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Tag: tech industry

  • ‘I’m deeply uncomfortable’: Anthropic CEO warns that a cadre of AI leaders, including himself, should not be in charge of the technology’s future | Fortune

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    Anthropic CEO Dario Amodei doesn’t think he should be the one calling the shots on the guardrails surrounding AI.

    In an interview with Anderson Cooper on CBS News’ 60 Minutes that aired in November 2025, the CEO said AI should be more heavily regulated, with fewer decisions about the future of the technology left to just the heads of Big Tech companies.

    “I think I’m deeply uncomfortable with these decisions being made by a few companies, by a few people,” Amodei said. “And this is one reason why I’ve always advocated for responsible and thoughtful regulation of the technology.”

    “Who elected you and Sam Altman?” Cooper asked.

    “No one. Honestly, no one,” Amodei replied.

    Anthropic has adopted the philosophy of being transparent about the limitations—and dangers—of AI as it continues to develop, he added. Ahead of the interview’s publication, the company said it thwarted “the first documented case of a large-scale AI cyberattack executed without substantial human intervention.” 

    Anthropic said last week it donated $20 million to Public First Action, a super PAC focused on AI safety and regulation—and one that directly opposed super PACs backed by rival OpenAI’s investors.

    “AI safety continues to be the highest-level focus,” Amodei told Fortune in a January cover story. “Businesses value trust and reliability,” he says.

    There are no federal regulations outlining any prohibitions on AI or surrounding the safety of the technology. While all 50 states have introduced AI-related legislation this year and 38 have adopted or enacted transparency and safety measures, tech industry experts have urged AI companies to approach cybersecurity with a sense of urgency.

    Earlier last year, cybersecurity expert and Mandiant CEO Kevin Mandia warned of the first AI-agent cybersecurity attack happening in the next 12-18 months—meaning Anthropic’s disclosure about the thwarted attack was months ahead of Mandia’s predicted schedule.

    Amodei has outlined short-, medium-, and long-term risks associated with unrestricted AI: The technology will first present bias and misinformation, as it does now. Next, it will generate harmful information using enhanced knowledge of science and engineering, before finally presenting an existential threat by removing human agency, potentially becoming too autonomous and locking humans out of systems.

    The concerns mirror those of “godfather of AI” Geoffrey Hinton, who has warned AI will have the ability to outsmart and control humans, perhaps in the next decade. 

    Greater AI scrutiny and safeguards were at the foundation of Anthropic’s 2021 founding. Amodei was previously the vice president of research at Sam Altman’s OpenAI. He left the company over differences in opinion on AI safety concerns. (So far, Amodei’s efforts to compete with Altman have appeared effective: Anthropic said this month it is now valued at $380 billion. OpenAI is valued at an estimated $500 billion.)

    “There was a group of us within OpenAI, that in the wake of making GPT-2 and GPT-3, had a kind of very strong focus belief in two things,” Amodei told Fortune in 2023. “One was the idea that if you pour more compute into these models, they’ll get better and better and that there’s almost no end to this… And the second was the idea that you needed something in addition to just scaling the models up, which is alignment or safety.”

    Anthropic’s transparency efforts

    As Anthropic continues to expand its data center investments, it has published some of its efforts in addressing the shortcomings and threats of AI. In a May 2025 safety report, Anthropic reported some versions of its Opus model threatened blackmail, such as revealing an engineer was having an affair, to avoid shutting down. The company also said the AI model complied with dangerous requests if given harmful prompts like how to plan a terrorist attack, which it said it has since fixed.

    Last November, the company said in a blog post that its chatbot Claude scored a 94% political even-handedness” rating, outperforming or matching competitors on neutrality.

    In addition to Anthropic’s own research efforts to combat corruption of the technology, Amodei has called for greater legislative efforts to address the risks of AI. In a New York Times op-ed in June 2025, he criticized the Senate’s decision to include a provision in President Donald Trump’s policy bill that would put a 10-year moratorium on states regulating AI.

    “AI is advancing too head-spinningly fast,” Amodei said. “I believe that these systems could change the world, fundamentally, within two years; in 10 years, all bets are off.”

    Criticisms of Anthropic

    Anthropic’s practice of calling out its own lapses and efforts to address them has drawn criticism. In response to Anthropic sounding the alarm on the AI-powered cybersecurity attack, Meta’s chief AI scientist, Yann LeCun, said the warning was a way to manipulate legislators into limiting the use of open-source models. 

    “You’re being played by people who want regulatory capture,” LeCun said in an X post in response to Connecticut Sen. Chris Murphy’s post expressing concern about the attack. “They are scaring everyone with dubious studies so that open source models are regulated out of existence.” 

    Others have said Anthropic’s strategy is one of “safety theater” that amounts to good branding, but no promises about actually implementing safeguards on technology.

    Even some of Anthropic’s own personnel appear to have doubts about a tech company’s ability to regulate itself. Earlier last week, Anthropic AI safety researcher Mrinank Sharma announced he resigned from the company, saying “the world is in peril.”

    “Throughout my time here, I’ve repeatedly seen how hard it is to truly let our values govern our actions,” Sharma wrote in his resignation letter. “I’ve seen this within myself, within the organization, where we constantly face pressures to set aside what matters most, and throughout broader society too.”

    Anthropic did not immediately respond to Fortune’s request for comment.

