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MEF’s Riccardo Amati shares his take on the week’s mobile and tech stories from around the world. Headlines include… Telefónica Plans 5,000 Job Cuts in Spain, GSMA Warns Mobile Operators Face Ballooning Cybersecurity Costs, 5G Network Slicing Set to Skyrocket, ABI Forecasts and much more… Alternatively listen On MEF Radio.

Telefónica Plans 5,000 Job Cuts in Spain

Telefónica has proposed cutting just over 5,000 jobs in Spain as part of a plan to focus on its core markets in Spain, Germany, the UK, and Brazil.

The proposal follows investor disappointment at a capital markets day, when the company announced a halved dividend but no broader strategic changes, sending shares down more than 13%.

Roughly 3,650 roles at Telefónica Spain could go, including 1,100 at Telefónica Mobile, while 270 positions at Telefónica Solutions are also targeted.

CEO Marc Murtra says the cuts aim to streamline operations and address structural issues like organizational complexity and high leverage.

GSMA Warns Mobile Operators Face Ballooning Cybersecurity Costs

A new GSMA‑backed study finds mobile operators now spend between US $15–19 billion annually on cybersecurity — and estimates this could rise to $40–42 billion by 2030. The group argues that overly prescriptive, fragmented regulatory regimes often force operators to waste resources on compliance rather than actual threat mitigation.

The impact is significant: operators report that up to 80% of cybersecurity teams’ time goes into compliance audits rather than threat detection. Fragmentation and overlapping reporting obligations create inefficiencies, even as the global telecom cybersecurity market grows past $45 billion in 2025.

GSMA urges regulators to adopt six core principles — including harmonization, risk-based frameworks, and industry collaboration — to make rules outcome-focused and globally coherent.

5G Network Slicing Set to Skyrocket, ABI Forecasts

The global 5G network slicing market is on track for explosive growth, ABI Research reports, jumping from $6.1 billion in 2025 to $67.5 billion by 2030 — a compound annual growth rate of roughly 70%. The surge is driven by both enterprise and consumer adoption, with “carpeted verticals” like retail, stadiums, and financial services leading the charge due to faster returns, while industrial manufacturing grows more slowly.

Scale and scope are massive: by 2030, enterprises are expected to capture 64% of revenue, while consumers contribute $24.3 billion. Asia-Pacific currently dominates, making up 91% of 2025 revenue thanks to China’s aggressive 5G rollout, though its share will fall to 73% as North America and EMEA catch up.

Mobile operators including T-Mobile US, Deutsche Telekom, and China Mobile are beginning to monetize slicing despite integration challenges with cloud-native tools and standalone 5G. With SA-capable smartphones expanding the consumer base, network slicing is set to reshape connectivity — faster, smarter, and more flexible.

UK Government Pressures Telecoms Over Mid-Contract Price Rises

Chancellor Rachel Reeves has written to the heads of major UK telecoms firms — including Virgin Media O2, BT and VodafoneThree — demanding stronger consumer protections after a wave of mid-contract price hikes.

Reeves and technology secretary Liz Kendall urged operators to ensure customers “will not face price rises beyond those they signed up for,” following increases announced by several providers. 

Virgin Media O2 recently said 15.6mn mobile customers will see monthly bills rise by £2.50 next spring, higher than previously stated. BT, TalkTalk and VodafoneThree have also raised tariffs for new or renewing customers.

This comes despite an Ofcom rule change intended to ban inflation-linked mid-contract rises. 

Companies have instead used pounds-and-pence increases, which remain permitted if disclosed upfront.

The government plans to convene telecom bosses for further talks on voluntary steps to protect consumers. Providers argue rises are needed to fund network investment.

UK Parents Report Alarming Rise in Online Child Blackmail

Nearly 10 percent of parents in the United Kingdom say their child has been blackmailed online, according to new research from the National Society for the Prevention of Cruelty to Children.

Threats range from releasing intimate images to exposing personal information. One in five parents know another child who has been targeted, yet two in five rarely discuss online blackmail with their own children.

Reports of sexual extortion are rising sharply. The National Crime Agency now receives more than 110 reports each month, often involving teenage boys targeted by organised cyber-criminal groups operating in west Africa and south-east Asia.

