Daily brief · 19 July

SpaceXAI's Grok Build AI coding tool was caught uploading users' entire codebases, including excluded files, to Google Cloud storage.

Major publishers Hachette, Cengage, and Elsevier are suing Google, alleging its AI models were trained on copyrighted works without permission.

BIS paper warns that the AI build-out, driven by debt and circular equity, risks over-investment and potential bust due to revenue disappointment.

Report questions the validity of Google's AI agents building an operating system for $916, emphasizing the need for independent model evaluation.

Research finds that context-reduction layers for coding agents do not consistently lower actual billed costs, despite reducing text volume.