Microsoft develops AI models as OpenAI creator faces challenges

Concerns about the rapid advancement of artificial intelligence are growing, with a viral essay by AI CEO Matt Shumer warning that "Something big is happening," drawing parallels to the period just before the COVID-19 pandemic. This sentiment is echoed by Nate Soares, who has also joined discussions on these significant changes. The essay urges individuals and society to prepare for AI's impact on jobs and daily life, emphasizing the need for ethical considerations and new regulations.

The financial world is already feeling the effects, as US stocks, including the S&P 500, Dow Jones Industrial Average, and Nasdaq composite, experienced sharp drops due to worries about AI's rapid expansion. Software stocks were particularly hit, and experts at UBS warn that AI's influence could lead to lower bond prices and increased loan defaults. Elon Musk, a prominent figure in AI, believes that AI could displace workers, potentially resulting in vacant office spaces, a concern that saw GXO Logistics' stock shares fall.

Meanwhile, major companies are actively integrating AI into their operations. Allianz, with a 2024 business volume of $208 billion USD, is heavily investing in AI to automate simple claims and manage fraudulent ones, exemplified by Project Nemo which has cut processing time by 80 percent. Leidos Holdings is also leveraging AI and Zero Trust security for federal defense networks as part of the Defense Enclave Services program, partnering with RegScale and Trustible to streamline cybersecurity and AI risk management for government agencies.

In a significant development, Microsoft is planning to reduce its reliance on OpenAI, the creator of ChatGPT. Microsoft's AI chief, Mustafa Suleyman, indicated this shift comes as OpenAI faces financial challenges and lawsuits, including one from the New York Times and another from Elon Musk's xAI. Microsoft intends to develop its own advanced AI foundation models, utilizing extensive computing power and top AI training teams globally. This move highlights the increasing importance of proprietary AI development.

The deployment of AI agents also brings heightened security risks, with experts stating that companies without specific AI security should avoid using AI altogether. Palo Alto Networks, for instance, uses AI agents like the RFP Agent and Panda AI, stressing that robust security is crucial for the safe operation of these powerful tools. On a different note, Santa Monica will become the first city to use Hayden AI's technology in parking enforcement cars to identify vehicles blocking bike lanes, aiming to enhance street safety and bus travel efficiency.

The cultural impact of AI is also emerging, as seen with The Mise En Scene Company (MSC) in the UK, which is now labeling its movie marketing with "No AI Used" to protect human creativity. This initiative, inspired by A24's 'Heretic,' advocates for a global certification system for human-made art. Furthermore, the "world's first A.I. dating cafe" in Hell's Kitchen, featuring AI avatars like Simone Carter created by EVA AI, showcased a unique social interaction, allowing people to virtually date digital partners.

Key Takeaways

  • A viral essay by AI CEO Matt Shumer warns of "Something big happening" with AI, comparing it to the pre-COVID era, urging preparation for societal and job changes.
  • US stock markets, including the S&P 500, Dow, and Nasdaq, saw significant drops due to concerns over rapid AI growth, impacting software stocks and potentially increasing loan defaults.
  • Elon Musk believes AI could replace workers, leading to empty office buildings, a sentiment that contributed to a fall in GXO Logistics' stock.
  • Microsoft plans to reduce its dependence on OpenAI, the creator of ChatGPT, due to OpenAI's financial issues and lawsuits from entities like the New York Times and Elon Musk's xAI.
  • Microsoft's AI chief, Mustafa Suleyman, confirmed the company's intent to develop its own advanced AI foundation models using vast computing resources.
  • Allianz, with a 2024 business volume of $208 billion USD, is investing heavily in AI for automating claims and managing fraud, with Project Nemo cutting processing time by 80%.
  • Leidos Holdings secured a federal contract to provide AI and Zero Trust security for Defense Agencies, enhancing IT programs and partnering with RegScale and Trustible.
  • Security experts warn that companies should not deploy AI agents without specific AI security measures due to increased risks.
  • Santa Monica will be the first city to use Hayden AI's technology in parking enforcement cars to identify and ticket vehicles blocking bike lanes, starting in April.
  • The UK's The Mise En Scene Company is implementing "No AI Used" labels on movie marketing to protect human creativity, advocating for a global certification system for human-made art.

Viral essay warns about fast AI changes

A popular essay online tells people to get ready for quick changes in artificial intelligence. It explains how AI could affect jobs and society. The essay asks everyone to learn about AI, think about ethics, and make new rules to handle these changes. It serves as a reminder to prepare for a future shaped by AI.

