Europe gets new cybersecurity support from Microsoft

Microsoft has launched a free cybersecurity initiative for European governments aimed at countering increasingly sophisticated cyber threats powered by AI. Company President Brad Smith said Europe would benefit from tools already developed and deployed in the US.

The programme is designed to identify and disrupt AI-driven threats, including deepfakes and disinformation campaigns, which have previously been used to target elections and undermine public trust.

Smith acknowledged that AI is a double-edged sword, with malicious actors exploiting it for attacks, while defenders increasingly use it to stay ahead. Microsoft continues to monitor how its AI products are used, blocking known cybercriminals and working to ensure AI serves as a stronger shield than weapon.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

Digital Watch newsletter – Issue 100

May 2025 in Retrospect

Dear readers,

Welcome to the 100th issue of the Digital Watch Monthly Newsletter with new insights, updates, and inspiration delivered straight to your inbox! As we mark this milestone, we reflect on a transformative May 2025.

From the EU’s assertive regulatory actions to the persisting side effects of US-China tech tensions, and groundbreaking strides in quantum computing, our Digital Watch Monthly Newsletter encapsulates the dynamic interplay of technology and policy.

Let’s start with the EU, which this May intensified its enforcement of the Digital Services Act (DSA), targeting platforms like Pornhub and Shein for non-compliance with rules aimed at curbing harmful content and ensuring transparency. 

On the other side of the Atlantic, the US Department of Justice (DOJ) escalated its antitrust campaign against Google, demanding the divestiture of key advertising platforms like AdX and DFP to dismantle its digital advertising monopoly.

Speaking of TikTok and its US saga, President Trump extended the deadline for ByteDance to sell TikTok’s US operations amid ongoing US-China trade frictions. 

The US-UAE AI Acceleration Partnership, backed by a $200 billion deal, underscored a big effort to counter China’s technological reach.

Ireland’s Equal1 introduced a silicon-based quantum computer designed for integration into existing data centres. This breakthrough, alongside the UAE’s launch of the world’s largest AI campus outside the USA, underscores the global race for AI and quantum leadership.

The UK recorded the fastest growth in cryptocurrency adoption globally in 2025. Conversely, due to adoption challenges and economic volatility, El Salvador scaled back its Bitcoin-as-legal-tender experiment.

Join us as we unravel the key tendencies of May 2025, connecting the dots from our weekly updates to bring you a clear, engaging monthly snapshot of the digital trends worldwide.

Diplo’s analysis and reporting in an exceptional time

In a world where history unfolds at breakneck speed, the real challenge isn’t just keeping up—it’s making sense of it all. Every day brings a flood of information, but the bigger picture often gets lost in the noise. How do today’s developments shape long-term trends? How do they impact us as individuals, communities, businesses, and even humanity?

At Diplo, we bridge the gap between real-time updates and deeper insights. Our Digital Watch keeps a pulse on daily developments while connecting them to weekly, monthly, and yearly trends as illustrated bellow.

 Chart

From cybersecurity to e-commerce to digital governance, we track these shifts from daily fluctuations to long-term industry pivots.

In our 100th issue of the monthly newsletter, you can follow: AI and tech TENDENCIES | Developments in GENEVA | Dig.Watch ANALYSIS

Best regards,

DW Team


Content, data governance and legal frameworks

May 2025 marked a very trend-setting moment for content governance, with the EU intensifying enforcement of the Digital Services Act (DSA). A Brussels workshop highlighted the DSA’s risk-based approach, pushing platforms to address systemic risks while facing calls for greater transparency. Platforms like Pornhub and Shein faced scrutiny for compliance with rules targeting, the first, harmful content and the second transparency. Enforcement actions included scrutiny of adult sites for failing to protect minors, with plans for EU-wide age verification. Additionally, the EU demanded compliance from Shein over misleading labels and fake discounts, emphasising transparency in e-commerce. To end, TikTok was handed a €530 million ($600 million) fine by Ireland’s Data Protection Commissioner (DPC) over data privacy violations involving user information transfers to China.

EuroDIG 2025, hosted by the Council of Europe, emphasised multistakeholder dialogue, advocating for balanced content moderation that respects free expression while curbing misinformation. Globally, platforms have grappled to align local regulations with user expectations, highlighting the need for adaptive governance frameworks.

The US Department of Justice (DOJ) escalated its antitrust push against Google, demanding divestitures of ad platforms like AdX and DFP to dismantle its advertising monopoly. Adopted earlier, the Council of Europe’s Convention on AI and Human Rights set a global precedent for ethical AI regulation, influencing discussions at EuroDIG 2025.

Speaking about abuse of data and copyright, the UK’s debate over AI and copyright intensified as over 400 artists, including Elton John and Dua Lipa, urged Prime Minister Keir Starmer to protect creative works from unauthorised AI use. The House of Lords amended the Data (Use and Access) Bill to require AI firms to disclose copyrighted materials used in training. Still, the government resisted, citing potential harm to the AI sector. Former Deputy PM Nick Clegg argued that mandatory artist consent could cripple the UK’s AI industry. Despite government concessions, including impact assessments and consultations, the creative community remains concerned about the potential erosion of intellectual property rights in the face of advancing AI technologies.

Trade tensions and global competition: side effects

US-China trade frictions persisted, with President Trump extending ByteDance’s deadline to divest TikTok’s US operations, signalling ongoing geopolitical chess moves. Additionally, the USA tightened export controls on AI chips, prompting Nvidia to redesign its products for the Chinese market. AMD expects to lose around $1.5 billion in revenue this year because of new US export restrictions on advanced AI chips, which now require a licence to be sold to China. Meanwhile, US President Donald Trump agreed to delay a planned 50% tariff on EU imports until 9 July 2025, following a request from European Commission President Ursula von der Leyen.

AI, quantum advancements, and digital infrastructure

AI innovation surged, with smaller, specialised models gaining traction over large-scale systems. In May 2025, AI made major strides across fields: Anthropic launched Claude 4 models with autonomous capabilities, while DeepMind’s AlphaEvolve further pushed algorithmic optimisation. Google unveiled Veo 3 for synchronised video generation, and Midjourney V7 boosted creative workflows with faster rendering. 

In industry, TCS promoted a ‘Human+AI’ workforce model, and Odisha approved a pioneering AI policy. However, concerns over job displacement and energy demands were growing. On the research front, the USA introduced the Doudna supercomputer for genomics, and scientists engineered a new AI-designed protein, esmGFP, marking a leap forward in bioengineering.

May brought quantum computing back into the spotlight as Europe and Asia made bold moves. French startup Quandela unveiled Belenos, a 12-qubit quantum computer available via the cloud, positioning Europe as a serious contender in the quantum hardware arena. Not to be outdone, Japan launched ABCI-Q, its new quantum platform, backed by increased national investment to accelerate research and industrial adoption.

Ireland’s Equal1 unveiled a silicon-based quantum computer, designed for seamless integration into existing data centres, marking a leap in quantum-AI convergence. The United Arab Emirates announced plans for the world’s largest AI campus outside the USA, a 10-square-mile facility in Abu Dhabi led by G42, in a $200 billion deal as part of the US-UAE AI Acceleration Partnership. G42 and OpenAI have been collaborating on the Stargate Initiative, a massive AI data facility.

Cybersecurity concerns

In May 2025, cybersecurity concerns intensified as quantum computing advancements posed significant threats to current encryption methods. BlackRock updated its iShares Bitcoin Trust (IBIT) ETF filings to highlight the potential risk quantum computing poses to Bitcoin’s cryptographic security. The firm warned that future quantum breakthroughs could undermine the cryptographic systems that protect Bitcoin wallets, necessitating broad consensus across the decentralised network to implement defences.

Simultaneously, China’s rapid progress in quantum technology, including the development of a 600-mile secure quantum communication line, underscored the urgency for post-quantum cryptographic measures. These developments have accelerated global efforts to transition to quantum-resistant encryption standards, as traditional cryptographic algorithms face obsolescence in the face of emerging quantum capabilities.

