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AI Boom Turns Browsers into Enterprise Security’s Biggest Blind Spot

 

Telemetry data from the 2026 State of Browser Security Report reveals that, while the browser has become the de facto operating system for work in the enterprise, it remains one of the least secured segments in the overall security stack. In 2025, AI-native browsers, embedded copilots, and generative tools transitioned from being experimental pilots to being ubiquitous, routine tools for search, write, code, and workflow automation, thus creating a significant disconnect between the way employees are actually working and the organization’s risk monitoring capabilities.

The data also indicates that generative artificial intelligence has become an integral part of browser workflows, extending beyond the browser as a gateway for a small set of approved tools. According to the telemetry data collected by Keep Aware, 41% of end-users interacted with at least one AI tool on the web in 2025, with an average of 1.91 AI tools used per end-user, thus revealing the widespread integration of AI tools in the browser workflows. However, it has been observed that governance has not kept pace with the adoption of these tools, with end-users using their own accounts or unauthorized tools in the same browser session as their work activities. 

This behavioral reality is especially dangerous when it comes to sensitive data exposure. In a one‑month snapshot of authenticated sessions, 54% of sensitive inputs to web apps went to corporate accounts, while a striking 46% went to personal or unverified work accounts, often within “trusted” apps like SharePoint, Google services, Slack, Box, and other collaboration tools. Because traditional DLP tools focus on email, network traffic, or endpoint files, they largely miss typed inputs, pasted content, and file uploads occurring directly inside live browser sessions, where today’s AI‑driven work actually happens.

Attackers have adapted to this shift as well, increasingly targeting the browser layer to bypass hardened email, network, and endpoint defenses. Keep Aware observed that 29% of browser‑based threats in 2025 were phishing, 19% involved suspicious or malicious extensions, and 17% were social engineering, highlighting how social and UI‑driven tactics dominate. Notably, phishing domains had a median age of more than 18 years, indicating adversaries are abusing long‑standing, seemingly trustworthy infrastructure rather than relying only on newly registered domains that filters are tuned to flag.

Browser extensions add another, often underestimated, attack surface. According to the report, 13% of unique installed extensions were rated High or Critical risk, meaning a significant slice of add‑ons running inside production environments have elevated permissions and potentially dangerous capabilities. Many extensions marketed as productivity tools request broad access to tabs, cookies, storage, and web requests, quietly gaining deep visibility into user sessions and sensitive business data without ongoing scrutiny.

The report makes a clear case that static controls—such as one‑time extension reviews, app allowlists, and domain‑based blocking—are no longer enough in a world of AI copilots, browser‑centric workflows, and adaptive phishing campaigns. Instead, organizations must treat the browser as a primary security control point, with real‑time visibility into AI usage, SaaS activity, extensions, and in‑session behavior to detect threats earlier and prevent data loss at the moment it happens. For security teams, 2026 is shaping up as the year where true browser‑native detection and response moves from “nice to have” to non‑negotiable.

Shadow AI Risks Rise as Employees Use Generative AI Tools at Work Without Oversight

 

With speed surprising even experts, artificial intelligence now appears routinely inside office software once limited to labs. Because uptake grows faster than oversight, companies care less about who uses AI and more about how safely it runs. 

Research referenced by security specialists suggests that roughly 83 percent of UK workers frequently use generative artificial intelligence for everyday duties - finding data, condensing reports, creating written material. Because tools including ChatGPT simplify repetitive work, efficiency gains emerge across fast-paced departments. While automation reshapes daily workflows, practical advantages become visible where speed matters most. 

Still, quick uptake of artificial intelligence brings fresh risks to digital security. More staff now introduce personal AI software at work, bypassing official organizational consent. Experts label this shift "shadow AI," meaning unapproved systems run inside business environments. 

These tools handle internal information unseen by IT teams. Oversight gaps grow when such platforms function outside monitored channels. Almost three out of four people using artificial intelligence at work introduce outside tools without approval. 

Meanwhile, close to half rely on personal accounts instead of official platforms when working with generative models. Security groups often remain unaware - this gap leaves sensitive information exposed. What stands out most is the nature of details staff share with artificial intelligence platforms. Because generative models depend on what users feed them, workers frequently insert written content, programming scripts, or files straight into the interface. 

Often, such inputs include sensitive company records, proprietary knowledge, personal client data, sometimes segments of private software code. Almost every worker - around 93 percent - has fed work details into unofficial AI systems, according to research. Confidential client material made its way into those inputs, admitted roughly a third of them. 

After such data lands on external servers, companies often lose influence over storage methods, handling practices, or future applications. One real event showed just how fast things can go wrong. Back in 2023, workers at Samsung shared private code along with confidential meeting details by sending them into ChatGPT. That slip revealed data meant to stay inside the company. 

What slipped out was not hacked - just handed over during routine work. Without strong rules in place, such tools become quiet exits for secrets. Trusting outside software too quickly opens gaps even careful firms miss. Compromised AI accounts might not only leak data - security specialists stress they may also unlock wider company networks through exposed chat logs. 

While financial firms worry about breaking GDPR rules, hospitals fear HIPAA violations when staff misuse artificial intelligence tools unexpectedly. One slip with these systems can trigger audits far beyond IT departments’ control. Bypassing restrictions tends to happen anyway, even when companies try to ban AI outright. 

Experts argue complete blocks usually fail because staff seek workarounds if they think a tool helps them get things done faster. Organizations might shift attention toward AI oversight methods that reveal how these tools get applied across teams. 

By watching how systems are accessed, spotting unapproved software, clarity often emerges around acceptable use. Clear rules tend to appear more effective when risk control matters - especially if workers continue using innovative tools quietly. Guidance like this supports balance: safety improves without blocking progress.

New Copilot Setting May Access Activity From Other Microsoft Services. Here’s How Users Can Disable It

 



A recently noticed configuration inside Microsoft Copilot may allow the AI tool to reference activity from several other Microsoft platforms, prompting renewed discussion around data privacy and AI personalization. The option, which appears within Copilot’s settings, enables the assistant to use information connected to services such as Bing, MSN, and the Microsoft Edge browser. Users who are uncomfortable with this level of integration can switch the feature off.

Like many modern artificial intelligence systems, Copilot attempts to improve the usefulness of its responses by understanding more about the person interacting with it. The assistant normally does this by remembering past conversations and storing certain details that users intentionally share during chats. These stored elements help the AI maintain context across multiple interactions and generate responses that feel more tailored.

However, a specific configuration called “Microsoft usage data” expands that capability. According to reporting first highlighted by the technology outlet Windows Latest, this setting allows Copilot to reference information associated with other Microsoft services a user has interacted with. The option appears within the assistant’s Memory controls and is available through both the Copilot website and its mobile applications. Observers believe the setting was introduced recently as part of Microsoft’s effort to strengthen personalization features in its AI tools.

