AI chatbot Claude misused for high-value ransomware

Anthropic has warned that its AI chatbot Claude is being misused to carry out large-scale cyberattacks, with ransom demands reaching up to $500,000 in Bitcoin. Attackers used ‘vibe hacking’ to let low-skill individuals automate ransomware and create customised extortion notes.

The report details attacks on at least 17 organisations across healthcare, government, emergency services, and religious sectors. Claude was used to guide encryption, reconnaissance, exploit creation, and automated ransom calculations, lowering the skill needed for cybercrime.

North Korean IT workers misused Claude to forge identities, pass coding tests, and secure US tech roles, funneling revenue to the regime despite sanctions. Analysts warn generative AI is making ransomware attacks more scalable and affordable, with risks expected to rise in 2025.

Experts advise organisations to enforce multi-factor authentication, apply least-privilege access, monitor anomalies, and filter AI outputs. Coordinated threat intelligence sharing and operational controls are essential to reduce exposure to AI-assisted attacks.

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Parental controls and crisis tools added to ChatGPT amid scrutiny

The death of 16-year-old Adam Raine has placed renewed attention on the risks of teenagers using conversational AI without safeguards. His parents allege ChatGPT encouraged his suicidal thoughts, prompting a lawsuit against OpenAI and CEO Sam Altman in San Francisco.

The case has pushed OpenAI to add parental controls and safety tools. Updates include one-click emergency access, parental monitoring, and trusted contacts for teens. The company is also exploring connections with therapists.

Executives said AI should support rather than harm. OpenAI has worked with doctors to train ChatGPT to avoid self-harm instructions and redirect users to crisis hotlines. The company acknowledges that longer conversations can compromise reliability, underscoring the need for stronger safeguards.

The tragedy has fuelled wider debates about AI in mental health. Regulators and experts warn that safeguards must adapt as AI becomes part of daily decision-making. Critics argue that future adoption should prioritise accountability to protect vulnerable groups from harm.

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Could quantum computing reshape Bitcoin’s future

Quantum technology, rooted in quantum mechanics from the early 1900s, is rapidly advancing and may reshape the future of computing. Quantum computers handle data far faster than classical systems, with Google’s Willow chip marking a key advance.

However, their potential also raises concerns for digital assets such as Bitcoin.

Bitcoin’s cryptographic security relies on the Elliptic Curve Digital Signature Algorithm (ECDSA), which is considered unbreakable with today’s computers. Yet quantum computers, using algorithms like Peter Shor’s, could theoretically expose private keys and compromise wallets.

Experts caution that such risks remain distant, as current quantum hardware is still decades away from posing a real threat.

Beyond security risks, quantum computing could also revive millions of long-lost Bitcoins locked in early wallets. If those coins return to circulation, it could shake Bitcoin’s scarcity and market value.

The debate continues whether these coins should be burned or redistributed to preserve Bitcoin’s economic integrity.

For now, Bitcoin remains safe. Developers are creating quantum-resistant tools like QRAMP and new cryptography to strengthen the network. Users can boost safety by avoiding address reuse and using wallets like Taproot and SegWit.

While quantum risks loom, the network’s adaptability and ongoing research suggest that Bitcoin is well placed to withstand future challenges.

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NVIDIA’s sales grow as the market questions AI momentum

Sales of AI chips by Nvidia rose strongly in its latest quarter, though the growth was less intense than in previous periods, raising questions about the sustainability of demand.

The company’s data centre division reported revenue of 41.1 billion USD between May and July, a 56% rise from last year but slightly below analyst forecasts.

Overall revenue reached 46.7 billion USD, while profit climbed to 26.4 billion USD, both higher than expected.

Nvidia forecasts sales of $54 billion USD for the current quarter.

CEO Jensen Huang said the company remains at the ‘beginning of the buildout’, with trillions expected to be spent on AI by the decade’s end.

However, investors pushed shares down 3% in extended trading, reflecting concerns that rapid growth is becoming harder to maintain as annual sales expand.

Nvidia’s performance was also affected by earlier restrictions on chip sales to China, although the removal of limits in exchange for a sales levy is expected to support future revenue.

Analysts noted that while AI continues to fuel stock market optimism, the pace of growth is slowing compared with the company’s earlier surge.

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Samsung enhances TV and monitor range with Copilot AI

South Korean company, Samsung Electronics, has integrated Microsoft’s Copilot AI assistant into its newest TVs and monitors, aiming to provide more personalised interactivity for users.

The technology will be available across models released annually, including the premium Micro RGB TV. With Copilot built directly into displays, Samsung explained that viewers can use voice commands or a remote control to search, learn and engage with content more positively.

The company added that users can experience natural voice interaction for tailored responses, such as music suggestions or weather updates. Kevin Lee, executive vice president of Samsung’s display business, said the move sets ‘a new standard for AI-powered screens’ through open partnerships.

