Toyota and Nippon Telegraph and Telephone (NTT) plan to invest 500 billion yen ($3.27 billion) by 2030 to create an AI-driven platform to reduce traffic accidents. Announced in a joint statement, the Japanese automaker and telecom giant aims to launch the platform by 2028, using extensive data to support driver-assistance technology. This project, initiated amid rising pressure on Japanese automakers to compete in the autonomous driving space, is expected to enhance safety features such as improved visibility in urban areas and smoother expressway merging.
The companies intend the platform to benefit not only their own operations but also government and industry partners, setting a long-term goal to minimise traffic accidents. Toyota and NTT, who first collaborated on 5G-connected car technology in 2017, see this project as part of a broader vision for zero-accident mobility, aiming for widespread adoption by 2030.
Toyota’s existing investments in autonomous technology include Woven by Toyota, a unit established in 2021 focused on AI mobility. Woven by Toyota is also developing the Arene automotive software platform and Woven City, a testing hub in Shizuoka. As part of these advancements, NTT and Toyota also plan to test self-driving technology as early as 2025.
The discovery of AI chatbots resembling deceased teenagers Molly Russell and Brianna Ghey on Character.ai has drawn intense backlash, with critics denouncing the platform’s moderation. Character.ai, which lets users create digital personas, faced criticism after ‘sickening’ replicas of Russell, who died by suicide at 14, and Ghey, who was murdered in 2023, appeared on the platform. The Molly Rose Foundation, a charity named in Russell’s memory, described these chatbots as a ‘reprehensible’ failure of moderation.
Concerns about the platform’s handling of sensitive content have already led to legal action in the US, where a mother is suing Character.ai after claiming her 14-year-old son took his own life following interactions with a chatbot. Character.ai insists it prioritises safety and actively moderates avatars in line with user reports and internal policies. However, after being informed of the Russell and Ghey chatbots, it removed them from the platform, saying it strives to ensure user protection but acknowledges the challenges in regulating AI.
Amidst rapid advancements in AI, experts stress the need for regulatory oversight of platforms hosting user-generated content. Andy Burrows, head of the Molly Rose Foundation, argued stronger regulation is essential to prevent similar incidents, while Brianna Ghey’s mother, Esther Ghey, highlighted the manipulation risks in unregulated digital spaces. The incident underscores the emotional and societal harm that can arise from unsupervised AI-generated personas.
The case has sparked wider debates over the responsibilities of companies like Character.ai, which states it bans impersonation and dangerous content. Despite automated tools and a growing trust and safety team, the platform faces calls for more effective safeguards. AI moderation remains an evolving field, but recent cases have underscored the pressing need to address risks linked to online platforms and user-created chatbots.
The Malaysia Digital Economy Corporation (MDEC) has signed two significant Memorandums of Understanding (MoUs) with Singapore’s Ascent and Indonesia’s Central Capital Ventura (CCV), aiming to attract up to RM200 million (approximately US$45 million) in capital investment. These strategic partnerships focus on fostering the growth of Malaysian startups in essential sectors such as fintech, healthcare, AI, and robotics while providing opportunities for access to international markets across Southeast Asia.
By emphasising development in key areas like AI, cybersecurity, blockchain, and digital finance, MDEC seeks to support local innovation and talent development, ultimately positioning Malaysia as a dynamic, digital-first nation. The commitment to nurturing local expertise and fostering entrepreneurship is crucial for enhancing Malaysia’s status as a leader in technological advancement within the region.
MDEC is dedicated to ensuring the effective implementation of these initiatives by working closely with Ascent and CCV. The collaboration will maximise the long-term benefits for Malaysia’s digital economy, addressing immediate investment needs while laying the groundwork for sustainable growth.
Big technology firms, including Microsoft and Meta, are significantly increasing their investments in AI data centres to meet soaring demand, but Wall Street is looking for quicker returns on these expenditures. Both companies reported rising capital expenses due to their AI initiatives, with Alphabet also indicating that its costs would remain elevated. Amazon is expected to follow suit in its upcoming earnings report.