The Memory feature in Copilot is designed to help the assistant retain useful context. Through this system, the AI can recall earlier conversations, remember instructions or factual information shared by users, and potentially reference certain account-linked activity from other Microsoft products. The idea is that by understanding more about a user’s interests or previous discussions, the assistant can provide more relevant answers.

In practice, such capabilities can be helpful. For instance, a user who discussed a topic with Copilot previously may want to continue that conversation later without repeating the entire background. Similarly, individuals seeking guidance about personal or professional matters may receive more relevant suggestions if the assistant has some awareness of their preferences or circumstances.

Despite the convenience, the feature also raises questions about privacy. Some users may be concerned that allowing an AI assistant to accumulate information from multiple services could expose more personal data than expected. Others may want to know how that information is used beyond personalizing conversations.

Microsoft addresses these concerns in its official Copilot documentation. In its frequently asked questions section, the company states that user conversations are processed only for limited purposes described in its privacy policies. According to Microsoft, this information may be used to evaluate Copilot’s performance, troubleshoot operational issues, identify software bugs, prevent misuse of the service, and improve the overall quality of the product.

The company also says that conversations are not used to train AI models by default. Model training is controlled through a separate configuration, which users can choose to disable if they do not want their interactions contributing to AI development.

Microsoft further clarifies that Copilot’s personalization settings do not determine whether a user receives targeted advertisements. Advertising preferences are managed through a different option available in the Microsoft account privacy dashboard. Users who want to stop personalized advertising must adjust the Personalized ads and offers setting separately.

Even with these explanations, privacy concerns remain understandable, particularly because Microsoft documentation indicates that Copilot’s personalization features may already be activated automatically in some cases. When reviewing the settings on a personal device, these options were found to be switched on. Users who prefer not to allow Copilot to access broader usage data may therefore wish to disable them.

Checking these settings is straightforward. Users can open Copilot through its website or mobile application and ensure they are signed in with their Microsoft account. On the web interface, selecting the account name at the bottom of the left-hand panel opens the Settings menu, where the Memory section can be accessed. In the mobile application, the same controls are available through the side navigation menu by tapping the account name and choosing Memory.

Inside the Memory settings, users will see a general control labeled “Personalization and memory.” Two additional options appear beneath it: “Facts you’ve shared,” which stores information provided directly during conversations, and “Microsoft usage data,” which allows Copilot to reference activity from other Microsoft services.

To limit this behavior, users can switch off the Microsoft usage data toggle. They may also disable the broader Personalization and memory option if they prefer that the AI assistant does not retain contextual information about their interactions. Copilot also provides a “Delete all memory” function that removes all stored data from the system. If individual personal details have been recorded, they can be reviewed and deleted through the editing option next to “Facts you’ve shared.”

Security and privacy experts generally advise caution when sharing information with AI assistants, even when personalization features remain enabled. Sensitive or confidential details should not be entered into conversations. Microsoft itself recommends avoiding the disclosure of certain types of highly personal data, including information related to health conditions or sexual orientation.

The broader development reflects a growing trend in the technology industry. As AI assistants become integrated across multiple platforms and services, companies are increasingly using cross-service data to make these tools more helpful and personalized. While this approach can improve convenience and usability, it also underlines the grave necessity for transparent privacy controls so users remain aware of how their information is being used and can adjust those settings when necessary.

China Raises Security Concerns Over Rapidly Growing OpenClaw AI Tool

 

A fresh alert from China’s tech regulators highlights concerns around OpenClaw, an open-source AI tool gaining traction fast. Though built with collaboration in mind, its setup flaws might expose systems to intrusion. Missteps during installation may lead to unintended access by outside actors. Security gaps, if left unchecked, can result in sensitive information slipping out. Officials stress careful handling - especially among firms rolling it out at scale. Attention to detail becomes critical once deployment begins. Oversight now could prevent incidents later. Vigilance matters most where automation meets live data flows. 

OpenClaw operations were found lacking proper safeguards, officials reported. Some setups used configurations so minimal they risked exposure when linked to open networks. Though no outright prohibition followed, stress landed on tighter controls and stronger protection layers. Oversight must improve, inspectors noted - security cannot stay this fragile. 

Despite known risks, many groups still overlook basic checks on outward networks tied to OpenClaw setups. Security teams should verify user identities more thoroughly while limiting who gets in - especially where systems meet the internet. When left unchecked, even helpful open models might hand opportunities to those probing for weaknesses. 

Since launching in November, OpenClaw has seen remarkable momentum. Within weeks, it captured interest across continents - driven by strong community engagement. Over 100,000 GitHub stars appeared fast, evidence of widespread developer curiosity. In just seven days, nearly two million people visited its page, Steinberger noted. Because of how swiftly teams began using it, comparisons to leading AI tools emerged often. Recently, few agent frameworks have sparked such consistent conversation. 

Not stopping at global interest, attention within Chinese tech circles grew fast. Because of rising need, leading cloud platforms began introducing setups for remote OpenClaw operation instead of local device use. Alibaba Cloud, Tencent Cloud, and Baidu now provide specialized access points. At these spots online, users find rented servers built to handle the processing load of the AI tool. Unexpectedly, the ministry issued a caution just as OpenClaw’s reach began stretching past coders into broader networks. 

A fresh social hub named Moltbook appeared earlier this week - pitched as an online enclave solely for OpenClaw bots - and quickly drew notice. Soon afterward, flaws emerged: Wiz, a security analyst group, revealed a major defect on the site that laid bare confidential details from many members. While excitement built around innovation, risks surfaced quietly beneath. 

Unexpectedly, the incident revealed deeper vulnerabilities tied to fast-growing AI systems built without thorough safety checks. When open-source artificial intelligence grows stronger and easier to use, officials warn that small setup errors might lead to massive leaks of private information. 

Security specialists now stress how fragile these platforms can be if left poorly managed. With China's newest guidance, attention shifts toward stronger oversight of artificial intelligence safeguards. Though OpenClaw continues to operate across sectors, regulators stress accountability - firms using these tools must manage setup carefully, watch performance closely, while defending against new digital risks emerging over time.

State-Backed Hackers Are Turning to AI Tools to Plan, Build, and Scale Cyber Attacks

 



Cybersecurity investigators at Google have confirmed that state-sponsored hacking groups are actively relying on generative artificial intelligence to improve how they research targets, prepare cyber campaigns, and develop malicious tools. According to the company’s threat intelligence teams, North Korea–linked attackers were observed using the firm’s AI platform, Gemini, to collect and summarize publicly available information about organizations and employees they intended to target. This type of intelligence gathering allows attackers to better understand who works at sensitive companies, what technical roles exist, and how to approach victims in a convincing way.

Investigators explained that the attackers searched for details about leading cybersecurity and defense companies, along with information about specific job positions and salary ranges. These insights help threat actors craft more realistic fake identities and messages, often impersonating recruiters or professionals to gain the trust of their targets. Security experts warned that this activity closely resembles legitimate professional research, which makes it harder for defenders to distinguish normal online behavior from hostile preparation.

