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[AINews] Poolside gets $12B reverse-execuhire to NVIDIA; founders stay for $1B, employees go for $6B, Infraco scaling to 7GW neocloud
NVIDIA struck a $12B deal with AI coding startup Poolside, licensing its Model Factory and hiring 109 of its technical employees.
NVIDIA spent roughly $12B in an unusual reverse-execuhire of Poolside, licensing the company's Model Factory while hiring 109 of its ~115 technical staff; founders retain a $1B stake and employees receive about $6B. Poolside had raced to raise $2B to fund a 40,000 GB300 cluster after missing a six-week funding window, and founders argue frontier-scale training now requires an order of magnitude more compute plus contracted data center space. An infrastructure arm spun out in January 2026 is scaling toward 7GW as a neocloud. The newsletter also recaps OpenAI and Anthropic agent-platform releases.
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Tick Group Weaponized Secure USB Drives to Target Air
Unit 42 says the Tick group weaponized South Korean certified secure USB drives with SymonLoader malware to reach air-gapped Windows XP systems.
Unit 42 discovered that the Tick cyberespionage group, which targets Japan and South Korea, compromised an ITSCC-certified secure USB drive made by a South Korean defense company and used a new loader named SymonLoader to extract a hidden executable from these drives. SymonLoader only infects Windows XP and Windows Server 2003, suggesting deliberate targeting of legacy air-gapped systems used by government and defense organizations. The group also delivered HomamDownloader and SymonLoader via Trojanized Korean and Japanese software sent as spearphishing attachments. Unit 42 believes the attacks occurred multiple years ago and that this malware is not part of an active campaign.
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Researcher Releases FalconFlank PoC Showing Privilege Escalation in CrowdStrike Falcon
Researcher Chaotic Eclipse released FalconFlank, a zero-day privilege escalation PoC abusing CrowdStrike Falcon's Office macro remediation; CrowdStrike is investigating and issued a tech alert.
Researcher Chaotic Eclipse published FalconFlank, a proof-of-concept zero-day local privilege escalation in CrowdStrike Falcon Sensor that abuses the Microsoft Office malicious macros remediation feature, tested on fully updated Windows 11 25H2 and Windows Server 2025. CrowdStrike said it is investigating, advised disabling the Microsoft Office File Suspicious Macro Removal policy, and pointed customers to a FalconFlank tech alert, noting cloud anti-malware protection remains active. The article also covers related PoCs from the same researcher: HardBreacher against Kaspersky (fixed via update), ShieldBreak (CVE-2026-69414) against Microsoft Defender, an unpatched patch bypass of CVE-2026-50656, GreenSection against NVIDIA, and PrettyPrague against Avast, which Gen Digital patched in versions 26.7.11086 and 26.8.11125.
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[AINews] 10% worse, 100x cheaper, 10000x faster: Why Simulation is taking over
Latent Space argues AI training pipeline stages—rewards, data, teachers, curricula, environments—are flipping from human-made to model-made simulation.
Latent Space's AINews essay traces how each component of AI training has turned synthetic since 2022: reward models (InstructGPT, RLAIF), synthetic pretraining data (Microsoft Phi, NVIDIA Nemotron-4 340B), model teachers (Alpaca, DeepSeek-R1 distillation), and self-generated curricula (Self-Rewarding Language Models, SPIN). In 2026 it highlights Karpathy's autoresearch loop—700 experiments yielding 20 kept improvements, cutting GPT-2 training time from 2.02 to 1.80 hours—and Z.ai's GLM-5.3 fully synthetic RL environment, judging, and verification stack. It frames these shifts as 'simulation': 10% worse but 100x cheaper and 10,000x faster than human equivalents.
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A patched Windows attack surface is still exploitable
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Microsoft December 2021 Patch Tuesday fixes an actively exploited zero
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2026-002: Multiple Vulnerabilities in Cisco Products
Cisco fixed SD-WAN Controller auth bypass CVE-2026-20127 (CVSS 10) exploited in the wild since 2023, plus several critical and high flaws in SD-WAN Manager.
On 25 February 2026 Cisco released advisories for multiple flaws in Catalyst SD-WAN Controller and SD-WAN Manager, potentially granting administrative access to attackers. CVE-2026-20127 (CVSS 10.0) is an authentication bypass in the Controller's peering authentication mechanism, exploited in the wild since 2023, allowing unauthenticated admin access via NETCONF, rogue device injection, and persistent access. SD-WAN Manager flaws include CVE-2026-20129 (9.8, unauthenticated API auth bypass to netadmin), CVE-2026-20126 (7.8, local privesc to root), CVE-2026-20133 (7.5, info disclosure), CVE-2026-20122 (7.1, arbitrary file overwrite), and CVE-2026-20128 (5.5, DCA info disclosure). CERT-EU recommends patching, capturing forensic evidence, IOC hunting, and restricting management-plane internet exposure.
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Hackers Use Autonomous AI Agents to Launch Mass Credential Theft Attacks in Under 6 Hours
Google Cloud reports attackers used autonomous AI agents to steal thousands of credentials including 23,800 secrets in a sub-six-hour campaign.
Google Cloud threat intelligence observed financially motivated attackers compromising cloud infrastructure and using AI coding agents guided by written playbook files to scan, harvest and rotate credentials within six hours. An exposed C2 dashboard for a framework called Recon organized and validated more than 23,800 stolen secrets, including API keys for cloud and AI services. Related activity includes UNC6780 publishing the trojanized tiktoken_mcp package on PyPI to target CI/CD tokens and the DUSTMAKER stealer hiding in .claude, .vscode and .cursor workspace directories.
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