Why AI Language Models Hallucinate: OpenAI Explains the Challenge - OpenAI defines hallucinations as instances where a language model produces confident but false answers. These errors highlight the problem: models often guess when uncertain instead of admitting they don’t know. According to OpenAI, hallucinations persist because standard evaluations measure only accuracy and reward guessing rather than honesty about uncertainty. Accuracy-based benchmarks create an incentive structure where guessing is better than abstaining.

Anthropic to Pay $1.5 Billion in Landmark Author Copyright Settlement - Anthropic has agreed to pay $1.5 billion to resolve a class-action lawsuit filed by authors. The case centered on allegations that the company used pirated books without permission to train its Claude chatbot. As part of the deal, Anthropic agreed to destroy copies of the books it downloaded. The company stressed that the agreement does not include an admission of liability.

Anthropic Backs California’s AI Safety Bill SB 53, Breaking with Tech Opposition - Anthropic formally endorsed SB 53, a bill authored by California state senator Scott Wiener that would establish the first state-level transparency requirements for major AI model developers. Silicon Valley investors like Andreessen Horowitz and Y Combinator opposed SB 1047, while the Trump administration has repeatedly threatened to block states from passing their own AI laws, citing risks to American innovation in competition with China. Learn how SB 53 fits into broader AI governance.

Google Gemini Rated ‘High Risk’ for Kids and Teens by Common Sense Media - Common Sense Media, a nonprofit that rates and reviews technology for kids, released its safety risk assessment of Google’s Gemini AI. Ultimately, Common Sense Media labeled both Gemini’s child and teen products “High Risk.” The organization emphasized that younger users require different information and support than older ones, which Gemini currently fails to deliver.





In Other News:

A timeline of the US semiconductor market in 2025 - The semiconductor industry plays a sizable role in the “AI race” that the U.S. seems determined to win, which is why this context is worth paying attention to: from Intel’s appointment of Lip-Bu Tan to CEO — who wasted no time getting to work trying to revitalize the legacy company — to Joe Biden proposing sweeping new AI chip export rules on his way out of office that never came to fruition. Here’s a look at what’s happened so far in 2025.

OpenAI’s Joanne Jang Launches OAI Labs for New AI Interfaces - OpenAI Model Behavior lead Joanne Jang announced the launch of OAI Labs, a research-driven effort to prototype new ways people collaborate with AI. The group will explore interface designs that go beyond today’s chatbots and agents, experimenting with new paradigms for thinking, making, and learning. Read her announcement on X.

Go to gemini.google.com, toggle on "Tools", and select "Create Images" (with the banana icon)

Upload any room photo and prompt: "Recreate this image in isometric view" —suddenly see details that weren't visible before

Refine elements: "Make the room bigger," "Add punk rock theme with minimalist chandelier" — Nano Banana edits without regenerating the image

Swap environments: "Change cityscape window to ocean view" or "Add natural sunlight and a door to another room" — perfect for testing interior design ideas

Push further with VEO: Upload your edited image and prompt "Make this room lively by adding two dogs running through" to create a video with sound effects

Canvas AI: Revolutionize your strategizing with AI-driven suggestions. Canvas AI provides canvas templates and generates content that fits your existing data.

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