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#255 - Gemini 3.7, Jalapeño, Qwen 3.8, Drones

Last Week in AI

Shownote

Our 255th episode with a summary and discussion of last week's big AI news! Recorded on 08/26/2026 Hosted by Andrey Kurenkov and Jeremie Harris Feel free to email us your questions and feedback at andreyvkurenkov@gmail.com and/or hello@gladstone.ai Rea...

Highlights

The episode surveys a rapidly shifting AI landscape, connecting advances in models, chips, enterprise adoption, cybersecurity, autonomous weapons, and the growing challenges of synthetic content.
01:47
Major AI developments are on the horizon
09:59
Google is optimizing for usefulness over frontier dominance.
19:32
Distribution may matter as much as model quality
25:35
Invisible watermarks encode patterns, not meaning.
28:50
AI transparency needs standardized rules
32:24
Critical infrastructure remains vulnerable through outdated connected systems.
33:50
Security fails when humans and hardware remain vulnerable
34:51
AI safety advances without sacrificing privacy
43:30
Custom chips could weaken Nvidia’s dominance
45:37
AI hardware ambitions remain constrained by infrastructure
50:29
Leadership departures may signal deeper internal problems.
58:10
Enterprise lock-in gives Anthropic a durable edge.
1:02:08
Open models are making specialized AI more affordable
1:06:56
Smaller local models can rival much larger systems.
1:15:17
Cheap chips are lowering the barriers to autonomous warfare.
1:18:00
Autonomous weapons could normalize warfare.
1:23:32
Alignment, not capability, is becoming AI’s bottleneck
1:28:37
Scaling laws apply even to tiny models.
1:32:03
Hidden reasoning traces can become model distillation targets
1:37:06
Massive activations reveal hidden instability
1:41:58
Synthetic content is overwhelming the internet

Chapters

Intro / Banter
00:00
News Preview
01:47
Response to listener comments
02:52
Tools & Apps
Google announces Gemini 3.7 Flash just three weeks after previous release - Ars Technica
03:32
SpaceXAI Releases Grok 4.6: A 500K-Context Frontier Model Tuned for Long-Running Agents, Coding, and Knowledge Work - MarkTechPost
13:11
Claude will apply invisible watermarks to AI text and images | The Verge + Anthropic explains how Claude’s invisible text watermarks will work
22:32
Bringing the cybersecurity capabilities of Claude Mythos 5 to more defenders | Claude by Anthropic
28:50
OpenAI to Roll Out Enhanced Safety Features for Paid AI Tool Users - Bloomberg
32:20
ChatGPT's Stricter Teen Mode Starts Rolling Out Today
33:41
Meta AI Now Has A Dedicated Desktop App For Mac
34:43
Applications & Business
Jalapeño’s first results show industry-leading speed and efficiency in AI inference | OpenAI
37:33
OpenAI loses a top data center exec as stream of high-profile departures continues | TechCrunch + OpenAI talent exodus raises 'huge red flag' ahead of IPO
45:35
Anthropic Taps Google Chip Veteran as Part of Push Into Hardware
50:29
Anthropic's annualized revenue surges to $65B | TechCrunch
52:30
Thomson Reuters launches in-house AI model to cut Anthropic costs
59:30
Projects & Open Source
Qwen 3.8: How a 27B Open Model Rivals GPT-5.6 and Claude Opus
1:04:26
Policy & Safety
A Drone Killed Three Ukrainians. It Was Guided Entirely by A.I. - The New York Times
1:08:27
OpenAI lays out new security changes after its AI hacked Hugging Face | The Verge + OpenAI institutes new safeguards after Hugging Face breach + https://openai.com/index/pacing-model-development-cyber-capabilities/
1:17:59
Another Woman Joins Lawsuit Accusing Grok Of Generating CSAM
1:23:31
Research & Advancements
Small-Scale Experiments: Are We There Yet?
1:24:56
Stealing Reasoning Traces from Proprietary LLM APIs
1:29:21
Massive Activations in Hybrid Linear Attention Large Language Models: Pre-Attention Spikes and Inter-Spike Plateaus
1:34:30
Synthetic Media & Art
AI Slop Is Everywhere. Spotify, LinkedIn and Others Have Had Enough. - The New York Times
1:38:59

Transcript

Andrey Kurenkov: Hello, and welcome to the Last Week in AI podcast, where you can hear a chat about what's going on with AI. As usual, in this episode, you will summarize and discuss some of last week's most interesting AI news. As somewhat usual, we'll be...