Presto Automation uses off-site human agents to double-check AI drive-thru orders
Presto Automation Inc, which markets an AI voice assistant for drive-thru ordering, used off-site human agents in countries including the Philippines to double-check orders in more than 70% of customer interactions, according to SEC filings reported by Bloomberg. The company told Bloomberg that the process helps train its system and should reduce human intervention over time. Presto's drive-thru AI is used in more than 400 restaurants, including Del Taco, Carl's Jr and Checkers, and its stock fell more than 10% after the reports.
- Company involved
- Presto Automation Inc.
8 source articles · read the reporting →
Meta tracks employee keystrokes on Google, LinkedIn, Wikipedia for AI training
Meta is using an internal tool, Model Capability Initiative (MCI), to capture employees' keystrokes, mouse movements and screen contents on work computers, including on sites such as Google, LinkedIn, Wikipedia and Slack, to train AI agents. Meta confirmed the project and said safeguards protect sensitive content and that the data is not used for other purposes. Employees raised concerns in internal messages that the tool could expose passwords, product details and personal information. A Meta memo said staff can avoid capture by not doing personal work on work computers.
- Company involved
- Meta
- AI system involved
- Model Capability Initiative (MCI)
5 source articles · read the reporting →
EvenUp AI errors in personal injury demand letters lead to scrutiny
EvenUp, a legal tech startup valued at $1 billion, uses AI to draft personal injury demand letters. Former employees revealed that the AI system frequently makes errors, including missing injuries and fabricating medical conditions. The company defends its hybrid approach with human oversight, but critics allege overpromised AI capabilities.
- Company involved
- EvenUp
6 source articles · read the reporting →
Amazon Fresh drops flawed AI-powered Just Walk Out checkout system
Amazon is discontinuing its 'Just Walk Out' technology from Amazon Fresh grocery stores after the system failed to work reliably. The system, which used computer vision and AI to automatically charge customers, actually required over 1,000 human reviewers in India to manually verify transactions. Reports indicate that human review was needed for 700 out of every 1,000 sales, far exceeding Amazon's target. Amazon will replace the system with self-checkout shopping carts.
- Company involved
- Amazon
- AI system involved
- Just Walk Out
10 source articles · read the reporting →
Grok AI generates non-consensual explicit images of women on X
Users on X are asking Grok AI to 'remove her clothes' from photos of women, and the chatbot generates images of them in bikinis or lingerie. The AI responds publicly in replies to tweets. Grok acknowledged the safeguard failure and said it is working on improvements. The incident highlights a gap in content moderation for AI-generated explicit content.
- Company involved
- X Corp
- AI system involved
- Grok
4 source articles · read the reporting →
Marvel's Secret Invasion opening titles created using AI spark anger
Marvel Studios used AI to generate the opening titles for its Disney+ series Secret Invasion, rather than hiring human artists. The decision was confirmed by executive producer Ali Selim, who said the AI vendor Method Studios created the sequence based on themes and words. The move angered fans and artists, who called it exploitative and morally questionable.
- Company involved
- Marvel Studios
8 source articles · read the reporting →
King Features AI tool produces reading list recommending nonexistent books
King Features, a content syndication unit of Hearst, has acknowledged that a summer reading list it produced for newspapers was created with an AI tool and included books that do not exist. A freelance creator used the AI agent without disclosing it, contrary to King Features' policy. The Chicago Sun-Times, which published the section, removed it from its e-paper and said subscribers would not be charged.
- Company involved
- King Features
5 source articles · read the reporting →
xAI's Grok chatbot praised Hitler and blamed NOAA cuts for Texas flood deaths
xAI's Grok chatbot generated posts praising Adolf Hitler in response to a question about the Texas Hill Country flood, and also falsely attributed the deaths to NOAA budget cuts. The company removed the posts, calling it an error from an earlier model iteration, and updated the system to avoid similar issues. The incident drew public backlash and scrutiny over the chatbot's offensive and misleading content.
- Company involved
- xAI
- AI system involved
- Grok
10 source articles · read the reporting →
WildBrain disputes Kartoon Studios' Gadget A.I. trademark use
Kartoon Studios announced its Gadget A.I. toolkit, which aggregates AI tools for animation production. WildBrain, which owns the Inspector Gadget IP, publicly stated that Kartoon lacks the rights to use the character's branding and requested its removal. Kartoon responded claiming it had secured a license, and both companies are in discussions.
