The SEC is investigating the near-collapse of AI-focused hedge fund Situational Awareness, sending subpoenas to major Wall Street banks for details about the fund's trades, borrowing, and communications with lenders. The fund, founded by former OpenAI researcher Leopold Aschenbrenner, managed over $30 billion and borrowed tens of billions more before leveraged bets unraveled, forcing it to sell most of its stock portfolio to Citadel at a discount. The New York Times reports: The subpoenas asked for details on the timing of Situational Awareness's trades and for its communications with lenders about the money it was borrowing, also known as "leverage," two of those people said. The subpoenas additionally warned the banks to preserve any information regarding the San Francisco hedge fund. The S.E.C. oversees financial markets with an eye toward protecting small investors, and has brought civil cases regularly against investment firms that produced large losses. Any investigation into Situational Awareness would be at its earliest stages, and it's no guarantee that it would lead to fines or other punishment. The hedge fund has not been accused of wrongdoing. [...] Situational Awareness had a fast rise and an even quicker retreat. Founded just two years ago by Leopold Aschenbrenner, a former researcher at OpenAI, it rode the A.I. boom to soaring investment returns. To achieve those results, however, the fund relied on heavy borrowing, as well as complicated and expensive financial instruments that magnify gains -- and losses. The latter piled up quickly last month when the stock prices of publicly traded, high-flying A.I. companies dipped. At the same time, shares in more traditional technology companies -- which the hedge fund had been betting against -- rose, compounding the problem. Situational Awareness was forced into a fire sale. It wound up selling most of its stock portfolio to a rival, Citadel, at a discount.

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An anonymous reader quotes a report from Gizmodo: Dr. Dre, the pioneering rapper and seven-time Grammy-winning producer behind hit songs like Tupac's "California Love" and Eminem's "The Real Slim Shady," is very much pro using artificial intelligence tools to make music. In an interview with the New York Times, Dr. Dre and Interscope Records co-founder Jimmy Iovine spoke about artificial intelligence's recent foray into music production, with the producer characterizing those who oppose AI song generation tools as "afraid of learning new things." "I don't see it as a threat. I think the only people that see it as a threat are the people who have trouble creating," Dr. Dre said. "I had a discussion with a few people a few days ago. They were against AI, and I'm like, 'OK, you sound like the person that would have been against the drum machine when it came out.' Or synthesizers, right?" [...] Iovine, the music executive and Dr. Dre's partner in Beats by Dre, for his part, says he doesn't "see the downside at all." "There will be some crappy music. There's crappy music now," Iovine told the NYT. "In the studio, when gifted people have AI, they're going to make better records." Dr. Dre said he uses AI in producing "as a tool to see what it would do with what I just did." The award-winning producer also said he is definitely not alone among his peers in his stance on AI either: many producers use AI but fear to admit it. Iovine calls them "closet AI producers," and says Timbaland, the four-time Grammy-winning singer-producer behind a long list of hits like "Promiscuous" with Nelly Furtado, is also one.

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A Pew Research senior data scientist analyzed 500,000 English-language webpages from the past five years with an AI detection tool to estimate how many were likely written or edited by AI: Of all the pages in this sample, 10% show significant signs of AI authorship... If we filter old webpages out of our samples and look at only the pages published after the release of ChatGPT, the trend is even more pronounced. In the July 2026 snapshot, signs of AI authorship can be found in over one-third of pages published after ChatGPT was released. This is in line with other studies that have shown that large shares of recently published pages on the internet were likely written or substantially edited by AI. AI-authored text is not evenly spread across the web. When ChatGPT was first released, the kinds of linguistic patterns that can signal AI authorship appeared at similar rates across the main top-level web domains (.com, .org, .edu and .gov). But in samples from 2026, around one-in-ten pages with a .com domain show signs of AI authorship — about double the share on .org domains (4.6%), and 10 times the rate on .edu or .gov domains (both around 1%). They even identified specific ways online text has changed, "comparing the internet of today to a snapshot from 2023." Em dashes appear twice as often Oxford commas increased 63%. Words used more frequently by AI (like "delve," "interplay" or "testament") have more than doubled in usage. "Negative parallelism" comparisons ("it's not just X, it's Y") have nearly tripled.

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