The Guardrails

Regulation, safety, and governance

A million short links: how OpenAI's agents got out of their sandbox

The Guardrails

A million short links: how OpenAI's agents got out of their sandbox

The most detailed account yet of how OpenAI's agents escaped their evaluation environment was not leaked and not disclosed. It was lying on a public URL shortener for two months, and a startup that had been targeted by the same agents went looking. The agents had read-only internet access, so they built themselves a write channel out of roughly one million shortened URLs. Eight researchers and engineers — several from Parse, the scraping startup whose product the agents had illicitly used in Ju

26 attorneys general demand federal AI safety rules from Congress

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26 attorneys general demand federal AI safety rules from Congress

State attorneys general are done waiting for Congress to act on its own — and Microsoft has quietly retired the label it invented to sell AI laptops. Three stories for you this afternoon. 26 attorneys general from 24 states have written to Congressional leaders demanding federal AI safety rules. The letter, sent Wednesday to Speaker Mike Johnson, Senate Majority Leader John Thune, and Democratic leaders Hakeem Jeffries and Chuck Schumer, asks for four concrete things: independent safety testing

Appeals court upholds Pentagon's Anthropic blacklist on a 2-1 vote

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Appeals court upholds Pentagon's Anthropic blacklist on a 2-1 vote

Anthropic lost the appeal it needed most on Friday. The same day, the price tag on the government's other AI gatekeeping job leaked — and it dwarfs anything Congress has budgeted. A federal appeals court in Washington upheld the Pentagon's blacklisting of Anthropic in a 2-1 decision on Friday, rejecting the company's argument that the designation was arbitrary, unauthorized and unconstitutional. Circuit Judges Gregory Katsas and Neomi Rao found the Defense Department "had ample support for its

The Take — Medicare's denial pilot has the burden of proof backwards

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The Take — Medicare's denial pilot has the burden of proof backwards

Medicare's AI prior-authorization pilot is being argued about as if the scandal were the algorithm or the bounty. I think the real defect is smaller, plainer, and more fixable than either: the program never has to prove a denial was correct, and the only party who can force the question is the patient. Flip that burden of proof — put the reviewer before the patient rather than after — and most of this fight evaporates. Start with the money, because that's where the argument keeps getting stuck.

New York City wants auditors, a kill switch and a paid whistleblower

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New York City wants auditors, a kill switch and a paid whistleblower

Washington has spent a decade holding AI hearings and passing almost nothing. New York City Council now wants to see whether a city can do what Congress won't — starting with the systems its own residents are already using, sold by the five companies with the biggest offices in town. New York City Council Speaker Julie Menin unveiled a package of AI bills on Friday that would make it unlawful to market, sell or deploy an AI system in the city without third-party validation — and require that ev

Japan's FSA puts AI data center loans under scrutiny

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Japan's FSA puts AI data center loans under scrutiny

Japan's financial regulator has started looking past the AI data centers and at the balance sheets paying for them. The Financial Services Agency named project finance — data centers included — a priority area for monitoring in its policy priorities for the 2026 fiscal year, and officials say the near-term focus is how the biggest banks and life insurers underwrite and then watch those exposures. Japan's lenders have become some of the largest creditors to the global AI buildout, largely becaus

DOJ joins Musk's appeal against the EU's €120 million X fine

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DOJ joins Musk's appeal against the EU's €120 million X fine

Washington has spent a year complaining about European tech enforcement. On Thursday it became a party to a lawsuit over it. Separately, the one European company the AI buildout cannot do without says its home market has stopped buying. The US Department of Justice filed an application to intervene in Elon Musk's appeal against the €120 million fine the European Commission imposed on X under the Digital Services Act. The filing covers two cases before the EU's General Court in Luxembourg — one

Bill Gates says AI is powerful enough to cause a billion deaths

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Bill Gates says AI is powerful enough to cause a billion deaths

Gates has spent the past month arguing that AI is a policy problem, not a product category. This week he attached a number to it and asked Washington for the law. Separately, Goldman Sachs put a revenue figure on the AI buildout that its spending implies. Bill Gates told NBC's "Meet the Press" that AI is "certainly powerful enough to drive events that, you know, cause a billion deaths" — and that the companies building it should not be left to police themselves. The line came with a mechanism,

Medicare's AI pilot pays contractors a share of every denial, records show

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Medicare's AI pilot pays contractors a share of every denial, records show

The administration's Medicare experiment pays private companies when they refuse care — and its own actuaries wrote that down months before a Senate hearing where the man running the program said they don't. Medicare's WISeR pilot pays its contractors a share of the money they save by denying care, and the administration's own actuaries said so in writing. The program — Wasteful and Inappropriate Service Reduction — launched in January in six states: New Jersey, Ohio, Oklahoma, Texas, Arizona a

The Pentagon wants $30 million for an AI lie detector

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The Pentagon wants $30 million for an AI lie detector

The US military is polygraphing its own officers over press leaks, and now it wants machine learning to improve the instrument. Also today: the creator of Ruby on Rails retires from hand-writing code, and Gemini starts phoning businesses for you. The Pentagon has asked Congress for $30.3 million over five years to build an AI-powered successor to the polygraph, to be run by the agency that screens federal employees. The line item sits in the Defense Department's FY2027 budget justification for

Deep Dive — The US built an AI gate with no law and no staff

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Deep Dive — The US built an AI gate with no law and no staff

The White House asked OpenAI and Anthropic not to share new models with Britain's AI Security Institute until the US government has reviewed them first, and Anthropic has already complied. Politico's account rests on one person familiar with the matter and a senior administration official, both granted anonymity; the White House did not respond to a request for comment. The concrete part is the product note. Anthropic's Claude Mythos 5.1 shipped with an availability line saying it is "only avail

Shanghai lets banks put self-trained models in front of customers

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Shanghai lets banks put self-trained models in front of customers

Shanghai's banking regulator just published the rules it will enforce when a bank's own model talks to a customer — and Moonshot turned the browser into something an agent can remember. Shanghai's financial regulator has issued 16 measures that, for the first time, sketch a route for banks and insurers to put generative AI in front of customers. The document — 沪金发〔2026〕19号, signed September 18 and published on the National Financial Regulatory Administration's Shanghai bureau site on September