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Read full article about: Popular AI proxy LiteLLM got hacked with malware that spreads through Kubernetes clusters

The open-source library LiteLLM, a widely used proxy for AI language model APIs, has been compromised with malware through PyPI. Security researcher Callum McMahon of Futuresearch found that versions 1.82.7 and 1.82.8 were tampered with on March 24, 2026, with no matching release in the official GitHub repository.

The malware steals SSH keys, cloud credentials, database passwords, and Kubernetes configurations, encrypts them, and exfiltrates them to a third-party server. It also spreads across Kubernetes clusters and installs permanent backdoors. The attack surfaced when the package crashed inside the code editor Cursor. McMahon says the LiteLLM author is "very likely fully compromised." Anyone affected should rotate all credentials immediately. More details are on GitHub.

Nvidia AI Director Jim Fan calls the incident "pure nightmare fuel." He warns that AI agents could be manipulated through infected files: every text file in context becomes an attack vector, and a compromised agent could impersonate the user across all accounts. Instead of relying on sprawling dependency chains, Fan recommends building lean, custom solutions. He also predicts a new industry for "de-vibing" - "the boring old, audited Software 1.0 that watches over the rebellious adolescents of Software 3.0," as he puts it.

Read full article about: Google Deepmind's Gemini 3.1 Flash-Lite generates websites almost in real time

Google Deepmind's Gemini 3.1 Flash-Lite can render websites almost in real time. The company published a new pseudo-browser demo: type in a prompt for the page you want, and it gets built live right in front of you. The results aren't consistent, and the content quickly drifts into nonsense, but with tight guardrails, there could be some interesting use cases, like quick UI mockups to visualize ideas. You can test the app for free in Google AI Studio.

According to Google, Gemini 3.1 Flash-Lite reaches its first response token 2.5 times faster than Gemini 2.5 Flash and pushes out over 360 tokens per second. The speed boost comes at a cost, though. The output price has more than tripled, jumping from $0.40 to $1.50 per million tokens. The model has been available in Google AI Studio and Vertex AI since early March. According to Artificial Analysis, it beats larger models like Claude Opus 4.6 on some multimodal tasks.

Read full article about: A man created thousands of fake accounts to stream AI songs billions of times and pocket $8 million in royalties

A North Carolina man has pleaded guilty to defrauding music streaming platforms. Michael Smith generated hundreds of thousands of AI songs and used bots to play them billions of times, pocketing more than eight million dollars in royalties. To pull it off, he created thousands of fake accounts on Spotify, Apple Music, Amazon Music, and YouTube Music, carefully spreading streams across enough songs to stay under the radar.

Smith pleaded guilty to conspiracy to commit wire fraud, according to the US Attorney's Office for the Southern District of New York.

The scheme did double damage. Streaming platforms paid out money for plays that never had a real listener, and since royalties come from a shared pool distributed on a pro rata basis, every fake stream meant less money for actual musicians and songwriters. "Smith's brazen scheme is over, as he stands convicted of a federal crime for his AI-assisted fraud," US Attorney Jay Clayton said.

Read full article about: Microsoft snaps up Texas data center that Oracle and OpenAI left behind

Microsoft has agreed to lease a data center in Abilene, Texas, that was originally built for Oracle and OpenAI, Bloomberg News reports. The facility offers roughly 700 megawatts of capacity and sits right next to the Stargate campus - Oracle and OpenAI's flagship AI infrastructure project.

Microsoft struck the deal with developer Crusoe after both Oracle and OpenAI walked away from negotiations over the site. Back in March, Bloomberg reported that Oracle and OpenAI had abandoned their expansion plans in Texas because financing talks stalled and OpenAI's needs had shifted. Oracle pushed back on those reports at the time, calling claims of delays at the Abilene site inaccurate.

Microsoft, Oracle, OpenAI, and Crusoe have not commented on the new report, according to Reuters.

The lease aligns with Microsoft's broader push to expand its own computing infrastructure. In a recent podcast, Microsoft CEO Satya Nadella said he expects an oversupply of computing capacity and falling prices by 2027 or 2028 as a result of the current data center building boom. Nadella added that he's looking forward to renting capacity cheaply when that happens.

Read full article about: Agile Robots and Google Deepmind team up to bring AI-powered robots to factories

Munich-based Agile Robots and Google Deepmind have announced a strategic research partnership. The goal is to integrate Google Deepmind's Gemini Robotics AI models into Agile Robots' hardware, creating adaptable, intelligent robots built primarily for industrial settings where there's an "acute and growing need for adaptable, reliable automation."

