OpenAI Partners with Japan, Meta's AI Ad Strategy, and EU's New AI Plan - AI Policy Brief #38

October 07, 2025 - AI Policy Brief
Hi there,

Welcome to this week's edition of the AI Policy Brief, your go-to source for the latest developments in AI regulations, safety standards, and government policies worldwide. This week, we're covering a range of topics from international collaborations to new regulatory strategies. OpenAI has partnered with Japan's Digital Agency to explore AI applications in public services, while the European Commission has unveiled a new AI strategy aimed at reducing reliance on the US and China.

In other news, Meta plans to use AI chat data for advertising, sparking discussions on privacy and data usage. Meanwhile, Mexico is gearing up to regulate AI in creative industries, and the Vatican has called for global AI regulation. Stay tuned as we delve into these stories and more, providing you with the insights you need to stay informed in the rapidly evolving world of AI policy.

International Policy

Meta announced plans to use AI chatbot interaction data for ad personalization on Facebook and Instagram starting December 16, 2025, with exceptions for South Korea, the UK, and the EU due to privacy regulations.
OpenAI and Japan’s Digital Agency have formed a strategic partnership to explore the use of generative AI in improving public services in Japan, introducing an AI tool named Gennai for government employees.

Regulatory Actions

California has enacted the Transparency in Frontier Artificial Intelligence Act, mandating increased transparency from large AI developers starting January 1, 2026. Meanwhile, Waymo has received an extension for its autonomous vehicle testing permit in New York City, allowing operations to continue through the end of 2025.

Innovation & Investment

The Kazakh Government is investing 9.7 billion tenge in 62 AI projects, collaborating with 27 universities and 6 research institutes, and opening a new AI center, Alem.AI, in Astana. Meanwhile, the Department for Work and Pensions has awarded a £9 million contract to IBM to explore and deploy AI systems over the next year.

AI Safety

OpenAI has launched the Sora app, allowing users to create deepfake videos of CEO Sam Altman, currently in an invite-only phase. Meanwhile, a former safety researcher at OpenAI has reviewed a case involving ChatGPT, emphasizing concerns about AI chatbot safety and user support.

Court Cases, Hearings and Lawsuits

Character.AI has removed Disney characters from its platform after receiving a cease-and-desist letter from Disney for copyright infringement. Meanwhile, a report by Gartner predicts a 30% rise in legal disputes for tech companies by 2028 due to AI regulatory violations, highlighting the growing challenges in compliance.

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