The artificial intelligence sector is buzzing with new leadership, significant investments, and growing concerns over security and compliance. On November 12, 2025, former Fox and HBO Max executive Kevin Reilly became the CEO of Kartel, an AI startup specializing in creating AI systems for major brands, agencies, and studios. Reilly, known for his work on hit shows like 'The Sopranos' and 'The Office,' brings over three decades of entertainment experience to his new role, aiming to help Kartel scale high-quality content using AI. The company also secured new funding from investors including Maven Growth Partners, TopRidge Investments, and Elevate Partners, and Reilly will operate from Kartel's Beverly Hills office. While new leadership and funding drive growth, the broader AI landscape faces critical challenges. Organizations in the Asia-Pacific region, for instance, urgently need to re-evaluate their cloud and AI security strategies. A report from Tenable and Cloud Security Alliance highlights that 82 percent of these organizations use hybrid environments, and over half of those adopting AI have already experienced a breach, often due to basic issues like incorrect cloud settings. Similarly, IT leaders globally are increasingly focused on AI risk, security, and compliance, with a Techtelligence report indicating that over 30,000 large organizations are actively investigating these areas. Data privacy, bias, and regulatory problems are top concerns, emphasizing the need for AI governance to be integrated into daily workflows. Transparency issues also plague public sector AI initiatives, as seen with Virginia's AI registry. A study found that the Virginia Information Technologies Agency (VITA) has unclear guidance and uncoordinated systems, having approved only 90 out of 182 submitted state AI projects by October 31. This highlights a lack of a single voice on AI within VITA, which is now working to establish a centralized information role. In the private sector, GitLab's Global DevSecOps report reveals an 'AI Paradox' where AI speeds up coding but fragmented tools and compliance issues actually reduce productivity, pointing to a need for platform-based solutions. Despite heavy investments in AI by major customer-experience companies, returns are proving slow. Accenture's CEO, Julie Sweet, noted that while they have over 6,000 AI projects and have trained half a million employees, AI's value has been 'underwhelming' for many. Teleperformance, for example, launched over 400 new AI projects, including its FAB Assist platform, yet profit margins remain under pressure due to wage inflation and technology costs. Companies like Concentrix and TaskUs are integrating AI to enhance services and automate tasks, but human involvement remains crucial. However, the AI sector is beginning to see significant monetization beyond just model building, particularly from hardware providers like AMD and Nvidia. Matthew Bryson from Wedbush Securities points out that while Nvidia currently dominates the AI chip market, AMD stands as a strong competitor, with its success dependent on effective execution. Concerns exist, however, about some AI companies potentially inflating earnings by extending the useful life of assets, given that AI hardware typically has a 2-3 year product cycle. Innovation continues with partnerships and specialized applications. Dolby Labs extended its partnership with Georgia Tech's College of Computing for a second year, donating $600,000 for advanced research in AI and immersive technology. This collaboration includes seven research projects and student seminars. In nuclear security, ScanTech AI Systems Inc. showcased its AI-powered, non-intrusive CT screening and imaging systems at the World Nuclear Exhibition in Paris from November 4-6, 2025, engaging with major organizations like Électricité de France and the U.S. Department of Commerce. Furthermore, physicists are exploring the future of machine learning and AI, identifying exciting areas such as generative AI, self-supervised learning, climate simulations, and agentic systems for healthcare. The fifth annual Palm Beach CorpGov Forum also recently discussed AI's impact on tangible assets, including hospitality and real estate, underscoring its broad influence across industries.
Key Takeaways
- Kevin Reilly became CEO of AI startup Kartel on November 12, 2025, bringing over 30 years of entertainment experience to help scale AI-driven content for brands and studios.
- Kartel secured new funding from Maven Growth Partners, TopRidge Investments, and Elevate Partners to expand its AI development.
- Asia-Pacific companies face significant cloud and AI security challenges, with over half of AI adopters experiencing breaches due to basic misconfigurations in hybrid environments.
- IT leaders prioritize AI risk, security, and compliance, with over 30,000 large organizations investigating these issues, highlighting concerns about data privacy, bias, and regulatory problems.
