OpenAI gets hacked + And Stability AI makes their models free for small biz

Today’s Highlights:

?? News: Hacker steals from OpenAI’s internal messaging system

?? Funding: Hebbia AI raises $100M+ from a16z, Index Ventures, Google, and Peter Thiel

?? Top News Stories:

1. Early last year, a hacker accessed OpenAI's internal messaging systems, raising internal concerns about A.I. security and potential foreign threats.

• The hacker stole details about A.I. tech discussions but not the underlying code.
• OpenAI executives informed employees and the board but chose not to publicize the breach since no customer or partner information was compromised and no ties to foreign governments were identified.
• The breach raised internal fears about potential foreign adversaries like China stealing A.I. secrets, leading to debates on security measures within OpenAI.
• OpenAI has taken steps to improve security, including forming a Safety and Security Committee, but debates on the adequacy of these measures continue.

2. Sam Altman and Arianna Huffington partner through The OpenAI Startup Fund and Thrive Global , respectively, to launch Thrive AI Health, an AI-powered health coach that provides personalized advice on sleep, food, fitness, stress management, and connection.

3. Stability AI has made their AI models free for individuals and small businesses with under $1M annual revenue, aiming to win back community support after a problematic launch of Stable Diffusion 3 Medium (SD3).

4. Elon Musk’s X is developing new features to integrate xAI’s Grok, allowing users to ask about accounts, highlight text for searches, and use the chatbot via a pop-up window.

5. Cloudflare has launched a free tool to prevent AI bots from scraping data from websites hosted on its platform, aiming to protect content from being used to train AI models.

6. At the 世界人工智能大会 in Shanghai, SenseTime and Alibaba announced advancements in their AI tech, highlighting intense competition in China's AI market.

7. Kenza Layli, a hijab-wearing AI persona from Morocco, won the first-ever Miss AI title, beating over 1,500 competitors and earning a $20,000 prize for her creator.

8. OpenAI fixes a security flaw in its ChatGPT macOS app that left chat logs stored in plain text.

9. EU competition chief Margrethe Vestager expressed concerns about a potential bottleneck in the supply of Nvidia's AI chips but indicated that regulatory action is not yet determined.

10. 英伟达 is projected to sell $12Bn worth of AI chips in China this year, despite US export controls, by delivering over 1 million H20 chips, which bypass current restrictions.

11. AI at Meta researchers have introduced MobileLLM, an efficient language model designed for smartphones and resource-constrained devices, challenging the assumption that effective AI models must be large.

?? Top Funding News:

1. Hebbia , which develops AI that mimics human work processes, allowing knowledge workers to instruct AI agents to perform complex tasks with flexibility and transparency, raised a $130M Series B led by Andreessen Horowitz , w/ Index Ventures , GV (Google Ventures) , and Peter Thiel.

2. Quantum Rise , which specializes in AI-driven automation for businesses through tailored AI solutions and workflow automation, raised a $15M Seed Round, led by Erie Street Growth Partners .?

3. Phaidra , which utilizes reinforcement learning to create AI-powered autonomous control systems for data centers and other industrial facilities, raised $12M led by Index Ventures .