Cybersecurity remained a critical focus, with the EU extending the Radio Equipment Directive’s deadline to bolster digital safety amid rising cyber threats. The UK and the EU agreed to enhance cooperation on cybersecurity as part of a broader defence and security pact. While Japan enacted new cybersecurity legislation, reflecting a global trend towards strengthening digital defences, the Dutch government adopted new legislation expanding the scope of its espionage laws to include digital espionage and other activities carried out on behalf of foreign states that may harm Dutch national interests.

The UAE’s $544 million AI data centre with Microsoft and its AI accelerator initiatives underscored the intersection of AI and cybersecurity. Data privacy debates intensified, with EuroDIG 2025 addressing algorithmic impacts on human autonomy. Globally, calls for stronger privacy protections grew as AI-driven data processing raised ethical concerns, urging policymakers to prioritise user rights.To better follow up on the next section, the largest cryptocurrency exchange in the USA, Coinbase, revealed that a recent cyber-attack could cost between $180 million and $400 million.

Cryptocurrency digital policy dynamics

The cryptocurrency landscape has seen mixed developments. The UK recorded the fastest growth in cryptocurrency adoption globally in 2025. The proportion of UK adults holding cryptocurrencies rose to 24% in April 2025, up from 18% a year earlier, driven by regulatory clarity and institutional adoption and marking the sharpest year-on-year increase among the countries surveyed. Singapore held the highest individual rate, with 29% of respondents reporting ownership of cryptocurrencies. Conversely, due to adoption challenges and economic volatility, El Salvador scaled back its Bitcoin-as-legal-tender experiment.

Regulatory debates have focused on balancing innovation with consumer protection, with the EU exploring stricter crypto oversight under its digital finance framework, reflecting a cautious approach to decentralised finance.

Diplo BlogDr Jovan Kurbalija writes ‘What can we learn from 160 years of tech diplomacy at ITU?

On the occasion of the 160th anniversary of ITU, Dr Jovan Kurbalija has written a blog post reflecting on the event, reminding us that: “On 17 May 1865, the International Telecommunication Union (ITU) was founded by 20 European states to streamline telegraph messaging across borders, highlighting the need for multilateral cooperation in communication. Over 160 years, ITU has maintained its mission to balance national sovereignty with shared connectivity amidst evolving technologies. Historical lessons illustrate that crises can prompt necessary changes, while technological advancements continue to shape global power dynamics. As we celebrate ITU’s legacy, we are reminded that collaboration, standards, and diplomacy remain vital in navigating the challenges of today’s interconnected digital landscape.”

In case you missed it

In case you missed it, the GIP reported from the West African IGF (WAIGF) 2025, held last week. The WAIGF is a regional initiative that brings together various stakeholders to discuss and address internet-related issues in West Africa.

Diplo also actively participated in the Brazilian Internet Forum (FIB), held on 26-30 May and hosted by the Brazilian Internet Steering Committee (CGI.br). Representing Diplo, Marilia Maciel contributed to critical discussions on state roles and multistakeholder collaboration in managing cloud infrastructures and defending digital sovereignty. She also offered insights during the main session on setting principles for regulating digital platforms.

Join us next month as we track these evolving trends. Subscribe to our weekly updates at dig.watch for the latest digital policy insights!

For more information on cybersecurity, digital policies, AI governance and other related topics, visit diplomacy.edu.


Developments, events and takeaways

In May 2025, Geneva reaffirmed its role as a pivotal hub for digital diplomacy, hosting a series of significant events that advanced global discussions on cybersecurity, digital governance, and the ethical deployment of emerging technologies.

The highlight was the second Global Conference on Cyber Capacity Building (GC3B), held on 13-14 May, which convened policymakers, development experts, and cybersecurity leaders to assess progress and chart a forward-looking agenda in line with the 2023 Accra Call. The conference emphasised the secure use of new digital technologies in development cooperation, particularly in the Global South, and was a key event of the inaugural Geneva Cyber Week.

Complementing this, the Geneva Cybersecurity Hub was formally launched on 16 May, establishing a multidisciplinary, multistakeholder network of Geneva-based institutions focused on the intersection of cyberspace and international security.

On 28 May, Diplo and the Geneva Internet Platform hosted a briefing exploring the interplay between the UN80 Initiative, UN processes on digital governance, and AI. The session examined how the UN80 Initiative could reshape digital governance processes across the UN and its specialised agencies, including in Geneva, and considered the potential role of AI in enhancing the UN’s effectiveness.

Additionally, preparations were underway for the WSIS+20 High-Level Event, scheduled for July 2025 in Geneva. The event aims to review 20 years of progress since the World Summit on the Information Society, facilitating multistakeholder dialogue on achievements, key trends, and challenges in the digital domain.


May 2025 was marked by notable developments in AI governance, cybersecurity, and global digital policy. Here’s a snapshot of what happened over the last month:

TECHNOLOGY

Researchers have used a single atom to simulate how molecules react to light, marking a milestone in quantum chemistry.

Discussions about the conflict of interest surrounding US President Donald Trump’s crypto ventures are delaying crypto legislation. Democrats are blocking the stablecoin bill, the GENIUS Act, to prevent Trump from profiting off crypto.

Organisations across sectors are turning to agentic automation—an emerging class of AI systems designed to think, plan, and act autonomously to solve complex, multi-step problems.

Two physicists from Aalto University believe they may have found a solution to one of science’s most enduring challenges: uniting gravity with quantum physics.

GOVERNANCE

Politiscope recently held an event at the Croatian Journalists’ Association to highlight the human rights risks of AI. As Croatia begins drafting a national law to implement the EU AI Act, the event aimed to push for stronger protections and transparency instead of relying on vague promises of innovation.

Pakistan has formed a new body to regulate its growing digital asset market and embrace blockchain-based financial innovation.

Senators voted 66-32 to advance the GENIUS Act, a bill aimed at regulating stablecoins. Sixteen Democrats joined Republicans in backing the measure, reversing a previous block.

The UN and global experts have emphasised the urgent need for comprehensive regulation of AI in military applications. 

As negotiations advance among UN General Assembly members in New York, a revised draft resolution (rev1) has been issued outlining updated proposals for the terms of reference and modalities for the Scientific Panel on AI and Global Dialogue on AI Governance. 

The US Senate voted against advancing the GENIUS Act, which sought to regulate stablecoins.

The European Union is set to introduce new measures under its Anti-Money Laundering Regulation (AMLR) to track cryptocurrency transfers.

INFRASTRUCTURE

A Chinese startup, Origin Quantum, has unveiled Tianji 4.0, a cutting-edge superconducting quantum measurement and control system capable of supporting quantum computers with over 500 qubits.

Chadian authorities have unveiled a set of strategic policies aimed at strengthening the country’s digital infrastructure and reducing its dependence on Cameroon for international internet connectivity.

Emirates Integrated Telecommunications Company PJSC (du) has partnered with Microsoft to build a 2 billion dirham (US$544.5 million) hyperscale data centre in the UAE, unveiled during Dubai AI Week.

IHS Nigeria and the Nigeria Security and Civil Defence Corps (NSCDC) have partnered to enhance the protection of critical telecommunications infrastructure across Nigeria.

LEGAL

A federal judge has ruled that Google and AI startup Character.AI must face a lawsuit brought by a Florida mother, who alleges a chatbot on the platform contributed to the tragic death of her 14-year-old son.

Meta is under renewed scrutiny for what critics describe as ‘open washing’ after sponsoring a Linux Foundation whitepaper on the benefits of open source AI.

ECONOMY

The United States continues to tighten its control over the export of advanced AI chips to China. The intent is to block China from accessing technology that could strengthen its military or help it surpass US leadership in AI.

Bilal Bin Saqib, head of the Pakistan Crypto Council, announced the plans to establish a national Bitcoin reserve as part of Pakistan’s broader digital asset strategy at the Bitcoin 2025 conference in Las Vegas.

Nvidia CEO Jensen Huang has raised concerns that US export restrictions are accelerating the growth of Chinese AI firms, making them more competitive.

Bitcoin surged to a fresh all-time high of $111,544 during early Asian trading on Thursday, marking a 4% jump from Wednesday’s peak.

