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Planning permission sought for UK’s largest AI datacentre campus

North Lincolnshire Council has received a planning application for a 1,000mW datacentre campus, as its push to become a government-backed artificial intelligence (AI) Growth Zone gathers pace.

According to the project documents, seen by Computer Weekly, the development would be the largest datacentre in the whole of the UK on completion, with the masterplan suggesting up to 15 “different datacentre plots” could be housed there.

“This would be the largest datacentre campus in the northern part of the UK, and indeed the whole of the UK at the time of preparing the planning application,” the Economic needs and benefits document for the project stated.

The development will be located on the site of the former RAF Elsham Wolds World War II airfield, which neighbours a nearby industrial park.

Plans for this latest project were submitted to the council at the end of May 2025.

Based on previous communications from the council, from February 2025, the Elsham Tech Park plan appears to be the third of four projects that will form the backbone of the local area’s bid to become an AI Growth Zone.

A post about the build on the North Lincolnshire Council website said up to £7.5bn will be invested in bringing the plans to fruition, and it is expected the project will generate up to 1,200 highly skilled jobs once the work on it is completed.

Positive sign

Council leader Rob Waltham said the proposed project is “another positive sign of confidence in our economy and in North Lincolnshire as a place to do business”.

“It’s further evidence that the work we are doing to enable growth and create the conditions for private investment is delivering real results and better-paid jobs for our communities,” he said.

As previously reported by Computer Weekly, the government has received hundreds of bids from local authorities across the UK that want their areas to become home to AI Growth Zones.

As detailed in the UK government’s January 2025 AI opportunities action plan policy paper, the plan is to create AI Growth Zones in de-industrialised parts of the country that can be readily redeveloped and have “enhanced access to power and support for planning approvals” so these developments can be fast-tracked.

This is in support of the government’s push to position the UK as an “AI superpower”, and make the use of AI technologies and services more pervasive across the UK.

Furthermore, the government has specified that sites must have access to power connections of at least 500mW, or local authorities must have a clear plan in place to demonstrate how they would generate that amount of power, to have their AI growth zone bids considered.

The project is being overseen datacentre developer Greystoke, and a newly created company, trading as Elsham Tech Park, has been set up to front it.

Two of its directors – Sam Matthew and Nick Aldridge – are also actively involved in another Greystoke datacentre development in the region, known as Humber Tech Park, as confirmed by Companies House.

In a statement, published on the North Lincolnshire Council website in February 2025, Matthew – who also serves as chief operating officer at Greystoke – talked up the benefits acquiring AI Growth Zone status will make to the area.

“It will create exciting new opportunities for national and regional industries,” he said. “North Lincolnshire’s substantial energy infrastructure and extensive skills base make it the ideal location for an AI Growth Zone.”

Outline planning permission for that development, valued at £3bn, was granted by North Lincolnshire Council in August 2024, with that project expected to increase the availability of AI datacentre capacity in the region by 384mW.

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Major shift predicted for IoT connection strategies

Even though the internet of things (IoT) arena is definitely on the rise, businesses relying on globally connected IoT devices are facing a major shift in how these assets will need to be managed, driven by new technical standards and evolving market complexities, leading to the arrival of the concept of the eSIM orchestrator (eSO), according to a study from industry research firm Transforma Insights. 

Its analysis, The rise of the eSIM orchestrator, produced in collaboration with global IoT connectivity specialist Eseye, fundamentally finds that emerging technologies like the SGP.32 standard for eSIMs, coupled with what the analyst says will be more selective network operator policies, will compel connectivity providers to adopt strategies and specialist roles to maintain control and efficiency.

Created by the GSMA, the industry body responsible for mobile communication standards, SGP.32 is a global, next-generation eSIM standard for remote SIM provisioning in IoT devices – especially those with no user interface. It is designed to enable the large-scale, hands-off management of eSIM profiles, making it easier to deploy and operate IoT without physical access.

