The feature replaces a previously separate paid service and will be built into the browser.

New AI tools will support tasks such as summarising content and comparing products without leaving a web page. Additional features include split-screen browsing and tools to organise notes across tabs.

The update also introduces redesigned settings and a refreshed interface to improve usability. Mozilla says the changes are intended to create a more personalised and modern browsing experience.

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EU digital wallet nears rollout

Interoperability tests for the European Digital Identity Wallet have marked a significant step towards deployment, following a major industry-wide exercise. Systems were tested under real conditions to ensure compatibility across providers.

The initiative forms part of the EU’s plan to provide citizens with a secure digital wallet for identification and online services. The system will allow users to store identity data and access services, including electronic signatures.

Results showed that most test scenarios were successfully completed, confirming that independent systems can work together effectively. The exercise also highlighted areas requiring further refinement ahead of wider implementation.

EU officials and industry leaders said the progress supports the development of a unified digital ecosystem. The wallet is expected to simplify everyday services while strengthening security and trust in digital identity solutions.

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AI agent causes internal data leak at Meta

Meta recently confirmed that an AI agent inadvertently exposed sensitive company and user data to some employees. The leak happened when an engineer followed the AI agent’s forum suggestion, exposing data for about two hours.

Meta stated that no user data was mishandled and emphasised that human errors could cause similar issues.

The incident reflects broader challenges in deploying agentic AI tools within major tech companies. Amazon faced similar issues, with internal AI tools causing outages and operational errors, showing risks of quickly integrating AI into critical workflows.

Experts describe these deployments as experimental, with companies testing AI at scale without fully assessing potential risks.

Security specialists note that AI agents lack the contextual awareness that human engineers accumulate over years of experience. Lacking long-term operational knowledge, AI can make decisions that compromise security, a factor in the Meta breach.

Analysts warn that such errors are likely to recur as AI adoption accelerates.

The episode comes amid growing attention on agentic AI’s potential to disrupt workflows, affect productivity, and introduce new vulnerabilities. Industry observers caution that AI tools must be carefully monitored and accompanied by robust safeguards to prevent future incidents.

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Bulgaria becomes first country to deploy a national AI model across a tax authority

Bulgaria’s National Revenue Agency (NRA) has begun rolling out an AI system developed by INSAIT, the Institute for Computer Science, Artificial Intelligence and Technology at Sofia University, across all of its organisational structures, making it the first large-scale public administrative body in the country to deploy the BgGPT national language model.

Following a successful pilot phase, the system is now in expanded use across the NRA’s central office and seven territorial directorates.

The AI system enables staff to conduct general and specialised searches related to tax and social security legislation, generating instant responses to improve service quality for citizens and businesses.

Crucially, it runs exclusively on open-weight models and operates on proprietary hardware, an approach specifically designed to prevent data leakage and protect privacy, two of the central concerns when integrating AI into government institutions.

The next phase of the project will see the system adapted for specialised use cases and integrated into internal processes alongside national integrator ‘Information Services’, with the goal of reaching daily use by more than 7,000 NRA employees.

INSAIT describes the initiative as a concrete contribution to European AI sovereignty, with Bulgaria combining nationally developed language models and locally controlled hardware to reduce dependence on commercial AI providers.

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Mastercard expands AI strategy with new payments model

Mastercard has introduced a generative AI foundation model trained on billions of anonymised transactions. The model is designed as a backend system to power insights across payments and commerce services.

The company plans to extend AI use beyond fraud detection into cybersecurity, loyalty programmes and small-business tools. The model is being developed with support from Nvidia and Databricks technologies.

Earlier AI tools focused on fraud detection, significantly improving accuracy and reducing false positives. The new model marks a shift towards a broader infrastructure approach across multiple products.

This move aligns with Mastercard’s growing reliance on value-added services, which generated over $13 billion in revenue. These services include security, analytics and digital payment solutions beyond the core network.

Competitors such as Visa and PayPal are also expanding AI-driven commerce platforms. The race is intensifying as firms build integrated systems for payments, automation and intelligent services.

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UNESCO promotes safe AI use and gender equality in Caribbean workshop

A regional workshop in Kingston has been organised by UNESCO to explore the relationship between AI, gender equality and online safety, reflecting wider efforts to support inclusive digital governance across the Caribbean.

Discussions examined the impact of technology-facilitated gender-based violence, including harassment, impersonation and image-based abuse, which continue to affect women and girls disproportionately.

Generative AI was presented as both an opportunity and a risk, with concerns linked to bias, deepfakes, misinformation and non-consensual content.

More than 50 participants from government, civil society and youth organisations engaged in practical sessions aimed at strengthening awareness and digital skills. A participatory approach encouraged peer learning and critical thinking, aligning with UNESCO’s ethical AI principles.

