Judge halts OPM data sharing with DOGE amid privacy concerns

A federal judge in New York ordered the US Office of Personnel Management (OPM) to stop sharing sensitive personal data with the Department of Government Efficiency (DOGE) agents.

The preliminary injunction, issued on 6 June by Judge Denise Cote, cited a strong likelihood that OPM and DOGE violated both the Privacy Act of 1974 and the Administrative Procedures Act.

The lawsuit, led by the Electronic Frontier Foundation and several advocacy groups, alleges that OPM unlawfully disclosed information from one of the largest federal employee databases to DOGE, a controversial initiative reportedly linked to billionaire Elon Musk.

The database includes names, social security numbers, health and financial data, union affiliations, and background check records for millions of federal employees, applicants, and retirees.

Union representatives and privacy advocates called the ruling a significant win for data protection and government accountability. AFGE President Everett Kelley criticised the involvement of ‘Musk’s DOGE cronies’, arguing that unelected individuals should not have access to such sensitive material.

The legal action also seeks to delete any data handed over to DOGE. The case comes amid ongoing concerns about federal data security following OPM’s 2015 breach, which compromised information on more than 22 million people.

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G7 trip could shift political balance for President Lee

President Lee Jae-myung is making his first major diplomatic appearance at the G7 summit in Canada, just two weeks into office. The trip marks a reset of South Korea’s foreign policy, focusing on pragmatic diplomacy prioritising national interest.

Officials say the visit aims to restart high-level talks after six months of stagnation, and could include a pivotal meeting with US President Donald Trump. Trade tensions, defence costs and the future of US troops in South Korea are expected to dominate any bilateral agenda.

Lee is also preparing for potential talks with Japanese Prime Minister Shigeru Ishiba as his administration tests its strategy amid rising US-China rivalry. A trilateral summit is considered, adding further weight to this diplomatic debut.

The summit’s outcome could influence Lee’s political standing at home, where leaders have often used foreign success to strengthen domestic reforms. However, failure to secure tangible results could expose the new administration to early criticism.

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Sam Altman says GPT-4o demand overwhelmed OpenAI’s GPU supply

OpenAI faced a significant infrastructure strain after its GPT-4o image generator went viral for producing Ghibli-style memes. The sudden influx of user demand added a million new users in under an hour, putting immense pressure on the company’s systems.

CEO Sam Altman admitted that OpenAI had to slow feature rollouts and borrow computing power from its research division to keep the service running. The platform temporarily introduced rate limits as it coped with overloaded GPUs.

Altman described the situation as unprecedented, saying no other company has had to manage such intense viral spikes. He noted that image generation with GPT-4o requires significant compute resources, which the company could not fully meet with its current GPU inventory.

Despite the challenges, Altman maintained that OpenAI is committed to managing high user demand while continuing development. The company is also considering watermarking the AI images created by free users to help manage scale and traceability.

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Sam Altman predicts AI will discover new ideas

In a new blog post titled The Gentle Singularity, OpenAI CEO Sam Altman predicted that AI systems capable of producing ‘novel insights’ may arrive as early as 2026.

While Altman’s essay blends optimism with caution, it subtly signals the company’s next central ambition — creating AI that goes beyond repeating existing knowledge and begins generating original ideas instead of mimicking human reasoning.

Altman’s comments echo a broader industry trend. Researchers are already using OpenAI’s recent o3 and o4-mini models to generate new hypotheses. Competitors like Google, Anthropic and FutureHouse are also shifting their focus towards scientific discovery.

Google’s AlphaEvolve has reportedly devised novel solutions to complex maths problems, while FutureHouse claims to have built AI capable of genuine scientific breakthroughs.

Despite the optimism, experts remain sceptical. Critics argue that AI still struggles to ask meaningful questions, a key ingredient for genuine insight.

Former OpenAI researcher Kenneth Stanley, now leading Lila Sciences, says generating creative hypotheses is a more formidable challenge than agentic behaviour. Whether OpenAI achieves the leap remains uncertain, but Altman’s essay may hint at the company’s next bold step.

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Elon Musk’s X tightens control on AI data use

Social media platform X has updated its developer agreement to prohibit the use of its content for training large language models.

The new clause, added under the restrictions section, forbids any attempt to use X’s API or content to fine-tune or train foundational or frontier AI models.

The move follows Elon Musk’s acquisition of X through his AI company xAI, which is developing its own models.

By restricting external access, the company aims to prevent competitors from freely using X’s data while maintaining control over a valuable resource for training AI systems.

X joins a growing list of platforms, including Reddit and The Browser Company, that have introduced terms blocking unauthorised AI training.

The shift reflects a broader industry trend towards limiting open data access amid the rising value of proprietary content in the AI arms race.

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Uber’s product chief turns to AI for reports and research

Uber’s chief product officer, Sachin Kansal, is embracing AI to streamline his daily workflow—particularly through tools like ChatGPT, Google Gemini, and, soon, NotebookLM.

Speaking on ‘Lenny’s Podcast,’ Kansal revealed how AI summarisation helps him digest lengthy 50- to 100-page reports he otherwise wouldn’t have time to read. He uses AI to understand market trends and rider feedback across regions such as Brazil, South Korea, and South Africa.

Kansal also relies on AI as a research assistant. For instance, when exploring new driver features, he used ChatGPT’s deep research capabilities to simulate possible driver reactions and generate brainstorming ideas.

‘It’s an amazing research assistant,’ he said. ‘It’s absolutely a starting point for a brainstorm with my team.’

He’s now eyeing Google’s NotebookLM, a note-taking and research tool, as the next addition to his AI toolkit—especially its ‘Audio Overview’ feature, which turns documents into AI-generated podcast-style discussions.

