Consumer protection

Court filing details Musk’s outreach to Zuckerberg over OpenAI bid

Elon Musk attempted to bring Meta chief executive Mark Zuckerberg into his consortium’s $97.4 billion bid for OpenAI earlier this year, the company disclosed in a court filing.

According to sworn interrogations, OpenAI said Musk had discussed possible financing arrangements with Zuckerberg as part of the bid. Musk’s AI startup xAI, a competitor to OpenAI, did not respond to requests for comment.

In the filing, OpenAI asked a federal judge to order Meta to provide documents related to any bid for OpenAI, including internal communications about restructuring or recapitalisation. The firm argued these records could clarify motivations behind the bid.

Meta countered that such documents were irrelevant and suggested OpenAI seek them directly from Musk or xAI. A US judge ruled that Musk must face OpenAI’s claims of attempting to harm the company through public remarks and what it described as a sham takeover attempt.

The legal dispute follows Musk’s lawsuit against OpenAI and Sam Altman over its for-profit transition, with OpenAI filing a countersuit in April. A jury trial is scheduled for spring 2026.

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Ransomware attack at DaVita exposes data of 2.7 million patients in the US

A ransomware attack against dialysis provider DaVita has exposed the personal data of 2.7 million people, according to a notice on the US health department’s website.

The company first disclosed the cyber incident in April, saying it had taken steps to restore operations but could not predict the scale of disruption.

DaVita confirmed that hackers gained unauthorised access to its laboratory database, which contained sensitive information belonging to some current and former patients. The firm said it is now contacting those affected and offering free credit monitoring to help protect against identity theft.

Despite the intrusion, DaVita maintained uninterrupted dialysis services across its network of nearly 3,000 outpatient clinics and home treatment programmes. The company described the cyberattack as a temporary disruption but stressed that patient care was never compromised.

Financial disclosures show the incident led to around $13.5 million in charges during the second quarter of 2025. Most of the costs were linked to system restoration and third-party support, with $1 million attributed to higher patient care expenses.

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Google pushes agentic AI worldwide with AI Mode rollout

Google has expanded its AI Mode service to 180 additional countries, extending advanced agentic capabilities to a global audience.

Previously available only in markets such as the US, UK and India, the service allows users to search for information and carry out tasks on their behalf. The update reflects Google’s ambition to move from simple answers to action-oriented assistance.

A key rollout feature is the restaurant booking tool for AI Ultra subscribers. Using natural language requests such as ”find a romantic Italian spot for two tonight,” the system can check availability, offer personalised suggestions and confirm reservations directly within search.

The feature relies on real-time data from partners like OpenTable and highlights how Google’s AI can execute tasks instead of simply presenting options.

Further tools are expected soon, including ticketing for events and appointment scheduling. These are powered by the Gemini models, which tailor recommendations based on user behaviour and allow group planning through shared responses.

While the services could reduce reliance on third-party apps in sectors such as travel and hospitality, they also raise concerns over data privacy, inclusivity and cultural differences in an English-only rollout.

The global expansion strengthens Google’s position against rivals like Microsoft and OpenAI, who are also pushing forward in agentic AI. The company sees subscription upgrades to AI Ultra as a way to offset slower advertising growth, while early reports suggest increased user engagement.

However, the long-term impact will depend on balancing innovation with ethical safeguards as Google works to deliver more multilingual and accessible features.

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Students seek emotional support from AI chatbots

College students are increasingly turning to AI chatbots for emotional support, prompting concern among mental health professionals. A 2025 report ranked ‘therapy and companionship’ as the top use case for generative AI, particularly among younger users.

Studies by MIT and OpenAI show that frequent AI use can lower social confidence and increase avoidance of face-to-face interaction. On campuses, digital mental health platforms now supplement counselling services, offering tools that identify at-risk students and provide basic support.

Experts warn that chatbot companionship may create emotional habits that lack grounding in reality and hinder social skill development. Counsellors advocate for educating students on safe AI use and suggest universities adopt tools that flag risky engagement patterns.

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Europol warns that the $50,000 Qilin reward is fake

Europol has warned that a reported $50,000 reward for information on two members of the Qilin ransomware group is fake. The message, circulating on Telegram, claimed the suspects, known as Haise and XORacle, coordinate affiliates and manage extortion operations.

Europol clarified that it does not operate a Telegram channel and that the message does not originate from its official accounts, which are active on Instagram, LinkedIn, X, Bluesky, YouTube, and Facebook.

