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Latest in AI
President Donald Trump signed an executive order asking AI companies to voluntarily provide their frontier models to the federal government up to 30 days before public release. The order is aimed at assessing models' "advanced cyber capabilities" and selecting "trusted partners" for preview, though it explicitly does not create a mandatory licensing or permitting requirement.
The order creates a benchmarking process to assess "covered frontier models" and asks companies to voluntarily collaborate with the government before broader releases.
Trump signed in private after postponing a ceremony with tech CEOs because he "didn't like certain aspects," with Anthropic and OpenAI both preparing for IPOs this year.
The Department of Defense has labeled Anthropic a "supply chain risk," banning defense contractors from using Claude, while Anthropic is currently suing the Trump administration to reverse the designation.
For enterprise leaders, the order reflects growing government interest in AI oversight, even if participation remains voluntary for now. Companies deploying frontier AI should monitor whether this precedent shifts toward mandatory requirements and how vendor relationships with the DOD and national security agencies may affect procurement decisions.
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THE BUSINESS BRIEFING: CUSTOMER SUPPORT (powered by Upscaile)
Cynet (mid-market cybersecurity, 200+ employees) was burning time as frontline support reps constantly pinged senior engineers in Teams for repeat questions. Knowledge was scattered across Salesforce, Confluence, and internal docs. Reps spent hours hunting for answers, resolution times stretched to a full week, and senior engineers were constantly interrupted. They deployed Mosaic AI to centralize knowledge access across all systems and built custom AI agents for summarization, case handoffs, and quality audits.
Tool used: Mosaic AI -- AI platform that searches across multiple knowledge bases and generates custom support agents.
Result: CSAT lifted 14 points (from 79 to 93). Resolution times cut from 7 days to 4–5 days. 47% of tickets resolved at Tier 1 without escalation. 25 hours saved per week across the team.
The lesson: AI search only works when integrated into daily workflows, not bolted on top. Cynet's Director of Global Customer Support spent time using the platform himself before rollout, then trained managers to use it for coaching and case quality reviews.
Steal this: Audit where your support team currently searches for answers. If reps are switching between 3+ tools daily, map those sources and test an AI search layer that indexes them all. Run a pilot with 5 reps for 2 weeks and track time spent searching versus time spent solving.
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THE POLICY CORNER
Texas bans intentional AI discrimination in hiring—enforcement active, $10K+ fines per violation.
On January 1, 2026, the Texas Responsible Artificial Intelligence Governance Act (TRAIGA 2.0) took effect. It prohibits developing or deploying AI systems with the intent to discriminate based on race, color, national origin, sex, age, religion, or disability. Applies to any person or entity doing business in Texas, selling to Texans, or deploying AI in the state. This includes manufacturers, employers using AI to screen resumes, and vendors selling AI-powered tools. The law does not prohibit unequal outcomes by themselves—intent to discriminate is required—but federal employment law still holds employers accountable for disparate impact.
Deadline: In effect now. Attorney general complaint portal launches September 1, 2026.
Risk: Curable violations: $10K-$12K per violation. Uncurable violations: $80K-$200K each, plus $2K-$40K per day if ongoing. Attorney general can demand documentation on system purpose, training data, inputs, outputs, and safeguards.
Your move: Inventory every AI tool touching hiring, performance management, or workforce decisions. Confirm vendors can produce documentation showing the system wasn't designed to discriminate. Companies following NIST AI risk management standards have a statutory defense.
AI News
🏢 OpenAI's Codex update adds enterprise workspaces: Non-developers now 20% of 5M weekly users, growing 3x faster than engineers; new Sites feature lets teams build hosted apps without front-end dev, Annotations enable precise spreadsheet edits without breaking formatting. FULL STORY
🔒 Anthropic expands Project Glasswing to 150+ orgs across 15 countries: Claude Mythos now securing critical infrastructure in power, water, healthcare sectors; partners include Samsung, SK Hynix, NATO, targeting codebases affecting 100M+ people per organization. FULL STORY
💰 Uber caps AI coding tool spend at $1,500/month per employee: Company burned through full-year AI budget early; CTO reports 10% of code now submitted by AI agents, though COO says hard to link usage to customer-facing features. FULL STORY
📱 Microsoft launches Scout personal assistant on OpenClaw: Always-on agent monitors calendar, traffic, Teams threads; 3K+ Microsoft employees already using for scheduling, paperwork, travel booking; desktop preview for US Frontier customers this week. FULL STORY
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The Money: AI's infrastructure bet shifts to power and cooling
Alphabet raised $80 billion to fund AI expansion while ZutaCore closed $100 million to scale waterless cooling systems for AI data centers. As hyperscalers face constrained power grids and climbing thermal loads, capital is flowing to the physical systems that keep AI running.
Deals to know:
Alphabet (Equity Offering + Private Placement, $80B) -- Funding AI infrastructure expansion with Berkshire taking $10B stake. Pushing annual capex to $180B-$190B. Investors: Berkshire Hathaway, public markets
ZutaCore (Series C, $100M) -- Waterless two-phase liquid cooling for 4,000W+ processors. 75 deployments worldwide, 2MW emulation platform operational. Investors: Mitsubishi Electric, Carrier Ventures, Samsung Ventures
Signal: Smart money recognizes compute density without cooling infrastructure is worthless. Expect physical infrastructure vendors to command premium multiples through 2027 as power constraints bite harder.
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