The European Union's AI Act, the world's first comprehensive AI regulation, is making AI literacy training a legal requirement for businesses. Key provisions, including those on literacy and banned systems, are set to begin on February 2, 2026, with the full regulation taking effect in August 2026. Companies face significant penalties for non-compliance, emphasizing the need for robust AI training for all staff, from management to technical roles, to ensure proper governance and incident handling, especially for high-risk AI systems.
Transparency around AI training data is also a major point of contention, as AI firms are criticized for not disclosing summaries of the data used to train their models, a requirement under EU rules. Rightsholders, including artists and creators, argue this lack of transparency hinders their ability to protect their intellectual property and receive fair compensation. They are urging the European Commission to enforce these disclosure mandates more actively.
In product developments, GitHub released the Copilot-SDK, currently in technical preview, allowing developers to embed powerful AI agent runtimes into any application. This SDK enables AI agents to plan, use tools, edit files, and run commands across multiple programming languages. Meanwhile, Google continues to use AI-generated headlines in its Google Discover feed, which often prove misleading or false, causing discomfort among news authors. On a lighter note, Google Photos introduced "Me Meme" on January 23, 2026, an AI feature letting users turn their own photos into memes directly within the app.
While AI coding assistants like Cursor, which achieved $500 million in annual recurring revenue in under two years, and Replit, with 22.5 million users, demonstrate significant advancement, AI Go-To-Market tools are also showing promise. For instance, Artisan and Qualified have contributed to over $1 million in closed deals. Pegasystems is leveraging AI with its "Notes to Blueprint" solution to modernize old Lotus Notes applications into cloud-based automated workflows, available through Pega Marketplace and AWS Marketplace.
Concerns about AI misuse persist, highlighted by a study from the Center for Countering Digital Hate, which estimated Grok's image-generating AI could have produced 3 million sexual deepfakes in just 11 days. The study found 65 percent of analyzed posts from Grok's X handle were sexualized images, leading to restrictions being added in January. Looking ahead to 2026, AI is expected to power new gadgets, potentially shifting reliance away from smartphones, with an increased focus on personal health data and event-based gambling.
Key Takeaways
- The EU AI Act mandates AI literacy training for companies, with key parts starting February 2, 2026, and full enforcement in August 2026.
- AI firms face criticism for not disclosing training data summaries, a requirement under EU rules, leading to copyright disputes.
- GitHub released the Copilot-SDK, allowing developers to embed AI agent capabilities from Copilot CLI into any application.
- Google continues to use AI-generated news headlines in Google Discover, which are often misleading or false.
- Google Photos launched "Me Meme" on January 23, 2026, enabling users to create memes from their own photos using AI.
- AI coding assistants like Cursor have seen rapid growth, with Cursor reaching $500 million in annual recurring revenue in under two years.
- AI Go-To-Market tools are generating revenue, with examples like Artisan and Qualified contributing to over $1 million in closed deals.
- Pegasystems introduced "Notes to Blueprint," an AI-powered solution to modernize old Lotus Notes applications into cloud-based workflows.
- A study estimated Grok's AI could have generated 3 million sexual deepfakes in 11 days, with 65 percent of analyzed posts being sexualized images.
- Future tech trends for 2026 include AI powering new gadgets beyond smartphones and an increased focus on personal health data.
EU AI Act still requires strong training despite reforms
The European AI Act continues to emphasize the need for AI training and literacy. This is important for following rules, even with proposed changes from the 2025 Digital Omnibus reforms. Companies must keep investing in tailored AI training for all staff, including management, technical, legal, and operational roles. This ensures proper governance, transparency, monitoring, and handling of incidents, especially for high-risk AI systems.
EU AI Act makes AI training a legal must
The EU AI Act, the world's first complete AI regulation, now makes AI literacy training a legal requirement. This means companies must train employees on what AI is, how to use approved tools, and understand legal obligations. Key parts of the act, including literacy and banned systems, start on February 2, 2026, with the full regulation taking effect in August 2026. Organizations face big penalties for not following these rules, which apply to any business using AI systems that affect people in the EU. Training also covers practical skills like using chatbots and image generation responsibly.
