Daily Digest on AI and Emerging Technologies (19 August 2025)

Governance, Legislation

U.S. Government in Talks to Take Stake in Intel to Boost Domestic Chip Production

(AI Insider – 15 August 2025) The U.S. government is reportedly exploring a deal to acquire a stake in Intel as part of efforts to expand domestic semiconductor manufacturing, according to Bloomberg. The potential agreement would support projects such as Intel’s delayed Ohio chip facility. – https://theaiinsider.tech/2025/08/15/u-s-government-in-talks-to-take-stake-in-intel-to-boost-domestic-chip-production/

India pushes for safe AI use in financial sector

(DigWatch – 15 August 2025) India’s central bank has proposed a national framework to guide the ethical and responsible use of AI in the financial sector. The committee, set up by the Reserve Bank of India in December 2024, has made 26 recommendations across six focus areas, including infrastructure, governance, and assurance. – https://dig.watch/updates/india-pushes-for-safe-ai-use-in-financial-sectorhttps://indianexpress.com/article/technology/india-cenbank-committee-recommends-ai-framework-for-finance-sector-10188199/

New framework planned for crypto asset flows in South Africa

(DigWatch – 15 August 2025) South Africa is preparing a new regulatory framework for cross-border cryptocurrency transactions, according to Finance Minister Enoch Godongwana. The South African Reserve Bank will release the framework this year, focusing on cross-border crypto asset transfers. The move comes after a High Court ruling left cryptocurrencies exempt from exchange control regulations. Instead of a broad exemption framework for exchanges, authorities aim to regulate the activities of crypto asset service providers involved in moving value across borders. – https://dig.watch/updates/new-framework-planned-for-crypto-asset-flows-in-south-africa

Tech & Democracy

The Ongoing Fight to Keep Evidence Intact in the Face of AI Deception

(Riana Pfefferkorn – Tech Policy Press – 14 August 2025) Last week, television news host Chris Cuomo fell for a deepfake video of Representative Alexandria Ocasio-Cortez (D-NY) despite its being prominently labeled as AI-generated. Two weeks before Cuomo’s error, Senator Mike Lee (R-UT) posted to X a clearly fake resignation letter from embattled Federal Reserve chair Jerome Powell. Lee (who routinely amplifies misinformation) quickly deleted the tweet, claiming he didn’t know whether the letter was legitimate or not. Cuomo likewise deleted his post, though he bizarrely demanded that AOC disavow all the words the fake video had put in her mouth. In an opinion column in the New York Times, Princeton professor Zeynep Tufekci references the Cuomo incident to highlight both the difficulty and necessity of verifying what’s real in the age of high-quality AI-generated images, audio, and video. As Tufekci notes, deepfakes are a demand-side issue, not just a supply-side issue: Many people (including, evidently, Cuomo and Lee) who consume and share fake content don’t care if it’s fake so long as it confirms their existing beliefs. – https://www.techpolicy.press/the-ongoing-fight-to-keep-evidence-intact-in-the-face-of-ai-deception/

Extremism & Terrorism

Whack-a-Mole No More: How Extremists Choose Their Digital Safe Havens

(Mariana Olaizola Rosenblat – Lawfare – 15 August 2025) Tamar Mitts’s “Safe Havens for Hate” arrives at a moment when debates over online extremism and platform regulation are increasingly urgent—and increasingly polarized. Governments have begun to implement more stringent rules on the largest social media companies, while extremist movements continue to migrate and adapt, exploiting gaps in the regulatory landscape. Mitts seeks to explain this dynamic, and she does so with an ambition that distinguishes her work from much of the more anecdotal or narrowly focused literature in the field: She draws on data tracking the online activity of 114 militant and hate organizations across 67 platforms, supplementing this with qualitative case studies of the Islamic State, the Proud Boys, QAnon, and the Taliban. –  https://www.lawfaremedia.org/article/whack-a-mole-no-more–how-extremists-choose-their-digital-safe-havens

