IBM’s 2025 Cost of a Data Breach Report revealed a sharp gap between rapid AI adoption and the oversight needed to secure it.
Although the global average data breach cost fell slightly to $4.44 million, security incidents involving AI systems remain more severe and disruptive.
Around 13% of organisations reported breaches involving AI models or applications, while 8% were unsure whether they had been compromised.
Alarmingly, nearly all AI-related breaches occurred without access controls, leading to data leaks in 60% of cases and operational disruption in almost one-third. Shadow AI (unsanctioned or unmanaged systems) played a central role, with one in five breaches traced back to it.
Organisations without AI governance policies or detection systems faced significantly higher costs, especially when personally identifiable information or intellectual property was exposed.
Attackers increasingly used AI tools such as deepfakes and phishing, with 16% of studied breaches involving AI-assisted threats.
Healthcare remained the costliest sector, with an average breach price of $7.42 million and the most extended recovery timeline of 279 days.
Despite the risks, fewer organisations plan to invest in post-breach security. Only 49% intend to strengthen defences, down from 63% last year.
Even fewer will prioritise AI-driven security tools. With many organisations also passing costs on to consumers, recovery now often includes long-term financial and reputational fallout, not just restoring systems.
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At a recent Atlanta concert, Rod Stewart honoured the late Ozzy Osbourne in a strikingly unconventional way, by showing an AI-generated video of Ozzy taking selfies in heaven with late music icons. The tribute played on a giant screen behind Stewart as he performed ‘Forever Young,’ depicting a cartoonish Ozzy grinning alongside legends like Kurt Cobain, Prince, Michael Jackson, and Bob Marley, all united by a floating selfie stick among the clouds.
The video, originally captured by a concertgoer on TikTok, featured Ozzy smiling and posing with other departed stars like Tina Turner and Freddie Mercury, turning heaven into an eternal celebrity photo op. Instead of a traditional photo montage, Stewart’s new approach created a digital afterlife where jam sessions and selfies with rock’s finest never end, implying perhaps that Ozzy has already joined them.
That marks a notable shift from Stewart’s earlier tributes to Osbourne, which relied on simple archival photographs. The AI animation, however strange, seems to reflect a deeper attempt to celebrate Ozzy’s spirit in a uniquely modern way, courtesy, presumably, of a tech-savvy relative.
Following Ozzy’s death on 22 July, Stewart shared a heartfelt farewell on Instagram: ‘Bye, Ozzy. Sleep well, my friend. I’ll see you up there, later rather than sooner.’ Judging by this tribute, he’s already imagining what that reunion might look like.
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UK Justice Secretary Shabana Mahmood has rolled out an AI-driven violence prediction tool across prisons and probation services. One system evaluates inmates’ profiles, factoring in age, past behaviour, and gang ties, to flag those likely to become violent. Matching prisoners to tighter supervision or relocation aims to reduce attacks on staff and fellow inmates.
Another feature actively scans content from seized mobile phones. AI algorithms sift through over 33,000 devices and 8.6 million messages, detecting coded language tied to contraband, violence, or escape plans. When suspicious content is flagged, staff receive alerts for preventive action.
Rising prison violence and self-harm underscore the urgency of such interventions. Assaults on staff recently reached over 10,500 a year, the highest on record, while self-harm incidents reached nearly 78,000. Overcrowding and drug infiltration have intensified operational challenges.
Analysts compare the approach to ‘pre‑crime’ models, drawing parallels with sci-fi narratives, raising concerns around civil liberties. Without robust governance, predictive tools may replicate biases or punish potential rather than actual behaviour. Transparency, independent audit, and appeals processes are essential to uphold inmate rights.
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Microsoft Research released a comprehensive AI impact assessment, ranking 80 occupations by exposure to generative AI tools such as Copilot and ChatGPT. Roles heavily involved in language, writing, client communication, and routine digital tasks showed the highest AI overlap. Notable examples include translators, historians, customer service agents, political scientists, and data scientists.
By contrast, jobs requiring hands-on work, empathy, real-time physical or emotional engagement, such as nurses, phlebotomists, construction trades, embalmers, and housekeeping staff, were classified as low risk under current AI capabilities. Experts suggest that these kinds of positions remain essential because they involve physical presence, human interaction, and complex real-time decision making.
Although certain professions scored high for AI exposure, Microsoft and independent analysts emphasise that most jobs won’t disappear entirely. Instead, generative AI tools are expected to augment workflows, creating hybrid roles where human judgement and oversight remain critical, especially in sectors such as financial services, healthcare, and creative industries.
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Amazon is exploring ways to insert ads into conversations with its AI assistant Alexa+, according to CEO Andy Jassy. Speaking during the company’s latest earnings call, he described the feature as a potential tool for product discovery and future revenue.
Alexa+ is Amazon’s upgraded digital assistant designed to support more natural, multi-step conversations using generative AI. It is already available to millions of users through Prime subscriptions or as a standalone service.
Jassy said longer interactions open the door for embedded advertising, although the approach has not yet been fully developed. Industry observers see this as part of a wider trend, with companies like Google and OpenAI also weighing ad-based business models.
Alexa+ has received mixed reviews so far, with delays in feature delivery and technical challenges like hallucinations raising concerns. Privacy advocates have warned that ad targeting within personal conversations may worry users, given the data involved.
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Apple is ramping up its AI efforts, with CEO Tim Cook confirming that the company is significantly increasing its investments in the technology. During the Q3 2025 earnings call, Cook said AI would be embedded across Apple’s devices, platforms and internal operations.
The firm has reallocated staff to focus on AI and continues to acquire smaller companies to accelerate progress, completing seven acquisitions this year alone. Capital expenditure has also risen, partly due to the growing focus on AI.
