Climate tech and AI will shape Europe’s technology future

Europe faces a pivotal moment in its technology sector, with AI, climate tech and defence set to shape the continent’s future. Sustained investment is essential if Europe wants to remain competitive against the US and China in high-tech industries.

Venture capital firm Atomico’s State of European Tech 2025 report shows that AI already attracts the majority of funding, led by companies such as Mistral AI, Lovable, Synthesia and n8n.

Defence tech is also growing, with firms like Helsing, Isar Aerospace and Cambridge Aerospace securing significant investment to advance AI-powered systems.

Despite strong talent and innovation, Europe must match US levels of research funding, expand computing infrastructure and simplify regulations to realise its potential fully.

Experts say aligning ambition with commitment will be crucial for Europe to develop the next generation of world-leading tech companies.

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Meta’s chief AI scientist Yann LeCun departs to launch world-model AI startup

Yann LeCun, one of the pioneers of deep learning and Meta’s chief AI scientist, is leaving the company to establish a new startup dedicated to world-model AI research.

The firm will continue its long-standing ambition to develop systems capable of understanding the physical world and planning complex actions.

The move comes during a turbulent period for Meta’s AI efforts, following internal reorganisations and disappointment surrounding the performance of its Llama 4 model.

Meta is investing heavily to regain momentum, including significant hires and new leadership brought in over recent months.

Despite his departure, Meta intends to partner with LeCun’s new venture, though his research direction has increasingly diverged from the company’s strategy. Differences over open-source approaches, leadership changes and cuts to research teams were significant factors in his decision to leave.

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Pennsylvania Senate passes bill to tackle AI-generated CSAM

The Pennsylvania Senate has passed Senate Bill 1050, requiring all individuals classified as mandated reporters to notify authorities of any instance of child sexual abuse material (CSAM) they become aware of, including material produced by a minor or generated using artificial intelligence.

The bill, sponsored by Senators Tracy Pennycuick, Scott Martin and Lisa Baker, addresses the recent rise in AI-generated CSAM and builds upon earlier legislation (Act 125 of 2024 and Act 35 of 2025) that targeted deepfakes and sexual deepfake content.

Supporters argue the bill strengthens child protection by closing a legal gap: while existing laws focused on CSAM involving real minors, the new measure explicitly covers AI-generated material. Senator Martin said the threat from AI-generated images is ‘very real’.

From a tech policy perspective, this law highlights how rapidly evolving AI capabilities, especially around image synthesis and manipulation, are pushing lawmakers to update obligations for reporting, investigation and accountability.

It raises questions around how institutions, schools and health-care providers will adapt to these new responsibilities and what enforcement mechanisms will look like.

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AI in healthcare gains regulatory compass from UK experts

Professor Alastair Denniston has outlined the core principles for regulating AI in healthcare, describing AI as the ‘X-ray moment’ of our time.

Like previous innovations such as MRI scanners and antibiotics, AI has the potential to improve diagnosis, treatment and personalised care dramatically. Still, it also requires careful oversight to ensure patient safety.

The MHRA’s National Commission on the Regulation of AI in Healthcare is developing a framework based on three key principles. The framework must be safe, ensuring proportionate regulation that protects patients without stifling innovation.

It must be fast, reducing delays in bringing beneficial technologies to patients and supporting small innovators who cannot endure long regulatory timelines. Ultimately, it must be trusted, with transparent processes that foster confidence in AI technologies today and in the future.

Professor Denniston emphasises that AI is not a single technology but a rapidly evolving ecosystem. The regulatory system must keep pace with advances while allowing the NHS to harness AI safely and efficiently.

Just as with earlier medical breakthroughs, failure to innovate can carry risks equal to the dangers of new technologies themselves.

The National Commission will soon invite the public to contribute their views through a call for evidence.

Patients, healthcare professionals, and members of the public are encouraged to share what matters to them, helping to shape a framework that balances safety, speed, and trust while unlocking the full potential of AI in the NHS.

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New AI co-pilot uses CAD software to generate 3D designs

MIT engineers have developed a novel AI system able to use CAD software in a human-like way, controlling the interface with clicks, drags and menu commands to build 3D models from 2D sketches.

The team created a dataset called VideoCAD, comprising more than 41,000 real CAD session videos that explicitly show how users build shapes step-by-step, including mouse movement, keyboard commands and UI interactions.

By learning from this data, the AI agent can translate high-level design intents, such as ‘draw a line’ or ‘extrude a shape’, into specific UI actions like clicking a tool, dragging over a sketch region and executing the command.

When given a 2D drawing, the AI generates a complete 3D model by replicating the sequence of UI interactions a human designer would use. The researchers tested this on a variety of objects, from simple brackets to more complex architectural shapes.

The long-term vision is to build an AI-enabled CAD co-pilot. This tool not only automates repetitive modelling tasks but also works collaboratively with human designers to suggest next steps, speed up workflows or handle tedious operations.

The researchers argue this could significantly lower the barrier to entry for CAD use, making 3D design accessible to people without years of training.

From a digital economy and innovation policy perspective, this development is significant. It demonstrates how AI-driven UI agents are evolving, not just processing text or data, but also driving complex, creative software. That raises questions around intellectual property (who owns the design if the AI builds it?), productivity (will it replace or support designers?) and education (how will CAD teaching adapt?).

