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Code Is Debt

“Tornike, what do you think of AI coding tools?” I like to answer this frequent question by way of an example. An example of two companies. It goes something like this: Imagine two very similar companies. Both companies generate similar revenue and produce a similar software product. The only difference between these companies is that Company A uses 1 million lines of code and Company B uses 100 thousand lines of code. Which company is better off? Clearly, the company with fewer lines of code

'AI may eat software,' but several tech names just wrapped a huge week

A banner for Snowflake Inc. is displayed at the New York Stock Exchange to celebrate the company's initial public offering on Sept. 16, 2020. MongoDB's stock just closed out its best week on record, leading a rally in enterprise technology companies that are seeing tailwinds from the artificial intelligence boom. In addition to MongoDB's 44% rally, Pure Storage soared 33%, its second-sharpest gain ever, while Snowflake jumped 21%. Autodesk rose 8.4%. Since generative AI started taking off in

US targets North Korean IT worker army with new sanctions

The U.S. Treasury’s Office of Foreign Assets Control (OFAC) has sanctioned two individuals and two companies associated with North Korean IT worker schemes that operate at the expense of American organizations. These schemes involve placing in U.S. firms skilled tech workers with stolen or fabricated identities and using so-called “laptop farms” to hide the true location of the employees. The workers funnel their earnings to the DPRK regime to fund the regime's weapons program. They also often

Charting Form Ds to roughly see the state of venture capital “fund” raising

The startup bubble that no one is talking about August 28, 2025 Figure 1** Above is a graph that displays the amount of Form Ds filed, where the entity (read: company/firm) name contains the phrases "fund I", "fund II", "fund III", and "fund IV". The x-axis is not the prettiest, but it is broken down by quarter. You can see that the line for "fund I" sees by far the greatest peak around quarter 3 of 2022, with a steep drop off immediately after. The other lines have a similar, but less pronou

The startup bubble that no one is talking about

The startup bubble that no one is talking about August 28, 2025 Figure 1 Above is a graph that displays the amount of Form Ds filed, where the entity (read: company/firm) name contains the phrases "fund I", "fund II", "fund III", and "fund IV". The x-axis is not the prettiest, but it is broken down by quarter. You can see that the line for "fund I" sees by far the greatest peak around quarter 3 of 2022, with a steep drop off immediately after. The other lines have a similar, but less pronounc

Delivery Companies Around the World Stop Shipments to the US: Here's Who's Affected

Primary shipping services, including the European branch of DHL, multiple European state postal services, Australia Post, Japan Post and Taiwan's state postal service, have stopped shipping consumer goods of varying amounts (over $100 in some cases) to the US. The pause is currently expected to be temporary as countries respond to the latest US tariff measures, but could have a significant impact on US businesses selling anything from Taiwanese GPUs and Japanese card packs to European electronic

FBI says China’s Salt Typhoon hacked at least 200 US companies

A Chinese-backed hacking campaign that previously hacked into nine U.S. telecommunication and internet providers is now confirmed to have hacked at least 200 American companies, according to the FBI’s top cyber chief. FBI Assistant Director Brett Leatherman told The Washington Post that the hackers, dubbed Salt Typhoon, also broke into companies in 80 countries, revealing for the first time the global scale of the Chinese spying campaign. Leatherman didn’t name the hacked companies. AT&T, Veri

Online Age Verification Rules Are Popping Up Everywhere. Here's What You Need to Know

The internet is full of perils -- this we know. Among the rich trove of content we have at our fingertips is a combination of legal material, illegal material and material that falls into a gray area -- often referred to in vague terms as "harmful." This is the kind of content that might be appropriate for anyone with a fully developed prefrontal cortex to view but that you wouldn't necessarily want your kids stumbling across. In the past, accessing such content has been easy, regardless of ag

Gusto agrees to buy retirement plan provider Guideline

Gusto, a startup with payroll and human resources software, said Wednesday that it has agreed to acquire Guideline, a startup specializing in corporate retirement plans. Terms of the deal weren't disclosed. Founded in 2011 and based in San Francisco, Gusto is among the world's most valuable companies backed by venture capitalists, with a $9.3 billion valuation. Gusto originally was named ZenPayroll and provided software that clients could use to run payroll for their employees. In 2015, the co

Looks like nuclear fusion is picking up steam

is a senior science reporter covering energy and the environment with more than a decade of experience. She is also the host of Hell or High Water: When Disaster Hits Home , a podcast from Vox Media and Audible Originals. Posts from this author will be added to your daily email digest and your homepage feed. Nuclear fusion is on the upswing, as more companies pile into the space to achieve what’s often described as the Holy Grail of clean energy, according to an updated map from the Clean Air

