AI data centres face US political backlash ahead of midterms

KUALA LUMPUR, 25 AUGUST 2026 —

Malaysia Tech Brief: Children Outpace AI in Learning Efficiency, Space Tourism Takes Off

The disparity, known as the "data efficiency gap," highlights how young humans master language with minimal exposure compared to large language models (LLMs), which require vast datasets—sometimes hundreds of thousands of times more words than a child encounters. Cognitive scientists and AI developers are now exploring whether reverse-engineering childhood learning could yield more efficient AI systems while also shedding light on human cognitive development.

Researchers are investigating how children absorb language with limited input, aiming to apply these insights to AI training. The findings could reshape how machines learn, potentially reducing the computational resources needed for advanced models.

--- Space Tourism: From $50 Million Tickets to a New Frontier

The commercial space race has entered a new phase, with private citizens now paying premium prices to experience zero gravity. In 2018, luxury travel entrepreneur Roman Chiporukha received a call from Axiom Space, offering $50 million seats for the first fully private mission to the International Space Station (ISS), originally scheduled for April 2022.

Chiporukha, co-owner of a luxury lifestyle firm, seized the opportunity, securing a private astronaut spot before launching SpaceVIP in 2021. His company now curates celestial experiences blending culture, science, and purpose, positioning itself as the "Expedia of the cosmos." The shift underscores how space travel has evolved from a government-led endeavor to a lucrative commercial market.

--- US Backlash Against AI Data Centers Grows Ahead of Midterms

Opposition to AI data centers is gaining bipartisan momentum in the United States, with concerns over energy consumption and environmental impact overshadowing economic benefits. Republicans and Democrats alike are voicing skepticism, with Texas Governor Greg Abbott declaring that data centers "dug their own grave" due to their voracious power demands.

The backlash has spilled onto the campaign trail, reflecting broader anxieties about climate change and energy independence. Analysts note that while data centers drive technological progress, their rapid expansion strains local grids and raises sustainability questions. New York has become the first US state to impose a moratorium on new data centers, signaling potential regulatory hurdles ahead.

--- Humanoid Robots Break Records, But Real-World Challenges Remain

Chinese humanoid robots have shattered athletic records, with one completing a 100-meter dash in 9.39 seconds—faster than Usain Bolt’s world record of 9.58 seconds. Another robot, built by X-Humanoid, cleared a high jump record, demonstrating rapid advancements in robotic agility.

However, experts caution that real-world applications pose greater challenges. Gig workers are now training humanoids in home settings, highlighting the technology’s potential in labor-intensive industries. Yet, intricate tasks like navigation and adaptability remain hurdles for widespread adoption.

--- Regulatory Crackdowns: Uber Fined $1 Billion in the Netherlands

Uber has been fined nearly $1 billion by Dutch regulators for automated driver suspensions without human review, marking the second-largest penalty under the EU’s General Data Protection Regulation (GDPR). The ruling underscores growing scrutiny over automated decision-making in gig economy platforms.

The fine follows broader regulatory efforts to protect worker rights and data privacy, with authorities increasingly holding tech companies accountable for opaque algorithms.

--- New Zealand Proposes Social Media Ban for Under-16s

New Zealand is considering legislation to prohibit social media access for children under 16, joining a global trend of digital restrictions. The bill aims to address concerns over mental health and online safety, though opposition parties may challenge its passage.

The move reflects mounting pressure on governments to regulate digital spaces, particularly for vulnerable youth populations.

--- TikTok to Pay $400 Million Over Child Privacy Violations

TikTok has agreed to a $400 million settlement with US authorities over allegations of illegally collecting children’s data. The lawsuit, filed by the US Department of Justice, accused the platform of violating child privacy laws by harvesting personal information without parental consent.

The settlement highlights ongoing regulatory scrutiny of social media platforms, especially regarding youth protection.

--- China Recalls Nearly 3 Million Teslas Over Door Safety Concerns

China’s market regulator has ordered Tesla to recall nearly 3 million vehicles—part of a total 4.3 million cars—due to door latch malfunctions. The action underscores quality control challenges in the electric vehicle sector, particularly as automakers scale production.

The recall follows heightened safety oversight in China’s automotive industry, where regulators are tightening standards for domestic and foreign manufacturers.

--- Forward Look: AI, Space, and Regulatory Shifts

As AI models grow more sophisticated, the data efficiency gap presents both a scientific puzzle and an engineering opportunity. Meanwhile, space tourism inches closer to mainstream accessibility, while regulatory pressures reshape tech industries from data centers to social media.

For Malaysia, these trends carry implications for digital infrastructure, AI adoption, and regulatory frameworks. The country’s push toward a digital economy must balance innovation with safeguards, ensuring sustainable growth in an era of rapid technological change.

Related: Tesla