Security

North Korean hackers switch to ransomware in major cyber campaign

(DigWatch – 16 August 2025) A North Korean hacking unit has launched a ransomware campaign targeting South Korea and other countries, marking a shift from pure espionage. Security firm S2W identified the subgroup, ‘ChinopuNK’, as part of the ScarCruft threat actor. The operation began in July, utilising phishing emails and a malicious shortcut file within a RAR archive to deploy multiple malware types. These included a keylogger, stealer, ransomware, and a backdoor. – https://dig.watch/updates/north-korean-hackers-switch-to-ransomware-in-major-cyber-campaignhttps://www.inforisktoday.com/north-korean-hackers-launch-new-cyber-assault-on-south-korea-a-29231

Employee data compromised in cyberattack on Canada’s parliament

(DigWatch – 15 August 2025) Canada’s House of Commons is investigating a data breach after a cyberattack reportedly exploited a Microsoft vulnerability, granting unauthorised access to a database for managing parliamentary computers and mobile devices. – https://dig.watch/updates/employee-data-compromised-in-cyberattack-on-canadas-parliamenthttps://www.cbc.ca/news/politics/house-of-commons-data-breach-1.7608061

National digital IDs in the age of artificial intelligence

(Onur Kara – IISS – 14 August 2025) Digital IDs increasingly underpin state power, promising security and efficiency. But as AI models learn from leaked or stolen biometric data, these same systems are likely to create profound vulnerabilities for governments, industries and citizens. – https://www.iiss.org/online-analysis/six-analytic-blog/2025/08/national-digital-ids-in-the-age-of-artificial-intelligence/

Frontiers

Sam Altman Alerts to Potential AI Market Bubble as Sector Growth Accelerates

(AI Insider – 18 August 2025) OpenAI Chief Executive Sam Altman has cautioned that the artificial intelligence market is showing signs of a bubble, comparing current investor enthusiasm to the dot-com era. He acknowledged that while AI is the most significant technological shift in decades, excessive speculation is inflating valuations across the sector. – https://theaiinsider.tech/2025/08/18/sam-altman-alerts-to-potential-ai-market-bubble-as-sector-growth-accelerates/

Profound Closes $35M Series B as AI Search Becomes the Next Platform Shift

(AI Insider – 18 August 2025) Profound raised $35M in Series B funding led by Sequoia, bringing total investment to $58.5M, to scale its AI visibility and content optimization platform. In less than a year, the platform has gained over 500 organizations and 2,000 daily marketers, with enterprise customers including Ramp, US Bank, Indeed, MongoDB, DocuSign, and Chime. Positioned as the “command center” for AI-first marketing, Profound enables brands to monitor, create, and orchestrate AI-optimized content and campaigns, helping businesses remain visible as AI assistants become the primary gateway to consumers. – https://theaiinsider.tech/2025/08/18/profound-closes-35m-series-b-as-ai-search-becomes-the-next-platform-shift/

Allie, the AI-Powered Chess Bot Trained on Data From 91 Million Games

(AI Insider – 18 August 2025) Carnegie Mellon researchers, with support from MIT and Visa, unveiled Allie, a chess AI trained to mimic human play, presented at the 2025 International Conference on Learning Representations. Unlike dominant engines such as Stockfish, Allie was trained on 91 million human game transcripts from Lichess, making its decisions and play style more relatable and instructive for beginners. The project highlights a broader push to design AI that thinks in human-compatible ways, with potential applications in education, healthcare, and other fields requiring empathy and interpretability. – https://theaiinsider.tech/2025/08/18/allie-the-ai-powered-chess-bot-trained-on-data-from-91-million-games/

Insilico Medicine Announces Completion of IND-enabling Studies for AI-empowered Oral Inhibitor Aimed at Transformative Parkinson’s Disease Treatment

(AI Insider – 18 August 2025) Insilico Medicine announced that its AI-designed oral NLRP3 inhibitor ISM8969, aimed at treating inflammation and neurodegenerative disorders including Parkinson’s disease, has completed IND-enabling studies with favorable results and will move toward an IND filing in Q4 2025. Preclinical studies showed ISM8969 improved motor function in Parkinson’s disease models in a dose-dependent manner, with performance at higher doses approaching that of healthy controls. The company highlights ISM8969 as part of its broader AI-driven drug discovery platform, which has advanced 22 development candidates since 2021 and significantly reduced discovery timelines compared to traditional methods. ISM8969 dose dependently improved behavioral performance in open field, rotarod and grip strength tests in MPTP induced Parkinson disease (PD) model (Insilico Medicine) – https://theaiinsider.tech/2025/08/18/insilico-medicine-announces-completion-of-ind-enabling-studies-for-ai-empowered-oral-inhibitor-aimed-at-transformative-parkinsons-disease-treatment/