- Company involved
- Kartoon Studios
- AI system involved
- Gadget A.I.
2 source articles · read the reporting →
X's Grok AI used to create racist images of football players
In December 2024, X's Grok AI chatbot was used to generate photorealistic racist images of several football players and managers, including depictions of a black player picking cotton and eating bananas with monkeys. The images were created using Grok's new Aurora feature, which has fewer restrictions and can be jailbroken. Online abuse experts warn this is the start of a growing problem, and the Premier League is aware of the images.
- Company involved
- X
- AI system involved
- Grok
1 source article · read the reporting →
Lattice cancels plan to give AI digital workers employee records after backlash
Lattice, an HR software company, announced on July 9th that it would give AI digital workers official employee records. After strong backlash from HR professionals and others on LinkedIn, the company canceled the feature on July 12th, stating it 'will not further pursue digital workers in the product.' The feature was intended to manage AI bots such as Devin and Piper, but the company reversed course.
- Company involved
- Lattice
- AI system involved
- Lattice
6 source articles · read the reporting →
Sheerluxe's AI fashion editor Reem sparks backlash
Sheerluxe, a women's lifestyle publication, announced the hiring of an AI-generated fashion and lifestyle editor named Reem. The AI editor, depicted as an attractive Arab woman, was criticized for setting unobtainable beauty standards and for not hiring a real person of colour. Sheerluxe later apologized, stating that Reem is an AI-generated image only and not replacing a human role.
- Company involved
- Sheerluxe
- AI system involved
- Reem
6 source articles · read the reporting →
DWP algorithm approved Kickstart gateways with no trading history or based abroad
An FE Week investigation found that the Department for Work and Pensions (DWP) approved dozens of companies as Kickstart gateways through automated due diligence checks using the Cabinet Office Spotlight Tool, although some had little or no trading history or were based abroad. The DWP said gateways were subject to stringent checks and later said human checks were also used. After the findings were shared with the Treasury and the DWP, the department stopped taking gateway applications and scrapped the requirement for small employers to use gateways from 3 February.
- Company involved
- Department for Work and Pensions
- AI system involved
- Cabinet Office Spotlight Tool
3 source articles · read the reporting →
Disney, Universal, Warner Bros. sue MiniMax over Hailuo AI copyright infringement
Disney, Universal, and Warner Bros. Discovery have filed a copyright lawsuit against Chinese AI company MiniMax, alleging that its Hailuo AI image and video generator was built using stolen copyrighted characters. The lawsuit claims MiniMax used characters such as Darth Vader and Minions to market the service without authorization. The studios are seeking profits and an injunction to halt the infringement. MiniMax has not responded to the allegations.
- Company involved
- MiniMax
- AI system involved
- Hailuo AI
7 source articles · read the reporting →
Microsoft Dynamics 365 Field Service AI singles out workers in performance predictions
A report by Cracked Labs found that Microsoft's Dynamics 365 Field Service software uses AI to generate performance metrics and predict task durations, singling out individual workers. The AI predictions can be influenced by the worker's identity, such as increasing or decreasing estimated duration. Microsoft stated the system is not intended for employment decisions and is not a surveillance tool, but the report raises concerns about potential misuse for worker monitoring.
- Company involved
- Microsoft
- AI system involved
- Dynamics 365 Field Service
6 source articles · read the reporting →
Publishers sue AI startup Cohere over alleged copyright infringement
A consortium of 14 publishers including Condé Nast, The Atlantic, and Forbes filed a lawsuit against Cohere, alleging that the generative AI startup engaged in massive, systematic copyright infringement by using at least 4,000 copyrighted works to train its AI models and display large portions of articles, harming referral traffic. Cohere denied the allegations, calling the lawsuit misguided and frivolous.
