Alphabet hits US$3 trillion valuation on AI optimism

Google’s parent company, Alphabet, has become the fourth company to reach a market value above US$3 trillion, fuelled by investor confidence in AI and relief over a favourable antitrust ruling.

Its shares jumped 4.3 percent to close at US$251.76 on 15 September, lifting the firm’s valuation to US$3.05 trillion.

The rally has added about US$1.2 trillion in value since April, with Alphabet joining Apple and Microsoft in the elite group while Nvidia remains the most valuable at US$4.25 trillion.

Investor optimism has been strengthened by expectations of a US Federal Reserve rate cut and surging demand for AI-related products.

Alphabet’s communications services unit has risen more than 26 percent in 2025, outpacing all other major sectors. Strong growth in its cloud division, new AI investments, and the Gemini model have reinforced the company’s momentum.

Analysts note that, while search continues to dominate revenues, Alphabet is increasingly viewed as a diversified technology powerhouse with YouTube, Waymo, and AI research at its core.

By avoiding a forced breakup of Chrome and Android, the antitrust ruling also removed a significant threat to its business model.

Market strategists suggest Alphabet now combines the strength of its legacy platforms with the credibility of emerging technologies, securing its place at the centre of Wall Street’s AI-driven rally.

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Google lays off over 200 AI contractors amid union tensions

The US tech giant, Google, has dismissed over 200 contractors working on its Gemini chatbot and AI Overviews tool. However, this sparks criticism from labour advocates and claims of retaliation against workers pushing for unionisation.

Many affected staff were highly trained ‘super raters’ who helped refine Google’s AI systems, yet were abruptly laid off.

The move highlights growing concerns over job insecurity in the AI sector, where companies depend heavily on outsourced and low-paid contract workers instead of permanent employees.

Workers allege they were penalised for raising issues about inadequate pay, poor working conditions, and the risks of training AI that could eventually replace them.

Google has attempted to distance itself from the controversy, arguing that subcontractor GlobalLogic handled the layoffs rather than the company itself.

Yet critics say that outsourcing allows the tech giant to expand its AI operations without accountability, while undermining collective bargaining efforts.

Labour experts warn that the cuts reflect a broader industry trend in which AI development rests on precarious work arrangements. With union-busting claims intensifying, the dismissals are now seen as part of a deeper struggle over workers’ rights in the digital economy.

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PDGrapher AI tool aims to speed up precision medicine development

Harvard Medical School researchers have developed an AI tool that could transform drug discovery by identifying multiple drivers of disease and suggesting treatments to restore cells to a healthy state.

The model, called PDGrapher, utilises graph neural networks to map the relationships between genes, proteins, and cellular pathways, thereby predicting the most effective targets for reversing disease. Unlike traditional approaches that focus on a single protein, it considers multiple factors at once.

Trained on datasets of diseased cells before and after treatment, PDGrapher correctly predicted known drug targets and identified new candidates supported by emerging research. The model ranked potential targets up to 35% higher and worked 25 times faster than comparable tools.

Researchers are now applying PDGrapher to complex diseases such as Parkinson’s, Alzheimer’s, and various cancers, where single-target therapies often fail. By identifying combinations of targets, the tool can help overcome drug resistance and expedite treatment design.

Senior author Marinka Zitnik said the ultimate goal is to create a cellular ‘roadmap’ to guide therapy development and enable personalised treatments for patients. After further validation, PDGrapher could become a cornerstone in precision medicine.

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UNDP publishes digital participation guide to empower civic action

A newly published guide by People Powered and UNDP aims to connect people in their communities through inclusive, locally relevant digital participation platforms. Designed with local governments, civic groups, and organisations in mind, it highlights digital platforms that enable inclusive, action-oriented civic engagement.

According to the UNDP, ‘the guide covers the latest trends, including the integration of AI features, and addresses challenges such as digital inclusion, data privacy, accessibility, and sustainability.’

