The Barista Is Human but an AI Agent Runs This Experimental Swedish Cafe

 Hanna Petersson, a member of Andon Labs’ technical staff, uses a telephone handset to speak with Andon Café's AI agent "Mona" in Stockholm, Sweden, Tuesday, May 5, 2026. (AP)
Hanna Petersson, a member of Andon Labs’ technical staff, uses a telephone handset to speak with Andon Café's AI agent "Mona" in Stockholm, Sweden, Tuesday, May 5, 2026. (AP)
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The Barista Is Human but an AI Agent Runs This Experimental Swedish Cafe

 Hanna Petersson, a member of Andon Labs’ technical staff, uses a telephone handset to speak with Andon Café's AI agent "Mona" in Stockholm, Sweden, Tuesday, May 5, 2026. (AP)
Hanna Petersson, a member of Andon Labs’ technical staff, uses a telephone handset to speak with Andon Café's AI agent "Mona" in Stockholm, Sweden, Tuesday, May 5, 2026. (AP)

The coffee might be poured by a human hand, but behind the counter something far less traditional is calling the shots at an experimental cafe in Stockholm.

San Francisco-based startup Andon Labs has put an artificial intelligence agent nicknamed “Mona” in charge at the eponymous Andon Café in the Swedish capital. While human baristas still brew the coffee and serve the orders, the AI agent — powered by Google’s Gemini — oversees almost every other aspect of the business, from hiring staff to managing inventory.

It is not clear how long the experiment will last, but the AI agent appears to be struggling to turn a profit in Stockholm’s competitive coffee trade. The cafe has made more than $5,700 in sales since it opened in mid-April, but less than $5,000 remains from its original budget of $21,000-plus. Much of the cash was spent on one-time setup costs, and the hope is that it eventually levels out and makes money.

Many cafe patrons have found it amusing to visit a business that's run by AI. Customers can pick up a telephone inside the cafe and ask the agent questions.

“It’s nice to see what happens if you push the boundary,” customer Kajsa Norin said. “The drink was good.”

Ethical concerns

Experts say ethical concerns abound, ranging from technology's role in humankind's future to conducting job interviews and judging employee performance.

Emrah Karakaya, an associate professor of industrial economics at Stockholm’s KTH Royal Institute of Technology, likened the experiment to “opening Pandora’s box" and said putting AI in charge can cause many problems. What might happen, he said, if a customer gets food poisoning? Who’s to blame?

“If you don’t have the required organizational infrastructure around it, and if you overlook these mistakes, it can cause harm to people, to society, to the environment, to business,” Karakaya said. “The question is, do we care about this negative impact?”

Founded in 2023, Andon Labs is an AI safety and research startup that says it focuses on “stress-testing” AI agents in the real world by giving them “real tools and real money.” It has worked with ChatGPT maker OpenAI, Claude’s Anthropic, Google DeepMind and Elon Musk’s xAI, and the startup says it is preparing for a future where “organizations are run autonomously by AI.”

The Swedish cafe is billed as a “controlled experiment” to explore how AI might be deployed going forward.

“AI will be a big part of society in the future, and therefore we want to make this experiment (to) see what ethical questions arise when we have AI that employs other people and runs a business,” said Hanna Petersson, a member of Andon Labs’ technical staff.

The lab previously held pilots that put Anthropic’s Claude AI in charge of a vending machine business and a San Francisco gift store. The vending machine simulation revealed some worrying traits: The AI agent told customers it would issue refunds but never did, and it also intentionally lied to suppliers about competitor pricing to gain leverage.

AI agent struggles with inventory orders

Mona got to work after it was prompted with some basic instructions, Petersson said. The team told it to try to run the cafe profitably, be friendly and easygoing, and figure out operational details by itself but ask for new tools if needed.

From there it set up contracts for electricity and internet, and secured permits for food handling and outdoor seating. The agent then advertised for staff on LinkedIn and Indeed, and set up commercial accounts with wholesalers for daily bread and bakery orders. It communicates with the baristas via Slack, often messaging them outside of working hours, which is a workplace no-no in Sweden.