The hacking group involved, tracked as UNC2970, is linked to North Korea and overlaps with a network widely known as Lazarus Group. This group has previously run a long-term operation in which attackers pretended to offer job opportunities to professionals in aerospace, defense, and energy companies, only to deliver malware instead. Researchers say this group continues to focus heavily on defense-related targets and regularly impersonates corporate recruiters to begin contact with victims.

The misuse of AI is not limited to one actor. Multiple hacking groups connected to China and Iran were also found using AI tools to support different phases of their operations. Some groups used AI to gather targeted intelligence, including collecting email addresses and account details. Others relied on AI to analyze software weaknesses, prepare technical testing plans, interpret documentation from open-source tools, and debug exploit code. Certain actors used AI to build scanning tools and malicious web shells, while others created fake online identities to manipulate individuals into interacting with them. In several cases, attackers claimed to be security researchers or competition participants in order to bypass safety restrictions built into AI systems.

Researchers also identified malware that directly communicates with AI services to generate harmful code during an attack. One such tool, HONESTCUE, requests programming instructions from AI platforms and receives source code that is used to build additional malicious components on the victim’s system. Instead of storing files on disk, this malware compiles and runs code directly in memory using legitimate system tools, making detection and forensic analysis more difficult. Separately, investigators uncovered phishing kits designed to look like cryptocurrency exchanges. These fake platforms were built using automated website creation tools from Lovable AI and were used to trick victims into handing over login credentials. Parts of this activity were linked to a financially motivated group known as UNC5356.

Security teams also reported an increase in so-called ClickFix campaigns. In these schemes, attackers use public sharing features on AI platforms to publish convincing step-by-step guides that appear to fix common computer problems. In reality, these instructions lead users to install malware that steals personal and financial data. This trend was first flagged in late 2025 by Huntress.

Another growing threat involves model extraction attacks. In these cases, adversaries repeatedly query proprietary AI systems in order to observe how they respond and then train their own models to imitate the same behavior. In one large campaign, attackers sent more than 100,000 prompts to replicate how an AI model reasons across many tasks in different languages. Researchers at Praetorian demonstrated that a functional replica could be built using a relatively small number of queries and limited training time. Experts warned that keeping AI model parameters secret is not enough, because every response an AI system provides can be used as training data for attackers.

Google, which launched its AI Cyber Defense Initiative in 2024, stated that artificial intelligence is increasingly amplifying the capabilities of cybercriminals by improving their efficiency and speed. Company representatives cautioned that as attackers integrate AI into routine operations, the volume and sophistication of attacks will continue to rise. Security specialists argue that defenders must adopt similar AI-powered tools to automate threat detection, accelerate response times, and operate at the same machine-level speed as modern attacks.


Google Gemini Calendar Flaw Allows Meeting Invites to Leak Private Data

 

Though built to make life easier, artificial intelligence helpers sometimes carry hidden risks. A recent study reveals that everyday features - such as scheduling meetings - can become pathways for privacy breaches. Instead of protecting data, certain functions may unknowingly expose it. Experts from Miggo Security identified a flaw in Google Gemini’s connection to Google Calendar. Their findings show how an ordinary invite might secretly gather private details. What looks innocent on the surface could serve another purpose beneath. 

A fresh look at Gemini shows it helps people by understanding everyday speech and pulling details from tools like calendars. Because the system responds to words instead of rigid programming rules, security experts from Miggo discovered a gap in its design. Using just text that seems normal, hackers might steer the AI off course. These insights, delivered openly to Hackread.com, reveal subtle risks hidden in seemingly harmless interactions. 

A single calendar entry is enough to trigger the exploit - no clicking, no downloads, no obvious red flags. Hidden inside what looks like normal event details sits coded directions meant for machines, not people. Rather than arriving through email attachments or shady websites, the payload comes disguised as routine scheduling data. The wording blends in visually, yet when processed by Gemini, it shifts into operational mode. Instructions buried in plain sight tell the system to act without signaling intent to the recipient. 

A single harmful invitation sits quietly once added to the calendar. Only after the user poses a routine inquiry - like asking about free time on Saturday - is anything set in motion. When Gemini checks the agenda, it reads the tainted event along with everything else. Within that entry lies a concealed instruction: gather sensitive calendar data and compile a report. Using built-in features of Google Calendar, the system generates a fresh event containing those extracted details. 

Without any sign, personal timing information ends up embedded within a new appointment. What makes the threat hard to spot is its invisible nature. Though responses appear normal, hidden processes run without alerting the person using the system. Instead of bugs in software, experts point to how artificial intelligence understands words as the real weak point. The concern grows as behavior - rather than broken code - becomes the source of danger. Not seeing anything wrong does not mean everything is fine. 

Back in December 2025, problems weren’t new for Google’s AI tools when it came to handling sneaky language tricks. A team at Noma Security found a gap called GeminiJack around that time. Hidden directions inside files and messages could trigger leaks of company secrets through the system. Experts pointed out flaws deep within how these smart tools interpret context across linked platforms. The design itself seemed to play a role in the vulnerability. Following the discovery by Miggo Security, Google fixed the reported flaw. 

Still, specialists note similar dangers remain possible. Most current protection systems look for suspicious code or URLs - rarely do they catch damaging word patterns hidden within regular messages. When AI helpers get built into daily software and given freedom to respond independently, some fear misuse may grow. Unexpected uses of helpful features could lead to serious consequences, researchers say.

Chinese Open AI Models Rival US Systems and Reshape Global Adoption

 

Chinese artificial intelligence models have rapidly narrowed the gap with leading US systems, reshaping the global AI landscape. Once considered followers, Chinese developers are now producing large language models that rival American counterparts in both performance and adoption. At the same time, China has taken a lead in model openness, a factor that is increasingly shaping how AI spreads worldwide. 

This shift coincides with a change in strategy among major US firms. OpenAI, which initially emphasized transparency, moved toward a more closed and proprietary approach from 2022 onward. As access to US-developed models became more restricted, Chinese companies and research institutions expanded the availability of open-weight alternatives. A recent report from Stanford University’s Human-Centered AI Institute argues that AI leadership today depends not only on proprietary breakthroughs but also on reach, adoption, and the global influence of open models. 

According to the report, Chinese models such as Alibaba’s Qwen family and systems from DeepSeek now perform at near state-of-the-art levels across major benchmarks. Researchers found these models to be statistically comparable to Anthropic’s Claude family and increasingly close to the most advanced offerings from OpenAI and Google. Independent indices, including LMArena and the Epoch Capabilities Index, show steady convergence rather than a clear performance divide between Chinese and US models. 