The guide focuses on actively maintained, publicly available platforms, typically offered through cloud-based software (SaaS) models, and prioritises flexible, multi-purpose tools over single-use options. While recognising the dominance of platforms from wealthier countries, it makes a deliberate effort to feature case studies and tools from the Global Majority.

Political advocacy platforms, internal government tools, and issue-reporting apps are excluded to keep the focus on technologies that drive meaningful public participation. Lastly, the guide emphasises the importance of local context and community empowerment, encouraging a shift from passive input to meaningful public influence in governance.

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Rising data centre demand pushes utilities to invest

US electricity prices are rising as the energy demands of data centres surge, driven by the rapid growth of AI technologies. The average retail price per kilowatt-hour increased by 6.5% between May 2024 and May 2025, with some states experiencing significantly sharper increases.

Maine saw the sharpest rise in electricity prices at 36.3%, with Connecticut and Utah following closely behind. Utilities are passing on infrastructure costs, including new transmission lines, to consumers. In Northern Virginia, residents could face monthly bill increases of up to $37 by 2040.

Analysts warn that the shift to generative AI will lead to a 160% surge in energy use at data centres by 2030. Water use is also rising sharply, as Google reported its facilities consumed around 6 billion gallons in 2024 alone, amid intensifying global AI competition.

Tech giants are turning to alternative energy to keep pace. Google has announced plans to power data centres with small nuclear reactors through a partnership with Kairos Power, while Microsoft and Amazon are ramping up nuclear investments to secure long-term supply.

President Donald Trump has pledged more than $92 billion in AI and energy infrastructure investments, underlining Washington’s push to ensure the US remains competitive in the AI race despite mounting strain on the grid and water resources.

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German state pushes digital sovereignty

The northern German state of Schleswig-Holstein is pushing ahead with an ambitious plan to replace Microsoft software in its public administration with open-source alternatives.

With around 30,000 civil servants, a workforce comparable to the European Commission, the region has already migrated most staff to new systems. It expects to cut its Office licences by more than two-thirds before the end of the month.

Instead of relying on Word, Outlook or SharePoint, staff are switching to LibreOffice, Thunderbird, Open Xchange and Nextcloud. A Linux pilot is also underway, testing the replacement of Windows itself.

The digital minister, Dirk Schrödter, admitted the schedule is tight but said that 24,000 employees are already using the new setup. By 2029, only a handful of Microsoft licences should remain, kept for compatibility with federal services.

A transition that has not been free of challenges. Some judges have called for a return to Outlook, citing outages, while larger providers such as SAP have proven difficult to adapt.

Still, Schrödter argued the investment is about sovereignty rather than cost-cutting, comparing Europe’s reliance on Big Tech to its dependence on Russian gas before 2022. He urged Brussels to prioritise open-source solutions in procurement rules to reduce dependence on foreign tech giants.

Although Schleswig-Holstein is a relatively small region, its programme has already influenced wider German and European initiatives.

Similar efforts, including Germany’s OpenDesk project, have gained traction in France, Italy and the Netherlands, with several governments now watching the experiment closely.

Schrödter said the state’s progress surprises many observers, but he believes it shows how public administrations can regain control of their digital infrastructure.

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Scientist and DeepMind’s CEO Demis Hassabis says learning how to learn is key to the AI future

The Nobel laureate, Demis Hassabis, has argued that the most crucial ability for the next generation will be learning how to learn.

Speaking at the Odeon of Herodes Atticus in Athens, Greece, he said adaptability was vital as AI reshapes work and education.

The neuroscientist and former chess prodigy predicted that AGI machines with human-level versatility could emerge within a decade. He described it as a development that may create a future of radical abundance, although he warned of risks.

Hassabis urged a stronger focus on ‘meta-skills’ such as optimising approaches to new subjects, instead of relying solely on traditional disciplines.