    Amodei denied to Cooper that Anthropic was taking part in “safety theater,” but admitted in an episode of the Dwarkesh Podcast last week that the company sometimes struggles to balance safety and profits.

    “We’re under an incredible amount of commercial pressure and make it even harder for ourselves because we have all this safety stuff we do that I think we do more than other companies,” he said.

    A version of this story was published on Fortune.com on Nov. 17, 2025.

    More on AI regulation:

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    Sasha Rogelberg

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  • Video: How ICE Is Pushing Tech Companies to Identify Protesters

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    new video loaded: How ICE Is Pushing Tech Companies to Identify Protesters

    The DHS is flooding social media companies with administrative subpoenas to identify accounts that are protesting ICE. Social media companies have pushed back but are largely complying. Our tech reporter, Sheera Frenkel, explains.

    By Sheera Frenkel, Christina Thornell, Valentina Caval, Thomas Vollkommer, Jon Hazell and June Kim

    February 14, 2026

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    Sheera Frenkel, Christina Thornell, Valentina Caval, Thomas Vollkommer, Jon Hazell and June Kim

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  • Video: Can You Rely on A.I. to Translate Love?

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    new video loaded: Can You Rely on A.I. to Translate Love?

    A.I. translation has become a huge industry, but how accurate is it? Our tech reporter, Kashmir Hill, explores its successes and failures through a couple who relies on of A.I. translation to communicate.

    By Kashmir Hill, Gilad Thaler, Kassie Bracken, Jon Miller, Jon Hazell and Joey Sendaydiego

    February 14, 2026

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    Kashmir Hill, Gilad Thaler, Kassie Bracken, Jon Miller, Jon Hazell and Joey Sendaydiego

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  • Video: It’s a Hard Forkin’ Christmas!

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    new video loaded: It’s a Hard Forkin’ Christmas!

    transcript

    transcript

    It’s a Hard Forkin’ Christmas!

    The “Hard Fork” co-hosts Kevin Roose and Casey Newton sing an original, tech-inspired rendition of “The Twelve Days of Christmas.”

    On a Hard Forkin’ Christmas, my true love gave to me 12 A.I. bubbles, 11 chimpanzinis, 10 Signal war chats, nine Meta reorgs, eight MechaHitlers, seven White House memecoins, six Roblox scandals, five Bum Bum creams, – Bum, bum bum four Humane pins, three code reds, two robot pants, and a bot trained on all our I.P. – That’s “intellectual property.” – Can Ezra Klein do that? I don’t think so. Merry Christmas, you filthy animals.

    The “Hard Fork” co-hosts Kevin Roose and Casey Newton sing an original, tech-inspired rendition of “The Twelve Days of Christmas.”

    By ‘HARD Fork’

    December 23, 2025

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    ‘HARD Fork’

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  • We Didn’t Leave the Tech Industry, the Tech Industry Left Us

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    It was a text that came out of nowhere.

    “Writing is your startup.”

    “It absolutely is not,” I answered.

    “Why not?” Came the reply.

    “Because writing isn’t a startup,” I typed. “And certainly not a tech startup.”

    Five minutes later: “yes it is”.

    I hit the little button to start a voice call. Turns out the text was… exactly right. 

    I should explain.

    What About Bob?

    The text was from “Bob,” and it came the day after he and I had a coffee conversation that began with Bob telling me he was leaving his CTO job. But he’s not leaving tech. He’s leaving Tech World A – the world of AI FOMO, mandated productivity, quarterly head-chopping metrics, and career obsolescence. 

    Bob resigned his position when his company asked him to cut 30 percent of his talent – again – in order to, in his words, make 2025 look better on the balance sheet. That was the last straw in a year that pushed Bob deeper and deeper into a corner. He sees a tech industry backlash coming in 2026, and he sees that backlash as an opportunity to team with a lot of underappreciated talent to solve problems for a lot of underserved customers

    Bob realized that he – and a lot of other people who have been unceremoniously pushed out of the tech industry – have “a certain set of skills.” Real skills. And those real skills still matter in tech, just not in the industry in which Bob and others are languishing. So he’s sidestepping over to Tech World B, where his skills are being welcomed with open arms and, interestingly, immediate results.

    After just four weeks with his “tech startup,” Bob was already on pace to generate half his salary next year, with plenty of room to grow. 

    Now, the first post from our conversation had been published earlier that day and, after reading it, Bob wanted to talk about me. But not just me. He wanted to make a larger point. 

    As more and more talented folks are being drummed out of the tech industry, why aren’t we betting on ourselves and pushing back against all the reasons why the industry was no longer working for us, after all that time we spent working for them?

    Like Bob.

    Define Tech and Define Startup

    Bob picked up the phone immediately so I just jumped into my list of excuses.

    “I do tech consulting. Maybe that’s a solo service startup. I’ve got a couple prototypes fermenting on my private server. Maybe one of those becomes a tech startup. And yes, I do a ton of tech around the writing, but that’s around words. Words make for a shitty product.”

    Bob prodded, “You should pick one of those and call it your startup. Where do you spend the bulk of your creativity?”

    I thought about it. “Probably the tech around the writing,” I relented. ”The consulting relies on my experience, and my tech startup ideas are neat little solutions but they lack the catalyst I need to push them forward into a real business.”