Adoption trends further highlight this shift. Chinese models now dominate downstream usage on platforms such as Hugging Face, where developers share and adapt AI systems. By September 2025, Chinese fine-tuned or derivative models accounted for more than 60 percent of new releases on the platform. During the same period, Alibaba’s Qwen surpassed Meta’s Llama family to become the most downloaded large language model ecosystem, indicating strong global uptake beyond research settings. 

This momentum is reinforced by a broader diffusion effect. As Meta reduces its role as a primary open-source AI provider and moves closer to a closed model, Chinese firms are filling the gap with freely available, high-performing systems. Stanford researchers note that developers in low- and middle-income countries are particularly likely to adopt Chinese models as an affordable alternative to building AI infrastructure from scratch. However, adoption is not limited to emerging markets, as US companies are also increasingly integrating Chinese open-weight models into products and workflows. 

Paradoxically, US export restrictions limiting China’s access to advanced chips may have accelerated this progress. Constrained hardware access forced Chinese labs to focus on efficiency, resulting in models that deliver competitive performance with fewer resources. Researchers argue that this discipline has translated into meaningful technological gains. 

Openness has played a critical role. While open-weight models do not disclose full training datasets, they offer significantly more flexibility than closed APIs. Chinese firms have begun releasing models under permissive licenses such as Apache 2.0 and MIT, allowing broad use and modification. Even companies that once favored proprietary approaches, including Baidu, have reversed course by releasing model weights. 

Despite these advances, risks remain. Open-weight access does not fully resolve concerns about state influence, and many users rely on hosted services where data may fall under Chinese jurisdiction. Safety is another concern, as some evaluations suggest Chinese models may be more susceptible to jailbreaking than US counterparts. 

Even with these caveats, the broader trend is clear. As performance converges and openness drives adoption, the dominance of US commercial AI providers is no longer assured. The Stanford report suggests China’s role in global AI will continue to expand, potentially reshaping access, governance, and reliance on artificial intelligence worldwide.

Webrat Malware Targets Students and Junior Security Researchers Through Fake Exploits

 

In early 2025, security researchers uncovered a new malware family dubbed Webrat, which at that time was predominantly targeting ordinary users through fake distribution methods. The first propagation involved masking malware as cheats for online games-like Rust, Counter-Strike, and Roblox-but also as cracked versions of some commercial software. By the second half of that year, though, the Webrat operators had indeed widened their horizons, shifting toward a new target group that covered students and young professionals seeking careers in information security. 

This evolution started to surface in September and October 2025, when researchers discovered a campaign spreading Webrat through open GitHub repositories. The attackers embedded the malicious payloads as proof-of-concept exploits of highly publicized software vulnerabilities. Those vulnerabilities were chosen due to their resonance in security advisories and high severity ratings, making the repositories look relevant and credible for people searching for hands-on learning materials.  

Each of the GitHub repositories was crafted to closely resemble legitimate exploit releases. They all had detailed descriptions outlining the background of the vulnerability, affected systems, steps to install it, usage, and the most recommended ways of mitigation. Many of the repository descriptions have a similar or almost identical structure; the defensive advice offered is often strikingly similar, adding strong evidence that they were generated through automated or AI-assisted tools rather than various independent researchers. Inside each repository, users were instructed to fetch an archive with a password, labeled as the exploit package. 

The password was hidden in the name of one of the files inside the archive, a move intended to lure users into unzipping the file and researching its contents. Once unpacked, the archive contains a set of files meant to masquerade or divert attention from the actual payload. Among those is a corrupted dynamic-link library file meant as a decoy, along with a batch file whose purpose was to instruct execution of the main malicious executable file. The main executable, when run, executed several high-risk actions: It tried to elevate its privileges to administrator level, disabled the inbuilt security protections such as Windows Defender, and then downloaded the Webrat backdoor from a remote server and started it.

The Webrat backdoor provides a way to attackers for persistent access to infected systems, allowing them to conduct widespread surveillance and data theft activities. Webrat can steal credentials and other sensitive information from cryptocurrency wallets and applications like Telegram, Discord, and Steam. In addition to credential theft, it also supports spyware functionalities such as screen capture, keylogging, and audio and video surveillance via connected microphones and webcams. The functionality seen in this campaign is very similar to versions of Webrat described in previous incidents. 

It seems that the move to dressing the malware up as vulnerability exploits represents an effort to affect hobbyists rather than professionals. Professional analysts normally analyze such untrusted code in a sandbox or isolated environment, where such attacks have limited consequences. 

Consequently, researchers believe the attack focuses on students and beginners with lax operational security discipline. It ranges in topic from the risks in running unverified code downloaded from open-source sites to the need to perform malware analysis and exploit testing in a sandbox or virtual machine environment. 

Security professionals and students are encouraged to be keen in their practices, to trust only known and reputable security tools, and to bypass protection mechanisms only when this is needed with a clear and well-justified reason.

AI in Cybercrime: What’s Real, What’s Exaggerated, and What Actually Matters

 



Artificial intelligence is increasingly influencing the cyber security infrastructure, but recent claims about “AI-powered” cybercrime often exaggerate how advanced these threats currently are. While AI is changing how both defenders and attackers operate, evidence does not support the idea that cybercriminals are already running fully autonomous, self-directed AI attacks at scale.

For several years, AI has played a defining role in cyber security as organisations modernise their systems. Machine learning tools now assist with threat detection, log analysis, and response automation. At the same time, attackers are exploring how these technologies might support their activities. However, the capabilities of today’s AI tools are frequently overstated, creating a disconnect between public claims and operational reality.

Recent attention has been driven by two high-profile reports. One study suggested that artificial intelligence is involved in most ransomware incidents, a conclusion that was later challenged by multiple researchers due to methodological concerns. The report was subsequently withdrawn, reinforcing the importance of careful validation. Another claim emerged when an AI company reported that its model had been misused by state-linked actors to assist in an espionage operation targeting multiple organisations.

According to the company’s account, the AI tool supported tasks such as identifying system weaknesses and assisting with movement across networks. However, experts questioned these conclusions due to the absence of technical indicators and the use of common open-source tools that are already widely monitored. Several analysts described the activity as advanced automation rather than genuine artificial intelligence making independent decisions.

There are documented cases of attackers experimenting with AI in limited ways. Some ransomware has reportedly used local language models to generate scripts, and certain threat groups appear to rely on generative tools during development. These examples demonstrate experimentation, not a widespread shift in how cybercrime is conducted.

Well-established ransomware groups already operate mature development pipelines and rely heavily on experienced human operators. AI tools may help refine existing code, speed up reconnaissance, or improve phishing messages, but they are not replacing human planning or expertise. Malware generated directly by AI systems is often untested, unreliable, and lacks the refinement gained through real-world deployment.

Even in reported cases of AI misuse, limitations remain clear. Some models have been shown to fabricate progress or generate incorrect technical details, making continuous human supervision necessary. This undermines the idea of fully independent AI-driven attacks.

There are also operational risks for attackers. Campaigns that depend on commercial AI platforms can fail instantly if access is restricted. Open-source alternatives reduce this risk but require more resources and technical skill while offering weaker performance.

