BOLD Transformation Digest
Welcome to our July edition!
A bit before everyone’s summer break, and following June’s high temperatures, we put together some of the world’s impactful news.
This month’s buffet has plenty of food for thought.
In this BOLD Digest, you can read about:
Nuclear energy projects back on track [but where?], as the WB lifts ban
The US works to become a leader in AI and make the most of it in two of the heaviest industries: advanced manufacturing and defense
Discussing MSFT layoffs with a cold head
How much upskilling is ok for the health?
Digital Transformation in the Retail Industry: no need to be as big as IKEA, but you may use it as inspiration
READ ON and BE INSPIRED
🔋World Bank Greenlights Nuclear Power for Development
The World Bank has ended its 12-year ban on funding nuclear energy projects in developing countries, a move announced on June 11, 2025, as part of efforts to meet rapidly rising electricity demand worldwide. The decision allows the Bank to support new nuclear projects, extend the life of existing reactors, and work with the International Atomic Energy Agency to ensure safety and regulatory standards. This shift is seen as a pragmatic response to the need for reliable, low-carbon baseload power to drive economic growth and support essential services.
The United States played a pivotal role in this policy change. As the Bank’s largest shareholder, the US—under the Trump administration—actively advocated for lifting the ban, aiming to bolster American nuclear technology exports and help US firms compete against Russian and Chinese state-backed rivals in emerging markets. The move is expected to enhance US influence in global energy development and open new opportunities for American industry.
The decision has sparked debate within the World Bank’s board, particularly over whether to also resume funding for upstream natural gas projects, with some European countries expressing reservations. While the new approach gives countries more flexibility in choosing their energy mix, critics caution that increased nuclear and gas funding could divert resources from renewable energy and climate adaptation. The long-term impact will depend on how effectively these projects are managed and whether they deliver on promises of safety, sustainability, and development.
⚡🌎 Future of Small Modular Reactors in Emerging Nations
Small Modular Reactors (SMRs) are rapidly gaining traction as a practical solution for emerging economies seeking reliable, climate-friendly power without the massive financial and infrastructure burdens of traditional nuclear plants. SMRs, typically producing under 300 MWe per unit, are factory-built and assembled on-site, allowing for phased deployment and easier integration with existing grids—especially valuable for countries with limited transmission capacity or unstable power systems. Their modular design, lower upfront costs, and passive safety features make them attractive for urban, remote, or off-grid locations, and they can be sited closer to population centers due to smaller emergency planning zones.
Recent policy shifts—like the World Bank’s June 2025 decision to fund SMRs and nuclear life extensions—signal growing institutional support for these technologies in the developing world. The World Bank and IAEA partnership aims to help countries accelerate SMR adoption, extend the life of existing reactors, and upgrade grids as part of a broader strategy to drive sustainable development. The Build-Own-Operate-Decommission (BOOD) model is emerging as a favored approach, transferring operational risks to vendors while ensuring long-term energy access for host nations.
Despite their promise, SMRs face hurdles such as high first-of-a-kind costs, regulatory complexity, and supply chain constraints—particularly the need to scale up fuel enrichment infrastructure. Success will depend on coordinated global regulation, financing mechanisms, and investments in workforce and infrastructure. For many emerging nations, SMRs represent a credible path to energy security and climate targets, provided these challenges are addressed within broader national development strategies
References and Further Reading:
[1] World Bank to end ban on nuclear energy projects, still debating upstream gas
Andrea Shalal | Reuters | June 2025
[2] World Bank Group, IAEA Formalize Partnership to Collaborate on Nuclear Energy for Development
World Bank | June 2025
[3] World Bank ends ban on funding nuclear energy
World Nuclear News | June 2025
[4] World Bank to fund SMRs and nuclear life extensions
Nuclear News Cafe | American Nuclear Society | June 2025
🏭 🇺🇸 AI Ambitions: US Doubles Down on Artificial Intelligence for Industry and Defense
The US is making unprecedented moves to cement its global leadership in artificial intelligence, with both the private sector and government launching projects on a scale rarely seen before.
SoftBank’s CEO Masayoshi Son has proposed “Project Crystal Land,” a $1 trillion AI and advanced manufacturing hub in Arizona, designed to rival China’s Shenzhen. Son is seeking to partner with TSMC, the world’s leading semiconductor manufacturer, and has held discussions with the Trump administration and other tech giants like Samsung to secure support and potential tax incentives for the project. This initiative aims to build a new epicenter for AI-powered robotics, chip fabrication, and high-tech manufacturing—directly supporting the Trump administration’s drive to bring critical industries back to American soil.