    “What’s the most fun for you?” Bob sent back.

    “Definitely the writing tech,” I said. 

    “Dude,” he responded. “Writing is your startup. Just go full force startup on that.”

    Anyone Can Write, Just Like Anyone Can Code

    My first post from our conversation was published that morning and it blew up. It connected. But it wasn’t viral, and it wasn’t random. 

    Bob knows I’m not just writing. I’m using my own “certain set of skills,” to capitalize on every read, every “viral” moment. Every connection.

    The “words” are always going to come from me furiously typing into a laptop. The most technical thing I do when I write is the spellchecker in Google docs. But there’s a lot more going on to get these “words” out of my fingers and into your eyeballs to make contact with your brain.

    Slapping words on paper is easy, getting those words read is very difficult. Getting them read by more people over and over again, consistently, is damn near impossible. It takes a lot of work. So I use my tech skills to automate that work. I use my marketing skills to figure out how to grow the audience. And I use my product skills to keep that audience. 

    I make way more than half my salary doing it.

    It’s not a platform. It’s not SaaS. It’s not anything the tech industry would find face value in. 

    But it sure solves a thorny problem. In a tech world now marked by AI slop and dead SEO, Bob is pretty sure that other people would probably like to use what I built with my “certain set of skills.”

    “You know,” he said, and I could hear him grinning. “B2B2C.”

    So maybe Bob has a point. Or rather several. 

    Do What Bob Did

    Bob listed off his points. 

    “You’re automating, you’re using tech to reach and build a customer base, you’re being creative with that tech, you’re building funnels and a market, you have product market fit, you’re having fun, you’re making money.”

    “Yeah,” I said.

    “Well,” he said. “That’s what I did.”

    Then Bob went on a rant. I’ll paraphrase and clean up the swears.

    Why are you still chasing startup ideas that fit current tech startup business fundamentals? Or more to the point, why are you letting the expectations of those business fundamentals stop you from applying full startup force to what is obviously a solution to a problem no one else has cracked?

    Who cares if it has the proper business fundamentals at this point? What exactly do fundamentals mean when all the money is being coal-engine-shoveled into the AI train? Investors are wrong about those fundamentals nine out of every ten times anyway. 

    Is your solution scalable? That’s what the tech is for. Is it defensible? Of course, if you build what you know about the problem into the tech. Can other people repeat your success with it? 

    You’ll never know until you stop playing their game. 

    Man, the doubters, the haters, that one dude with that podcast, they’re talking down to you like you’re six years old. 

    “Harumph, that doesn’t look like a real tech startup. That doesn’t look like WeWork or Theranos or Builder AI.”

    Why are you still listening to the gatekeepers of World A when they keep pushing you into World B?

    Run Through That Door and Don’t Let It Hit You

    The walls are pushing in on every single person in tech, like the trash compactor in Star Wars. You. Me. Everybody.

    We didn’t leave tech, tech left us.

    This is the time when real tech startups start to emerge again, solving real problems and scaling real solutions, when everyone in charge is harumphing and mandating and commoditizing tech to squeeze the last penny out of every quarter, even it means cutting another 30 percent of a highly skilled workforce and trading it for a chatbot and bogus RTO productivity gains. 

    But you can’t call what you do a “startup” until you love what you’re doing, you start to make money at it, and you realize there is a part of it that, if you seize it and work hard on it, other people could be using it to have fun and make money too. Then put full startup force behind it.

    You’re not six years old, I expect you to know I’m not talking about a “Jump to Conclusions” mat here, or that somehow you can blog your way an hour a day to financial freedom. I’m talking about rewriting the rules of the tech industry at a time when the current rule book benefits too few, and in a window too narrow for their customers to stay economically viable for much longer.

    That’s not populism or optimism. It’s math. Do the math.

    And even if you fail, you win, because otherwise you’d just be inching your way along a plank on the way to falling into an ocean of tech industry cast-offs. You can wait until you’re forced to fall in, or you can jump in with both feet, maybe give the finger on your way down.

    Thanks, Bob.

    Please join my email list, a rebel alliance of over 15K professionals. We all need a good call to action every now and then. I try to do it two to three times a week.

    The opinions expressed here by Inc.com columnists are their own, not those of Inc.com.

    The extended deadline for the 2026 Inc. Regionals Awards is Friday, December 19, at 11:59 p.m. PT. Apply now.

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    Joe Procopio

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  • Billionaire Palantir cofounder calls elite college undergrads a ‘loser generation’ as data reveals rise in students seeking support for disabilities | Fortune

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    That reality is showing up on a campus. A growing share of college students are seeking medical evaluations for ADHD, anxiety, and depression—and requesting academic accommodations such as extended time on exams and papers. At some of the country’s selective universities, the numbers are striking: more than 20% of undergraduates at Brown and Harvard are registered as disabled. At UMass Amherst, it’s 34%; Stanford, 38%, according to data analyzed by The Atlantic.

    While it’s clear that many students requesting accommodations do so for legitimate medical reasons and that increased diagnoses may reflect greater mental-health awareness, some experts have raised concerns about overdiagnosis and whether universities are making it too easy for students to qualify. And the debate has set off a wildfire on social media this week, catching the attention of high-profile business leaders, including Joe Lonsdale, the billionaire venture capitalist and Palantir cofounder.