While eSIM technology has been available for consumer devices, managing these digital SIM profiles in IoT devices comes with unique challenges. For example, many IoT devices lack a user interface, making manual SIM management impractical. SGP.32 has been designed to address such limitations and builds on existing eSIM technology, introducing a more efficient way to remotely manage IoT connectivity. It allows SIM profiles to be managed remotely through a centralised platform, enabling automated updates and provisioning – even for devices without user interfaces or located in hard-to-reach areas.

Transforma Insights reflects this view, stressing that the era of simple, unfettered global connectivity for company devices is evolving, presenting new complexities for businesses.

The report notes that the key challenges and developments driving this transformation include: the launch of SGP.32 for remote SIM provisioning; mobile network operators (MNOs) becoming increasingly cautious about granting network access, particularly for eSIMs, seeking stronger guarantees on device security, certification and network resource utilisation; and a complex and tightening web of international regulations concerning data sovereignty, cyber security and permanent roaming restrictions in many countries.

“Enterprises are navigating a period of significant change in how global device connectivity is delivered and managed,” said Matt Hatton, founding partner at Transforma Insights. “The new SGP.32 standard provides a powerful tool for remote SIM provisioning. In conjunction with a more demanding regulatory and MNO landscape, our analysis points towards a fundamental shift requiring businesses to be more strategic. This is where we see the emergence of roles like the eSIM orchestrator becoming critical.”

The report sees the eSIM orchestrator function as growing to specialise in managing the complexities of this new environment. According to the paper, key responsibilities and characteristics of such a role would include eSIM profile management; profile lifecycle management; network capability awareness; device awareness; billing simplification; customer support; trusted relationships with MNOs; compliance with eSIM management obligations; commercial plans and tariffs management; and “comprehensive” managed services.

The paper also suggests this shift will move the industry beyond basic connectivity resale towards more sophisticated managed service models. For businesses, this means that simply acquiring SIMs will no longer be sufficient: a more holistic approach to managing the lifecycle, compliance and diverse connectivity options of their devices will be necessary.

“The way businesses manage their connected devices globally is undoubtedly transforming,” added Eseye co-founder and chief technology officer Ian Marsden. “Proactive companies will be looking beyond the immediate technical changes, like SGP.32, to understand the broader operational and strategic implications. Having a clear strategy for device connectivity management, which considers the need for specialised eSIM orchestration and unified control, will be increasingly important to de-risk operations, ensure compliance and maintain a competitive edge.”

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The hidden security risks of open source AI

Open source AI is gaining momentum across major players. DeepSeek recently announced plans to share parts of its model architecture and code with the community. Alibaba followed suit with the release of a new open source multimodal model aimed at enabling cost-effective AI agents. Meta’s Llama 4 models, described as “semi-open,” are among the most powerful publicly available AI systems.

The growing openness of AI models fosters transparency, collaboration, and faster iteration across the AI community. But those benefits come with familiar risks. AI models are still software – often bundled with extensive codebases, dependencies, and data pipelines. Like any open source project, they can harbour vulnerabilities, outdated components, or even hidden backdoors that scale with adoption.

AI models are, at their core, still code – just with additional layers of complexity. Validating traditional components is like reviewing a blueprint: intricate, but knowable. AI models are black boxes built from massive, opaque datasets and hard-to-trace training processes. Even when datasets or tuning parameters are available, they’re often too large to audit. Malicious behaviours can be trained in, intentionally or not, and the non-deterministic nature of AI makes exhaustive testing impossible. What makes AI powerful also makes it unpredictable, and risky.

Bias is one of the most subtle and dangerous risks. Skewed or incomplete training data bakes in systemic flaws. Opaque models make bias hard to detect – and nearly impossible to fix. If a biased model is used in hiring, lending, or healthcare, it can quietly reinforce harmful patterns under the guise of objectivity. This is where the black-box nature of AI becomes a liability. Enterprises are deploying powerful models without fully understanding how they work or how their outputs could impact real people.

These aren’t just theoretical risks. You can’t inspect every line of training data or test every possible output. Unlike traditional software, there’s no definitive way to prove that an AI model is safe, reliable, or free from unintended consequences.

