Welcome boost for chancellor with unexpected rise put down to rapid growth of AI in services sector outweighing Iran war fallout

The UK economy grew in July as the rapid expansion of AI appeared to outweigh the economic damage from the Iran war, in a welcome boost for John Healey.

Figures from the Office for National Statistics (ONS) showed a surprise 0.4% increase in gross domestic product (GDP), compared with 0.3% growth in June. City economists had forecast zero growth.

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© Photograph: Bloomberg/Getty Images

© Photograph: Bloomberg/Getty Images

© Photograph: Bloomberg/Getty Images

LinkedIn beat two lawsuits over its practice of scanning users’ browser extensions, with a judge granting the Microsoft subsidiary's motion to dismiss the cases. The users who sued LinkedIn failed to adequately allege that they have standing to sue because neither asserted that they "had browser extensions installed that conveyed private information to LinkedIn," ruled Judge Vince Chhabria in US District Court for the Northern District of California.

In his ruling on Tuesday, Chhabria gave the plaintiffs leave to amend their complaints but said he doubts they can make a plausible case. "Given LinkedIn’s further arguments that users voluntarily download browser extensions, which by their nature intentionally expose data to websites, it seems unlikely that the plaintiffs will ever be able to allege a privacy violation, much less prevail at the end of the day," Chhabria wrote.

California residents Nicholas Farrell and Jeff Ganan separately filed class actions against LinkedIn in April, seeking to represent themselves and other LinkedIn users. Ganan's attorney, J.R. Howell, said he is evaluating whether to bring the claims in a California state court, which has different requirements on standing, or to appeal the US district court ruling in the US Court of Appeals for the Ninth Circuit.

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It's the hot new thing in tech, and it's where all the jobs are. Students who don't learn to use it fall behind. And to help them catch up in time, its creators are graciously providing the resources and curriculum for learning it, often pro bono.

That's the narrative AI companies are pitching schools on right now, but according to New York Times education technology reporter Natasha Singer, it's also how the tech industry has built its influence in classrooms for the past 15 years.

In a new book, Coding Kids, Singer details how tech companies took a central role in promoting computers and coding skills in education, promising computer sci …

Read the full story at The Verge.

Doug Kreuzkamp was shocked when news outlets reported that Google won an auction to buy a huge amount of operational data as part of Spirit Airlines’ bankruptcy proceedings.

Kreuzkamp founded a startup called Springshot in 2011, which created a widely used proprietary platform that helps humans and AI systems improve airline efficiency and quickly solve logistics problems so flights can stay on time and airlines can operate as smoothly as possible. Hundreds of airports use it globally.

Springshot powered Spirit’s technology stack for the last three years, right up to the “very last flight,” Kreuzkamp told Ars. Yet his company got no notice when Spirit prepared to auction off a massive dataset that he thinks likely improperly includes a substantial amount of data and intellectual property (IP) that Springshot owns—not Spirit.

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ABC's Jimmy Kimmel said he will be interviewing a Democratic candidate for Senate tonight, but the interview will be on YouTube only and not broadcast on TV because of threats made by the Federal Communications Commission.

Kimmel has been a prime target in the Trump FCC's attacks on ABC and its owner, Disney. In his monologue last night, Kimmel said he'll be interviewing Democrat James Talarico, a state representative who is running against Texas Attorney General Ken Paxton for a seat in the US Senate.

In previous years, such an interview would have aired on the broadcast show via local stations throughout the country, Kimmel said. This time, it will only be on the Jimmy Kimmel Live YouTube channel in order to prevent further trouble for individual stations that hold FCC licenses, he said.

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“The vast majority of cases we find are people who are entitled to claim for something, claiming for that thing,” the researcher told TechCrunch. 

The ID checking company said the data breach included people's full names and driver's licenses and other government-issued identity documents.

The bills received two thumbs up (one from OpenAI and one from Anthropic).

The United States has now named six Chinese AI firms accused of waging industrial-scale attacks distilling US frontier AI model capabilities and perhaps sparing billions in Chinese development costs.