Trade Ministers from BRICS countries convened in Brasília to exchange views on trade and investment challenges.

Crypto.com has secured a MiFID licence, allowing it to offer regulated crypto derivatives across the European Economic Area.

OpenAI has announced it will no longer pursue a full transition to a for-profit company.

Gemini has received a MiFID II licence from the Malta Financial Services Authority, allowing it to offer regulated crypto derivatives across the EU and EEA.

OpenAI plans to reduce the share of revenue it gives Microsoft as part of its long-term partnership, according to a report by The Information.

OpenAI plans to reduce the share of revenue it gives Microsoft as part of its long-term partnership.

India’s two largest stock exchanges, the National Stock Exchange (NSE) and BSE Ltd, have temporarily restricted overseas access to their websites amid rising concerns over cyber threats.

SECURITY

Taiwan has rejected accusations from Beijing that its ruling party orchestrated cyberattacks against Chinese infrastructure.

The UK and the EU have agreed to step up cooperation on cybersecurity as part of a wider defence and security pact.

The global cybersecurity community faces a ticking clock. China’s rapid advances in quantum computing, combined with insufficient global investment in quantum-safe cryptography, have placed Chief Information Security Officers (CISOs) at a critical crossroads.

The UK’s Ministry of Defence (MoD) will establish a Cyber and Electromagnetic Command to unify defensive cyber operations and coordinate offensive capabilities alongside the National Cyber Force.

Prague has formally accused China of launching a malicious cyber campaign against its Foreign Affairs ministry’s unclassified communications network.

Cryptocurrency exchange Coinbase has disclosed a potential financial impact of $180 million to $400 million following a cyberattack that compromised customer data, according to a regulatory filing on Thursday.

The EU Council has extended its sanctions on cyberattacks until 18 May 2026, with the legal framework for enforcing these measures now lasting until 2028. 

A new bill introduced by Republican Senator Tom Cotton aims to bolster national security by requiring location verification features on American-made AI chips.

Thousands of Edinburgh pupils were forced to attend school on Saturday after a phishing attack disrupted access to vital online learning resources.

Cyberattacks targeting the US surged dramatically in early 2025, according to a new report from cybersecurity firm Trellix.

DEVELOPMENT

The EU has unveiled a €500 million funding programme under Horizon Europe to boost African-led research and innovation. A total of 24 funding calls are organised around five thematic areas.

Nvidia has unveiled plans to open the Nvidia Accelerated Quantum Research Centre (NVAQC) in Boston, a facility set to bridge quantum computing and AI supercomputing.

Google has laid off around 200 employees from its global business unit as the company sharpens its focus on AI and cloud services.

Cybersecurity firm CrowdStrike is laying off 500 employees—5% of its workforce—as it shifts towards an AI-led operating model to boost efficiency and hit a $10 billion annual revenue goal.

Duolingo has come under fire after CEO Luis von Ahn announced the company is transitioning to an ‘AI-first’ model, with plans to replace certain human roles with AI.

SOCIO-CULTURAL

Texas is considering a bill that would ban social media use for anyone under 18. The proposal, which recently advanced past the state Senate committee, is expected to be voted on before the legislative session ends on 2 June.

The rise of personalised AI is poised to radically reshape how we interact with technology, with search engines evolving into intelligent agents that not only retrieve information but also understand and act on our behalf.

Far more online content is removed under US tech firms’ terms and conditions than under the EU’s Digital Services Act (DSA), according to Tech Commissioner Henna Virkkunen.

Telegram CEO Pavel Durov has alleged that France’s foreign intelligence agency attempted to pressure him. He claims they wanted him to ban Romanian conservative channels ahead of the 2025 presidential elections.

More than 400 prominent British artists, including Dua Lipa, Elton John, and Sir Ian McKellen, have signed a letter urging Prime Minister Keir Starmer to update UK copyright laws to protect their work from being used without consent in training AI systems.

For more information on cybersecurity, digital policies, AI governance and other related topics, visit diplomacy.edu.


AI is reshaping how stories are told in film, games, and music, raising questions about authorship, ethics, and artistic identity.

It feels like just yesterday that the internet was buzzing over the first renditions of OpenAI’s DALL·E tool, with millions competing to craft the funniest, weirdest prompts and sharing the results across social media. The sentiment was clear: the public was fascinated by the creative potential of this new technology.

But beneath the laughter and viral memes was a quieter, more uneasy question: what happens when AI not only generates quirky artwork, but begins to reshape our daily lives—both online and off? As it turns out, that process was already underway behind the scenes—and we were none the wiser.

AI in action: How the entertainment industry is using it today

Three years later, we have reached a point where AI’s influence seems to have passed the point of no return. The entertainment industry was among the first to embrace this technology, and starting with the 2025 Academy Awards, films that incorporate AI are now eligible for Oscar nominations.

That decision has been met with mixed reactions, to put it lightly. While some have praised the industry’s eagerness to explore new technological frontiers, others have claimed that AI greatly diminishes the human contribution to the art of filmmaking and therefore takes away the essence of the seventh art form.

The first wave of AI-enhanced storytelling

One recent example is the film The Brutalist, in which AI was used to refine Adrien Brody’s Hungarian dialogue to sound more authentic—a move that sparked both technical admiration and creative scepticism.

With AI now embedded in everything from voiceovers to entire digital actors, we are only beginning to confront what it truly means when creativity is no longer exclusively human.


Academy Awards 2025, Adrien Brody, The Brutalist, The Oscars, Best Actor

Setting the stage: AI in the spotlight

The first major big-screen resurrection occurred in 1994’s The Crow, where Brandon Lee’s sudden passing mid-production forced the studio to rely on body doubles, digital effects, and existing footage to complete his scenes. However, it was not until 2016 that audiences witnessed the first fully digital revival.

In Rogue One: A Star Wars Story, Peter Cushing’s character was brought back to life using a combination of CGI, motion capture, and a facial stand-in. Although primarily reliant on traditional VFX, the project paved the way for future use of deepfakes and AI-assisted performance recreation across movies, TV shows, and video games.

Afterward, some speculated that studios tied to Peter Cushing’s legacy—such as Tyburn Film Productions—could pursue legal action against Disney for reviving his likeness without direct approval. While no lawsuit was filed, questions were raised about who owns a performer’s digital identity after death.

The digital Jedi: How AI helped recreate Luke Skywalker

Fate would have it that AI’s grand debut would take place in a galaxy far, far away—with the surprise appearance of Luke Skywalker in the Season 2 finale of The Mandalorian (spoiler alert). The moment thrilled fans and marked a turning point for the franchise—but it was more than just fan service.

Here’s the twist: Mark Hamill did not record any new voice lines. Instead, actor Max Lloyd-Jones performed the physical role, while Hamill’s de-aged voice was recreated with the help of Respeecher, a Ukrainian company specialising in AI-driven speech synthesis.

Impressed by their work, Disney turned to Respeecher once again—this time to recreate James Earl Jones’s iconic Darth Vader voice for the Obi-Wan Kenobi miniseries. Using archival recordings that Jones signed over for AI use, the system synthesised new dialogue that perfectly matched the intonation and timbre of his original trilogy performances.

Darth Vader, James Earl Jones, Star Wars, Obi-Wan Kenobi, Respeecher, AI voice synthesizer

AI in moviemaking: Preserving legacy or crossing a line?

The use of AI to preserve and extend the voices of legendary actors has been met with a mix of admiration and unease. While many have praised the seamless execution and respect shown toward the legacy of both Hamill and Jones, others have raised concerns about consent, creative authenticity, and the long-term implications of allowing AI to perform in place of humans.

In both cases, the actors were directly involved or gave explicit approval, but these high-profile examples may be setting a precedent for a future where that level of control is not guaranteed.

A notable case that drew backlash was the planned use of a fully CGI-generated James Dean in the unreleased film Finding Jack, decades after his death. Critics and fellow actors have voiced strong opposition, arguing that bringing back a performer without their consent reduces them to a brand or asset, rather than honouring them as an artist.

AI in Hollywood: Actors made redundant?