US threatens extra tariffs, export bans, for nations that regulate Big Tech

+COMMENT US president Donald Trump has threatened to impose extra tariffs on imports from any nation that dares to regulate American technology companies. Trump took to Truth Social on Monday evening to declare “As the President of the United States, I will stand up to Countries that attack our incredible American Tech Companies.” “Digital Taxes, Digital Services Legislation, and Digital Markets Regulations are all designed to harm, or discriminate against, American Technology. They also, outr

US Attorneys General tell AI companies they 'will be held accountable' for child safety failures

The US Attorneys General of 44 jurisdictions have signed a letter [PDF] addressed to the Chief Executive Officers of multiple AI companies, urging them to protect children "from exploitation by predatory artificial intelligence products." In the letter, the AGs singled out Meta and said its policies "provide an instructive opportunity to candidly convey [their] concerns." Specifically, they mentioned a recent report by Reuters, which revealed that Meta allowed its AI chatbots to "flirt and engag

The air is hissing out of the overinflated AI balloon

Opinion There tend to be three AI camps. 1) AI is the greatest thing since sliced bread and will transform the world. 2) AI is the spawn of the Devil and will destroy civilization as we know it. And 3) "Write an A-Level paper on the themes in Shakespeare's Romeo and Juliet." I propose a fourth: AI is now as good as it's going to get, and that's neither as good nor as bad as its fans and haters think, and you're still not going to get an A on your report. You see, now that people have been usin

Is It Ever Legal—or Ethical—to Remove DRM?

Whatever you think about Digital Rights Management software, it's hard to argue with the fact that it's annoying. Such technology exists, in theory, to protect the intellectual property of the companies that create music, movies, and games, but it can also get in the way of you enjoying books, music, and videos the way you want to. Say, for example, that you bought a bunch of books on the Amazon Kindle platform but later decided you wanted to switch to a Kobo device (or vice versa). The DRM sys

Politicians Are Trying to Make It Illegal to Sue AI Companies

If you thought tech companies were your overlords now, wait till you hear about this wonky piece of legislation being cooked up in Colorado. As The Lever reports, a bill proposed in the state's legislature last year would make it outright illegal for individuals to sue AI companies for violating the Colorado Consumer Protection Act, blocking off one of the few meaningful means of recourse for consumers who get screwed over by unfair business practices by the likes of OpenAI or Anthropic. If pa

‘It’s Not Going to Slow Down’: The Tech Stock Everyone Is Watching This Week

Wall Street is narrowing in on must-watch tech giant Nvidia (NVDA) this week, as the $4 trillion semiconductor company reports earnings amid an ongoing skid in the technology sector. “When the group goes down and the most important stock in the group reports earnings, that is going to have a bigger impact than usual,” Matthew Maley, chief market strategist at Miller Tabak, told Reuters. That impact has analysts rushing to change their projections for the release of Nvidia’s quarterly report on

Trump administration official says some CHIPS Act companies won't need to give up equity

Last week, the Trump administration said it might take a stake in Intel in exchange for the $10.86 billion in federal grants the company is receiving from the Chips and Science (CHIPS) Act. However, not all companies receiving funds under the same program will need to give up equity, The Wall Street Journal has reported. Companies like TSMC and Micron that increased their US investments won't have any additional obligations, according to a government official familiar with the matter. Ealier, c

MIT report misunderstood: Shadow AI economy booms while headlines cry failure

Want smarter insights in your inbox? Sign up for our weekly newsletters to get only what matters to enterprise AI, data, and security leaders. Subscribe Now The most widely cited statistic from a new MIT report has been deeply misunderstood. While headlines trumpet that “95% of generative AI pilots at companies are failing,” the report actually reveals something far more remarkable: the fastest and most successful enterprise technology adoption in corporate history is happening right under exec

Tech groups back Apple in fight over attorney–client privilege limits in Epic Games case

Two organizations filed a joint amicus brief, siding with Apple over a U.S. District Judge Yvonne Gonzalez Rogers ruling on attorney–client privilege limits in the Epic Games lawsuit. Here are the details. Abuse of privilege When Judge Yvonne Gonzalez Rogers ordered Apple in April to fully comply with her 2021 App Store injunction, she also denied Apple’s motion to remove certain records, based on attorney–client privilege. Some of these records were e-mail chains, which included in-house att

