In Japan it’s AI first, privacy last - Asian Tech Roundup

Plus: Samsung and TSMC continue to ride the AI boom

Welcome to Computing's weekly roundup of tech news in Asia. This time we look at Japan’s loosening of its privacy laws in the name of AI competitiveness, bumper quarterly results from Asia’s biggest chip giants and Korea responds to soaring RAM prices.

The Japanese government is loosening its strong privacy protections, positioning itself, in the words of Digital Transformation Minister Hisashi Matsumoto, as “the easiest country in the world” in which to develop AI applications.

It has approved amendments to the Personal Information Protection Act that significantly reduce the need for opt‑in consent and breach reporting.

Under the revised rules, organisations will not require consent to use personal information for statistical research, and health-related data can be processed to support public health initiatives.

Facial scanning of over-16s will also be permitted, with no requirement for an opt-out.

The amendments also reduce notification requirements around data breaches. Companies will no longer need to inform affected individuals of a data leak if the risk of harm is considered minimal.

However, penalties for data misuse have been retained, with heavy fines in place for misuse.

The amendments come after several surveys have found that Japan lags behind the US, China and Europe in its use of AI.

Matsumoto argued that Japan’s existing privacy framework had become “a very big obstacle” to the development and use of AI, warning that limited access to data could leave the country lagging behind global competitors.

Critics, however, see the changes as a dangerous erosion of long‑standing privacy protections. Commentators and technologists have warned that removing consent and opt‑out rights prioritises AI companies over citizens’ privacy, risks normalising surveillance, and could contribute to a “race to the bottom” on data protection in the name of innovation.

Australia

• Atlassian has launched visual AI tools and third-party agents in Confluence, enhancing collaborative capabilities for enterprise users. Source
• Public health workers claim Meta is censoring posts about illicit drugs, preventing them from reaching the people who needed to see them. Source

China

• The US MATCH Act is set to tighten semiconductor exports to China, targeting advanced chips and related technologies. Source
• Beijing has introduced new rules requiring Chinese companies, universities, and research bodies involved in AI to establish internal AI ethics review committees. Source
• Xiaomi has increased smartphone prices by 200 yuan ($29) due to surging memory chip costs driven by AI demand and supply chain shortages. Source
• Chinese chipmakers, including SMIC, saw record revenue in 2025, driven by AI demand and US export restrictions. Source
• DeepSeek's upcoming V4 AI model will be trained on Huawei's latest chips, with major Chinese tech firms such as Alibaba, ByteDance, and Tencent placing bulk orders for hundreds of thousands of units. DeepSeek is developing additional variants tailored for Chinese hardware. Source
• UBTech Robotics has unveiled the Tien Kung Xingzhe, a life-size humanoid robot for research, priced at 299,000 yuan ($41,200). The robot is designed for applications requiring enhanced strength and stability. Source
• Chinese threat actor TA416 has targeted European government and diplomatic organisations since mid-2025, deploying PlugX malware and using OAuth redirects to compromise EU and NATO bodies. Source
• A hacker claims to have exfiltrated over 10 petabytes of sensitive military and research data from Tianjin’s National Supercomputing Center. Source
• Chinese manufacturers have developed military-grade infrared chips that cost 99% less than previous models, according to reports. Source
• Supermicro has launched an internal probe after staff were charged with smuggling Nvidia GPU servers to China, following indictments of two employees and a contractor for alleged export violations. Source
• Chinese startup Shengshu has raised $293 million to accelerate its work on artificial general intelligence. Source

India

• The Gujarat High Court has released a new AI policy that bans the use of AI in judicial decision-making, reasoning and orders, while allowing limited administrative use. Source
• The Reserve Bank of India has issued updated data protection and cybersecurity guidelines for financial institutions, focusing on stricter compliance and enhanced safeguards for customer information. Source
• An Indian business delegation has visited China, signalling a possible thaw in bilateral relations and renewed interest in cross-border trade, including in tech. Source
• The Bombay High Court has ordered the removal of deepfake content to protect actress Shilpa Shetty's personality rights, setting a precedent for digital rights enforcement. Source

Japan

• Japan has relaxed privacy laws to accelerate AI development, removing the option for individuals to opt out of personal data use, with government officials citing this as a major step to boost AI adoption and privacy advocates voicing concern. Source
• Japan is accelerating the deployment of robots to address severe labour shortages, with the government investing $6.3 billion to strengthen core AI capabilities and support industrial automation. The Ministry of Economy, Trade and Industry aims for Japan to capture a 30% share of the global physical AI market by 2040. Source
• Cognition, a startup backed by Peter Thiel, is expanding into Asia with new offices in Japan and Singapore, aiming to accelerate AI adoption in the region. Source

South Korea

• The Korean government is responding to soaring DRAM prices by monitoring markets, restructuring internet data plans, and distributing recycled PCs to vulnerable groups. Source
• Samsung's Q1 operating profit has surged 755% due to a rebound in chip sales. Source

Taiwan

• TSMC reported a 35% year-on-year jump in Q1 revenue, surpassing market forecasts. Source
• TSMC is reportedly planning to build 12 semiconductor fabs and four packaging facilities in Arizona as part of Taiwan's $500 million investment in the US. Source
• Taiwan's chip industry is urging the government to secure helium and LNG reserves amid supply risks from the Iran war. Source

Elsewhere in Asia

• North Korea: DPRK-linked hackers are using GitHub as command-and-control infrastructure in multi-stage attacks targeting South Korean organisations, employing obfuscated Windows shortcut files and PowerShell scripts to evade detection and maintain persistent access. Source