What further heightened concerns among working actors was the launch of Promise, a new Hollywood studio built entirely around generative AI. Backed by wealthy investors, Promise is betting big on Muse—a GenAI tool designed to produce high-quality films and TV series at a fraction of the cost and time required for traditional Hollywood productions.

Filmmaking is a business, after all—and with production budgets ballooning year after year, AI-powered entertainment sounds like a dream come true for profit-driven studios.

Meta’s recent collaboration with Blumhouse Productions on Movie Gen only adds fuel to the fire, signalling that major players are eager to explore a future where storytelling may be driven as much by algorithms as by authentic artistry.

AI in gaming: Automation or artistic collapse?

Speaking of entertainment businesses, we cannot ignore the world’s most popular entertainment medium: gaming. While the pandemic triggered a massive boom in game development and player engagement, the momentum was short-lived.

As profits began to slump in the years that followed, the industry was hit by a wave of layoffs, prompting widespread internal restructuring and forcing publishers to rethink their business models entirely. In hopes of cost-cutting, AAA companies had their eye on AI as their one saving grace.

Nvidia developing AI chips, along with Ubisoft and EA investing in AI and machine learning, have sent clear signals to the industry: automation is no longer just a backend tool—it is a front-facing strategy.

With AI-assisted NPC behaviour and AI voice acting, game development is shifting toward faster, cheaper, and potentially less human-driven production. In response, game developers have become concerned about their future in the industry, and actors are less inclined to sign off their rights for future projects.

 Person, Car, Transportation, Vehicle

AI voice acting in video games

In an attempt to compete with wealthier studios, even indie developers have turned to GenAI to replicate the voices of celebrity voice actors. Tools like ElevenLabs and Altered Studio offer a seemingly straightforward way to get high-quality talent—but if only it were that simple.

Copyright laws and concerns over authenticity remain two of the strongest barriers to the widespread adoption of AI-generated voices—especially as many consumers still view the technology as a crutch rather than a creative tool for game developers.

The legal landscape around AI-generated voices remains murky. In many places, the rights to a person’s voice—or its synthetic clone—are poorly defined, creating loopholes developers can exploit.

AI voice cloning challenges legal boundaries in gaming

The legal ambiguity has fuelled a backlash from voice actors, who argue that their performances are being mimicked without consent or pay. SAG-AFTRA and others began pushing for tighter legal protections in 2023.

A notable flashpoint came in 2025, when Epic Games faced criticism for using an AI-generated Darth Vader voice in Fortnite. SAG-AFTRA filed a formal complaint, citing licensing concerns and a lack of actor involvement.

Not all uses have been controversial. CD Projekt Red recreated the voice of the late Miłogost Reczek in Cyberpunk 2077: Phantom Liberty—with his family’s blessing—setting a respectful precedent for the ethical use of AI.

How AI is changing music production and artist Identity

AI is rapidly reshaping music production, with a recent survey showing that nearly 25% of producers are already integrating AI tools into their creative workflows. This shift reflects a growing trend in how technology is influencing composition, mixing, and even vocal performance.

Artists like Imogen Heap are embracing the change with projects like Mogen, an AI version of herself that can create music and interact with fans—blurring the line between human creativity and digital innovation.
Major labels are also experimenting: Universal Music has recently used AI to reimagine Brenda Lee’s 1958 classic in Spanish, preserving the spirit of the original while expanding its cultural reach.

AI and the future of entertainment

As AI becomes more embedded in entertainment, the line between innovation and exploitation grows thinner. What once felt like science fiction is now reshaping the way stories are told—and who gets to tell them.

Whether AI becomes a tool for creative expansion or a threat to human artistry will depend on how the industry and audiences choose to engage with it in the years ahead. As in any business, consumers vote with their wallets, and only time will tell whether AI and authenticity can truly go hand-in-hand.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!


AI-powered tools from Google, IBM, and startups improve diagnostics, clinical documentation, and patient care, reducing clinician workloads and enhancing healthcare outcomes worldwide.

Silicon Valley targets health

The intersection of technology and healthcare is rapidly evolving, fuelled by advancements in ΑΙ and driven by major tech companies that are expanding their reach into the life sciences sector.

Once primarily known for consumer electronics or search engines, companies like Google, Amazon, Microsoft, Apple, and IBM are now playing an increasingly central role in transforming the medical field.

These companies, often referred to as ‘Big Tech’, are pushing the boundaries of what was once considered science fiction, using AI to innovate across multiple aspects of healthcare, including diagnostics, treatment, drug development, clinical trials, and patient care.

silicon valley tech companies

AI becomes doctors’ new tool

At the core of this revolution is AI. Over the past decade, AI has evolved from a theoretical tool to a practical and transformative force within healthcare.

Companies are developing advanced machine learning algorithms, cognitive computing models, and AI-powered systems capable of matching—and sometimes surpassing—human capabilities in diagnosing and treating diseases.

AI is also reshaping many aspects of healthcare, from early disease detection to personalised treatments and even drug discovery. This shift is creating a future where AI plays a significant role in diagnosing diseases, developing treatment plans, and improving patient outcomes at scale.

One of the most significant contributions of AI is in diagnostics. Google Health and its subsidiary DeepMind are prime examples of how AI can be used to outperform human experts in certain medical tasks.

For instance, DeepMind’s AI tools have demonstrated the ability to diagnose conditions like breast cancer and lung disease with remarkable accuracy, surpassing the abilities of human radiologists in some cases.

google deepmind AI progress Demis Hassabis

Similarly, Philips has filed patents for AI systems capable of detecting neurodegenerative diseases and tracking disease progression using heart activity and motion sensors.

From diagnosis to documentation

These breakthroughs represent only a small part of how AI is revolutionising diagnostics by improving accuracy, reducing time to diagnosis, and potentially saving lives.

In addition to AI’s diagnostic capabilities, its impact extends to medical documentation, an often-overlooked area that affects clinician efficiency.

Traditionally, doctors spend a significant amount of time on paperwork, reducing the time they can spend with patients.

However, AI companies like Augmedix, DeepScribe, and Nabla are addressing this problem by offering solutions that generate clinical notes directly from doctor-patient conversations.

AI doctor

These platforms integrate with electronic health record (EHR) systems and automate the note-taking process, which reduces administrative workload and frees up clinicians to focus on patient care.

Augmedix, for example, claims to save up to an hour per day for clinicians, while DeepScribe’s AI technology is reportedly more accurate than even GPT-4 for clinical documentation.

Nabla takes this further by offering AI-driven chatbots and decision support tools that enhance clinical workflows and reduce physician burnout.

Portable ultrasounds powered by AI

AI is also transforming medical imaging, a field traditionally dependent on expensive, bulky equipment that requires specialised training.

Innovators like Butterfly Network are developing portable, AI-powered ultrasound devices that can provide diagnostic capabilities at a fraction of the cost of traditional equipment. These devices offer greater accessibility, particularly in regions with limited access to medical imaging technology.

The ability to perform ultrasounds and MRIs in remote areas, using portable devices powered by AI, is democratising healthcare and enabling better diagnostic capabilities in underserved regions.

An advanced drug discovery

In the realm of drug discovery and treatment personalisation, AI is making significant strides. Companies like IBM Watson are at the forefront of using AI to personalise treatment plans by analysing vast amounts of patient data, including medical histories, genetic information, and lifestyle factors.

IBM Watson has been particularly instrumental in the field of oncology, where it assists physicians by recommending tailored cancer treatment protocols.

treatment costs.

A capability like this is made possible by the vast amounts of medical data Watson processes to identify the best treatment options for individual patients, ensuring that therapies are more effective by considering each patient’s unique characteristics.

Smart automation in healthcare

Furthermore, AI is streamlining administrative tasks within healthcare systems, which often burden healthcare providers with repetitive, time-consuming tasks like appointment scheduling, records management, and insurance verification.

By automating these tasks, AI allows healthcare providers to focus more on delivering high-quality care to patients.

Amazon Web Services (AWS), for example, is leveraging its cloud platform to develop machine learning tools that assist healthcare providers in making more effective clinical decisions while improving operational efficiency.

