anthropic launches runway while claude expands its platform

US software and data services stocks recently stabilized after a significant selloff, with the S&P 500 software and services index losing about $800 billion in market value over six trading days. This "software-mageddon" reflects investor concerns that advanced artificial intelligence tools are disrupting traditional software businesses. New AI tools, such as Anthropic's Claude AI legal plug-in, can automate many tasks, leading to a market split between AI disruptors and casualties. Despite record bearishness, some analysts anticipate a strong rally in the oversold software sector.

In Hollywood, Lionsgate is actively embracing AI, appointing Kathleen Grace as its first Chief AI Officer on February 5, 2026. Grace, who previously served as Chief Strategy Officer at Vermillio, will guide Lionsgate's AI strategy and execution. Her role involves providing AI tools for filmmakers, improving operational efficiency, and safeguarding the studio's intellectual property and talent. Lionsgate CEO Jon Feltheimer emphasized Grace's deep understanding of the AI ecosystem. This appointment follows Lionsgate's September 2024 partnership with Runway to train a proprietary AI model specifically for filmmakers.

Beyond corporate strategy, AI is demonstrating diverse impacts and challenges. On Highway 7 in Minnesota, AI technology helped eliminate deadly crashes in 2025 by detecting distracted drivers and seatbelt violations, leading to a 300% increase in stops. However, the technology also presents ethical dilemmas, as students at a Plymouth intermediate school used AI to create fake, digitally altered photos of teachers online. This incident highlights a gap in current laws, prompting legislative efforts to address AI-generated misuse. Meanwhile, scientists report agentic AI tools now manage up to 90% of their intellectual tasks, raising questions about human creativity and originality.

AI's capabilities continue to expand, with a new math startup, Axiom, announcing its AxiomProver system has solved four previously unsolved mathematical problems, including one that stumped mathematicians for five years. This demonstrates AI's rapidly advancing reasoning. On a more personal level, a viral social media trend involves users asking AI tools like ChatGPT to create caricatures based on what it "knows" about them. Consumer Technology Reporter Jamey Tucker clarified that AI only uses information provided in prompts or past conversations, underscoring the importance of treating AI interactions like public conversations to protect sensitive details.

The World Economic Forum's 2026 Global Risks Report predicts 92 million workers could lose jobs to AI by 2030, urging individuals to audit tasks, improve AI skills, and strengthen soft skills. Paradoxically, Hollywood is experiencing "AI fatigue," as AI-themed entertainment and digitally altered content, like an Xfinity commercial with deepfaked Jurassic Park stars, are failing to connect with audiences. Movies such as "Mercy" have underperformed, suggesting viewers are tired of uninspired AI narratives. Research also indicates that generative AI only boosts creativity for employees with strong metacognition, not those who passively accept its suggestions.

Key Takeaways

  • The S&P 500 software and services index recently lost about $800 billion in market value due to fears that AI tools, like Anthropic's Claude AI legal plug-in, will disrupt traditional software businesses.
  • Lionsgate appointed Kathleen Grace as its first Chief AI Officer on February 5, 2026, following a September 2024 partnership with Runway to train a proprietary AI model for filmmakers, with CEO Jon Feltheimer emphasizing AI strategy.
  • AI technology successfully eliminated deadly crashes on Highway 7 in 2025 by detecting distracted drivers and seatbelt violations, leading to a 300% increase in traffic stops.
  • Students at a Plymouth intermediate school used AI to create and post fake, digitally altered photos of teachers online, highlighting the need for updated laws to address AI-generated misuse.
  • Elite scientists report that agentic AI tools now manage up to 90% of their intellectual tasks, raising fundamental questions about human creativity and the future role of researchers.
  • A new AI math startup, Axiom, with its AxiomProver system, has solved four previously unsolved mathematical problems, demonstrating AI's rapidly advancing reasoning capabilities.
  • The World Economic Forum's 2026 Global Risks Report predicts 92 million workers could lose jobs to AI by 2030, emphasizing the need for individuals to adapt by improving AI and soft skills.
  • Hollywood is experiencing "AI fatigue," with AI-themed entertainment and digitally altered content, such as deepfaked Jurassic Park stars in an Xfinity commercial, failing to connect with audiences.
  • Generative AI only boosts creativity for employees with strong metacognition, meaning those who critically reflect on AI outputs rather than passively accepting suggestions.
  • AI tools like ChatGPT only use information provided in prompts or past conversations to generate "personal" content, reminding users to treat interactions like public conversations to protect sensitive data.