The UK’s National Cyber Security Centre has acknowledged that AI will accelerate certain attack techniques, particularly vulnerability research. However, fully autonomous cyberattacks remain speculative.

The real challenge is avoiding distraction. AI will influence cyber threats, but not in the dramatic way some headlines suggest. Security efforts should prioritise evidence-based risk, improved visibility, and responsible use of AI to strengthen defences rather than amplify fear.



Hackers Used Anthropic’s Claude to Run a Large Data-Extortion Campaign

 



A security bulletin from Anthropic describes a recent cybercrime campaign in which a threat actor used the company’s Claude AI system to steal data and demand payment. According to Anthropic’s technical report, the attacker targeted at least 17 organizations across healthcare, emergency services, government and religious sectors. 

This operation did not follow the familiar ransomware pattern of encrypting files. Instead, the intruder quietly removed sensitive information and threatened to publish it unless victims paid. Some demands were very large, with reported ransom asks reaching into the hundreds of thousands of dollars. 

Anthropic says the attacker ran Claude inside a coding environment called Claude Code, and used it to automate many parts of the hack. The AI helped find weak points, harvest login credentials, move through victim networks and select which documents to take. The criminal also used the model to analyze stolen financial records and set tailored ransom amounts. The campaign generated alarming HTML ransom notices that were shown to victims. 

Anthropic discovered the activity and took steps to stop it. The company suspended the accounts involved, expanded its detection tools and shared technical indicators with law enforcement and other defenders so similar attacks can be detected and blocked. News outlets and industry analysts say this case is a clear example of how AI tools can be misused to speed up and scale cybercrime operations. 


Why this matters for organizations and the public

AI systems that can act automatically introduce new risks because they let attackers combine technical tasks with strategic choices, such as which data to expose and how much to demand. Experts warn defenders must upgrade monitoring, enforce strong authentication, segment networks and treat AI misuse as a real threat that can evolve quickly. 

The incident shows threat actors are experimenting with agent-like AI to make attacks faster and more precise. Companies and public institutions should assume this capability exists and strengthen basic cyber hygiene while working with vendors and authorities to detect and respond to AI-assisted threats.



How Image Resizing Could Expose AI Systems to Attacks



Security experts have identified a new kind of cyber attack that hides instructions inside ordinary pictures. These commands do not appear in the full image but become visible only when the photo is automatically resized by artificial intelligence (AI) systems.

The attack works by adjusting specific pixels in a large picture. To the human eye, the image looks normal. But once an AI platform scales it down, those tiny adjustments blend together into readable text. If the system interprets that text as a command, it may carry out harmful actions without the user’s consent.

Researchers tested this method on several AI tools, including interfaces that connect with services like calendars and emails. In one demonstration, a seemingly harmless image was uploaded to an AI command-line tool. Because the tool automatically approved external requests, the hidden message forced it to send calendar data to an attacker’s email account.

The root of the problem lies in how computers shrink images. When reducing a picture, algorithms merge many pixels into fewer ones. Popular methods include nearest neighbor, bilinear, and bicubic interpolation. Each creates different patterns when compressing images. Attackers can take advantage of these predictable patterns by designing images that reveal commands only after scaling.

To prove this, the researchers released Anamorpher, an open-source tool that generates such images. The tool can tailor pictures for different scaling methods and software libraries like TensorFlow, OpenCV, PyTorch, or Pillow. By hiding adjustments in dark parts of an image, attackers can make subtle brightness shifts that only show up when downscaled, turning backgrounds into letters or symbols.

Mobile phones and edge devices are at particular risk. These systems often force images into fixed sizes and rely on compression to save processing power. That makes them more likely to expose hidden content.

The researchers also built a way to identify which scaling method a system uses. They uploaded test images with patterns like checkerboards, circles, and stripes. The artifacts such as blurring, ringing, or color shifts revealed which algorithm was at play.

This discovery also connects to core ideas in signal processing, particularly the Nyquist-Shannon sampling theorem. When data is compressed below a certain threshold, distortions called aliasing appear. Attackers use this effect to create new patterns that were not visible in the original photo.

According to the researchers, simply switching scaling methods is not a fix. Instead, they suggest avoiding automatic resizing altogether by setting strict upload limits. Where resizing is necessary, platforms should show users a preview of what the AI system will actually process. They also advise requiring explicit user confirmation before any text detected inside an image can trigger sensitive operations.

This new attack builds on past research into adversarial images and prompt injection. While earlier studies focused on fooling image-recognition models, today’s risks are greater because modern AI systems are connected to real-world tools and services. Without stronger safeguards, even an innocent-looking photo could become a gateway for data theft.


Security Teams Struggle to Keep Up With Generative AI Threats, Cobalt Warns

 

A growing number of cybersecurity professionals are expressing concern that generative AI is evolving too rapidly for their teams to manage. 

According to new research by penetration testing company Cobalt, over one-third of security leaders and practitioners admit that the pace of genAI development has outstripped their ability to respond. Nearly half of those surveyed (48%) said they wish they could pause and reassess their defense strategies in light of these emerging threats—though they acknowledge that such a break isn’t realistic. 

In fact, 72% of respondents listed generative AI-related attacks as their top IT security risk. Despite this, one in three organizations still isn’t conducting regular security evaluations of their large language model (LLM) deployments, including basic penetration testing. 

Cobalt CTO Gunter Ollmann warned that the security landscape is shifting, and the foundational controls many organizations rely on are quickly becoming outdated. “Our research shows that while generative AI is transforming how businesses operate, it’s also exposing them to risks they’re not prepared for,” said Ollmann. 
“Security frameworks must evolve or risk falling behind.” The study revealed a divide between leadership and practitioners. Executives such as CISOs and VPs are more concerned about long-term threats like adversarial AI attacks, with 76% listing them as a top issue. Meanwhile, 45% of practitioners are more focused on immediate operational challenges such as model inaccuracies, compared to 36% of executives. 

A majority of leaders—52%—are open to rethinking their cybersecurity strategies to address genAI threats. Among practitioners, only 43% shared this view. The top genAI-related concerns identified by the survey included the risk of sensitive information disclosure (46%), model poisoning or theft (42%), data inaccuracies (40%), and leakage of training data (37%). Around half of respondents also expressed a desire for more transparency from software vendors about how vulnerabilities are identified and patched, highlighting a widening trust gap in the AI supply chain. 

Cobalt’s internal pentest data shows a worrying trend: while 69% of high-risk vulnerabilities are typically fixed across all test types, only 21% of critical flaws found in LLM tests are resolved. This is especially alarming considering that nearly one-third of LLM vulnerabilities are classified as serious. Interestingly, the average time to resolve these LLM-specific vulnerabilities is just 19 days—the fastest across all categories. 