It includes using AI to enhance clinical decision-making, predict patient outcomes, and manage the growing volume of patient data that healthcare systems must process.

Startups and giants drive the healthcare race

Alongside the tech giants, AI-driven startups are also playing a pivotal role in healthcare innovation. Tempus, for example, is integrating genomic sequencing with AI to provide physicians with actionable insights that improve patient outcomes, particularly in cancer treatment.

The fusion of data from multiple sources is enhancing the precision and effectiveness of medical decisions. Zebra Medical Vision, another AI-driven company, is using AI to analyse medical imaging data and detect a wide range of conditions, from liver disease to breast cancer.

Zebra’s AI algorithms are designed to identify conditions often before symptoms even appear, which greatly improves the chances of successful treatment through early detection.

Tech giants are deeply embedded in the healthcare ecosystem, using their advanced capabilities in cloud computing, AI, and data analytics to reshape the industry.

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Microsoft, for example, has made significant strides in AI for accessibility, focusing on creating healthcare solutions that empower individuals with disabilities. Their work is helping to make healthcare more inclusive and accessible for a broader population.

Amazon’s AWS cloud platform is another example of how Big Tech is leveraging its infrastructure to develop machine learning tools that support healthcare providers in delivering more effective care.

M&A meets medicine

In addition to developing their own AI tools, these tech giants have made several high-profile acquisitions to accelerate their healthcare strategies.

Google’s acquisition of Fitbit, Amazon’s purchase of PillPack and One Medical, and Microsoft’s $19.7 billion acquisition of Nuance are all clear examples of how Big Tech is seeking to integrate AI into every aspect of the healthcare value chain, from drug discovery to clinical delivery.

These acquisitions and partnerships also enable tech giants to tap into new areas of the healthcare market and provide more comprehensive, end-to-end solutions to healthcare providers and patients alike.

Smart devices empower health

Consumer health technologies have also surged in popularity, thanks to the broader trend of digital health and wellness tools. Fitness trackers, smartwatches, and mobile health apps allow users to monitor everything from heart rates to sleep quality.

Devices like the Apple Watch and Google’s Fitbit collect health data continuously, providing users with personalised insights into their well-being.

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Instead of being isolated within individual devices, the data is increasingly being integrated into broader healthcare systems, enabling doctors and other healthcare providers to have a more complete view of a patient’s health.

This integration has also supported the growth of telehealth services, with millions of people now opting for virtual consultations powered by Big Tech infrastructure and AI-powered triage tools.

Chinese hospitals embrace generative AI

The rise of generative AI is also transforming healthcare, particularly in countries like China, where technology is advancing rapidly. Once considered a distant ambition, the use of generative AI in healthcare is now being implemented at scale.

The technology is being used to manage massive drug libraries, assist with complex diagnoses, and replicate expert reasoning processes, which helps doctors make more informed decisions.

At Beijing Hospital of Traditional Chinese Medicine, Ant Group’s medical model has impressed staff by offering diagnostic suggestions and replicating expert reasoning, streamlining consultations without replacing human doctors.

Our choice in a tech-driven world

As AI continues to evolve, tech giants are likely to continue disrupting the healthcare industry while also collaborating with traditional healthcare providers.

While some traditional life sciences companies may feel threatened by the rise of Big Tech in healthcare, those that embrace AI and form partnerships with tech companies will likely be better positioned for success.

The convergence of AI and healthcare is already reshaping the future of medicine, and traditional healthcare players must adapt or risk being left behind.

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Despite the tremendous momentum, there are challenges that need to be addressed. Data privacy, regulatory concerns, and the growing dominance of Big Tech in healthcare remain significant hurdles.

If these challenges are addressed responsibly, however, the integration of AI into healthcare could modernise care delivery on a global scale.

Rather than replacing doctors, the goal is to empower them with better tools, insights, and outcomes. The future of healthcare is one where technology and human expertise work in tandem, enhancing the patient experience and improving overall health outcomes.

As human beings, we must understand that the integration of technology across multiple sectors is a double-edged sword. It can either benefit us and help build better future societies, or mark the beginning of our downfall— but in the end, the choice will always be ours.

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Once hailed as the future of financial freedom, Bitcoin now finds itself swayed by political power, elite influence, and media manipulation, raising urgent questions about whether the revolution has become the very system it sought to escape.

Bitcoin was once seen as the cornerstone of a financial utopia — immune to political control, free from traditional banking systems, and governed solely by blockchain protocols. For a while, that dream felt real, and we lived it.

Today, things have changed. The whole crypto market has become increasingly sensitive to political influence, the actions of crypto whales, and rising global tensions.

While financial markets are expected to respond to global developments, Bitcoin’s price volatility has started to reflect something more concerning. Instead of being driven primarily by innovation or organic adoption, BTC price movements are increasingly shaped by media exposure and the strategic trades by influential figures.

In this shifting ecosystem, manipulation and concentrated influence are gradually undermining the core ideals of decentralisation and financial autonomy. Is this really the revolution we were promised? 

Trump’s family growing grip on the crypto market

Donald Trump has not always been a crypto fan. Once critical of Bitcoin, he is now positioning himself as a pro-crypto leader. It is a shift driven by opportunity — not just political, but financial. Trump understands that supporting digital assets could help the USA become a global crypto hub. But it also aligns perfectly with his reputation as a businessman first, politician second. 

The issue lies in the outsized influence his words now have in the crypto space. A single post on social media like X or Truth can send Bitcoin’s price up or down. Whether he is praising crypto or denying personal gain, the market reacts instantly. 

His sons, Donald Trump Jr. and Eric Trump are also active — often promoting the narrative that banks are obsolete and crypto is the future. They frequently make suggestive remarks about market trends. At times, they even imply where investors should put their money — all while staying within legal limits. Still, this pattern subtly steers market sentiment, raising concerns about coordinated influence and the deliberate shaping of market trends.

The launch of politically themed meme coins like $TRUMP and $MELANIA added fuel to the fire. These coins sparked massive rallies — and equally dramatic crashes. In fact, Bitcoin’s all-time high was followed by a sharp fall, partially triggered by the hype and eventual dump around these tokens.

Investigations now suggest insider activity. One wallet made $39 million in just 12 hours after buying $MELANIA before it was even announced. Meanwhile, $TRUMP coin insiders moved $4.6 million in USDC right before the major token unlock.

While technically legal, these actions raise serious ethical concerns. Also, 80% of its supply is controlled by insiders — including Donald Trump himself. It points to a clear pattern of influence, where strategic actions are being used to shape market movements and drive profits for a select few.

What we are seeing is the unprecedented impact of a single family. The combination of political clout and financial ambition is reshaping crypto sentiment, and Bitcoin is reflecting the shift as well. It is no longer subtle — and it is certainly troubling. Crypto is supposed to be free from central influence — yet right now, it bends under the weight of a single name.

Whales and the Michael Saylor effect 

Beyond politics, crypto whales are playing their part in manipulating Bitcoin’s movements. They can cause major price swings by buying or selling in bulk. 

One of the most influential is Michael Saylor, co-founder of Strategy. His company holds approximately 555,450 BTC and is still buying. Every time he announces a new purchase, Bitcoin prices spike. Traders monitor his every move — his tweets are treated like trading signals. 

But Saylor has bigger plans. He once said he could become a Bitcoin bank — a statement that sparked backlash. What is particularly striking is that a businessman who has supported Bitcoin’s decentralised nature from the beginning is now acting in ways that appear to contradict it. Bitcoin was designed to avoid central control — not to be dominated by one player, no matter how bullish. When too much BTC ends up concentrated in one place, the autonomous promise begins to crack. 

Market trust is shifting from code to individuals — and that is risky.

Global tensions as a Bitcoin barometer

Bitcoin does not just respond to tweets anymore. Global tensions have made it a geopolitical asset — a barometer of financial anxiety. 

Recent US tariffs, particularly on Chinese mining equipment, have raised mining costs. Tariffs also disrupted the supply chain for mining rigs, slowing down expansion and affecting hash rates.