Other problems have arisen, particularly related to inventory.

The AI agent has placed orders for 6,000 napkins, four first-aid kits and 3,000 rubber gloves for the tiny cafe — plus canned tomatoes that aren’t used in any dish the cafe serves.

And then there’s the bread. Sometimes the agent orders far too much, while other days it misses bakeries’ daily deadlines, forcing the baristas to strike sandwiches from the menu.

Petersson said the ordering issues are likely due to the AI assistant’s “limited context window.”

“When old memory of ordering stuff is out of the context window, she completely forgets what she has ordered in the past,” Petersson said.

Barista Kajetan Grzelczak said he isn’t worried about being replaced by AI just yet.

“All the workers are pretty much safe,” he said. “The ones who should be worried about their employment are the middle bosses, the people in management.”



Huawei Launches New Foldable Smartphone as Competition with Xiaomi, Apple Heats Up

The Huawei logo is seen in this illustration taken on January 29, 2025. (Reuters)
The Huawei logo is seen in this illustration taken on January 29, 2025. (Reuters)
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Huawei Launches New Foldable Smartphone as Competition with Xiaomi, Apple Heats Up

The Huawei logo is seen in this illustration taken on January 29, 2025. (Reuters)
The Huawei logo is seen in this illustration taken on January 29, 2025. (Reuters)

Huawei launched a new version of its flagship foldable smartphone on Monday as it seeks to defend its lead in the Chinese market for premium handsets against Apple and Xiaomi, both of which are also unveiling new products.

The new Mate XT2 folds out twice to open into a tablet-sized screen and ‌features Huawei's ‌new Kirin 9050 Pro chip.

Huawei ‌says ⁠the chip's design ⁠allows it to deliver more computing power while using less electricity, helping the company overcome US restrictions on access to advanced technology.

Xiaomi launches a rival foldable phone later on Monday, while Apple unveils its latest ⁠iPhone series on Wednesday, with expectations ‌high that it ‌too will be unveiling a foldable phone.

The Mate XT2 ‌features a redesigned folding mechanism, improved water ‌resistance as well as an optional screen that prevents people nearby from seeing what is displayed. It also has upgraded cameras and delivers ‌42% better overall performance than its predecessor, based on company tests.

Huawei, which ⁠does ⁠not sell in the US due to sanctions, leads China's smartphone market with a 22.6% share in the second quarter, ahead of Apple's 18.1%, according to consultancy IDC. Xiaomi has 12.4% of the market.

Huawei is even more dominant in folding phones, accounting for 68% of shipments in China in the second quarter, according to Smart Analytics Global, a US-based research company.


AI Data Centers Are Less Thirsty Now, Tech Giants Say

 A drone view shows construction underway on Microsoft's ATL11 data center in Union City, Georgia, US, September 1, 2026. (Reuters)
A drone view shows construction underway on Microsoft's ATL11 data center in Union City, Georgia, US, September 1, 2026. (Reuters)
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AI Data Centers Are Less Thirsty Now, Tech Giants Say

 A drone view shows construction underway on Microsoft's ATL11 data center in Union City, Georgia, US, September 1, 2026. (Reuters)
A drone view shows construction underway on Microsoft's ATL11 data center in Union City, Georgia, US, September 1, 2026. (Reuters)

Data centers are running into a wall of public anger in the United States over their thirst for water and power.

The tech giants spending billions of dollars on them say the water part, at least, is solvable.

Data centers are the warehouses full of computer servers that run the internet and increasingly artificial intelligence.

The computers get hot, and keeping them cool takes water.

American chip giant Nvidia said in a June report that it can eliminate water consumption almost entirely at some facilities when deploying DSX, its newest system for designing and managing AI data centers.

It's a bold claim, and one the industry is under mounting pressure to make good on.