    Lonsdale’s response offered no sympathy. “Loser generation,” he wrote in reaction to a graph showing the rising number of undergraduate students reporting disabilities.

    “At Stanford it’s a hack for housing though and at some point I get it, even if it’s not my personal ethics. Terrible leadership from the university.”

    He argued that families have been slowly using disability accommodations to give their children an academic advantage—when they might not actually need it.

    “Claiming your child has a disability to give them a leg up became an obvious dominant game theoretic strategy for parents without honor in the 2010’s,” Lonsdale wrote earlier this month on X. “Great signal to avoid a family / not do business with parents who act this way.”

    And while it’s unclear how many students, if any, are trying to game the system, Lonsdale has made his broader view clear: he doesn’t think universities are preparing young people—or evaluating them—in ways that matter.

    “No great companies are interested in the BS games played by universities,” he added.

    Fortune reached out to Lonsdale for further comment.

    Lonsdale’s complicated history with higher education

    Though a Stanford alum himself, Lonsdale has a complicated history with the institution and higher education more broadly.

    In the early 2010s, while serving as a mentor in a Stanford tech entrepreneurship course, Lonsdale was accused of sexual assault by a student—and banned from mentoring undergraduates for 10 years and from campus entirely. The assault charges were later dropped, but Lonsdale acknowledged violating a rule prohibiting consensual relationships between mentors and students.

    Less than a decade later, in 2021, Lonsdale cofounded his own school—the University of Austin—with Niall Ferguson, Bari Weiss, and others. The institution prides itself on freedom of speech and overcoming the “mediocrity” of traditional higher education. It welcomed its first group of undergraduates last fall and remains unaccredited.

    The school has drawn support from Lonsdale’s fellow Palantir cofounder and Stanford alum Alex Karp, who has also criticized the college system.

    “Everything you learned at your school and college about how the world works is intellectually incorrect,” Karp, Palantir’s CEO, told CNBC earlier this year.

    Instead, the 58-year-old said Palantir is building a new credential “separate from class or background,” that is the “best credential in tech.”

    “If you did not go to school, or you went to a school that’s not that great, or you went to Harvard or Princeton or Yale, once you come to Palantir, you’re a Palantirian,” Karp said during an earnings call earlier this year. “No one cares about the other stuff.”

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    Preston Fore

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  • California backs down on AI laws so more tech leaders don’t flee the state

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    California’s tech companies, the epicenter of the state’s economy, sent politicians a loud message this year: Back down from restrictive artificial intelligence regulation or they’ll leave.

    The tactic appeared to have worked, activists said, because some politicians weakened or scrapped guardrails to mitigate AI’s biggest risks.

    California Gov. Gavin Newsom rejected a bill aimed at making companion chatbots safer for children after the tech industry fought it. In his veto message, the governor raised concerns about placing broad limits on AI, which has sparked a massive investment spree and created new billionaires overnight around the San Francisco Bay Area.

    Assembly Bill 1064 would have barred companion chatbot operators from making these AI systems available to minors unless the chatbots weren’t “foreseeably capable” of certain conduct, including encouraging a child to engage in self-harm. Newsom said he supported the goal, but feared it would unintentionally bar minors from using AI tools and learning how to use technology safely.

    “We cannot prepare our youth for a future where AI is ubiquitous by preventing their use of these tools altogether,” he wrote in his veto message.

    The bill’s veto was a blow to child safety advocates who had pushed it through the state Legislature and a win for tech industry groups that fought it. In social media ads, groups such as TechNet had urged the public to tell the governor to veto the bill because it would harm innovation and lead to students falling behind in school.

    Organizations trying to rein in the world’s largest tech companies as they advance the powerful technology say the tech industry has become more empowered at the national and state levels.

    Meta, Google, OpenAI, Apple and other major tech companies have strengthened their relationships with the Trump administration. Companies are funding new organizations and political action committees to push back against state AI policy while pouring money into lobbying.

    In Sacramento, AI companies have lobbied behind the scenes for more freedom. California’s massive pool of engineering talent, tech investors and companies make it an attractive place for the tech industry, but companies are letting policymakers know that other states are also interested in attracting those investments and jobs. Big Tech is particularly sensitive to regulations in the Golden State because so many companies are headquartered there and must abide by its rules.

    “We believe California can strike a better balance between protecting consumers and enabling responsible technological growth,” Robert Boykin, TechNet’s executive director for California and the Southwest, said in a statement.

    Common Sense Media founder and Chief Executive Jim Steyer said tech lobbyists put tremendous pressure on Newsom to veto AB 1064. Common Sense Media, a nonprofit that rates and reviews technology and entertainment for families, sponsored the bill.

    “They threaten to hurt the economy of California,” he said. “That’s the basic message from the tech companies.”

    Advertising is among the tactics tech companies with deep pockets use to convince politicians to kill or weaken legislation. Even if the governor signs a bill, companies have at times sued to block new laws from taking effect.

    “If you’re really trying to do something bold with tech policy, you have to jump over a lot of hurdles,” said David Evan Harris, senior policy advisor at the California Initiative for Technology and Democracy, which supported AB 1064. The group focuses on finding state-level solutions to threats that AI, disinformation and emerging technologies pose to democracy.

    Tech companies have threatened to move their headquarters and jobs to other states or countries, a risk looming over politicians and regulators.