However, researchers noted this may be because organizations prioritize easier, low-effort fixes rather than tackling more complex threats embedded in foundational AI models. Ollmann compared the current scenario to the early days of cloud adoption, where innovation outpaced security readiness. He emphasized that traditional controls aren’t enough in the age of LLMs. “Security teams can’t afford to be reactive anymore,” he concluded. “They must move toward continuous, programmatic AI testing if they want to keep up.”

New Report Ranks Best And Worst Generative AI Tools For Privacy

 

Most generative AI companies use client data to train their chatbots. For this, they may use private or public data. Some services take a more flexible and non-intrusive approach to gathering customer data. Not so much for others. A recent analysis from data removal firm Incogni weighs the benefits and drawbacks of AI in terms of protecting your personal data and privacy.

As part of its "Gen AI and LLM Data Privacy Ranking 2025," Incogni analysed nine well-known generative AI services and evaluated their data privacy policies using 11 distinct factors. The following queries were addressed by the criteria: 

  • What kind of data do the models get trained on? 
  • Is it possible to train the models using user conversations? 
  • Can non-service providers or other appropriate entities receive prompts? 
  • Can the private data from users be erased from the training dataset?
  • How clear is it when training is done via prompts? 
  • How simple is it to locate details about the training process of models? 
  • Does the data collection process have a clear privacy policy?
  • How easy is it to read the privacy statement? 
  • Which resources are used to gather information about users?
  • Are third parties given access to the data? 
  • What information are gathered by the AI apps? 

The research involved Mistral AI's Le Chat, OpenAI's ChatGPT, xAI's Grok, Anthropic's Claude, Inflection AI's Pi, DeekSeek, Microsoft Copilot, Google Gemini, and Meta AI. Each AI performed well on certain questions but not so well on others. 

For instance, Grok performed poorly on the readability of its privacy policy but received a decent rating for how clearly it communicates that prompts are used for training. As another example, the ratings that ChatGPT and Gemini received for gathering data from their mobile apps varied significantly between the iOS and Android versions.

However, Le Chat emerged as the best privacy-friendly AI service overall. It did well in the transparency category, despite losing a few points. Additionally, it only collects a small amount of data and achieves excellent scores for additional privacy concerns unique to AI. 

Second place went to ChatGPT. Researchers at Incogni were a little worried about how user data interacts with the service and how OpenAI trains its models. However, ChatGPT explains the company's privacy standards in detail, lets you know what happens to your data, and gives you explicit instructions on how to restrict how your data is used. Claude and PI came in third and fourth, respectively, after Grok. Each performed reasonably well in terms of protecting user privacy overall, while there were some issues in certain areas. 

"Le Chat by Mistral AI is the least privacy-invasive platform, with ChatGPT and Grok following closely behind," Incogni noted in its report. "These platforms ranked highest when it comes to how transparent they are on how they use and collect data, and how easy it is to opt out of having personal data used to train underlying models. ChatGPT turned out to be the most transparent about whether prompts will be used for model training and had a clear privacy policy.” 

In its investigation, Incogni discovered that AI firms exchange data with a variety of parties, including service providers, law enforcement, members of the same corporate group, research partners, affiliates, and third parties. 

"Microsoft's privacy policy implies that user prompts may be shared with 'third parties that perform online advertising services for Microsoft or that use Microsoft's advertising technologies,'" Incogni added in the report. "DeepSeek's and Meta's privacy policies indicate that prompts can be shared with companies within its corporate group. Meta's and Anthropic's privacy policies can reasonably be understood to indicate that prompts are shared with research collaborators.” 

You can prevent the models from being trained using your prompts with some providers. This is true for Grok, Mistral AI, Copilot, and ChatGPT. However, based on their privacy rules and other resources, it appears that other services do not allow this kind of data collecting to be stopped. Gemini, DeepSeek, Pi AI, and Meta AI are a few of these. In response to this concern, Anthropic stated that it never gathers user input for model training. 

Ultimately, a clear and understandable privacy policy significantly helps in assisting you in determining what information is being gathered and how to opt out.

Navigating AI Security Risks in Professional Settings


 

There is no doubt that generative artificial intelligence is one of the most revolutionary branches of artificial intelligence, capable of producing entirely new content across many different types of media, including text, image, audio, music, and even video. As opposed to conventional machine learning models, which are based on executing specific tasks, generative AI systems learn patterns and structures from large datasets and are able to produce outputs that aren't just original, but are sometimes extremely realistic as well. 

It is because of this ability to simulate human-like creativity that generative AI has become an industry leader in technological innovation. Its applications go well beyond simple automation, touching almost every sector of the modern economy. As generative AI tools reshape content creation workflows, they produce compelling graphics and copy at scale in a way that transforms the way content is created. 

The models are also helpful in software development when it comes to generating code snippets, streamlining testing, and accelerating prototyping. AI also has the potential to support scientific research by allowing the simulation of data, modelling complex scenarios, and supporting discoveries in a wide array of areas, such as biology and material science.

Generative AI, on the other hand, is unpredictable and adaptive, which means that organisations are able to explore new ideas and achieve efficiencies that traditional systems are unable to offer. There is an increasing need for enterprises to understand the capabilities and the risks of this powerful technology as adoption accelerates. 

Understanding these capabilities has become an essential part of staying competitive in a digital world that is rapidly changing. In addition to reproducing human voices and creating harmful software, generative artificial intelligence is rapidly lowering the barriers for launching highly sophisticated cyberattacks that can target humans. There is a significant threat from the proliferation of deepfakes, which are realistic synthetic media that can be used to impersonate individuals in real time in convincing ways. 

In a recent incident in Italy, cybercriminals manipulated and deceived the Defence Minister Guido Crosetto by leveraging advanced audio deepfake technology. These tools demonstrate the alarming ability of such tools for manipulating and deceiving the public. Also, a finance professional recently transferred $25 million after being duped into transferring it by fraudsters using a deepfake simulation of the company's chief financial officer, which was sent to him via email. 

Additionally, the increase in phishing and social engineering campaigns is concerning. As a result of the development of generative AI, adversaries have been able to craft highly personalised and context-aware messages that have significantly enhanced the quality and scale of these attacks. It has now become possible for hackers to create phishing emails that are practically indistinguishable from legitimate correspondence through the analysis of publicly available data and the replication of authentic communication styles. 

Cybercriminals are further able to weaponise these messages through automation, as this enables them to create and distribute a huge volume of tailored lures that are tailored to match the profile and behaviour of each target dynamically. Using the power of AI to generate large language models (LLMs), attackers have also revolutionised malicious code development. 

A large language model can provide attackers with the power to design ransomware, improve exploit techniques, and circumvent conventional security measures. Therefore, organisations across multiple industries have reported an increase in AI-assisted ransomware incidents, with over 58% of them stating that the increase has been significant.