Despite criticism that Apple has lagged behind in the AI race, the company insists it will not rush features to market. More than 20 Apple Intelligence tools have already been released, with additional features like live translation and an AI fitness assistant expected by year-end.
The updated version of Siri, which promises greater personalisation, has been pushed to 2026. Cook dismissed suggestions that AI-powered hardware, like glasses, would replace the iPhone, instead positioning future devices as complementary.
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UK universities risk losing their competitive edge unless they adopt a clear, forward-looking approach to ΑΙ in teaching. Falling enrolments, limited funding, and outdated digital systems have exposed a lack of AI literacy across many institutions.
As AI skills become essential for today’s workforce, employers increasingly expect graduates to be confident users rather than passive observers.
Many universities continue relying on legacy technology rather than exploring the full potential of modern learning platforms. AI tools can enhance teaching by adapting to individual student needs and helping educators identify learning gaps.
However, few staff have received adequate training, and many universities lack the resources or structure to embed AI into day-to-day teaching effectively.
To close the growing gap between education and the workplace, universities must explore flexible short courses and microcredentials that develop workplace-ready skills.
Introducing ethical standards and data transparency from the start will ensure AI is used responsibly without weakening academic integrity.
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Amazon has reported a 35% increase in quarterly profit, driven by rapid growth in its AI-powered services and cloud computing arm, Amazon Web Services (AWS).
The tech and e-commerce giant posted net income of $18.2 billion for Q2 2025, up from $13.5 billion a year earlier, while net sales rose 13% to $167.7 billion and exceeded analyst expectations.
CEO Andy Jassy attributed the strong performance to the company’s growing reliance on AI. ‘Our conviction that AI will change every customer experience is starting to play out,’ Jassy said, referencing Amazon’s AI-powered Alexa+ upgrades and new generative AI shopping tools.
AWS remained the company’s growth engine, with revenue climbing 17.5% to $30.9 billion and operating profit rising to $10.2 billion. The surge reflects the increasing demand for cloud infrastructure to support AI deployment across industries.
Despite the solid earnings, Amazon’s share price dipped more than 3% in after-hours trading. Analysts pointed to concerns over the company’s heavy capital spending, particularly its aggressive $100 billion AI investment strategy.
Free cash flow over the past year fell to $18.2 billion, down from $53 billion a year earlier. In Q2 alone, Amazon spent $32.2 billion on infrastructure, nearly double the previous year’s figure, much of it aimed at expanding its data centre and logistics capabilities to support AI workloads.
For the current quarter, Amazon projected revenue of $174.0 to $179.5 billion and operating income between $15.5 and $20.5 billion, slightly below investor hopes but still reflecting double-digit year-on-year growth.
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Gulf states are actively redefining national strategy by embracing AI as a cornerstone of post-oil modernization. Saudi Arabia, through its AI platform Humain, a subsidiary of the Public Investment Fund, has committed state resources to build core infrastructure and develop Arabic multimodal models. Concurrently, the UAE is funding its $100 billion MGX initiative and supporting projects like G42 and the Falcon open-source model from Abu Dhabi’s Technology Innovation Institute.
Economic rationale underpins this ambition. Observers suggest that broad AI adoption across GCC sectors, including energy, healthcare, aviation, and government services, could add as much as $150 billion to regional GDP. Yet, concerns persist around workforce limitations, regulatory maturation, and geopolitical complications tied to supply chain dependencies.
Interest in AI has also reached geopolitical levels. Gulf leaders have struck partnerships with US firms to secure advanced AI chips and infrastructure, as seen during high-profile agreements with Nvidia, AMD, and Amazon. Critics caution that hosting major data centres in geopolitically volatile zones introduces physical and strategic risks, especially in contexts of rising regional tension.
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In parallel, China has responded with its own global AI governance plan, proposing the establishment of an international AI cooperation organisation to enhance worldwide coordination and standard-setting. Thus, it is not hard to conclude that there is an escalating AI governance competition between the two technological superpowers, each advocating distinctly different visions for the future of global AI development.
On the multilateral stage, the UN’s Economic and Social Council (ECOSOC) adopted a resolution: ‘Assessment of the progress made in the implementation of and follow-up to the outcomes of the World Summit on the Information Society’, through the Commission on Science and Technology for Development (CSTD), reaffirming commitments to implement the outcomes of the World Summit on the Information Society (WSIS).
On 23 July, the US unveiled an AI Action Plan featuring 103 recommendations focused on winning the AI race against China. Key themes include promoting open-source AI to establish global standards, reducing regulations to support tech firms, and emphasising national security. The plan addresses labour displacement, AI biases, and cybersecurity threats, advocating for reskilling workers and maintaining tech leadership through private sector flexibility. Additionally, it aims to align US allies within an AI framework while expressing scepticism toward multilateral regulations. Overall, the plan positions open-source AI as a strategic asset amid geopolitical competition. Read the full blog!
For the main updates, reflections and events, consult the RADAR, the READING CORNER and the UPCOMING EVENTS section below.
Join us as we connect the dots, from daily updates to main weekly developments, to bring you a clear, engaging monthly snapshot of worldwide digital trends.
DW Team
RADAR
Highlights from the week of 25 July – 1 August 2025
A NATO policy brief warns that civilian ports across Europe face increasing cyber threats from state-linked actors and calls for updated maritime strategies to strengthen cybersecurity and civil–military coordination.
On 23 July, the US unveiled an AI Action Plan featuring 103 recommendations focused on winning the AI race against China. Key themes include promoting open-source AI to establish global standards, reducing regulations to support tech firms, and emphasising national security.
Tracking technologies shape our online experience in often invisible ways, yet profoundly impactful, raising important questions about transparency, control, and accountability in the digital age.