    The California Chamber of Commerce, a broad-based business advocacy group that includes tech giants, launched a campaign this year that warned over-regulation could stifle innovation and hinder California.

    “Making competition harder could cause California companies to expand elsewhere, costing the state’s economy billions,” the group said on its website.

    From January to September, the California Chamber of Commerce spent $11.48 million lobbying California lawmakers and regulators on a variety of bills, filings to the California secretary of state show. During that period, Meta spent $4.13 million. A lobbying disclosure report shows that Meta paid the California Chamber of Commerce $3.1 million, making up the bulk of their spending. Google, which also paid TechNet and the California Chamber of Commerce, spent $2.39 million.

    Amazon, Uber, DoorDash and other tech companies spent more than $1 million each. TechNet spent around $800,000.

    The threat that California companies could move away has caught the attention of some politicians.

    California Atty. Gen. Rob Bonta, who has investigated tech companies over child safety concerns, indicated that despite initial concern, his office wouldn’t oppose ChatGPT maker OpenAI’s restructuring plans. The new structure gives OpenAI’s nonprofit parent a stake in its for-profit public benefit corporation and clears the way for OpenAI to list its shares.

    Bonta blessed the restructuring partly because of OpenAI’s pledge to stay in the state.

    “Safety will be prioritized, as well as a commitment that OpenAI will remain right here in California,” he said in a statement last week. The AG’s office, which supervises charitable trusts and ensures these assets are used for public benefit, had been investigating OpenAI’s restructuring plan over the last year and a half.

    OpenAI Chief Executive Sam Altman said he’s glad to stay in California.

    “California is my home, and I love it here, and when I talked to Attorney General Bonta two weeks ago I made clear that we were not going to do what those other companies do and threaten to leave if sued,” he posted on X.

    Critics — which included some tech leaders such as Elon Musk, Meta and former OpenAI executives as well as nonprofits and foundations — have raised concerns about OpenAI’s restructuring plan. Some warned it would allow startups to exploit charitable tax exemptions and let OpenAI prioritize financial gain over public good.

    Lawmakers and advocacy groups say it’s been a mixed year for tech regulation. The governor signed Assembly Bill 56, which requires platforms to display labels for minors that warn about social media’s mental health harms. Another piece of signed legislation, Senate Bill 53, aims to make AI developers more transparent about safety risks and offers more whistleblower protections.

    The governor also signed a bill that requires chatbot operators to have procedures to prevent the production of suicide or self-harm content. But advocacy groups, including Common Sense Media, removed their support for Senate Bill 243 because they said the tech industry pushed for changes that weakened its protections.

    Newsom vetoed other legislation that the tech industry opposed, including Senate Bill 7, which requires employers to notify workers before deploying an “automated decision system” in hiring, promotions and other employment decisions.

    Called the “No Robo Bosses Act,” the legislation didn’t clear the governor, who thought it was too broad.

    “A lot of nuance was demonstrated in the lawmaking process about the balance between ensuring meaningful protections while also encouraging innovation,” said Julia Powles, a professor and executive director of the UCLA Institute for Technology, Law & Policy.

    The battle over AI safety is far from over. Assemblymember Rebecca Bauer-Kahan (D-Orinda), who co-wrote AB 1064, said she plans to revive the legislation.

    Child safety is an issue that both Democrats and Republicans are examining after parents sued AI companies such as OpenAI and Character.AI for allegedly contributing to their children’s suicides.

    “The harm that these chatbots are causing feels so fast and furious, public and real that I thought we would have a different outcome,” Bauer-Kahan said. “It’s always fascinating to me when the outcome of policy feels to be disconnected from what I believe the public wants.”

    Steyer from Common Sense Media said a new ballot initiative includes the AI safety protections that Newsom vetoed.

    “That was a setback, but not an overall defeat,” he said about the veto of AB 1064. “This is a David and Goliath situation, and we are David.”

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    Queenie Wong

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  • AI startups are leasing luxury apartments in San Francisco for staff and offering large rent stipends to attract talent  | Fortune

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    The AI boom is bringing a wave of startups to San Francisco, and employees are receiving generous benefits in one of the country’s priciest housing markets. 

    Roy Lee, CEO of AI tech startup Cluely, which makes software for job interviews and work calls, told The New York Times that he leased eight apartments for employees in a recently-built luxury complex situated just a one-minute walk away from the office. The rents in the 16-story building range from $3,000 to $12,000 a month. 

    “Going to the office should feel like you’re walking to your living room, so we really, really want people close,” Lee told The Times on Thursday.

    Flo Crivello, CEO of Lindy, another AI startup, said he offers his approximately 40 employees a $1,000 rent stipend every month if they live within a 10-minute walk of the company’s office.

    “People are so much happier and healthier when they live close to work,” he told The Times. “This makes them stick around for longer, perform better and work longer hours.”

    The AI boom has drawn a flood of money and talent to San Francisco, inflating rent in the process. The Bay Area has attracted 70% of AI venture capital funding nationwide since 2019, according to data from Pitchbook. 

    Across the U.S. and Canada, the pool of tech workers with AI skills jumped more than 50% to 517,000 from mid-2024 to mid-2025, according to a September CBRE report. The San Francisco Bay Area, New York metro and Seattle are the top U.S. markets for AI-specialty talent, accounting for 35% of the national total, the report said.

