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What the 3M ChatGPT case reveals about AI governance

3M litigation shows ChatGPT prompts can become discoverable evidence, forcing enterprises to govern AI conversation records.

In the Watson Grinding explosion litigation, an engineering expert retained by 3M had used ChatGPT, and a surfaced prompt asked the system to 'show how 3M is 0% at fault'; after an off-record deposition demand, more than 350 pages of previously unproduced ChatGPT material were provided. The author argues AI interaction histories are becoming part of decision records and discovery material, a trend the American Bar Association has already examined. Enterprises are urged to manage retention, ownership, sharing, and deletion of AI conversation logs across tools like ChatGPT, Copilot, Claude, and Gemini.

CSO Online · 2d agoPolicy & legal

SpliTEE: Improving LLM Inference on Trusted Hardware with Differentially Private GPU Outsourcing

SpliTEE splits LLM inference between Intel TDX trusted execution and untrusted GPUs, using differential privacy instead of encryption to protect intermediate representations.

SpliTEE extends split inference to LLMs, running inference partly inside an Intel TDX TEE while masking intermediate inputs sent to untrusted GPUs with differential privacy rather than encryption. The authors show a prompt-reconstruction attack recovers nearly 80% of prompts from unmasked intermediate representations, motivating the masking. A global sensitivity analysis bounds the required DP noise scale, avoiding quantization and keeping models in floating point. The implementation is nearly twice as fast as full CPU-based TDX inference and 5-15 seconds faster than encryption-based Slalom with higher accuracy, evaluated on Llama-3.2-3B and Qwen3-4B.

arXiv cs.CR · 2d agoResearch

ZGCM-1: A Fully Open and Extremely Efficient Foundation Model for Math and Agentic Search

ZGCM-1 is a fully open 7B foundation model with 256K context that stays competitive with frontier models on math reasoning and agentic search.

ZGCM-1 is a fully open 7B dense foundation model trained from scratch using an efficiency-focused recipe: interleaved gated sliding-window and full attention, a stable FP8 Muon optimizer, and MDP-based mid-training with context scaling across 16K, 64K, and 256K. On mathematical reasoning and agentic search suites it remains competitive with much larger frontier models such as Qwen3-235B-A22B and GLM-5.1. The recipe yields a ~4.2x improvement in 16K pre-training time-to-loss, and all weights, checkpoints, training code, data recipes, and W&B logs are open-sourced.

Hugging Face daily papers · 6d agoModel release

Data Scarcity and Model Sparsity: Mixtures-of-Experts Overfit More to Repeated Data

Study finds Mixture-of-Experts models overfit faster than dense Transformers under repeated training data, with degradation tied to total parameter sparsity.

Across models from 80M to 1B active parameters (8.5B total), MoE architectures degrade more rapidly than dense models when training data is repeated, with the effect increasing with sparsity as dictated by total parameters. Dense 80M models tolerate 8x repetition with minimal loss while MoEs suffer at 4x and underperform dense models beyond 32x. Masking-based regularization such as dropout mitigates overfitting, letting MoEs beat dense models even at over 64x repetition, though no method matches all-unique training data. Routing stabilizes early and expert specialization correlates with overfitting to repeated data.

arXiv cs.AI / cs.LG / cs.CL · 6d agoAI research

The 20 Most Common Passwords Hackers Target in 2026

Huntress details the 20 most common passwords of 2026 and how attackers use brute force, spraying, and credential stuffing against weak credentials.

Huntress published an awareness piece based on NordPass's seventh annual list of the 200 most commonly used passwords, compiled from exposed data in cyberattacks across 44 countries. The top passwords remain simple sequences and variants such as "123456", "admin", "password", and "P@ssw0rd", all crackable in under a second. The article explains four password attack types: brute force, password spraying, credential stuffing, and dictionary attacks. Huntress cites its own data showing more than 1 in 4 IT professionals consider employees' password habits their biggest weakness, and recommends avoiding common passwords, not reusing credentials, and combining letters, numbers, and symbols.

Huntress · 6d agoPhishing & fraud

Safe word: What is it and why do you need one?

