The past week saw a range of major developments in the field of artificial intelligence, from global corporations reshaping their workforce to governments debating new regulations and institutions urging moral accountability in technology. AI continued to show its dual nature, driving growth and innovation on one hand, while creating social, economic, and ethical tensions on the other. The following stories capture the key updates from across industries and continents, each reflecting how deeply AI is now influencing global policy, religion, and employment.
IBM Slashes Thousands of Jobs Amid AI-Driven Revenue Surge
IBM made headlines on November 4 with the decision to lay off thousands of employees as part of what the company described as a “workforce rebalancing.” The job cuts affected mainly the human resources, finance, and software divisions. Despite these layoffs, IBM reported a strong quarter, with AI-related bookings soaring to $9.5 billion. The company’s overall sales climbed to $16.33 billion, driven by increasing demand for its Watsonx platform and generative AI consulting. CEO Arvind Krishna announced that IBM would invest heavily in reskilling programs for 100,000 workers, helping them shift into AI-focused roles. Employees who were laid off would receive severance packages extending up to 12 months of pay.
While IBM’s move was praised by investors, who drove its stock price up by 3%, critics were quick to point out the irony of a company’s success in AI leading to mass layoffs. Labour unions accused IBM of prioritising profits over people, arguing that automation should complement human work, not replace it. Industry experts estimate that AI adoption will trigger around $100 billion in enterprise spending this year, as companies race to integrate automation into their operations.
EU Proposes Easing High-Risk AI Regulations for Big Tech
In Europe, regulators continued to debate how to manage this rapid expansion. On November 7, the European Commission released draft amendments to the EU AI Act, proposing to ease restrictions, such as those used in internal company operations, from mandatory registration. The amendments would also introduce a one-year grace period before penalties take effect, giving companies until August 2027 to comply. These changes are expected to save major firms nearly €5 billion annually by cutting regulatory red tape, encouraging wider AI adoption across Europe’s growing digital economy.
While the move was welcomed by major technology companies, privacy advocates and consumer groups expressed alarm. They warned that reducing oversight could lead to discrimination and data misuse, especially in sensitive areas such as hiring and credit scoring. EU tech chief Henna Virkkunen defended the amendments, saying they aimed to maintain both innovation and safety. The final proposal, which will be presented to the European Parliament on November 19, will determine whether the balance between growth and protection can be maintained in one of the world’s most ambitious technology laws.
OpenAI Lobbies Trump Admin for Expanded Chips Act Tax Credits
Across the Atlantic, OpenAI continued to influence U.S. economic policy. On November 8, the company urged the incoming Trump administration to extend the CHIPS Act’s 25% investment tax credit to include AI data centres. This expansion could unlock nearly $50 billion in incentives for companies building large-scale computing infrastructure. CEO Sam Altman justified the proposal by pointing to the increasing energy demand from AI systems, which could reach 10% of U.S. electricity use by 2030. He argued that supporting domestic AI capacity would help the U.S. reduce its dependence on Chinese semiconductor supply chains.
The lobbying effort has divided opinion in Washington. Supporters claim that the expansion would create over half a million jobs in semiconductor and data infrastructure, strengthening the country’s technological base. Critics, however, warn that such incentives could deepen fiscal deficits and worsen environmental damage caused by energy-intensive AI computing. Investors responded positively, with shares in Nvidia and AMD rising by 2% following the news, reflecting optimism that an “AI boom” could accompany the broader industrial revival promised by the new administration.
Stanford AI Index 2025 Reveals Cost Plummets and Global Divides
Meanwhile, Stanford University’s Human-Centred AI Institute published its annual AI Index on November 6, offering a detailed view of the changing economics and global reach of AI. The report revealed that the cost of running large language models has dropped by an extraordinary 280 times since 2022, from $20 to just $0.07 per million tokens. This reduction has led to faster and cheaper AI adoption, particularly in China, where 83% of firms now use AI compared to 39% in the United States. The report also highlighted that U.S. private AI investment reached $109 billion last year, far surpassing China’s $9.3 billion.
However, the report warned of growing inequality in talent and access. Seventy per cent of AI PhDs are based in the U.S., while many developing countries lack research capacity. It also found large gaps in public attitudes: 80% of people in Indonesia said AI benefits society, compared to only 36% in the Netherlands. While AI agents outperform humans in short, routine tasks, they still struggle with complex planning and ethical reasoning. The findings raise questions about whether global AI progress is sustainable or deepening existing divides.
Pope Leo XIV Calls for Ethical AI to Evangelise Faith
The week’s final headline came from the Vatican, where Pope Leo XIV addressed the AI Ethics Summit on November 7. He urged Catholic scientists and engineers to develop technology that serves humanity’s spiritual and moral well-being. Calling for “moral algorithms,” the Pope encouraged faith-driven AI projects that promote dignity, compassion, and education. He announced partnerships with IBM to create Vatican-approved AI ethics courses and proposed using AI for Bible translation into 1,000 dialects and even virtual confessionals.
The Pope’s address drew worldwide attention and sparked new conversations about religion’s place in the technology age. More than 500 ethicists attended the summit, and Jesuit universities pledged $20 million to fund research on faith-oriented AI design.