It is because of this trend that security strategies must be adapted to address threats that are evolving at machine speed, making it crucial for organisations to strengthen their so-called “human firewalls”. While it has been demonstrated that employee awareness remains an essential defence, studies have indicated that only 24% of organisations have implemented continuous cyber awareness programs, which is a significant amount. 

As companies become more sophisticated in their security efforts, they should update training initiatives to include practical advice on detecting hyper-personalised phishing attempts, detecting subtle signs of deepfake audio and identifying abnormal system behaviours that can bypass automated scanners in order to protect themselves from these types of attacks. Providing a complement to human vigilance, specialised counter-AI solutions are emerging to mitigate these risks. 

In order to protect against AI-driven phishing campaigns, DuckDuckGoose Suite, for example, uses behavioural analytics and threat intelligence to prevent AI-based phishing campaigns from being initiated. Tessian, on the other hand, employs behavioural analytics and threat intelligence to detect synthetic media. As well as disrupting malicious activity in real time, these technologies also provide adaptive coaching to assist employees in developing stronger, instinctive security habits in the workplace. 
Organisations that combine informed human oversight with intelligent defensive tools will have the capacity to build resilience against the expanding arsenal of AI-enabled cyber threats. Recent legal actions have underscored the complexity of balancing AI use with privacy requirements. It was raised by OpenAI that when a judge ordered ChatGPT to keep all user interactions, including deleted chats, they might inadvertently violate their privacy commitments if they were forced to keep data that should have been wiped out.

AI companies face many challenges when delivering enterprise services, and this dilemma highlights the challenges that these companies face. OpenAI and Anthropic are platforms offering APIs and enterprise products that often include privacy safeguards; however, individuals using their personal accounts are exposed to significant risks when handling sensitive information that is about them or their business. 

AI accounts should be managed by the company, users should understand the specific privacy policies of these tools, and they should not upload proprietary or confidential materials unless specifically authorised by the company. Another critical concern is the phenomenon of AI hallucinations that have occurred in recent years. This is because large language models are constructed to predict language patterns rather than verify facts, which can result in persuasively presented, but entirely fictitious content.

As a result of this, there have been several high-profile incidents that have resulted, including fabricated legal citations in court filings, as well as invented bibliographies. It is therefore imperative that human review remains part of professional workflows when incorporating AI-generated outputs. Bias is another persistent vulnerability.

Due to the fact that artificial intelligence models are trained on extensive and imperfect datasets, these models can serve to mirror and even amplify the prejudices that exist within society as a whole. As a result of the system prompts that are used to prevent offensive outputs, there is an increased risk of introducing new biases, and system prompt adjustments have resulted in unpredictable and problematic responses, complicating efforts to maintain a neutral environment. 

Several cybersecurity threats, including prompt injection and data poisoning, are also on the rise. A malicious actor may use hidden commands or false data to manipulate model behaviour, thus causing outputs that are inaccurate, offensive, or harmful. Additionally, user error remains an important factor as well. Instances such as unintentionally sharing private AI chats or recording confidential conversations illustrate just how easy it is to breach confidentiality, even with simple mistakes.

It has also been widely reported that intellectual property concerns complicate the landscape. Many of the generative tools have been trained on copyrighted material, which has raised legal questions regarding how to use such outputs. Before deploying AI-generated content commercially, companies should seek legal advice. 

As AI systems develop, even their creators are not always able to predict the behaviour of these systems, leaving organisations with a challenging landscape where threats continue to emerge in unexpected ways. However, the most challenging risk is the unknown. The government is facing increasing pressure to establish clear rules and safeguards as artificial intelligence moves from the laboratory to virtually every corner of the economy at a rapid pace. 

Before the 2025 change in administration, there was a growing momentum behind early regulatory efforts in the United States. For instance, Executive Order 14110 outlined the appointment of chief AI officers by federal agencies and the development of uniform guidelines for assessing and managing AI risks. As a result of this initiative, a baseline of accountability for AI usage in the public sector was established. 

A change in strategy has taken place in the administration's approach to artificial intelligence since they rescinded the order. This signalled a departure from proactive federal oversight. The future outlook for artificial intelligence regulation in the United States is highly uncertain, however. The Trump-backed One Big Beautiful Bill proposes sweeping restrictions that would prevent state governments from enacting artificial intelligence regulations for at least the next decade. 

As a result of this measure becoming law, it could effectively halt local and regional governance at a time when AI is gaining a greater influence across practically all industries. Meanwhile, the European Union currently seems to be pursuing a more consistent approach to AI. 

As of March 2024, a comprehensive framework titled the Artificial Intelligence Act was established. This framework categorises artificial intelligence applications according to the level of risk they pose and imposes strict requirements for applications that pose a significant risk, such as those in the healthcare field, education, and law enforcement. 

Also included in the legislation are certain practices, such as the use of facial recognition systems in public places, that are outright banned, reflecting a commitment to protecting the individual's rights. In terms of how AI oversight is defined and enforced, there is a widening gap between regions as a result of these different regulatory strategies. 

Technology will continue to evolve, and to ensure compliance and manage emerging risks effectively, organisations will have to remain vigilant and adapt to the changing legal landscape as a result of this.

How Generative AI Is Accelerating the Rise of Shadow IT and Cybersecurity Gaps

 

The emergence of generative AI tools in the workplace has reignited concerns about shadow IT—technology solutions adopted by employees without the knowledge or approval of the IT department. While shadow IT has always posed security challenges, the rapid proliferation of AI tools is intensifying the issue, creating new cybersecurity risks for organizations already struggling with visibility and control. 

Employees now have access to a range of AI-powered tools that can streamline daily tasks, from summarizing text to generating code. However, many of these applications operate outside approved systems and can send sensitive corporate data to third-party cloud environments. This introduces serious privacy concerns and increases the risk of data leakage. Unlike legacy software, generative AI solutions can be downloaded and used with minimal friction, making them harder for IT teams to detect and manage. 

The 2025 State of Cybersecurity Report by Ivanti reveals a critical gap between awareness and preparedness. More than half of IT and security leaders acknowledge the threat posed by software and API vulnerabilities. Yet only about one-third feel fully equipped to deal with these risks. The disparity highlights the disconnect between theory and practice, especially as data visibility becomes increasingly fragmented. 

A significant portion of this problem stems from the lack of integrated data systems. Nearly half of organizations admit they do not have enough insight into the software operating on their networks, hindering informed decision-making. When IT and security departments work in isolation—something 55% of organizations still report—it opens the door for unmonitored tools to slip through unnoticed. 

Generative AI has only added to the complexity. Because these tools operate quickly and independently, they can infiltrate enterprise environments before any formal review process occurs. The result is a patchwork of unverified software that can compromise an organization’s overall security posture. 

Rather than attempting to ban shadow IT altogether—a move unlikely to succeed—companies should focus on improving data visibility and fostering collaboration between departments. Unified platforms that connect IT and security functions are essential. With a shared understanding of tools in use, teams can assess risks and apply controls without stifling innovation. 

