PwC vs The Linux Foundation

PwC warns of AI agent governance gaps and security risks

According to PwC's 'Digital Trust Insights 2027' study, German companies plan to increase cybersecurity investments and delegate more operational responsibility to AI. 47% of executives expect cyber budgets to rise by 6-10% (up from 36% last year). AI applications are a top investment focus for 57%, followed by cloud security (54%) and managed security services (40%). However, governance lags: only 30% prioritize control structures for AI, and 29% would allow AI agents to act fully autonomously. Gaps remain in emergency planning (29% have integrated plans) and industrial OT security (42% cite lack of resources). Additionally, 61% adopt multi/hybrid-cloud to reduce vendor dependency, reflecting growing focus on digital sovereignty.

• 47% of German executives expect cyber budget increases of 6-10% (up from 36% last year).
• 29% of German companies would allow AI agents to act fully autonomously.
• Only 30% of German companies prioritize AI governance and control structures, compared to 42% globally.

AI Drives Cyber Spending; Firms See Risks from Autonomous Systems

According to PwC's 2027 Global Digital Trust Insights Survey, 84% of security and finance executives expect their cyber budgets to increase in the next twelve months, up from 78% last year. AI is a top budget priority for 58% of security leaders, yet only 39% have fully formalized continuity plans that address cyber risks. Attacks on AI systems are the top unprepared threat for 50% of respondents, ahead of cloud threats (40%), third-party attacks (34%), and ransomware (33%). Only 22% would allow AI agents to make autonomous decisions in cyber defense, citing reliability, accountability, and skill gaps. Notably, only 47% say cyber risks are regularly on the board agenda. To mitigate, companies are adopting multi-cloud strategies (54%), regional data redundancy (47%), and improved vendor risk management (50%). The survey covers nearly 4,000 executives across 71 countries.

• 84% of security and finance executives expect cyber budgets to rise in the next 12 months, up from 78% last year.
• 58% of security leaders rank AI as a top cyber budget priority.
• Only 39% of companies have a fully formalized and integrated continuity plan that addresses cyber risks.

AI study platform StudyStash acquired by Kortext

StudyStash, an adaptive AI study platform, has been acquired by edtech company Kortext. The acquisition occurred a year after the founders graduated from the University of Birmingham, with financial terms undisclosed. StudyStash turns course content into personalized flashcards, practice tests, and podcasts, and is used by tens of thousands of students across 160+ institutions in multiple countries. Following the acquisition, founders Ben Ward and Jonathan Graham will remain CEO and CTO, and the company will continue as a distinct brand. The founders are relocating to Silicon Valley to expand in the US market.

• StudyStash was acquired by Kortext, an edtech company.
• The acquisition happened a year after founders graduated from University of Birmingham.
• StudyStash is used in 160+ institutions across UK, Europe, US, and Africa.

European firms urged to boost open source involvement for sovereignty

At the Open Source Summit Europe in Prague, organized by the Linux Foundation, speakers urged European companies to move from merely consuming open source software to actively contributing and participating in governance. A Linux Foundation survey found that over 90% of European organizations view digital sovereignty as strategically important, and that those with advanced open source governance achieve over four times return on investment versus 3.6 times for others. The EU's Tech Sovereignty Package and Cyber Resilience Act were cited as policy drivers. The summit also discussed AI agents, with GitHub data showing one in three pull requests now involve AI agents, and concerns about AI accuracy among developers. The event highlighted the need for European autonomy in technology development.

• Open Source Summit Europe took place in Prague, organized by the Linux Foundation.
• Linux Foundation survey: over 90% of European organizations consider digital sovereignty important.
• Organizations with advanced open source governance report >4x ROI vs. 3.6x for others.

Linux Foundation Europe Report: Digital Sovereignty Drives EU Tech Strategy

The Linux Foundation Europe released its fifth annual 'State of Open Source in Europe 2026' report, revealing that digital sovereignty is now central to European technology strategy. According to the report, 94% of organizations consider digital sovereignty important, with 61% deeming it very important. Organizations with advanced open-source governance report an average return on investment over four times their investment, compared to 3.6 times for those without formal governance. The report highlights that European developers contribute nearly 40% to foundational infrastructure projects like Kubernetes and OpenStack. However, significant challenges remain: 31% of organizations lack formal open-source governance, and while 94% use or test AI-based coding tools, there is pressure on managing open-source dependencies. The report also notes that 48% of organizations manage private forks, incurring high maintenance costs, and that the 2026 technology sovereignty package is expected to generate two billion euros in digital infrastructure investments.

• 94% of European organizations consider digital sovereignty important, with 61% rating it very important.
• Organizations with advanced open-source governance report average ROI over 4x their investment, vs. 3.6x for those without.
• European developers contribute nearly 40% to foundational projects like Kubernetes and OpenStack.

Open Secure AI Alliance Joins the Linux Foundation to Build a Shared, Open Defense Stack for the AI Era

Originally founded by dozens of enterprise leaders and NVIDIA, the Alliance moves to neutral governance to expand industry collaboration on open AI security tools, research and shared defenses.