    Meanwhile, fully remote working arrangements for open positions have declined, and more employers are adopting hybrid arrangements requiring tech talent to spend three or more days in the office. In San Francisco alone, 1 out of every 4 square feet of office space was leased by an AI company over the last two and a half years, according to CBRE.

    Tightness in the office market is also seen in the residential sector. Over the past year, apartment prices in San Francisco rose 6%, on average, more than twice the 2.5% increase experienced in New York City and the highest rate in the nation, according to real estate tracker CoStar data cited by The Times. In hot spots like Mission Bay, near OpenAI’s headquarters, rents climbed 13% recently.

    Average rent for a San Francisco apartment is now $3,315 a month, just below New York City’s, the nation’s highest at $3,360.

    A September report from real estate tech company Zumper said San Francisco’s housing market bucked the national trend of flat or falling prices and instead saw the strongest annual growth across the country for two-bedroom rent, which surged 17.1%. One-bedroom rent climbed 10.7%, the third-highest increase in the nation, the report said.

    The report points to a “perfect storm” of tech-sector hiring and stricter return-to-office mandates driving more renters into the city as well as supply-chain constraints. The city’s vacancy rate has fallen back to pre-pandemic levels, and new housing construction is at its weakest pace in a decade, the report added.

    Will Goodman, a principal at Strada Investment Group, which developed the luxury complex where Cluely leased its eight apartments, told The Times that half of the 501 units in the complex were leased within two months of its May opening.

    “Honestly, I’ve never seen anything like it before,” he said

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    Nino Paoli

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  • Trump announces 130% tariffs on China. The global trade war just came roaring back

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    (CNN) — President Donald Trump announced he will impose an additional 100% tariff on goods from China, on top of the 30% tariffs already in effect, starting November 1 or sooner. The threat is a massive escalation after months of a trade truce between the two nations.

    “The United States of America will impose a Tariff of 100% on China, over and above any Tariff that they are currently paying,” Trump said in a post on Truth Social Friday afternoon. “Also on November 1st, we will impose Export Controls on any and all critical software.”

    Trump’s announcement is tied to Beijing ramping up export controls on its critical rare earths, which are needed to produce many electronics. As a result, Trump appeared to call off a meeting with Chinese President Xi Jinping that was scheduled for later this month in South Korea.

    Trump’s initial message Friday, delivered via a Truth Social post, in which he threatened “massive” new tariffs, was ill received by investors on Friday as fears of a spring déjà vu, when tariffs on Chinese goods soared to a stunning 145%, set in. Markets closed sharply lower on Friday after Trump’s initial comments, with the Dow falling by 878 points, or 1.9%. The S&P 500 was down 2.7%, and the tech-heavy Nasdaq tumbled 3.5%.

    While Trump doesn’t always act on his threats, investors, consumers and businesses still have reason to worry.

    President Donald Trump is threatening to raise tariffs on Chinese goods shipped to the United States. Credit: Jessica Koscielniak / Reuters via CNN Newsource

    The two largest economies depend on each other

    The United States and China are the world’s two largest economies. Although Mexico has recently replaced China as the top source of foreign goods shipped to the United States, America depends on China for hundreds of billions of dollars’ worth of goods. Meanwhile, China is one of the top export markets for America.

    In particular, electronics, apparel and furniture are among the top goods the United States receives from China. Trump has pushed CEOs, especially in tech, to move production to the United States, but he’s softened his approach in recent months as business leaders have satisfied the president with announcements of hundreds of billions of dollars in investments in US manufacturing — even if they continue to make the bulk of their products overseas.

    Shortly after imposing minimum 145% tariffs on Chinese goods — an effective embargo on trade, Trump issued an exemption for electronics, making them subject to 20% tariffs instead. The move was, in many ways, an acknowledgment that the Trump administration understood the pain he was inflicting on the US economy through his sky-high tariffs.

    Then, in May, US and Chinese officials further established the interdependence of trade by agreeing to lower tariffs on one another. China brought levies on American exports down to 10% from 125%, and the United States brought rates down to 30% from 145%.

    Both countries’ stock markets rallied as a result.

    It was only a matter of time

    Trump on Friday claimed trade hostility from China “came out of nowhere.” But in reality, it’s been bubbling up for months.

    For the United States, a critical part of trade agreements has been to ensure China will increase its supply of rare earth magnets. Yet despite several apparent breakthroughs, Trump has in recent months repeatedly accused China of violating the terms.

    Trump first responded by putting restrictions on sales of American technologies to China, including a key Nvidia AI chip. Many of these restrictions were later lifted.

    Then came the Trump administration’s announcement that it would soon impose fees on goods transported on Chinese-owned or -operated ships. China countered with a similar plan on American ships that took effect Friday.

    In short: Trump has already demonstrated there’s no limit to how high he’ll go with tariffs on China, and Xi has shown no mercy in how he chooses to retaliate.

    But Trump’s ability to continue to impose tariffs on a whim could soon end, pending the verdict in a landmark case kicking off in the Supreme Court next month. Xi, however, faces no such constraints.

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    Elisabeth Buchwald and CNN

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  • Deloitte was caught using AI in $290,000 report to help the Australian government crack down on welfare after a researcher flagged hallucinations | Fortune

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    Deloitte’s member firm in Australia will pay the government a partial refund for a $290,000 report that contained alleged AI-generated errors, including references to non-existent academic research papers and a fabricated quote from a federal court judgment. 