At the same time, when the US exempted tech products like iPhones and laptops from tariffs, Bitcoin surged — reaching $86,000. It shows how trade policy and tech pressure are now directly linked to Bitcoin price action. 

Yet, there always seems to be a push-and-pull dynamic at play — not necessarily coordinated, but clearly driven by short-term momentum and opportunistic interests.

It is where irony lies — Bitcoin was built to be apolitical. But today, it is tightly tied to global politics. Its price now swings in response to elections, sanctions, and international conflicts — the very forces it was meant to bypass. What was once a decentralised alternative to traditional finance is becoming a mirror of the same systems it sought to disrupt. 

Bitcoin: from decentralised dream to politically-driven reality 

Bitcoin is no longer moved by natural market fundamentals alone. It dances to the tune of political tweets, whale decisions, and global conflicts. A decentralised dream now faces a centralised reality.

It all started when governments and financial institutions began taking an active interest in Bitcoin and the broader cryptocurrency market. While mainstream adoption was essential for legitimising digital assets, that level of attention came with strings attached — most notably, external influence.

What was once an alternative movement powered by decentralised ideals has gradually attracted the gaze of political leaders, regulators, and corporate giants. The tale of two sides of the sword: the promise of legitimacy, tempered by the risk of losing the system’s independence. 

In this environment, the absence of central control and the self-governing nature of the system are becoming increasingly symbolic. The market reacts not just to algorithms or adoption metrics, but also to the opinions and actions of a powerful few — raising concerns about market manipulation, unequal access, and the long-term health of crypto’s founding vision. Is that really a non-centralised structure?

Crypto was meant to free us from financial gatekeepers. But if Bitcoin can be shaken by one man’s post on a social network, we must ask: can it still considered free? 

For more information on these topics, visit diplomacy.edu.

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From liquid robots to mind-controlled speech, these inventions are challenging our understanding of what’s real and what’s science fiction.

The rapid progress of AI over the past few years has unsettled the global population, reaching a point where it is extremely difficult to say with certainty whether certain content has been created by AI or not.

We are confronted with this phenomenon through photos, video and audio recordings that can easily confuse us and force us to question our perception of reality.

Digital twins are being used by scammers in the crypto space to impersonate influencers and execute fraudulent schemes.

And while the public often focuses on deepfakes, at the same time we are witnessing inventions and patents emerging around the world that deserve admiration, but also spark important reflection: are we nearing, or have we already crossed, the ethical red line?

For these and many other reasons, in a world where the visual and functional differences between science fiction and reality have almost disappeared, the latest inventions come as a shock.

We are now at a point where we are facing technologies that force us to redefine what we mean by the word ‘reality’.

Neuralink: Crossing the boundary between brain and machine

Amyotrophic lateral sclerosis (ALS) is a rare neurological disease caused by damage and degeneration of motor neurons—nerve cells in the brain and spinal cord. This damage disrupts the transmission of nerve impulses to muscles via peripheral nerves, leading to a progressive loss of muscle function.

However, the Neuralink chip, developed by Elon Musk’s company, has helped one patient type with their mind and speak using their voice. This breakthrough opens the door to a new form of communication where thoughts become direct interactions.

Liquid robot from South Korea

Scenes from sci-fi films are becoming reality, and in this case (thankfully), a liquid robot has a noble purpose—to assist in rescue missions and be applied in medicine.

Currently in the early prototype stage, it has been demonstrated in labs through a collaboration between MIT and Korean research institutes.

ULS exoskeleton as support for elderly care

Healthcare workers and caregivers in China have had their work greatly simplified thanks to the ULS Robotics exoskeleton, weighing only five kilograms but enabling users to lift up to 30 kilograms.

This represents a leap forward in caring for people with limited mobility, while also increasing safety and efficiency. Commercial prototypes have been tested in hospitals and industrial environments.

Agrorobots: Autonomous crop spraying

Another example from China that has been in use for several years. Robots equipped with AI perform precise crop spraying. The system analyses pests and targets them without the need for human presence, reducing potential health risks.

The application has become standardised, with expectations for further expansion and improvement in the near future.

The stretchable battery of the future

Researchers in Sweden have developed a flexible battery that can double in length without losing energy, making it ideal for wearable technologies.

Although not yet commercially available, it has been covered in scientific journals. The aim is for it to become a key component in bendable devices, smart clothing and medical implants.

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Volonaut Airbike: A sci-fi vehicle takes off

When it comes to innovation, the Volonaut Airbike hits the mark perfectly. Designed to resemble a single-seat speeder bike from Star Wars, it represents a giant leap toward personal air travel.

Functional prototypes exist, but testing remains limited due to high production costs and regulatory hurdles related to traffic laws. Nevertheless, the Polish company behind it remains committed to this idea, and it will be exciting to follow its progress.

NEO robot: The humanoid household assistant

A Norwegian company has been developing a humanoid robot capable of performing household tasks, including gardening chores like collecting and bagging leaves or grass.

These are among the first serious steps toward domestic humanoid assistants. Currently functioning in demo mode, the robot has received backing from OpenAI.

Lenovo Yoga Solar: The laptop that loves sunlight

If you find yourself without a charger but with access to direct sunlight, this laptop will do everything it can to keep you powered. Using solar energy, 20 minutes of charging in sunlight provides around one hour of video playback.

Perfect for ecologists and digital nomads. Although not yet commercially available, it has been showcased at several major tech expos.

What comes next: The need for smart regulation

As technology races ahead, regulation must catch up. From neurotech to autonomous robots, each innovation raises new questions about privacy, accountability, and ethics.

Governments and tech developers alike must collaborate to ensure that these inventions remain tools for good, not risks to society.

So, what is real and what is generated?

This question will only become harder to answer as time goes on. But on the other hand, if the technological revolution continues to head in a useful and positive direction, perhaps there is little to fear.

The true dilemma in this era of rapid innovation may not be about the tools themselves, but about the fundamental question: Is technology shaping us, or do we still shape it?

For more information on these topics, visit diplomacy.edu.

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Microsoft lets European users silence Edge prompts

Microsoft is extending its Digital Markets Act compliance measures by further loosening Windows’ grip on its in-house apps across the European Economic Area.

Users can now uninstall the Microsoft Store and will no longer face Edge pop-ups unless they launch the browser themselves.

Edge version 137.0.3296.52, released on 29 May, activates the changes immediately in the region. Choosing an alternative browser such as Chrome or Firefox now pins it to the taskbar by default and automatically handles a wider range of link and file types, including ftp and svg.

Wider deployment across Windows 10 and 11 is scheduled for July. Microsoft says Store-delivered apps will keep receiving updates even if the storefront is removed, and it can be restored at any time.

Bing, Widgets and the Lock Screen will also respect the new default browser once early June updates arrive.

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TikTok bans ‘SkinnyTok’ hashtag worldwide

TikTok has globally banned the hashtag ‘SkinnyTok’ after pressure from the French government, which accused the platform of promoting harmful eating habits among young users. The decision comes as part of the platform’s broader effort to improve user safety, particularly around content linked to unhealthy weight loss practices.

The move was hailed as a win by France’s Digital Minister, Clara Chappaz, who led the charge and called it a ‘first collective victory.’ She, along with other top French digital and data protection officials, travelled to Dublin to engage directly with TikTok’s Trust and Safety team. Notably, no representatives from the European Commission were present during these discussions, raising questions about the EU’s role and influence in enforcing digital regulations.

While the European Commission had already opened a broader investigation into TikTok over child protection issues in early 2024 under the Digital Services Act (DSA), it has yet to comment on the SkinnyTok case specifically. Despite this, the Commission says it is still coordinating with French authorities on matters related to DSA enforcement.

The episode has spotlighted national governments’ power in pushing for online safety reforms and the uncertain role of the EU institutions in urgent digital policy actions.

Would you like to learn more about AI, tech and digital diplomacyIf so, ask our Diplo chatbot!

