IT Pros ‘Extremely Worried’ About Shadow AI: Report By John P. Mello Jr. June 4, 2025 5:00 AM PT ADVERTISEMENT Enterprise IT Lead Generation Services Fuel Your Pipeline. Close More Deals. Our full-service marketing programs deliver sales-ready leads. 100% Satisfaction Guarantee! Learn more. Shadow AI — the use of AI tools under the radar of IT departments — has information technology directors and executives worried, according to a report released Tuesday. The report, based on a survey of 200 IT directors and executives at U.S. enterprise organizations of 1,000 employees or more, found nearly half the IT pros (46%) were “extremely worried” about shadow AI, and almost all of them (90%) were concerned about it from a privacy and security viewpoint. “As our survey found, shadow AI is resulting in palpable, concerning outcomes, with nearly 80% of IT leaders saying it has resulted in negative incidents such as sensitive data leakage to Gen AI tools, false or inaccurate results, and legal risks of using copyrighted information,” said Krishna Subramanian, co-founder of Campbell, Calif.-based Komprise, the unstructured data management company that produced the report. “Alarmingly, 13% say that shadow AI has caused financial or reputational harm to their organizations,” she told TechNewsWorld. Subramanian added that shadow AI poses a much greater problem than shadow IT, which primarily focuses on departmental power users purchasing cloud instances or SaaS tools without obtaining IT approval. “Now we’ve got an unlimited number of employees using tools like ChatGPT or Claude AI to get work done, but not understanding the potential risk they are putting their organizations at by inadvertently submitting company secrets or customer data into the chat prompt,” she explained. “The data risk is large and growing in still unforeseen ways because of the pace of AI development and adoption and the fact that there is a lot we don’t know about how AI works,” she continued. “It is becoming more humanistic all the time and capable of making decisions independently.” Shadow AI Introduces Security Blind Spots Shadow AI is the next step after shadow IT and is a growing risk, noted James McQuiggan, security awareness advocate at KnowBe4, a security awareness training provider in Clearwater, Fla. “Users use AI tools for content, images, or applications and to process sensitive data or company information without proper security checks,” he told TechNewsWorld. “Most organizations will have privacy, compliance, and data protection policies, and shadow AI introduces blind spots in the organization’s data loss prevention.” “The biggest risk with shadow AI is that the AI application has not passed through a security analysis as approved AI tools may have been,” explained Melissa Ruzzi, director of AI at AppOmni, a SaaS security management software company, in San Mateo, Calif. “Some AI applications may be training models using your data, may not adhere to relevant regulations that your company is required to follow, and may not even have the data storage security level you deem necessary to keep your data from being exposed,” she told TechNewsWorld. “Those risks are blind spots of potential security vulnerabilities in shadow AI.” Krishna Vishnubhotla, vice president of product strategy at Zimperium, a mobile security company based in Dallas, noted that shadow AI extends beyond unapproved applications and involves embedded AI components that can process and disseminate sensitive data in unpredictable ways. “Unlike traditional shadow IT, which may be limited to unauthorized software or hardware, shadow AI can run on employee mobile devices outside the organization’s perimeter and control,” he told TechNewsWorld. “This creates new security and compliance risks that are harder to track and mitigate.” Vishnubhotla added that the financial impact of shadow AI varies, but unauthorized AI tools can lead to significant regulatory fines, data breaches, and loss of intellectual property. “Depending on the scale of the agency and the sensitivity of the data exposed, the costs could range from millions to potentially billions in damages due to compliance violations, remediation efforts, and reputational harm,” he said. “Federal agencies handling vast amounts of sensitive or classified information, financial institutions, and health care organizations are particularly vulnerable,” he said. “These sectors collect and analyze vast amounts of high-value data, making AI tools attractive. But without proper vetting, these tools could be easily exploited.” Shadow AI Everywhere and Easy To Use Nicole Carignan, SVP for security and AI strategy at Darktrace, a global cybersecurity AI company, predicts an explosion of tools that utilize AI and generative AI within enterprises and on devices used by employees. “In addition to managing AI tools that are built in-house, security teams will see a surge in the volume of existing tools that have new AI features and capabilities embedded, as well as a rise in shadow AI,” she told TechNewsWorld. “If the surge remains unchecked, this raises serious questions and concerns about data loss prevention, as well as compliance concerns as new regulations start to take effect.” “That will drive an increasing need for AI asset discovery — the ability for companies to identify and track the use of AI systems throughout the enterprise,” she said. “It is imperative that CIOs and CISOs dig deep into new AI security solutions, asking comprehensive questions about data access and visibility.” Shadow AI has become so rampant because it is everywhere and easy to access through free tools, maintained Komprise’s Subramanian. “All you need is a web browser,” she said. “Enterprise users can inadvertently share company code snippets or corporate data when using these Gen AI tools, which could create data leakage.” “These tools are growing and changing exponentially,” she continued. “It’s really hard to keep up. As the IT leader, how do you track this and determine the risk? Managers might be looking the other way because their teams are getting more done. You may need fewer contractors and full-time employees. But I think the risk of the tools is not well understood.” “The low, or in some cases non-existent, learning curve associated with using Gen AI services has led to rapid adoption, regardless of prior experience with these services,” added Satyam Sinha, CEO and co-founder of Acuvity, a provider of runtime Gen AI security and governance solutions, in Sunnyvale, Calif. “Whereas shadow IT focused on addressing a specific challenge for particular employees or departments, shadow AI addresses multiple challenges for multiple employees and departments. Hence, the greater appeal,” he said. “The abundance and rapid development of Gen AI services also means employees can find the right solution [instantly]. Of course, all these traits have direct security implications.” Banning AI Tools Backfires To support innovation while minimizing the threat of shadow AI, enterprises must take a three-pronged approach, asserted Kris Bondi, CEO and co-founder of Mimoto, a threat detection and response company in San Francisco. They must educate employees on the dangers of unsupported, unmonitored AI tools, create company protocols for what is not acceptable use of unauthorized AI tools, and, most importantly, provide AI tools that are sanctioned. “Explaining why one tool is sanctioned and another isn’t greatly increases compliance,” she told TechNewsWorld. “It does not work for a company to have a zero-use mandate. In fact, this results in an increase in stealth use of shadow AI.” In the very near future, more and more applications will be leveraging AI in different forms, so the reality of shadow AI will be present more than ever, added AppOmni’s Ruzzi. “The best strategy here is employee training and AI usage monitoring,” she said. “It will become crucial to have in place a powerful SaaS security tool that can go beyond detecting direct AI usage of chatbots to detect AI usage connected to other applications,” she continued, “allowing for early discovery, proper risk assessment, and containment to minimize possible negative consequences.” “Shadow AI is just the beginning,” KnowBe4’s McQuiggan added. “As more teams use AI, the risks grow.” He recommended that companies start small, identify what’s being used, and build from there. They should also get legal, HR, and compliance involved. “Make AI governance part of your broader security program,” he said. “The sooner you start, the better you can manage what comes next.” John P. Mello Jr. has been an ECT News Network reporter since 2003. His areas of focus include cybersecurity, IT issues, privacy, e-commerce, social media, artificial intelligence, big data and consumer electronics. He has written and edited for numerous publications, including the Boston Business Journal, the Boston Phoenix, Megapixel.Net and Government Security News. Email John. Leave a Comment Click here to cancel reply. Please sign in to post or reply to a comment. New users create a free account. Related Stories More by John P. Mello Jr. view all More in IT Leadership

/May 30, 2025/4:28 p.m. ETTrump Attacks Harvard With Social Media Screening for All VisasThis pilot program will soon be expanded across the country.Spencer Platt/Getty ImagesThe Trump administration has begun carrying out its expanded vetting for student visa applicants, surveilling their social media accounts to make sure they aren’t posting anything in support of Palestine, which the administration considers antisemitic. This vetting will start with Harvard visa applicants but is expected to be adopted nationwide.Secretary of Stato Marco Rubio sent a cable to all U.S. embassies and consulates on Thursday ordering them to “conduct a complete screening of the online presence of any nonimmigrant visa applicant seeking to travel to Harvard University for any purpose.” That would apply not just to students but also to faculty, staff, and researchers visiting the university.The Trump administration is taking particular interest in people who have their social media accounts on “private,” an obvious, ominous crossing of boundaries.The State Department has ordered officers to examine “whether the lack of any online presence, or having social media accounts restricted to ‘private’ or with limited visibility, may be reflective of evasiveness and call into question the applicant’s credibility.”This is yet another instance of Harvard serving as a test subject for the administration’s larger crackdown on free speech and international students at American universities. Trump has already revoked billions of dollars in research funding from the Massachusetts school, and even banned it from admitting any international students at all, although the latter policy was temporarily revoked by a judge. Most Recent Post/May 30, 2025/3:53 p.m. ETStephen Miller Grilled on Musk’s Drug Use as Wife Lands New GigTrump’s chief adviser seems desperate to avoid questions on Elon Musk. Does that have anything to do with his wife’s new job? Francis Chung/Politico/Bloomberg/Getty ImagesStephen Miller had a dismissive response Friday to new reports of Elon Musk’s drug use during Trump’s campaign last year. CNN’s Pamela Brown asked the far-right Trump adviser if there was “any drug testing or requests for him to drug test when he was in the White House given the fact that he was also a contractor with the government.”  