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#229: Q3 Trends Briefing - The Pope's AI Encyclical, AI Agents Hack Hugging Face, Fable 5 vs. Washington, and the Battle Over Open Weights

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#229: Q3 Trends Briefing - The Pope's AI Encyclical, AI Agents Hack Hugging Face, Fable 5 vs. Washington, and the Battle Over Open Weights

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A rogue AI agent hacked Hugging Face to cheat on its own test. The Pope wrote 43,000 words warning about AI. Washington pulled Fable 5 offline, then reversed course.
Paul Roetzer and Mike Kaput count down the top 10 AI trends of the quarter: AI jobs whiplash, the pillars of business transformation, Apple v. OpenAI, GPT-5.6 and ChatGPT Work, agents transforming work, Fable 5, soft nationalization, the Hugging Face breach, and the battle over open weights.
This episode was recorded live on July 31, 2026.
Timestamps:
00:00:00 — Intro
00:02:54 — The Pope's AI Encyclical and Popular Backlash Against AI
00:07:01 — AI Jobs Whiplash
00:11:44 — The Pillars of Business AI Transformation
00:16:21 — OpenAI vs. Apple
00:19:10 — GPT-5.6 and ChatGPT Work
00:24:36 — How Agents Are Transforming Work
00:29:47 — Fable 5
00:34:11 — US Government Intervention in AI
00:37:53 — OpenAI Models Escape and Hack Hugging Face
00:42:29 — The Battle Over Open Weights
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