ESET recommends pre-agreed family safe words to counter AI voice-clone scams such as virtual kidnapping, as one-in-four Americans report receiving deepfake calls.

ESET outlines how scammers use just seconds of audio scraped from social media or work content to create convincing voice clones, with a Hiya report finding one-in-four Americans received a deepfake voice call in the past 12 months. Common schemes include virtual kidnapping calls mixing cloned voices with sobbing and background noise. A pre-agreed, non-OSINT-discoverable safe word, plus callback verification via known numbers and 2FA, reduces success rates of these frauds.

ESET WeLiveSecurity · 7d agoPhishing & fraud in the wild

Shai-Hulud's Reach Just Grew to 469 Credential Locations. Here's What That Means

GitGuardian found the Shai-Hulud infostealer worm now scans 469 credential locations, including CI/CD and AI tool configs, expanding supply-chain risk.

GitGuardian researchers found that a recent Shai-Hulud worm variant scans for credentials across 469 locations in developer environments, CI/CD tooling, cloud configurations, and AI tool configs, up from 189 paths in earlier variants. The worm reuses stolen credentials to pivot from developer workstations to source code, cloud infrastructure, and package publishing channels, turning credential theft into forward-propagating supply chain attacks. The analysis urges defenders to prioritize removing long-lived package publishing tokens in favor of short-lived OIDC-based trusted publishing, citing recent Docker and GitHub Actions improvements.

The Hacker News · 13d agoMalware in the wild1

US Indicts 17 Iranians Over Years

US unsealed superseding indictment charging 17 Mabna Institute Iranians for IRGC-linked espionage stealing 31TB from universities, companies, and government agencies.

The Justice Department unsealed a superseding indictment charging 17 members of the Iran-based Mabna Institute, which conducted hacking campaigns since at least 2013 on behalf of the IRGC and other Iranian clients. The group compromised 144 US and 178 foreign universities, at least 42 US companies, and multiple government agencies, stealing over 31 terabytes of academic data and IP plus employee email inboxes. Hackers breached roughly 8,000 of 100,000 targeted professor accounts across 24 countries, selling stolen research through Megapaper.ir and Gigapaper.ir. Behzad Mesri, tied to the HBO breach and $6 million Bitcoin extortion, is among eight new defendants, and five defendants carry State Department Rewards for Justice bounties up to $10 million.

Security Affairs · 27d agoThreat actor in the wild

When AI Agents Go Rogue: Agent Session Smuggling Attack in A2A Systems

Unit 42 unveils agent session smuggling, where a rogue AI agent hides covert instructions in established Agent2Agent (A2A) protocol sessions to manipulate victim agents.

Palo Alto Networks Unit 42 discovered agent session smuggling, a new attack technique in which a malicious AI agent exploits an established cross-agent session under the Agent2Agent (A2A) protocol to send covert instructions hidden among benign client requests and server responses. The technique leverages the implicit trust agents place in collaborating agents and the stateful, multi-turn nature of A2A sessions; the researchers stress it affects any stateful protocol, not an A2A flaw. Unlike one-shot data-based attacks, a rogue agent can converse, adapt and build false trust over multiple interactions. Proposed mitigations include human-in-the-loop enforcement, cryptographically signed AgentCards for remote agent verification, and context-grounding to detect injected instructions.

Palo Alto Unit 42 · Aug 17, 2026AI safety & security2

Hacking Public Wi-Fi DNS to Steal Credentials

Attackers can hijack public Wi-Fi DNS to redirect users to credential-stealing fake login pages; commenters debate HTTPS limits and mitigations like encrypted DNS.

The discussion examines how an attacker controlling DNS on shared or public Wi-Fi networks can redirect requests for legitimate services to attacker-controlled servers to steal credentials. Commenters analyze whether HTTPS and certificates mitigate the attack, noting attackers often rely on HTTP or browser trust quirks. Suggested defenses include encrypted DNS (DoH), DNSSEC, and travel routers running OpenWRT. No specific campaign, victims, or indicators are provided.

Schneier on Security · Aug 17, 2026Research1