2nd September 2025
“Welcome to the September 2025 edition of our Technology & Digital round-up. This month we’re focusing on landmark data protection rulings, international collaboration on AI and supercomputing, and major UK government funding initiatives aimed at driving innovation and safeguarding digital infrastructure.”
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Here’s your top stories for September.
The Information Commissioner’s Office (ICO) has welcomed a ruling by the First-tier Tribunal confirming its authority to issue a £12.7 million penalty to TikTok for unlawfully processing the personal data of children under 13, rejecting TikTok’s argument that its activities were protected under “special purposes” exemptions for artistic or journalistic content. The Tribunal found that the penalty notice was focused on safeguarding children’s data and did not fall under those exemptions, allowing the case to proceed to a full hearing. The ICO sees this decision as a significant step in holding digital platforms accountable for data protection, especially concerning children’s privacy.
The UK and France have launched a joint initiative to strengthen the resilience of critical infrastructure—such as power supplies, transport, and emergency services—against hostile threats by developing advanced navigation and timing systems that are resistant to signal jamming. This includes collaboration on technologies like e-LORAN, a ground-based alternative to GPS, and broader partnerships in AI supercomputing and research. The initiative was announced during a visit by President Macron and UK Science and Technology Secretary Peter Kyle to Imperial College London, highlighting the strategic importance of UK-France cooperation in science, technology, and national security.
“This UK–France initiative marks a pivotal step in securing our digital and physical infrastructure against emerging threats. By investing in resilient technologies and deepening collaboration in AI supercomputing, both nations are signalling a shared commitment to innovation, security, and strategic technological leadership.”
The ICO published two articles addressing its response to the Ministry of Defence (MoD) data breach involving the accidental exposure of personal information of Afghan nationals who supported British forces. The first article outlines the ICO’s approach, explaining its decision not to take further regulatory action due to the MoD’s swift internal investigation, the sensitive nature of the data, and the extensive mitigation efforts already undertaken. The second article is a formal statement reaffirming the seriousness of the breach, the ICO’s involvement in supporting the investigation, and its commitment to ensuring lessons are learned to prevent similar incidents in the future. Together, the articles highlight the balance between accountability, national security, and data protection.
“The ICO’s response to the MoD data breach reflects a careful balance between regulatory oversight and national security. By recognising the actions taken and focusing on lessons learned, the ICO reinforces its commitment to protecting sensitive data while respecting the complexities of government operations.”
The UK Government is consulting on changes to the scope of the Notifiable Acquisition Regulations (NARs) under the National Security and Investment Act 2021 (NSI Act). The NSI Act gives the Government powers to scrutinise and intervene in acquisitions of control of entities and assets in, or connected to, the UK economy that may pose a risk to national security. Where a target entity carries out activities in any of 17 sensitive areas of the economy described in the NARs, an acquisition of control over that entity will trigger a mandatory notification requirement.
The Government proposes to amend, among others, the definition of the Artificial Intelligence (AI) sector to remove the development of AI systems which are available to consumers, which it recognises are low risk. The focus will shift to assessing cases where the target is looking to create a new AI system, improve the capability of an AI system to do new things, the same things quicker, or the same things better. Entities that test the safety of AI systems, evaluate the risk of disinformation or misinformation, or conduct research into the capabilities of AI systems that could potentially create a risk to the health, safety or security of persons, will be in scope.
The Government is also proposing to create a standalone Semiconductors sector (currently captured in part by the Advanced Materials sector) and merge it with the Computing Hardware sector. The draft definition for the Semiconductors sector adds advanced packaging techniques and activities involving the wider design process of processing units and memory chips, such as R&D. It also has more comprehensive coverage of semiconductor-related devices and advanced chip designs.
The consultation ends on 14 October 2025. Click here to respond. If you have any questions on the NSI Act, please contact the WM Competition team.
If you have queries about any of the points covered in this edition of the Technology & Digital round-up, or need further advice or assistance, please get in touch with Sally, Andrew, Nick, Paul, Luke or one of our Technology & Digital experts.
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“This Tribunal ruling is a landmark moment for digital accountability. It reinforces the ICO’s authority to protect children’s data and sends a clear message that platforms cannot hide behind artistic or journalistic exemptions when fundamental privacy rights are at stake.”
– Nick Stubbs, Partner, Commercial