Since you can’t fully test AI models or easily mitigate the downstream impacts of their behaviour, the only thing left is trust. But trust doesn’t come from hope; it comes from governance. Organisations implement clear oversight to ensure models are vetted, provenance tracked, and behaviour monitored over time. This isn’t just technical; it’s strategic. Until businesses treat open source AI with the same scrutiny and discipline as any other part of the software supply chain, they’ll be exposed to risks they can’t see with consequences they can’t control.

  1. Securing open source AI: A call to action

Businesses should treat open source AI with the same rigour as software supply chain security, and more. These models introduce new risks that can’t be fully tested or inspected, so proactive oversight is essential.

  1. Establish visibility into AI usage:

Many organisations don’t yet have the tools or processes to detect where AI models are being used in their software. Without visibility into model adoption, whether embedded in applications, pipelines, or APIs – governance is impossible. You can’t manage what you can’t see.

  1. Adopt software supply chain best practices:

Treat AI models like any other critical software component. That means scanning for known vulnerabilities, validating training data sources, and carefully managing updates to prevent regressions or new risks.

  1. Implement governance and oversight:

Many organisations have mature policies for traditional open source use, and AI models deserve the same scrutiny. Establish governance frameworks that include model approval processes, dependency tracking, and internal standards for safe and compliant AI usage.

  1. Push for transparency:

AI doesn’t have to be a black box. Businesses should demand transparency around model lineage: who built it, what data it was trained on, how it’s been modified, and where it came from. Documentation should be the norm, not the exception.

  1. Invest in continuous monitoring:

AI risk doesn’t end at deployment. Threat actors are already experimenting with prompt injection, model manipulation, and adversarial exploits. Real-time monitoring and anomaly detection can help surface issues before they cascade into broader failures.

DeepSeek’s decision to share elements of its model code reflects a broader trend: major players are starting to engage more with the open source AI community, even if full transparency remains elusive. For enterprises consuming these models, this growing accessibility is an opportunity and a responsibility. The fact that a model is available doesn’t mean it’s trustworthy by default. Security, oversight, and governance must be applied downstream to ensure these tools are safe, compliant, and aligned with business objectives.

In the race to deploy AI, trust is the foundation. And trust requires visibility, accountability, and governance every step of the way.

Brian Fox is co-founder and chief technology officer at Sonatype, a software supply chain security company.

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US cyber agency CISA faces stiff budget cuts

The United States’ Cybersecurity and Infrastructure Security Agency (CISA) is likely to have its funding cut by approximately $495m and may have to lay off around 1,000 employees later this year, according to budget proposals unveiled by President Trump’s administration.

In a written statement, the White House said Trump was “laser-focused on eliminating … weaponised rot” in the American government as he laid out a series of cuts to multiple agencies.

“The Budget eliminates CISA’s disinformation offices and programmes that functioned as a hub in the censorship industrial complex, conspiring against the First Amendment rights of President Trump and his supporters,” the statement reads.

The First Amendment to the Constitution, which dates back to 1791, guarantees freedom of assembly, the press, religion and speech in the US.

“CISA was more focused on cooperating with big tech to target free speech than our nation’s critical systems,” said the White House. “Even CISA’s own systems have fallen prey to attacks. Under President Trump’s leadership, CISA will protect our critical infrastructure instead of censoring Americans. The budget refocuses CISA on its core mission – federal network defence and coordinating with critical infrastructure partners – while eliminating weaponisation and waste. The budget also streamlines the agency by consolidating redundant security advisors and programmes.”

Besides the elimination of its work countering “disinformation”, the budget cuts money from CISA’s government network and critical infrastructure protection operations, and its provision of support and services to companies and local government bodies in America. CISA will also have to take an axe to divisions that work to analyse and predict future threats, among other things.

Other planned cuts potentially affecting the US’ cyber security mission include proposals to trim the budget allocated to the FBI, which deals with cyber crime in the US, and a unit at the Department of Energy that deals with threats to CNI.

A globally recognised force

Officially established during Trump’s first administration, with origins dating back to 2007 when the US established the National Protections and Programs Directorate within the Department of Homeland Security (DHS), CISA has grown into one of the leading western cyber security agencies working alongside the likes of the UK’s National Cyber Security Centre (NCSC) and counterparts in Australia, Canada, Europe and New Zealand.