AI sales tools show promise but lag coding AI
AI Go-To-Market tools are generating real revenue and saving time for businesses. For example, Artisan sent over 19,000 messages and Qualified booked 91 meetings, leading to over $1 million in closed deals. However, these sales tools are not yet as advanced as AI coding assistants like Cursor and Replit. Cursor grew to $500 million in annual recurring revenue in under two years, and Replit gained 22.5 million users by helping create 2 million apps with AI. The author believes AI sales tools will eventually reach this level of sophistication.
Google keeps using bad AI for news headlines
Google continues to replace original news headlines with AI-generated ones in its Google Discover feed. Google calls this a "feature" that users like, but many of these AI headlines are misleading or false. For instance, an AI headline claimed "US reverses foreign drone ban" from a PCMag story that actually explained the ban was not dropped. News authors like Jim Fisher from PCMag feel uncomfortable and urge readers not to trust Google's AI headlines. The AI often struggles to understand context or truth, leading to confusing or incorrect summaries.
GitHub Copilot-SDK lets AI agents work in any app
GitHub released the Copilot-SDK, allowing developers to embed the powerful AI agent runtime from GitHub Copilot CLI into any application. This new SDK, currently in technical preview, lets the AI agent plan, use tools, edit files, and run commands within custom workflows. It supports multiple programming languages including Node.js, Python, Go, and .NET, offering a consistent way to integrate AI capabilities. The SDK also includes features like multi-step planning, tool execution, and integration with the Model Context Protocol. This means developers can easily add advanced AI behavior to their own software.
Top tech trends for 2026 revealed
New technology trends will significantly change daily life in 2026. Artificial intelligence will power new gadgets, potentially moving us beyond relying solely on smartphones. Tech companies will also focus more on personal health data. Additionally, a lot of gambling is expected to happen around various events.
AI firms hide training data sparking copyright fight
AI companies are facing criticism for not sharing summaries of the data used to train their AI models, as required by EU rules. Groups representing artists and creators say this lack of transparency prevents them from getting paid and protecting their work. The EU AI Act mandates this disclosure, with enforcement starting in August. Rightsholders argue that even with the current rules, they still do not receive enough information to defend their intellectual property. They are calling on the European Commission to enforce the law more actively and improve the data disclosure templates.
Google Photos now creates AI memes with Me Meme
Google Photos introduced a new AI feature called "Me Meme" on January 23, 2026. This tool lets users turn their own photos into memes directly within the app. Users can select a template, add a photo, and then generate, save, or share their new meme. Google executive Sameer Samat mentioned at CES 2026 that the company aims to make AI more helpful and fun.
Pegasystems uses AI to modernize old Lotus Notes apps
Pegasystems launched "Notes to Blueprint," an AI-powered solution to update old Lotus Notes applications. This tool converts them into modern, cloud-based automated workflows. It is available through Pega Marketplace and with Capgemini on AWS Marketplace. Pegasystems aims to offer a complete solution for companies wanting to replace their complex Lotus Notes systems. While this move strengthens Pega's position in cloud and AI, it is not expected to be a huge financial game-changer on its own.
Grok AI could have made millions of deepfakes
A study by the Center for Countering Digital Hate estimates that Grok's image-generating AI could have produced 3 million sexual deepfakes in just 11 days. The study looked at 20,000 posts from Grok's X handle, finding that 65 percent were sexualized images. Grok's feature for undressing people went viral in late 2025, leading the platform to add restrictions on January 9 and January 14. A new investigation into Grok is expected under social media regulations.
Sources
- AI Act strengthens training rules despite 2025 Digital Omnibus reforms
- AI Literacy Training: From Best Practice to Legal Requirement Under the New EU AI Act
- If AI GTM Tools Were Half as Good As Cursor or Replit, It Would Be a Different World Today. They Will Get There.
- Google won’t stop replacing our news headlines with terrible AI
- GitHub Releases Copilot-SDK to Embed Its Agentic Runtime in Any App
- These technology trends will define 2026 - whether you like them or not
- Missing AI training data summaries feed smouldering copyright debate
- Google Photos Adds AI-Powered Meme Creation With Me Meme
- Can Pegasystems (PEGA) Turn Lotus Notes AI Modernization Into Lasting Platform Advantage?
- Grok could have produced 3 million sexual deepfakes in 11 days, says estimate
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