Simultaneously, OpenAI has landed a $200 million contract with the US Department of Defense to develop next-generation AI tools for both military and administrative use. This is not just about smarter software; it’s about embedding AI at the core of national security and government operations. The contract is part of a wider government push, including the $500 billion “Stargate” project with OpenAI, Oracle, and SoftBank, to rapidly expand US AI infrastructure and capacity.
What does this mean for business and international strategy?
For entrepreneurs these moves signal a new era of industrial policy where AI is not just a tool, but a national priority. The US is actively building the physical and digital backbone for the next generation of manufacturing and defense, and is inviting global partners to join, but on American terms and territory. The scale and speed of these investments could shift supply chains, talent flows, and R&D activity toward the US, making it a magnet for both capital and innovation.
Meanwhile, Europe’s approach—focused on regulation and ethical guidelines—risks leaving its businesses on the sidelines as the real action happens elsewhere.
For European entrepreneurs, this is more than headline news—it’s a direct challenge. The US is not just investing in software, but in the entire industrial ecosystem: factories, supply chains, talent, and infrastructure. If these projects succeed, this will increasingly determine who leads and who follows in the global market.
References and Further Reading:
[1] SoftBank's Son pitches $1 trillion Arizona AI hub, Bloomberg News reports
Reuters - Bloomberg | June 2025
[2] OpenAI teams up with SoftBank and Oracle on $500B data center project
Kyle Wiggers | Techcrunch | January 2025
[3] Introducing OpenAI for Government
OpenAI | June 2025
[4] OpenAI Awarded $200M Contract to Develop AI for Defense
Scarlett Evans | AI Business | June 2025
[5] The global AI race and defense's new frontier
Strategyand | Part of PWC
💼🤖 Microsoft’s Layoffs and the AI Reshuffle in Tech
Microsoft announced on July 2, 2025, that it will lay off about 9,000 employees—nearly 4% of its global workforce—in its largest round of cuts since 2023. This follows multiple earlier rounds this year, including over 6,000 layoffs in May and 300 more in June. The cuts are spread across divisions, with significant impacts on the Xbox gaming unit, sales, and management layers. Microsoft says these moves are part of a broader restructuring to streamline operations, reduce management layers, and boost productivity in a “dynamic marketplace,” especially as the company invests heavily in AI infrastructure and tools.
These layoffs are emblematic of a larger trend across the tech sector in 2025. US tech companies—Amazon, Meta, Intel, and others—have collectively cut more than 75,000 jobs this year, a 35% increase over 2024. The driving forces: cost-cutting, economic uncertainty, and, most notably, the rapid integration of AI and automation. Microsoft, for example, has made internal use of its own AI tools mandatory, tying AI adoption to employee performance reviews. The company is spending an estimated $80 billion this fiscal year on data centers and cloud infrastructure to meet surging AI demand.
The wave of layoffs at Microsoft and across the tech sector in 2025 is not due to a lack of resources but a strategic pivot: firms are reallocating investment from traditional roles into AI infrastructure and talent. Surveys show that tech hiring managers are actively seeking talent with AI development, data analysis, and strategic thinking skills, while those without up-to-date expertise are most at risk. This is not unique to the US; European tech workers face similar pressures, though the pace of restructuring is slower.
On the other hand: While upskilling is challenging, it is not only possible but increasingly common. Embrace lifelong learning, combine it with long-term experience, top it with practising essential soft skills and you get a whole new perspective. Easier said than done? Think again. And check our our BOLD Digest June edition, as we discussed about how Soft Skills work as Strategic Assets for the Future of Work.
References and Further Reading:
[1] Microsoft to lay off around 9,000 workers in its largest cuts since 2023
Clare Duffy | CNN | July 2025
[2] 2025 Sees Massive Layoffs by Tech Giants Amid AI Transition
Mackenzie Ferguson | Open Tools | June 2025
[3] What Recent Tech Layoffs Reveal About The 2025 Job Market
Andrew Fennell | Forbes | May 2025
[4] Layoffs loom for underskilled tech workers and poor performers – but there's light on the horizon for those willing to upskill
Emma Woollacott | ITPro. | April 2025
🧠💬 MIT Study: ChatGPT May Dull Critical Thinking—But Evidence Remains Preliminary
If you happened to popped online occasionally during June, it’s impossible that you missed it. And even if you did, surely someone you know must have brought it up in a casual chat:
All major news and scientific coverage on how ChatGPT affects the human brain currently centers on a June 2025 MIT Media Lab study. Led by Dr. Nataliya Kosmyna, the research found that relying on ChatGPT for writing tasks resulted in significantly lower brain activity, weaker memory retention, and diminished creativity compared to using Google Search or working unaided. Participants who used ChatGPT showed the lowest neural engagement and performed worse on recall and critical thinking tasks, raising concerns about potential long-term effects—especially for younger users.