- Virginia's AI registry (VITA) exhibits transparency issues, with unclear guidance and uncoordinated systems leading to frustration among state agencies.
- The GitLab Global DevSecOps report identifies an "AI Paradox" where AI boosts coding speed but fragmented tools and compliance issues reduce overall productivity.
- Major customer-experience companies like Accenture and Teleperformance are investing heavily in AI, but the value and profit returns have been "underwhelming" despite numerous projects.
- The AI sector is seeing real monetization, led by hardware providers such as AMD and Nvidia, though concerns exist about potential earnings inflation due to the rapid obsolescence of AI hardware.
- Dolby Labs extended its partnership with Georgia Tech's College of Computing, donating $600,000 for advanced AI and immersive technology research.
- ScanTech AI Systems Inc. showcased its AI-powered nuclear security screening technology at the World Nuclear Exhibition in Paris, engaging with key organizations and nearing completion of a project with a North American nuclear energy producer.
Kevin Reilly named CEO of AI startup Kartel
On November 12, 2025, former Fox and HBO Max executive Kevin Reilly became the CEO of Kartel. Kartel is an AI startup that creates AI systems for big brands, agencies, and studios. Reilly brings over three decades of experience in entertainment, having worked on shows like The Sopranos and The Office. His new role aims to help Kartel scale high-quality content using AI. The company also announced new funding from investors like Maven Growth Partners.
Kevin Reilly becomes CEO of AI company Kartel
On November 12, 2025, Kevin Reilly, a former WarnerMedia executive, was named CEO of Kartel. Kartel is an AI company that develops systems for Fortune 500 brands, agencies, and studios. Reilly will work from Kartel's Beverly Hills office. He is known for his work on popular TV shows like The Sopranos and The Office. Kartel co-founder Ben Kusin believes Reilly will help the company scale high-quality content with AI.
Former Fox executive Kevin Reilly to lead AI startup Kartel
Kevin Reilly, a former executive at Fox and WarnerMedia, will now serve as CEO of Kartel. Kartel is a creative engineering company that builds AI systems for major brands, agencies, and studios. Reilly will work from the company's Beverly Hills office. He has a strong background in entertainment, having worked on hit shows like The Sopranos and The Office. Kartel also secured new funding from Maven Growth Partners, TopRidge Investments, and Elevate Partners to expand its AI development.
APAC companies must improve cloud and AI security
Organizations in the Asia-Pacific region need to re-evaluate their cloud and AI security strategies. Many companies use hybrid and multi-cloud systems, which makes IT security more complex. A report from Tenable and Cloud Security Alliance shows that 82 percent of organizations use hybrid environments. AI adoption introduces new risks, and over half of companies using AI for business have already faced a breach. These breaches often come from basic issues like wrong cloud settings or too many permissions. APAC companies currently prioritize speed and cost, but they must focus more on managing security risks.
IT leaders focus on AI risk and security
As more companies use AI, IT leaders face new challenges with compliance and security. A Techtelligence report shows that AI risk, security, and compliance are top concerns for buyers. Over 30,000 large organizations are looking into AI Security and Responsible AI. Industries like manufacturing, finance, and healthcare are especially focused on these issues. Key risks include data privacy, bias, and regulatory problems. Experts suggest that governance for AI should be built into daily workflows, not just reviewed occasionally.
Virginia AI registry faces transparency issues
A study reveals that Virginia's artificial intelligence registry has transparency problems. The registry, created by the Virginia Information Technologies Agency (VITA), tracks and approves state AI projects. As of October 31, VITA approved 90 out of 182 submitted cases. State agencies are frustrated with VITA's unclear guidance and uncoordinated systems. The Joint Legislative Audit and Review Commission found that VITA lacks a single voice on AI. VITA is working to create a centralized AI information role and address these concerns.
GitLab report shows AI paradox in coding
GitLab's new Global DevSecOps report surveyed over 3,200 professionals about AI. The report found an "AI Paradox" in code development. While AI helps speed up coding, fragmented tools and compliance issues are actually lowering productivity. This situation highlights the need for new platform-based solutions to manage these challenges. The report explores how AI-driven compliance affects GitLab's investment story.