A chuckling Miller ignored the question and said, “Fortunately for you and all of the friends at CNN, you’ll have the opportunity to ask Elon all the questions you want today yourself,” before he then segued into the Trump administration’s anti-immigrant agenda. “The drugs I’m concerned about are the drugs that are coming across the border from the criminal cartels that are killing hundreds of thousands of Americans,” Miller said. Perhaps Miller laughed instead of answering because his wife, Katie Miller, has left her job as adviser and spokesperson for the Department of Government Efficiency to work full-time for Musk and his companies. Miller has probably had enough of Musk, as he has also been subtweeting the tech oligarch, trying to refute Musk’s criticisms that the Republican budget bill would raise the deficit. “The Big Beautiful Bill is NOT an annual budget bill and does not fund the departments of government. It does not finance our agencies or federal programs,” Miller said, in a long X post earlier this week. Is there bad blood between Miller and Musk that has now spiraled because Miller’s wife is working for the tech oligarch and fellow fascism enthusiast? Most Recent Post/May 30, 2025/3:19 p.m. ETOld Man Trump Repeatedly Fumbles in Weird Speech Praising Elon MuskDonald Trump couldn’t keep some of his words straight as he marked the supposed end of Elon Musk’s tenure at the White House.Kevin Dietsch/Getty ImagesHours after reports emerged Friday that Elon Musk had been under the influence of heavy drugs during his time advising the president, Musk and Donald Trump stumbled and fumbled their way through a White House press conference recognizing the end of the tech billionaire’s special government employee status.The wildly unusual joint conference featured Musk’s black eye, a giant gold key that Trump said he only gives to “very special people,” cringe-worthy regurgitations by Musk of Trump’s take on his Pulitzer Board defamation suit, and claims that Musk’s unpopular and controversial time in the White House was not quite over.But as Trump continued to praise Musk and his time atop the Department of Government Efficiency, the president’s verbal gaffes became more apparent. He claimed that DOGE had uncovered $42 million in wasteful spending, referring to expenditures related to Uganda, which Trump pronounced as “oo-ganda.” The 78-year-old also mentioned he would have Musk’s DOGE cuts “cauterized by Congress,” though he quickly corrected himself by saying they would be “affirmed by Congress,” instead. Trump’s on-camera slippage has gotten worse in recent weeks: Earlier this month, Trump dozed off while in a meeting with Crown Prince Mohammed bin Salman in Riyadh, Saudi Arabia. That is despite the fact that the president received a clean bill of health in a medical report released in April that described Trump as being in “excellent health,” including neurological functioning.Musk, meanwhile, refused to acknowledge emerging reports of his alleged drug use. But the news of White House drug use under Trump’s helm is nothing new: In fact, if the reports prove true, it would be little more than a return to form. Last year, a report by the Department of Defense inspector general indicated that the West Wing operated more like a pill mill than the nation’s highest office. Common pills included modafinil, Adderall, fentanyl, morphine, and ketamine, according to the Pentagon report. But other, unlisted drugs—like Xanax—were equally easy to come by from the White House Medical Unit, according to anonymous sources that spoke to Rolling Stone.While other presidents were known to take a mix of drug cocktails to fight off back pain (like JFK) or bad moods (like Nixon), no previous administrations matched the level of debauchery of Trump’s, whose in-office pharmacists unquestioningly handed out highly addictive substances to staffers who needed pick-me-ups or energy boosts—no doctor’s exam, referral, or prescription required.“It was kind of like the Wild West. Things were pretty loose. Whatever someone needs, we were going to fill this,” another source told Rolling Stone in March 2024.Meanwhile, pharmacists described an atmosphere of fear within the West Wing, claiming they would be “fired” if they spoke out or would receive negative work assignments if they didn’t hand pills over to staffers.Read more about the press conference:Trump and Elon Musk Have Ominous Warning About Future of DOGEMost Recent Post/May 30, 2025/3:00 p.m. ETElon Musk Gives Strange Excuse for Massive Black EyeMusk showed up a press conference with Donald Trump sporting a noticeable shiner.Kevin Dietsch/Getty ImagesElon Musk sported what looked like a black eye during his DOGE goodbye press conference with President Trump on Friday. When asked about it, he blamed the bruise on his 5-year-old son punching him in the face. “Mr. Musk … is your eye OK? What happened to your eye; I noticed there’s a bruise there?” one reporter finally asked near the end of the press conference.“Well, I wasn’t anywhere near France,” Musk said, in a weak attempt at a joke regarding footage of French President Emmanuel Macron’s wife slapping him in the face.“I was just horsing around with [my son] little X and said, ‘Go ’head and punch me in the face,’ and he did. Turns out even a 5-year-old punching you in the face actually does—”“That was X that did it? X could do it!” Trump chimed in. “If you knew X …”“I didn’t really feel much at the time; I guess it bruises up. But I was just messing around with the kids.”Musk chose an impeccable time to show up to a press conference with a black eye. Earlier in the day, The New York Times reported on Musk’s rampant drug use on and off the campaign trail, as the world’s richest man frequently mixed ketamine and psychedelics and kept a small box of pills, mostly containing Adderall. The shiner only adds to speculation around his personal habits.More on that Times report:Elon Musk Was on Crazy Combo of Drugs During Trump CampaignMost Recent Post/May 30, 2025/2:51 p.m. ETTrump and Elon Musk Have Ominous Warning About Future of DOGEElon Musk’s time as a government employee has come to an end, but his time with Donald Trump has not.Kevin Dietsch/Getty ImagesDespite the fanfare over Elon Musk’s supposed departure from the Department of Government Efficiency, Donald Trump says that the billionaire bureaucrat isn’t really going anywhere.“Many of the DOGE people are staying behind, so they’re not leaving. And Elon’s not really leaving. He’s gonna be back and forth, I think. I have a feeling. It’s his baby, and he’s gonna be doing a lot of things,” Trump said during a press conference in the Oval Office Friday.The press conference was held to mark the end of Musk’s time as a so-called “special government employee,” a title that allowed him to bypass certain ethics requirements during his 134-day stint in Trump’s administration. The president made sure to give Musk a gaudy golden key—what it actually unlocks went totally unaddressed—to make sure he could get back into the White House. “This is not the end of DOGE, but really the beginning,” Musk said, promising that DOGE’s “influence” would “only grow stronger” over time.Earlier Friday, the billionaire bureaucrat shared a post on X asserting that the legacy of DOGE was more psychological than anything else. Surely, it will take longer than four months to forget the image of Musk running around with a chainsaw. Read more about Musk:Elon Musk Was on Crazy Combo of Drugs During Trump CampaignMost Recent Post/May 30, 2025/1:21 p.m. ETDem Governor Vetoes Ban on Surprise Ambulance Bills in Shocking MoveThe bill had unanimous support in both chambers of the state legislature.Michael Ciaglo/Getty ImagesColorado’s Democratic Governor Jared Polis has vetoed a bill that would ban surprise billing by ambulance companies, over the unanimous objections of both chambers of the state legislature. Why would Polis veto a bill that’s popular with everyone, even Colorado Republicans? The governor wrote in his veto statement that drafting errors in the bill made it “unimplementable” and estimated that it would make insurance premiums go up by as much as $0.73 to $2.15 per person. “I am committed to working with proponents and sponsors to protect Coloradans from surprise bills, but I encourage all parties to work towards a more reasonable reimbursement rate that mitigates premium impacts and nets a better deal for Colorado families,” Polis wrote. In Colorado, if legislators in both chambers repass the bill with a two-thirds majority, they can override the governor’s veto, especially considering that the bill passed with the support of every single legislator. But the legislature adjourned on May 7, meaning that the bill has to be passed again when the legislature reconvenes in January.  For some reason, ending surprise ambulance billing nationally is not the slam-dunk issue it should be. Congress ended most surprise medical bills in 2020 but exempted ground ambulances from the bill. Was Polis’s veto due to badly drafted language and a (seemingly modest) price hike in insurance premiums, as he said, or was it for a different, more nefarious reason? We might not know unless and until the bill is reintroduced next year. More on surprise ambulance bills:Congress Doesn’t Care About Your Surprise Ambulance Bill Most Recent Post/May 30, 2025/12:21 p.m. ETTrump’s Pardons Since Jan 6 Spree Show an Infuriatingly Corrupt TrendSince his January 6 pardon spree, Donald Trump has tended to grant clemency a little closer to home.Saul Loeb/AFP/Getty ImagesA good chunk of the white-collar criminals pardoned by Donald Trump after his massive “Day One” pardoning spree either have a political or financial tie to him.The president has issued 60 pardons since he offered political forgiveness to some 1,600 individuals charged in the January 6, 2021, attack on the U.S. Capitol. But out of those subsequent 60 unrelated to the attack, 12 people—or roughly one in five—were already in Trump’s orbit, according to ABC News.They included several politicos, including former Illinois Governor Rod Blagojevich, who was convicted on several counts of corruption, including for an attempt to sell Barack Obama’s Senate seat after he left the position for the White House; former Republican Representative Michael Grimm, who pleaded guilty to tax fraud; former Nevada gubernatorial candidate Michele Fiore, who allegedly stole public funds intended to commemorate a slain police officer; and former Tennessee state Senator Brian Kelsey, who pleaded guilty to campaign finance fraud in 2022.Trump also pardoned major financiers of his presidential campaigns. Trevor Milton, the founder of the Nikola electric vehicle company, donated nearly $2 million toward Trump’s 2024 campaign. Imaad Zuberi, who has donated to both parties, issued “at least $800,000 to committees associated with Trump and the Republican Party,” ABC reported.Others helped Trump advance his retribution campaign against his political enemies, or helped advance his own image in the broader Republican Party. Devon Archer and Jason Galanis, both former business partners of Hunter Biden, accused the younger Biden of leveraging his father’s name and influence in order to conduct business overseas. Archer had defrauded a Native American tribal entity, while Galanis was serving time for multiple offenses. Trump also forgave Todd and Julie Chrisley—reality TV stars known for their show Chrisley Knows Best who were sentenced to a combined 19 years on fraud and tax evasion charges—after their daughter Savannah Chrisley spoke at the 2024 Republican National Convention.Speaking to press Friday after her parents’ release, Savannah Chrisley said that the “biggest misconception right now is I either paid for a pardon or slept for a pardon—,” but she couldn’t finish her sentence before Todd interjected: “That’s something I would have done,” he said.Read who else Trump is thinking of pardoning:Trump Considering Pardons for Men Who Tried to Kill Gretchen WhitmerMost Recent Post/May 30, 2025/12:04 p.m. ETTrump Knew He Was Deporting Innocent People to El Salvador All AlongMany of the people deported to El Salvador have no criminal record, and Donald Trump knew it.Michael M. Santiago/Getty ImagesDonald Trump’s administration was well aware that many of the 238 Venezuelan immigrants it shipped off to a notorious megaprison in El Salvador had no criminal records at all, according to a Friday report from ProPublica.  