This surge in capital spending could impact profit margins, causing concern among investors. Shares of major tech companies, including Meta and Microsoft, fell by around 4% in premarket trading, despite reporting better-than-expected profits for the July-September quarter. Analysts warn that while the race to build AI capacity is intensifying, it will take time for these investments to yield returns.
Microsoft’s capital expenditures for a single quarter now surpass its total annual spending from prior years. The company noted a 5.3% increase in spending, amounting to $20 billion, while also predicting further increases related to AI. However, they warned of potential slowdowns in growth for their Azure cloud business due to data centre capacity constraints. Similarly, Meta anticipates a “significant acceleration” in AI infrastructure costs next year.
The tech industry is experiencing bottlenecks, particularly as chipmakers like Nvidia struggle to keep up with the demand for AI chips. Advanced Micro Devices has also reported that AI chip demand is outpacing supply, limiting growth potential. Despite these challenges, both Microsoft and Meta maintain that it is still early in the AI cycle and emphasise the long-term benefits of their investments, echoing earlier experiences during the development of cloud technology.
The US Department of Energy (DOE) and the US Department of Commerce (DOC) have joined forces to promote the safe, secure, and trustworthy development of AI through a newly established Memorandum of Understanding (MOU). That collaboration, part of the Biden-Harris Administration’s whole-of-government approach, unites the DOE’s technical resources with the regulatory expertise of the National Institute of Standards and Technology (NIST), where the US AI Safety Institute (US AISI) is a central agency for AI safety initiatives.
The partnership aims to address critical areas such as public safety, national security, and infrastructure protection by evaluating AI models for potential chemical and biological risks and advancing privacy safeguards for personal and commercial data. With the DOE’s National Laboratories supporting the US AISI, this agreement strengthens the federal government’s commitment to responsible AI practices.
Additionally, the partnership highlights AI safety as crucial for innovation, especially in research and clean energy. Given AI’s potential, robust testing standards are essential to ensure security and public trust. Through this MOU, the DOE and DOC establish a foundation for secure AI, emphasising governance as vital to the nation’s tech and security strategy.
The European Union has announced plans to invest €1.4B into its deep tech sector in 2025, aiming to strengthen Europe’s position in the global technology market. The investment, an increase of €200M from last year, will be funded by the European Innovation Council (EIC) under the Horizon Europe research and innovation program. The boost is part of Europe’s strategic move to narrow the tech gap with global leaders like the US and China.
EU Commissioner Iliana Ivanova highlighted the importance of deep tech innovation for Europe’s economic progress, emphasising that the EIC has become essential in supporting groundbreaking advancements. This increased funding reflects the EU’s commitment to fostering high-impact technologies, particularly artificial intelligence, to drive economic growth and global competitiveness.
By targeting tech innovation, the EU aims to position itself as a leader in AI and deep tech, focusing on revitalising its economy through significant advancements in these areas. As the EU steps up its support for deep tech, officials believe this investment will yield long-term benefits and keep Europe at the forefront of technological progress.
AMD’s shares dropped 8% on Wednesday as the chip giant’s revenue forecast fell short of investor hopes, despite strong gains from the AI-driven chip boom. The forecast suggests AMD’s AI chip sales could hit $5 billion by 2025, but CEO Lisa Su warned that production would struggle to meet demand, likely tightening supply through next year. This cautious outlook could see AMD lose up to $20 billion in market value, underscoring investor concerns.
Analysts noted that while AMD’s AI performance is promising, demand may outpace supply, raising risk for the company’s growth prospects. Stacy Rasgon of Bernstein observed that for an “AI name” like AMD, even modest guidance could raise eyebrows, especially with expectations for business “lumpiness” through 2025. Unlike AMD, Nvidia—a key AI chip competitor—showed little market impact, reflecting investor confidence in its supply stability.
