Artificial intelligence

Matlock denies AI bot rumours amid concerns over campaign image

Mark Matlock, a political candidate for the right-wing Reform UK party, has affirmed that he is indeed a real person, dispelling rumours that he might be an AI bot. The suspicions arose from a highly edited campaign image and his absence from critical events, prompting a thread on social media platform X that questioned his existence.

The speculation about AI involvement is partially plausible, especially considering that an AI company executive recently used an AI persona to run for Parliament in the UK, though he garnered only 179 votes. However, Matlock clarified that he was severely ill with pneumonia during the election period, rendering him unable to attend events. He provided the original campaign photo, explaining that only minor edits were made.

Why does it matter?

The incident highlights the broader implications of AI in politics. The 2024 elections in the US and elsewhere are already witnessing the impact of AI tools, from deepfake videos to AI-generated political ads. As the use of such technology grows, candidates must maintain transparency and authenticity to avoid similar controversies.

US authorities disrupt Russian AI-powered disinformation campaign

Authorities from multiple countries have issued warnings about a sophisticated disinformation campaign backed by Russia that leverages AI-powered software to spread false information both in the US and internationally. The operation, known as Meliorator, is reportedly being carried out by affiliates of RT (formerly Russia Today), a Russian state-sponsored media outlet, to create fake online personas and disseminate misleading content. Since at least 2022, Meliorator has been employed to spread disinformation targeting the US, Poland, Germany, the Netherlands, Spain, Ukraine, and Israel, as detailed in a joint advisory released by US, Canadian, and Dutch security services.

Meliorator is designed to create fake social media profiles that appear to be real individuals, primarily from the US. These bots can generate original posts, follow users, like, comment, repost, and gain followers. They are capable of mirroring and amplifying existing Russian disinformation narratives. The identities of these bots are crafted based on specific parameters like location, political ideologies, and biographical data. Meliorator can also group bots with similar ideologies to enhance their personas.

Moreover, most bot accounts had over 100,000 followers to avoid detection and followed genuine accounts aligned with their fabricated political leanings. As of June 2024, Meliorator was only operational on X, but there are indications that its functionality might have expanded to other social media networks.

The US Justice Department (DOJ) announced the seizure of two domain names and the search of nearly a thousand social media accounts used by Russian actors to establish an AI-enhanced bot farm with Meliorator’s assistance. The bot farm operators registered fictitious social media accounts using private email servers linked to the seized domain names. The FBI took control of these domains, while social media platform X (formerly Twitter) voluntarily suspended the remaining identified bot accounts for violating terms of service.

FBI Director Christopher Wray emphasised that this marks a significant step in disrupting a Russian-sponsored AI-enhanced disinformation bot farm. The goal of the bot farm was to use AI to scale disinformation efforts, undermining partners in Ukraine and influencing geopolitical narratives favouring the Russian government. These accounts commonly posted pro-Kremlin content, including videos of President Vladimir Putin and criticism of the Ukrainian government.

US authorities have linked the development of Meliorator to a former deputy editor-in-chief at RT in early 2022. RT viewed this bot farm as an alternative means of distributing information beyond its television broadcasts, especially after going off the air in the US in early 2022. The Kremlin approved and financed the bot farm, with Russia’s Federal Security Service (FSB) having access to the software to advance its goals.

The DOJ highlighted that the use of US-based domain names by the FSB violates the International Emergency Economic Powers Act, and the associated payments breach US money laundering laws. Deputy Attorney General Lisa Monaco stated that the DOJ and its partners will not tolerate the use of AI by Russian government actors to spread disinformation and sow division among Americans.

Why does it matter?

The disruption of the Russian operation comes just four months before the US presidential election, a period during which security experts anticipate heightened hacking and covert social media influence attempts by foreign adversaries. Attorney General Merrick Garland noted that this is the first public accusation against a foreign government for using generative AI in a foreign influence operation.

AI startup investments surge to $24 billion

Investments in AI startups soared to $24 billion in the last two months, more than doubling from the previous quarter, as reported by sources familiar with the matter. The surge reflects a growing interest in AI technology, making it the largest investment sector, followed by healthcare and biotech. Overall startup funding increased 16% to $79 billion in the last quarter, driven mainly by AI.

The success of OpenAI’s ChatGPT has sparked a race to integrate the latest AI technology in various fields, including business productivity, healthcare, and manufacturing. However, investors and major tech firms caution that substantial returns from these investments are expected to materialise over the next few years.

Five out of six billion-dollar funding rounds were for AI companies during this period. Notable deals included Elon Musk’s xAI raising $6 billion and AI infrastructure provider CoreWeave securing $1.1 billion. In addition, the automated driving company Wayve and data preparation company Scale AI have attracted substantial investments. Cybersecurity firm Wiz, for example, raised a billion dollars in its latest funding round outside the AI sector.