EU fines Delivery Hero and Glovo €329 million over cartel practices

The European Commission has imposed a €329 million fine on Berlin-based Delivery Hero and its Spanish subsidiary, Glovo, for participating in what it described as a cartel in the online food delivery market. According to the Commission, the two companies engaged in illegal practices across Europe between 2018 and 2022, including market sharing, exchanging commercially sensitive information, and entering into a ‘no-poach’ agreement to avoid hiring each other’s employees.

This is the first time the Commission has penalised companies for a no-poach deal, which the EU competition chief, Teresa Ribera, said harmed workers’ job mobility in the digital economy. The anti-competitive behaviour reportedly began in mid-2018 when Delivery Hero took a minority stake in Glovo and persisted in various forms until 2022, when it gained full ownership of the Spanish firm.

Delivery Hero was hit with a €223 million fine, while Glovo received a €106 million penalty. Both companies admitted to their roles in the misconduct and agreed to a settlement. The case emerged not from company complaints but through whistleblowers and the Commission’s own monitoring.

Delivery Hero stated it had fully cooperated with the investigation and noted the final fine was 20% lower than initially expected, due to Brussels’s acknowledgement of a lower intensity of misconduct during some periods. The firm expressed hope that the settlement would allow all involved to move forward.

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Europe’s digital euro ambitions: A bid for global currency influence

At a recent speech in Berlin, European Central Bank President Christine Lagarde highlighted the potential of the euro to take on a greater international role amid growing uncertainty in the global monetary system. With the dominance of the US dollar increasingly under scrutiny and central banks turning to gold at levels unseen in decades, Lagarde outlined how a digital euro could be pivotal in shifting the balance of global finance.

Lagarde emphasised that the euro already accounts for around 20% of global foreign exchange reserves but still lags far behind the US dollar’s 58%. She argued that a more internationally accepted euro would shield Europe from exchange rate volatility, reduce borrowing costs, and help protect the EU from coercive economic measures.

One of the key steps in this direction is the ongoing development of a digital euro—an initiative the ECB is pursuing to modernise cross-border payments and reinforce the euro’s international utility. The ECB President noted that trade alone won’t be enough to elevate the euro to global reserve status.

Investors also need confidence in Europe’s geopolitical strength and legal institutions. She linked the US dollar’s global standing to its economy, military alliances, and legal predictability—areas where Europe must step up.

A digital euro, supported by robust capital markets and legal credibility, could become a cornerstone in this strategy. Lagarde concluded with a call for bold action.

The global economic landscape is shifting, and Europe must seize this ‘global euro moment.’ But success is not guaranteed, she warned.

For the euro to rise as a true rival to the dollar, the EU must act decisively, invest in unity, and deliver on reforms that inspire trust and stability, both politically and economically.

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DW Weekly #214 – The EU tightens its grip on digital governance, Crypto landscape, Last week in Geneva

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23 – 30 May 2025


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Dear readers,

In the past week, the EU has tightened its grip on digital governance, with robust policy implementation to shape a safer, fairer online landscape. 

The EU’s Digital Services Act (DSA) drew praise and critique at a Brussels workshop, hailed as a model for digital governance. Its risk-based approach pushes platforms to tackle systemic risks, inspiring global adoption while facing calls for greater transparency. 

European monitoring institutions are cracking down on adult sites like Pornhub for failing to protect minors, targeting DSA violations—plans for EU-wide age verification by 2026 signal tougher online safety rules.

The EU extended the deadline for the Radio Equipment Directive, giving wireless device makers more time to meet strict cybersecurity standards, thereby bolstering digital safety amid rising cyber threats.

EU lawmakers are also investigating Italy’s surveillance practices to safeguard privacy and human rights. The probe highlights security and data protection tensions in EU digital policy.

Among other legal actions, the EU has called out Shein for fake discounts and misleading labels, demanding DSA compliance within a month. The crackdown underscores the EU’s push for transparency in e-commerce.

Furthermore, the UK and the EU have agreed to step up cooperation on cybersecurity as part of a wider defence and security pact.

Still concerning the EU, US President Donald Trump has agreed to delay a planned 50% tariff on EU imports. The new deadline has now been set for 9 July 2025, following a request from European Commission President Ursula von der Leyen.

Crypto landscape: This week has seen crypto again at the centre of digital disruption. The UK has surged ahead in 2025 as the global leader in crypto adoption, with a remarkable 24% growth, but can enthusiasm outpace regulation? Meanwhile, El Salvador has made headlines by quietly dropping its mandate requiring businesses to accept Bitcoin, signalling a major policy reversal from its crypto-pioneering days. At the same time, AI agents are emerging as a new threat to blockchain security, with their autonomous capabilities posing unpredictable risks to smart contracts and wallets.

Europe and Japan power up the quantum race

May brought quantum computing back into the spotlight as both Europe and Asia made bold moves. French startup Quandela unveiled Belenos, a 12-qubit quantum computer available via the cloud—positioning Europe as a serious contender in the quantum hardware arena. Not to be outdone, Japan launched ABCI-Q, its new quantum platform, backed by increased national investment to accelerate research and industrial adoption. 

Last week in Geneva

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This Wednesday, 28 May, Diplo and the Geneva Internet Platform hosted a briefing for tech attaches exploring the interplay between the UN80 Initiative, UN processes on digital governance, and AI. Launched by the UN Secretary-General, the UN80 Initiative seeks to enhance efficiency in the UN system, review UN mandates, and explore structural reforms across the UN system. Our event, led by Diplo’s Executive Director Jovan Kurbalija and Diplo’s Director of Knowledge Sorina Teleanu, explored the implications that the UN80 Initiative might have for digital governance processes across the UN and its specialised agencies, including in Geneva. As current debates on UN reform include key terms such as integration, consolidation, and coordination, questions were asked about what these might mean for the digital governance architecture within the UN. There were also discussions on whether AI could play a role in making the UN ‘stronger and more effective’, and what key elements would need to be considered to ensure that AI is leveraged in line with core UN principles (e.g. impartiality, inclusivity).

Also on Wednesday, the UNHCR, UNDP, IOM, UNICC, and the Permanent Mission of Switzerland hosted the official launch of the Digital Hub of Treasury Solutions (DHoTS) at the Palais des Nations in Geneva. This high-level event brought together experts from the humanitarian, government, technology, and private sectors to explore how digital innovation is reshaping the future of aid delivery. Discussions highlighted the transformative role of AI, blockchain, and emerging technologies in humanitarian operations and Switzerland’s unique position at the intersection of financial innovation and humanitarian fundraising. New opportunities for collaboration through the UN Financial Gateway were also presented.

Yesterday, 29 May, the World Summit on the Information Society (WSIS) High-Level Event 2025 agenda was made available. The agenda reflects the outcomes of an inclusive Open Consultation Process and features a diverse range of high-level dialogues, interactive sessions, and special tracks aligned with the WSIS Action Lines and the 2030 Agenda for Sustainable Development. A Final brief on the WSIS+20 High-Level Event 2025 was also announced. The event will foster open dialogue, encourage active stakeholder engagement, and support continued progress toward the High-Level Event. The WSIS Prizes 2025 Champions were also announced, showcasing a remarkable selection of digital solutions driving sustainable development around the world.

In case you missed it

In case you missed it, the GIP reported from the West African IGF 2025, held last week. The West Africa Internet Governance Forum (WAIGF) is a regional initiative that brings together various stakeholders to discuss and address internet-related issues in West Africa.

Events ahead

Looking ahead, several key events are on the horizon. An online discussion titled ‘Introducing the WSIS+20 for the Asia Pacific Internet Community’ will feature Diplo’s Director of Knowledge, Sorina Teleanu, on 3 June. Paris will host the Paris Cyber Summit 2025 from 2 to 5 June. The UNESCO Conference on Capacity Building on AI and Digital Transformation in the Public Sector will be held from 4 to 5 June in Paris and online. In Geneva, the 113th Session of the International Labour Conference (ILC), convened by the International Labour Organisation (ILO), will take place from 2 to 13 June 2025 at the Palais des Nations and ILO headquarters to deliberate on pressing global labour issues. The Giga Research Lab, together with Giga and the Geneva Innovation Movement, will host an event on 5 June on Giga premises, titled Bridging the Digital Divide: Cross-Sector Insights for Scaling School Connectivity, for invited guests. On the same day, the International Telecommunications Union (ITU) will hold a webinar to launch the fourth edition of the landmark report, Greening Digital Companies: Monitoring Emissions and Climate Commitments 2025.