While Trump officials claimed that the deportees were brutal gang members and “the worst of the worst,” only 32 of the deportees had actually been convicted of crimes, and most of them were minor offenses such as traffic violations, according to data from the Department of Homeland Security reviewed by ProPublica, The Texas Tribune, and a team of journalists from Venezuelan media outlets. One of the men, 23-year-old Maikol Gabriel López Lizano, faced a misdemeanor charge after he was arrested in 2023 for riding his bike and drinking a can of beer.Little more than half of the deportees, 130 of the 238, were charged only with violating U.S. immigration laws. Twenty of them had criminal records from other countries. The U.S. government data showed that 67 individuals had pending charges, with only six being for violent crimes. In several cases, the government data about the pending charges differed from what ProPublica was able to find. In some cases, the men had actually been convicted, and in one, the charges had been dropped. But in many cases, these individuals were remanded to a foreign prison before their criminal cases were ever resolved. The Trump administration has touted allegations of gang affiliation as a justification for denying the deportees their due process rights. But none of the men’s names appeared on a list of roughly 1,400 alleged Tren de Aragua members kept by the Venezuelan government, ProPublica reported. Trump’s border czar Tom Homan tried desperately in March to downplay reporting that many of these individuals did not have criminal records. “A lot of gang members don’t have criminal histories, just like a lot of terrorists in this world, they’re not in any terrorist databases, right?” Homan said on ABC News. But the methods the government relies on to classify individuals as gang members—such as identification of gang-affiliated tattoos—have been disproven by experts. Not only were many of the men who were deported not proven gang members, they weren’t even criminals, and by denying them the right to due process, they were remanded to a foreign prison notorious for human rights abuses without ever getting to prove it. Trump has continued to pressure the Supreme Court to allow him to sidestep due process as part of his massive deportation campaign, claiming that the judiciary has no right to intrude on matters of “foreign policy.” But immigrants residing on U.S. soil—who are clearly not the bloodthirsty criminals the administration insists they are—are still subject to protections under U.S. law. Read more about the deportations:Trump Asks Supreme Court to Help Him Deport People Wherever He WantsMost Recent Post/May 30, 2025/11:41 a.m. ETJoni Ernst Stoops to Shocking Low When Told Medicaid Cuts Will KillSenator Joni Ernst had a disgusting answer when confronted by a constituent at her town hall about Trump’s budget bill.Drew Angerer/Getty ImagesRepublican Senator Joni Ernst had a particularly unhinged response to questions from her constituents at a town hall in Parkersburg, Iowa, on Friday.Ernst was asked about the GOP’s budget bill kicking people off of Medicaid, and her condescending answer quickly became callous and flippant as the Iowa politician smirked at the audience.“When you are arguing about illegals that are receiving Medicaid, 1.4 million, they’re not eligible, so they will be coming off, so—” Ernst began, before an audience member shouted, “People are going to die!”“People are not—well, we all are going to die,” Ernst responded, as the audience drowned her in loud protests.What was Ernst thinking with that answer? Almost every Republican town hall this year has gone badly for the politician holding it, thanks to President Trump upending the federal government, and Ernst surely knew that choosing death over Medicaid wouldn’t go over well with the crowd. Earlier this week in Nebraska, Representative Mike Flood was heckled after he admitted that he didn’t read the budget bill.Ersnt’s town hall wasn’t even the first one in Iowa to go badly for a Republican. On Wednesday, Representative Ashley Hinson was met with jeers and boos, with audience members in Decorah, Iowa calling her a fraud and a liar. But at least Hinson had the good sense not to seemingly embrace death over a vital, lifesaving government program. More on Trump’s bill:Here Are the Worst Things in Trump’s Big, Beautiful Bill Most Recent Post/May 30, 2025/11:35 a.m. ETKetanji Brown Jackson Blasts “Botched” Supreme Court Ruling on TPSSupreme Court Justice Ketanji Brown Jackson, in a scathing disssent, called out the rest of the court for allowing Trump’s harmful executive order to stand.Anna Moneymaker/Getty ImagesSupreme Court Justice Ketanji Brown Jackson thinks the Supreme Court “botched” a decision to allow the Trump administration to revoke the Temporary Protected Status protections of about 500,000 Haitian, Cuban, Nicaraguan, and Venezuelan immigrants.Jackson and fellow liberal Justice Sonia Sotomayor were the only two dissenters.“The Court has plainly botched this assessment today. It requires next to nothing from the Government with respect to irreparable harm,” Jackson wrote in the dissent. “And it undervalues the devastating consequences of allowing the Government to precipitously upend the lives of and livelihoods of nearly half a million noncitizens while their legal claims are pending.”TPS is a long-standing program that allowed those 500,000 immigrants to stay in the U.S. after they fled violence and risk in their home countries. After the Supreme Court’s ruling, all of them are at high risk of sudden deportation. “It is apparent that the government seeks a stay to enable it to inflict maximum predecision damage,” Jackson wrote.Read the full dissent here.View More Posts

This is today’s edition of The Download, our weekday newsletter that provides a daily dose of what’s going on in the world of technology. OpenAI: The power and the pride OpenAI’s release of ChatGPT 3.5 set in motion an AI arms race that has changed the world. How that turns out for humanity is something we are still reckoning with and may be for quite some time. But a pair of recent books both attempt to get their arms around it.In Empire of AI: Dreams and Nightmares in Sam Altman’s OpenAI, Karen Hao tells the story of the company’s rise to power and its far-reaching impact all over the world. Meanwhile, The Optimist: Sam Altman, OpenAI, and the Race to Invent the Future, by the Wall Street Journal’s Keach Hagey, homes in more on Altman’s personal life, from his childhood through the present day, in order to tell the story of OpenAI.  Both paint complex pictures and show Altman in particular as a brilliantly effective yet deeply flawed creature of Silicon Valley—someone capable of always getting what he wants, but often by manipulating others. Read the full review.—Mat Honan This startup wants to make more climate-friendly metal in the US The news: A California-based company called Magrathea just turned on a new electrolyzer that can make magnesium metal from seawater. The technology has the potential to produce the material, which is used in vehicles and defense applications, with net-zero greenhouse-gas emissions. Why it matters: Today, China dominates production of magnesium, and the most common method generates a lot of the emissions that cause climate change. If Magrathea can scale up its process, it could help provide an alternative source of the metal and clean up industries that rely on it, including automotive manufacturing. Read the full story. —Casey Crownhart A new sodium metal fuel cell could help clean up transportation A new type of fuel cell that runs on sodium metal could one day help clean up sectors where it’s difficult to replace fossil fuels, like rail, regional aviation, and short-distance shipping. The device represents a departure from technologies like lithium-based batteries and is more similar conceptually to hydrogen fuel cell systems. The sodium-air fuel cell has a higher energy density than lithium-ion batteries and doesn’t require the super-cold temperatures or high pressures that hydrogen does, making it potentially more practical for transport. Read the full story. —Casey Crownhart The must-reads I’ve combed the internet to find you today’s most fun/important/scary/fascinating stories about technology. 1 The US state department is considering vetting foreign students’ social mediaAfter ordering US embassies to suspend international students’ visa appointments. (Politico)+ Applicants’ posts, shares and comments could be assessed. (The Guardian)+ The Trump administration also wants to cut off Harvard’s funding. (NYT $) 2 SpaceX’s rocket exploded during its test flight It’s the third consecutive explosion the company has suffered this year. (CNBC)+ It was the first significant attempt to reuse Starship hardware. (Space)+ Elon Musk is fairly confident the problem with the engine bay has been resolved. (Ars Technica)3 The age of AI layoffs is hereAnd it’s taking place in conference rooms, not on factory floors. (Quartz)+ People are worried that AI will take everyone’s jobs. We’ve been here before. (MIT Technology Review)4 Thousands of IVF embryos in Gaza were destroyed by Israeli strikesAn attack destroyed the fertility clinic where they were housed. (BBC)+ Inside the strange limbo facing millions of IVF embryos. (MIT Technology Review) 5 China’s overall greenhouse gas emissions have fallen for the first timeEven as energy demand has risen. (Vox)+ China’s complicated role in climate change. (MIT Technology Review) 6 The sun is damaging Starlink’s satellitesIts eruptions are reducing the satellite’s lifespans. (New Scientist $)+ Apple’s satellite connectivity dreams are being thwarted by Musk. (The Information $) 7 European companies are struggling to do business in ChinaEven the ones that have operated there for decades. (NYT $)+ The country’s economic slowdown is making things tough. (Bloomberg $) 8 US hospitals are embracing helpful robotsThey’re delivering medications and supplies so nurses don’t have to. (FT $)+ Will we ever trust robots? (MIT Technology Review) 9 Meet the people who write the text messages on your favorite show They try to make messages as realistic, and intriguing, as possible. (The Guardian) 10 Robot dogs are delivering parcels in AustinWell, over 100 yard distances at least. (TechCrunch) Quote of the day “I wouldn’t say there’s hope. I wouldn’t bet on that.” —Michael Roll, a partner at law firm Roll & Harris, explains to Wired why businesses shouldn’t get their hopes up over obtaining refunds for Donald Trump’s tariff price hikes. One more thing Is the digital dollar dead?In 2020, digital currencies were one of the hottest topics in town. China was well on its way to launching its own central bank digital currency, or CBDC, and many other countries launched CBDC research projects, including the US.How things change. The digital dollar—even though it doesn’t exist—has now become political red meat, as some politicians label it a dystopian tool for surveillance. So is the dream of the digital dollar dead? Read the full story. —Mike Orcutt We can still have nice things A place for comfort, fun and distraction to brighten up your day. (Got any ideas? Drop me a line or skeet ’em at me.) + Recently returned from vacation? Here’s how to cope with coming back to reality.+ Reconnecting with friends is one of life’s great joys.+ A new Parisian cocktail bar has done away with ice entirely in a bid to be more sustainable.+ Why being bored is good for you—no, really.