Uber CEO Dara Khosrowshahi previously noted that too few of Uber’s 30,000+ employees are using AI and stressed that mastering AI tools, especially for coding, would soon be essential.

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AI copyright clash stalls UK data bill

A bitter standoff over AI and copyright has returned to the House of Lords, as ministers and peers clash over how to protect creative workers while fostering technological innovation.

At the centre of the debate is the proposed Data (Use and Access) Bill, which was expected to pass smoothly but is now stuck in parliamentary limbo due to growing resistance.

The bill would allow AI firms to access copyrighted material unless rights holders opt out, a proposal that many artists and peers believe threatens the UK’s £124bn creative industry.

Nearly 300 Lords have called for AI developers to disclose what content they use and seek licences instead of relying on blanket access. Former film director Baroness Kidron described the policy as ‘state-sanctioned theft’ and warned it would sacrifice British talent to benefit large tech companies.

Supporters of the bill, like former Meta executive Sir Nick Clegg, argue that forcing AI firms to seek individual permissions would severely damage the UK’s AI sector. The Department for Science, Innovation and Technology insists it will only consider changes if they are proven to benefit creators.

If no resolution is found, the bill risks being shelved entirely. That would also scrap unrelated proposals bundled into it, such as new NHS data-sharing rules and plans for a nationwide underground map.

Despite the bill’s wide scope, the fight over copyright remains its most divisive and emotionally charged feature.

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EU says US tech firms censor more

Far more online content is removed under US tech firms’ terms and conditions than under the EU’s Digital Services Act (DSA), according to Tech Commissioner Henna Virkkunen.

Her comments respond to criticism from American tech leaders, including Elon Musk, who have labelled the DSA a threat to free speech.

In an interview with Euractiv, Virkkunen said recent data show that 99% of content removals in the EU between September 2023 and April 2024 were carried out by platforms like Meta and X based on their own rules, not due to EU regulation.

Only 1% of cases involved ‘trusted flaggers’ — vetted organisations that report illegal content to national authorities. Just 0.001% of those reports led to an actual takedown decision by authorities, she added.

The DSA’s transparency rules made those figures available. ‘Often in the US, platforms have more strict rules with content,’ Virkkunen noted.

She gave examples such as discussions about euthanasia and nude artworks, which are often removed under US platform policies but remain online under European guidelines.

Virkkunen recently met with US tech CEOs and lawmakers, including Republican Congressman Jim Jordan, a prominent critic of the DSA and the DMA.

She said the data helped clarify how EU rules actually work. ‘It is important always to underline that the DSA only applies in the European territory,’ she said.

While pushing back against American criticism, Virkkunen avoided direct attacks on individuals like Elon Musk or Mark Zuckerberg. She suggested platform resistance reflects business models and service design choices.

Asked about delays in final decisions under the DSA — including open cases against Meta and X — Virkkunen stressed the need for a strong legal basis before enforcement.

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Telegram partners with Musk’s xAI

Elon Musk’s AI company, xAI, is partnering with Telegram to bring its AI assistant, Grok, to the messaging platform’s more than one billion users.

Telegram founder Pavel Durov announced that Grok will be integrated into Telegram’s apps and distributed directly through the service.

Instead of a simple tech integration, the arrangement includes a significant financial deal. Telegram is set to receive $300 million in cash and equity from xAI, along with half of the revenue from any xAI subscriptions sold through the platform. The agreement is expected to last one year.

The move mirrors Meta’s recent rollout of AI features on WhatsApp, which drew criticism from users concerned about the changing nature of private messaging.

Analysts like Hanna Kahlert of Midia Research argue that users still prefer using social platforms to connect with friends, and that adding AI tools could erode trust and shift focus away from what made these apps popular in the first place.

The partnership also links two controversial tech figures. Durov was arrested in France in 2024 over allegations that Telegram failed to curb criminal activity, though he denies obstructing law enforcement.

Meanwhile, Musk has been pushing into AI development after falling out with OpenAI, and is using xAI to rival industry giants. In March, he valued xAI at $80 billion after acquiring X, formerly known as Twitter.

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Nvidia recovers as DeepSeek fears fade

Earlier this year, Nvidia shares declined following concerns over DeepSeek and the possibility that tech giants might reduce AI-related spending. Worries over export restrictions added to investor unease.

However, Wedbush Securities’ managing director Matt Bryson believes the DeepSeek issue is now firmly behind the company. According to Bryson, DeepSeek — mostly a China-based phenomenon — unexpectedly boosted demand for AI servers, which ultimately benefited Nvidia instead of hurting it.

Another key development is Oracle’s plan to spend around $40 billion on Nvidia’s GB200 chips to power OpenAI’s new data centre.

Bryson suggested this is part of a broader trend among hyperscalers like Oracle and Crusoe, which recently secured funding to build new facilities. He expects this spending to appear in Nvidia’s earnings as early as Q2 or Q3, instead of being delayed until the next chip generation, the GB300.

Looking ahead, investors remain focused on whether major tech firms will sustain their AI investment. Bryson pointed out that recent earnings reports from companies like Microsoft, Alphabet, and Meta show they remain committed to high capital expenditures.

Instead of retreating, Big Tech appears set to continue driving demand for AI infrastructure, which supports Nvidia’s long-term prospects.

Bryson also noted a significant new factor in AI growth: sovereign deals from countries such as Saudi Arabia and the UAE. He emphasised that the UAE’s expected chip purchases may even surpass Oracle’s.

The new demand, combined with increasing investments in AI-powered edge products — such as those hinted at by OpenAI’s collaboration with Jony Ive — signals that AI spending beyond 2025 will remain strong instead of slowing.

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