On prem and public sector tech reshape around artificial intelligence, security, and power constraints

A sweep of recent on prem and public sector coverage tracks how governments, datacenter operators, and vendors are retooling around artificial intelligence infrastructure, cybersecurity gaps, and tight energy supplies. Funding rounds, regulatory fights, and infrastructure projects highlight the tension between ambitious digital plans and practical limits on power, skills, and security.

The article presents a rolling snapshot of recent technology developments spanning operating systems, datacenter infrastructure, public sector digital projects, security incidents, and the expanding footprint of artificial intelligence infrastructure. On the systems side, stories range from a Bill Gates-backed startup, Neurophos, which is working on a massive optical systolic array clocked at 56GHz and rated for 470 petaFLOPS of FP4 compute, to Intel shifting consumer chip production behind datacenter demand for Xeons. Storage and memory vendors are also repositioning, with Micron acquiring a chip plant in a $1.8bn deal after the facility’s previous owner spent $9.5 billion to open it just 19 months earlier, and SK Hynix planning a $13B packaging facility to supply more high bandwidth memory for the artificial intelligence market.

Public sector technology and policy receive extensive attention, with the UK Home Office’s border tech budget swelling by £100M as it leans on drones, satellites, and other sensor data to watch small boat crossings, and HMRC awarding SAP a £275M contract to run a system handling £800B while insisting the platform be both SaaS and sovereign. Other UK government initiatives include a House of Lords vote to ban social media for those under 16, a British Army drone degree program that will train just 20 people per year, and England’s Department of Health and Social Care advertising a tech director role with a £285k salary. At the same time, a delayed digital roadmap leaves £45B in projected savings as a theoretical figure, while Fujitsu secures a place on a £984M framework despite earlier promises to limit public sector bids, and the government goes shopping for a rapid-fire missile under Project Nightfall to bolster Ukraine.

Artificial intelligence, networking, and datacenter coverage converge around escalating investments and emerging constraints. One report notes that artificial intelligence infrastructure is fueling a $3T datacenter binge expected to peak by 2029 even as another warns that power grid and generation capacity are not expanding fast enough to sustain forecasted datacenter growth. Traders and vendors are pushing ahead regardless, with an OpenAI deal to run ChatGPT on Cerebras hardware framed as a $10B+ engagement and an artificial intelligence networking startup, Upscale, raising $200M to position its SkyHammer silicon with UALink switches later in the year. Parallel political debates surface in US proposals to tighten control of artificial intelligence chip exports and to regulate cloud-based GPU access, as well as Trump’s argument that Americans should not “pick up the tab” for artificial intelligence datacenter grid upgrades. Across security and regulation, pieces detail long-lived bugs such as an ancient telnet flaw, emergency Cisco patches, and Bank of England warnings that the financial sector is failing to adopt basic cybersecurity controls, while privacy and safety concerns drive calls to accelerate an artificial intelligence nudification ban and scrutiny of social media harms to children.

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