Initially, work focused on identifying specific requirements for each stakeholder. Surveys have been conducted across the EU to gather these requirements. In parallel, six farms that already use Automated Milking Systems (AMS) were selected to serve as the primary use cases and real-world demonstrators. Progress was also made in the identification of the data that will serve as the basis for further research regarding the AMS adjustments. Historical data has been identified, in parallel with actual data from the farms. Several technologies for the dAIry 4.0 project are now under development, as next project phase has started. New camera-based sensing systems are being designed for integration into milking robots, enabling real-time health monitoring at the single-teat level. These cameras, along with novel sensors for milk quality assessments, will allow milk to be partitioned into different tanks based on its quality. Additionally, data from all sensors will feed into a so called "Animal Status Classifier" module, which will monitor and assess animal health and support related decision-making at the single animal level. All gathered data will be integrated into the new dAIry 4.0 management platform, under development. Supported by the Decision Support System, a Simulator and a farm Digital Twin, this platform will generate real-time recommendations and notifications for farmers.