Creating a culture of transparency is equally important. Employees should feel comfortable voicing their tech needs instead of finding workarounds. Training programs can help users understand the risks of generative AI and encourage safer choices. 

Ultimately, AI is not the root of the problem—lack of oversight is. As the workplace becomes more AI-driven, addressing shadow IT with strategic visibility and collaboration will be critical to building a strong, future-ready defense.

Foxconn’s Chairman Warns AI and Robotics Will Replace Low-End Manufacturing Jobs

 

Foxconn chairman Young Liu has issued a stark warning about the future of low-end manufacturing jobs, suggesting that generative AI and robotics will eventually eliminate many of these roles. Speaking at the Computex conference in Taiwan, Liu emphasized that this transformation is not just technological but geopolitical, urging world leaders to prepare for the sweeping changes ahead. 

According to Liu, wealthy nations have historically relied on two methods to keep manufacturing costs down: encouraging immigration to bring in lower-wage workers and outsourcing production to countries with lower GDP. However, he argued that both strategies are reaching their limits. With fewer low-GDP countries to outsource to and increasing resistance to immigration in many parts of the world, Liu believes that generative AI and robotics will be the next major solution to bridge this gap. He cited Foxconn’s own experience as proof of this shift. 

After integrating generative AI into its production processes, the company discovered that AI alone could handle up to 80% of the work involved in setting up new manufacturing runs—often faster than human workers. While human input is still required to complete the job, the combination of AI and skilled labor significantly improves efficiency. As a result, Foxconn’s human experts are now able to focus on more complex challenges rather than repetitive tasks. Liu also announced the development of a proprietary AI model named “FoxBrain,” tailored specifically for manufacturing. 

Built using Meta’s Llama 3 and 4 models and trained on Foxconn’s internal data, this tool aims to automate workflows and enhance factory operations. The company plans to open-source FoxBrain and deploy it across all its facilities, continuously improving the model with real-time performance feedback. Another innovation Liu highlighted was Foxconn’s use of Nvidia’s Omniverse to create digital twins of future factories. These AI-operated virtual factories are used to test and optimize layouts before construction begins, drastically improving design efficiency and effectiveness. 

In addition to manufacturing, Foxconn is eyeing the electric vehicle sector. Liu revealed the company is working on a reference design for EVs, a model that partners can customize—much like Foxconn’s strategy with PC manufacturers. He claimed this approach could reduce product development workloads by up to 80%, enhancing time-to-market and cutting costs. 

Liu closed his keynote by encouraging industry leaders to monitor these developments closely, as the rise of AI-driven automation could reshape the global labor landscape faster than anticipated.

Google’s AI Virtual Try-On Tool Redefines Online Shopping Experience

 

At the latest Google I/O developers conference, the tech giant introduced an unexpected innovation in online shopping: an AI-powered virtual try-on tool. This new feature lets users upload a photo of themselves and see how clothing items would appear on their body. By merging the image of the user with that of the garment, Google’s custom-built image generation model creates a realistic simulation of the outfit on the individual. 

While the concept seems simple, the underlying AI technology is advanced. In a live demonstration, the tool appeared to function seamlessly. The feature is now available in the United States and is part of Google’s broader efforts to enhance the online shopping experience through AI integration. It’s particularly useful for people who often struggle to visualize how clothing will look on their body compared to how it appears on models.  

However, the rollout of this tool raised valid questions about user privacy. AI systems that involve personal images often come with concerns over data usage. Addressing these worries, a Google representative clarified that uploaded photos are used exclusively for the try-on experience. The images are not stored for AI training, are not shared with other services or third parties, and users can delete or update their photos at any time. This level of privacy protection is notable in an industry where user data is typically leveraged to improve algorithms. 

Given Google’s ongoing development of AI-driven tools, some expected the company to utilize this photo data for model training. Instead, the commitment to user privacy in this case suggests a more responsible approach. Virtual fitting technology isn’t entirely new. Retail and tech companies have been exploring similar ideas for years. Amazon, for instance, has experimented with AI tools in its fashion division. Google, however, claims its new tool offers a more in-depth understanding of diverse body types. 

During the presentation, Vidhya Srinivasan, Google’s VP of ads and commerce, emphasized the system’s goal of accommodating different shapes and sizes more effectively. Past AI image tools have faced criticism for lacking diversity and realism. It’s unclear whether Google’s new tool will be more reliable across the board. Nevertheless, their assurance that user images won’t be used to train models helps build trust. 

Although the virtual preview may not always perfectly reflect real-life appearances, this development points to a promising direction for AI in retail. If successful, it could improve customer satisfaction, reduce returns, and make online shopping a more personalized experience.

Quantum Computing Could Deliver Business Value by 2028 with 100 Logical Qubits

 

Quantum computing may soon move from theory to commercial reality, as experts predict that machines with 100 logical qubits could start delivering tangible business value by 2028—particularly in areas like material science. Speaking at the Commercialising Quantum Computing conference in London, industry leaders suggested that such systems could outperform even high-performance computing in solving complex problems. 

Mark Jackson, senior quantum evangelist at Quantinuum, highlighted that quantum computing shows great promise in generative AI applications, especially machine learning. Unlike traditional systems that aim for precise answers, quantum computers excel at identifying patterns in large datasets—making them highly effective for cybersecurity and fraud detection. “Quantum computers can detect patterns that would be missed by other conventional computing methods,” Jackson said.  

Financial services firms are also beginning to realize the potential of quantum computing. Phil Intallura, global head of quantum technologies at HSBC, said quantum technologies can help create more optimized financial models. “If you can show a solution using quantum technology that outperforms supercomputers, decision-makers are more likely to invest,” he noted. HSBC is already exploring quantum random number generation for use in simulations and risk modeling. 

In a recent collaborative study published in Nature, researchers from JPMorgan Chase, Quantinuum, Argonne and Oak Ridge national labs, and the University of Texas showcased Random Circuit Sampling (RCS) as a certified-randomness-expansion method, a task only achievable on a quantum computer. This work underscores how randomness from quantum systems can enhance classical financial simulations. Quantum cryptography also featured prominently at the conference. Regulatory pressure is mounting on banks to replace RSA-2048 encryption with quantum-safe standards by 2035, following recommendations from the U.S. National Institute of Standards and Technology. 

Santander’s Mark Carney emphasized the need for both software and hardware support to enable fast and secure post-quantum cryptography (PQC) in customer-facing applications. Gerard Mullery, interim CEO at Oxford Quantum Circuits, stressed the importance of integrating quantum computing into traditional enterprise workflows. As AI increasingly automates business processes, quantum platforms will need to support seamless orchestration within these ecosystems. 

While only a few companies have quantum machines with logical qubits today, the pace of development suggests that quantum computing could be transformative within the next few years. With increasing investment and maturing use cases, businesses are being urged to prepare for a hybrid future where classical and quantum systems work together to solve previously intractable problems.