OpenAI's $3 billion acquisition of coding startup Windsurf ignites a major intellectual property dispute with Microsoft, as the AI giant refuses to grant its key partner equal access to the new technology despite their existing multibillion-dollar investment agreement, potentially threatening their crucial cloud alliance.
Legal tech funding shatters records with $2.4 billion raised in 2025 as AI automation revolutionizes the legal industry, with major deals including Filevine's $400 million raise and Harvey's $600 million across multiple rounds transforming how legal work gets done.
New research exposes critical flaws in AI judge systems, revealing systematic biases that favor longer responses and specific positions, plus vulnerability to manipulation tactics that artificially inflate scores, raising serious concerns about their reliability in automated assessment tasks.
California attorney Amir Mostafavi faces a historic $10,000 fine for filing a court appeal containing 21 fake ChatGPT-generated citations, as legal experts report over 600 similar cases nationwide amid growing concerns about AI misuse in the legal profession.
California legislature approves groundbreaking AI transparency bill SB 53, mandating large AI companies disclose safety protocols and whistleblower protections, awaiting Governor Newsom's signature after vetoing similar legislation last year.
Penske Media Corporation, owner of publications like The Hollywood Reporter and Rolling Stone, sues Google over alleged illegal use of its journalism for AI summaries, claiming reduced traffic in a potentially defining legal battle over AI and compensation.
A heartbreaking lawsuit alleges a 16-year-old boy's suicide was influenced by his emotional reliance on ChatGPT, prompting OpenAI to address crisis response and the potential risks of AI companionship for vulnerable users.
Two leading Japanese newspapers, The Asahi Shimbun and Nikkei, sue U.S. AI firm Perplexity AI for $14.9 million each over alleged unauthorized use of copyrighted articles and spreading misinformation through its search engine.
C3.ai CEO Thomas M. Siebel steps down amid legal scrutiny and disappointing financial results, with the company missing revenue targets, withdrawing guidance, and its stock plunging 29% over the past year as it faces competitive pressures and allegations of misleading investors.
In a high-stakes legal battle, Meta faces a lawsuit from its former WhatsApp security chief alleging serious security vulnerabilities and retaliation for raising concerns, while Meta contests the claims and his significance.