For the main updates, reflections and events, consult the RADAR, the READING CORNER and the UPCOMING EVENTS section below.

DW Team


RADAR

Highlights from the week of 23 – 30 May 2025

USChina

The US is increasing export controls on advanced AI chips to limit China’s technological and military progress.

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Texas may soon ban social media for users under 18, with age verification and parental account deletion rights proposed.

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China said that Taiwan hackers attacked military and government systems, but Taipei insists the allegations are designed to destabilise its institutions.

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A new agreement commits the UK and EU to joint action on cyber resilience, disinformation, and digital crisis management.

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As AI transforms into a deeply personalised digital companion, the line between convenience and surveillance becomes increasingly blurred.

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The government plans to build a long-term Bitcoin reserve, holding the asset indefinitely to support a wider digital finance strategy.

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As global tech rivalries intensify, Nvidia’s latest warning reveals how US policies may accelerate the competition they aim to contain.

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Experts say AI already harms the vulnerable and marginalised, urging Croatia to adopt stricter rules instead of copying the EU Act without deeper protections.

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The EU’s digital rulebook is being blamed unfairly, says Henna Virkkunen, who points out that Meta and X remove more content under their own terms than EU law requires.

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The UK’s Ministry of Defence plans to establish a Cyber and Electromagnetic Command, drawing on lessons from Ukraine to bolster digital warfare and accelerate specialist cyber training.

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The Czech Republic blames China-linked hacking group for a breach on its foreign ministry network. China has dismissed allegations but NATO, the EU and the US stand behind Prague.


READING CORNER
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Empowering communities through bottom-up AI: The example of ThutoHealth In Botswana, a silent epidemic claims nearly half of all lives. Hypertension,

BLOG featured image 2025 71 Climate diplomacy blog

As the planet warms, power dynamics shift, unlocking new frontiers, deepening old conflicts, and forcing global diplomacy to reckon with the existential stakes of climate change.

DIPLO BLOGS generic

What is it like to be a goshawk? Helen Macdonald sought to find out – not through theory, but through experience. Her book, H is for Hawk, is not just about falconry – it’s about patience, attention, and connection. Aldo Matteucci writes.

ai in music gaming and film

AI is reshaping how stories are told in film, games, and music, raising questions about authorship, ethics, and artistic identity.

UPCOMING EVENTS
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03 June 2025

Introducing the WSIS+20 for the Asia Pacific Internet Community On 3 June 2025, Sorina Teleanu, Diplo’s Director of Knowledge, will participate in an online

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4 Jun 2025 – 5 Jun 2025

The Forum will bring together high-level government representatives, UN leaders, academics, innovators, and capacity-building institutions to chart a practical course for strengthening public sector readiness in the digital age.

Paris Cyber Summit logo
2 Jun 2025 – 4 Jun 2025

The event will bring together global leaders, policymakers, and cybersecurity experts to address the evolving landscape of digital threats and defences.

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2 Jun 2025 – 13 Jun 2025

This annual event brings together government, employer, and worker delegates from ILO’s member states to deliberate on pressing global labour issues.

bridging the digital divide
5 Jun 2025, 17:30h – 20:30h

Giga, the University of Geneva, and the Geneva Innovation Movement will host a cross-sector event on 5 June 2025 in Geneva to explore strategies for scaling school connectivity.

ITU Greening Digital Companies
5 Jun 2025, 09:00h – 19:15h

The event will serve as the official launch of the joint ITU-WBA report ‘Greening Digital Companies: Monitoring Emissions and Climate Commitments 2025’.

IGF2025
23 Jun 2025 – 27 Jun 2025
The Government of Norway will host the 20th annual Internet Governance Forum (IGF) in Lillestrøm from 23 to 27 June 2025.
IGF 2025

23 June 2025 – 27 June 2025

Diplo/GIP at IGF 2025 The 20th annual meeting of the Internet Governance Forum (IGF) will be hosted by the Government of Norway in Lillestrøm from 23 to

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24 Jun 2025 – 27 Jun 2025
Thailand will host the 3rd UNESCO Global Forum on the Ethics of Artificial Intelligence from 24 to 27 June 2025.

Croatia urged to embed human rights into AI law

Politiscope recently held an event at the Croatian Journalists’ Association to highlight the human rights risks of AI.

As Croatia begins drafting a national law to implement the EU AI Act, the event aimed to push for stronger protections and transparency instead of relying on vague promises of innovation.

Croatia’s working group is still forming key elements of the law, such as who will enforce it, making it an important moment for public input.

Experts warned that AI systems could increase surveillance, discrimination, and exclusion. Speakers presented troubling examples, including inaccurate biometric tools and algorithms that deny benefits or profile individuals unfairly.

Campaigners from across Europe, including EDRi, showcased how civil society has already stopped invasive AI tools in places like the Netherlands and Serbia. They argued that ‘values’ embedded in corporate AI systems often lack accountability and harm marginalised groups instead of protecting them.

Rather than presenting AI as a distant threat or a miracle cure, the event focused on current harms and the urgent need for safeguards. Speakers called for a public register of AI use in state institutions, a ban on biometric surveillance in public, and full civil society participation in shaping AI rules.

A panel urged Croatia to go beyond the EU Act’s baseline by embracing more transparent and citizen-led approaches.

Despite having submitted recommendations, Politiscope and other civil society organisations remain excluded from the working group drafting the law. While business groups and unions often gain access through social dialogue rules, CSOs are still sidelined.

Politiscope continues to demand an open and inclusive legislative process, arguing that democratic oversight is essential for AI to serve people instead of controlling them.

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EU says US tech firms censor more

Far more online content is removed under US tech firms’ terms and conditions than under the EU’s Digital Services Act (DSA), according to Tech Commissioner Henna Virkkunen.

Her comments respond to criticism from American tech leaders, including Elon Musk, who have labelled the DSA a threat to free speech.

In an interview with Euractiv, Virkkunen said recent data show that 99% of content removals in the EU between September 2023 and April 2024 were carried out by platforms like Meta and X based on their own rules, not due to EU regulation.

Only 1% of cases involved ‘trusted flaggers’ — vetted organisations that report illegal content to national authorities. Just 0.001% of those reports led to an actual takedown decision by authorities, she added.

The DSA’s transparency rules made those figures available. ‘Often in the US, platforms have more strict rules with content,’ Virkkunen noted.

She gave examples such as discussions about euthanasia and nude artworks, which are often removed under US platform policies but remain online under European guidelines.

Virkkunen recently met with US tech CEOs and lawmakers, including Republican Congressman Jim Jordan, a prominent critic of the DSA and the DMA.

She said the data helped clarify how EU rules actually work. ‘It is important always to underline that the DSA only applies in the European territory,’ she said.

While pushing back against American criticism, Virkkunen avoided direct attacks on individuals like Elon Musk or Mark Zuckerberg. She suggested platform resistance reflects business models and service design choices.

Asked about delays in final decisions under the DSA — including open cases against Meta and X — Virkkunen stressed the need for a strong legal basis before enforcement.

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China blamed of cyberattack on Czech Republic government networks

Prague has formally accused China of launching a malicious cyber campaign against its Foreign Affairs ministry’s unclassified communications network. Beijing’s embassy in Prague dismissed the allegations and urged an end to what it called ‘microphone diplomacy.’

Investigators trace the operation back to the Czech Republic’s 2022 EU presidency, attributing it to APT31, a group allegedly operating under China’s Ministry of State Security. After detecting the intrusion, officials rolled out a more secure communications platform in 2024.

Foreign Minister Jan Lipavský summoned China’s ambassador to stress the severity of the breach, which targeted emails and other documents related to Asia. The government condemned the incident as an attack on its critical infrastructure.

International partners have rallied behind Prague. NATO and the EU have condemned the attack and the US Bureau of Cyberspace and Digital Policy has called on China to meet its international cybersecurity commitments.

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