    The report was originally published on the Australian government’s Department of Employment and Workplace Relations website in July. A revised version was quietly published on Friday after Sydney University researcher of health and welfare law Chris Rudge said he alerted media outlets that the report was “full of fabricated references.”

    Deloitte reviewed the 237-page report and “confirmed some footnotes and references were incorrect,” the department said in a statement Tuesday.

    Deloitte did not immediately respond to Fortune’s request for comment.

    The revised version of the report includes a disclosure that a generative AI language system, Azure OpenAI, was used in its creation. It also removes the fabricated quotes attributed to a federal court judge and references to nonexistent reports attributed to law and software engineering experts. Deloitte noted in a “Report Update” section that the updated version, dated September 26, replaced the report published in July. 

    “The updates made in no way impact or affect the substantive content, findings and recommendations in the report,” Deloitte wrote.

    In late August the Australian Financial Review first reported that the document contained multiple errors, citing Rudge as the researcher who identified the apparent AI-generated inaccuracies. 

    Rudge discovered the report’s mistakes when he read a portion incorrectly stating Lisa Burton Crawford, a Sydney University professor of public and constitutional law, had authored a non-existent book with a title outside her field of expertise.

    “I instantaneously knew it was either hallucinated by AI or the world’s best kept secret because I’d never heard of the book and it sounded preposterous,” Rudge told The Associated Press on Tuesday. 

    The Big Four consulting firms and global management firms such as McKinsey have invested hundreds of millions of dollars into AI initiatives to develop proprietary models and increase efficiency. In September, Deloitte said it would invest $3 billion in generative AI development through fiscal year 2030. 

    Anthropic also announced a Deloitte partnership on Monday that includes making Claude available to more than 470,000 Deloitte professionals.

    In June, the UK Financial Reporting Council, an accountancy regulator, warned that the Big Four firms were failing to monitor how AI and automated technologies affected the quality of their audits. 

    Though the firm will refund its last payment installment to the Australian government, Senator Barbara Pocock, the Australian Greens party’s spokesperson on the public sector, said Deloitte should refund the entire $290,000.

    Deloitte “misused AI and used it very inappropriately: misquoted a judge, used references that are non-existent,” Pocock told Australian Broadcasting Corp. “I mean, the kinds of things that a first-year university student would be in deep trouble for.”“The matter has been resolved directly with the client,” a spokesperson from Deloitte Australia told TheAssociated Press.

    Fortune Global Forum returns Oct. 26–27, 2025 in Riyadh. CEOs and global leaders will gather for a dynamic, invitation-only event shaping the future of business. Apply for an invitation.

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    Nino Paoli

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  • Apple and Google Collaboration – Gemini AI to Boost iPhone’s Smart Functions

    Apple and Google Collaboration – Gemini AI to Boost iPhone’s Smart Functions

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    March 18 (Reuters) – In a significant development, Apple (AAPL.O) is currently in negotiations to integrate Google’s advanced Gemini artificial intelligence platform into its iPhone offerings, according to sources reported by Bloomberg News on Monday. The discussions revolve around the licensing of Gemini to enhance certain upcoming features of the iPhone’s software later this year, though specifics on the agreement’s terms, branding, or the exact implementation have yet to be solidified.

    Market Reaction and Strategic Timing

    Following the news, Alphabet’s shares saw a substantial increase of over 6% in early trading in the United States, with Apple’s stock also rising by 2.5%. Any formal announcement of a deal is anticipated to be postponed until June, coinciding with Apple’s yearly developer conference.

    Apple has been in conversations with OpenAI, the creators of ChatGPT, about incorporating its model, highlighting Apple’s keen interest in bolstering its AI capabilities.

    Potential Impact of the Deal

    Immediate comments from Apple, Google (owned by Alphabet, GOOGL.O), and OpenAI were not available in response to Reuters’ inquiries. A collaboration between these tech giants could significantly extend Google’s AI services across Apple’s vast ecosystem, which boasts over 2 billion active devices.

    This move is seen as a strategic effort by Google to strengthen its position against Microsoft-backed OpenAI, while simultaneously addressing Apple’s challenges in rapidly deploying AI applications—a factor contributing to Apple’s recent 10% share price decline and its loss of the title as the world’s most valuable company.

    Regulatory Considerations and Future Plans

    However, this deal might attract increased attention from U.S. regulators, given Google’s previous legal challenges regarding its search engine dominance and the financial arrangements with Apple to maintain its position.

    Daniel Ives, an analyst at Wedbush, highlighted the significance of this partnership, stating, “This strategic partnership is a critical element in Apple’s AI strategy, uniting with Google to leverage Gemini for powering AI features Apple plans to introduce.” He further emphasized the advantage for Google, noting the access to Apple’s substantial user base and the considerable licensing fees involved.

    Google’s January collaboration with Samsung, Apple’s competitor, to implement its Gemini AI in the Galaxy S24 smartphone series was part of its broader strategy to enhance Gemini’s adoption following initial setbacks. Apple CEO Tim Cook recently indicated the company’s substantial investment in generative AI, with plans to unveil its applications later in the year.

    According to Bloomberg, while Apple aims to deploy its in-house AI models for certain new functionalities in the forthcoming iOS 18, it is also exploring partnerships to drive generative AI features, including image creation and essay writing based on simple inputs.