‘Technology reflects the hands that build it and the society that feeds it data. If we are not careful, AI will not just mirror our existing inequalities; it will magnify them.‘

The Honourable Olivia Grange, Minister of Culture, Gender, Entertainment and Sport of Jamaica.

‘The pursuit of equality must extend into every space where women live, work, and where they connect and express themselves – including the digital world,‘

For Eric Falt, Regional Director and Representative of UNESCO.

The initiative forms part of broader efforts to ensure that digital transformation supports inclusion rather than reinforcing existing disparities, while equipping stakeholders with tools for safe and responsible AI use.

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New iPhone vulnerability raises concerns over advanced mobile cyber threats

A newly identified cyberattack known as ‘DarkSword’ is raising concerns about the security of iPhone devices, following reports that millions of users could be exposed to rapid data extraction techniques.

Cybersecurity researchers indicate that the attack targets specific iOS versions, exploiting vulnerabilities in the Safari browser and a graphics processing feature known as WebGPU.

Once access is gained, attackers can retrieve sensitive information, including messages, emails and location data, within minutes, while removing traces of the intrusion almost immediately.

Estimates suggest that a significant share of global iPhone users may be affected, with hundreds of millions of devices running vulnerable software versions.

The scale of exposure remains uncertain, particularly as experts continue to assess whether additional versions of iOS may also be impacted.

Researchers have associated the campaign with a threat actor previously identified by Google, with observed activity across multiple regions.

Such a development highlights growing concerns about the evolution of mobile cyber threats, where increasingly sophisticated techniques are being deployed beyond traditional state-level operations.

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TikTok disinformation study raises concerns over AI content and EU regulation

A new study by Science Feedback indicates that TikTok has a higher proportion of misleading content than other major platforms operating in the EU.

The analysis covered France, Poland, Slovakia and Spain, assessing content across multiple thematic areas including health, politics and climate.

Findings suggest that approximately one in four posts on TikTok contained misleading elements, placing the platform ahead of competitors such as Facebook, YouTube and X. Health-related narratives were the most prominent category, reflecting broader patterns observed across digital ecosystems.

Researchers describe disinformation as a persistent feature embedded within platform structures instead of an isolated occurrence.

The study also highlights a growing presence of AI-generated content, particularly in video formats, where synthetic material accounted for a significant share of misleading posts. Despite existing platform policies, most identified content lacked clear labelling.

The regulatory context remains under development.

While the Digital Services Act integrates voluntary commitments from the EU disinformation code, it does not impose mandatory requirements for identifying AI-generated material.

Ongoing debates therefore focus on transparency, accountability and the evolving responsibilities of digital platforms within the European information environment.

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Bitcoin moves closer to quantum resistance with BIP-360

BTQ Technologies has deployed Bitcoin Improvement Proposal BIP-360 on its Bitcoin Quantum Testnet v0.3.0, marking the first live test of the proposal. The upgrade introduces a quantum-resistant transaction model, Pay-to-Merkle-Root, designed to strengthen Bitcoin’s long-term security.

BIP-360 focuses on mitigating a vulnerability linked to Taproot’s key-path spending mechanism, which can expose public keys on-chain. Such exposure may become a risk if future quantum computers are capable of exploiting cryptographic weaknesses using advanced algorithms.

The testnet adds new consensus rules, post-quantum signatures, and full transaction lifecycle testing. Faster one-minute block times and adjusted fee structures have been introduced to accommodate larger and more complex signatures.

Growing global attention on quantum threats adds urgency to the development. US, EU, and Canadian authorities are setting timelines for post-quantum cryptography to protect future system security.

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EU scrutiny intensifies over Broadcom VMware licensing dispute

Broadcom is facing increased regulatory pressure in the EU following a formal antitrust complaint concerning changes to VMware licensing practices.

The complaint highlights growing tensions between large technology providers and European cloud infrastructure firms.

The filing, submitted by Cloud Infrastructure Services Providers in Europe, raises concerns that revised licensing models could significantly alter market dynamics.

European providers argue that the changes may limit flexibility, increase costs, and affect their ability to compete effectively in the cloud services sector.

At the centre of the dispute lies the broader issue of market concentration and control over critical digital infrastructure.

Industry stakeholders suggest that restrictive licensing conditions could reshape access to essential virtualisation technologies, which underpin a wide range of cloud and enterprise services across the EU.

Regulatory attention is expected to focus on whether such practices align with the EU competition rules, particularly regarding fair access and market neutrality.

The case emerges at a time when European policymakers are intensifying oversight of dominant technology firms and seeking to strengthen digital sovereignty across strategic sectors.

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