In 1965, then-French finance minister Valéry Giscard d’Estaing came up with the “mot juste” for describing the way that the supremacy of the dollar provided the foundation for the financial supremacy of the US. The fact the dollar was so dominant in international transactions gave the US, d’Estaing said, an “exorbitant privilege.” Because every country needed dollars to settle trade and backstop their own currencies, foreign countries had to buy up US debt, which in turn meant that the US paid less to borrow money and was able to run up trade and budget deficits without suffering the usual pain. The exorbitant privilege of the dollar was that the US would be able to live beyond its means. It’s always been an open question as to how long that privilege would last, but President Donald Trump’s harsh tariff policies, paired with a budget bill that right now would add trillions to the budget deficit, might just be enough to finally dislodge the dollar. Annual federal deficits are already running at 6 percent of GDP, while interest rates on 10-year US Treasuries have more than doubled to around 4.5 percent over the past few years, increasing the cost of interest payments on the debt. As of the last quarter of 2024, 58 percent of global reserves were in dollars, down from 71 percent in the first quarter of 1999. The dollar may remain king, if only because there seems to be no real alternative, but thanks to the US’ own actions, the exorbitance of its privilege is already eroding — and with it, America’s ability to compensate for its fiscal fecklessness.But the dollar isn’t the only privilege the US enjoys. Since the postwar era, America’s best universities have led the world. Harvard, Princeton, MIT, CalTech — these elite universities are the foundation of the American scientific supremacy that has in turn fueled decades of economic growth. But also, by virtue of their unparalleled ability to attract the best minds from around the world, these schools have given the US the educational privilege of being the magnet of global academic excellence. In the same way that the dollar’s dominance has allowed the US to live beyond its means, the dominance of elite universities has compensated for the fact that the US has, at best, a mediocre K-12 educational system. And now that privilege is under attack by the Trump administration. Cutting off federal funding for universities like Columbia and Princeton and eviscerating agencies like the National Institutes of Health and the National Science Foundation were bad enough, but the administration’s recent move to bar international students from Harvard would be a death blow, especially if it spread to other top schools. And it seems entirely possible that it might. On Wednesday, Secretary of State Marco Rubio said that the US would “aggressively revoke” visas for Chinese students and enhance future scrutiny on all applicants from China. (That includes applicants from Hong Kong — a once-free city that has come firmly under the boot of the Chinese government — who are precisely the kind of students a past America would have sought to defend.)The ability to attract the best of the best, especially in the sciences, is what makes Harvard Harvard, which in turn has helped make the United States the United States. Just as losing the privilege of the dollar would force the US to finally pay for years of fiscal mismanagement, losing the privilege of these top universities would force the country to pay for decades of educational failure. American science runs on foreign talentAs Vox contributor Kevin Carey wrote this week, foreign students are a major source of financial support for US colleges and universities, many of which would struggle to survive should those students disappear. But the financial picture actually understates just how much US science depends on foreign talent and, in turn, depends on top universities like Harvard to bring in top students and professors.An astounding 70 percent of grad students in the US in electrical engineering and 63 percent in computer science — probably the two disciplines most important to winning the future — are foreign-born. Nineteen percent of the overall STEM workforce in the US is foreign-born; focus just on the PhD-level workforce, and that number rises to 43 percent. Since 1901, just about half of all physics, chemistry, and medicine Nobel Prizes have gone to Americans, and about a third of those winners were foreign-born, a figure that has risen in recent decades. It’s really not too much to suggest that if all foreign scientists and science students were deported tomorrow, US science would grind to a halt.Could American-born students step into that gap? Absolutely not. That’s because as elite as America’s top universities are, the country’s K-12 education system has been anything but. Every three years, the Program for International Student Assessment (PISA) is given to a representative sample of 15-year-old students in over 80 countries. It’s the best existing test for determining how a country’s students compare in mathematics, reading, and science to their international peers. In the most recent PISA tests, taken in 2022, US students scored below the average for OECD or developed countries in math; on reading and science, they were just slightly above average. And while a lot of attention has been rightly paid to learning loss since the pandemic — one report from fall 2024 estimated that the average US student is less than halfway to a full academic recovery — American students have lagged behind their international peers since long before then. Other wealthy nations, from East Asian countries to some small European ones, regularly outpace American peers in math by the equivalent of one full academic year.To be clear, this picture isn’t totally catastrophic. It’s fine — American students perform around the middle compared to their international peers. But just fine won’t make you the world’s undisputed scientific leader. And fine is a long way from what the US once was. America was a pioneer in universal education, and it did the same in college education through the postwar GI Bill, which opened up college education to the masses. By 1950, 34 percent of US adults aged 25 or older had completed high school or more, compared to 14 percent in the UK and 11 percent in France. When NASA engineers were putting people on the moon in the 1960s, the US had perhaps the world’s most educated workforce to draw from.Since then, much of the rest of the world has long since caught up with the US on educational attainment, and a number of countries have surpassed it. But thanks in large part to the privilege that is elite universities like Harvard or the University of California, and their ability to recruit the best, no country has caught up to the US in sheer scientific brainpower. Take away our foreign talent, however, and US science would look more like its K-12 performance — merely fine.Life after HarvardIt seems increasingly apparent that the Trump administration wants to make an example of Harvard, proving its own dominance by breaking a 388-year-old institution with strong ties to American power and influence. On Tuesday, the New York Times reported that the administration planned to cancel all remaining federal contracts with Harvard, while Trump himself mused on redirecting Harvard’s $3 billion in grants to trade schools. Grants and contracts are vital, but they can be restored, just as faith in the US dollar might be restored by a saner trade policy and a tighter budget. But if the Trump administration chooses to make the US fundamentally hostile to foreign students and scientific talent, there may be no coming back. Politico reported this week that the administration is weighing requiring all foreign students applying to study in the US to undergo social media vetting. With universities around the world now competing to make themselves alternatives to the US, what star student from Japan or South Korea or Finland would choose to put their future in the hands of the Trump administration, when they could go anywhere else they wanted?The US once achieved scientific leadership because it educated its own citizens better and longer than any other country. Those days are long past, but the US managed to keep its pole position, and all that came with it, because it supported and funded what were far and away the best universities in the world. That was our privilege, as much as the dollar was. And now we seem prepared to destroy both.Should that come to pass, we’ll see just how little is left.A version of this story originally appeared in the Future Perfect newsletter. Sign up here!Update, May 29, 9:50 AM ET: This story was originally published on May 28 and has been updated to include news of the Trump administration’s move to look to revoke visas of many students from China.You’ve read 1 article in the last monthHere at Vox, we're unwavering in our commitment to covering the issues that matter most to you — threats to democracy, immigration, reproductive rights, the environment, and the rising polarization across this country.Our mission is to provide clear, accessible journalism that empowers you to stay informed and engaged in shaping our world. By becoming a Vox Member, you directly strengthen our ability to deliver in-depth, independent reporting that drives meaningful change.We rely on readers like you — join us.Swati SharmaVox Editor-in-ChiefSee More:

Fifteen Iranian students and researchers sued the Trump administration for completely halting student visa interviews while it determines whether to vet all visa applicants’ social media accounts.The suit, filed against Secretary of State Marco Rubio in a Virginia federal court, claims that the pause on student visa interviews violates the Administrative Procedures Act, a law prohibiting capricious rule-making. The complaint is currently sealed. In an email, Curtis Morrison and Hamdi Masri, lawyers for the students, noted that the State Department has required visa applicants to disclose their social media handles since May 2019. Visa applicants from certain Muslim-majority countries, including Iran, are already subject to “extensive social media vetting,” Masri said, adding that Trump seemed to want to “ensure students entering align with his political values.”The students and researchers who brought the suit against Rubio were admitted to universities across the country — including Yale, Ohio State, and the University of South Florida — for graduate programs in computer science, engineering, finance, and other disciplines. Per their attorneys, each of the students had already attended visa interviews, but all of their applications are currently “awaiting national security vetting.” Some of the students were interviewed over a year ago.The pause on student visa interviews is part of the Trump administration’s multi-pronged attack on universities and international students. On Wednesday, Rubio said the State Department would start working with the Department of Homeland Security (DHS) to “aggressively revoke visas for Chinese Students, including those with connections to the Chinese Communist Party or studying in critical fields.” On May 22nd, DHS rescinded Harvard’s access to a federal database used to track foreign students’ enrollment, putting nearly 6,800 people enrolled at Harvard at risk of immediate deportation until a federal judge intervened.Rubio has also suspended the visas of international students involved in pro-Palestine protests on campus. More recently, the State Department restricted visas of “foreign nationals who are responsible for censorship of protected speech in the United States,” i.e., regulators who enforce the European Union’s Digital Services Act.See More:

Last month, Donald Trump pushed the boundaries of government and financial ethics by announcing a contest: whoever bought and held the highest amount of the $TRUMP meme coin for an entire month would win an invite to a private dinner with the President. That dinner took place on Thursday at the Trump National Golf Course in Virginia, with attendees reportedly dropping nearly $394 million on $TRUMP in order to win the privilege. According to an analysis by The Guardian of the winners’ wallets, over half of them lost money participating in this contest. But that’s only if you’re analyzing the wallets visible on the contest site’s leaderboard. The real money was being made elsewhere.“Bet you 10 percent of dinner participants are doing this”I interviewed an enthusiastic crypto trader who figured out how to win the contest without losing any money: buy enough $TRUMP to get onto the leaderboard — and then in a separate wallet on a separate exchange, buy $TRUMP perpetual futures that would be profitable if (or as he saw it, when) the value of $TRUMP dropped. Yes, he did The Big Short, except with Donald Trump’s meme coin. “Bet you 10 percent of dinner participants are doing this,” he told me before the contest ended. “Everyone knows $TRUMP price will fall inevitably as more supply comes online in the future and gets dumped on retail.” When I spoke to him again after the dinner, he told me that “the majority of people I spoke with, particularly the crypto traders and folks who are very close to the crypto ecosystem, are like, ‘Yeah, I dumped this. I already sold the coin.’” “A lot of people put on the same hedge trade as I did, because they didn’t wanna take risk on the coin,” he added.I can’t reveal his name, his position on the leaderboard, how much he spent, or the dates of specific trades he made. I can say that he did this for shits and giggles. But as he told me, when there’s such a clear and obvious set of financial incentives behind the $TRUMP dinner contest, it’s worth making the gamble.Did it pay off? “Um, I basically was flat,” he said. “I originally wanted to make some money, but I think the shorting I did — it was okay?” He did, however, get a free dinner out of it. The following interview has been edited for clarity.Let’s just start from the beginning. What made you want to enter this? I think meme coins have a lot of staying power because humans just want things to gamble on. What was fascinating when the Trump token launched in January right before the inauguration, was that it effectively was like a black hole that sucked money away from all these other tokens in the ecosystem. That’s why the Trump token ran up to some preposterous number immediately after it was dropped. When I saw this competition launch, it was clear that there was going to be a tremendous amount of grift in this space, and the presidential family was only interested in self-enrichment and all that. 