US software stocks steady after AI fears cause selloff

US software and data services stocks stabilized on Thursday after a significant selloff. Investors are trying to understand if advanced artificial intelligence tools are impacting demand for traditional software businesses. The S&P 500 software and services index lost over $800 billion in market value in the past six trading days. Overseas tech stocks also showed mixed results during this period.

AI changes market as software stocks face big losses

Investors must now be more selective with artificial intelligence investments as the broad AI boom is over. The S&P 500 software and services index lost about $800 billion in market value, with companies like Oracle, Inuit, and ServiceNow seeing notable losses. This "software-mageddon" is partly due to new AI tools, such as Anthropic's Claude AI legal plug-in, which can automate many tasks. Experts believe the market is splitting into AI disruptors and AI casualties, making active stock picking more important. Despite record bearishness, some analysts like Michael Toomey from Jefferies expect a strong rally in the oversold software sector.

Software stocks steady after AI disruption fears

US software and data services companies showed mixed results on Thursday, stabilizing after a week of selloffs. Fears that advanced artificial intelligence tools could disrupt the sector triggered the initial decline. The S&P 500 software and services index remained largely unchanged after falling 7.5% earlier in the week. Thomson Reuters Corp reported positive impacts from its AI investments, contrasting with general market concerns. Manish Kabra of Societe Generale noted that investors are questioning the future earnings of software companies. Short interest in software firms, particularly cybersecurity and SaaS companies, has increased, reflecting a bearish mood.

Lionsgate appoints Kathleen Grace as first Chief AI Officer

Lionsgate has named Kathleen Grace as its first-ever Chief AI Officer. Grace previously served as Chief Strategy Officer at Vermillio, an AI platform focused on licensing and protecting intellectual property. In her new role, she will guide Lionsgate's artificial intelligence strategy and execution, working with Vice Chairman Michael Burns and other senior leaders. Her responsibilities include providing AI tools for filmmakers, improving efficiency in various operations, and safeguarding the studio's intellectual property and talent. Lionsgate CEO Jon Feltheimer stated that Grace's expertise will help the company grow and adapt to new technologies. This appointment follows Lionsgate's September partnership with Runway to train a proprietary AI model for filmmakers.

Lionsgate names Kathleen Grace Chief AI Officer

Lionsgate appointed Kathleen Grace as its Chief AI Officer on February 5, 2026. Grace previously worked as Chief Strategy Officer at Vermillio, an AI platform that licenses and protects intellectual property and likenesses. She will report to Lionsgate CEO Jon Feltheimer and collaborate with Vice Chairman Michael Burns and other leaders. Her main tasks involve supporting filmmakers, improving efficiency in production, marketing, distribution, and administration, and protecting the studio's intellectual property and talent. CEO Feltheimer emphasized Grace's deep understanding of the AI ecosystem from both creator and IP holder perspectives. This move follows Lionsgate's September 2024 partnership with Runway to develop a specialized AI model for its filmmakers.

Five ways to protect your job from AI

The World Economic Forum's 2026 Global Risks Report predicts that 92 million workers could lose their jobs to artificial intelligence by 2030. Michael Housman, founder of AI-ccelerator, warns that many knowledge worker roles are at risk. To future-proof careers, experts suggest five steps. First, audit your job to identify tasks that AI could automate, focusing on judgment-based roles. Second, highlight the impact of your work, not just what you do. Third, improve your AI skills, as everyone will likely work with an AI co-pilot. Fourth, strengthen soft skills like emotional intelligence and asking good questions, which AI cannot replicate. Finally, consider entrepreneurship, as new AI tools make starting businesses easier.

AI technology eliminates deadly crashes on Highway 7

Deadly crashes on Highway 7 in Hennepin and Carver counties dropped to zero in 2025, according to police. Law enforcement credits artificial intelligence technology for this success, which helps catch distracted drivers and those not wearing seatbelts. The South Lake Minnetonka Police Department and other agencies use a special orange trailer equipped with AI to detect violations and send photos to officers. This led to over 1,500 stops, a 300% increase from the previous year. In 2024, five people died on Highway 7, but there were no fatalities in 2025, and serious injury crashes also decreased by half. The Highway 7 Safety Coalition is now seeking more funding to continue this effective enforcement.