Qilin, also known as Agenda, has been active since 2022 and, in 2025, listed over 400 victims on its leak website, including media and pharmaceutical companies.

Recent attacks, such as the one targeting Inotiv, demonstrate the group’s ongoing threat. Analysts note that cybercriminals often circulate false claims to undermine competitors, mislead affiliates, or sow distrust within rival gangs.

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Caution rises over inflated AI-driven tech valuations

US tech stocks have stumbled after a sharp rally, with investors increasingly cautious over AI-linked valuations and shifting market conditions. The S&P 500 tech sector has dropped around 2.5% this week, while the Nasdaq has slipped 2%, led by losses in Nvidia and Palantir.

The fall follows a 50% surge in tech shares since April, far outpacing the broader market and pushing valuations to year-highs. Concerns are growing that investor enthusiasm around AI has become overheated, with some funds reducing their exposure ahead of expected interest rate guidance.

US market watchers are now focused on Federal Reserve Chair Jerome Powell’s speech at Jackson Hole, which could signal if rate cuts are on the horizon. Tech stocks, already heavily weighted in many portfolios, are particularly vulnerable to higher rates due to their stretched price-to-earnings ratios.

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AI improves customer experience at Citi

Citi has expanded its digital client platform, CitiDirect Commercial Banking, with new AI capabilities to improve customer service and security.

The platform now supports over half of Citi’s global commercial banking client base and handles around 2.3 million sessions.

AI features assist in fraud detection, automate customer queries, and provide real-time onboarding updates and guidance.

KYC renewals have been simplified through automated alerts and pre-filled forms, cutting effort and processing time for clients.

Live in markets including the UK, US, India, and others, the platform has received positive feedback from over 10,000 users. Citi says the enhancements are part of a broader effort to make mid-sized corporate banking faster, more innovative, and more efficient.

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Fed urges banks to embrace blockchain innovation

Federal Reserve Vice Chair for Supervision Michelle Bowman has warned that banks must embrace blockchain technology or risk fading into irrelevance. At the Wyoming Blockchain Symposium on 19 August, she urged banks and regulators to drop caution and embrace innovation.

Bowman highlighted tokenisation as one of the most immediate applications, enabling assets to be transferred digitally without intermediaries or physical movement.

She explained that tokenised systems could cut operational delays, reduce risks, and expand access across large and smaller banks. Regulatory alignment, she added, could accelerate tokenisation from pilots to mainstream adoption.

Fraud prevention was also a key point of her remarks. Bowman said financial institutions face growing threats from scams and identity theft, but argued blockchain could help reduce fraud.

She called for regulators to ensure frameworks support adoption rather than hinder it, framing the technology as a chance for collaboration between the industry and the Fed.

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GPT-5 criticised for lacking flair as users seek older ChatGPT options

OpenAI’s rollout of GPT-5 has faced criticism from users attached to older models, who say the new version lacks the character of its predecessors.

GPT-5 was designed as an all-in-one model, featuring a lightweight version for rapid responses and a reasoning version for complex tasks. A routing system determines which option to use, although users can manually select from several alternatives.

Modes include Auto, Fast, Thinking, Thinking mini, and Pro, with the last available to Pro subscribers for $200 monthly. Standard paid users can still access GPT-4o, GPT-4.1, 4o-mini, and even 3o through additional settings.

Chief executive Sam Altman has said the long-term goal is to give users more control over ChatGPT’s personality, making customisation a solution to concerns about style. He promised ample notice before permanently retiring older models.

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MIT highlights divide in business AI project success

A new MIT study has found that 95% of corporate AI projects fail to deliver returns, mainly due to difficulties integrating them with existing workflows.

The report, ‘The GenAI Divide: State of AI in Business 2025’, examined 300 deployments and interviewed 350 employees. Only 5% of projects generated value, typically when focused on solving a single, clearly defined problem.

Executives often blamed model performance, but researchers pointed to a workforce ‘learning gap’ as the bigger barrier. Many projects faltered because staff were unprepared to adapt processes effectively.

More than half of GenAI budgets were allocated to sales and marketing, yet the most substantial returns came from automating back-office tasks, such as reducing agency costs and streamlining roles.

The study also found that tools purchased from specialised vendors were nearly twice as successful as in-house systems, with success rates of 67% compared to 33%.

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