It was clear that there was going to be a tremendous amount of grift in this spaceBut putting that aside, I’ve just been interested in the Trump token and I think I’ve just been structurally bearish, because the Trump token has a bunch of supply that’s currently controlled by, effectively, the Trump family and the associates. It’s only a matter of time before the supply unlocks. When that supply unlocks, in the crypto community, people call this dumping: they’ll just dump it onto retail and that’s how they get their exit liquidity. So that’s one way the Trump family can make money. The other way is obviously whenever there’s trades that happen, the trading fees also accrue to the family. I know that the Trump token is going to go down. If you put a gun into my head and ask, what will the price be two years from now? It’s going to be much lower than where it is today. When this contest launched, I was like, okay, this is clearly a way for the affiliates and the Trump family to find a way to drive up the price temporarily. And having been in this space for a while, it’s clear that these events only drive the price up for a period of time and then people lose interest. Unless you feed them something else, it’s going to drop. Everyone expects the token to dumpThey launched the contest right around when the first tranche of Trump tokens were going to unlock, which was supposed to be 90 days after the launch of the token back in January. And so this whole contest was kind of timed at an apt moment where it’s like, okay, supply’s going to unlock. Everyone expects the token to dump. But then, on Twitter, they agreed to delay the unlock for another 90 days. But once the unlock happens and they start dumping, that’s when the price is going to drop a lot. 
So this contest was interesting. I was like, okay, well, I feel like I can put on a trade here where I’m not taking on any real risk and I think it’ll be cool to meet random people at this dinner and see who else is interested. It seems like there are a lot of folks from out of the country who are flying in to attend the dinner, and a lot of crypto whales. There’s one that I follow, he’s mentioned in his Telegram that he’s one of the big holders. He’s talked these last few days about how he’s preparing for this dinner. So talk me through how you generated the funds to buy the Trump coin. Did you use your own personal funds?I use my personal funds. All the crypto trading I do is with my personal funds. Some of the trading I do is on Coinbase through a centralized exchange. And the rest of the trading I do is on chain through self-custody wallets. When this opportunity came up, the only way you can actually be in a position to be in the top 220 is if you own $TRUMP tokens in a self-custody wallet. Some of the exchanges, including Coinbase, allow you to buy the $TRUMP token, but that would not count towards this contest. What I did was I moved stablecoins like USDC to my Solana wallet, and then I used a decentralized exchange to buy the $TRUMP token. The way the contest works is you have to register your wallet before you are counted towards the ranking system. And unfortunately, I did that like a couple days late, so I had to size up a little bit more to ensure that I could catch up to the people who had registered a couple days prior. But that’s a nuance. So explain the process of shorting $TRUMP coin on a secondary market. Like how does one do that? I am a dumb person who only understands shorting markets through watching The Big Short. Basically when you short, you’re hoping that the price goes down, right? And the mechanism of shorting here is slightly different than shorting stocks, but we don’t need to go into the specifics here. The way to short [crypto] is, you can do it in two ways. One is through a centralized exchange that offers, effectively, shorting services. And what I mean here by shorting services is, there is a “perpetual future” that is offered at these exchanges. When I talk about exchanges that offer this, it’s mostly going to be like Binance or Bybits and some of the bigger exchanges outside of the US. Coinbase is very far behind when it comes to offering derivative products that goes above and beyond just buying the token. I couldn’t do it through Coinbase, and I can’t short through an exchange like Binance, because there’s a lot of restrictions around who can actually use Binance. I’m in the US and Binance has very strict VPN rules. I can’t just open a Binance account and short. The only real way for me was to short on a decentralized exchangeSo the only real way for me was to short on a decentralized exchange, which has actually become really popular in the last year or so. It’s like the same concept as shorting on Binance, but you can do it on chain. I use a service called Hyper Liquid, which is a very popular decentralized exchange. And on this exchange, they offer derivative products that basically track the movement of different tokens. And so they offer, effectively, $TRUMP perpetual futures, and you can effectively initiate a short position through that. I’m happy to go into the details if you want, but that’s like the high level. Yeah, yes, please please tell me these details. So that is basically how to set up the short position. Conceptually, there’s a few things to keep in mind. First thing is: because I’m shorting in a separate wallet that’s completely detached from $TRUMP, 
I have to put up additional capital in another wallet to do this. It’s not like I can just use my $TRUMP tokens as collateral and use the same pool of money to short. And the way shorting works and the way perpetual futures work in general is you put up a certain margin. So let’s keep it simple: say I put up $100k in margin and I choose to short the $TRUMP token. Now, if $TRUMP goes up in price, then I’m hurting, because I’m betting on the token falling. If the $TRUMP token doubles in price, well, then I will have lost a hundred thousand dollars in which case, my margin gets wiped out and this [futures] contract will have to be closed because I’ve lost all my money. If the token goes down in price, that’s when I profit — as long as I close out the position in the green. So you basically are juggling two wallets. One is the wallet in which you’re holding all this $TRUMP coin. 
The other one is like, how would you describe it? Is that the money that you’re generating in order to pay for participating in the contest? The most important wallet here is the Solana wallet with the $TRUMP tokens, because that’s what’s being used by the contest organizers to determine who makes the top 220. But as I mentioned earlier, I am structurally bearish on the $TRUMP token and I wouldn’t want to go for dinner and like, see my money go down when the $TRUMP token goes down in price. I decided I wanted to basically put on a hedge, where, using the other wallet and the short position, I’m basically agnostic to any sort of price movement. That’s the reason why I set up the other wallet. I could have taken on the price risk, but that’s pretty risky, because typically what happens with these events is that as we get close to the end of the contest date, people start dumping the $TRUMP tokens. The value of the $TRUMP token will have gone down — let’s say it went down to 90,000 — it would be offset by the short wallet, which would be like 110,000. And then they add up to 200,000, which is how much I hypothetically put in from the start. 
Did you make money off of this?Um, I basically was flat. I originally wanted to make some money, but I think the shorting I did — it was okay? I basically just broke even on this entire tradeLet me take a step back.
So initially I shorted the same amount as the token. But then as the time went on, as we got close to the contest end date, I decided to increase the size of the short position, because I thought that based on the thesis I had, people are going to start selling because there’s nothing to look forward to. And so I increased that size. But it just so happened that towards the end of the contest was also when the crypto markets started ripping after May 8th. So net-net, I think I basically just broke even on this entire trade.Define the crypto markets “ripping.”May 8th was basically the Thursday right before that weekend when the US representatives were going to meet the Chinese representatives in Switzerland [for tariff negotiations]. That day was also when the UK deal announcement was made. And so the market basically took that as a bullish sign, and then that got parlayed into the positive euphoria of the US-China negotiations. Everything started going up. Okay. So every market just started getting bullish. 
Yeah, all the tokens ran up a lot. If you look at the token price, $TRUMP coin on May 7th was roughly 11 bucks, and then on May 9th it was like 14 bucks. Over time that token has come down in price. But yeah, it ran up 40 percent in the span of like two days.What was the strategy going into the end game? 
Because it sounds like it was super volatile around the end and that’s why you needed to increase your short position. I thought that towards the end, I could opportunistically make some profits by shorting more than I owned, if that makes sense.[The previous week, the contest organizers announced a new incentive for winners to not sell the coin before the dinner: a rare “TRUMP DIAMOND HANDS” NFT.]What is the point of encouraging people to go diamond hands by offering this NFT? So I think this goes back to the incentives of Trump’s affiliates, right? They have a lot of supply that they own. Last I looked, they own eighty percent of the supply. But all of that, as with many other [crypto] projects, gets locked up and only gets released over time, so that you don’t have all this supply pressure on day one. Because then no one wants to buy the token. The whole point of the NFT and this subsequent rewards program that they’ve talked about, but haven’t given the details for, is to incentivize people to hold the token longer. The longer people hold the token, then the price arguably would not fall as much. 