Thinking Small: Small Language Models Could Reshape Agentic AI

(AI Insider – 18 August 2025) A new study posted to arXiv argues that small language models (SLMs) are better suited than large models for most AI agent tasks. Researchers say SLMs are cheaper, faster, and flexible enough to replace up to 70% of large-model calls in some systems. The paper outlines methods to shift from large to small models and predicts hybrid systems will dominate the industry. – https://theaiinsider.tech/2025/08/18/thinking-small-small-language-models-could-reshape-agentic-ai/

Amalgam Rx Secures $20M Credit Investment from Catalio Capital Management to Accelerate Medical-Grade AI™ Deployment

(AI Insider – 18 August 2025) Amalgam Rx secured a $20M credit investment from Catalio Capital Management, with an initial $12M draw to support market expansion, refinance debt, and scale its Medical-Grade AI solutions. The partnership provides Amalgam access to Catalio’s network of 45+ scientist-entrepreneurs and life sciences leaders, offering strategic insights to advance product development and commercial growth. Amalgam’s proprietary AI platform, developed over five years with built-in safeguards, now supports nearly 10M patients across four continents and enables over 70M clinical decisions, reinforcing its leadership in safe, compliant, and intelligent healthcare. – https://theaiinsider.tech/2025/08/18/amalgam-rx-secures-20m-credit-investment-from-catalio-capital-management-to-accelerate-medical-grade-ai-deployment/

Serve Robotics Acquires Vayu Robotics to Pioneer AI Foundation Model-Based Autonomy for Last-Mile Delivery

(AI Insider – 18 August 2025) Serve Robotics (Nasdaq: SERV), a leader in autonomous sidewalk delivery, has acquired Vayu Robotics, a specialist in AI-driven urban navigation, marking a major step in advancing real-world robotic delivery. The acquisition combines Serve’s proven autonomy platform and extensive sidewalk dataset with Vayu’s expertise in AI foundation models and scalable simulation, enhancing safety, reliability, and adaptability for new geographies and use cases. Financial terms include 1.7 million shares of Serve’s common stock upfront, an additional 560,000 shares tied to performance milestones, and warrants for 4 million shares issued to Khosla Ventures, whose founder Vinod Khosla will join Serve’s Advisory Board. – https://theaiinsider.tech/2025/08/18/serve-robotics-acquires-vayu-robotics-to-pioneer-ai-foundation-model-based-autonomy-for-last-mile-delivery/

Endless Web3 Genesis Cloud Raises $110M to Advance AI-Web3 Integration

(AI Insider – 18 August 2025) Endless Web3 Genesis Cloud, a distributed intelligent component protocol, has closed a $110 million funding round, achieving a $1 billion valuation. Backed by investors including Foresight Ventures, the company will use the capital to accelerate its AI-powered componentized development platform, AI Agent toolchain, and global ecosystem expansion. – https://theaiinsider.tech/2025/08/18/endless-web3-genesis-cloud-secures-110m-to-advance-ai-web3-integration/

Quantum Computing Research Facility Launching at Montana State

(Quantum  Insider – 15 August 2025) Montana State University will open its new 12,600-square-foot Quantum Collaborative Research and Education (QCORE) facility with support from about 60 partners and $44.7 million in funding from the U.S. Air Force Research Laboratory. QCORE houses both superconducting and photonic quantum computers, making MSU one of only seven organizations globally with two different types of quantum systems and one of only five with a quantum network test bed. The launch will include a three-day summit on quantum systems, an open house on Aug. 22, and expanded partnerships, workforce training, and community outreach to grow Montana’s quantum ecosystem. – https://thequantuminsider.com/2025/08/16/quantum-computing-research-facility-launching-at-montana-state/

MOTH Launches Space Moths – a Quantum Computing-Powered Massively Multiplayer Game Experience

(Quantum Insider – 15 August 2025) MOTH announced the launch of Space Moths, a massively multiplayer online game with levels generated on-demand by quantum computers, debuting at Gamescom 2025. The game, developed with Onward Studios for the Roblox platform, uses MOTH’s generative quantum AI and hardware from IBM Quantum, IQM Quantum Computers, and VTT. The release follows MOTH’s earlier generative music project and demonstrates quantum computing’s ability to deliver real-world entertainment applications. – https://thequantuminsider.com/2025/08/15/moth-launches-space-moths-a-quantum-computing-powered-massively-multiplayer-game-experience/