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AI revives Molière play for modern stage

Centuries after Molière’s sudden death on stage, a France-based team of researchers, artists and AI specialists has revived the playwright’s creative spirit through a newly generated comedy. The project asked what he might have written had he lived beyond the age of 51.

Experts trained an AI model to study his themes, language and narrative patterns, before combining its output with scholarly review. The resulting play, titled ‘L’Astrologue ou les Faux Presages’, will premiere at the Palace of Versailles next year.

Researchers identified astrology as a theme Molière frequently hinted at, shaping a plot in which a naive bourgeois falls victim to a deceptive astrologer. Academics refined the AI text to ensure historical accuracy, offering fresh insight into Molière’s methods and reaffirming his lasting influence on French theatre.

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Kremlin launches new push for domestic AI development

Russian President Vladimir Putin has ordered the creation of a national task force to accelerate the development of domestic generative AI systems, arguing that homegrown models are essential to safeguarding the country’s technological and strategic sovereignty. Speaking at AI Journey, Russia’s flagship AI forum, he warned that foreign large-language models shape global information flows and can influence entire populations, making reliance on external technologies unacceptable.

Putin said the new task force will prioritise expanding data-centre infrastructure and securing reliable energy supplies, including through small-scale nuclear power stations. Russia still trails global leaders like the United States and China, but local companies have produced notable systems such as Sberbank’s Gigachat and Yandex’s GPT.

Sberbank unveiled a new version of Gigachat and showcased AI-powered tools, ranging from humanoid robots to medical-scanning ATMs. However, recent public demonstrations have drawn unwanted attention, including an incident in which a Russian AI robot toppled over on stage.

The Kremlin aims for AI technologies to contribute more than 11 trillion roubles ($136 billion) to Russia’s economy by 2030. Putin urged state bodies and major companies to adopt AI more aggressively while cautioning against overly strict regulation.

However, he stressed that only Russian-made AI systems should be used for national security to prevent sensitive data from flowing abroad. Western sanctions, which restrict access to advanced hardware, particularly microchips, continue to hinder Russia’s ambitions.

The push for domestic AI comes as Ukraine warns that Russia is developing a new generation of autonomous, AI-driven drones capable of operating in coordinated swarms and striking targets up to 62 miles away, underscoring the growing military stakes of the AI race.

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EU simplifies digital rules to save billions for companies

The European Commission has unveiled a digital package designed to simplify rules and reduce administrative burdens, allowing businesses to focus on innovation rather than compliance.

An initiative that combines the Digital Omnibus, Data Union Strategy, and European Business Wallet to strengthen competitiveness across the EU while maintaining high standards of fundamental rights, data protection, and safety.

The Digital Omnibus streamlines rules on AI, cybersecurity, and data. Amendments will create innovation-friendly AI regulations, simplify reporting for cybersecurity incidents, harmonise aspects of the GDPR, and modernise cookie rules.

Improved access to data and regulatory guidance will support businesses, particularly SMEs, allowing them to develop AI solutions and scale operations across member states more efficiently.

The Data Union Strategy aims to unlock high-quality data for AI, strengthen Europe’s data sovereignty, and support businesses with legal guidance and strategic measures to ensure fair treatment of the EU data abroad.

Meanwhile, the European Business Wallet will provide a unified digital identity for companies, enabling secure signing, storage, and exchange of documents and communication with public authorities across 27 member states.

By easing administrative procedures, the package could save up to €5 billion by 2029, with the Business Wallet alone offering up to €150 billion in annual savings.

The Commission has launched a public consultation, the Digital Fitness Check, to assess the impact of these rules and guide future steps, ensuring that businesses can grow and innovate instead of being held back by complex regulations.

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Northamptonshire Police launches live facial recognition trial

Northamptonshire Police will roll out live facial recognition cameras in three town centres. Deployments are scheduled in Northampton on 28 November and 5 December, in Kettering on 29 November, and in Wellingborough on 6 December.

The initiative uses a van loaned from Bedfordshire Police and the watch-lists include high-risk sex offenders or persons wanted for arrest. Facial and biometric data for non-alerts are deleted immediately; alerts are held only up to 24 hours.

Police emphasise the AI based technology is ‘very much in its infancy’ but expect future acquisition of dedicated kit. A coordinator post is being created to manage the LFR programme in-house.

British campaigners express concern the biometric tool may erode privacy or resemble mass surveillance. Police assert that appropriate signage and open policy documents will be in place to maintain public confidence.

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Health sector AI growth in Europe raises safety concerns

Concerns are growing as European countries expand the use of AI in healthcare without establishing sufficient protections for patients or healthcare workers.

A new World Health Organisation report found significant disparities in how nations develop, regulate and fund AI tools.

Some countries are rapidly deploying chatbots, imaging systems and data-analysis tools, while others have barely started integrating AI into their health services. Only four nations across Europe and Central Asia currently have a national strategy dedicated to AI in health care.

WHO officials warn that weak safeguards could lead to biassed algorithms, medical errors and increased inequality in access to care.

The report urges governments to strengthen legal frameworks, train health workers in AI literacy and ensure these technologies are rigorously tested before reaching patients.

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