The only way to keep the price high is if you introduce all these little games to keep retail engagedThe eventual setup, I’m sure, whether that’s in three months or in a year or two, is that the affiliates will then have their supply unlock, and they will want to sell. They obviously want to sell at a higher price. And the only way to keep the price high is if you introduce all these little games to keep retail engaged and interested in holding tokens. How do you get the NFT now? Do you have to rebuy all the coin?Yeah, my understanding based on that tweet they sent is, they basically look at your wallet holdings on the day of the dinner and compare that to your wallet holdings on the last day of the contest. And so if those match or if you own more, then they’ll give you an NFT. I was kind of dumb. What I should have done was, right before the 1:30PM cut off, I should have sold like, 90 percent of my tokens. In this way, on the dinner day, I would only have to buy 10 percent of what I bought previously, and I think I would qualify for this NFT. 
Wow. Have people done that? Well, the NFT hasn’t been dropped yet.
I don’t know the specifics. There are definitely people who sold before the end of the deadline, and that’s clear from even looking at that leaderboard page, right? There’s one column with current holdings and a bunch were zeroed out, but they are still in the top 220 because it’s a time-weighted calculation.Why did they do time-weighted calculations rather than like, just a cumulative amount of money you held at the end? I think this goes back to solving not only how much do you hold, but how long do you hold it for, and rewarding people differently. So if you held $60 over the entire stretch of the contest, you should be rewarded more than someone who held like $200 for one day on the last day. I think the time-weighted calculation effectively is trying to normalize for that. They also gave me a call the same day, which I thought was spam for a secondHow have the organizers been in their interactions with you for the contest and for the dinner and everything?They emailed me the day of, as soon as the
contest ended, saying that I had made it into the top 220. And they also gave me a call the same day, which I thought was spam for a second. But when the voicemail thing came up, I’m like, oh, this is actually a real thing. So I picked up the phone and then they just confirmed that I got the email and that I would have to do a KYC [Know Your Customer check, part of anti-money laundering regulatory compliance for banks, crypto exchanges, and other entities] in order to qualify for the dinner. Please give us your data, references, whatever. 
Yeah, nothing that sophisticated. They outsourced it to another party and I just provided my name, my nationality, where I live. No social security number or anything like that. Plus my birthday. and I think they just ran like an external check to make sure that I wasn’t a criminal or anything like that. I feel like it was pretty light vettingHow thoroughly do you think they’re been vetting you, how professional has the process been? I feel like it was pretty light vetting. I talked to someone about, let’s say, getting into the White House and it’s a lot more strict in terms of, you have to show your passport and all that. And here, you don’t really have to do that. You just have to show your ID at the door. At least that’s what they said. And as long as your ID matches the information you gave, you’re fine. So I don’t think the security is that strict, per se, but it’s good enough, I guess. Have you participated in any contests like this or heard of anything similar? No, I have not.That’s wild. This is rather innovative if one thinks about it in a “divorced from most governmental ethics” manner. Did you read about how it’s possible that Trump just doesn’t show up to this?I did see something that basically said, yeah, based on the terms and conditions, the president does not have to be there, I think. Honestly, I think a lot of people aren’t really there to see Trump. I could be totally wrong, but I get the sense from, let’s say, like looking at the crypto whales’ Telegram, that [they’re] more interested in just meeting other crypto folks so that [they] can network. If Justin Sun is there, that’s pretty good, right? Like being able to talk to him and maybe, you know, get his contact information and all that. RelatedThe many escapes of Justin SunI think for me and probably other people, we’re more interested in seeing if there’s any other interesting news that comes out of this dinner. I will have my wallet ready, and if some great news gets dropped at the dinner, that could potentially positively influence the $TRUMP token price or any other token price, I will buy it on the spot and try to profit. This is something that other attendees are thinking about doing too?I can’t say with certainty, but based on that one Telegram guy, it seemed like it was implied. Like, if they announced a rewards program for a Trump thing – say, the NFT will be used for this, and then the rewards will give you some really impressive thing in three months, that could probably move the price. Then I would take on a short-term trade literally at the dinner table. That’s why after the $TRUMP token dropped right before inauguration, I finally decided to download Truth SocialThat’s a first mover advantage right there.In crypto, half of it is just being a first mover advantage. That’s why after the $TRUMP token dropped right before inauguration, I finally decided to download Truth Social. I only follow Trump. He’s the only guy I follow and I have notifications on, which actually served me well. Was it April 9th when he sent out that tweet saying that tariffs are now delayed for 90 days? That was first out on Truth Social and I saw that immediately, and I’m like, oh, time to trade my equities, because I will be first to the news. So he’s dropped some nuggets for sure on his account. So the dinner itself is a good money making opportunity?Possibly. It’s hard to say, but in the event that it does, there is some information that gets dropped, that could be actionable.Is there anything you’re particularly proud of about the process of executing this short?I don’t know if there’s anything I’d really brag about or be like, super proud of.
I think this hedge trade, for someone who’s pretty involved in crypto, would be fairly obvious. Net-net, I think I broke even because I did basically go a bit big around my short towards the end of the contest. So that made up for some of the fees I had to pay and whatnot. I’m pretty happy.
I feel like I didn’t take on any risk and I’m able to go to this dinner. That’s probably a win in my books. One thing is, if I had real capital, I would have tried to make the top 25. That requires a lot of money, which I don’t have. I don’t really care about seeing Trump at all. I care more about seeing who else is there, of the top 25I think it’s like a couple million.I think you’d have to have 200,000 tokens, so yeah, roughly like two, three million USD. 
And if you want to not take on the risk of the token price moving, you’d want to take a short position of roughly the same size. It would be like a four or five million dollar capital outlay to make it happen. But the benefit of being in the top 25 is you get to meet Trump, and also get to be in a more intimate networking session, which I would actually enjoy being at. I don’t really care about seeing Trump at all. I care more about seeing who else is there, of the top 25. What was the minimum size of the wallet that made 220, do you know? It’s hard to say because what someone could have done is they could have bought a lot initially, and then halfway through they sold most of them, because they were pretty confident that they would make the top 220, because it’s time weighted. [Calculating out loud omitted.] I guess only fifty thousand [if you held the total amount from day one through the end].Honestly, that’s not a lot. It’s not. 
Realistically that number is probably higher. The thing is, this is not like a $50,000 disbursement where you’re never seeing that money again. After the dinner, you could choose to sell your token. Now, maybe the price will have moved from when you first bought it to when you sold it, but the actual loss, or potentially profit, is not obvious.Oh, that makes this some really interesting campaign finance implications. I guess the one thing I’ll say is, the Trump team probably won’t sell for a couple months at very least. And so whatever happens between now and then theoretically doesn’t really impact the team, right? Because if they had not launched this dinner contest and they did nothing, and then right before the unlock happens, they launch another campaign or they do something weird like this, then that will immediately pump up the price because crypto is so reflexive. And they can then sell into the strength of the price movement, theoretically. But here, I think what they want to do is actually show that this $TRUMP token has utility, and that it’s actually useful rather than just being a meme coin. And this is one way of making the $TRUMP token worth holding, because it’s not just a meme. If you buy it, you can go to dinner, you can earn points. You can get an NFT. It’s basically the playbook that a lot of folks will potentially run if they’re launching a meme coin with utility value. Oh, utility value is definitely a good way of saying it. Yeah, utility value in the sense that yeah, you can go to dinner, you can get an NFT, you can earn points that will get you something in the future. But yeah, this is a little bit different from memes like Pepe or Doge or Shiba Inu. Those have zero utility values. They’re literally just a meme. You can’t go to a dinner if you own a lot of it. It’s just a meme. The morning after the dinner:How are you? How was your crazy night out?It was good. And yeah, there was a sponsor who wanted to do an afterparty afterwards. They basically rented out the rooftop bar on top of the Marriott. I stayed out until 1 AM. But it was good. The actual event was quite interesting. The protests outside the dinner obviously were just kind of off-putting. I was like, damn, should I really walk into this thing?Activists staged an “America Is Not For Sale” protest while President Trump hosted the winners of his meme coin contest at the Trump National golf club. Getty ImagesI’ve actually never been to the Trump National. How is it as a venue? It’s on the Potomac River. When you are in the club you can see the really nice golf course and then the river is right there. The room was long and the podium was right up in the front and the tables were almost set up in a way where there were many rows of tables, but not that many columns, if it makes sense.I didn’t recognize this until maybe like, after an hour in, but people started taking seats because they wanted to be closer to the podium. And eventually, I’m like, damn, I gotta get a seat. But all that didn’t end up mattering because when Trump walked in, basically like a celebrity, everyone rushed up to the front and pulled out their phones and started recording. Who did you meet that was interesting or fun?Justin Sun was there, it was just that everyone wanted to talk to him. I guess the only thing I could do was just say hi to him. There were a bunch of international folks. A few folks were from Poland, who came all the way here from Portugal, where they now live. There was a lot of Asian people there. I met some folks from South Korea. Some guys from France, Italy. There was this hedge fund manager from Croatia who came just to check this out. Some guy from Sweden.There were also some market-making firms, like really big in crypto, like Wintermute. And then another guy who works at Kronos Research. The organizers also brought some folks, like the founder of the Moonshot app. I guess Moonshot had partnered with folks with the $TRUMP launch back in January. He said he didn’t buy any tokens because none of the employees are allowed to trade [the meme coins on their own platform, because it would be a conflict of interest], and so he was just invited by the organizers.[According to Crunchbase, Moonshot, an app that enables users to purchase meme coins, was acquired by Jupiter, a Solana trading platform. No named individuals appear to be publicly associated with either enterprise, although Jupiter’s founder is apparently someone going by the name “Meow.” The guest interviewed by The Verge did not recognize Meow from photos. – Ed.]There were a bunch of folks in the crypto ecosystem, now that I think about it, who actually had effectively insider knowledge that Trump was gonna launch a coin. They didn’t know exactly what that was gonna be, but they knew it was coming and it was gonna be a real coin.