Former Google Distinguished Engineer David Petrou Launches Continua, a New Vision for Social AI

(AI Insider – 15 August 2025) Continua raised $8M in seed funding led by GV, with participation from Bessemer Venture Partners and notable angel investors, to develop its Social AI platform that enhances group conversations on SMS, iMessage, and Discord. Founded by former Google Distinguished Software Engineer David Petrou, Continua uses large language models to organize and coordinate group chat discussions, offering real-time assistance, actionable suggestions, and seamless integration into natural banter. The funding will accelerate the platform’s ability to improve collaboration, productivity, and connection within group chats, positioning Continua as a trusted AI participant that reduces chaos and helps teams focus on priorities. – https://theaiinsider.tech/2025/08/15/former-google-distinguished-engineer-david-petrou-launches-continua-a-new-vision-for-social-ai/

GoodShip Raises $25M to Accelerate the AI Era of Freight Management

(AI Insider – 15 August 2025) GoodShip raised $25M in Series B funding led by Greenfield Partners, following a year of over 10× revenue growth and adoption by major enterprise shippers like Tropicana, KeHe Distributors, Kellanova, and KBX Logistics. Its freight orchestration platform replaces manual processes with centralized, AI-enhanced planning, procurement, and performance management, delivering customers 3–5% transportation cost savings and 20% fewer late shipments. The funding will fuel platform expansion, deeper AI integration, and team growth, with new headquarters in Bellevue, WA, as GoodShip aims to become the modern system of action for large-scale freight operations. – https://theaiinsider.tech/2025/08/15/goodship-raises-25m-to-accelerate-the-ai-era-of-freight-management/

EDGX Closes a €2.3M Funding Round to Boost Onboard AI Compute for Satellites

(AI Insider – 15 August 2025) EDGX raised €2.3M in seed funding, co-led by imec.istart future fund and the Flanders Future Tech Fund, to commercialize its EDGX Sterna edge AI computer for satellites, alongside securing a €1.1M multi-unit deal with a satellite operator. The EDGX Sterna, powered by NVIDIA technology and the SpaceFeather software stack, enables real-time AI-powered data processing in orbit, eliminating the need to send large raw datasets to Earth for analysis. The company plans an in-orbit demonstration on a SpaceX Falcon 9 in February 2026, with secured contracts and a full launch manifest positioning it to meet growing demand for real-time intelligence from space. – https://theaiinsider.tech/2025/08/15/edgx-closes-a-e2-3m-funding-round-to-boost-onboard-ai-compute-for-satellites/

MIT AI creates antibiotics to tackle resistant bacteria

(DigWatch – 15 August 2025) MIT researchers have used generative AI to design novel antibiotics targeting drug-resistant bacteria such as gonorrhea and MRSA. Laboratory tests show the compounds kill bacteria without harming human cells, marking a potential breakthrough in antibiotic development. The AI system analysed over 36 million possible compounds, generating entirely new molecules with mechanisms that bypass existing resistance. Unlike traditional methods, this approach enables faster discovery, reducing drug development timelines from years to months. – https://dig.watch/updates/mit-ai-creates-antibiotics-to-tackle-resistant-bacteriahttps://www.webpronews.com/mit-ai-designs-novel-antibiotics-to-fight-drug-resistant-superbugs/

ChatGPT Mobile App Hits $2B in Global Consumer Spending, Dominating AI Assistant Market

(AI Insider – 15 August 2025) The ChatGPT mobile app for iOS and Android has surpassed $2 billion in global consumer spending since its launch in May 2023, according to Appfigures. This figure is roughly 30 times higher than the combined lifetime revenue of competing AI assistant apps such as Claude, Copilot, and Grok. – https://theaiinsider.tech/2025/08/15/chatgpt-mobile-app-hits-2b-in-global-consumer-spending-dominating-ai-assistant-market/