Given the speed of technological change, he emphasised that people will need to update their knowledge continuously throughout their careers.

His remarks came during a discussion with Greek Prime Minister Kyriakos Mitsotakis, who warned that the unchecked growth of technology giants could fuel economic inequality and social unrest if citizens do not see clear benefits from AI adoption.

Hassabis’s work on protein folding won him the 2024 Nobel Prize in chemistry.

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xAI cuts 500 jobs as focus turns to specialist AI tutors

Elon Musk’s company xAI has laid off around 500 staff from its data annotation team after deciding to reduce its focus on general AI tutors. The employees were told their system access would be revoked immediately, although salaries will be paid until contracts end or until 30 November.

According to reports, the company will instead invest more heavily in specialist AI tutors for areas such as video games, web design, data science, medicine, and STEM.

xAI announced plans to expand the specialist team tenfold, describing the roles as highly valuable to developing its technology.

The shift comes as xAI continues to promote its chatbot Grok. Musk recently highlighted its predictive abilities, sharing benchmarks that measure performance in forecasting politics, economics, sports, and cultural events.

Observers see the move toward specialist tutors as a way to refine Grok’s training and strengthen its commercial applications.

The layoffs follow earlier signs of restructuring, with some senior staff reportedly losing access to internal systems before the formal announcement.

Analysts suggest the changes reflect a strategic recalibration, aiming to boost productivity instead of spreading resources too thinly across generalist roles.

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Anthropic introduces memory feature to Claude AI for workplace productivity

The AI startup Anthropic has added a memory feature to its Claude AI, designed to automatically recall details from earlier conversations, such as project information and team preferences.

Initially, the upgrade is only available to Team and Enterprise subscribers, who can manage, edit, or delete the content that the system retains.

Anthropic presents the tool as a way to improve workplace efficiency instead of forcing users to repeat instructions. Enterprise administrators have additional controls, including entirely turning memory off.

Privacy safeguards are included, such as an ‘incognito mode’ for conversations that are not stored.

Analysts view the step as an effort to catch up with competitors like ChatGPT and Gemini, which already offer similar functions. Memory also links with Claude’s newer tools for creating spreadsheets, presentations, and PDFs, allowing past information to be reused in future documents.

Anthropic plans a wider release after testing the feature with businesses. Experts suggest the approach could strengthen the company’s position in the AI market by offering both continuity and security, which appeal to enterprises handling sensitive data.

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New AI and digital ministry in Kazakhstan to drive national transformation

Kazakhstan is stepping up its digital ambitions with President Kassym-Jomart Tokayev announcing the creation of a Ministry of Artificial Intelligence and Digital Development. Speaking during his annual state-of-the-nation address, Tokayev said the move is part of the country’s goal to become a fully digital nation within three years.

The new ministry will lead efforts to modernise the economy through AI, big data, and platform technologies, guided by a forthcoming national strategy called Digital Kazakhstan. Tokayev stressed that digital transformation is not optional but essential for Kazakhstan, which he described as being at the crossroads of global technological shifts.

He warned that while opportunities are vast, challenges such as geopolitical tensions, economic inequality, and even AI-based weapons are on the rise. For Kazakhstan, he said, the priority is to ensure stability, prosperity, and a secure future for the younger generation by embracing decisive reforms and adapting to the new technological order.

A major part of this vision is the development of Alatau City, a planned innovation hub near Almaty. Designed as the country’s first fully digital city, it will feature Smart City technologies, digital payments, and cryptocurrency use. Tokayev revealed that land and infrastructure are already prepared, and international partnerships, including with a Chinese company behind Shenzhen’s rise, are set to drive the project forward.

To secure Alatau City’s success, the government plans to grant it special status under direct state supervision within days, followed by a new law defining its governance and financial structure. Tokayev emphasised that the project is not merely a showcase but a practical step toward positioning Kazakhstan as a leader in digital innovation, blending cutting-edge technology with modern urban living.

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