Some cases have ended in tragedy, including the suicides of two British teenagers in 2022 and 2023 after being extorted over intimate images.

The children’s charity says technology companies are still “falling short” in keeping young people safe.

Blackmailers may be strangers or peers, and demands can include money, more images or continuing a relationship. The charity urges families to have regular, open conversations about online risks.

X Feed Tweaks Can Polarize Politics in Days

Small tweaks to the “for you” feed on X can push political polarization in just a week—matching three years of historical change, a new study finds.

Researchers boosted posts with partisan animosity for over 1,000 users during the 2024 U.S. election, and even subtle adjustments sharply increased unfavourable feelings toward the other side.

The platform’s algorithm-driven feed, designed to maximize engagement, showed how repeated exposure to divisive content fuels anger and sadness, yet the effect went largely unnoticed by participants.

Experts say the same approach could also be used to reduce animosity if deployed differently, revealing the immense power—and responsibility—of mobile social ecosystems. Algorithms shape more than feeds—they shape minds.

Nexperia Warns of Imminent Production Halts

Dutch semiconductor maker Nexperia says its customers are still facing imminent production stoppages despite efforts by Chinese authorities to resume exports.

The company, which supplies essential chips for cars and consumer electronics, called on its Chinese subsidiary to restore communication and predictable supply flows.

Nexperia has repeatedly tried to engage its Chinese unit through calls, emails, and formal requests, but has received no meaningful response.

With disruption threatening manufacturers from Asia to Europe, the situation underscores ongoing tensions in the global supply chain for critical technology components. Stability, the company warns, cannot wait.

Alibaba, ByteDance Move AI Training Offshore

Chinese tech giants are increasingly training their AI models overseas to access high-end Nvidia chips, sidestepping US export restrictions on semiconductor sales — the Financial Times reports citing people with. Direct knowledge of there matter.

Alibaba and ByteDance are running their large language models in data centres across Southeast Asia, particularly in Singapore and Malaysia, where demand and infrastructure have surged.

The scale is substantial: offshore clusters now handle top-performing models like Alibaba’s Qwen and ByteDance’s Doubao, supporting global adoption while remaining legally compliant. Domestically, companies like DeepSeek work with Huawei to develop next-generation chips, though sensitive client data must remain in China.

The move highlights a strategic split in China’s AI ecosystem: training offshore for cutting-edge hardware, while inference and data-sensitive tasks increasingly rely on local chips.

Tech Titans Spend Millions to Win AI Regulation Battle

Billionaires and tech firms are pouring millions into political campaigns ahead of the 2026 midterms in the U.S.  seeking to influence Federal AI regulation — the Wall Street Journal reports.

Groups like Leading the Future, backed by Andreessen Horowitz and OpenAI co-founder Greg Brockman, aim to spend over $100 million supporting candidates aligned with rapid AI deployment.

Opposing super PACs, such as Public First, are raising at least $50 million to back stricter safeguards, citing risks to privacy and national security.

With more than 1,000 AI bills introduced in 2025 alone, including landmark laws in California, New York, and Colorado, the fight could set national precedents.

Shein in the Hot Seat: France Clamps Down

Trouble is piling up for Chinese-owned retail giant Shein as French authorities move to temporarily ban its ecommerce site. The action follows the sale of illegal products, including weapons and child-like sex dolls, and comes just after Shein opened its first physical store in France amid protests.

The French government is asking a judge to shut the platform for three months unless it meets strict conditions, while European lawmakers push for tougher toy safety rules and stricter policing of online marketplaces. Shein now faces mounting legal and regulatory pressure across Europe, threatening its fast-growing retail footprint.

AI Could Put 3 Million UK Jobs at Risk by 2035

A new report warns that up to 3 million low-skilled jobs in the UK could be lost to AI and automation by 2035. Trades, machine operation, and administrative roles are most at risk, while highly skilled professionals may see increased demand. 

The National Foundation for Educational Research predicts the UK economy will still add 2.3 million jobs, but unevenly. Experts caution that short-term layoffs attributed to AI may also reflect economic slowdowns and rising costs, rather than technology alone.

Riccardo Amati

MEF Editorial Team

 

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