It frequently leads on multilateral advisories and alerts on cyber matters including cyber crime and ransomware and nation state threats, and its Known Exploited Vulnerabilities (KEV) catalogue is a globally recognised resource.

However, leadership had clashed with Trump in the past – CISA’s founding director Chris Krebs was given his marching orders after the 2020 Presidential Election.

Gabrielle Hempel, security operations strategist and threat intelligence researcher at the Exabeam TEN18 unit, described a “strategic deprecation” of America’s cyber defence capabilities at a time when threat actors were only widening the scope of their activities.

“Gutting critical programmes …  doesn’t ‘refocus’ the mission – it hollows it out. These teams drive cross-sector collaboration, provide threat modeling to CNI operators and build resilience in a space where private-sector entities own the vast majority of the target surface,” said Hempel.

“If the intent of these cuts is to ‘focus on core mission’, the question is: whose definition of core? Threat visibility, regional coordination, intelligence sharing, and vulnerability analysis are core to a functional national cyber strategy.

“The reality is, we don’t get to pick when or where the next attack happens – but we do decide whether we’ll be ready. Bluntly, this plan is guaranteeing that we won’t be,” she said.

Hempel also lamented the proposed elimination of election security funding at a time when threat actors both within and without the US are actively working to undermine democratic processes.

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Analysis of job vacancies shows earnings boost for AI skills

UK workers with skills in artificial intelligence (AI) appear to earn 11% more on average, even in sectors where AI is automating parts of their existing job functions.

Workers in sectors exposed to AI, where the technology can be deployed for some tasks, are more productive and command higher salaries, according to PwC’s 2025 Global AI Jobs Barometer. The study, which was based on an analysis of almost one billion job adverts, found that wages are rising twice as fast in industries most exposed to AI.

From a skills perspective, PwC reported that AI is changing the skills required of job applicants. According to PwC, to succeed in the workplace, candidates are more likely to need experience in using AI tools and the ability to demonstrate critical thinking and collaboration.

Phillippa O’Connor, chief people officer at PwC UK, noted that while degrees are still important for many jobs, a reduction in degree requirements suggests employers are looking at a broader range of measures to assess skills and potential.

In occupations most exposed to AI, PwC noted that the skills sought by employers are changing 59% faster than in occupations least exposed to AI. “AI is reshaping the jobs market – lowering barriers to entry in some areas, while raising the bar on the skills required in others,” O’Connor added.

Those with the right AI skills are being rewarded with higher salaries. In fact, PwC found that wages are growing twice as fast in AI-exposed industries. This includes jobs that are classed as “automatable”, which means they contain some tasks that can readily be automated. The highest premiums are attached to occupations requiring AI skills, with an average premium in 2024 of 11% for UK workers in these roles.  

AI is reshaping the jobs market – lowering barriers to entry in some areas, while raising the bar on the skills required in others Phillippa O’Connor PwC UK

PwC’s analysis shows that sectors exposed to AI experience three times higher growth in the revenue generated by each employee. It also reported that growth in revenue per employee for AI-exposed industries surged when large language models (LLMs) such as generative AI (GenAI) became mainstream.

Revenue growth per employee has nearly quadrupled in industries most exposed to AI, such as software, rising from 7% between 2018 and 2022, to 27% between 2018 and 2024. In contrast, revenue growth per employee in industries least exposed to AI, such as mining and hospitality, fell slightly, from 10% between 2018 and 2022, to 9% between 2018 and 2024.

However, since 2018, job postings for occupations with greater exposure to AI have grown at a slower pace than those with lower exposure – and this gap is widening.

Umang Paw, chief technology officer (CTO) at PwC UK, said: “There are still many unknowns about AI’s potential. AI can provide stardust to those ready to adapt, but risks leaving others behind.”

Paw believes there needs to be a concerted effort to expand access to technology and training to ensure the benefits of AI are widely shared.

“In the intelligence age, the fusion of AI with technologies like real-time data analytics – and businesses broadening their products and services – will create new industries and fresh job opportunities,” Paw added.