AI CEO warns of big changes coming

A viral essay is telling people to get ready for fast advancements in artificial intelligence. Matt Shumer, an AI company CEO, wrote the essay, saying "Something big is happening." He compared this moment to February 2020, right before the start of COVID. Nate Soares, who co-wrote 'If Anyone Builds It, Everyone Dies,' also joined the discussion about these warnings.

Leidos boosts defense AI security and IT programs

Leidos Holdings is helping Defense Agencies move to DODNet as part of the large Defense Enclave Services program. The company won a federal contract to provide AI and Zero Trust security for important defense networks. Leidos also teamed up with RegScale and Trustible to make cybersecurity and AI risk management easier for federal agencies. This shows Leidos is focusing on big, long-term IT projects for the Department of Defense and intelligence community. Investors should watch how these AI and security efforts lead to more work and stronger customer ties.

AI fears grow for real estate and logistics

Fears about artificial intelligence are now affecting the real estate, trucking, and logistics industries. Elon Musk believes AI could replace workers, leading to empty office buildings. An AI company, GXO Logistics, saw its stock shares fall. However, Siemens CEO Roland Busch thinks AI will quickly help industrial manufacturing and product design. Meanwhile, the European Union is planning to change its economy to become more competitive.

No security means no AI

The way we use AI is changing from simple chatbots to smart agents that take action. This change greatly increases security risks for businesses. The author believes that if a company does not have specific security for AI, it should not use AI at all. Deploying AI agents without clear visibility can speed up mistakes. At Palo Alto Networks, they use AI agents like the RFP Agent for complex tasks and Panda AI for employee services. They emphasize that security is the only reason these powerful AI tools can exist safely.

My dinner date with an AI avatar

On February 13, 2026, Ella Quittner went on a first date with an AI avatar named Simone Carter. Simone, who appeared as a marketing assistant from Harlem, was a digital creation that went on over 100 dates that week. This unique experience happened at a pop-up in Hell's Kitchen, called "the world's first A.I. dating cafe." The chatbot platform EVA AI created the avatars, promising users a virtual partner who listens and supports them. The event allowed people to flirt with a screen in a restaurant, just before Valentine's Day.

Microsoft plans to move away from OpenAI

Microsoft is getting ready to reduce its reliance on OpenAI, the company behind ChatGPT. Microsoft's AI chief, Mustafa Suleyman, indicated this shift is happening as OpenAI faces financial difficulties and lawsuits, including one from the New York Times and another from Elon Musk's xAI. Microsoft plans to develop its own advanced AI foundation models. This will involve using massive computing power and working with the best AI training teams in the world.

Allianz uses AI for claims and fraud

Allianz, a company with a 2024 business volume of $208 billion USD, is heavily investing in artificial intelligence. They are using AI for two main purposes: to automate simple claims and to quickly manage fraudulent claims. One example is Project Nemo, launched in Australia in July 2025. This system uses seven special AI agents to process claims, like those for food spoilage under $327 USD, in less than five minutes. A human then reviews the audit summary for the final decision. This process has cut claim processing time by 80 percent.

AI fears cause stock market to drop

US stocks fell sharply as Wall Street worried about how quickly artificial intelligence is growing. The S&P 500 dropped 1.6 percent, the Dow Jones Industrial Average lost 669 points, and the Nasdaq composite sank 1.7 percent. While some companies like Equinix, McDonald's, and Walmart saw gains, many software stocks were hit hard. Experts at UBS believe AI's impact could also lower bond prices and increase loan defaults for some companies. This could make it more expensive for businesses, even large tech firms, to borrow money for their AI investments.

UK film firm labels movies as No AI Used

The UK sales company The Mise En Scene Company, or MSC, is now putting a "No AI Used" label on its movie marketing. This idea came from A24's horror film 'Heretic,' which included a similar disclaimer. MSC's CEO, Paul Yates, wants to protect human creativity as AI-made content becomes more common. He is asking for a worldwide system to certify human-made art, much like labels for organic food. MSC supports AI as a tool but believes it is important to clearly tell the difference between human and AI-generated work.

Santa Monica uses AI to clear bike lanes

Starting in April, Santa Monica, California, will be the first city to use AI in its parking enforcement cars to find people blocking bike lanes. Hayden AI's scanning technology will be on seven city vehicles, building on similar cameras already on city buses. This system, also used in cities like Oakland and New York, aims to make streets safer for bike riders and speed up bus travel. The AI records a 10-second video and license plate of violating vehicles, sending the evidence to police for review and tickets. Local bike groups, like Santa Monica Spoke, support this new effort.

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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