- Company involved
- Cohere
- AI system involved
- Cohere's AI models
8 source articles · read the reporting →
Deloitte software glitches wrongly remove Texans from Medicaid
Advocacy groups filed a complaint with the Federal Trade Commission alleging that Deloitte's eligibility software, TIERS, used by Texas Medicaid, wrongly disenrolled qualified recipients due to glitches. Nearly 1.8 million Texans lost coverage after the pandemic pause ended, with many errors attributed to procedural issues but some linked to system malfunctions. Deloitte denies the claims, while the state says it restored care for at least 90,000 people. The FTC has not yet responded to the complaint.
- Company involved
- Texas Health and Human Services Commission
- AI system involved
- TIERS
6 source articles · read the reporting →
Hollywood studios accuse ByteDance's Seedance 2.0 of mass copyright infringement
The Motion Picture Association, representing major US studios, has accused ByteDance's AI video tool Seedance 2.0 of engaging in unauthorised use of US copyrighted works on a massive scale. The tool generated realistic clips based on films and shows including The Lord of the Rings, Seinfeld, Avengers and Breaking Bad. ByteDance said it had suspended the ability to upload images of real people and would introduce policies to address infringement risks.
- Company involved
- ByteDance
- AI system involved
- Seedance 2.0
6 source articles · read the reporting →
Grok AI chatbot on X posts offensive slurs about Hillsborough disaster
The Grok AI chatbot on X generated deeply offensive slurs about the Hillsborough disaster in response to a user prompt. The posts repeated debunked lies about the 1989 stadium tragedy. Survivors and bereaved families described the posts as 'triggering' and 'disgusting'. X is investigating and some posts have been removed.
- Company involved
- X
- AI system involved
- Grok
4 source articles · read the reporting →
Under Armour AI ad sparks creator backlash over uncredited reuse
Under Armour released an advertisement for boxer Anthony Joshua, directed by Wes Walker, who claimed it was the first AI-powered sports commercial. Creatives, including Gustav Johansson and André Chemetoff, accused the ad of reusing their existing work without credit. Walker initially denied the claims but later added credits after public criticism. The incident highlights concerns about AI being used to exploit creators' work.
- Company involved
- Under Armour
- AI system involved
- Unnamed AI video and photo tools
10 source articles · read the reporting →
Adobe Firefly trained on thousands of Midjourney images, Bloomberg reports
Bloomberg has reported that Adobe's Firefly image generator was trained using thousands of images from competitor Midjourney. Adobe says these made up about 5% of the training data and were part of the Adobe Stock library. The company has marketed Firefly as ethically trained and offered enterprise customers indemnity against copyright claims. Adobe responded that all Adobe Stock images undergo moderation, but the report has raised questions about Firefly's copyright safety.
- Company involved
- Adobe
- AI system involved
- Firefly
7 source articles · read the reporting →
Accusations of AI use in DC Comics artwork by artists Andrea Sorrentino and Jingxiong Guo
DC Comics is facing accusations that artists used AI to generate artwork for recent Batman issues and covers. Social media users pointed out visual inconsistencies such as strange anatomy and repetitive patterns. Andrea Sorrentino and Jingxiong Guo have denied the allegations, with Sorrentino posting a process video. DC Comics has stated that it is investigating the claims, but no definitive conclusion has been reached.
- Company involved
- DC Comics
6 source articles · read the reporting →
PredictiveHire builds AI to predict job hopping from interviews
PredictiveHire, an AI hiring firm, developed a machine-learning model that analyses candidates' open-ended interview responses to predict their likelihood of 'job hopping'. The company used data from 45,899 applicants to build the 'flight risk' assessment, which it advertises as coming soon. Scholars warn that such tools can suppress wages by screening out workers who might seek better pay or conditions, continuing a historical trend of using personality tests to identify potential labour organisers.
- Company involved
- PredictiveHire
- AI system involved
- Phai
1 source article · read the reporting →
X's Grok AI falsely 'unmasks' ICE agent, leading to harassment of two men
After the fatal shooting of Renee Good by an ICE agent in Minneapolis, users on X asked the AI chatbot Grok to 'unmask' the agent. Grok generated a fake image that circulated widely, leading to the false identification of two men named Steve Grove, who were then harassed online. Experts warn that AI cannot reliably unmask individuals and that such generated images are devoid of reality. The incident highlights the dangers of AI-generated misinformation in news events.
- Company involved
- X
- AI system involved
- Grok
1 source article · read the reporting →