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ChatGPT just got a lot more personal, but not for

OpenAI CEO Sam Altman said on X earlier this week that ChatGPT o3-pro will launch this summer for ChatGPT Pro users paying $200/month. While o3-pro isn’t ready yet, OpenAI has rolled out other updates for ChatGPT users. The company introduced a few new ChatGPT features aimed at delivering a more personal chatbot experience.

That’s not surprising since OpenAI wants to turn ChatGPT into a super-assistant this year. It’s also working on the first ChatGPT io device, expected to launch next year. That kind of hardware will require a much more personal ChatGPT experience.

After bringing chat memory support to ChatGPT Free users on Tuesday, OpenAI shifted focus to enterprise users with new ChatGPT features. That might not mean much to those not using Team or Enterprise tiers, but these updates mark early steps toward making ChatGPT a more personal assistant.

OpenAI introduced a new Connectors feature that lets businesses link ChatGPT to specific data sources. This includes Google apps like Gmail and Calendar, Microsoft apps like Outlook and Teams, and cloud storage services such as Box, Dropbox, and Google Drive.

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More interestingly, organizations can add custom Connectors to ChatGPT using that MCP AI feature we mentioned a few days ago. MCP allows AIs like ChatGPT to connect to external sources for information.

As I said, this might sound dull if you’re not using ChatGPT at work, but it’s a key move by OpenAI to solve one of its bigger challenges. Unlike Google and Microsoft, OpenAI doesn’t have its own suite of beloved apps. ChatGPT can’t access first-party apps the way Gemini can. That’s a hurdle if you’re building a super-assistant AI. But if it can link to third-party data sources, that hurdle disappears.

Think of it this way: You could ask ChatGPT to check your Gmail for emails from family and summarize plans for your next get-together. Right now, ChatGPT can’t do that.

But if you’re on an enterprise plan, you’ll be able to let ChatGPT access your work Gmail and extract the info you need.

OpenAI hosted a livestream about 22 minutes long to demo the new Connectors feature. They created a fictional company with generated emails and cloud data to show how ChatGPT can easily connect to external sources.

The clip shows a Deep Research run where the AI pulls data from internal sources like HubSpot, Outlook, SharePoint, and Teams. The final report includes citations so you can check the documents ChatGPT referenced before summarizing.

Another demo involved asking ChatGPT a question about the company’s plans. The AI pulled info from internal documents stored in Google Drive and elsewhere, providing links to files the user could access. ChatGPT will only use data that the user is authorized to see.

The new record button is available in the Composer window. Image source: OpenAI

OpenAI also released a new Record Mode for the Mac ChatGPT app that lets the AI record meetings in real time. It will transcribe the meetings and provide summaries with timestamps, so you can jump back to specific parts of the transcription.

The demos targeted enterprise customers, but this is just the beginning. ChatGPT is likely to get more Connectors down the line, eventually opening them up to personal users as well.

OpenAI said on X that Connectors are “available in deep research for Plus & Pro users (excl. EEA, CH, UK) and Team, Enterprise & Edu users.” So, like usual, I can’t use them yet. Still, this means ChatGPT Plus and Pro users are also getting access.

ChatGPT can record audio via the Mac app. Image source: OpenAI

I’ll also note that the recent ChatGPT redesign makes a lot more sense now. OpenAI was clearly setting up the new Composer window to support Connectors.

It won’t be long before ChatGPT becomes a reliable assistant. With memory support and access to personal data sources, it’s getting close.

While we wait, OpenAI’s full demo video is below:

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Humanoid AI robots may soon jump out of Amazon vans

One of the great things about Amazon is its fast delivery options, especially if you’re an Amazon Prime subscriber. That speed is made possible by a massive logistics operation. Amazon stocks products in huge warehouses around the world, and those fulfillment centers can quickly ship goods to nearby customers once an order is placed.

Amazon has also come up with new ideas to improve delivery times, like using drones in certain regions or shipping goods directly to your home or car.