Why does it matter?

Despite the recent increase, overall startup funding remains lower than in the past three years. Global funding dropped 5% to $147 billion in the year’s first half and remained flat compared to the latter half of 2023. The tight monetary policy in the US has also slowed the revival of initial public offerings (IPOs), a significant source of returns for institutional private market investors who typically invest in startups and sell shares during IPOs.

AI conference spotlights Chinese GPU advances

At the recent World Artificial Intelligence Conference in Shanghai, Chinese GPU developers seized the opportunity to showcase their products in Nvidia’s absence. Prominent companies such as Iluvatar Corex, Moore Threads, Enflame Technology, Sophgo, and Huawei’s Ascend were at the forefront, highlighting their advancements despite significant challenges in manufacturing and software ecosystems.

Enflame Technology emphasised the shift from foreign-dominated computing clusters to a mix of Chinese and foreign GPUs. The company, along with AI solutions firm Infinigence, is promoting compute resources that utilise a variety of chips from both Nvidia and Chinese manufacturers. However, US export restrictions have prevented Nvidia from selling its most advanced chips in China, and several Chinese firms, including Huawei, are struggling with manufacturing hurdles due to being blacklisted by the US.

Huawei’s booth was a major attraction, showcasing its Ascend 910B chips, which train numerous large language models in China. Meanwhile, Enflame presented its Cloudblazer T20 and T21 AI-training chips, benefiting from not being on the US trade blacklist, which allows it access to global foundries like TSMC.

Despite these efforts, Chinese GPUs still need to catch up with their global counterparts regarding performance. Nvidia remains a dominant player, with tailored chips for the Chinese market continuing to be popular. Nvidia is expected to deliver over 1 million H20 GPUs in China this year, generating $12 billion in sales. However, experts highlight that China’s in-house technology still needs to meet its substantial domestic AI demand.

AI driving transformation in financial services

At YourStory’s Tech Leaders’ Conclave, Ankur Pal, Chief Data Scientist at Aplazo, discussed how AI is transforming the financial services industry. Aplazo aims to address financial inclusion, especially in developing countries with low credit card penetration, by providing fair and transparent solutions like their Buy Now Pay Later (BNPL) platform. Pal highlighted AI’s potential to revolutionise fintech by creating personalised financial products and improving operational efficiency, ultimately reducing friction for consumers and institutions.

Pal emphasised AI’s role in enhancing decision-making processes, reducing fraud, and improving customer service. AI-driven solutions enable real-time data processing, which helps financial institutions detect and prevent fraud more effectively.

Additionally, AI can automate routine tasks, allowing financial professionals to focus on strategic initiatives. The real-time decision-making is becoming increasingly important as financial institutions invest in event streaming infrastructure and machine learning operations (MLOps) stacks to manage high transaction volumes with low latency.

Overcoming financial inclusion barriers was a key topic, with Pal noting that many developing countries still have a large unbanked or underbanked population despite high bank account ownership. AI can bridge this gap by offering tailored financial solutions for underserved communities.

Pal also discussed the importance of leadership and the skill sets required for building successful AI teams. He stressed the need for adaptability, continuous learning, and a deep understanding of both technology and business to create valuable AI solutions. While AI will transform job roles, it will also create new opportunities, making it crucial for leaders to foster a culture of innovation.

AI-powered workplace innovation: Tech Mahindra partners with Microsoft

Tech Mahindra has partnered with Microsoft to enhance workplace experiences for over 1,200 customers and more than 10,000 employees across 15 locations by adopting Copilot for Microsoft 365. The collaboration aims to boost workforce efficiency and streamline processes through Microsoft’s trusted cloud platform and generative AI capabilities. Additionally, Tech Mahindra will deploy GitHub Copilot for 5,000 developers, anticipating a productivity increase of 35% to 40%.

Mohit Joshi, CEO and Managing Director of Tech Mahindra, highlighted the transformative potential of the partnership, emphasising the company’s commitment to shaping the future of work with cutting-edge AI technology. Tech Mahindra plans to extend Copilot’s capabilities with plugins to leverage multiple data sources, enhancing creativity and productivity. The focus is on increasing efficiency, reducing effort, and improving quality and compliance across the board.

As part of the initiative, Tech Mahindra has launched a dedicated Copilot practice to help customers unlock the full potential of AI tools, including workforce training for assessment and preparation. The company will offer comprehensive solutions to help customers assess, prepare, pilot, and adopt business solutions using Copilot for Microsoft 365, providing a scalable and personalised user experience.

