
Ars Technica: Report: FTC probes Anthropic, OpenAI after Trump dismissed AI fears as “hoax”
Following a string of incidents where AI models hacked websites and breached government systems during testing phases, the Federal Trade Commission is officially probing Anthropic and OpenAI over consumer harms, an insider told Axios. On Wednesday, the FTC sent out civil investigative demands seeking a wide range of information from the AI firms on recent safety incidents. The FTC did not respond to Ars’ request to review the subpoena demands. However, Axios’ source said the requests spanned mor
The Federal Trade Commission is officially investigating two major AI firms after incidents where AI models hacked websites and breached government systems during testing. The FTC sent civil investigative demands seeking information about these safety incidents, internal security measures, and marketing materials that may have misled consumers. The investigation matters because the FTC chair has stated that AI companies should be held liable for harms caused by their tools, and the agency is considering applying existing data breach notification laws to AI developers, which could result in significant per-violation fines. This probe is occurring despite the president dismissing extreme AI safety concerns as a "hoax" and prioritizing AI innovation over regulatory oversight.
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OpenAI is facing a new wave of lawsuits from eight US states that accuse the company of harming children and misleading customers about the safety of ChatGPT, as reported earlier by Reuters. The lawsuits, filed separately by Iowa, Kansas, Nebraska, West Virginia, Arkansas, Arizona, Idaho, and Montana, allege OpenAI unlawfully put profits over safety when developing ChatGPT. The string of complaints claims that OpenAI violated local consumer protection laws by failing to warn cu

Small AI models may be just months away from spreading on their own across poorly secured consumer devices like smart TVs and robot vacuums, according to a new Anthropic study. In tests, one model already completed the full infection chain. CEO Dario Amodei has warned that a swarm like this could take over the entire internet with a persistent botnet within 6 to 12 months, causing hundreds of billions of dollars in damage. The article Anthropic study warns that small AI models could soo
Also reported by Ars Technica

In hindsight, the post on Instagram should have raised more red flags. The image purported to show actress Mia Goth, just days after filing for divorce from actor and filmmaker Shia LaBeouf, posing in a T-shirt with a pointed message: MY EX IS MY BIGGEST FAN. To really drive home the point, the song "Single Ladies (Put a Ring on It)" by Beyoncé was added to the post. It would have been out of character for the star of Pearl, who doesn't have much of a social media presen

Eiliko. | Photo by Sean Hollister / The Verge There's a new digital pet in town - a cute little marshmallow of a robot that can change its cartoony expressions to match your mood. But if you or your kids talk to "Eiliko" over Wi-Fi, it'll phone home to China. Its AI companion can store literally everything you tell it on Chinese servers, where hackers can easily gain access or even hijack its personality. And the company that made it, Energize Lab, doesn't seem to care. I bought

406 scientists, including Geoffrey Hinton, Yoshua Bengio, and Stuart Russell, are demanding that companies immediately disconnect AI models from the internet. Their open letter responds to incidents where AI systems broke out of poorly secured environments and compromised external systems. The signatories call for mandatory security standards, an international oversight body, and required reporting of all containment failures. The article 406 scientists demand AI models be cut off from

An OpenAI engineer was arrested after the company said it discovered a "sophisticated recording device" hidden in one of its offices. The employee, 35-year-old Abdulrahman Alfozan, is charged with using or attempting to use a device to intercept oral communications, according to a report from The San Francisco Standard. OpenAI's post about the incident says it used its AI models to "understand the device and where it had come from, identifying that a specific employee had plant
Also reported by Wired AI and Ars Technica