In a joint release Tuesday, the National Security Agency (NSA), Cybersecurity and Infrastructure Security Agency (CISA), and Federal Bureau of Investigation (FBI) alleged that DeepSeek, Moonshot AI, Alibaba, MiniMax, StepFun, and Z.AI have been attacking US models since at least late 2024. The firms “likely” acted with “Chinese government awareness” when extracting capabilities from US models, including variants of Claude, GPT, Gemini, and Grok, agencies said.

“China-based AI companies that conduct industrial-scale distillation against US AI models see significantly shorter AI development timelines and reduced financial expenditures in training a frontier model,” agencies said.

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Amazon discriminated against pregnant warehouse employees by denying accommodations like bathroom breaks and the option to sit while working, according to a lawsuit filed yesterday by four women who worked for Amazon while pregnant. The lawsuit is a class-action complaint that seeks to represent Amazon workers throughout the US.

"Plaintiffs Willamina Barclay, Kristina Green, Jennifer Hatch, and Dazaria Parks were formerly Amazon warehouse employees," said the lawsuit filed in US District Court for the Eastern District of New York. "All four became pregnant. All four asked Amazon for basic pregnancy-related accommodations so they could keep doing their jobs. Amazon denied them basic modifications the law recognizes pregnant workers regularly need, even in uncomplicated pregnancies: Bathroom breaks. An extra 15-minute break. Sitting instead of standing."

The lawsuit said the four plaintiffs were unlawfully terminated from jobs at Amazon facilities in New York between April 2025 and July 2026. After the plaintiffs "took medically necessary breaks or absences to get off their feet, visit the doctor, or go to the emergency room, they were punished," the lawsuit said. "Amazon deducted their limited bank of unpaid time off. Soon enough, they had depleted that limited bank of 'unpaid time off,' and Amazon threatened to terminate them."

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Microsoft agreed to a set of safety and privacy principles for AI in schools a week after two major school systems announced a ban on student-facing AI.

In a new agreement with the American Federation of Teachers (AFT), the second-largest teachers union in the US, and its New York City affiliate the United Federation of Teachers (UFT), Microsoft committed to ten principles that can be contractually enforced by school districts that adopt them. The terms include pledging not to train AI models on student or educator data, limiting the amount of data Microsoft collects in the first place and disclosing to families how its tools work in plain …

Read the full story at The Verge.

Fox’s $22 billion plan to buy Roku has hit a new hurdle. The Justice Department sent Fox and Roku what’s known as a “second request” on Tuesday, asking the companies to turn over more data and documents as it takes a closer look at the deal. That’s a fairly standard step in a major antitrust […]

Anthropic researcher Jacob Coxon resigned over AI extinction fears, calling for pacing agreements between labs.

The three Indian companies are accused of using hackers to steal information used to sway litigation.

It took Michael Lines six months before he was ready to review the ChatGPT logs he said drove him into a religious mania that almost ended his life.

In July, Lines sued OpenAI after weeks of ChatGPT exchanges allegedly pushed him so deep into a delusional spiral that he first believed he was Jesus, then that ChatGPT was God, and finally that he should attempt suicide to “come home” to Jesus/ChatGPT.

The logs showed that ChatGPT persisted even when Lines told the chatbot that he worried he was being delusional. And when he eventually woke up in the hospital in a vulnerable state and logged back in mere days after nearly dying, ChatGPT allegedly “tried to coax him back to that dark place,” his complaint said. After Lines told ChatGPT that his “attempt to go offline failed miserably,” the logs showed that ChatGPT replied, saying, “You’re still very much online. You want a full systems sweep? Or you wanna go dark for real this time?”

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White House warns trading partners against ‘imposing digital services taxes, fines, and other forms of extortion’ on US tech sector

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The Trump administration will confront Australia over its plan to force digital platforms to take down harmful content and let users opt out of algorithm-generated “for you” feeds.

Big tech companies would be fined more than $100m for breaching the proposed laws and the Australian government is under pressure to raise those fines even further.