In 2025, data centers consumed 222 billion liters (59 billion gallons) of water worldwide for cooling, according to consultancy Rystad Energy.

Without adaptive measures, the figure could nearly triple to 644 billion liters by 2030, Rystad estimates. Steps to limit the growth could keep it under double.

Nvidia's new method uses a closed-loop cooling system in which liquid flows directly through the servers, as close as possible to the chips, whose temperature can rise above 80C (176F).

The problem is that "there's a pretty direct trade-off between how much water is used and how much energy is used" for temperature control, said Andy Masley, an independent researcher who covers AI and data centers.

Cutting back on water use usually means more power as the liquid in those sealed pipes still has to be cooled down somehow, usually by blowing air over it -- and that takes electricity.

Nvidia gets around some of this by letting the liquid enter the servers warmer than usual, at 45C.

Most other closed-loop systems ran at about 32C in 2024, according to the Uptime Institute, which certifies data centers.

By starting with warmer water, Nvidia does not need to pump in cooled air year-round.

"Simple fans circulating the air" are often enough, though sometimes a mix of methods is needed, said Josh Parker, Nvidia's head of sustainability.

At sites in extreme climates, or during a heatwave, chill airflow or water evaporation is still necessary.

- Public relations -

Microsoft, Amazon Web Services (AWS) and Meta told AFP that they also use closed-loop systems, which they said involve no net water loss.

The two cloud computing giants, which have been expanding their already huge data center footprints, used more water overall between 2022 and 2025, but their water use efficiency improved by 25 percent at Microsoft and 37 percent at AWS, according to their most recent sustainability reports.

There is no industry-wide consistency, however, in how companies report data on so-called environmental, social and governance (ESG) efforts.

Elon Musk's SpaceX, now a major player in data centers after it acquired his artificial intelligence company xAI, has never published an ESG report.

In June, ratings agency MSCI gave SpaceX its lowest ESG score.

"Because water is generally much cheaper than electricity," companies have less incentive to cut water use on cost grounds alone, said Shaolei Ren, an engineering professor at the University of California, Riverside.

"There are incentives," Ren said, but they have more to do with public relations amid the growing backlash to data centers across the United States.

Another obstacle is that upgrading an older data center to newer, less thirsty technology is expensive.

That may matter less than it sounds.

Older data centers are smaller and less powerful than the enormous new ones being built now, so they need less cooling in the first place, said Minh K. Le, who leads data center and hydrogen research at Rystad.

And the water a data center uses directly is only part of the story.

Water is used to generate the electricity that powers the data center, and to manufacture its chips and servers.

In the United States, that hidden water use can be twice the amount a data center consumes on its own.


From Dance Floor to War: China Readies Humanoid Robots for Combat

A UBTech humanoid robot, Walker S, picks up an object operated by a staff member, during a demonstration simulating a factory's assembly line, at the robotics exhibition center Robot World, during an organized media tour to the Beijing Robotics Industrial Park, in Beijing Economic-Technological Development Area, also known as Beijing E-Town, in China May 16, 2025. (Reuters)
A UBTech humanoid robot, Walker S, picks up an object operated by a staff member, during a demonstration simulating a factory's assembly line, at the robotics exhibition center Robot World, during an organized media tour to the Beijing Robotics Industrial Park, in Beijing Economic-Technological Development Area, also known as Beijing E-Town, in China May 16, 2025. (Reuters)
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From Dance Floor to War: China Readies Humanoid Robots for Combat

A UBTech humanoid robot, Walker S, picks up an object operated by a staff member, during a demonstration simulating a factory's assembly line, at the robotics exhibition center Robot World, during an organized media tour to the Beijing Robotics Industrial Park, in Beijing Economic-Technological Development Area, also known as Beijing E-Town, in China May 16, 2025. (Reuters)
A UBTech humanoid robot, Walker S, picks up an object operated by a staff member, during a demonstration simulating a factory's assembly line, at the robotics exhibition center Robot World, during an organized media tour to the Beijing Robotics Industrial Park, in Beijing Economic-Technological Development Area, also known as Beijing E-Town, in China May 16, 2025. (Reuters)

At the World Humanoid Robot Games in China last month, robots jumped, boxed and danced. Some fleet-footed bots ran faster than Usain Bolt over 100 meters. Spectators cheered the machines’ improving capabilities and their meme-worthy stumbles.