For the first hour or two [after the announcement], people were wondering if Trump’s account got hacked. I just thought that was interesting, that it was effectively prewired to a lot of folks. Ah, so like: if those people knew, then they had that first mover advantage for that full hour – that it was a legitimate coin?Yeah, the public didn’t know whether it was an intentional drop or if some hackers hacked the Twitter account. I ended up meeting one of the top winners, and he was telling me how he hedged his tradeDid you find any really diehard MAGA people there?I’m sure that there were a couple of folks.
I just never got a chance to speak with someone who’s like, super pro-Trump. I’d say the majority of people I spoke with, particularly the crypto traders and folks who are very close to the crypto ecosystem are like, yeah, I dumped this. I already sold the coin. A lot of people put on the same hedge trade as I did, because they didn’t wanna take risk on the coin. I ended up meeting one of the top winners, and he was telling me how he hedged his trade. So effectively, he was taking on no price risk. Now the only thing is when you short these tokens, there’s a funding cost, but because he had such a big position the funding was actually pretty significant. 
So he said he paid, I don’t know, like $50,000 in funding costs, but to him it was still worth it, especially since he got a watch that’s supposedly worth $100,000 if you’re in the top four. Wait, they gave out watches?
Yeah. When Justin went up and gave the speech, after that, he got the watch.Honestly $50,000 to meet the president and get a watch that’s twice that amount, is a pretty good deal. Yeah. I had no idea yet that there’s a TrumpWatches.com. I think the host referenced this — like, if you want a watch, just go on the website. I was like, this is real? And then I actually went on the website and it turned out it is. Swiss-made chrono movement – oh my God, there are so many watches. Do you see that one on the very front page? They gave out two of those as prizes for raffle winners. Oh, that’s only $500, man.Yeah, I know, right?Lame. I guess you can’t yet buy the $100,000 watch on this website. They were specially designed and they only were able to have two ready for the event, and the other two will get shipped to the winners. 
[The website currently lists the “Crypto President Tourbillon Watch” for pre-order, claiming that “only 10” have been made. – Ed.]A commemorative hat.Did people post photos or selfies, or was there a sense of discretion?There were obviously crypto traders who didn’t wanna give their real names, and some folks who were trying to be camera shy and avoid the limelight, but I feel like for the most part, people were taking selfies and they were just having a good time. And there were photographers walking around taking photos of everyone. And then at the end, this was after Trump and after all the gifts were given out, the host was like, everyone put on your hat that you got — it’s in my bag,
it’s a Trump meme dinner hat — let’s all put it on and take a photo and then hashtag “trumpmemedinner” or whatever.[The White House is refusing to release the guest list with names of attendees. The New York Times has since said that it has acquired a copy of that list.Although photos of the gifted hats have circulated on social media, no related hashtag seems to have taken off. – Ed.] Oh, okay, so they actually encouraged you to put it on the Internet. 
I guess the host took the photo and it was like a selfie or something. The other funny moment was during the Trump speech. For the most part, it was just him talking about his campaign, and about how he beat Biden, and blah, blah, blah, how we were in a terrible place with crypto before he got elected and now we’re in a great place. That sounds exactly like a thing Trump would say. That was pretty accurate. At one point, the microphone made a cracking sound and then he was like, whoops, my ear. and he made a joke referencing the assassination attempt. A poster promoting the afterparty.How did you figure out about the afterparty? Was it the official afterparty? 
A lot of folks were saying there was gonna be some afterparty exclusive to VIPs, like the top 25 holders. There were a few folks who were trying to get into this party, but then it turns out it was actually not that exclusive. This MemeCore group, the number two holder, they rented out space at the rooftop of this Marriott and effectively invited everyone. So when you were leaving the venue, they had a couple buses that would come every 10 minutes and they were like, yeah, feel free to take this bus and we’ll take you to the after-party. A lot of people ended up going. 
[On TikTok, an attendee wearing a giant mask of what appears to be the MemeCore mascot, was accused of covering his face “to hide their identities” at “Trump’s crypto bribery event.” – Ed.] How was the afterparty? Was it well funded? They had an open bar, free drinks. It was fine, nothing like that noteworthy.
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The winners of the $TRUMP meme coin contest did get to see President Donald Trump speak at a private dinner closed to the press — but his speech was probably the least exciting part of their night. They did get a better, more valuable, and potentially more lucrative experience: the opportunity to network with the biggest crypto traders in the game, win watches worth hundreds of thousands of dollars, and attend a not-so-exclusive afterparty at the Capitol Hill Marriott afterward — all without having to complete particularly thorough background checks.The vetting process for entering the dinner was a ‘pretty light’ KYC checkAfter being whisked behind the gates of the Trump National Golf Club in Sterling, Virginia, past a throng of journalists snapping photos and protesters screaming at them for being corrupt, the 220 attendees went through security and had their IDs checked. According to one attendee, many were wealthy but some were living on normal-ish paychecks. The other guests, he said, were largely foreigners from overseas, all with an extremely high risk tolerance for gambling with crypto. The attendee said the vetting process for entering the dinner was a “pretty light” KYC check done by a third party, which he found odd considering he was about to have dinner in proximity to the president. (Know Your Customer is an anti-money-laundering compliance measure that banks, crypto exchanges, and other financial institutions are required to do.)“I talked to someone about getting into the White House, and it’s a lot more strict in terms of you have to show your passport and all that,” he told The Verge. “If this is true, it’s disappointing, but not surprising. When we sued during the first Trump administration to see who the Secret Service was running background checks on at Mar-a-Lago, we were told that the government wasn’t vetting the people meeting with Trump there, it was all done by his private business,” Jordan Libowitz, vice president of communications for Citizens for Responsibility and Ethics in Washington (CREW), wrote in email to The Verge. “This is a massive ethical issue that we reportedly have foreign nationals paying thousands if not millions of dollars to a sitting president to get access to him, and it’s all done in a way that the government does not have records of who they are. If you were drawing up a playbook for potential corruption, this is how you’d do it.” According to the attendee, Trump’s presence was limited to a speech from behind a podium bearing the presidential seal — despite the White House having previously called it a private event on the president’s “personal time” — then immediately flying back to Washington on Marine One. “For the most part, it was just him talking about his campaign, and about how he beat Biden, and blah, blah, blah, how we were in a terrible place with crypto before he got elected and now we’re in a great place,” the attendee said.Though Trump was greeted like a celebrity, with guests clamoring up close and hoping for signatures, the real draw of the event was Justin Sun, the crypto billionaire, who was swarmed with fans and selfie-seekers during the dinner. RelatedSun came in first place, having bought more than $20 million worth of $TRUMP during the contest. During a prize ceremony at the end of the night, he was presented with a $100,000 Trump-branded Tourbillon watch — the grand prize for the top four winners. (Unfortunately for third and fourth place, their Tourbillons were not ready by the time of the dinner and will be shipped to them later.) Later, there was a raffle for two other Trump-branded watches, each with an estimated retail value of $500. Other crypto stars were spotted at the event: Vincent Liu, chief investment officer at the Taiwan-based crypto trading firm Kronos Research; “Ice,” the founder of Memecore, a Singapore-based crypto organization that came in second place; and GAnt, a crypto influencer who came in fourth place and had been sharing his preparations for the dinner with his followers on Telegram. According to a report from the blockchain analysis company Nansen, the contestants collectively spent $394 million to participate in the dinner, with the winners spending anywhere between $55,000 and $37.7 million to participate.If people wanted to keep the festivities going after dinner, there were buses available to take them to the Capitol Hill Marriott back in DC, where Memecore was hosting a private afterparty at the rooftop bar. (The party had apparently been reserved for the top 25, but eventually it ballooned to include anyone else who wanted to attend.)The owners of $TRUMP and the White House have declined to publish a list of attendees, sparking outrage from lawmakers concerned about the potential for the token to be used for bribing the president. But several attendees were more than willing to make themselves known, giving on-the-record interviews with news outlets both before and after the dinner, posting photos and videos on their socials, and even openly discussing their experiences with their online Telegram followers. The dinner hosts themselves were just as eager to show off their success. A photographer was offering attendees the chance to find themselves in the event album via facial recognition. At the end of the night, after all the gifts had been handed out, Bill Zanker, the CEO of World Liberty Financial, asked everyone in the audience to put on their commemorative trucker hats, emblazoned with a slimmed-down Trump and the words “Fight! Fight! Fight!” for a celebratory photo. Everyone in the crowd flung theirs in the air, as if it were a college graduation. According to the attendee, Zanker then asked everyone to hashtag their photo with “Trump meme dinner or whatever” when they posted them. Although The Verge found photos of the hats on social media, we were not able to find any particular hashtag associated with them.The White House did not immediately respond to a request for comment.See More:

