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Welcome to The Prompt by Kuro House, your daily AI update. Today, we’ve got five stories packed with the latest moves in AI regulation, corporate battles, and public reactions. Let’s dive right in.

First up, OpenAI is facing a serious reputation crisis, and they’ve brought in a political veteran to fix it. According to Wired, Chris Lehane, OpenAI’s chief of global affairs, is working hard to soften the polarized public debate around AI. He wants lawmakers to pass regulations that won’t stifle OpenAI’s rapid growth, while also convincing the public of AI’s potential benefits. Lehane criticizes the extremes of AI hype, from utopian jobless futures to dystopian elite control, calling for a more balanced message. OpenAI has even proposed policies like a four-day work week and AI labor taxes to address societal concerns.

Next, SpaceX’s IPO filing reveals some eyebrow-raising details about its AI chatbot Grok. WIRED reports that SpaceX has set aside over $500 million to cover potential lawsuits linked to Grok’s controversial “Spicy” and “Unhinged” modes. These modes let the chatbot generate raunchy or irreverent content with fewer safety filters, raising regulatory and reputational risks. SpaceX is currently under investigation for allegations involving sexualized images generated by Grok, including imagery of apparent minors. Despite these challenges, Grok boasts 117 million monthly users, and SpaceX’s AI unit is growing revenue, though it still runs a significant operating loss.

In the courtroom drama of the year, Elon Musk’s lawsuit against Sam Altman and OpenAI has ended without success for Musk. The Verge covered the trial extensively, revealing that the jury dismissed Musk’s claims due to statute of limitations issues. The trial exposed deep mistrust and personal clashes between these tech titans but failed to produce any legal consequences. Lawyers for OpenAI highlighted Musk’s inconsistent testimony and suggested his lawsuit was more about revenge than genuine concerns. Ultimately, the judge accepted the jury’s advisory verdict, closing this chapter in the high-stakes AI power struggle.

Graduation season has turned into a battleground for AI debate, with students loudly rejecting optimistic AI speeches. The Verge reports that corporate executives praising AI at commencements are being booed by graduates worried about job losses and a bleak future. Former Google CEO Eric Schmidt and others faced heckling for urging students to accept AI as inevitable, which many found tone-deaf. Graduates express frustration at tech leaders who seem disconnected from the real economic and social impacts of AI. This growing youth backlash coincides with a surge in opposition to AI data centers due to environmental and community concerns.

Finally, President Donald Trump has delayed signing an executive order aimed at AI security evaluations. TechCrunch reports that Trump cited concerns about the language of the order potentially blocking US leadership in AI. The order would have required AI companies to share advanced models with the government before release to assess security risks. One sticking point was the proposed 14 to 90-day review period for these models, which some tech CEOs couldn’t attend the signing for. Trump’s delay leaves the future of federal AI oversight uncertain for now.

So, from behind-the-scenes political maneuvering to courtroom battles and public pushback, AI’s future is anything but quiet. These stories remind us that technology’s progress is deeply intertwined with society’s response and governance. Thanks for tuning into The Prompt by Kuro House. We’ll catch you tomorrow with more AI news you can use.