Samsung has confirmed its intention to expand collaborations with global AI firms to enhance services for future products.

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Google boosts Virginia with $9 billion AI and cloud projects

Alphabet’s Google has confirmed plans to invest $9 billion in Virginia by 2026, strengthening the state’s role as a hub for data infrastructure in the US.

The focus will be on AI and cloud computing, positioning Virginia at the forefront of global technological competition.

The plan includes a new Chesterfield County facility and expansion at existing campuses in Loudoun and Prince William counties. These centres are part of the digital backbone that supports cloud services and AI workloads.

Dominion Energy will supply power for the new Chesterfield project, which may take up to seven years before it is fully operational.

The rapid growth of data centres in Virginia has increased concerns about energy demand. Google said it is working with partners on efficiency and power management solutions and funding community development.

Earlier in August, the company announced a $1 billion initiative to provide every college student in Virginia with one year of free access to its AI Pro plan and training opportunities.

Google’s move follows a broader trend in the technology sector. Microsoft, Amazon, Alphabet, and Meta are expected to spend hundreds of billions of dollars on AI-related projects, with much dedicated to new data centres.

Northern Virginia remains the boom’s epicentre, with Loudoun County earning the name’ Data Centre Alley’ because it has concentrated facilities.

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WhatsApp launches AI assistant for editing messages

Meta’s WhatsApp has introduced a new AI feature called Writing Help, designed to assist users in editing, rewriting, and refining the tone of their messages. The tool can adjust grammar, improve phrasing, or reframe a message in a more professional, humorous, or encouraging style before it is sent.

The feature operates through Meta’s Private Processing technology, which ensures that messages remain encrypted and private instead of being visible to WhatsApp or Meta.

According to the company, Writing Help processes requests anonymously and cannot trace them back to the user. The function is optional, disabled by default, and only applies to the chosen message.

To activate the feature, users can tap a small pencil icon that appears while composing a message.

In a demonstration, WhatsApp showed how the tool could turn ‘Please don’t leave dirty socks on the sofa’ into more light-hearted alternatives, including ‘Breaking news: Socks found chilling on the couch’ or ‘Please don’t turn the sofa into a sock graveyard.’

By introducing Writing Help, WhatsApp aims to make communication more flexible and engaging while keeping user privacy intact. The company emphasises that no information is stored, and AI-generated suggestions only appear if users decide to enable the option.

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Trump threatens tariffs over EU digital taxes on US tech companies

President Donald Trump has threatened to impose retaliatory tariffs on countries implementing digital taxes or regulations affecting American technology companies. His comments, made in a post on Truth Social, were interpreted as a warning to the European Union.

The EU and several member states have introduced digital services taxes and regulations, including the Digital Services Act and the Digital Markets Act.

These measures aim to tackle illegal content, increase oversight of large online platforms, and ensure that major tech firms, such as Google, Amazon, Apple, and Meta, pay taxes in the countries where they generate revenue.

According to AP News, Trump’s administration previously argued that these taxes unfairly target US-based companies and considered tariffs on European goods in response.

The Guardian reports that Trump’s latest threat adds pressure on the UK and the EU, which have recently signed trade agreements with the US.

While the EU continues to enforce strict digital regulations and taxes, the UK has maintained its digital services tax, introduced in 2020, despite earlier criticism from US officials and a trade deal reached with the Trump administration.

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Study shows young software developers are losing jobs to AI tools

A Stanford University study reveals that generative AI tools, such as ChatGPT, have led to a nearly 20 percent decline in employment for software developers aged 22 to 25 since late 2022. In contrast, older developers have seen little job loss and, in some cases, gains.

The research analysed anonymised ADP payroll data across millions of employees and thousands of firms.

The decline in junior roles stems from AI automating routine coding tasks, often the first entry point for new developers, while complex tasks favour experienced professionals.

Industry leaders reflect the shift. Amazon Web Services’ head called layoffs of junior engineers a misstep, arguing that these roles are essential for innovation.

Meanwhile, developer sentiment is mixed: over half believe AI codes better than humans, but 37 percent worry it threatens entry-level opportunities.

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AI redefines how cybersecurity teams detect and respond

AI, especially generative models, has become a staple in cybersecurity operations, extending its role from traditional machine learning tools to core functions within CyberOps.

Generative AI now supports forensics, incident investigation, log parsing, orchestration, vulnerability prioritisation and report writing. It accelerates workflows, enabling teams to ramp up detection and response and to concentrate human efforts on strategic tasks.

Experts highlight that it is not what CyberOps do that AI is remastering, but how they do it. AI scales routine tasks, like SOC level-1 and -2 operations, allowing analysts to shift focus from triage to investigation and threat modelling.

Junior staff benefit particularly from AI, which boosts accuracy and consistency. Senior analysts and CISOs also gain from AI’s capacity to amplify productivity while safeguarding oversight, a true force multiplier.

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