AI investments rise but returns are slow
Major customer-experience companies are investing heavily in AI, but the returns are slow. Accenture's CEO, Julie Sweet, stated they have over 6,000 AI projects and trained half a million employees. However, she noted that AI's value has been "underwhelming" for many companies. Teleperformance launched over 400 new AI projects, including its FAB Assist platform. While AI boosts efficiency, profit margins are under pressure due to wage inflation and technology investments. Companies like Concentrix and TaskUs are integrating AI to improve services and automate tasks, but human involvement remains key.
Dolby extends Georgia Tech partnership for AI research
Dolby Labs has extended its partnership with Georgia Tech's College of Computing for a second year. Dolby donated $600,000 to support advanced research in AI and immersive technology. The collaboration, which has lasted over a year, includes seven research projects and student seminars. Both Dolby and the College have labs in the Coda building, fostering teamwork. This partnership allows students to gain real-world experience and helps Dolby researchers expand their knowledge.
ScanTech AI displays nuclear security tech in Paris
ScanTech AI Systems Inc. showcased its AI-powered security screening and imaging systems at the World Nuclear Exhibition in Paris, France. The event took place from November 4-6, 2025. ScanTech AI develops non-intrusive CT screening technologies that use AI to detect dangerous materials. The company engaged with major organizations like Électricité de France and the U.S. Department of Commerce. A project with a large North American nuclear energy producer is also almost finished, integrating ScanTech's SENTINEL CT platform.
AI monetization grows beyond model building
Matthew Bryson from Wedbush Securities stated that the AI sector is now seeing real money being made, not just new models built. He noted that hardware providers like AMD and Nvidia are leading this shift. While Nvidia currently dominates the AI chip market, AMD is a strong competitor whose success relies on good execution. Bryson also raised concerns about some AI companies possibly inflating earnings by extending the useful life of assets. This accounting practice might hide the rapid obsolescence of AI hardware, which typically has a 2-3 year product cycle.
Physicists explore machine learning and AI future
Four physicists discussed the future of machine learning and artificial intelligence in a series from IOP Publishing. Editors-in-chief from journals like Machine Learning: Science and Technology shared their insights. They believe AI's growth comes from deep learning success, better computing, and new algorithms. Exciting areas include generative AI, self-supervised learning, and using AI for climate simulations. They also see potential for agentic systems in healthcare and applying AI to new fields like smart grids and electric vehicles.
Palm Beach forum discusses AI and tangible assets
The fifth annual Palm Beach CorpGov Forum took place on November 5-6. Hosted by CorpGov and IPO Edge, the event brought together experts from various financial fields. Speakers discussed how artificial intelligence affects tangible assets. They explored AI's impact on industries such as hospitality and real estate. The forum provided a platform for leaders to share insights on corporate governance and investment.
Sources
- Kevin Reilly Set to Lead AI Startup Kartel
- Kevin Reilly, Former WarnerMedia Exec, Tapped As CEO Of AI Firm Kartel
- Kevin Reilly, Former Fox and WarnerMedia Exec, to Lead AI Startup Kartel
- Why APAC organisations must rethink their cloud and AI security
- The AI Risk Mitigation Playbook for IT Leaders: Governance, Security, and Ethical Deployment
- Virginia's artificial intelligence registry faces transparency challenges, study shows
- Does GitLab’s (GTLB) AI Paradox Reveal a New Inflection Point for Platform Innovation?
- AI Investments May be Up, But Optimism is Not Really Warranted
- Sound Investment: Dolby Extends Partnership with College to Advance AI, Immersive Tech
- ScanTech AI showcases nuclear security solutions at World Nuclear Exhibition By Investing.com
- Bryson: We’re finally seeing monetization of AI, not just model building
- Physicists discuss the future of machine learning and artificial intelligence
- Tangible Assets – AI: From Hospitality to Real Estate, 5th Palm Beach CorpGov Forum
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