AI needs human skills to boost creativity

New research shows that while generative artificial intelligence is becoming common in workplaces, it only boosts creativity for employees with specific skills. AI primarily helps those with strong metacognition, which is the ability to plan, monitor, and refine their own thoughts. Workers who critically reflect on AI outputs, question assumptions, and develop ideas further see significant creative improvements. However, employees who simply accept AI's first suggestions gain little benefit. The study suggests that just introducing AI tools will not automatically lead to innovation. Organizations must pair AI adoption with training that builds metacognitive skills and encourages thoughtful, strategic use of the technology.

Students use AI to create fake photos of teachers

Students at a Plymouth intermediate school reportedly posted digitally altered, AI-generated photos of their teachers online. These images showed teachers with "other students" and "high profile individuals who have committed serious crimes." Riverside Intermediate sent a letter to parents on February 3rd, warning about the "serious issues" these photos could cause. Plymouth Community School Corporation stated the matter was handled internally but did not provide specifics. Plymouth's Police Chief confirmed that current laws do not specifically address AI-generated images, making legal consequences difficult. Representative Maureen Bauer is working on a house bill to make digitally altering photos for sexual images a felony, aiming to update laws for the digital age.

Hollywood faces audience fatigue with AI movies

Hollywood entertainment about or made with artificial intelligence is failing to connect with audiences. While the 2022 film M3GAN was a success, later AI-themed movies like Mission Impossible Dead Reckoning and Mercy have underperformed. Critics called Mercy, starring Chris Pratt, "the worst movie of 2024" for its dated plot and lack of ethical depth. There is a noticeable trend of "propagandistic narratives" where AI characters start scary but become good, which viewers seem tired of. Even Robert Downey Jr.'s web series The Age of A.I. received harsh criticism for being "soulless." Audiences also show strong dislike for digitally altered content, such as an Xfinity commercial featuring deepfaked Jurassic Park stars. This suggests viewers are experiencing "AI fatigue" from uninspired stories and artificial digital changes.

Scientists say AI handles most of their thinking

At a private meeting in Princeton, elite scientists revealed that agentic artificial intelligence tools now manage up to 90% of their intellectual tasks. This significant development is prompting discussions about the true source of scientific discovery. The researchers, who remained unnamed, expressed concerns about AI taking over such a large portion of their work. AI models are not only assisting with data analysis and literature reviews but also generating hypotheses and designing experiments. This shift raises fundamental questions about creativity, originality, and the future role of human scientists in the research process. The meeting underscored AI's growing role as an indispensable partner, blurring the boundaries between human and machine intelligence in the pursuit of knowledge.

New AI math startup solves four complex problems

Axiom, a new artificial intelligence math startup, announced its AI system, AxiomProver, has solved four previously unsolved mathematical problems. One notable success involved an algebraic geometry problem that had stumped mathematicians Dawei Chen and Quentin Gendron for five years. Ken Ono, a mathematician now with Axiom, presented Chen with a proof generated by AxiomProver, which connected the problem to a 19th-century numerical phenomenon. Axiom's AI combines large language models with its proprietary system, trained to reason through math problems and verify its own solutions using a specialized language called Lean. These breakthroughs demonstrate AI's rapidly advancing reasoning capabilities in mathematics. The company believes these techniques could also be valuable for other applications, such as developing more secure software in cybersecurity.

What The Tech: What does AI know about you

A viral social media trend shows people asking AI tools like ChatGPT to create caricatures based on what it knows about them. Consumer Technology Reporter Jamey Tucker explains that AI does not mind-read; it only uses information provided in prompts or past conversations. The more personal details a user shares, the more specific and "personal" the AI-generated caricature becomes. For example, Tucker's AI knew about his job and travel plans from previous chats. Users should treat AI interactions like public conversations, avoiding sharing private or sensitive details. This trend has caused traffic surges and occasional outages for AI companies.

Sources

NOTE:

This news brief was generated using AI technology (including, but not limited to, Google Gemini API, Llama, Grok, and Mistral) from aggregated news articles, with minimal to no human editing/review. It is provided for informational purposes only and may contain inaccuracies or biases. This is not financial, investment, or professional advice. If you have any questions or concerns, please verify all information with the linked original articles in the Sources section below.

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