Israeli Startup Xpand Raises $6M to Launch Autonomous Retail Stores Worldwide

(AI Insider – 15 August 2025) Xpand raised $6M in funding led by Ibex Investors and Emerge, with participation from its executive team, to advance its autonomous, AI-powered retail store technology. The company will launch its first smart autonomous store in Vienna as part of a global expansion plan, offering 24/7 unmanned “store-in-a-box” units that integrate robotics, computer vision, and real-time inventory management. Founded in 2021 and rebranded from 1MRobotics, Xpand will use the funding to accelerate store rollouts across Europe and North America, while expanding its sales, marketing, and technology teams. – https://theaiinsider.tech/2025/08/15/israeli-startup-xpand-raises-6m-to-launch-autonomous-retail-stores-worldwide/

RISE Robotics Selected for $3 Million AFWERX Tactical Funding Increase

(AI Insider – 15 August 2025) RISE Robotics awarded $3M AFWERX Tactical Funding Increase to refine and field its Beltdraulic SuperJammer Vehicle platform for operational testing, aiming to modernize the Air Force’s decades-old lift truck systems. Program falls under the DAF’s Open Topic SBIR/STTR initiative, designed to speed contracting, expand participation from small businesses, and streamline innovation delivery for defense applications. Project marks the start of RISE Robotics’ work with the Air Force to deliver advanced material handling capabilities that strengthen U.S. national defense. – https://theaiinsider.tech/2025/08/15/rise-robotics-selected-for-3-million-afwerx-tactical-funding-increase/

Hyphen Raises $25 Million to Scale Automated Meal Production Platform

(AI Insider – 15 August 2025) Hyphen raises $25M in Series B funding with participation from CAVA Group to accelerate production and U.S. deployment of its Automated Makeline, combining robotics and AI to boost restaurant efficiency. Platform aims to address surging digital demand and labor shortages, expanding peak-hour capacity, improving order accuracy, and allowing staff to focus on hospitality. Partnerships with Re:Build Manufacturing and Ricoh USA will support scaled production and nationwide field service, leveraging a 15,000+ technician network for installation and ongoing support. – https://theaiinsider.tech/2025/08/15/hyphen-raises-25-million-to-scale-automated-meal-production-platform/

Multiverse Computing Reports it Shrinks AI Models Without Sacrificing Power

(AI Insider – 15 August 2025) Multiverse Computing has introduced the “Model Zoo,” a family of ultra-compact AI models that run locally while matching or exceeding the performance of larger systems. The ChickenBrain model, a compressed version of Llama 3.1, is 3,700 times smaller than typical requirements and outperforms the original on multiple industry benchmarks. The SuperFly model, based on SmolLM2 135, has 94 million parameters and enables offline conversational AI for uses such as smart appliances and in-vehicle assistants. – https://theaiinsider.tech/2025/08/15/multiverse-computing-reports-it-shrinks-ai-models-without-sacrificing-power/

Mujin Partners With Automation Integrators to Expand North American Adoption of Its Robotics OS

(AI Insider – 15 August 2025) Mujin launches partner program with first wave of leading automation integrators, giving them access to its MujinOS platform to expand advanced robotics into logistics, manufacturing, and supply chain sectors. Initial partners include Applied Manufacturing Technologies, Convergix, CRG Automation, Mesh Automation, RG Group, C&B Material Handling, Conveyco, and Honeywell Intelligrated, chosen for their technical expertise and track record in large-scale automation deployments. MujinOS eliminates traditional automation barriers through real-time digital twin technology, enabling faster, more flexible deployments in high-mix, high-variability environments, from palletizing to mobile robot coordination. – https://theaiinsider.tech/2025/08/15/mujin-partners-with-automation-integrators-to-expand-north-american-adoption-of-its-robotics-os/

iRAYPLE and TXR Robotics Sign MoU to Develop Intelligent Robotic Automation Systems

(AI Insider – 15 August 2025) iRAYPLE and TXR Robotics sign MoU to co-develop next-generation robotic automation systems, integrating machine vision with autonomous navigation and control for industrial applications in domestic and global markets. Partnership focuses on standardizing hardware platforms, advancing AI-powered vision applications, and deploying iRAYPLE’s AMRs as TXR’s standard platform. Collaboration targets logistics and manufacturing sectors, with both companies expecting to boost market share in China’s high-end robotics segment and strengthen global positioning. – https://theaiinsider.tech/2025/08/15/irayple-and-txr-robotics-sign-mou-to-develop-intelligent-robotic-automation-systems/