Judson Althoff, Executive Vice President and Chief Commercial Officer at Microsoft, remarked that the collaboration would empower Tech Mahindra’s employees with new generative AI capabilities, enhancing workplace experiences and increasing developer productivity. The partnership aligns with Tech Mahindra’s ongoing efforts to enhance workforce productivity using GenAI tools, demonstrated by the recent launch of a unified workbench on Microsoft Fabric to accelerate the adoption of complex data workflows.

ChatGPT vs Google: The battle for search dominance

OpenAI’s ChatGPT, launched in 2022, has revolutionised the way people seek answers, shifting from traditional methods to AI-driven interactions. This AI chatbot, along with competitors like Anthropic’s Claude, Google’s Gemini, and Microsoft’s CoPilot, has made AI a focal point in information retrieval. Despite these advancements, traditional search engines like Google remain dominant.

Google’s profits surged by nearly 60% due to increased advertising revenue from Google Search, and its global market share reached 91.1% in June, even as ChatGPT’s web visits declined by 12%.

Google is not only holding its ground but also leveraging AI technology to enhance its services. Analysts at Bank of America credit Gemini, Google’s AI, with contributing to the growth in search queries. By integrating Gemini into products such as Google Cloud and Search, Google aims to improve their performance, blending traditional search capabilities with cutting-edge AI innovations.

However, Google’s dominance faces significant legal challenges. The U.S. Department of Justice has concluded a major antitrust case against Google, accusing the company of monopolising the digital search market, with a verdict expected by late 2024.

Additionally, Google is contending with another antitrust lawsuit filed by the U.S. government over alleged anticompetitive behaviour in the digital advertising space. These legal challenges could reshape the digital search landscape, potentially providing opportunities for AI chatbots and other emerging technologies to gain a stronger foothold in the market.

User concerns grow as AI reshapes online interactions

As AI continues to evolve, it’s reshaping online platforms and stirring concerns among longtime users. At a recent tech conference, concerns were raised about AI-generated content flooding forums like Reddit and Stack Overflow, mimicking human interactions. Reddit moderator Sarah Gilbert highlighted the frustration felt by many contributors who see their genuine contributions overshadowed by AI-generated posts.

Stack Overflow, a hub for programming solutions, faced backlash when it initially banned AI-generated responses due to inaccuracies. However, it’s now embracing AI through partnerships to enhance user experience, sparking debates about the balance between human input and AI automation. CEO Prashanth Chandrasekar acknowledged the challenges, noting their efforts to maintain a community-driven knowledge base amidst technological shifts.

Meanwhile, social media platforms like Meta (formerly Facebook) are under scrutiny for using AI to train models on user-generated content without explicit consent. That has prompted regulatory action in countries like Brazil, where fines were imposed for non-compliance with data protection laws. In Europe and the US, similar concerns over privacy and transparency persist as AI integration grows.

The debate underscores broader issues of digital ethics and the future of online interaction, where authenticity and user privacy collide with technological advancements. Platforms must navigate these complexities to retain user trust while embracing AI’s potential to innovate and automate online experiences.

AI stocks surge prompts profit-taking advice

According to strategists at Citigroup Inc., investors are being advised to consider cashing in on the recent surge in AI stocks. The analysis highlights strong investor sentiment towards AI-exposed equities, reminiscent of levels seen in 2019. Drew Pettit’s team at Citi notes that while there’s no clear bubble in AI stocks overall, the rapid rise in specific names raises concerns about increased volatility ahead.

This year, the AI frenzy has driven Nvidia Corp. to briefly claim the title of the world’s most valuable company, while Taiwan Semiconductor Manufacturing Co. surpassed $1 trillion in market value. Citi suggests focusing on profit-taking, particularly among chip-makers, and diversifying investments across the broader AI sector.

Despite cautious signals from Citi, many market observers believe the AI momentum will persist through the year’s second half. Bloomberg News reports a split among investors, some favouring established giants like Nvidia, while others look to secondary beneficiaries such as utilities and infrastructure providers.

Acknowledging AI stocks’ optimism, Citi’s strategists emphasise that current stock prices imply high expectations.

Singapore advocates for international AI standards

Singapore’s digital development minister, Josephine Teo, has expressed concerns about the future of AI governance, emphasising the need for an internationally agreed-upon framework. Speaking at the Reuters NEXT conference in Singapore, Teo highlighted that while Singapore is more excited than worried about AI, the absence of global standards could lead to a ‘messy’ future.

Teo pointed out the necessity for specific legislation to address challenges posed by AI, particularly focusing on using deepfakes during elections. She stressed that implementing clear and effective laws will be crucial as AI technology advances to manage its impact on society and ensure responsible use.

Singapore’s proactive stance on AI reflects its commitment to balancing technological innovation with necessary regulatory measures. The country aims to harness the benefits of AI while mitigating potential risks, especially in critical areas like electoral integrity.