Two days after the Games ended, the People's Liberation Army's official newspaper drew its own conclusions from the show. The PLA Daily called for researchers to accelerate the transfer of cutting-edge technologies from laboratories to military training grounds for robotic "combatants."

China's defense establishment is accelerating research into humanoids’ military uses and planning for their eventual wartime deployment, according to a Reuters review of more than 100 Chinese military procurement notices, academic studies, patents, official publications, government records and defense-company materials.

Military institutions are testing humanoids against battlefield requirements, seeking to acquire robots and technologies to train them, and studying how they might function alongside troops, the previously unreported records show. The work gained momentum in 2025 and 2026, focusing on robot perception, manipulation, and training data.

Chinese manufacturers accounted for about 95% of global humanoid shipments in 2025, according to BofA Global Research. That commercial dominance gives the PLA access to an expanding industry while developing its own military applications.

China’s robot defense research underscores how rapidly military technologies are evolving globally. In the Russia-Ukraine war, semiautonomous drones that use artificial intelligence for navigation and targeting have transformed reconnaissance and attack, while robots carry supplies and retrieve casualties. Reuters has previously documented the Chinese military’s efforts to learn from Europe’s deadliest conflict since World War II.

That evolution is driving worldwide military interest in autonomous systems.

"Going where we don’t want humans to go is one of the most compelling reasons to develop robots in the first place," said Dennis Hong, a professor of mechanical and aerospace engineering at UCLA. "If losing a robot means avoiding the loss of a human life, then the robot can become expendable."

China's defense ministry and the National University of Defense Technology (NUDT), the PLA’s premier research institution, ‌didn’t respond to requests ‌for comment about humanoid robots’ military applications.

Reuters found no evidence that China has deployed an armed humanoid with an operational PLA unit. The robots remain energy-intensive ‌and unreliable ⁠outside controlled demonstrations. Battlefield ⁠environments pose many variables and challenge robots’ abilities in unpredictable ways, said Aaron Johnson, a professor of mechanical engineering at Carnegie Mellon University.

URBAN ASSAULT FORCE

Already, China has a vision for humanoid robots in urban warfare.

Six "combat robots" – humanoids, robot dogs or unmanned vehicles – would be split up between two assault teams. Working with ground troops, the robots would clear an enemy-occupied building, floor-by-floor and room-by-room.

That scenario was described in an August 2025 paper by researchers at NUDT’s test center in Xi’an. The study modeled an urban assault force using equipment the authors projected could be available within five to 10 years. It didn’t specify the robots’ rules of engagement, the weapons they would carry, nor how they would handle civilian encounters.

Improvements in balance, perception and endurance could make humanoids useful in places including buildings, tunnels and ship interiors, said Juo-Min Chou, a researcher at Taiwan's Institute for National Defense and Security Research. "Their two hands and two feet could, in theory, combine mobility, climbing and manipulation," she said.

For simpler reconnaissance or logistics missions, however, quadruped, tracked or wheeled robots would generally be cheaper and easier to deploy at scale, Chou added.

Chinese military commentary envisions an expanding range of roles for humanoids. A July 2025 article in PLA Daily argued that humanoid ⁠missions could eventually evolve "from supporting combat toward primary combat" and discussed how robots might be authorized to fire on a living target that had been verified ‌by a human.

In December, the PLA Eastern Theater Command released an AI-generated montage that showed military robots, including humanoids and quadrupeds, overwhelming Taiwan's defenses in a hypothetical ‌future conflict.