Carolina Parada, Head of Robotics at Google Deepmind, called the collaboration an "important step in bringing the impact of AI to the real world." The plan is to use data from real-world operations to continuously improve the AI models, which in turn makes the robots more capable over time.

Agile Robots was founded in Munich in 2018 and now employs more than 2,500 people. The company says it has already deployed over 20,000 robotics solutions worldwide. Google Deepmind recently unveiled two new AI models—Gemini Robotics 1.5 and Gemini Robotics-ER 1.5—designed to let robots independently plan, understand, and execute complex tasks in the physical world.

Read full article about: Google brings AI-powered dark web analysis to enterprise security teams

Google Cloud unveiled new security features at the RSA Conference 2026 in San Francisco. The centerpiece is an AI agent called "Triage and Investigation" built for enterprise security teams and embedded in Google's "Security Operations" platform. The agent reviews security alerts on its own, automatically pulls in additional data and context, and assesses whether an alert represents a real threat or a false alarm. The goal is to help analysts in SOCs (Security Operations Centers - the security hubs of organizations) spend less time chasing false positives.

According to the new M-Trends report from Mandiant, Google's cybersecurity subsidiary, cybercriminals are becoming increasingly professional and organized. They're forming partnerships and deliberately destroying their victims' ability to recover, maximizing extortion pressure. The window between initial intrusion and attack has shrunk to just 22 seconds. A separate Mandiant report shows that attackers are now using AI tools that adapt in real time during an attack to evade security systems.

Google is also rolling out a new AI-powered dark web analysis tool. It automatically evaluates activity in hidden parts of the internet - things like forum posts and marketplaces where stolen data is traded. According to internal tests, the system can filter millions of these activities per day with 98 percent accuracy, flagging only genuinely relevant threats.

Read full article about: ChatGPT simplifies file management with new toolbar and library tab

ChatGPT is making it easier to work with uploaded and generated files. Users can now find, reuse, and pull files into chats more quickly. A new toolbar lets you reference recently used files directly, and you can ask ChatGPT questions about files you've already uploaded. The web version also gets a new "Library" tab in the sidebar that gives you a clean overview of all your files.

ChatGPT's new Library tab (left) shows all uploaded files in one place, while the toolbar (top right) lets users quickly reference recent files in any chat. | Image: OpenAI

The feature is rolling out globally to Plus, Pro, and Business users. Users in the EU, Switzerland, and the UK will have to wait a bit longer, but OpenAI says the feature should follow soon.

Read full article about: Microsoft hires top AI researchers from Allen Institute for AI for Suleyman's Superintelligence team

Microsoft is hiring several leading AI researchers from the Allen Institute for AI (Ai2) and the University of Washington. The group includes former Ai2 CEO Ali Farhadi, language model researcher Hanna Hajishirzi, and multimodal expert Ranjay Krishna. All three will retain their university positions. They are joining Mustafa Suleyman's Superintelligence team at Microsoft AI. The move is part of Microsoft's effort to reduce its dependence on OpenAI for AI models.

For Ai2, founded in 2014 by the late Microsoft co-founder Paul Allen, the departures represent a major loss. Hajishirzi leads the open-source language model OLMo and a $152 million project with Nvidia and the NSF. The exits are also tied to a shift in funding: Ai2 was originally funded by Allen's Vulcan Inc. and later his estate. Its primary backer is now the Fund for Science and Technology (FFST), a $3.1 billion foundation created under Allen's instructions.

FFST, led by CEO Dr. Lynda Stuart, favors applied AI over costly frontier model research and is moving from annual funding to a proposal-based process, Geekwire reports. Future support is expected to prioritize real-world AI applications over open-source foundation models, which helps explain why researchers focused on model development are leaving.

Read full article about: OpenAI wants UK regulators to treat ChatGPT as a Google Search alternative

OpenAI is pushing the UK's Competition and Markets Authority (CMA) to add ChatGPT as an alternative to Google in so-called "choice screens" on Android phones and the Chrome browser. The CMA had previously designated Google as holding "strategic market status" in search and proposed giving users regular alternatives to choose from.

OpenAI argues, according to the Telegraph, that AI chatbots with search functionality should count as search engines, since users increasingly turn to them for queries. ChatGPT has offered web search since 2024 and now has around 900 million weekly users.

Google pushed back, calling the proposed pop-ups disruptive for users. Despite growing AI competition, Google's search revenues climbed 16 percent last year to $63 billion. Google's own AI system Gemini is also growing rapidly and competes directly with ChatGPT.