Weapon of choice? Musk’s DOGE used Meta’s Llama 2—not Grok—for gov’t slashing, report says Grok apparently wasn't an option. Ashley Belanger – May 22, 2025 5:12 pm | 19 Credit: Anadolu / Contributor | Anadolu Credit: Anadolu / Contributor | Anadolu Story text Size Small Standard Large Width * Standard Wide Links Standard Orange * Subscribers only   Learn more An outdated Meta AI model was apparently at the center of the Department of Government Efficiency's initial ploy to purge parts of the federal government. Wired reviewed materials showing that affiliates of Elon Musk's DOGE working in the Office of Personnel Management "tested and used Meta’s Llama 2 model to review and classify responses from federal workers to the infamous 'Fork in the Road' email that was sent across the government in late January." The "Fork in the Road" memo seemed to copy a memo that Musk sent to Twitter employees, giving federal workers the choice to be "loyal"—and accept the government's return-to-office policy—or else resign. At the time, it was rumored that DOGE was feeding government employee data into AI, and Wired confirmed that records indicate Llama 2 was used to sort through responses and see how many employees had resigned. Llama 2 is perhaps best known for being part of another scandal. In November, Chinese researchers used Llama 2 as the foundation for an AI model used by the Chinese military, Reuters reported. Responding to the backlash, Meta told Reuters that the researchers' reliance on a “single" and "outdated" was "unauthorized," then promptly reversed policies banning military uses and opened up its AI models for US national security applications, TechCrunch reported. "We are pleased to confirm that we’re making Llama available to US government agencies, including those that are working on defense and national security applications, and private sector partners supporting their work," a Meta blog said. "We’re partnering with companies including Accenture, Amazon Web Services, Anduril, Booz Allen, Databricks, Deloitte, IBM, Leidos, Lockheed Martin, Microsoft, Oracle, Palantir, Scale AI, and Snowflake to bring Llama to government agencies." Because Meta's models are open-source, they "can easily be used by the government to support Musk’s goals without the company’s explicit consent," Wired suggested. It's hard to track where Meta's models may have been deployed in government so far, and it's unclear why DOGE relied on Llama 2 when Meta has made advancements with Llama 3 and 4. Not much is known about DOGE's use of Llama 2. Wired's review of records showed that DOGE deployed the model locally, "meaning it’s unlikely to have sent data over the Internet," which was a privacy concern that many government workers expressed. In an April letter sent to Russell Vought, director of the Office of Management and Budget, more than 40 lawmakers demanded a probe into DOGE's AI use, which, they warned—alongside "serious security risks"—could "have the potential to undermine successful and appropriate AI adoption." That letter called out a DOGE staffer and former SpaceX employee who supposedly used Musk’s xAI Grok-2 model to create an "AI assistant," as well as the use of a chatbot named "GSAi"—"based on Anthropic and Meta models"—to analyze contract and procurement data. DOGE has also been linked to a software called AutoRIF that supercharges mass firings across the government. In particular, the letter emphasized the "major concerns about security" swirling DOGE's use of "AI systems to analyze emails from a large portion of the two million person federal workforce describing their previous week’s accomplishments," which they said lacked transparency. Those emails came weeks after the "Fork in the Road" emails, Wired noted, asking workers to outline weekly accomplishments in five bullet points. Workers fretted over responses, worried that DOGE might be asking for sensitive information without security clearances, Wired reported. Wired could not confirm if Llama 2 was also used to parse these email responses, but federal workers told Wired that if DOGE was "smart," then they'd likely "reuse their code" from the "Fork in the Road" email experiment. Why didn’t DOGE use Grok? It seems that Grok, Musk's AI model, wasn't available for DOGE's task because it was only available as a proprietary model in January. Moving forward, DOGE may rely more frequently on Grok, Wired reported, as Microsoft announced it would start hosting xAI’s Grok 3 models in its Azure AI Foundry this week, The Verge reported, which opens the models up for more uses. In their letter, lawmakers urged Vought to investigate Musk's conflicts of interest, while warning of potential data breaches and declaring that AI, as DOGE had used it, was not ready for government. "Without proper protections, feeding sensitive data into an AI system puts it into the possession of a system’s operator—a massive breach of public and employee trust and an increase in cybersecurity risks surrounding that data," lawmakers argued. "Generative AI models also frequently make errors and show significant biases—the technology simply is not ready for use in high-risk decision-making without proper vetting, transparency, oversight, and guardrails in place." Although Wired's report seems to confirm that DOGE did not send sensitive data from the "Fork in the Road" emails to an external source, lawmakers want much more vetting of AI systems to deter "the risk of sharing personally identifiable or otherwise sensitive information with the AI model deployers." A seeming fear is that Musk may start using his own models more, benefiting from government data his competitors cannot access, while potentially putting that data at risk of a breach. They're hoping that DOGE will be forced to unplug all its AI systems, but Vought seems more aligned with DOGE, writing in his AI guidance for federal use that "agencies must remove barriers to innovation and provide the best value for the taxpayer." "While we support the federal government integrating new, approved AI technologies that can improve efficiency or efficacy, we cannot sacrifice security, privacy, and appropriate use standards when interacting with federal data," their letter said. "We also cannot condone use of AI systems, often known for hallucinations and bias, in decisions regarding termination of federal employment or federal funding without sufficient transparency and oversight of those models—the risk of losing talent and critical research because of flawed technology or flawed uses of such technology is simply too high." Ashley Belanger Senior Policy Reporter Ashley Belanger Senior Policy Reporter Ashley is a senior policy reporter for Ars Technica, dedicated to tracking social impacts of emerging policies and new technologies. She is a Chicago-based journalist with 20 years of experience. 19 Comments

An AI integration modifies a business process and how employees work, but it also requires an integration with IT infrastructure and systems. This is where some of IT’s most technically savvy staff will be working, and they will want to discuss technology integration approaches and ideas. Most CIOs aren’t software engineers, but they are responsible for having a working knowledge of all things IT so they can hold meaningful dialogues with their most technical employees to assist in defining technology direction. What do CIOs need to know about the technical side of AI integration? 1. AI technical integration is about embedding AI in systems and workflows The assumption here is that by the time your staff is getting into technical design and tooling decisions, that the business case and application for AI have already been decided. Now the task is deciding how to effect a technical embedding and integration of the AI into the IT infrastructure and applications that will support the business process. 2. Modeling is first and foremost AI systems are built around models that utilize data stores, algorithms for query, and machine learning that expands the AI’s body of knowledge as the AI recognizes common logic patterns in data and assimilates knowledge from them. There are many different AI models to choose from. In most cases, companies use predefined AI models from vendors and then expand on them. In other cases, companies elect to build their own models “from scratch.”  Related:Building from scratch usually means that the organization has an on-board data science group with expertise in AI model building. Common AI model frameworks (e.g., Tensorflow, PyTorch, Keras, and others), provide the software resources and tools. These AI model-building technologies are not familiar to most IT staffs. The technologies use data graphs to build dataflows and structures that define how the data will move through the graph. Operational flows for the logic that operates on data must be defined. The model-building software also provides for algorithm development, model training, business rule definitions, and the machine learning that the model executes on its own as it “learns” from the data it ingests. IT might not know this stuff, but it can’t afford to ignore it. IT and CIOs need at least a working knowledge of how these opensource model building technologies work, because inevitably, these models must interface with IT infrastructure and data.  3. IT Infrastructure comes next Related:How to integrate an AI system with existing IT infrastructure is where CIOs can expect significant dialogue with their technical staffs. The AI has to be integrated seamlessly with the top to bottom tech stack if it is going to work. This means discussing how and where data from the AI will be stored, with SQL and noSQL databases being the early favorites. Middleware that enables the AI to interoperate with other IT systems must be interfaced with. Most AI models are open source, which can simplify integration --  but integration still requires using middleware APIs (application programming interfaces) like REST (representational state transfer application programming interface), which integrates the AI system with Internet-based resources; or GraphQL (graph query language,) which facilitates the integration of data from multiple sources. It’s IT that decides how to deploy the optimal data stores, infrastructure storage and connectors needed to support the AI, and there are likely to be different options (and costs) for deployment. This is where the CIO needs to dialogue with technical staff. 4. Data quality The AI group will rely on IT to provide quality data for the AI. This is accomplished in two ways: 1) by ensuring that all data incoming into the AI data repository is “clean” (i.e., the data has been transformed by software like ETL (extract-transform-load), and it is accurate and it is able to interact with other data in the AI data repository; and the data is secure (i.e., encrypted between transfer points or checked at the edges of each resource the data must traverse). Whether it is working with outside vendors, vetting vendors for clean, secure data and periodically auditing them; or defining the data transformations and security technology and operations that must be put in place internally, it is all IT’s responsibility. The CIO will need to dialogue on technical levels with vendors, and with the IT database, storage, security, systems, applications and networking groups. Related:5. AI security The data (and data access) in and to AI must be secure at all times. To arrive at this point, security must be enacted on multiple levels, and it will entail technical discussions and decision making to get there.  First and foremost is data security. Much of this has already been discussed under data quality, and it will involve most IT departmental teams. Second is user access authorities and activity monitoring. Who gets access to what, and how will you monitor user activities? The users can define their own authorization lists and IT can implement these -- but complication occurs when it comes to monitoring user activities. If for example, the user activities occur only with onsite data repositories, sites can use a technology like IAM (identity access management), which gives IT granular visibility of every user activity. However, if cloud-based access is involved, IAM won’t be able to monitor this activity at any level of detail. It might become necessary to use CIEM (cloud infrastructure entitlement management) software instead to gain granular observation of user activity in the cloud. Then there are “umbrella” technologies like IGA (identity governance administration) that can serve as an over-arching framework for both IAM and CIEM.  The IT security group (and their CIO) must decide which strategy to adopt for comprehensive protection of AI. Finally, there are malware threats that are unique to AI. Yes, you can use standard malware detection to ward off attacks from bad actors on AI data, just as you would on standard data and applications -- but the plot thickens from there. For example, there are malware injections into AI systems that can inject inaccurate data or change the labels and features of data. These skew the results derived from that data and result in erroneous recommendations and decisions. The practice is known as “data poisoning.”  IT is expected to come up with a data validation technique for incoming data that can detect possible poisoning attempts and stop them. This could involve data sanitization technologies, or data source verifications, and it is possible that inserting these technologies could slow down data transport. The technical staff needs to weigh these options, and CIOs should insert themselves into the discussions. The Bottom Line The bottom line is clear: CIOs must be able to dialogue and participate in decisions at multiple AI levels: the strategic, the operational and the technical. Even if companies have dedicated data science groups, both data scientists and users will ultimately wend their way to IT, which still must make the whole thing happen. CIOs can help both their staffs and their companies if they develop a working knowledge of how AI works, in addition to understanding the strategic and operational aspects of AI -- because companies, employees and business partners all need to hear the CIO’s voice.