95% of Companies See 'Zero Return' on $30B Generative AI Spend

Over the last three years, companies worldwide have invested between 30 and 40 billion dollars into generative artificial intelligence projects. Yet most of these efforts have brought no real business return. A new study from MIT found that 95 percent of enterprise organizations report zero measurable gains from the adoption of AI tools. Only a small group has seen strong benefits. “Just five percent of integrated AI pilots are extracting millions in value,” the report said. In contrast, the v

Mark Zuckerberg freezes AI hiring amid bubble fears

Stock market volatility was largely prompted by a report from the Massachusetts Institute of Technology, which claimed that 95pc of companies were getting “zero return” on their AI investments. A Meta spokesman sought to downplay the freeze, saying: “All that’s happening here is some basic organisational planning: creating a solid structure for our new superintelligence efforts after bringing people on board and undertaking yearly budgeting and planning exercises.” It comes after the company h

AI Is Failing at an Overwhelming Majority of Companies Using It, MIT Study Finds

With AI software increasingly hogging the enterprise spotlight, companies and investors are spending like never before. In the first half of 2025, AI startups raised over $44 billion, more than all of 2024 combined. By the end of this year, a Goldman Sachs analysis estimates that total investments in AI will soar to almost $200 billion. But all that money is, to put it gently, a reckless gamble. In the US at least, investors have essentially bet the farm on the idea that AI will soon lead to ga

14.ai (YC W24) is hiring engineers in SF to build an AI-native Zendesk

We are an intense, tightly-knit team based in the heart of San Francisco. Our customers range from fast-growing startups to established enterprise companies, and we obsess over listening to each of them and helping them succeed. Our development pillars are security, reliability and performance, combined with pragmatism to always find working solutions and be ultra-responsive to customer feedback and requests. Working both at the infrastructure and product level, we strive to build correct, futur

The AI Report That’s Spooking Wall Street

A new report from MIT is casting doubt on the hype around the financial value AI brings to businesses, and may be triggering a small tech stock sell-off on Tuesday. The report, The GenAI Divide: State of AI in Business 2025, found that the promised AI gold rush isn’t paying off for most companies yet. Despite the major push to adopt AI tools in the corporate world, fewer than one in ten AI pilot programs have generated real revenue gains. The rest are having no impact on a company’s bottom lin

SoftBank Group shares plunge over 9% as Asian tech stocks track declines in U.S. peers

The logo of Japanese company SoftBank Group is seen outside the company's headquarters in Tokyo on January 22, 2025. Other Japanese tech stocks also declined, with semiconductor giant Advantest falling as much as 6.27%. Meanwhile, shares in Renesas Electronics and Tokyo Electron were last seen trading 2.46% and 0.75% lower, respectively. The tech-focused investment firm saw shares drop for a second consecutive session, following its announcement of a $2 billion investment in Intel . Intel shar

Forklifts require training

A lot gets covered in today's discourse about AI in software development. Most of it is noise, ranging from nihilism that we're all writing mediocre code anyway so why does it matter to endless wannabe AI influencers doing engagement bait on Twitter. Every new model release gets a bunch of threadicles 👇 amounting to the 2025 version of "Safari feels snappier". Some of it is useful, mostly crafty developers in the community sharing novel ways they're using it to solve hard problems or draw inspir

How web scraping actually works - and why AI changes everything

Getty/panithan pholpanichrassamee ZDNET's key takeaways Web scraping powers pricing, SEO, security, AI, and research industries. AI scraping threatens site survival by bypassing traffic return. Companies fight back with licensing, paywalls, and crawler blocks. Get more in-depth ZDNET tech coverage: Add us as a preferred Google source on Chrome and Chromium browsers. In the world of industrial web scraping, there are a few major players. Oh, you did not know there was a world of industrial

95% of AI Pilots Failing

Good morning. Companies are betting on AI—yet nearly all enterprise pilots are stuck at the starting line. The GenAI Divide: State of AI in Business 2025, a new report published by MIT’s NANDA initiative, reveals that while generative AI holds promise for enterprises, most initiatives to drive rapid revenue growth are falling flat. Despite the rush to integrate powerful new models, about 5% of AI pilot programs achieve rapid revenue acceleration; the vast majority stall, delivering little to

OpenAI's Sam Altman sees AI bubble forming as industry spending surges

OpenAI CEO Sam Altman thinks the artificial intelligence market is in a bubble, according to a report from The Verge published Friday. "When bubbles happen, smart people get overexcited about a kernel of truth," Altman told a small group of reporters last week. "Are we in a phase where investors as a whole are overexcited about AI? My opinion is yes. Is AI the most important thing to happen in a very long time? My opinion is also yes," he was quoted as saying. Altman appeared to compare this