It’s no surprise that the next big idea to enhance Amazon deliveries (and reduce costs) involves artificial intelligence. Amazon is reportedly considering using humanoid robots powered by generative AI programs to deliver packages to your door.

That kind of test makes sense, given the AI boom we’re living through. Most of us interact with AI through apps on our phones or desktops, but we’ve also seen impressive advances in genAI for robotics in recent years. Soon enough, humanoid robots will use AI software to understand their surroundings and carry out instructions.

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Those instructions might involve telling a Unitree G1 robot (above) to hop out of a Rivian car when it reaches your neighborhood, grab the correct package from the back, and deliver it to your door. This is no longer science fiction, and Amazon is reportedly testing just such scenarios.

According to The Information (via The Verge), Amazon is conducting tests at one of its San Francisco facilities.

Amazon has reportedly built an indoor humanoid park about the size of a coffee shop. The obstacle course includes a Rivian van so the robots can practice the full package delivery process.

The company is testing various humanoid robots for this task, including the $16,000 Unitree G1 robot we covered a few months ago. I said then that I’d eventually want one of these for help around the house. If Amazon’s tests go well, G1-style robots could be delivering orders before that day comes.

The Digit robot in an Amazon warehouse. Image source: Amazon

A few years ago, Amazon confirmed it was testing a humanoid robot called Digit from Agility Robotics. Those tests focused on warehouse work.

The current delivery tests haven’t been officially confirmed, but The Information has a strong track record when it comes to inside scoops on tech companies.

Amazon also made a few AI-related announcements this week about its shipping logistics that seem to back up The Information’s report.

According to Reuters, Amazon has created a new group at its Lab126 device unit focused on developing more capable warehouse robots. These machines will be able to handle more tasks than Amazon’s current robots.

“We’re creating systems that can hear, understand, and act on natural language commands, turning warehouse robots into flexible, multi-talented assistants,” Amazon said in a statement.

The new robots will feature agentic AI that enables them to unload trailers and retrieve parts for repairs. That, in turn, should speed up delivery times for customers, according to Lab126 leader Yesh Dattatreya.

Separately, Amazon plans to use generative AI for improved mapping tools that will help drivers deliver packages more efficiently. The AI will provide more accurate building details than standard mapping apps, including shapes, obstacles, and tricky layouts.

Reuters suggests the tech might be paired with AR glasses Amazon is developing for drivers.

I’d add that this kind of AI software would also benefit humanoid robots making doorstep deliveries.

We don’t yet know when AI-powered robots will start delivering packages or where they’ll be deployed first. But given the pace of development in AI robotics, it probably won’t be long, whether Amazon leads the way or someone else does.

There’s one obvious issue that hasn’t been addressed. Humanoid AI robots will eventually replace human workers, marking another way AI could take over human jobs. It’ll be interesting to see how Amazon handles that messaging, especially considering its less-than-stellar history with employee relations.

You can check out the following video to see what a Unitree G1 robot is capable of right now. For more on AI robotics, here’s what Figure and Google are working on.

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National Grid starts building large-scale substation to support growth of

The National Grid has confirmed that it is in the process of building its largest new electrical substation in response to the growing demand for datacentres in West London.

The facility will be sited just outside of Greater London in Buckinghamshire and will, according to the National Grid, enable a dozen new datacentres to be connected to its electricity transmission network.

“The new site forms part of National Grid’s upgrade to its transmission network to meet growing demand for electricity, ensuring it can continue to support the growth of new sectors, such as datacentres, and the economic and employment benefits they can bring,” the National Grid said in a statement. 

Dubbed Uxbridge Moor, the substation is being built next door to another 400kV substation in Iver, Buckinghamshire, that is at full capacity and cannot be expanded further. It will be comprised of two substations, including one 400kV facility and another with 132kV of capacity.

“The requests from datacentres to connect at Uxbridge Moor will require around 1.8GW of new capacity, equivalent to adding a mid-sized city to the grid on the outskirts of London,” said the National Grid. “When built, it will be the largest new substation on National Grid’s network by gigawatt capacity.”