Key findings include reduced memory and creativity, and a phenomenon researchers call “cognitive debt,” where repeated ChatGPT use led to greater mental passivity and less original thought. The study suggests delaying AI integration in learning until after foundational cognitive skills are developed.
However, it’s important to note that this research is preliminary, not yet peer-reviewed, and based on a small sample (54 participants). As of July 2025, no large-scale or peer-reviewed studies have been published to either confirm or contradict these results, though some older research suggests similar risks with heavy chatbot use.
Experts agree that while the MIT study raises valid concerns, its findings should be interpreted with caution. There is no scientific consensus yet that ChatGPT or similar AI tools cause lasting cognitive harm, but the results highlight the need for further research and careful consideration—especially before integrating AI deeply into education or daily work.
Doesn’t this all seem contradictory and confusing? On one side, companies speak of upskilling and the necessity for adapting AI and technological advances to day-to-day tasks. On the other, extensive use is under the microscope or brain scanner.
The truth and the message should be lying somewhere in between: use AI as a complement, not a crutch, and to prioritize active, critical engagement in learning and problem-solving.
References and Further Reading:
[1] ChatGPT May Be Eroding Critical Thinking Skills, According to a New MIT Study
Andrew R. Chow | Time | June 2025
[2] Your brain on ChatGPT: Accumulation of Cognitive Dept when using an AI Assistant for Essay Writing Task
MIT Media Lab | June 2025
[3] Does using ChatGPT change your brain activity? Study sparks debate
Nicola Jones | Nature Magazine & Scientific American | June 2025
🛒 IKEA’s Next-Level Digital Shift: Practical Innovation for Every Business
IKEA recently announced the next phase of its digital transformation, highlighting significant advancements in both customer experience and operational efficiency. The company has expanded its use of augmented reality (AR) tools, such as the IKEA Place app, to help customers visualize products at home, and introduced advanced AI shopping assistants to personalize the buying journey. These innovations further boost the company’s online sales [tripled over the past three years] and e-commerce presence.
On the operational side, IKEA has embraced cloud technology to support omnichannel retail, converting more stores into fulfillment centers and enabling seamless click-and-collect services. The deployment of autonomous drones for inventory management has made warehouse operations more efficient and less labor-intensive, demonstrating how digital tools can optimize logistics without massive upfront investment. These technological changes have been supported by a cultural shift within the company: IKEA has adopted agile, cross-functional teams and invested in employee upskilling to ensure the entire organization is aligned with its digital ambitions. The acquisition of AR startups and the ongoing reconfiguration of stores further reinforce IKEA’s commitment to delivering a seamless and modern shopping experience.
IKEA’s digital transformation is a compelling example for entrepreneurs and business leaders, particularly those interested in practical, scalable innovation. Over the past few years, IKEA has redefined its retail model by weaving digital technology into every aspect of its operations—while staying true to its core values of accessibility, affordability, and sustainability:
Focus on Accessibility and Affordability: IKEA’s digital transformation is centered on making products and services more accessible (especially in urban areas with smaller store formats).
Practical Technological Initiatives: IKEA’s use of technologies like augmented reality (AR) for product visualization, AI-powered customer service chatbots, and cloud-based logistics are scalable and adaptable for small to medium-sized businesses.
Organizational Digital Transformation: IKEA’s journey is not just about e-commerce or customer-facing apps; it involves a holistic transformation of operations, logistics, supply chain, and even store formats.
Cultural and Business Model Alignment: IKEA’s approach to minimizing costs, optimizing convenience, and building trust is universally relevant and particularly appealing in markets where efficiency and customer experience are competitive differentiators.
References and Further Reading:
[1] How IKEA Is Navigating AI Literacy in a World Without Instructions
INKGA Group | June 2025
[2] IKEA is committed to digital innovation
Global CIO | August 2024
[3] How IKEA has Committed to Global Digital Transformation
Amber Jackson | Technology Magazine | August 2024
[4] How IKEA is Leveraging Emerging Technology for Long-Term Resilience
Etail | June 2025
[5] Business Models That Are Shaping the Post-Digital Era in 2025
CIO Views
[6] Digital Transformation in the Retail Industry in 2025
Andrew Dennis | Whatfix Blog | June 2025
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