AMD’s stock, up nearly 156% since late 2022, is now trading at around 32 times its forward earnings, slightly lower than Nvidia’s 36 times. Despite the recent dip, analysts still see upside potential, with the median target price set at $187.50, or about 13% above AMD’s last close.
LinkedIn has introduced its first AI agent, Hiring Assistant, designed to automate many of the time-intensive tasks recruiters face, such as drafting job descriptions, identifying candidate matches, and handling initial outreach. Initially available to a select group of large enterprises, including AMD, Siemens, and Zurich Insurance, Hiring Assistant is expected to expand to more users in the coming months. By automating repetitive tasks, LinkedIn aims to free up recruiters to focus on higher-impact aspects of their jobs.
Built using LinkedIn’s data from over 1 billion users and backed by Microsoft’s OpenAI partnership, Hiring Assistant can refine job requirements based on existing listings, generate candidate pools, and filter applicants by skills rather than traditional markers like location or education. This AI assistant is part of LinkedIn’s broader push to integrate AI into its platform, following similar tools for resume and profile optimisation, career coaching, and job search support.
In its current iteration, Hiring Assistant is already making strides in streamlining recruiting, with plans for future updates to handle interview scheduling, candidate follow-ups, and more. LinkedIn, which has seen AI-driven growth in its premium subscription base, views Hiring Assistant as a key product in its business offerings for recruitment professionals, aiming to enhance LinkedIn’s impact in the hiring sector.
Nvidia-backed biotech firm Iambic Therapeutics has introduced Enchant, an AI model that aims to reduce the time and cost of drug development. Enchant, trained on extensive pre-clinical data, is designed to predict a drug’s early performance with impressive accuracy. In Iambic’s studies, Enchant achieved a 0.74 accuracy score in predicting drug absorption in the human body, compared to previous models which peaked at 0.58. This predictive power could help pharmaceutical companies identify promising drugs sooner, significantly cutting down on failed late-stage trials.
According to Iambic’s co-founder Fred Manby, Enchant could potentially slash development costs by half, as researchers could more accurately assess a drug’s success at the earliest stages. Nobel laureate and Iambic board member Frances Arnold also highlighted Enchant’s unique capabilities, noting that unlike models like Google DeepMind’s AlphaFold, which focus on molecular structure, Enchant evaluates pharmacokinetic and toxicity properties crucial to drug success.
With Enchant, Iambic is poised to set a new standard in the pharmaceutical industry by addressing some of the biggest hurdles in drug development, including high costs and late-stage failures. The AI technology’s rollout could mark a major shift, making drug discovery both faster and more efficient for a variety of treatments.
Kenya partners with Google to enhance its digital infrastructure and empower its citizens in the evolving digital economy. The collaboration aims to create a robust digital ecosystem that meets current technological needs while anticipating future demands.
Kenya seeks to empower decision-makers with real-time insights by utilising AI and data-driven technologies, enhancing operational efficiency and facilitating effective governance. A key focus of the partnership is revitalising the tourism sector through Google’s technology, attracting more international visitors and showcasing the country’s unique landscapes, wildlife, and cultural heritage.
Additionally, prioritising cybersecurity measures is critical to building trust among citizens and ensuring a secure digital environment. The initiative will also promote skills training to equip Kenyans with essential digital competencies, fostering innovation and creativity while contributing to the overall growth of the nation’s economy.
Through this partnership, Kenya addresses immediate technological needs and lays a foundation for sustainable development in the digital space. By enhancing digital literacy and integrating advanced technologies, the collaboration positions Kenya as a leader in the region’s technological landscape.
Why does it matter?
The comprehensive approach ensures that as the digital economy expands, citizens are well-prepared to navigate the challenges and opportunities that arise, ultimately driving growth and resilience in the face of rapid technological advancements.