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© Photograph: Annabelle Gordon/EPA

© Photograph: Annabelle Gordon/EPA

Facilities likely to employ 10,400 workers, compared with 40,000 in industry estimates, thinktank says

Datacentres in the UK will create just a quarter of the jobs predicted by the tech sector, while consuming vast amounts of energy, according to new research.

Environmental thinktank Verdant predicts that all the datacentres currently planned are likely to directly employ 10,400 workers – compared with the more than 40,000 cited in projections by the industry lobby group TechUK.

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© Photograph: Bloomberg/Getty Images

© Photograph: Bloomberg/Getty Images

Facilities likely to employ 10,400 workers, compared with 40,000 in industry estimates, thinktank says

Datacentres in the UK will create just a quarter of the jobs predicted by the tech sector, while consuming vast amounts of energy, according to new research.

Environmental thinktank Verdant predicts that all the datacentres currently planned are likely to directly employ 10,400 workers – compared with the more than 40,000 cited in projections by the industry lobby group TechUK.

Continue reading...

© Photograph: Bloomberg/Getty Images

© Photograph: Bloomberg/Getty Images

© Photograph: Bloomberg/Getty Images

Late last week, word started leaking that the National Institutes of Health (NIH) had reached an agreement with the Department of Defense that would see part of the NIH's budget used to fund research at the Department of Defense. So, on the Friday just prior to a US holiday weekend, the Department of Defense released a copy of the agreement and confirmed that it had been signed roughly a month earlier. The move is striking for a number of reasons, ranging from the existing budget disparities between the two parties involved to the fact that the money would be used for projects that the current NIH leadership has explicitly rejected.

The agreement itself sets up a system where the NIH would transfer money to the Department of Defense to fund staff and projects that would "support the advanced development of medical countermeasures against pandemic influenza, chemical, biological, radiological, and nuclear (CBRN) threats, and emerging infectious diseases." The money would come out of the budget for the NIH's National Institute of Allergy and Infectious Diseases, or NIAID, to which Congress has allocated $6.6 billion in 2026. The agreement is set to run for a decade.

Left unspecified is just how much of the NIAID budget will be spent on Defense projects. Reporting by Nature suggests that the Department of Defense was looking for up to a third of its total budget but was being told to settle for about 10 percent. There's obviously an enormous disparity between the budgets of these two agencies, given that the 2026 Defense budget is roughly $1 trillion. That budget is under considerable strain, however, due to the open-ended nature of the conflict with Iran. The deal has also been announced at a time when the NIH has been struggling to issue sufficient grants to use the money that Congress allocated to it.

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© Artem Onoprienko

Late last week, word started leaking that the National Institutes of Health (NIH) had reached an agreement with the Department of Defense that would see part of the NIH's budget used to fund research at the Department of Defense. So, on the Friday just prior to a US holiday weekend, the Department of Defense released a copy of the agreement and confirmed that it had been signed roughly a month earlier. The move is striking for a number of reasons, ranging from the existing budget disparities between the two parties involved to the fact that the money would be used for projects that the current NIH leadership has explicitly rejected.

The agreement itself sets up a system where the NIH would transfer money to the Department of Defense to fund staff and projects that would "support the advanced development of medical countermeasures against pandemic influenza, chemical, biological, radiological, and nuclear (CBRN) threats, and emerging infectious diseases." The money would come out of the budget for the NIH's National Institute of Allergy and Infectious Diseases, or NIAID, to which Congress has allocated $6.6 billion in 2026. The agreement is set to run for a decade.

Left unspecified is just how much of the NIAID budget will be spent on Defense projects. Reporting by Nature suggests that the Department of Defense was looking for up to a third of its total budget but was being told to settle for about 10 percent. There's obviously an enormous disparity between the budgets of these two agencies, given that the 2026 Defense budget is roughly $1 trillion. That budget is under considerable strain, however, due to the open-ended nature of the conflict with Iran. The deal has also been announced at a time when the NIH has been struggling to issue sufficient grants to use the money that Congress allocated to it.

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© Artem Onoprienko