Sweden tackles AI security risks and attracts $2.5 bn Microsoft AI investment

A new report from the Royal Swedish Academy of Engineering Sciences, AI Sweden and the National Cybersecurity Centre warns that artificial‑intelligence tools are enabling hackers, nation‑states and cyber‑criminals to exploit vulnerabilities in large data systems. The authors recommend using AI to detect and remediate threats, improving password practices, backups and software updates, and stress the particular concern over Chinese state‑linked espionage.

Microsoft announced a $2.5 billion (≈24 billion SEK) investment in a new Frontier Company focused on on‑site AI deployment for corporate customers. The plan calls for about 6,000 AI experts to work directly with firms in Sweden, which the company cites as a leading centre for engineering innovation. Early customers include Unilever and Novo Nordisk, and the initiative follows similar moves by Amazon, Anthropic and OpenAI.