The work is part of a planned five-year investment push, valued at £35bn, by the National Grid that is geared towards increasing the UK’s electricity generation capacity and making it easier for datacentres and gigafactories to connect to the grid.

The part of the country where the substation will be built has seen a influx of datacentres over the course of the past decade, prompting concerns about whether there is sufficient supply and grid capacity to service them all.

This matter came to a head in 2022 when a briefing note from the Greater London Authority’s Development Service began to circulate that claimed an influx of datacentres meant the electricity and transmission networks in West London were struggling to cope with the demand being placed on them.

Energy minister Michael Shanks said that projects such as this are essential to the government’s ability to deliver on initiatives, such as its push to lower the barriers to datacentre developments in the UK.

“Upgrades to the electricity network like this are at the heart of building the industries of our future and support our Plan for Change to deliver economic growth and skilled jobs across the UK,” said Shanks.

“It comes as we progress our reforms to the grid connections queue that will speed up the time it takes to get high-growth firms, like datacentres and AI hubs, plugged into the grid – while also fast-tracking projects that will scale up clean, homegrown power by 2030.”

Laura Mulcahy, project director at National Grid Electricity Transmission, said the substation’s creation will generate a wide range of economic benefits. 

“Our new Uxbridge Moor substation will provide vital access to power for datacentres that are at the heart of Britain’s innovation and economic growth,” she said. “It will enable new jobs and investment in Buckinghamshire, and will support the UK’s digital future.”

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Vodafone, Three UK complete UK merger

After almost exactly two years of regulatory wrangling, Vodafone Group and CK Hutchison Group Telecom (CKHGT) Holdings have at last announced the successful merger of their respective UK mobile firms, Vodafone and Three UK.

The combined business will operate under the VodafoneThree brand, and is 51% owned by Vodafone and 49% by CKHGT. Vodafone will fully consolidate VodafoneThree in its financial results, and the company’s CEO will be Max Taylor, who currently leads Vodafone UK. Three UK’s Darren Purkis has been appointed chief financial officer.

VodafoneThree says it will invest £11bn over the next 10 years, creating one of Europe’s most advanced 5G networks, giving businesses up and down the country a vastly superior mobile experience. In its first year, VodafoneThree plans to invest £1.3bn in capex to enable the company to accelerate its network deployment. It added that significant investment in a 5G Standalone network will propel the UK’s mobile infrastructure to the forefront of European connectivity.

Vodafone and Three first announced plans to merge in June 2023, creating a joint entity with 27 million mobile subscribers in the UK and providing a response to BT’s 2016 purchase of EE, as well as the 2021 merger of Virgin Media and O2 to form VMO2. Vodafone and Three justified the combination by saying it would boost the roll-out of 5G infrastructure and allow greater scale to compete with the larger, converged telecoms and mobile players in BT/EE and VMO2.

Yet after it launched an investigation into the merger in October 2023, the UK’s Competition and Markets Authority (CMA) found that “tens of millions” of mobile customers could see the cost of their mobile packages go up or services such as data allowances reduced. While it acknowledged that the merger could improve the quality of mobile networks and bring forward the deployment of next-generation 5G networks and services, the CMA added that it considers these claims to be “overstated”, and that the merged entity would “not necessarily have the incentive to follow through on its proposed investment programme”.

The CMA also found that the wholesale market where virtual operators – such as Sky Mobile, Tesco Mobile, Lebara, Lyca Mobile and iD Mobile – resell airtime from the four network operators could see worse deals on offer through the reduction in competition from four to three suppliers.

After the CMA outlined ways in which Vodafone and Three could address its concerns, the deal was given a regulatory green light in December 2024 subject to a number of caveats – namely, Vodafone and Three delivering a joint network plan that sets out the network upgrade, integration and improvements they will make to their combined network across the UK over the next eight years; caps in selected mobile tariffs and data plans for three years to protect large numbers of customers from short-term price rises in the early years of the network plan; and offering pre-set prices and contract terms for wholesale services for three years.