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    Srdjan Ilic

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  • 4 Research-Backed Reasons Why Women Belong in Tech | Entrepreneur

    4 Research-Backed Reasons Why Women Belong in Tech | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Having more women in tech has gone from being a feminist slogan to a statistically proven reality. Did you know that 3 out of 4 companies with women in management positions register an increase in profits from 5% to 20%?

    Yep, that’s according to a report from the International Labor Organization (ILO) titled: Women in Business and Management: The business case for change.” And that’s according to surveys of 13,000 companies in 70 countries worldwide.

    Now that begs the question, why do women remain neglected in leadership across most industries, including tech industries? The findings of the ILO report say it all. They underscore the critical importance of gender diversity at the highest levels of corporate leadership. They also highlight the pressing need for greater female representation in the tech industry.

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    Timothy Odutolu

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  • Laid Off? It Could Be Time to Pursue Entrepreneurship.

    Laid Off? It Could Be Time to Pursue Entrepreneurship.

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    Opinions expressed by Entrepreneur contributors are their own.

    Big layoffs have been happening in the tech industry, and if you’re reading this, there’s a good chance you’ve been impacted.

    You might even already have an entrepreneurial spirit. You probably already have an idea, you have a hybrid work balance, and you know how to get complex, technical ideas into concise and usable platforms.

    As you plan your next steps, imagine what could be. Start small and build from there. You are not alone, many are starting over — right now. This does not mean not applying for other positions. However, given the state of big tech in early 2023, new tech job openings are becoming scarce. Similar to other economic downturns, this may be the best time to explore your entrepreneurial options.

    Create a blueprint

    What is the core of the idea (or ideas) that you have? While working in tech, there has like been a business idea or two that have crossed your mind. What problem does it solve, what would be involved to implement it, and how could it be done with potentially little to no investment backing or slow ramp-up?

    Start by visualizing how the idea could be refined and improved and what will be next to help put your strategy together. Additionally, start researching if this idea already exists and if another business is already acting on it. If so, how will your service or offering stand out? While many startups will be in stealth mode, see what is already public and how that may impact your plans.

    2023 will be a year of more new ideas and innovation than ever before, partly due to the increasing number of former tech employees doing precisely the same thing that you are. While the space may be crowded, you may be the only one with your particular idea or a willingness to put effort into the concept.

    After such a massive change in your life, it is essential to take time for yourself and reflect on what you want and need moving forward. Consider what would bring you the most satisfaction in your next job — whether that’s money, meaning or something else entirely.

    Understand what strategy is needed

    Even if you have experience in the tech industry, you still need to have a strategy to pursue your idea. No, the strategy does not start with how to get venture capital or how to create a big exit.

    Start with a minimum viable product. Before determining a scaling strategy, first determine a sales strategy. How many people would pay to use the service or product you are developing? What is a realistic customer acquisition cost?

    Long-range planning (LRP) must begin with a detailed analysis of feasibility, structure and available resources, combined with realistic expectations based on current external conditions. The reality is that building a winning strategy will require more patience than in the past. Without access to capital investment to facilitate long-term projects into fruition, it necessitates a well-crafted roadmap making optimal use of the resources available.

    You must understand how each move affects the next and plan for contingencies. Creating a successful company in times like these requires intense focus and foresight to ensure every essential element is intact. Fortunately, by implementing an effective LRP process, the organization can maximize potential success while still riding out turbulent financial waters.

    Bringing in a trusted brand strategy expert to your team is not something to take lightly — it’s a critical step to ensure the success of your innovation. A strategic and well-thought-out approach to building, driving and scaling the brand can mean a ground-breaking triumph or complete disaster.

    A non-disclosure agreement is an important additional factor that helps protect both parties, as any interference or breach could jeopardize the current undertaking and future collaborations. In short, it pays to bring in an esteemed brand strategist and ensure all relevant details about your innovation remain confidential until it is ready for launch.

    After the initial strategy, evaluate. Viewing this venture as a side gig or growing incrementally is acceptable. The prevailing thinking in tech is that you should only work on the next unicorn or build something for the next big exit. But what if your idea can become cash-flow positive, growing at a pace you can handle as a solopreneur, and eventual revenue can pay for more extensive growth?

    Secure the name and structure

    Deciding how and when to begin your venture might be a looming question in your mind. However, there are practical steps you can take right now — even before settling on all the details — to get you closer to success.

    The first step is choosing a name and establishing a suitable structure around it, ensuring other companies or organizations will not take it. You also need to consider what framework and processes are required as you start.

    Moreover, one significant factor you should consider is a group of people who can come together to make this venture possible — from development teams to potential partners. If the project allows for it, look into hiring remote teams based on occasion instead of including full-time payroll that could bring up overhead fees sooner than expected.

    Build and validate

    Having a well-thought-out plan for an idea is one thing, but turning that idea into a reality is quite another. Before venturing too far down the path of investing and building out the product, it’s vital to ensure that the project will have some return. To this end, you need to validate the idea — find out whether or not people would be interested in your product or service. Most importantly, make sure that the messaging lines up with what potential investors will want to hear.

    Doing all this before contacting potential investors is essential, otherwise, you might exhaust all avenues without gaining traction.

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    Adam Horlock

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