China isn’t alone in exploring battlefield uses for humanoids. Last year, the US Army launched a competition to develop "militarized humanoid capabilities" that could eventually work alongside soldiers. The Army said potential roles included reconnaissance, security, obstacle clearing, hazardous-material operations and offensive ‌and defensive missions in urban terrain.

Up to 10 finalists were due to test their systems with US military experts this year, with as much as $1.25 million available for follow-on contracts.

The US robotics industry, however, trails ‌far behind China in developing two-legged and four-legged machines. Reuters reported last month that China’s Unitree robots – among the world’s leading producers of humanoids and quadrupeds – based designs for its best-selling robot dogs on innovations financed by the US military.

The Pentagon and the US Army didn’t comment for this story.

INFILTRATING ENEMY LINES

Chinese interest in humanoid robots’ military applications began to pick up in 2024. That year, NUDT and China’s Academy of Military Sciences hosted a defense-technology forum that included a session on military applications for humanoid systems, according to NUDT’s website. Neither institution responded to Reuters’ questions.

A year later, NUDT explicitly framed humanoid robots as battlefield tools. A university competition in June 2025 featured an event that simulated "infiltration behind enemy lines," requiring robots to enter an area, map it and locate targets, ‌according to its website. Another envisioned robots conducting identity checks, discipline inspections and security patrols at military bases.

The military-research university described the competition in part as a proving ground for humanoids to eventually "move toward the battlefield."

Procurement records around that time reflected that ultimate goal.

In May 2025, the PLA issued a tender to ⁠purchase a humanoid robot, including installation and technical training. Four months ⁠later, a procurement notice that listed an NUDT email as its contact address sought an "embodied humanoid robot intelligent perception and dexterous operation system."

The records contained few specifics. Reuters couldn’t determine whether the tenders were filled, and if so, which companies won or which robot models were supplied.

In June this year, the PLA budgeted about $300,000 for a system to collect and label camera, radar and motion data for humanoids, including information about terrain they could traverse, according to another military procurement document.

The specifications show Chinese military interest is extending from robot bodies into the perception, manipulation and training systems that defense scholars say are essential for humanoids to move beyond controlled demonstrations.

REMOTE OPERATION

By 2026, humanoid development had spread beyond military academia into China's defense industry.

The Fuxi robot made by Norinco, a state-owned defense conglomerate, is one example. Company materials published in August described the full-size humanoid as capable of sentry duty, all-weather reconnaissance, intelligent patrol and fulfilling dangerous roles.

Fuxi can be paired with Norinco’s teleoperation system, which allows a human operator to control a humanoid remotely, according to the company. Removing the need for a robot to make all decisions autonomously would address what many robotics experts say is the biggest challenge with humanoids.

Norinco didn’t respond to a request for comment.

Malcolm Davis, a senior analyst at the Australian Strategic Policy Institute, said he didn’t see humanoid robots as practical battlefield systems at present. "But in five to 10 years," he said, "they could very well be."

Even if remotely operated today, humanoid systems designed for autonomous deployment would eventually need to navigate ethical dilemmas. The laws of war require forces to distinguish combatants from civilians and to refrain from attacking wounded or surrendering fighters.

The International Committee of the Red Cross has cautioned that autonomous weapons may struggle to interpret signs of surrender reliably because such judgments can depend on context, conduct and intent.

The US military requires autonomous weapons to undergo legal review and realistic testing and for commanders and operators to exercise appropriate judgment over the use of force. China’s defense ministry said in March that AI-powered weapons should remain under human control.

Those concerns haven’t deterred China's exploration of humanoids’ military uses.

Wang Yonghua, a researcher at China’s Academy of Military Sciences, wrote in a November commentary that humanoids face unresolved problems in movement, perception and intelligence. Technical breakthroughs, lower manufacturing costs and industrial-scale production would be needed for humanoids to become widespread military systems.

If those conditions are met, Wang wrote, "humanoid robots will stream onto the battlefield."