Commenting on the completion of the deal, Vodafone Group chief executive Margherita Della Valle said: “The merger will create a new force in UK mobile, transform the country’s digital infrastructure and propel the UK to the forefront of European connectivity. We are now eager to kick off our network build and rapidly bring customers greater coverage and superior network quality. The transaction completes the reshaping of Vodafone in Europe, and following this period of transition, we are now well-positioned for growth ahead.”

Assessing the deal’s wider significance, technology, media and telecoms analyst Paolo Pescatore described the announcement as a big day for the UK telecoms industry as a whole, regarding the new multi-brand approach as catering for specific market segments, providing plentiful opportunities for customer growth and selling more services.

“With a larger base, I would argue that the [combined] entity should focus on retaining its existing base in the short-term and seek to cross or upsell additional services to this larger group,” he said. “An attack on the fixed line market represents a significant opportunity for customer acquisition. This will consist of both fixed wireless access and fibre broadband.

“Three has demonstrated customer success with its home broadband FWA service,” said Pescatore. “We should expect to see this more broadly marketed and most likely at a slightly higher premium than the current offering … there should be a greater focus on the enterprise market given the promise of network leadership combined with its overall spectrum position. It will not be easy to integrate networks and ensure any stripping out does not impact disruption for customers. Make no mistake, the arduous work starts now.”

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CEO change for AccelerComm as it closes $15m funding round

5G satellite communications products and technology provider AccelerComm has announced it has closed a funding round totalling $15m and appointed David Helfgott as its CEO.

Experts in specialised radio access network (RAN) applications, AccelerComm says its core mission is to transform the next generation of wireless communications with “innovative, world-leading” IP that delivers ultra-high performance and error-resilient 5G to meet the unique demands of satellite-based 5G networks. The company’s portfolio ranges from physical layer services to customisable signal processing components, implemented on next-generation silicon, artificial intelligence (AI) engines, field-programmable gate array and application-specific integrated circuit-ready intellectual property cores including space-hardened platforms.

The £15m round was led by IP Group – including its Parkwalk and Hostplus managed funds – with support from IQ Capital, Swisscom Ventures’ digital transformation fund and Bloc Ventures.

“Having supported AccelerComm since inception, we’re delighted to see the company attract an experienced CEO and close a new funding round, supported by additional blue-chip investors,” said Lee Thornton, deeptech partner at IP Group. “AccelerComm has one of the world’s leading technologies for fast and efficient communications in the nascent low-earth orbit satellite market. The company is well-positioned for growth, with a market that is projected to be worth $100bn within a decade, and we look forward to future progress.”

AccelerComm says the new capital will be used to further develop and accelerate deployments of its 5G satellite communications products and technology that enable direct-to-device communications between phone handsets and space-based satellite networks. It will also support ongoing implementations with operator and satellite network customers, and partners such as Lockheed Martin, which is using AccelerComm’s services in its advanced regenerative 5G NR NTN base station, set to be the first regenerative 5G NTN payload in orbit.

Assessing what AccelerComm’s cash injection means for both the company and the space comms industry, Henny Sands, head of telecommunications at the UK Space Agency, said the non-terrestrial network convergence of satellite and mobile technology was reshaping the future of connectivity, and that companies like AccelerComm were helping to drive that transformation.

“This investment marks a significant step towards achieving universal mobile coverage through space-based 5G,” he said. “The UK Space Agency is proud to support pioneering businesses developing world-class and unique capabilities, and we welcome AccelerComm’s continued innovation in this critical sector.”

David Helfgott will be at the forefront of driving such innovation, and will also be responsible for accelerating customer and partner traction in the US and globally for AccelerComm’s technology.

Boasting more than 20 years of leadership experience across the wireless and satellite communications markets, he also most recently held the position of CEO at inflight comms firm SmartSky Networks, which majored in air-to-ground (ATG) 4G LTE/5G networks for aviation.

“There is growing momentum in the mobile communications industry towards using 5G enabled satellites to augment existing coverage and capacity delivered by terrestrial networks,” he said.

“AccelerComm’s unique technology and acumen position us at the centre of this shift, delivering a critical building block required to provide best-in-class 5G services from space. The recent announcement of our 5G NTN solution has led to great interest from mobile operators and satellite networks from around the world.”

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